Blue Owl Capital (OWL) Q4 2025 earnings summary

Executive summary

• Achieved record fundraising in 2025, raising $56 billion, including $17 billion in Q4, with equity fundraising up over 50% year-over-year and institutional equity up 80% to $24.7 billion.

• Assets under management (AUM) surpassed $300 billion in Q4 2025, ending the year at $307.4 billion, a 22% increase since December 31, 2024, driven by capital raised and the IPI Acquisition.

• Expanded and diversified private wealth and institutional channels, raising $15.4 billion in wealth-dedicated products and $25 billion in institutional equity.

• Delivered strong investment performance across strategies, with net lease and digital infrastructure outperforming benchmarks.

• Announced an annual dividend of $0.92 per Class A Share for 2026 and repurchased 3.6 million shares for $52.0 million in Q4.

Financial highlights

• Q4 2025 fee-related earnings (FRE) were $416.6 million ($0.27/share), up 22% year-over-year; distributable earnings (DE) were $382.5 million ($0.24/share), up 21% year-over-year.

• Full year 2025 FRE was $1,496.5 million ($0.96/share), up 19%, and DE was $1,309.1 million ($0.84/share), up 16%.

• Management fees for the year were $2,521.9 million (GAAP) and $2,532.6 million (FRE), up 26% and 24% year-over-year, respectively.

• Declared Q4 dividend of $0.225/share and set 2026 annual dividend at $0.92 ($0.23/quarter).

• FRE margin for Q4 2025 was 61.6%, up from 58.9% in Q4 2024, with 12% FRE per share growth.

Outlook and guidance

• Targeting modest FRE margin expansion to 58.5% in 2026 and expecting modest increase in FRE per share growth, with acceleration in 2027.

• Anticipates another strong fundraising year in 2026, with stabilization in wealth product flows.

• Effective tax rate expected in mid- to high single digits for 2026.

• AUM not yet paying fees totals $28.4 billion, expected to generate $326 million in annual management fees once deployed.

• Continued global expansion and strong investment performance are expected to drive future growth.