KKR (KKR) Q4 2024 earnings summary

Executive summary

• Achieved record annual fee-related earnings (FRE) per share of $3.66 and adjusted net income (ANI) per share of $4.70, up 37% and 38% year-over-year, respectively.

• Q4 FRE per share was $0.94 (up 24–25% YoY), and ANI per share was $1.32 (up 32–33% YoY), both the second highest quarterly figures in history.

• Over $100 billion in capital was raised in 2024, with $114 billion cited as the second most active year ever, and a record amount invested for clients.

• Strategic Holdings segment expanded with increased stakes in core private equity businesses, including $1.1 billion invested, boosting future earnings guidance.

• KKR achieved 100% ownership of Global Atlantic, increasing integration and investment opportunities.

Financial highlights

• Management fees in Q4 were $906 million, up 15% YoY; total fee-related revenues reached $1.3 billion, up 17% YoY.

• Capital markets transaction fees hit $270 million in Q4, with 2024 total reaching $1 billion for the first time.

• Fee-related earnings for Q4 were $843 million, with a FRE margin of 67%.

• GAAP net income attributable to common stockholders was $3.1 billion for 2024; 4Q'24 net income was $1.13 billion.

• Assets Under Management (AUM) reached $638 billion, up 15% YoY; Fee Paying AUM was $512 billion, also up 15%.

Outlook and guidance

• Strategic Holdings operating earnings guidance increased to exceed $350 million by 2026, $700 million by 2028, and $1.1 billion by 2030.

• Management expects continued acceleration in management fee growth, with Americas Private Equity Fund expected to turn on mid-2025.

• Monetizations and fundraising are expected to increase in 2025 and beyond, supported by a strong pipeline and improving market conditions.

• Annual dividend to increase from $0.70 to $0.74 per share, effective with Q1 2025 earnings.