ICG plc

ICG reported FY26 FRE of GBP 350 million, up 23% year over year, management fees of GBP 685 million, up 13% year over year, performance fee income of GBP 127 million, and group operating cash flow of GBP 861 million versus GBP 533 million last year. Fee-earning AUM grew 11% to $87 billion, while net debt fell to GBP 113 million from GBP 629 million in March 2025; total available liquidity was GBP 1.5 billion. The ordinary dividend was 87p per share, and the balance sheet portfolio stood at GBP 2.6 billion. Looking ahead, management said it expects FY27 fundraising to be below FY26, but remains on track for the medium-term fundraising target of $55 billion, having raised $40 billion so far, and continues to expect FRE margin to expand over the medium term.

Benoît Durteste struck a confident, long-term tone and framed the year as evidence that ICG’s strategy is working: prioritize investment performance, avoid “AUM at all cost,” and grow through established franchises plus new adjacencies. He emphasized market share gains, strong client demand, and cross-selling opportunities, especially in real assets, LP secondaries, and wealth via the Amundi partnership. He also said the firm is being selective on deployment given the macro backdrop, but believes the current platform and LP relationships create substantial upside over time.

David Christopher Bicarregui focused on the link between strategy and cash generation, saying fee-earning AUM doubled to $87 billion over five years organically and the management fee rate has improved to 98 basis points. He reported FRE of GBP 350 million, performance fees of GBP 127 million including a GBP 72 million transitional gain, and operating cash flow of GBP 861 million, which drove net debt down to GBP 113 million and liquidity to GBP 1.5 billion. He said FRE margin has risen from 33% in FY21 to 47% today excluding catch-up fees, expects further medium-term expansion, and guided group cost growth more in the 5% to 10% range rather than assuming the 3% seen in FY26.

Analysts focused on capital allocation, costs, deployment, balance-sheet volatility, and the new FRE-based disclosures. Management said zero net debt is a near-term priority, but not an urgent one, and that buybacks are one possible use of future flexibility only after dividends and deleveraging, with strategic optionality still valuable in a choppy market. On costs, David said 3% growth is not a new normal and reiterated 5% to 10% as a more realistic range; on deployment, Benoît said the firm remains cautious and selective, especially in secondaries where valuations remain a concern. On the balance sheet, management pushed back on the idea that they are de-emphasizing it, saying it should continue to mirror fund performance and that off-balance-sheet risk transfer would conflict with LP alignment.