Pershing Square Inc. — Third Quarter 2026 Earnings Summary

Financial Performance:

• Total revenue for Q3 2026 was $56.6 million, a decrease from $66.2 million in Q3 2025; Year-to-Date (YTD) revenue was $168.3 million compared to $171.7 million in Q3 2025; Last Twelve Months (LTM) revenue was $759.1 million compared to $470.1 million in Q3 2025.
• Management fees for Q3 2026 were $56.6 million, down from $62.3 million in Q3 2025; LTM management fees were $233.4 million compared to $217.1 million in Q3 2025.
• Performance fees for Q3 2026 were $0, compared to $3.9 million in Q3 2025; LTM performance fees were $525.7 million compared to $253.0 million in Q3 2025.
• Total expenses for Q3 2026 were $76.7 million, up from $41.9 million in Q3 2025; primarily driven by a $64.8 million increase in employee compensation and benefits ($70.5 million in Q3 2026 vs. $5.7 million in Q3 2025) and the elimination of the $14.2 million affiliate fee rebate present in Q3 2025.
• Operating loss for Q3 2026 was $20.1 million, compared to operating income of $24.2 million in Q3 2025; YTD operating loss was $105.1 million compared to income of $54.8 million in Q3 2025.
• Net loss attributable to Pershing Square Inc. for Q3 2026 was $19.9 million, compared to net income of $155.5 million in Q3 2025; LTM net loss was $159.3 million compared to net income of $175.5 million in Q3 2025.
• Net loss per share (basic and diluted) for Q3 2026 was $0.05, compared to $0.39 in Q3 2025; LTM net loss per share was $0.40 compared to $0.44 in Q3 2025.
• Fee-related earnings (FRE) for Q3 2026 were $63.7 million, up 13% from $56.5 million in Q3 2025; LTM FRE was $321.3 million compared to $281.3 million in Q3 2025.
• Distributable earnings (DE) for Q3 2026 were $49.5 million, a 12% decrease from $56.5 million in Q3 2025; LTM DE was $305.8 million compared to $306.1 million in Q3 2025.
• DE per share for Q3 2026 was $0.12, down from $0.14 in Q3 2025; LTM DE per share was $0.76 compared to $0.77 in Q3 2025.
• Net cash and investments per share was $1.61 as of September 30, 2026.

Guidance and Future Outlook:

• No specific forward guidance, future growth targets, or long-term financial outlooks were included in the press release.

Business Segments and Product Lines:

• Total Assets Under Management (AUM) ended Q3 2026 at $32.8 billion, a 0.9% increase from the beginning of the quarter; LTM AUM grew 4.2%.
• Fee-Paying AUM (FPAUM) ended Q3 2026 at $23.0 billion, a 3.2% increase from the beginning of the quarter; LTM FPAUM grew 4.5%.
• Permanent Capital FPAUM was $22.5 billion, representing 98% of total FPAUM.
• AUM inflows for the nine months ended September 30, 2026, were $5.7 billion, including $354 million of investor withdrawals from PSLP and PSINTL to participate in the Combined IPO and Private Placement.
• FPAUM inflows for the nine months ended September 30, 2026, were $4.9 billion, including $273 million of investor withdrawals from PSLP and PSINTL for the Combined IPO and Private Placement.
• Fund-specific AUM changes for Q3 2026: PSH increased to $16.9 billion; PSUS increased to $4.9 billion; HHH decreased to $9.9 billion; Private Funds (PSLP & PSINTL) decreased to $1.2 billion.

Market and Competitive Landscape:

• No specific market trends, competition data, or market share information was provided in the press release.

Risks and Challenges:

• The press release includes a standard "Forward-Looking Statements" disclaimer noting that actual results may differ materially from expectations due to risks and uncertainties described in the IPO Prospectus filed with the SEC on April 30, 2026.
• Risks include the inherent uncertainty of forward-looking statements regarding strategies, future results, and dividend payments.

Management Commentary and Tone:

• No direct management commentary, quotes, or tone analysis was included in the text of the press release, other than the announcement of the shareholder letter and presentation availability.

Analyst Questions and Answers:

• No analyst questions and answers content was included in the press release text.

Other Key Points:

• A dividend of $0.103 per share was paid on October 20, 2026, to shareholders of record as of October 12, 2026.
• Following the Corporate Conversion in connection with the Combined IPO, the Company is subject to U.S. federal, state, and local corporate income taxes; Q3 2026 taxes reflected in Distributable Earnings were $11.5 million.
• The Company has 400.0 million shares outstanding as of September 30, 2026.
• Outstanding debt totaled $297 million as of September 30, 2026, consisting of a $100 million term loan (5.44% interest rate) and a $197 million revolver (5.45% interest rate), both maturing in April 2029.
• The market capitalization was $22.4 billion as of September 30, 2026, based on a share price of $55.94.
• The Company holds 9.0 million shares of HHH (valued at $663 million), 4.0 million shares of PSUS common (valued at $148 million), and PSUS preferred shares (valued at $48 million).
• Non-cash or non-recurring compensation of $64.8 million was recorded in Q3 2026, primarily related to equity grants and severance benefits.
• Non-cash or non-recurring G&A expenses of $0.1 million were recorded in Q3 2026.
• The affiliate fee rebate, which was $14.2 million in Q3 2025, was terminated following the Combined IPO.
• Profit-sharing partner compensation of $10.6 million in Q3 2025 was replaced by equity distributions (dividends) following the Combined IPO.