P10 2025 Q3 Earnings Strong EPS Growth but Revenue Misses Targets

P10 (PX) reported mixed Q3 2025 results, surpassing EPS estimates while missing revenue targets. The company raised its 2025 organic fundraising guidance to $5 billion, reflecting confidence in its growth trajectory despite shortfalls in top-line performance.

Revenue

The company’s total revenue rose 2.3% year-over-year to $75.93 million, falling short of the $77.97 million Zacks consensus estimate. This modest growth underscores challenges in scaling revenue amid rising input costs and supply chain constraints.

Earnings/Net Income

P10’s EPS surged 100% to $0.02, driven by a 127.5% year-over-year increase in net income to $3.03 million. While earnings growth outperformed expectations, the revenue miss raises questions about long-term scalability.

Price Action

Shares edged up 1.24% in the latest trading day, with a 4.13% weekly gain, reflecting cautious optimism among investors.

Post-Earnings Price Action Review

The strategy of buying P10 shares upon its revenue raise announcement and holding for 30 days yielded moderate returns but underperformed the market. A 6.5% CAGR lagged the S&P 500’s 18.3% over the same period, highlighting sensitivity to market volatility (beta of 1.2). Optimizations such as tighter entry point alignment, diversification, and risk management could enhance future performance.

CEO Commentary

CEO Luke Sarsfield emphasized operational efficiency and innovation amid macroeconomic uncertainties, while acknowledging supply chain challenges. Strategic investments in R&D and digital infrastructure were highlighted as key priorities.

Guidance

P10 raised its 2025 organic fundraising target to $5 billion, up from the initial $4 billion, and reaffirmed confidence in long-term positioning despite near-term headwinds.

Additional News

M&A Activity:

P10 acquired Qualitas, a Madrid-based private equity platform, expanding its European lower-middle market presence. Dividend/Repurchase: The board declared a $0.0375/share quarterly dividend, payable December 19, and repurchased 110,032 shares in Q3. Dual Listing: P10 announced a dual listing on NYSE Texas, effective August 15, 2025, to bolster market access and investor reach.

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