What does Vinci Compass do and what are its main business segments?

What is the revenue and EPS growth rate for Vinci Compass year over year?

What factors drove the changes in Vinci Compass's revenue and profit?

What is Vinci Compass's gross profit margin?

What were the key takeaways from Vinci Compass's earnings call?

What were the key takeaways from Vinci Compass’s earnings call?

What is Vinci Compass's latest dividend and current dividend yield?

Did Vinci Compass beat or miss consensus estimates last quarter?

- **32.3% FRE Margin**: Record high from cost reductions and institutional allocations.
- **TPD Alts Strategy**: Capturing 30%+ foreign investor allocations.
- **Global IP&amp;S Growth**: BRL 8 billion inflows from regional pension plans.
- **Verde Integration**: 30%+ margin expansion from acquisition.

**【Management Opening Remarks】**
- CEO Alessandro Horta highlighted a 32.3% FRE margin, the highest in 2025, driven by cost reductions and operating leverage.
- CFO Bruno Zaremba emphasized Verde acquisition integration, contributing 30%+ institutional allocations.
- COO Sergio Passos noted BRL 73 million distributable earnings, up 28% YoY, reflecting fee growth.

**【CEO Commentary】**
- 32.3% FRE margin reflects disciplined cost execution and institutional cross-sell opportunities.
- Global IP&amp;S inflows of BRL 8 billion from regional pension plans and high-net-worth individuals.
- TPD alts strategy captures 30%+ allocations from foreign investors.

**【CFO Financial Commentary】**
- BRL 19 billion capital formation from institutional clients, including first Brazilian pension plan commitment.
- 30%+ margin expansion from cost reduction initiatives.
- 2026 target of 38% FRE margin through operational efficiency.

**【Q&A Highlights】**
- Cross-sell opportunities with institutional clients in alternatives.
- TPD alts strategy attracting foreign investors.
- Global IP&amp;S inflows from regional pension plans.
- Verde acquisition driving margin expansion.


Vinci Compass Investments Ltd. (VINP) Q3 2025 Earnings Call Transcript

- **Record Q2 Results**: Distributable earnings up 30% YoY to BRL 76 million, driven by infrastructure fund realizations and strategic exits.
- **Infrastructure Fund Success**: New BRL 2 billion climate fund targets renewable energy, with first utility-scale solar deal in pipeline.
- **FRE Margin Expansion**: Targeting low 30s% by 2026 via cost synergies and inorganic growth, despite Q2 FX headwinds.
- **GP Commitments J-Curve**: BRL 700 million deployed in closed-end funds, with net income impact in 2026, distributable earnings in 2027, and PRE in 2028.
- **Argentina Expansion**: Launching credit-focused fundraising in Argentina and Peru, with new corporate debt fund.

**【CEO Summary Section】**
- Vinci Compass reported fee-related earnings (FRE) of BRL 65.2 million and adjusted distributable earnings of BRL 75.8 million for Q2 2025, driven by strong fundraising and strategic exits.
- Key highlights include the realization of BRL 50 million pretax gains from the FIP Infra Transmissao fund, marking the first significant return from post-IPO balance sheet commitments.
- Strategic exits in real assets included the full divestment of FIP Transmissao and Camarada Camarao, demonstrating portfolio de-risking and capital recycling.
- New infrastructure fund (ICC) raised BRL 2 billion, targeting renewable energy and 5G infrastructure projects.
- CEO emphasized the company's multi-strategy platform and integration of recent acquisitions, with a new Sao Paulo office enhancing operational efficiency.

**【CFO Financial Commentary】**
- Bruno Zaremba highlighted BRL 12 billion in capital formation and appreciation, with strong inflows in Global IP&S (BRL 2.3 billion) and LatAm credit (BRL 7.2 billion AUM).
- FRE grew 25% YoY (BRL 233 million) due to inorganic growth and organic momentum, while PRE increased 50% YoY, driven by infrastructure and private equity realizations.
- Adjusted distributable earnings rose 30% YoY to BRL 76 million, despite BRL 12 billion negative FX impact on AUM.
- CFO noted the J-curve effect of GP commitments, with BRL 1.7 billion of unrealized performance fees expected to flow into distributable earnings over 24 months.

**【Q&A Key Highlights】**
- **Fundraising Outlook**: Q2 net inflows of BRL 3.5 billion, with second-half momentum in credit (SPS, MAV) and Global IP&S. 2025 AUM growth target remains double-digit (BRL 30 billion+), excluding FX.
- **FRE Margin Expansion**: Expecting low 30s% run rate by Q3 2026, driven by cost synergies (2-3% margin benefit) and inorganic growth. Non-recurring costs (e.g., Compass retention) will decline in 2026.
- **GP Commitments Timeline**: BRL 700 million deployed in closed-end funds (VCP IV, VICC) to date, with BRL 600 million+ remaining. Net income impact from fund appreciation expected in 2026, distributable earnings in 2027, and PRE in 2028.
- **Argentina Strategy**: Credit-focused fundraising in Argentina, leveraging local expertise and macro stabilization. New LatAm Fixed Maturity Corporate Debt Fund launching in Peru.
- **FX Impact**: Q2 BRL 12 billion negative FX impact on AUM, but positive long-term effect on dollar-based DE and carry realization.

Vinci Partners Investments Ltd. (VINP) Q2 2025 Earnings Call Transcript

- **Revenue Growth**: Q1 FRE up 22% YoY to BRL65.7 million, driven by credit fundraising (BRL1.1 billion) and global IP&S expansion.
- **Strategic Shift**: Credit segment dominates growth, with key raises in Peru (PEPCO II), Brazil (MAV III), and cross-border (SPS4).
- **Margin Target**: 30-32% FRE margin achievable by year-end, supported by cost leverage and management fee growth.
- **Macroeconomic Tailwinds**: Brazil rate cuts and Latin America's geopolitical neutrality positioning Vinci Compass for capital inflows.
- **Q&A Highlights**: Positive April TPD liquid inflows, minimal currency impact on FRE, and strong corporate advisory pipeline.

**【CEO Summary Section】**
- Vinci Compass reported fee-related earnings (FRE) of BRL65.7 million (up 22% YoY) and adjusted distributable earnings of BRL62.3 million (up 26% YoY), driven by strong fundraising across credit and alternative strategies.
- Credit segment highlights include BRL600 million raised for PEPCO II in Peru, BRL200 million for MAV III (agribusiness credit), and BRL200 million for SPS4 (opportunistic credit), reflecting a strategic shift to credit-focused growth.
- Global macro trends, such as U.S.-China trade tensions and Latin America's geopolitical neutrality, are creating opportunities for private credit and infrastructure investments. The company expects rate cuts in Brazil to support credit markets.
- Vinci Compass is leveraging its integrated platform to expand into global IP&S, with BRL1.1 billion in capital subscriptions in Q1 and growing interest from Asian and European investors in Latin American equities and infrastructure.

**【CFO Financial Commentary】**
- Fee-related revenues reached BRL231.6 million (up 117% YoY), with management fees accounting for BRL195.5 million (15% QoQ growth) and advisory fees at BRL24.9 million (driven by third-party distribution).
- FRE margin was 28.4% in Q1, with a target to expand to low 30s by year-end through cost leverage and organic growth.
- AUM declined 7% QoQ due to BRL appreciation (7% impact) and net outflows in global IP&S, but April saw positive inflows in TPD liquid strategies.

**【Q&A Key Highlights】**
- **Margin Expansion**: CEO and CFO reiterated confidence in achieving 30-32% FRE margin by year-end, driven by disciplined cost management and higher management fee contributions.
- **Currency Impact**: BRL appreciation reduced AUM by 7% QoQ but had minimal impact on FRE (BRL2 million positive impact). TPD liquid outflows were offset by alternative fund inflows.
- **Investor Interest**: Growing demand for Latin American equities (e.g., Chile Small Cap Fund +27.1% YTD) and infrastructure (e.g., Climate Infrastructure Fund targeting renewable energy projects).
- **Corporate Advisory**: Pipeline remains strong, with several transactions expected to contribute to advisory fees in H2 2025.

Vinci Partners Investments (VINP)-12 May 25-2025 Q1 Earnings call transcript

- **Record Fundraising**: Q4 2024 fundraising of R$1.4 billion, with SPS IV securing R$900 million in commitments, highlights strong investor demand.
- **Brazilian Institutional Growth**: VCP IV's 70% Brazilian LP base underscores local capital allocation shift to alternatives.
- **Argentina Recovery Boost**: IP&amp;S segment PRE surged due to Argentina's economic turnaround, but 20+ funds ensure recurring performance.
- **FX Hedging Strategy**: 30% USD revenue exposure offsets AUM volatility, with potential FX gains in 2025 if BRL appreciates.
- **Dividend Consistency**: 80% payout ratio maintained, with $0.15 per share dividend reaffirmed for 2025.


**【CEO Opening Remarks】**
- Vinci Compass ended 2024 with R$327 billion in AUM, driven by the Compass combination and organic growth. Q4 fundraising reached R$1.4 billion, with SPS IV securing R$900 million in commitments.
- VCP IV final closed at R$3.1 billion, with 70% of LPs from Brazil, reflecting local institutional demand. Argentina's economic recovery boosted IP&amp;S performance, with the Vinci Argentina fund contributing significantly to PRE.
- Key 2025 focus: expanding credit platform across Latin America, launching VIR V, and exploring data centers in real estate.

**【CFO Financial Highlights】**
- Q4 fee-related earnings (FRE) reached R$79 million (+38% YoY), driven by management fees (+70% YoY) and advisory fees (+43% YoY). Full-year FRE grew 15% per share to R$4.42.
- Adjusted distributable earnings (ADE) were R$73.9 million (R$1.15 per share), impacted by R$16 million FX loss on USD-denominated debt. Excluding FX, ADE would have been R$90 million (+19% YoY).
- Gross accrued performance fees reached R$437 million, up 17% QoQ, with offshore funds expected to lag due to FX depreciation.

**【Q&A Key Takeaways】**
- **FX Impact**: 2024 FX loss of R$16 million may be offset in 2025 if BRL appreciates. 30% of revenue is USD-denominated, mitigating AUM volatility.
- **Dividend Policy**: Target 80% payout ratio, unchanged from pre-merger levels. 2024 dividend of $0.15 per share will continue.
- **FRE Margin**: Expect low-30% run rate in 2025, improving through cost synergies and cross-selling opportunities.
- **Argentina Performance**: One-time boost from Argentina fund, but 20+ funds contribute to PRE, ensuring diversification.
- **Seasonality**: Advisory fees (30% of revenue) may fluctuate with fund closings, but credit and private equity fees are more stable.


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