Eurazeo (RF) Q4 2025 earnings summary

Executive summary

• Achieved record fundraising of €5.5bn in 2025, up 28% year-over-year, with AUM rising 8% to €39bn and third-party AUM up 15%; franchise expanded with 44 new institutional clients and 16% AUM growth in Wealth Solutions.

• Maintained prudent valuation amid volatile markets, with portfolio value down 1.6% excluding FX, but operational performance remained robust; net income group share was -€0.4bn, stable versus 2024, reflecting non-cash fair value changes.

• Continued shift to an asset-lighter model, with accelerated asset rotation and €1.5bn in balance sheet realizations (+44% YoY), distributing €1bn to shareholders over two years.

• Reinforced sustainability leadership, dedicating €6.1bn to environment and healthcare solutions (16% of AUM), and 28% of eligible portfolio companies with SBTi targets.

• Returned €1bn to shareholders over two years via dividends and share buybacks, with further €400m distributions planned for 2026.

Financial highlights

• Total AUM reached €39bn (+8% YoY); third-party AUM at €30bn (+15%).

• Management fees totaled €435m (+3% YoY); third-party management fees up 7.5%, private markets fees up 10%.

• Fee Related Earnings (FRE) margin improved to 35.9% (+40bps YoY); asset management EBITDA rose 12% to €206m (44% margin).

• Performance fees doubled to €33m, driven by successful exits; realized performance fees and third-party PREs increased significantly.

• Net loss attributable to owners was -€403m, a slight improvement from -€430m in 2024; consolidated net financial debt reduced to €1,062m, with low gearing at 16%.

Outlook and guidance

• Entering 2026 with €8.2bn in dry powder, up 15% YoY, and a strong, diversified fundraising pipeline.

• Growth and profitability targets for asset management, asset rotation, and shareholder distributions confirmed; significant exit volume expected in 2026.

• Expecting positive value creation in 2026, assuming market volatility stabilizes; targeting a long-term average of 10%+ value creation.

• Maintaining a disciplined approach to asset rotation, aiming for a 20% rotation rate.

• Planning to return €200m in dividends and execute an additional 4% share buyback in 2026.