10-QPeriod: Q2 FY2025

KKR & Co. Inc. Quarterly Report for Q2 Ended Jun 30, 2025

Filed August 8, 2025For Securities:KKRKKRTKKR-PDKKRS

Summary

KKR & Co. Inc. (KKR) reported a strong performance for the second quarter and first half of 2025, driven by growth across its Asset Management and Insurance segments. Total revenues increased significantly year-over-year, fueled by higher management and transaction fees in Asset Management, and robust net investment income from Global Atlantic, KKR's insurance arm. Despite a decrease in net premiums within the Insurance segment due to fewer reinsurance transactions, the segment's operating earnings saw an increase driven by higher investment income. Asset Management segment earnings showed robust growth, primarily from increased fee-related earnings across its Private Equity, Real Assets, and Credit and Liquid Strategies businesses, alongside strong realized performance income. The company's capital allocation-based income also saw a notable increase, reflecting positive performance in its investment vehicles. Total segment earnings grew year-over-year, indicating healthy underlying business performance. KKR's AUM and Fee Paying AUM saw substantial increases, demonstrating continued fundraising success and asset growth. The company maintained a strong liquidity position with significant cash and cash equivalents, and effective management of its debt obligations.

Financial Highlights

27 data points
Beta

Revenue

$5.09B

Net Income

$510.12M

10.0% Net Margin

Total Assets

$380.87B

Cash & Equivalents

$18.06B

Free Cash Flow

$438.76M

Financial Statements
Beta
Revenue$5.09B
Net Income$510.12M

Key Highlights

  • 1Total revenues increased to $5.09 billion for Q2 2025, up from $4.17 billion in Q2 2024, driven by strong performance in both Asset Management and Insurance segments.
  • 2Asset Management Segment Earnings rose to $1.13 billion for Q2 2025, up from $996 million in Q2 2024, primarily due to higher management fees and fee-related earnings.
  • 3Insurance Operating Earnings increased to $277.9 million for Q2 2025, up from $253.2 million in Q2 2024, driven by higher net investment income.
  • 4Capital Allocation-Based Income grew to $910.7 million for Q2 2025, from $738.1 million in Q2 2024, reflecting positive investment performance.
  • 5Assets Under Management (AUM) increased to $685.8 billion as of June 30, 2025, up from $637.6 billion as of March 31, 2025.
  • 6Net Income Attributable to KKR & Co. Inc. Common Stockholders decreased to $472.4 million in Q2 2025, from $667.9 million in Q2 2024, primarily due to lower investment-related gains.
  • 7The company ended the quarter with a robust balance sheet, with total assets of $380.9 billion as of June 30, 2025.

Frequently Asked Questions

KKR reported a strong increase in total revenues to $5.09 billion for Q2 2025, up from $4.17 billion in Q2 2024. This growth was driven by higher fees across its Asset Management segment and increased net investment income from its Insurance segment. Asset Management Segment Earnings saw a significant increase, while Insurance Operating Earnings also improved, indicating broad-based operational strength.

Growth in Asset Management was primarily driven by a rise in management fees, particularly from new capital raised in Private Equity and Real Assets funds, and increased fee-related earnings. Transaction fees also contributed positively, mainly from the Capital Markets business.

Global Atlantic's Insurance segment delivered improved operating earnings, rising to $277.9 million in Q2 2025 from $253.2 million in Q2 2024. This improvement was primarily due to a substantial increase in net investment income, driven by higher average assets under management and improved portfolio yields, which more than offset increased net cost of insurance.

KKR's Assets Under Management (AUM) continued to grow, reaching $685.8 billion as of June 30, 2025, an increase from $637.6 billion as of March 31, 2025. This growth reflects successful fundraising efforts and increased asset values across its various business lines.

Net Income Attributable to KKR & Co. Inc. Common Stockholders decreased to $472.4 million in Q2 2025 from $667.9 million in Q2 2024. This reduction was primarily due to lower net gains from investment activities in the Asset Management and Strategic Holdings segments, although this was partially offset by higher fee-related income.