Summary
Apollo Global Management, Inc. (APO) reported its second-quarter 2024 financial results, showcasing strong growth across its core businesses. The Asset Management segment saw a significant increase in revenues, driven by higher investment income and advisory fees, reflecting growth in assets under management and increased activity in its credit solutions business. The Retirement Services segment, operated by Athene, experienced a substantial rise in net investment income, demonstrating effective deployment of capital in a higher interest rate environment, although premium revenues saw a notable decline, primarily due to a reduction in pension group annuity premiums. Overall, the company demonstrated robust financial performance, with total revenues for the quarter reflecting the contributions from both segments. Total assets under management grew to $696.3 billion. The company's balance sheet remains strong, with ample liquidity and available credit facilities. Management highlighted the strategic importance of capital deployment and disciplined investing as key drivers for future growth and profitability. The company also maintained a positive outlook on the alternative investment market.
Financial Highlights
34 data points| Revenue | $6.02B |
| Operating Expenses | $4.58B |
| Interest Expense | $119.00M |
| Net Income | $853.00M |
| EPS (Basic) | $1.36 |
| EPS (Diluted) | $1.35 |
| Shares Outstanding (Basic) | 587.10M |
| Shares Outstanding (Diluted) | 590.17M |
Key Highlights
- 1Total Assets under Management (AUM) grew to $696.3 billion as of June 30, 2024.
- 2Asset Management segment revenues increased by 34.1% year-over-year to $1,054 million, driven by higher investment income and advisory fees.
- 3Retirement Services segment net investment income increased by 29.0% year-over-year to $3.8 billion, reflecting growth in Athene's investment portfolio and higher interest rates.
- 4Fee Related Earnings (FRE) for the Asset Management segment increased by 16.7% year-over-year to $516 million, demonstrating strong operational performance.
- 5Spread Related Earnings (SRE) for the Retirement Services segment decreased by 11.1% year-over-year to $710 million, primarily due to higher cost of funds, though net investment spread remained positive.
- 6The company ended the quarter with a strong liquidity position, including $15.9 billion in unrestricted cash and cash equivalents and $4.9 billion in available credit facilities.
- 7Net income attributable to common stockholders increased by 38.2% year-over-year to $828 million.