HMC Capital delivered on its full-year guidance with operating earnings per share of 40.4 cents (pre-tax), while signalling confidence in its strategic repositioning through guidance for 16% underlying earnings growth in FY27. The result reflects a more focused operating model that has successfully scaled fee-generating revenue across the group’s core funds management verticals during a period of enhanced institutional capital flows into alternatives.
Revenue momentum was particularly evident in recurring funds management income, which grew 22% to $165.5 million in FY26, underpinned by strong growth in fee-generating assets under management. Total fee-generating AUM reached $16.9 billion, up 15% year-on-year, demonstrating the group’s ability to attract capital across its investment platforms. The company maintains substantial balance sheet strength with tangible assets and undrawn debt capacity of $1.9 billion, providing meaningful capacity for further deployment and strategic initiatives. These reserves become important context for the forward guidance, as they enable the group to fund growth without reliance on capital raises.
Performance across the group’s verticals showed varied momentum. The Real Estate business expanded fee-generating AUM to $9.0 billion with particular growth in unlisted strategies, which rose 15% to $2.9 billion. The business is actively progressing approximately $2 billion in deployment opportunities that should support further recurring fee growth. Private Credit delivered 17% AUM growth to $2.3 billion, supported by wholesale inflows and backed by $1.35 billion in new institutional mandates. Digital Infrastructure maintained its $4.1 billion AUM base while driving higher fee revenues from its data centre operations, with significant asset recycling proceeds enabling planned capacity expansion at its Sydney facility. Energy AUM reached $1.5 billion following completion of a major institutional partnership that generated a $35 million upfront transaction fee.
The dividend was maintained at 12.0 cents per share for FY26, reflecting management’s confidence in cash generation and capital adequacy. The group’s simplified structure, following the exit of discontinued operations, has sharpened strategic focus and improved operational efficiency. Operating earnings per share excluding discontinued operations reached 43.7 cents, while underlying earnings per share reached 30.2 cents on a pre-tax basis.
Looking ahead, the FY27 guidance for 16% underlying earnings growth assumes continued momentum in the investment pipeline, particularly the deployment of approximately $2 billion in medium-term real estate opportunities and buildout of the private credit origination pipeline to match institutional demand. Investors should monitor capital deployment rates across the real estate pipeline, progress of new institutional mandates in private credit, and the execution of the digital infrastructure capacity expansion at SYD1. The company’s ability to deliver on these deployment targets will be critical to achieving the growth guidance. This announcement is price sensitive and has been flagged as material by the ASX.
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About HMC Capital Limited (ASX: HMC)
HMC Capital Limited is an Australian real estate investment company that manages funds focused on global megatrends and scalable real assets. The company serves institutional investors, individuals, and superannuation funds with approximately 7.5 billion dollars in assets under management across real estate and private equity strategies.
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