Pollen Street Group (LON:POLN) Issues Earnings Results

Pollen Street Group (LON:POLN) announced its earnings results on Thursday. The company reported GBX 93.70 earnings per share (EPS) for the quarter, Digital Look Earnings reports. Pollen Street Group had a return on equity of 9.58% and a net margin of 53.91%.

Here are the key takeaways from Pollen Street Group’s conference call:

• Strong fundraising and AUM momentum — total AUM rose to £7.1 billion (30% YoY) with Fee‑Paying AUM £5.2bn (+£1.3bn), driving revenue to £114m and expanding fund management EBITDA.
• Highly predictable, recurring fee base — management fees (e.g., PE Fund V EUR 1.5bn at 2% fee = ~€30m pa) plus ~£800 million of uninvested credit capital give clear visibility of near‑term fee growth and support the £10bn AUM target.
• Recognition lag for performance fees — carry from recent funds (notably Fund V and Accelerator II) is expected to be material but will not be recognised in profit for several years under current IFRS treatment, keeping performance fees subdued for now.
• Change to carried interest allocation — the board has increased flexibility and for Credit IV has reduced the group’s house share to 17% (from 25%) to reward certain team members, which will transfer some future upside from shareholders to employees.
• Investing to scale — fund management costs rose ~25% as the firm builds sales/IR and investment teams, but management says this is deliberate investment and fund management EBITDA also grew (~+17%), reflecting operational gearing.

Pollen Street Group Stock Performance

LON POLN opened at GBX 816 on Friday. The stock has a 50-day simple moving average of GBX 837.14 and a 200 day simple moving average of GBX 888.58. Pollen Street Group has a twelve month low of GBX 633.98 and a twelve month high of GBX 972. The stock has a market capitalization of £486.77 million, a PE ratio of 9.28 and a beta of 0.05.

Wall Street Analyst Weigh In

Separately, Berenberg Bank boosted their price objective on shares of Pollen Street Group from GBX 1,050 to GBX 1,100 and gave the stock a “buy” rating in a research note on Friday. Three analysts have rated the stock with a Buy rating, Based on data from MarketBeat.com, Pollen Street Group presently has an average rating of “Buy” and an average target price of GBX 1,088.67.

Pollen Street Group Company Profile

Pollen Street was founded in 2013. It is a listed alternative asset manager dedicated to the financial and business services sectors. Pollen Street has complementary activities in managing third-party assets (as an asset manager) and on-balance sheet investments (as an investment company), delivering growth through dedicated private equity and credit strategies.