TPG · TPG Inc.

TPG Inc. reported a mixed set of results for the first quarter of 2026, characterized by a significant divergence between GAAP and Non-GAAP metrics. On a GAAP basis, the firm reported a net loss of $123 million, a sharp reversal from the $88 million net income recorded in the same period last year. This decline was primarily driven by negative capital allocation-based income of $120 million, compared to a gain of $491 million in the prior year period, alongside increased equity-based compensation expenses. Conversely, the firm's operational performance, as measured by Non-GAAP metrics, demonstrated robust growth. Fee-Related Earnings (FRE) increased 36% year-over-year to $247 million, with the FRE margin expanding 600 basis points to 44%. This improvement was attributed to higher management fees and strength in the capital markets business. After-Tax Distributable Earnings, a key metric for shareholder distributions, rose 51% to $282 million. The balance sheet reflects continued scale, with Assets Under Management (AUM) growing 22% over the last twelve months to $306 billion, supported by $10.3 billion in capital raised during the quarter. The firm declared a quarterly dividend of $0.59 per share. Management commentary highlighted the resilience of the business model and momentum across capital formation and deployment, despite the uncertain macro environment.