Ridgepost Capital Inc

Ridgepost Capital reported adjusted net income of $0.24 per share in Q2 2026 versus $0.23 per share in Q2 2025. Fee-related earnings were $39 million, up 10% year over year, and fee-related revenue was $81 million, up 11% year over year. The FRE margin was 48%. AUM ended the quarter above $50 billion, up more than $10 billion, or approximately 25% year over year, and fee-paying AUM was nearly $35 billion, up 19% year over year. Management reiterated full-year 2026 expectations for a core fee rate of 103 basis points, direct and secondary catch-up fees of $6 million to $8 million, and an FRE margin in the mid-40s. The company also said it expects to fully utilize NOLs by year-end, sees a cash tax rate in the high single-digit to low double-digit range for 2026 and mid-teens for 2027, and aims to bring leverage back to the mid-2x EBITDA range by the end of this year versus about 2.8x pro forma for Stellus at quarter-end.

Luke Sarsfield framed the quarter as another strong period and emphasized the durability of the model, with most earnings still driven by long-dated management fees and little exposure to realizations or quarterly redemptions. He was notably upbeat about Stellus, saying integration is underway and that the acquisition could expand the origination funnel over time through deeper access to RCP’s GP ecosystem. He also stressed that the stock looks undervalued relative to fundamentals and said the company has strong momentum into the second half of the year.

Amanda Coussens highlighted that Q2 adjusted net income was $0.24 per share, FRE was $39 million, and the FRE margin was 48%, helped by a higher fee rate and lower professional fees. She reiterated full-year 2026 guidance for a 103 basis point core fee rate, $6 million to $8 million of direct and secondary catch-up fees, and a mid-40s FRE margin, while noting placement agent costs and fundraising-related hires in the back half of the year could pressure margins. On capital structure, she said the revolver was fully utilized for Stellus at SOFR plus 260 bps, the revolving credit facility was expanded by $20 million to $195 million, and the company had already paid down $20 million of debt in the third quarter.

Analysts focused on what Stellus could add to fundraising and earnings, how long it might take to capture incremental commitments, and how the acquisition affects modeling for the back half of the year. Management said the $500 million to $1 billion of incremental annual commitments is based on capturing 10% to 20% of annual equity deployment in the relevant GP ecosystem, but that meaningful realization of that opportunity will likely take years and is still in very early stages. On fundraising, Luke said Stellus recently closed Fund IV and related vehicles at $1.5 billion and is currently focused more on deployment than immediate re-raising, while also confirming multiple flagship funds remain in market across the platform and more launches are likely in the back half of 2026 and into 2027.