Hamilton Lane (HLNE) 10-Q 7 Nov 23 2024 Q2 Quarterly report Financial data

Cover Page

Cover Page - shares	6 Months Ended
	Sep. 30, 2023	Nov. 03, 2023
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2023
Document Transition Report	false
Entity File Number	001-38021
Entity Registrant Name	HAMILTON LANE INC
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	26-2482738
Entity Address, Address Line One	110 Washington Street,
Entity Address, Address Line Two	Suite 1300
Entity Address, City or Town	Conshohocken,
Entity Address, State or Province	PA
Entity Address, Postal Zip Code	19428
City Area Code	610
Local Phone Number	934-2222
Title of 12(b) Security	Class A Common Stock, $0.001 par value per share
Trading Symbol	HLNE
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Emerging Growth Company	false
Entity Small Business	false
Entity Shell Company	false
Amendment Flag	false
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q2
Entity Central Index Key	0001433642
Current Fiscal Year End Date	--03-31
Class A Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding (in shares)		38,600,076
Class B Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding (in shares)		15,409,507

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Sep. 30, 2023	Mar. 31, 2023
Assets
Fees receivable	$ 61,800	$ 47,140
Prepaid expenses	6,534	9,817
Due from related parties	7,822	7,186
Furniture, fixtures and equipment, net	31,814	28,425
Lease right-of-use assets, net	64,543	62,327
Investments	558,268	530,921
Deferred income taxes	229,791	233,912
Assets of consolidated variable interest entities:
Investments	558,268	530,921
Total assets	1,358,656	1,140,543
Liabilities and equity
Accounts payable	3,542	4,559
Accrued compensation and benefits	47,151	24,190
Accrued members’ distributions	12,338	15,723
Accrued dividend	16,784	15,049
Debt	197,346	213,533
Payable to related parties pursuant to tax receivable agreement	173,818	174,702
Lease liabilities	80,935	78,817
Liabilities of consolidated variable interest entities:
Total liabilities	577,088	566,351
Commitments and contingencies (Note 15)
Preferred stock, $0.001 par value, 10,000,000 authorized, none issued	0	0
Additional paid-in-capital	179,215	171,567
Total Hamilton Lane Incorporated stockholders’ equity	462,520	415,444
Total equity	781,568	574,192
Total liabilities and equity	1,358,656	1,140,543
Class A Common Stock
Liabilities of consolidated variable interest entities:
Common stock	39	39
Class B Common Stock
Liabilities of consolidated variable interest entities:
Common stock	15	15
Consolidated Entity Excluding Variable Interest Entities (VIE)
Assets
Cash and cash equivalents	128,098	99,686
Restricted cash	4,965	4,804
Investments	558,268	530,921
Other assets	40,460	46,784
Assets of consolidated variable interest entities:
Cash and cash equivalents	128,098	99,686
Investments	558,268	530,921
Other assets	40,460	46,784
Liabilities and equity
Other liabilities (includes $12,373 and $14,228 at fair value)	34,798	32,856
Liabilities of consolidated variable interest entities:
Other liabilities	34,798	32,856
Consolidated VIEs
Assets
Cash and cash equivalents	101,712	12,062
Investments	118,530	57,044
Other assets	4,319	435
Assets of consolidated variable interest entities:
Cash and cash equivalents	101,712	12,062
Investments	118,530	57,044
Other assets	4,319	435
Liabilities and equity
Other liabilities (includes $12,373 and $14,228 at fair value)	10,376	6,922
Liabilities of consolidated variable interest entities:
Other liabilities	10,376	6,922
General Partnerships
Liabilities of consolidated variable interest entities:
Stockholders' equity attributable to noncontrolling interest	4,408	3,877
Hamilton Lane Advisors, L.L.C.
Liabilities of consolidated variable interest entities:
Retained earnings	283,251	243,823
Hamilton Lane Advisors, L.L.C.
Liabilities of consolidated variable interest entities:
Stockholders' equity attributable to noncontrolling interest	147,567	135,702
Consolidated Funds
Liabilities of consolidated variable interest entities:
Stockholders' equity attributable to noncontrolling interest	$ 167,073	$ 19,169

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2023	Mar. 31, 2023
Class of Stock [Line Items]
Other liabilities, fair value	$ 12,373	$ 14,228
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized (in shares)	10,000,000	10,000,000
Preferred stock, shares issued (in shares)	0	0
Class A Common Stock
Class of Stock [Line Items]
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	300,000,000	300,000,000
Common stock, shares issued (in shares)	38,608,284	38,611,919
Common stock, shares outstanding (in shares)	38,608,284	38,611,919
Class B Common Stock
Class of Stock [Line Items]
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	50,000,000	50,000,000
Common stock, shares issued (in shares)	15,409,507	15,409,507
Common stock, shares outstanding (in shares)	15,409,507	15,409,507

Condensed Consolidated Statemen

Condensed Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Revenues
Total revenues	$ 126,876	$ 153,382	$ 251,914	$ 288,891
Expenses
Compensation and benefits	45,930	60,364	90,032	112,558
Total expenses	71,279	83,556	141,375	156,540
Other income (expense)
Equity in income (loss) of investees	8,251	(7,518)	20,117	(8,143)
Interest income	1,099	1,107	2,036	1,276
Non-operating (loss) income	(1,215)	11,738	(982)	16,081
Consolidated variable interest entities related:
Total other income (expense)	10,762	3,402	23,567	8,492
Income before income taxes	66,359	73,228	134,106	140,843
Income tax expense	1,856	15,489	18,256	26,977
Net income	64,503	57,739	115,850	113,866
Net income attributable to Hamilton Lane Incorporated	41,994	34,881	72,992	68,365
Class A Common Stock
Consolidated variable interest entities related:
Net income attributable to Hamilton Lane Incorporated	$ 41,994	$ 34,881	$ 72,992	$ 68,365
Basic earnings per share of Class A common stock (in dollars per share)	$ 1.11	$ 0.98	$ 1.94	$ 1.89
Diluted earnings per share of Class A common stock (in dollars per share)	1.11	0.97	1.92	1.88
Dividends declared per share of Class A common stock (in dollars per share)	$ 0.45	$ 0.40	$ 0.89	$ 0.80
Consolidated Entity Excluding Variable Interest Entities (VIE)
Expenses
General, administrative and other	$ 24,994	$ 22,836	$ 50,755	$ 43,350
Other income (expense)
Interest expense	(2,743)	(2,114)	(5,632)	(3,609)
Consolidated VIEs
Expenses
General, administrative and other	355	356	588	632
Other income (expense)
Interest expense	0	0	(6)	0
Interest income	2,841	0	4,581	0
Consolidated variable interest entities related:
Equity in income (loss) of investees	288	(91)	419	641
Unrealized gain	2,241	280	3,034	2,246
General Partnerships
Consolidated variable interest entities related:
Less: Income attributable to non-controlling interests	87	43	88	351
Hamilton Lane Advisors, L.L.C.
Consolidated variable interest entities related:
Less: Income attributable to non-controlling interests	18,654	22,012	37,790	42,180
Consolidated Funds
Consolidated variable interest entities related:
Less: Income attributable to non-controlling interests	3,768	0	4,980	0
Hamilton Lane Alliance Holdings I, Inc.
Consolidated variable interest entities related:
Less: Income attributable to non-controlling interests	0	803	0	2,970
Management and advisory fees
Revenues
Total revenues	109,184	92,880	214,592	178,826
Incentive fees
Revenues
Total revenues	17,692	60,502	37,322	110,065
Incentive fees | Consolidated Entity Excluding Variable Interest Entities (VIE)
Revenues
Total revenues	17,692	59,237	37,322	108,760
Incentive fees | Consolidated VIEs
Revenues
Total revenues	$ 0	$ 1,265	$ 0	$ 1,305

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Stockholders’ Equity (Unaudited) - USD ($) $ in Thousands	Total	Additional Paid in Capital	Retained Earnings	Noncontrolling Interests General Partnerships	Noncontrolling Interests Hamilton Lane Advisors, L.L.C.	Noncontrolling Interests Consolidated Funds	Class A Common Stock Common Stock	Class B Common Stock Common Stock
Beginning balance at Mar. 31, 2022	$ 461,486	$ 161,676	$ 185,149	$ 3,423	$ 111,185	$ 0	$ 37	$ 16
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	110,896		68,365	351	42,180
Equity-based compensation	3,982	2,746			1,236
Repurchase of Class A shares for employee tax withholding	(93)	(64)			(29)
Dividends declared	(29,603)		(29,603)
Capital contributions from non-controlling interests, net	46			46
Member distributions	(25,707)				(25,707)
Employee Share Purchase Plan share issuance	1,001	689			311		1
Adjustment of redeemable non-controlling interest to redemption value	2,970		2,046		924
Equity reallocation between controlling and non-controlling interests	0	(284)			284
Ending balance at Sep. 30, 2022	524,978	164,763	225,957	3,820	130,384	0	38	16
Beginning balance at Jun. 30, 2022	490,974	163,129	205,325	3,632	118,835	0	37	16
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	56,936		34,881	43	22,012
Equity-based compensation	2,085	1,439			646
Repurchase of Class A shares for employee tax withholding	(93)	(64)			(29)
Dividends declared	(14,803)		(14,803)
Capital contributions from non-controlling interests, net	145			145
Member distributions	(11,586)				(11,586)
Employee Share Purchase Plan share issuance	517	356			160		1
Adjustment of redeemable non-controlling interest to redemption value	803		554		249
Equity reallocation between controlling and non-controlling interests	0	(97)			97
Ending balance at Sep. 30, 2022	524,978	164,763	225,957	3,820	130,384	0	38	16
Beginning balance at Mar. 31, 2023	574,192	171,567	243,823	3,877	135,702	19,169	39	15
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	115,850		72,992	88	37,790	4,980
Equity-based compensation	5,963	4,180			1,783
Repurchase of Class A shares for employee tax withholding	(108)	(76)			(32)
Dividends declared	(33,564)		(33,564)
Capital contributions from non-controlling interests, net	143,367			443		142,924
Member distributions	(25,214)				(25,214)
Employee Share Purchase Plan share issuance	1,082	758			324
Equity reallocation between controlling and non-controlling interests	0	2,786			(2,786)
Ending balance at Sep. 30, 2023	781,568	179,215	283,251	4,408	147,567	167,073	39	15
Beginning balance at Jun. 30, 2023	641,700	176,673	258,041	4,004	138,853	64,075	39	15
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	64,503		41,994	87	18,654	3,768
Equity-based compensation	3,118	2,185			933
Repurchase of Class A shares for employee tax withholding	0	0			0
Dividends declared	(16,784)		(16,784)
Capital contributions from non-controlling interests, net	99,547			317		99,230
Member distributions	(11,048)			0	(11,048)
Employee Share Purchase Plan share issuance	532	373			159
Equity reallocation between controlling and non-controlling interests	0	(16)			16
Ending balance at Sep. 30, 2023	$ 781,568	$ 179,215	$ 283,251	$ 4,408	$ 147,567	$ 167,073	$ 39	$ 15

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Operating activities:
Net income	$ 115,850	$ 113,866
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	3,736	3,577
Change in deferred income taxes	4,121	7,839
Change in payable to related parties pursuant to tax receivable agreement	(884)	(934)
Equity-based compensation	5,963	3,982
Equity in (income) loss of investees	(20,117)	8,143
Net realized loss (gain) on sale of investments	288	(9,783)
Fair value adjustment of other investments	445	(5,352)
Proceeds received from partnerships	12,998	8,503
Non-cash lease expense	3,999	2,903
Other	231	40
Changes in operating assets and liabilities:
Fees receivable	(14,660)	4,373
Prepaid expenses	3,283	1,338
Due from related parties	(636)	(5,608)
Other assets	3,732	944
Accounts payable	(1,017)	(885)
Accrued compensation and benefits	22,961	44,093
Lease liability	(4,096)	(3,682)
Other liabilities	1,629	(14,209)
Consolidated variable interest entities related:
Net unrealized gain on investment	445	(5,352)
Net cash provided by operating activities	135,569	155,854
Investing activities:
Purchase of furniture, fixtures and equipment	(6,276)	(2,490)
Cash paid for acquisition of business	0	(1,500)
Loans to investees	0	(535)
Purchase of investments	(6,352)	(27,236)
Proceeds from sale of investments	1,343	10,000
Distributions from investments	0	1,406
Proceeds from sale of intangible assets	1,739	0
Distributions received from Partnerships	6,001	9,240
Contributions to Partnerships	(23,632)	(49,553)
Net cash used in investing activities	(85,009)	(60,668)
Financing activities:
Borrowings of debt	0	25,000
Repayments of debt	(1,250)	(2,164)
Draw-down on revolver	10,000	25,000
Repayment of revolver	(25,000)	(25,000)
Repurchase of Class A shares for employee tax withholding	(108)	(93)
Proceeds received from issuance of shares under Employee Share Purchase Plan	1,082	1,001
Dividends paid	(31,829)	(27,747)
Members’ distributions paid	(28,599)	(42,072)
Consolidated variable interest entities related:
Net cash provided by (used in) financing activities	67,663	(46,029)
Increase in cash and cash equivalents, restricted cash, and cash and cash equivalents held at consolidated variable interest entities	118,223	49,157
Cash and cash equivalents, restricted cash, and cash and cash equivalents held at consolidated variable interest entities at beginning of the period	116,552	76,197
Cash and cash equivalents, restricted cash, and cash and cash equivalents held at consolidated variable interest entities at end of the period	234,775	125,354
Reconciliation of Cash and Cash Equivalents, Restricted Cash and Cash and Cash Equivalents Held at Consolidated Variable Interest Entities to the Condensed Consolidated Balance Sheets:
Total cash and cash equivalents, restricted cash, and cash and cash equivalents held at consolidated variable interest entities	234,775	125,354
Consolidated VIEs
Adjustments to reconcile net income to net cash provided by operating activities:
Fair value adjustment of other investments	(1,406)	0
Consolidated variable interest entities related:
Change in warrant liability measured at fair value	0	(2,246)
Net unrealized gain on investment	(1,406)	0
Equity in income of investees	(419)	(641)
Other assets and liabilities	(432)	(407)
Investing activities:
Purchase of investments	(57,832)	0
Consolidated variable interest entities related:
Contributions from non-controlling interests in general partnerships	472	355
Distributions to non-controlling interests in general partnerships	(29)	(309)
Contributions from non-controlling interests in consolidated funds	142,924	0
Reconciliation of Cash and Cash Equivalents, Restricted Cash and Cash and Cash Equivalents Held at Consolidated Variable Interest Entities to the Condensed Consolidated Balance Sheets:
Cash and cash equivalents	101,712	512
Consolidated Entity Excluding Variable Interest Entities (VIE)
Reconciliation of Cash and Cash Equivalents, Restricted Cash and Cash and Cash Equivalents Held at Consolidated Variable Interest Entities to the Condensed Consolidated Balance Sheets:
Cash and cash equivalents	128,098	121,764
Restricted cash	$ 4,965	$ 3,078

Organization

Organization	6 Months Ended
	Sep. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization	1. Organization Hamilton Lane Incorporated (“HLI”) was incorporated in the State of Delaware on December 31, 2007 and, following its 2017 initial public offering, is a holding company whose principal asset is a controlling equity interest in Hamilton Lane Advisors, L.L.C. (“HLA”). As the sole managing member of HLA, HLI operates and controls all of the business and affairs of HLA, and through HLA, conducts its business. As a result, HLI consolidates HLA’s financial results and reports a non-controlling interest related to the portion of HLA units not owned by HLI. The assets and liabilities of HLA represent substantially all of HLI’s consolidated assets and liabilities with the exception of certain cash, certain deferred tax assets and liabilities, payables to related parties pursuant to a tax receivable agreement, and dividends payable. Unless otherwise specified, “the Company” refers to the consolidated entity of HLI, HLA and subsidiaries throughout the remainder of these notes. As of September 30, 2023 and March 31, 2023, HLI held approximately 70.1% of the economic interest in HLA. As future exchanges of HLA units occur pursuant to the exchange agreement in place with HLA’s members, the economic interest in HLA held by HLI will increase. HLA is a registered investment advisor with the United States Securities and Exchange Commission (“SEC”), providing asset management and advisory services, primarily to institutional investors, to design, build and manage private markets portfolios. HLA generates revenues primarily from management fees, by managing assets on behalf of customized separate accounts, specialized fund products and distribution management accounts, and advisory fees and by providing asset supervisory and reporting services. HLA sponsors the formation, and serves as the general partner or managing member, of various limited liability partnerships consisting of specialized funds and certain single client separate account entities (“Partnerships”) that acquire interests in third-party managed investment funds that make private equity and equity-related investments. The Partnerships may also make direct investments, including investments in debt, equity, and other equity-based instruments. The Company, which includes certain subsidiaries that serve as the general partner or managing member of the Partnerships, may invest its own capital in the Partnerships and generally makes all investment and operating decisions for the Partnerships. HLA operates several wholly-owned entities through which it conducts its foreign operations.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Sep. 30, 2023
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	2. Summary of Significant Accounting Policies Basis of Presentation The accompanying unaudited condensed consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. Management believes it has made all necessary adjustments (which consisted of only normal recurring items) so that the condensed consolidated financial statements are presented fairly and that estimates made in preparing the condensed consolidated financial statements are reasonable and prudent. Results of operations for the three and six months ended September 30, 2023 are not necessarily indicative of the results that may be expected for the year ending March 31, 2024. These unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements included in HLI’s Annual Report on Form 10-K for the fiscal year ended March 31, 2023. Accounting for Differing Fiscal Periods The Partnerships primarily have a fiscal year end as of December 31, and the Company accounts for its investments in the Partnerships using a three-month lag due to the timing of financial information received from the investments held by the Partnerships. The Partnerships primarily invest in private equity funds, which generally require at least 90 days following the calendar year end to present audited financial statements. The Company records its share of capital contributions to and distributions from the Partnerships in investments in the Condensed Consolidated Balance Sheets during the three-month lag period. Fair Value of Financial Instruments The Company utilizes a hierarchy that prioritizes fair value measurements based on the types of inputs used for the various valuation techniques (market approach, income approach, and cost approach). The levels of the hierarchy are described below: • Level 1: Values are determined using quoted market prices for identical financial instruments in an active market. • Level 2: Values are determined using quoted prices for similar financial instruments and valuation models whose inputs are observable. • Level 3: Values are determined using pricing models that use significant inputs that are primarily unobservable, discounted cash flow methodologies or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation.

Revenue

Revenue	6 Months Ended
	Sep. 30, 2023
Revenue from Contract with Customer [Abstract]
Revenue	3. Revenue The following table presents revenues disaggregated by product offering, which aligns with the identified performance obligations and the basis for calculating each amount: Three Months Ended Six Months Ended September 30, Management and advisory fees 2023 2022 2023 2022 Specialized funds $ 62,386 $ 47,150 $ 120,102 $ 90,799 Customized separate accounts 32,040 29,383 63,759 57,758 Advisory 6,014 6,211 12,307 12,460 Reporting and other 6,261 6,133 11,819 12,450 Distribution management 1,254 771 2,467 1,267 Fund reimbursement revenue 1,229 3,232 4,138 4,092 Total management and advisory fees $ 109,184 $ 92,880 $ 214,592 $ 178,826 Three Months Ended Six Months Ended September 30, Incentive fees 2023 2022 2023 2022 Specialized funds $ 14,276 $ 51,929 $ 32,662 $ 94,137 Customized separate accounts 3,416 7,308 4,660 14,623 Consolidated variable interest entities related: Specialized funds — 1,265 — 1,305 Total incentive fees $ 17,692 $ 60,502 $ 37,322 $ 110,065

Investments

Investments	6 Months Ended
	Sep. 30, 2023
Equity Method Investments and Joint Ventures [Abstract]
Investments	4. Investments Investments consist of the following: September 30, March 31, 2023 2023 Equity method investments in Partnerships $ 363,531 $ 340,603 Other equity method investments 2,040 — Fair value investments 17,175 21,586 Investments valued under the measurement alternative 175,522 168,732 Total Investments $ 558,268 $ 530,921 Investments of consolidated variable interest entities (“VIEs”) consist of the following: September 30, March 31, 2023 2023 Equity method investments in Partnerships $ 14,540 $ 12,292 Fair value investments 103,990 44,752 Total Investments of Consolidated VIEs $ 118,530 $ 57,044 Equity method investments The Company’s equity method investments in Partnerships represent its ownership in certain specialized funds and customized separate accounts. The strategies and geographic location of investments within the Partnerships vary by fund. The Company has a 1% interest in substantially all of the Partnerships, representing a general partner interest. The Company’s other equity method investments represent its ownership in a technology company to develop an AI-powered investment assistant for private markets. Fair value investments The Company’s fair value investments represent a publicly traded security and investments in private equity funds, direct credit and equity investments that are held as collateral on the Company’s secured financing. The private equity fund investments can only be redeemed through distributions received from the liquidation of underlying investments of the fund, and the timing of distributions is currently indeterminable. The amortized cost of the assets held as collateral was $6,320 and $7,429 as of September 30, 2023 and March 31, 2023, respectively. The direct credit investments were debt securities classified as trading securities. Fair value investments are measured at fair value with unrealized holding gains and losses recorded in non-operating (loss) income in the Condensed Consolidated Statements of Income. The Company accounts for its secured financing at fair value under the fair value option. The primary reason for electing the fair value option is to mitigate volatility in earnings from using different measurement attributes. The significant input to the fair value of the secured financing is the fair value of the fair value investments delivered as collateral which are estimated using Level 3 inputs with the significant inputs as shown in Note 5 below. The Company recognized a loss on fair value investments held as collateral of $840 and $869 during the three and six months ended September 30, 2023, respectively, and a gain of $817 and $94 during the three and six months ended September 30, 2022, respectively, that are recorded in non-operating (loss) income. The Company recognized a gain on the secured financing liability of $840 and $869 during the three and six months ended September 30, 2023, respectively, and a loss of $817 and $94 during the three and six months ended September 30, 2022, respectively, that are recorded in non-operating (loss) income in the Condensed Consolidated Statements of Income. Investments valued under the measurement alternative Three Months Ended September 30, Six Months Ended September 30, 2023 2022 2023 2022 Carrying amount beginning of the period $ 170,386 $ 183,023 $ 168,732 $ 156,100 Adjustments related to equity investments Purchases 5,136 7,000 6,312 27,236 Sales / return of capital — — (177) — Net unrealized gain 1 — — 1,177 6,687 Net realized loss — — (522) — Carrying amount, end of period $ 175,522 $ 190,023 $ 175,522 $ 190,023 (1) Net unrealized gain consists of fair value adjustments for observable price changes of identical or similar investments. The following table summarizes the cumulative gross unrealized gains and cumulative gross unrealized losses related to the Company’s investments under the measurement alternative: September 30, March 31, 2023 2023 Cumulative gross unrealized gains $ 70,235 $ 69,058 Cumulative gross unrealized losses $ (43,289) $ (43,289)

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Sep. 30, 2023
Fair Value Disclosures [Abstract]
Fair Value Measurements	5. Fair Value Measurements The following tables summarize the Company’s financial assets and financial liabilities recorded at fair value by fair value hierarchy level: As of September 30, 2023 Level 1 Level 2 Level 3 NAV (2) Total Financial assets: Fair value investments $ 4,802 $ — $ 12,373 $ — $ 17,175 Consolidated VIEs Fair value investments — — 69,381 34,609 103,990 Total financial assets $ 4,802 $ — $ 81,754 $ 34,609 $ 121,165 Financial liabilities: Secured financing (1) $ — $ — $ 12,373 $ — $ 12,373 Total financial liabilities $ — $ — $ 12,373 $ — $ 12,373 As of March 31, 2023 Level 1 Level 2 Level 3 NAV (2) Total Financial assets: Fair value investments $ 7,358 $ — $ 14,228 $ — $ 21,586 Consolidated VIEs Fair value investments — — 21,163 23,589 44,752 Total financial assets $ 7,358 $ — $ 35,391 $ 23,589 $ 66,338 Financial liabilities: Secured financing (1) $ — $ — $ 14,228 $ — $ 14,228 Total financial liabilities $ — $ — $ 14,228 $ — $ 14,228 (1) Secured financing is recorded within other liabilities in the Condensed Consolidated Balance Sheets. (2) Investments are recorded at estimated fair value based upon the net asset value of the fund utilizing the practical expedient under Accounting Standards Codification 820, “Fair Value Measurement.” The fair value amounts presented in this column are intended to permit reconciliation of the fair value hierarchy to the amounts presented in Note 4. The following is a reconciliation of other investments for which significant unobservable inputs (Level 3) were used in determining fair value: Private equity funds Direct credit investments Direct equity investments Total other investments Balance as of June 30, 2023 $ 6,430 $ 785 $ 6,934 $ 14,149 Contributions — — — — Distributions (138) (798) — (936) Net gain (loss) (553) 13 (300) (840) Balance as of September 30, 2023 $ 5,739 $ — $ 6,634 $ 12,373 Balance as of March 31, 2023 $ 6,664 $ 790 $ 6,774 $ 14,228 Contributions — — — — Distributions (188) (798) — (986) Net gain (loss) (737) 8 (140) (869) Balance as of September 30, 2023 $ 5,739 $ — $ 6,634 $ 12,373 Private equity funds Direct credit investments Direct equity investments Total other investments Balance as of June 30, 2022 $ 6,404 $ 773 $ 5,754 $ 12,931 Contributions 22 — — 22 Distributions (690) — — (690) Net gain (loss) 516 (5) 306 817 Balance as of September 30, 2022 $ 6,252 $ 768 $ 6,060 $ 13,080 Balance as of March 31, 2022 $ 7,024 $ 774 $ 6,020 $ 13,818 Contributions 22 — — 22 Distributions (854) — — (854) Net gain (loss) 60 (6) 40 94 Balance as of September 30, 2022 $ 6,252 $ 768 $ 6,060 $ 13,080 The following is a reconciliation of investments held by our consolidated VIEs for which significant unobservable inputs (Level 3) were used in determining value: Direct credit investments Balance as of June 30, 2023 $ 54,625 Contributions 10,731 Distributions (140) Net income 412 Transfer in 3,753 Balance as of September 30, 2023 $ 69,381 Direct credit investments Balance as of March 31, 2023 $ 21,163 Contributions 24,787 Distributions (180) Net income 494 Transfer in 23,117 Balance as of September 30, 2023 $ 69,381 The valuation methodologies, significant unobservable inputs, range of inputs and the weighted average input determined based upon relative fair value of the investments used in recurring Level 3 fair value measurements of financial assets were as follows, as of September 30, 2023: Significant Fair Valuation Unobservable Weighted Value Methodology Inputs Range Average Other investments: Private equity funds $ 5,739 Adjusted net asset value Selected market return 0.6% - 1.5% 1.3% Direct equity investments $ 6,634 Market approach EBITDA multiple 8.25x - 14.50x 12.15x Market approach Equity multiple 1.60x 1.60x Investments of consolidated VIE: Direct credit investments $ 46,566 Discounted cash flow Market yield 9.3% - 11.8% 10.6% Direct credit investments $ 22,815 Recent precedent For the significant unobservable inputs listed in the tables above: (1) a significant increase or decrease in the selected market return would result in a significantly higher or lower fair value measurement, respectively; (2) a significant increase or decrease in the market yield would result in a significantly lower or higher fair value measurement, respectively; and (3) a significant increase or decrease in the selected multiple would result in a significantly higher or lower fair value measurement, respectively.

Variable Interest Entities

Variable Interest Entities	6 Months Ended
	Sep. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Variable Interest Entities	6. Variable Interest Entities The Company consolidates certain VIEs in which it is determined that the Company is the primary beneficiary. Consolidated Variable Interest Entities The Company consolidates general partner entities of certain Partnerships and a fund in which it is currently the primary beneficiary, which are not wholly-owned by the Company. The assets of the consolidated general partner VIEs represent equity method-investments in direct investment funds and customized separate accounts and the assets of the consolidated fund represent cash and direct credit investments. The assets may only be used to settle obligations of the respective consolidated VIEs, if any. In addition, there is no recourse to the Company for the consolidated VIEs’ liabilities, except for certain entities in which there could be a clawback of previously distributed carried interest. Nonconsolidated Variable Interest Entities The Company holds variable interests in certain Partnerships that are VIEs, which are not consolidated, as it is determined that the Company is not the primary beneficiary based upon the Company’s equity interest percentage in each of the VIEs. Certain Partnerships are considered VIEs because limited partners lack the ability to remove the general partner or dissolve the entity without cause, by simple majority vote (i.e., do not have substantive “kick out” or “liquidation” rights). The Company’s involvement with such entities is in the form of direct equity interests in, and fee arrangements with, the Partnerships in which it also serves as the general partner or managing member. In the Company’s role as general partner or managing member, it generally considers itself the sponsor of the applicable Partnership and makes all investment and operating decisions. As of September 30, 2023, the total remaining unfunded commitments from the Company’s general partner entities to the nonconsolidated VIEs was $153,890. Investor commitments are the primary source of financing for the nonconsolidated VIEs. The maximum exposure to loss represents the potential loss of assets recognized by the Company relating to these nonconsolidated entities. The Company believes that its maximum exposure to loss is limited because it establishes separate limited partnerships or limited liability companies to serve as the general partner or managing member of the Partnerships. The carrying value of assets and liabilities recognized in the Condensed Consolidated Balance Sheets related to the Company’s interests in these nonconsolidated VIEs and the Company’s maximum exposure to loss relating to non-consolidated VIEs were as follows: September 30, March 31, 2023 2023 Investments $ 213,059 $ 199,858 Fees receivable 24,628 15,829 Due from related parties 2,326 1,960 Total VIE Assets 240,013 217,647 Less: Non-controlling interests (1,600) (1,665) Maximum exposure to loss $ 238,413 $ 215,982

Debt

Debt	6 Months Ended
	Sep. 30, 2023
Debt Disclosure [Abstract]
Debt	7. Debt The Company’s debt consisted of the following: As of September 30, 2023 As of March 31, 2023 Principal Outstanding Carrying Value Interest Rate Principal Outstanding Carrying Value Interest Rate Term Loan $ 98,125 $ 97,750 7.25 % $ 99,375 $ 98,969 6.75 % 2020 Multi-Draw Facility 100,000 99,596 3.50 % 100,000 99,564 3.50 % Revolver — — 15,000 15,000 6.50 % Total Debt $ 198,125 $ 197,346 $ 214,375 $ 213,533

Equity

Equity	6 Months Ended
	Sep. 30, 2023
Equity [Abstract]
Equity	8. Equity The following table shows a rollforward of the Company’s common stock outstanding since March 31, 2023: Class A Common Stock Class B Common Stock March 31, 2023 38,611,919 15,409,507 Forfeitures (31,438) — Shares repurchased for employee tax withholdings (3,105) — Awards granted 15,890 — Shares issued pursuant to Employee Share Purchase Plan 15,018 — September 30, 2023 38,608,284 15,409,507

Equity-Based Compensation

Equity-Based Compensation	6 Months Ended
	Sep. 30, 2023
Share-Based Payment Arrangement [Abstract]
Equity-Based Compensation	9. Equity Based Compensation Restricted Stock Awards A summary of restricted stock activity for the six months ended September 30, 2023 is presented below: Total Weighted- March 31, 2023 377,668 $ 65.70 Granted 15,890 $ 88.19 Vested (17,381) $ 70.75 Forfeited (11,872) $ 66.52 September 30, 2023 364,305 $ 66.42 As of September 30, 2023, total unrecognized compensation expense related to restricted stock was $20,101. Performance Awards A summary of performance award activity for the six months ended September 30, 2023 is presented below: Total Weighted- March 31, 2023 528,282 $ 29.79 Granted — $ — Vested — $ — Forfeited (19,566) $ 29.79 September 30, 2023 508,716 $ 29.79 As of September 30, 2023, total estimated unrecognized expense related to the unvested performance awards was $12,000 and none of the performance awards have met their market price-based vesting condition.

Compensation and Benefits

Compensation and Benefits	6 Months Ended
	Sep. 30, 2023
Compensation Related Costs [Abstract]
Compensation and Benefits	10. Compensation and Benefits The Company has recorded the following amounts related to compensation and benefits: Three Months Ended September 30, Six Months Ended September 30, 2023 2022 2023 2022 Base compensation and benefits $ 38,389 $ 43,168 $ 74,739 $ 81,075 Incentive fee compensation 4,423 15,111 9,330 27,501 Equity-based compensation 3,118 2,085 5,963 3,982 Total compensation and benefits $ 45,930 $ 60,364 $ 90,032 $ 112,558

Income Tax

Income Tax	6 Months Ended
	Sep. 30, 2023
Income Tax Disclosure [Abstract]
Income Tax	11. Income Tax The Company’s effective tax rate used for interim periods is based on an estimated annual effective tax rate including the tax effect of items required to be recorded discretely in the interim period in which those items occur. The effective tax rate is dependent on many factors, including the estimated amount of income subject to income tax; therefore, the effective tax rate can vary from period to period. The Company evaluates the realizability of its deferred tax asset on a quarterly basis and adjusts the valuation allowance when it is more likely than not that all or a portion of the deferred tax asset may not be realized. The Company’s effective tax rate was 2.8% and 13.6% for the three and six months ended September 30, 2023, respectively, and 21.2% and 19.2% for the three and six months ended September 30, 2022, respectively. The effective tax rates were different from the statutory tax rates due to the portion of income allocated to non-controlling interests, valuation allowance recorded against deferred tax assets and discrete tax adjustments to true-up prior fiscal year estimated investment taxable income to actual investment taxable income reported to the Company after the prior fiscal year end. As of September 30, 2023, the Company had no unrecognized tax positions and believes there will be no changes to uncertain tax positions within the next 12 months.

Earnings per Share

Earnings per Share	6 Months Ended
	Sep. 30, 2023
Earnings Per Share [Abstract]
Earnings per Share	12. Earnings per Share Shares of the Company’s Class B common stock do not share in the earnings or losses attributable to HLI, and, therefore, are not participating securities. As a result, a separate presentation of basic and diluted earnings per share of Class B common stock under the two-class method has not been included. Shares of the Company’s Class B common stock are, however, considered potentially dilutive to the Class A common stock because the Class B units to which the Class B common stock corresponds are exchangeable for shares of Class A common stock on a one-for-one basis, at which time the share of Class B common stock is surrendered in exchange for a payment of its par value. The following table sets forth reconciliations of the numerators and denominators used to compute basic and diluted earnings per share of Class A common stock: Three Months Ended Three Months Ended Net income attributable to Class A Stockholders Weighted-Average Shares Per share amount Net income attributable to Class A Stockholders Weighted-Average Shares Per share amount Net income attributable to HLI $ 41,994 $ 34,881 Impact of changes in carrying amount of redeemable NCI — 1,333 Basic EPS of Class A common stock $ 41,994 37,718,210 $ 1.11 $ 36,214 37,009,309 $ 0.98 Adjustment to net income: Assumed vesting of employee awards 44 17 Assumed conversion of Class B and Class C Units 17,824 15,825 Effect of dilutive securities: Assumed vesting of employee awards 133,775 60,790 Assumed conversion of Class B and Class C Units 16,089,097 16,675,834 Diluted EPS of Class A common stock $ 59,862 53,941,082 $ 1.11 $ 52,056 53,745,933 $ 0.97 Six Months Ended Six Months Ended Net income attributable to Class A Stockholders Weighted-Average Shares Per share amount Net income attributable to Class A Stockholders Weighted-Average Shares Per share amount Net income attributable to HLI $ 72,992 $ 68,365 Impact of changes in carrying amount of redeemable NCI — 1,713 Basic EPS of Class A common stock $ 72,992 37,713,038 $ 1.94 $ 70,078 37,000,150 $ 1.89 Adjustment to net income: Assumed vesting of employee awards 53 9 Assumed conversion of Class B and Class C Units 30,177 31,007 Effect of dilutive securities: Assumed vesting of employee awards 94,622 48,816 Assumed conversion of Class B and Class C Units 16,089,097 16,675,834 Diluted EPS of Class A common stock $ 103,222 53,896,757 $ 1.92 $ 101,094 53,724,800 $ 1.88 The adjustments to net income for dilutive securities are based upon the additional income that would be allocated to HLI for the change in its ownership percentage due to the dilutive securities and adjusted for the incremental income tax expense related to the additional allocated income. Net income (loss) recorded by HLI on a standalone basis will determine if the Class B and Class C units are dilutive or antidilutive in each respective period. The calculation of diluted earnings per share excludes 508,716 shares underlying performance awards for the three and six months ended September 30, 2023 as the market condition was not achieved as of September 30, 2023.

Related Party Transactions

Related Party Transactions	6 Months Ended
	Sep. 30, 2023
Related Party Transactions [Abstract]
Related Party Transactions	13. Related Party Transactions The Company considers its employees, directors, and equity method investments to be related parties. Revenue and Receivables The Company has investment management agreements with various specialized funds and customized separate accounts that it manages. The Company earned management and advisory fees from Partnerships of $83,717 and $164,020 for the three and six months ended September 30, 2023 , respectively , and $67,334 and $128,044 for the three and six months ended September 30, 2022, respectively. The Company earned incentive fees from Partnerships of $16,602 and $35,227 for the three and six months ended September 30, 2023, respectively, and $59,714 and $108,893 for the three and six months ended September 30, 2022, respectively. Fees receivable from the Partnerships were $43,503 and $31,684 as of September 30, 2023 and March 31, 2023, respectively, and are included in fees receivable in the Condensed Consolidated Balance Sheets.

Supplemental Cash Flow

Supplemental Cash Flow	6 Months Ended
	Sep. 30, 2023
Supplemental Cash Flow Information [Abstract]
Supplemental Cash Flow	14. Supplemental Cash Flow Six Months Ended September 30, 2023 2022 Establishment of lease liability in exchange for right of use asset $ 4,666 $ 1,123 Non-cash investing activities: Non-cash purchase of other equity method investment $ 2,000 $ — Non-cash financing activities: Dividends declared but not paid $ 16,784 $ 14,803 Member distributions declared but not paid $ 12,338 $ 10,754

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Sep. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	15. Commitments and Contingencies Litigation In the ordinary course of business, the Company may be subject to various legal, regulatory, and/or administrative proceedings from time to time. Although there can be no assurance of the outcome of such proceedings, in the opinion of management, the Company does not believe it is probable that any pending or, to its knowledge, threatened legal proceeding or claim would individually or in the aggregate materially affect its condensed consolidated financial statements. Incentive Fees The Partnerships have allocated carried interest still subject to contingencies and did not meet the Company’s criteria for revenue recognition in the amounts of $1,150,751 and $1,022,250, net of amounts attributable to non-controlling interests, at September 30, 2023 and March 31, 2023, respectively. If the Company ultimately receives the unrecognized carried interest, a total of $287,688 and $255,562 as of September 30, 2023 and March 31, 2023, respectively, would potentially be payable to certain employees and third parties pursuant to compensation arrangements related to carried interest profit-sharing plans. Such amounts have not been recorded in the Condensed Consolidated Balance Sheets or Condensed Consolidated Statements of Income as the payment is not yet probable. Commitments The Company serves as the investment manager of the Partnerships. The general partner or managing member of each Partnership is generally a separate subsidiary of the Company and has agreed to invest funds on the same basis as the limited partners in most instances. The Company’s aggregate unfunded commitment to the Partnerships was $231,659 and $211,556 as of September 30, 2023 and March 31, 2023, respectively. The Company has an unrealized net gain on its investments valued under the measurement alternative and a fair value investment of $30,029 as of September 30, 2023, of which up to 15% may be paid as a discretionary bonus as those gains are realized. The Company offers an Employee Investment Program (“EIP”) through which certain employees are able to invest directly into certain Company managed funds as individual limited partners (“LP”). The employees also have an option to enter into a loan agreement with a third-party lender to fund committed capital. The loan is collateralized by the underlying LP interest in the fund and return of capital distributions are utilized to pay the outstanding loan balance. The Company entered into a separate agreement with the third-party lender to backstop the employee’s performance under the loan with a commitment to purchase the LP interest from the lender at the greater of fair value or the outstanding balance of the loan in the event of a default by the employee. As of September 30, 2023, the total amount of outstanding loans under the EIP was $759, and the Company believes the risk of default by an employee to be remote. Leases The Company’s leases consist primarily of operating leases for office space and office equipment in various locations around the world. Some leases have the option to extend for an additional term or terminate early. Short-term lease costs are not material . The following table shows lease costs and other supplemental information related to the Company’s operating leases: Three Months Ended September 30, Six Months Ended September 30, 2023 2022 2023 2022 Operating lease costs $ 2,270 $ 2,046 $ 4,469 $ 4,104 Variable lease costs $ 259 $ 434 $ 658 $ 671 Cash paid for amounts included in the measurement of operating lease liabilities $ 2,244 $ 1,921 $ 4,332 $ 3,860 Weighted average remaining lease term (in years) 13.1 14.3 Weighted average discount rate 3.5 % 3.2 % As of September 30, 2023, the maturities of operating lease liabilities were as follows: Remainder of FY2024 $ 4,357 FY2025 8,559 FY2026 8,022 FY2027 7,644 FY2028 7,126 Thereafter 65,272 Total lease payments 100,980 Less: imputed interest (20,045) Total operating lease liabilities $ 80,935

Subsequent Events

Subsequent Events	6 Months Ended
	Sep. 30, 2023
Subsequent Events [Abstract]
Subsequent Events	16. Subsequent Events On November 7, 2023, the Company declared a quarterly dividend of $0.445 per share of Class A common stock to record holders at the close of business on December 15, 2023. The payment date will be January 5, 2024.

Pay vs Performance Disclosure

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Pay vs Performance Disclosure
Net income attributable to HLI	$ 41,994	$ 34,881	$ 72,992	$ 68,365

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended
	Sep. 30, 2023
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Sep. 30, 2023
Accounting Policies [Abstract]
Basis of Presentation	Basis of PresentationThe accompanying unaudited condensed consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. Management believes it has made all necessary adjustments (which consisted of only normal recurring items) so that the condensed consolidated financial statements are presented fairly and that estimates made in preparing the condensed consolidated financial statements are reasonable and prudent. Results of operations for the three and six months ended September 30, 2023 are not necessarily indicative of the results that may be expected for the year ending March 31, 2024. These unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements included in HLI’s Annual Report on Form 10-K for the fiscal year ended March 31, 2023.
Accounting for Differing Fiscal Periods	Accounting for Differing Fiscal Periods The Partnerships primarily have a fiscal year end as of December 31, and the Company accounts for its investments in the Partnerships using a three-month lag due to the timing of financial information received from the investments held by the Partnerships. The Partnerships primarily invest in private equity funds, which generally require at least 90 days following the calendar year end to present audited financial statements. The Company records its share of capital contributions to and distributions from the Partnerships in investments in the Condensed Consolidated Balance Sheets during the three-month lag period.
Fair Value of Financial Instruments	Fair Value of Financial Instruments The Company utilizes a hierarchy that prioritizes fair value measurements based on the types of inputs used for the various valuation techniques (market approach, income approach, and cost approach). The levels of the hierarchy are described below: • Level 1: Values are determined using quoted market prices for identical financial instruments in an active market. • Level 2: Values are determined using quoted prices for similar financial instruments and valuation models whose inputs are observable. • Level 3: Values are determined using pricing models that use significant inputs that are primarily unobservable, discounted cash flow methodologies or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation.

Revenue (Tables)

Revenue (Tables)	6 Months Ended
	Sep. 30, 2023
Revenue from Contract with Customer [Abstract]
Schedule of Disaggregation of Revenue	The following table presents revenues disaggregated by product offering, which aligns with the identified performance obligations and the basis for calculating each amount: Three Months Ended Six Months Ended September 30, Management and advisory fees 2023 2022 2023 2022 Specialized funds $ 62,386 $ 47,150 $ 120,102 $ 90,799 Customized separate accounts 32,040 29,383 63,759 57,758 Advisory 6,014 6,211 12,307 12,460 Reporting and other 6,261 6,133 11,819 12,450 Distribution management 1,254 771 2,467 1,267 Fund reimbursement revenue 1,229 3,232 4,138 4,092 Total management and advisory fees $ 109,184 $ 92,880 $ 214,592 $ 178,826 Three Months Ended Six Months Ended September 30, Incentive fees 2023 2022 2023 2022 Specialized funds $ 14,276 $ 51,929 $ 32,662 $ 94,137 Customized separate accounts 3,416 7,308 4,660 14,623 Consolidated variable interest entities related: Specialized funds — 1,265 — 1,305 Total incentive fees $ 17,692 $ 60,502 $ 37,322 $ 110,065

Investments (Tables)

Investments (Tables)	6 Months Ended
	Sep. 30, 2023
Equity Method Investments and Joint Ventures [Abstract]
Schedule of Investment	Investments consist of the following: September 30, March 31, 2023 2023 Equity method investments in Partnerships $ 363,531 $ 340,603 Other equity method investments 2,040 — Fair value investments 17,175 21,586 Investments valued under the measurement alternative 175,522 168,732 Total Investments $ 558,268 $ 530,921
Schedule of Variable Interest Entities	Investments of consolidated variable interest entities (“VIEs”) consist of the following: September 30, March 31, 2023 2023 Equity method investments in Partnerships $ 14,540 $ 12,292 Fair value investments 103,990 44,752 Total Investments of Consolidated VIEs $ 118,530 $ 57,044 The carrying value of assets and liabilities recognized in the Condensed Consolidated Balance Sheets related to the Company’s interests in these nonconsolidated VIEs and the Company’s maximum exposure to loss relating to non-consolidated VIEs were as follows: September 30, March 31, 2023 2023 Investments $ 213,059 $ 199,858 Fees receivable 24,628 15,829 Due from related parties 2,326 1,960 Total VIE Assets 240,013 217,647 Less: Non-controlling interests (1,600) (1,665) Maximum exposure to loss $ 238,413 $ 215,982
Schedule of Equity Securities without Readily Determinable Fair Value	Three Months Ended September 30, Six Months Ended September 30, 2023 2022 2023 2022 Carrying amount beginning of the period $ 170,386 $ 183,023 $ 168,732 $ 156,100 Adjustments related to equity investments Purchases 5,136 7,000 6,312 27,236 Sales / return of capital — — (177) — Net unrealized gain 1 — — 1,177 6,687 Net realized loss — — (522) — Carrying amount, end of period $ 175,522 $ 190,023 $ 175,522 $ 190,023 (1) Net unrealized gain consists of fair value adjustments for observable price changes of identical or similar investments.
Schedule of Unrealized Gain (Loss) on Investments	The following table summarizes the cumulative gross unrealized gains and cumulative gross unrealized losses related to the Company’s investments under the measurement alternative: September 30, March 31, 2023 2023 Cumulative gross unrealized gains $ 70,235 $ 69,058 Cumulative gross unrealized losses $ (43,289) $ (43,289)

Fair Value Measurement (Tables)

Fair Value Measurement (Tables)	6 Months Ended
	Sep. 30, 2023
Fair Value Disclosures [Abstract]
Schedule of Financial Assets and Liabilities	The following tables summarize the Company’s financial assets and financial liabilities recorded at fair value by fair value hierarchy level: As of September 30, 2023 Level 1 Level 2 Level 3 NAV (2) Total Financial assets: Fair value investments $ 4,802 $ — $ 12,373 $ — $ 17,175 Consolidated VIEs Fair value investments — — 69,381 34,609 103,990 Total financial assets $ 4,802 $ — $ 81,754 $ 34,609 $ 121,165 Financial liabilities: Secured financing (1) $ — $ — $ 12,373 $ — $ 12,373 Total financial liabilities $ — $ — $ 12,373 $ — $ 12,373 As of March 31, 2023 Level 1 Level 2 Level 3 NAV (2) Total Financial assets: Fair value investments $ 7,358 $ — $ 14,228 $ — $ 21,586 Consolidated VIEs Fair value investments — — 21,163 23,589 44,752 Total financial assets $ 7,358 $ — $ 35,391 $ 23,589 $ 66,338 Financial liabilities: Secured financing (1) $ — $ — $ 14,228 $ — $ 14,228 Total financial liabilities $ — $ — $ 14,228 $ — $ 14,228 (1) Secured financing is recorded within other liabilities in the Condensed Consolidated Balance Sheets. (2) Investments are recorded at estimated fair value based upon the net asset value of the fund utilizing the practical expedient under Accounting Standards Codification 820, “Fair Value Measurement.” The fair value amounts presented in this column are intended to permit reconciliation of the fair value hierarchy to the amounts presented in Note 4.
Schedule of Reconciliation of Other Investments	The following is a reconciliation of other investments for which significant unobservable inputs (Level 3) were used in determining fair value: Private equity funds Direct credit investments Direct equity investments Total other investments Balance as of June 30, 2023 $ 6,430 $ 785 $ 6,934 $ 14,149 Contributions — — — — Distributions (138) (798) — (936) Net gain (loss) (553) 13 (300) (840) Balance as of September 30, 2023 $ 5,739 $ — $ 6,634 $ 12,373 Balance as of March 31, 2023 $ 6,664 $ 790 $ 6,774 $ 14,228 Contributions — — — — Distributions (188) (798) — (986) Net gain (loss) (737) 8 (140) (869) Balance as of September 30, 2023 $ 5,739 $ — $ 6,634 $ 12,373 Private equity funds Direct credit investments Direct equity investments Total other investments Balance as of June 30, 2022 $ 6,404 $ 773 $ 5,754 $ 12,931 Contributions 22 — — 22 Distributions (690) — — (690) Net gain (loss) 516 (5) 306 817 Balance as of September 30, 2022 $ 6,252 $ 768 $ 6,060 $ 13,080 Balance as of March 31, 2022 $ 7,024 $ 774 $ 6,020 $ 13,818 Contributions 22 — — 22 Distributions (854) — — (854) Net gain (loss) 60 (6) 40 94 Balance as of September 30, 2022 $ 6,252 $ 768 $ 6,060 $ 13,080
Schedule of Reconciliation of Investments Held by Consolidated Funds	The following is a reconciliation of investments held by our consolidated VIEs for which significant unobservable inputs (Level 3) were used in determining value: Direct credit investments Balance as of June 30, 2023 $ 54,625 Contributions 10,731 Distributions (140) Net income 412 Transfer in 3,753 Balance as of September 30, 2023 $ 69,381 Direct credit investments Balance as of March 31, 2023 $ 21,163 Contributions 24,787 Distributions (180) Net income 494 Transfer in 23,117 Balance as of September 30, 2023 $ 69,381
Schedule of Assumptions Used	The valuation methodologies, significant unobservable inputs, range of inputs and the weighted average input determined based upon relative fair value of the investments used in recurring Level 3 fair value measurements of financial assets were as follows, as of September 30, 2023: Significant Fair Valuation Unobservable Weighted Value Methodology Inputs Range Average Other investments: Private equity funds $ 5,739 Adjusted net asset value Selected market return 0.6% - 1.5% 1.3% Direct equity investments $ 6,634 Market approach EBITDA multiple 8.25x - 14.50x 12.15x Market approach Equity multiple 1.60x 1.60x Investments of consolidated VIE: Direct credit investments $ 46,566 Discounted cash flow Market yield 9.3% - 11.8% 10.6% Direct credit investments $ 22,815 Recent precedent For the significant unobservable inputs listed in the tables above: (1) a significant increase or decrease in the selected market return would result in a significantly higher or lower fair value measurement, respectively; (2) a significant increase or decrease in the market yield would result in a significantly lower or higher fair value measurement, respectively; and (3) a significant increase or decrease in the selected multiple would result in a significantly higher or lower fair value measurement, respectively.

Variable Interest Entities (Tab

Variable Interest Entities (Tables)	6 Months Ended
	Sep. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Schedule of Variable Interest Entities	Investments of consolidated variable interest entities (“VIEs”) consist of the following: September 30, March 31, 2023 2023 Equity method investments in Partnerships $ 14,540 $ 12,292 Fair value investments 103,990 44,752 Total Investments of Consolidated VIEs $ 118,530 $ 57,044 The carrying value of assets and liabilities recognized in the Condensed Consolidated Balance Sheets related to the Company’s interests in these nonconsolidated VIEs and the Company’s maximum exposure to loss relating to non-consolidated VIEs were as follows: September 30, March 31, 2023 2023 Investments $ 213,059 $ 199,858 Fees receivable 24,628 15,829 Due from related parties 2,326 1,960 Total VIE Assets 240,013 217,647 Less: Non-controlling interests (1,600) (1,665) Maximum exposure to loss $ 238,413 $ 215,982

Debt (Tables)

Debt (Tables)	6 Months Ended
	Sep. 30, 2023
Debt Disclosure [Abstract]
Schedule of Debt	The Company’s debt consisted of the following: As of September 30, 2023 As of March 31, 2023 Principal Outstanding Carrying Value Interest Rate Principal Outstanding Carrying Value Interest Rate Term Loan $ 98,125 $ 97,750 7.25 % $ 99,375 $ 98,969 6.75 % 2020 Multi-Draw Facility 100,000 99,596 3.50 % 100,000 99,564 3.50 % Revolver — — 15,000 15,000 6.50 % Total Debt $ 198,125 $ 197,346 $ 214,375 $ 213,533

Equity (Tables)

Equity (Tables)	6 Months Ended
	Sep. 30, 2023
Equity [Abstract]
Schedule of Rollforward of Common Stock	The following table shows a rollforward of the Company’s common stock outstanding since March 31, 2023: Class A Common Stock Class B Common Stock March 31, 2023 38,611,919 15,409,507 Forfeitures (31,438) — Shares repurchased for employee tax withholdings (3,105) — Awards granted 15,890 — Shares issued pursuant to Employee Share Purchase Plan 15,018 — September 30, 2023 38,608,284 15,409,507

Equity-Based Compensation (Tabl

Equity-Based Compensation (Tables)	6 Months Ended
	Sep. 30, 2023
Share-Based Payment Arrangement [Abstract]
Schedule of Restricted Stock Activity	A summary of restricted stock activity for the six months ended September 30, 2023 is presented below: Total Weighted- March 31, 2023 377,668 $ 65.70 Granted 15,890 $ 88.19 Vested (17,381) $ 70.75 Forfeited (11,872) $ 66.52 September 30, 2023 364,305 $ 66.42
Schedule of Performance Units Activity	A summary of performance award activity for the six months ended September 30, 2023 is presented below: Total Weighted- March 31, 2023 528,282 $ 29.79 Granted — $ — Vested — $ — Forfeited (19,566) $ 29.79 September 30, 2023 508,716 $ 29.79

Compensation and Benefits (Tabl

Compensation and Benefits (Tables)	6 Months Ended
	Sep. 30, 2023
Compensation Related Costs [Abstract]
Schedule of Compensation and Benefits	The Company has recorded the following amounts related to compensation and benefits: Three Months Ended September 30, Six Months Ended September 30, 2023 2022 2023 2022 Base compensation and benefits $ 38,389 $ 43,168 $ 74,739 $ 81,075 Incentive fee compensation 4,423 15,111 9,330 27,501 Equity-based compensation 3,118 2,085 5,963 3,982 Total compensation and benefits $ 45,930 $ 60,364 $ 90,032 $ 112,558

Earnings per Share (Tables)

Earnings per Share (Tables)	6 Months Ended
	Sep. 30, 2023
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	The following table sets forth reconciliations of the numerators and denominators used to compute basic and diluted earnings per share of Class A common stock: Three Months Ended Three Months Ended Net income attributable to Class A Stockholders Weighted-Average Shares Per share amount Net income attributable to Class A Stockholders Weighted-Average Shares Per share amount Net income attributable to HLI $ 41,994 $ 34,881 Impact of changes in carrying amount of redeemable NCI — 1,333 Basic EPS of Class A common stock $ 41,994 37,718,210 $ 1.11 $ 36,214 37,009,309 $ 0.98 Adjustment to net income: Assumed vesting of employee awards 44 17 Assumed conversion of Class B and Class C Units 17,824 15,825 Effect of dilutive securities: Assumed vesting of employee awards 133,775 60,790 Assumed conversion of Class B and Class C Units 16,089,097 16,675,834 Diluted EPS of Class A common stock $ 59,862 53,941,082 $ 1.11 $ 52,056 53,745,933 $ 0.97 Six Months Ended Six Months Ended Net income attributable to Class A Stockholders Weighted-Average Shares Per share amount Net income attributable to Class A Stockholders Weighted-Average Shares Per share amount Net income attributable to HLI $ 72,992 $ 68,365 Impact of changes in carrying amount of redeemable NCI — 1,713 Basic EPS of Class A common stock $ 72,992 37,713,038 $ 1.94 $ 70,078 37,000,150 $ 1.89 Adjustment to net income: Assumed vesting of employee awards 53 9 Assumed conversion of Class B and Class C Units 30,177 31,007 Effect of dilutive securities: Assumed vesting of employee awards 94,622 48,816 Assumed conversion of Class B and Class C Units 16,089,097 16,675,834 Diluted EPS of Class A common stock $ 103,222 53,896,757 $ 1.92 $ 101,094 53,724,800 $ 1.88

Supplemental Cash Flow (Tables)

Supplemental Cash Flow (Tables)	6 Months Ended
	Sep. 30, 2023
Supplemental Cash Flow Information [Abstract]
Schedule of Supplemental Cash Flow Disclosures	Six Months Ended September 30, 2023 2022 Establishment of lease liability in exchange for right of use asset $ 4,666 $ 1,123 Non-cash investing activities: Non-cash purchase of other equity method investment $ 2,000 $ — Non-cash financing activities: Dividends declared but not paid $ 16,784 $ 14,803 Member distributions declared but not paid $ 12,338 $ 10,754

Commitments and Contingencies (

Commitments and Contingencies (Tables)	6 Months Ended
	Sep. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
Schedule of Lease Cost, Cash Flows, and Other Supplemental Cash Flow Information Regarding Leases	The following table shows lease costs and other supplemental information related to the Company’s operating leases: Three Months Ended September 30, Six Months Ended September 30, 2023 2022 2023 2022 Operating lease costs $ 2,270 $ 2,046 $ 4,469 $ 4,104 Variable lease costs $ 259 $ 434 $ 658 $ 671 Cash paid for amounts included in the measurement of operating lease liabilities $ 2,244 $ 1,921 $ 4,332 $ 3,860 Weighted average remaining lease term (in years) 13.1 14.3 Weighted average discount rate 3.5 % 3.2 %
Schedule of Maturity of Operating Lease Liabilities	As of September 30, 2023, the maturities of operating lease liabilities were as follows: Remainder of FY2024 $ 4,357 FY2025 8,559 FY2026 8,022 FY2027 7,644 FY2028 7,126 Thereafter 65,272 Total lease payments 100,980 Less: imputed interest (20,045) Total operating lease liabilities $ 80,935

Organization - Narrative (Detai

Organization - Narrative (Details)	Sep. 30, 2023	Mar. 31, 2023
HLA
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Percent of economic interest held	70.10%	70.10%

Revenue - Schedule of Disaggreg

Revenue - Schedule of Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Disaggregation of Revenue [Line Items]
Revenues	$ 126,876	$ 153,382	$ 251,914	$ 288,891
Management and advisory fees
Disaggregation of Revenue [Line Items]
Revenues	109,184	92,880	214,592	178,826
Specialized funds
Disaggregation of Revenue [Line Items]
Revenues	62,386	47,150	120,102	90,799
Customized separate accounts
Disaggregation of Revenue [Line Items]
Revenues	32,040	29,383	63,759	57,758
Advisory
Disaggregation of Revenue [Line Items]
Revenues	6,014	6,211	12,307	12,460
Reporting and other
Disaggregation of Revenue [Line Items]
Revenues	6,261	6,133	11,819	12,450
Distribution management
Disaggregation of Revenue [Line Items]
Revenues	1,254	771	2,467	1,267
Fund reimbursement revenue
Disaggregation of Revenue [Line Items]
Revenues	1,229	3,232	4,138	4,092
Incentive fees
Disaggregation of Revenue [Line Items]
Revenues	17,692	60,502	37,322	110,065
Incentive fees | Consolidated Entity Excluding Variable Interest Entities (VIE)
Disaggregation of Revenue [Line Items]
Revenues	17,692	59,237	37,322	108,760
Incentive fees | Consolidated VIEs
Disaggregation of Revenue [Line Items]
Revenues	0	1,265	0	1,305
Specialized funds | Consolidated Entity Excluding Variable Interest Entities (VIE)
Disaggregation of Revenue [Line Items]
Revenues	14,276	51,929	32,662	94,137
Specialized funds | Consolidated VIEs
Disaggregation of Revenue [Line Items]
Revenues	0	1,265	0	1,305
Customized separate accounts
Disaggregation of Revenue [Line Items]
Revenues	$ 3,416	$ 7,308	$ 4,660	$ 14,623

Investments - Schedule of Inves

Investments - Schedule of Investments (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022
Schedule of Equity Method Investments [Line Items]
Fair value investments	$ 17,175		$ 21,586
Investments valued under the measurement alternative	175,522	$ 170,386	168,732	$ 190,023	$ 183,023	$ 156,100
Total Investments	558,268		530,921
Equity method investments in Partnerships
Schedule of Equity Method Investments [Line Items]
Equity method investments	363,531		340,603
Other equity method investments
Schedule of Equity Method Investments [Line Items]
Equity method investments	$ 2,040		$ 0

Investments - Schedule of Varia

Investments - Schedule of Variable Interest Entities (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Mar. 31, 2023
Schedule of Equity Method Investments [Line Items]
Fair value investments	$ 17,175	$ 21,586
Equity method investments in Partnerships
Schedule of Equity Method Investments [Line Items]
Equity method investments in Partnerships	363,531	340,603
Consolidated VIEs
Schedule of Equity Method Investments [Line Items]
Fair value investments	103,990	44,752
Total Investments of Consolidated VIEs	118,530	57,044
Consolidated VIEs | Equity method investments in Partnerships
Schedule of Equity Method Investments [Line Items]
Equity method investments in Partnerships	$ 14,540	$ 12,292

Investments - Narrative (Detail

Investments - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Mar. 31, 2023
Schedule of Equity Method Investments [Line Items]
Net gain (loss)			$ (445)	$ 5,352
Unrealized gain/(loss) on secured borrowings, fair value adjustment		$ (817)	869	(94)
Reported Value Measurement
Schedule of Equity Method Investments [Line Items]
Fair value investments	$ 6,320		$ 6,320		$ 7,429
Equity method investments in Partnerships
Schedule of Equity Method Investments [Line Items]
Percent interest in partnerships	1%		1%
Investment, Held As Collateral
Schedule of Equity Method Investments [Line Items]
Net gain (loss)	$ (840)	817	$ (869)	$ 94
Unrealized gain/(loss) on secured borrowings, fair value adjustment		$ 840

Investments - Schedule of Equit

Investments - Schedule of Equity Securities without Readily Determinable Fair Value (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Carrying amount beginning of the period	$ 170,386	$ 183,023	$ 168,732	$ 156,100
Purchases	5,136	7,000	6,312	27,236
Sales / return of capital	0	0	(177)	0
Net unrealized gain	0	0	1,177	6,687
Net realized loss	0	0	(522)	0
Carrying amount, end of period	$ 175,522	$ 190,023	$ 175,522	$ 190,023

Investments - Schedule of Unrea

Investments - Schedule of Unrealized Gain (Loss) on Investments (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Sep. 30, 2023	Mar. 31, 2023
Equity Method Investments and Joint Ventures [Abstract]
Cumulative gross unrealized gains	$ 70,235	$ 69,058
Cumulative gross unrealized losses	$ (43,289)	$ (43,289)

Fair Value Measurements - Sched

Fair Value Measurements - Schedule of Financial Assets and Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Mar. 31, 2023
Financial assets:
Fair value investments	$ 17,175	$ 21,586
Total financial assets	121,165	66,338
Financial liabilities:
Secured financing	12,373	14,228
Total financial liabilities	12,373	14,228
Consolidated VIEs
Financial assets:
Fair value investments	103,990	44,752
Level 1
Financial assets:
Fair value investments	4,802	7,358
Total financial assets	4,802	7,358
Financial liabilities:
Secured financing	0	0
Total financial liabilities	0	0
Level 1 | Consolidated VIEs
Financial assets:
Fair value investments	0	0
Level 2
Financial assets:
Fair value investments	0	0
Total financial assets	0	0
Financial liabilities:
Secured financing	0	0
Total financial liabilities	0	0
Level 2 | Consolidated VIEs
Financial assets:
Fair value investments	0	0
Level 3
Financial assets:
Fair value investments	12,373	14,228
Total financial assets	81,754	35,391
Financial liabilities:
Secured financing	12,373	14,228
Total financial liabilities	12,373	14,228
Level 3 | Consolidated VIEs
Financial assets:
Fair value investments	69,381	21,163
NAV
Financial assets:
Fair value investments	0	0
Total financial assets	34,609	23,589
Financial liabilities:
Secured financing	0	0
Total financial liabilities	0	0
NAV | Consolidated VIEs
Financial assets:
Fair value investments	$ 34,609	$ 23,589

Fair Value Measurements - Sch_2

Fair Value Measurements - Schedule of Reconciliation of Other Investments (Details) - Level 3 - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Reconciliation of Other Investments (Level 3) [Roll Forward]
Other investments, beginning balance	$ 14,149	$ 12,931	$ 14,228	$ 13,818
Contributions	0	22	0	22
Distributions	(936)	(690)	(986)	(854)
Net gain (loss)	(840)	817	(869)	94
Other investments, ending balance	12,373	13,080	12,373	13,080
Private equity funds
Reconciliation of Other Investments (Level 3) [Roll Forward]
Other investments, beginning balance	6,430	6,404	6,664	7,024
Contributions	0	22	0	22
Distributions	(138)	(690)	(188)	(854)
Net gain (loss)	(553)	516	(737)	60
Other investments, ending balance	5,739	6,252	5,739	6,252
Direct credit investments
Reconciliation of Other Investments (Level 3) [Roll Forward]
Other investments, beginning balance	785	773	790	774
Contributions	0	0	0	0
Distributions	(798)	0	(798)	0
Net gain (loss)	13	(5)	8	(6)
Other investments, ending balance	0	768	0	768
Direct credit investments | Consolidated Funds
Reconciliation of Other Investments (Level 3) [Roll Forward]
Other investments, beginning balance	54,625		21,163
Contributions	10,731		24,787
Distributions	(140)		(180)
Net gain (loss)	412		494
Transfer in	3,753		23,117
Other investments, ending balance	69,381		69,381
Direct equity investments
Reconciliation of Other Investments (Level 3) [Roll Forward]
Other investments, beginning balance	6,934	5,754	6,774	6,020
Contributions	0	0	0	0
Distributions	0	0	0	0
Net gain (loss)	(300)	306	(140)	40
Other investments, ending balance	$ 6,634	$ 6,060	$ 6,634	$ 6,060

Fair Value Measurements - Sch_3

Fair Value Measurements - Schedule of Assumptions Used (Details) $ in Thousands	Sep. 30, 2023 USD ($)
Private equity funds
Schedule of Equity Method Investments [Line Items]
Fair Value	$ 5,739
Direct equity investments
Schedule of Equity Method Investments [Line Items]
Fair Value	6,634
Discounted cash flow | Direct credit investments | VIE
Schedule of Equity Method Investments [Line Items]
Investments	46,566
Recent precedent transactions | Direct credit investments | VIE
Schedule of Equity Method Investments [Line Items]
Investments	$ 22,815
Selected market return | Adjusted net asset value | Minimum | Private equity funds
Schedule of Equity Method Investments [Line Items]
Range of and weighted-average inputs	0.006
Selected market return | Adjusted net asset value | Maximum | Private equity funds
Schedule of Equity Method Investments [Line Items]
Range of and weighted-average inputs	0.015
Selected market return | Adjusted net asset value | Weighted Average | Private equity funds
Schedule of Equity Method Investments [Line Items]
Range of and weighted-average inputs	0.013
EBITDA multiple | Market approach | Minimum | Direct equity investments
Schedule of Equity Method Investments [Line Items]
Range of and weighted-average inputs	8.25
EBITDA multiple | Market approach | Maximum | Direct equity investments
Schedule of Equity Method Investments [Line Items]
Range of and weighted-average inputs	14.5
EBITDA multiple | Market approach | Weighted Average | Direct equity investments
Schedule of Equity Method Investments [Line Items]
Range of and weighted-average inputs	12.15
Equity multiple | Market approach | Weighted Average | Direct equity investments
Schedule of Equity Method Investments [Line Items]
Range of and weighted-average inputs	1.6
Market yield | Discounted cash flow | Minimum | Direct credit investments | VIE
Schedule of Equity Method Investments [Line Items]
Range of and weighted-average inputs	0.093
Market yield | Discounted cash flow | Maximum | Direct credit investments | VIE
Schedule of Equity Method Investments [Line Items]
Range of and weighted-average inputs	0.118
Market yield | Discounted cash flow | Weighted Average | Direct credit investments | VIE
Schedule of Equity Method Investments [Line Items]
Range of and weighted-average inputs	0.106

Variable Interest Entities - Un

Variable Interest Entities - Unconsolidated VIEs (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Mar. 31, 2023
Variable Interest Entity [Line Items]
Remaining unfunded commitments from the limited partners and general partners to the unconsolidated VIE	$ 153,890
Statement of Financial Position [Abstract]
Investments	558,268	$ 530,921
Fees receivable	61,800	47,140
Due from related parties	7,822	7,186
Total assets	1,358,656	1,140,543
Not Primary Beneficiary
Statement of Financial Position [Abstract]
Investments	213,059	199,858
Fees receivable	24,628	15,829
Due from related parties	2,326	1,960
Total assets	240,013	217,647
Less: Non-controlling interests	(1,600)	(1,665)
Maximum exposure to loss	$ 238,413	$ 215,982

Debt - Schedule of Debt (Detail

Debt - Schedule of Debt (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Mar. 31, 2023
Debt Instrument [Line Items]
Principal Outstanding	$ 198,125	$ 214,375
Carrying Value	197,346	213,533
Line of Credit | Term Loan
Debt Instrument [Line Items]
Principal Outstanding	98,125	99,375
Carrying Value	$ 97,750	$ 98,969
Interest Rate	7.25%	6.75%
Line of Credit | 2020 Multi-Draw Facility
Debt Instrument [Line Items]
Principal Outstanding	$ 100,000	$ 100,000
Carrying Value	$ 99,596	$ 99,564
Interest Rate	3.50%	3.50%
Debt, fair value	$ 84,286	$ 88,136
Line of Credit | Revolver
Debt Instrument [Line Items]
Principal Outstanding	0	15,000
Carrying Value	$ 0	$ 15,000
Interest Rate		6.50%

Equity - Schedule of Rollforwar

Equity - Schedule of Rollforward of Common Stock (Details)	6 Months Ended
	Sep. 30, 2023 shares
Class A Common Stock
Common Stock, Shares Outstanding [Roll Forward]
Outstanding, beginning of period (in shares)	38,611,919
Forfeitures (in shares)	(31,438)
Shares repurchased for employee tax withholdings (in shares)	(3,105)
Awards granted (in shares)	15,890
Shares issued pursuant to Employee Share Purchase Plan (in shares)	15,018
Outstanding, end of period (in shares)	38,608,284
Class B Common Stock
Common Stock, Shares Outstanding [Roll Forward]
Outstanding, beginning of period (in shares)	15,409,507
Forfeitures (in shares)	0
Shares repurchased for employee tax withholdings (in shares)	0
Awards granted (in shares)	0
Shares issued pursuant to Employee Share Purchase Plan (in shares)	0
Outstanding, end of period (in shares)	15,409,507

Equity-Based Compensation - Sch

Equity-Based Compensation - Schedule of Restricted Stock (Details)	6 Months Ended
	Sep. 30, 2023 $ / shares shares
Restricted Stock
Total Unvested
Unvested at beginning of period (in shares) | shares	377,668
Granted (in shares) | shares	15,890
Vested (in shares) | shares	(17,381)
Forfeited (in shares) | shares	(11,872)
Unvested at end of period (in shares) | shares	364,305
Weighted- Average Grant-Date Fair Value of Award
Unvested at beginning of period (in dollars per share) | $ / shares	$ 65.70
Granted (in dollars per share) | $ / shares	88.19
Vested (in dollars per share) | $ / shares	70.75
Forfeited (in dollars per share) | $ / shares	66.52
Unvested at end of period (in dollars per share) | $ / shares	$ 66.42
Performance Shares
Total Unvested
Unvested at beginning of period (in shares) | shares	528,282
Granted (in shares) | shares	0
Vested (in shares) | shares	0
Forfeited (in shares) | shares	(19,566)
Unvested at end of period (in shares) | shares	508,716
Weighted- Average Grant-Date Fair Value of Award
Unvested at beginning of period (in dollars per share) | $ / shares	$ 29.79
Granted (in dollars per share) | $ / shares	0
Vested (in dollars per share) | $ / shares	0
Forfeited (in dollars per share) | $ / shares	29.79
Unvested at end of period (in dollars per share) | $ / shares	$ 29.79

Equity-Based Compensation - Nar

Equity-Based Compensation - Narrative (Details) $ in Thousands	Sep. 30, 2023 USD ($)
Restricted Stock
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Total unrecognized compensation expense	$ 20,101
Performance Shares
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Total unrecognized compensation expense	$ 12,000

Compensation and Benefits - Sch

Compensation and Benefits - Schedule of Compensation and Benefits (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Compensation Related Costs [Abstract]
Base compensation and benefits	$ 38,389	$ 43,168	$ 74,739	$ 81,075
Incentive fee compensation	4,423	15,111	9,330	27,501
Equity-based compensation	3,118	2,085	5,963	3,982
Total compensation and benefits	$ 45,930	$ 60,364	$ 90,032	$ 112,558

Income Tax (Details)

Income Tax (Details) - USD ($)	3 Months Ended		6 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Income Tax Disclosure [Abstract]
Effective tax rate	2.80%	21.20%	13.60%	19.20%
Unrecognized tax positions	$ 0		$ 0

Earnings per Share - Narrative

Earnings per Share - Narrative (Details)	3 Months Ended	6 Months Ended
	Sep. 30, 2023 shares	Sep. 30, 2023 shares
Performance Shares
Class of Stock [Line Items]
Antidilutive securities excluded from computation of earnings per share (in shares)	508,716	508,716
Class B Common Stock
Class of Stock [Line Items]
Common stock, conversion ratio	1	1

Earnings per Share - Schedule o

Earnings per Share - Schedule of Earnings Per Share, Basic and Diluted (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Net income attributable to Class A Stockholders
Net income attributable to HLI	$ 41,994	$ 34,881	$ 72,992	$ 68,365
Class A Common Stock
Net income attributable to Class A Stockholders
Net income attributable to HLI	41,994	34,881	72,992	68,365
Impact of changes in carrying amount of redeemable NCI	0	1,333	0	1,713
Basic EPS of Class A common stock	41,994	36,214	72,992	70,078
Assumed vesting of employee awards	44	17	53	9
Assumed conversion of Class B and Class C Units	17,824	15,825	30,177	31,007
Diluted EPS of Class A common stock	$ 59,862	$ 52,056	$ 103,222	$ 101,094
Weighted-Average Shares
Weighted-average basic EPS of Class A common stock (in shares)	37,718,210	37,009,309	37,713,038	37,000,150
Weighted-average assumed vesting of employee awards (in shares)	133,775	60,790	94,622	48,816
Weighted-average assumed conversion of Class B and Class C units (in shares)	16,089,097	16,675,834	16,089,097	16,675,834
Weighted-average diluted EPS of Class A common stock (in shares)	53,941,082	53,745,933	53,896,757	53,724,800
Per share amount
Basic EPS of Class A common stock (in dollars per share)	$ 1.11	$ 0.98	$ 1.94	$ 1.89
Diluted EPS of Class A common stock (in dollars per share)	$ 1.11	$ 0.97	$ 1.92	$ 1.88

Related Party Transactions - Na

Related Party Transactions - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Mar. 31, 2023
Related Party Transaction [Line Items]
Revenues	$ 126,876	$ 153,382	$ 251,914	$ 288,891
Fees receivable	61,800		61,800		$ 47,140
General Partnerships
Related Party Transaction [Line Items]
Fees receivable	43,503		43,503		$ 31,684
Management and advisory fees
Related Party Transaction [Line Items]
Revenues	109,184	92,880	214,592	178,826
Management and advisory fees | General Partnerships
Related Party Transaction [Line Items]
Revenues	83,717	67,334	164,020	128,044
Incentive fees
Related Party Transaction [Line Items]
Revenues	17,692	60,502	37,322	110,065
Incentive fees | General Partnerships
Related Party Transaction [Line Items]
Revenues	$ 16,602	$ 59,714	$ 35,227	$ 108,893

Supplemental Cash Flow - Schedu

Supplemental Cash Flow - Schedule of Supplemental Cash Flow Disclosures (Details) - USD ($) $ in Thousands	6 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Mar. 31, 2023
Supplemental Cash Flow Information [Abstract]
Establishment of lease liability in exchange for right of use asset	$ 4,666	$ 1,123
Non-cash investing activities:
Non-cash purchase of other equity method investment	2,000	0
Non-cash financing activities:
Dividends declared but not paid	16,784	14,803	$ 15,049
Member distributions declared but not paid	$ 12,338	$ 10,754

Commitments and Contingencies -

Commitments and Contingencies - Incentive Fees (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Mar. 31, 2023
Commitments and Contingencies Disclosure [Abstract]
Carried interest still subject to contingencies	$ 1,150,751	$ 1,022,250
Incentive fees, unrecorded estimate	$ 287,688	$ 255,562

Commitments and Contingencies_2

Commitments and Contingencies - Commitments (Details) - USD ($) $ in Thousands	6 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Mar. 31, 2023
Commitments and Contingencies Disclosure [Abstract]
Other commitment	$ 231,659		$ 211,556
Loss Contingencies [Line Items]
Other commitment	231,659		$ 211,556
Net gain (loss)	(445)	$ 5,352
Employee loans outstanding	759
Valued Under Measurement Alternative
Loss Contingencies [Line Items]
Net gain (loss)	$ 30,029
Maximum
Loss Contingencies [Line Items]
Accrued discretionary bonus	15%

Commitments and Contingencies_3

Commitments and Contingencies - Schedule of Lease Cost, Cash Flows, and Other Supplemental Cash Flow Information Regarding Leases (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Commitments and Contingencies Disclosure [Abstract]
Operating lease costs	$ 2,270	$ 2,046	$ 4,469	$ 4,104
Variable lease costs	259	434	658	671
Cash paid for amounts included in the measurement of operating lease liabilities	$ 2,244	$ 1,921	$ 4,332	$ 3,860
Weighted average remaining lease term (in years)	13 years 1 month 6 days	14 years 3 months 18 days	13 years 1 month 6 days	14 years 3 months 18 days
Weighted average discount rate	3.50%	3.20%	3.50%	3.20%

Commitments and Contingencies_4

Commitments and Contingencies - Schedule of Maturity of Operating Lease Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Mar. 31, 2023
Commitments and Contingencies Disclosure [Abstract]
Remainder of FY2024	$ 4,357
FY2025	8,559
FY2026	8,022
FY2027	7,644
FY2028	7,126
Thereafter	65,272
Total lease payments	100,980
Less: imputed interest	(20,045)
Total operating lease liabilities	$ 80,935	$ 78,817

Subsequent Events (Details)

Subsequent Events (Details) - Class A Common Stock - $ / shares		3 Months Ended		6 Months Ended
	Nov. 07, 2023	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Subsequent Event [Line Items]
Dividends declared per share of Class A common stock (in dollars per share)		$ 0.45	$ 0.40	$ 0.89	$ 0.80
Subsequent Event
Subsequent Event [Line Items]
Dividends declared per share of Class A common stock (in dollars per share)	$ 0.445