10-QPeriod: Q2 FY2025

Apollo Global Management, Inc. Quarterly Report for Q2 Ended Jun 30, 2025

Filed August 7, 2025For Securities:APOAPOSAPO-PA

Summary

Apollo Global Management, Inc. (APO) reported its financial results for the quarter ended June 30, 2025. The company experienced a notable increase in total revenues driven by its Asset Management segment, which saw strong growth in management fees. However, total revenues for the six-month period declined due to a significant drop in investment-related gains (losses) within the Retirement Services segment, primarily attributed to unfavorable foreign exchange impacts and changes in hedging derivatives. The Retirement Services segment, operated by Athene, showed growth in net investment income, but faced higher costs due to increased interest expenses and policy and other operating expenses. The company's equity-based compensation expense, a significant operating cost, saw a slight increase in the quarter but a decrease year-over-year for the six-month period, influenced by the phasing out of certain one-time grants. Despite some headwinds, the company's overall segment income saw a substantial increase for both the three and six-month periods, driven by the robust performance of its Asset Management and Retirement Services segments.

Financial Highlights

34 data points
Beta

Revenue

$6.81B

Net Income

$605.00M

8.9% Net Margin

EPS (Diluted)

$0.99

Total Assets

$419.55B

Cash & Equivalents

$14.97B

Free Cash Flow

$1.26B

Financial Statements
Beta
Revenue$6.81B
Operating Expenses$5.72B
Interest Expense$143.00M
Net Income$605.00M
EPS (Basic)$1.00
EPS (Diluted)$0.99
Shares Outstanding (Basic)586.67M
Shares Outstanding (Diluted)590.37M

Key Highlights

  • 1Total revenues for the three months ended June 30, 2025 increased by 13.2% to $6.81 billion compared to the same period in 2024, driven by a strong performance in the Asset Management segment.
  • 2Retirement Services segment revenues increased by 15.0% year-over-year for the three-month period, largely due to a significant increase in net investment income.
  • 3However, for the six months ended June 30, 2025, total revenues decreased by 5.3% to $12.36 billion, primarily due to a substantial decline in investment-related gains (losses) within the Retirement Services segment.
  • 4Asset Management's Fee Related Earnings (FRE) increased by 21.5% for the three-month period and 21.3% for the six-month period, reflecting strong growth in management fees and capital solutions fees.
  • 5Retirement Services' Spread Related Earnings (SRE) increased by 15.6% for the three-month period, driven by higher net investment earnings, though cost of funds and interest expenses also rose.
  • 6Net income attributable to Apollo Global Management, Inc. common stockholders decreased significantly by 26.9% for the three-month period and 53.0% for the six-month period, primarily due to lower investment income and unfavorable foreign exchange impacts in the Retirement Services segment.
  • 7Total Assets Under Management (AUM) across Apollo's Asset Management segment reached $839.6 billion as of June 30, 2025, a 6.9% increase from the prior quarter, driven by net flows and positive market activity.

Frequently Asked Questions

Apollo Global Management reported a mixed financial performance for the quarter ended June 30, 2025. While total revenues increased significantly year-over-year for the three-month period, driven by strong asset management fees, the six-month period saw a revenue decline due to a substantial drop in investment-related gains within the Retirement Services segment. Net income attributable to common stockholders saw a considerable decrease for both periods.

The Asset Management segment demonstrated strong performance, with Fee Related Earnings (FRE) showing a significant increase of 21.5% for the three-month period and 21.3% for the six-month period. This growth was primarily fueled by higher management fees and capital solutions fees, reflecting an increase in Assets Under Management (AUM) to $839.6 billion by the end of the quarter.

The decline in net income for the Retirement Services segment was primarily influenced by a substantial decrease in investment-related gains (losses), which was impacted by unfavorable foreign exchange movements and changes in the fair value of hedging derivatives. Additionally, higher costs, including interest-sensitive contract benefits and operating expenses, also contributed to the decline.

As of June 30, 2025, Apollo's total Assets Under Management (AUM) reached $839.6 billion. The Asset Management segment's AUM is divided into Credit and Equity strategies, with Credit strategies representing a larger portion of the AUM. The company also manages assets for its Retirement Services clients and Athora.