Patria Investments Limited (PAX) 5 Nov 24 2024 Q3 Earnings call transcript

In the recent third quarter earnings call for 2024, Patria, a leading asset management firm, showcased a robust performance and outlined a strategic path forward. With a focus on diversification, growth, and investor relations, Patria presented a promising outlook for the future. Here are the key takeaways from the call.

Strong Fundraising and Financial Performance

Patria's third quarter earnings call highlighted robust fundraising, with over $4.2 billion raised year-to-date, putting them on track to meet or exceed their $5 billion target for 2024. This success is attributed to the company's diversified platform and strategic investments in distribution and new product development. Management fees reached approximately $78 million for the quarter, up 26% year-over-year, and Fee Related Earnings reached almost $41 million, representing year-over-year growth of close to 13%. This growth underscores Patria's strong financial performance and underscores their ability to deliver value to their clients.

Growing Diversification and Expansion

Patria's strategic focus on diversification was evident in their discussion of their Real Estate platform, which has grown significantly over the past two years, reaching over $6 billion in Fee Earning AUM. This growth is attributed to both acquisitions and organic growth, positioning Patria as the largest independent Real Estate Investment Trust manager in Brazil. Additionally, their Credit platform has seen impressive growth, with $6.5 billion in Fee Earning AUM, reflecting strong organic net inflows and market appreciation. These developments demonstrate Patria's commitment to expanding their reach and capabilities, setting the stage for future growth.

Investor Relations and Capital Management

Patria's earnings call also underscored their emphasis on investor relations and capital management. The company declared a $0.15 per share dividend for the quarter, reflecting their commitment to returning value to shareholders. They also discussed their updated capital management strategy, which includes a focus on maximizing returns to shareholders and managing their debt levels. This strategic approach positions Patria for long-term growth and sustainability.

Looking Ahead: Growth and Opportunities

The call concluded with a forward-looking discussion of Patria's plans for the future, including their upcoming Investor Day in New York, where they will provide a deeper look into their platform and strategy. Patria's strategic focus on diversification, growth, and investor relations has positioned them well for future success. With a strong financial performance and a clear path forward, Patria is poised to continue delivering value to their clients and stakeholders.

In conclusion, Patria's third quarter earnings call for 2024 underscored their strategic focus on diversification, growth, and investor relations. With a strong financial performance and a clear path forward, Patria is well-positioned for future success. As they look ahead to their Investor Day in New York, investors and stakeholders can anticipate a deeper look into the company's plans for the future.