Summary
Apollo Global Management, Inc. (APO) reported its third quarter 2022 results, highlighting significant growth in its Retirement Services segment following the merger with Athene. Total revenues saw a substantial increase of 176.3% year-over-year for the three months ended September 30, 2022, reaching $2.98 billion. This growth was largely driven by the Retirement Services segment, which generated $2.5 billion in revenues, primarily from premiums and net investment income. The Asset Management segment experienced a decrease in revenues to $477 million from $1.08 billion in the prior year's quarter, primarily due to lower investment income, reflecting challenging market conditions impacting investment valuations. Despite the decline in investment income, management fees remained robust, supported by growth in Assets Under Management (AUM) and increased advisory and transaction fees. The company's Adjusted Segment Income (ASI) increased by 8.9% year-over-year to $992.8 million, demonstrating the overall operational strength and diversification across its business segments. Financially, the company reported a net loss attributable to common stockholders of $(876) million for the quarter, a shift from a net income of $249 million in the prior year. This was largely influenced by significant investment-related losses within the Retirement Services segment, totaling $(2.8) billion. The company's balance sheet reflects a substantial increase in total assets to $250.3 billion as of September 30, 2022, primarily due to the consolidation of Athene's assets. The company maintains a strong liquidity position with $10.9 billion in unrestricted cash and cash equivalents.
Financial Highlights
35 data points| Revenue | $2.98B |
| Operating Expenses | $4.02B |
| Interest Expense | $55.00M |
| Net Income | -$563.00M |
| EPS (Basic) | $-0.98 |
| EPS (Diluted) | $-0.98 |
| Shares Outstanding (Basic) | 584.32M |
| Shares Outstanding (Diluted) | 584.32M |
Key Highlights
- 1Total revenues increased significantly to $2.98 billion for Q3 2022, up 176.3% year-over-year, driven by the Retirement Services segment.
- 2Asset Management revenues decreased to $477 million, primarily due to a decline in investment income, though management fees showed resilience.
- 3Adjusted Segment Income (ASI) grew by 8.9% year-over-year to $992.8 million, indicating continued operational performance.
- 4The company reported a net loss attributable to common stockholders of $(876) million for the quarter, compared to a net income of $249 million in Q3 2021, impacted by investment-related losses in Retirement Services.
- 5Total Assets grew substantially to $250.3 billion as of September 30, 2022, largely reflecting the full consolidation of Athene's assets.
- 6Fee Related Earnings (FRE) for Asset Management increased by 13.9% year-over-year to $364.6 million, driven by higher management and advisory fees.
- 7Spread Related Earnings (SRE) for Retirement Services were $578.1 million, reflecting strong investment income partially offset by costs of funds and operating expenses.