Bridge Investment Group (BRDG) Q2 2024 earnings summary

Executive summary

• Reported GAAP net income of $27.5 million for Q2 2024, reversing a net loss of $2.8 million in Q2 2023; distributable earnings were $35.5 million, or $0.19 per share after tax.

• Total revenue for Q2 2024 was $104.8 million, up 6% year-over-year; LTM revenue reached $407.9 million, a 3% increase.

• Fee Related Earnings to the Operating Company were $35.9 million, up 2% year-over-year.

• Distributable Earnings (DE) to the Operating Company were $35.5 million, a 1% increase year-over-year.

• Declared a quarterly dividend of $0.13 per share, payable September 13, 2024.

Financial highlights

• Fee-earning AUM was $21.5 billion as of June 30, 2024, down 3% year-over-year, mainly due to fund transitions and market depreciation.

• Capital raised in Q2 2024 was $0.3 billion, flat year-over-year; capital deployed was $0.4 billion, down 26% year-over-year.

• Dry powder at quarter-end was $3.1 billion, down 24% year-over-year.

• Realized performance allocations were $7.1 million, down 17% year-over-year.

• Net Accrued Performance Revenue rose by $19 million to $338.9 million.

Outlook and guidance

• Management expects continued volatility in global markets, with persistent inflation, high interest rates, and geopolitical risks impacting fundraising and capital deployment.

• Anticipates Fed rate cuts before year-end, expected to benefit real estate and private assets.

• Market conditions are improving, with transaction pipelines picking up and expectations for increased transaction volumes and pricing.

• Fee-Related Performance Revenue of ~$5 million gross expected in Q3 2024 from net lease strategy.

• Capital raised in Q2 and post-quarter is expected to drive positive momentum in coming quarters.