Alaris Equity Partners Income Trust (AD-UN) investor relations material

Executive summary

• Achieved strong operating performance in 2025 with growth in total revenue and operating income, increased net book value per unit, record capital deployment, and a payout ratio below target range.

• Net book value per unit rose by $0.52 to $25.31, driven by operational earnings and foreign exchange gains.

• Reported earnings impacted by unrealized foreign exchange losses in 2025, but underlying business performance remained solid; in Q1 2026, earnings and comprehensive income surged 75.9% to $40.4 million due to a $20.1 million FX gain.

• Excluding non-recurring items and FX, earnings and comprehensive income rose 15.2% year-over-year.

• Quarterly distribution was raised by 3% to $0.38 per unit in April 2026, reflecting strong capital deployment and portfolio health.

Financial highlights

• Total revenue and operating income increased 15.9% in Q4 and 14% for 2025, and 2.7% year-over-year in Q1 2026, driven by strong fair value performance, partner investments, and higher distributions.

• Net book value per unit reached $25.31 at March 31, 2026, up from $24.34 a year earlier.

• Earnings from operations up 34.8% in Q4 and 17.3% for 2025; Q4 2025 earnings and comprehensive income was a loss of CAD 200,000 due to FX losses, but Q1 2026 saw a 75.9% increase to $40.4 million from FX gains.

• Distributable cash flow per unit fell 24.3% in Q4 and 16% for 2025, but increased 6.0% year-over-year to $0.71 in Q1 2026.

• Payout ratio was 64.2% in Q4 2025, 56.6% for 2025, and 51.9% in Q1 2026, all below the 65%-70% target.

Outlook and guidance

• Q1 2026 total partner revenue expected at approximately CAD 46.9 million; Q2 2026 projected at $47.9 million.

• Run rate revenue for the next 12 months estimated at CAD 200 million and $203.6 million; run rate G&A at CAD 20.5 million.

• Expected payout ratio for 2026 in the 60%-65% range, excluding future investments.

• Management anticipates further capital deployment and potential partner exits in the second half of 2026.

• Guidance does not include potential gains from anticipated partner monetizations.