8-KRegulation FD

Apollo Global Management, Inc. 8-K Report, Regulation FD Disclosure (Jan 14, 2022)

Filed January 14, 2022For Securities:APOAPOSAPO-PA

Summary

Apollo Global Management, Inc. (APO) has filed an 8-K report on January 14, 2022, to disclose a change in its segment reporting structure and presentation of financial results. Effective for periods beginning after December 31, 2021, and following its merger with Athene, Apollo will reorganize its reporting into three distinct segments: Asset Management, Retirement Services, and Principal Investing. This strategic shift aims to better align with its evolving business and provide clearer insights into performance drivers, introducing Fee Related Earnings (FRE), Spread Related Earnings (SRE), and Principal Investing Income (PII) as primary performance measures for these segments, respectively. This updated segment structure and performance metric presentation will be used for reporting non-GAAP financial results starting with the quarter ending March 31, 2022. The changes are designed to provide a more nuanced view of Apollo's diversified platform and its various investment strategies, which have been re-aligned from Credit, Private Equity, and Real Assets into Yield, Hybrid, and Equity. Importantly, these changes do not impact Apollo's U.S. GAAP financial results or its previously reported Distributable Earnings (DE).

Key Highlights

  • 1Apollo Global Management is changing its reportable operating segments to Asset Management, Retirement Services, and Principal Investing, effective after December 31, 2021.
  • 2New primary performance measures will be introduced for each segment: Fee Related Earnings (FRE) for Asset Management, Spread Related Earnings (SRE) for Retirement Services, and Principal Investing Income (PII) for Principal Investing.
  • 3Apollo's Asset Management strategies have been re-aligned from Credit, Private Equity, and Real Assets into Yield, Hybrid, and Equity.
  • 4These reporting and segment changes are intended to provide better clarity on performance drivers and reflect the company's evolving business structure, particularly post-merger with Athene.
  • 5The updated financial information presentation will be used for non-GAAP financial results starting with the quarter ending March 31, 2022.
  • 6The changes do not affect Apollo's U.S. GAAP financial results or its previously reported Distributable Earnings (DE).

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