Partners Group Profit Climbs 27% as Clients Add New MoneyGiles Broom
Partners Group Holding AG, the Swiss asset manager focused on private equity investments, said full-year profit rose 27 percent after pension funds in Europe, the U.K. and the U.S. added money.
Net income increased to 257 million Swiss francs ($271 million), from 202 million francs a year earlier, the Zug, Switzerland-based company said today in a statement.
Partners Group, which has about two-thirds of its investments in private equity and the rest in real estate, corporate debt and infrastructure, is targeting growth in the Americas to help reach a goal of 50 billion euros ($65 billion) in assets under management. Performance fee income more than tripled to 43 million francs last year.
The results were better than expected due to the “positive surprise from performance fees,” Teresa Nielsen, a Zurich-based analyst with Vontobel Holding AG, said in a note to clients. Revenue also beat expectations, she said.
Partners Group climbed 2.5 percent to 229 francs as of 12:57 p.m. in Zurich, valuing the company at 6.1 billion francs. The stock has surged 39 percent in the past 12 months, compared with a 16 percent advance in the 30-company Stoxx 600 Financial Services Index.
“It’s good, it’s solid, but I wouldn’t get carried away with the result,” Steffen Meister, chief executive officer of Partners Group, said in a phone interview, adding that hiring has helped boost investments.
The firm’s staff increased by 20 percent a year since 2009 and was at 625 by the end of December.
Customer assets climbed to 28.6 billion euros at the end of last year after inflows of 4.9 billion euros met the firm’s own target, Partners Group said Jan. 16. Most of new money came from clients, including corporate and public pension funds, in Europe, the U.K. and North America, the company said today.
Partners Group, which expects client commitments of 4 billion euros to 6 billion euros in 2013, plans to increase its shareholder dividend to 6.25 francs a share, from 5.50 francs in 2011.