Apollo Global Management, LLC (APO Quick QuoteAPO - Free Report) reported fourth-quarter 2024 adjusted net income (ANI) per share of $1.91, which beat the Zacks Consensus Estimate of $1.89. However, the reported figure compared unfavorably with ANI of $2.22 per share reported in the year-ago period.

Find the latest earnings estimates and surprises on the Zacks Earnings Calendar.

For 2024, the adjusted ANI per share was $7.39, which surpassed the Zacks Consensus Estimate of $7.09. This compares favorably with $6.58 reported in the year-ago quarter.

Results were primarily aided by a rise in assets under management (AUM) balances, along with a decline in expenses. However, lower revenues acted as a headwind during the quarter.

GAAP net income attributable to Apollo Global was $2.73 billion, which jumped 86.9% from the prior-year quarter.

For 2024, GAAP net income attributable to Apollo Global was $4.48 billion, which declined 10.4% year over year.

APO’s Quarterly Revenues & Expenses Decline

Total revenues were $795 million, down 16.8% year over year. Also, it missed the Zacks Consensus Estimate of $940.9 million. 

Full-year revenues were $3.7 billion, which increased 15.4% year over year. The top line beat the Zacks Consensus Estimate of $3.64 billion. 

Total expenses for combined segments decreased 20.7% year over year to $138 million in the reported quarter.

APO’s AUM Balance Rises

Fee-earnings AUM increased 15.4% on a year-over-year basis to $569 billion. 

As of Dec. 31, 2024, total AUM was $751 billion, up 15.3% on a year-over-year basis. Total AUM benefited from $81 billion of inflows from Asset Management and $71 billion of gross inflows from Retirement Services, partially offset by $59 billion of outflows driven by normal course activity at Athene and $23 billion of realization activity.

APO’s Capital and Liquidity Position Weak

As of Dec. 31, 2024, Apollo Global had $2.7 billion of cash and cash equivalents and $4.08 billion of debt.

Apollo’s Capital Distribution Update

Apollo Global declared a quarterly cash distribution of 46 cents per share, along with the earnings release. This distribution will be paid on Feb. 28, 2024, to shareholders of record at the close of business on Feb. 18.

Our Viewpoint on Apollo

Apollo’s decent organic growth and increasing AUM balance look encouraging. The company’s fourth-quarter results reflect broad-based momentum across the platform. The company registered record quarterly origination volume, driven by a diverse array of investing activity across debt origination platforms, core credit, high-grade capital solutions and equity origination.

Currently, Apollo Global carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Performance of APO’s Peers

Invesco’s (IVZ Quick QuoteIVZ - Free Report) fourth-quarter 2024 adjusted earnings of 52 cents per share surpassed the Zacks Consensus Estimate of 49 cents. Moreover, the bottom line increased 10.6% from the prior-year quarter.

The results primarily gained from a decline in adjusted expenses and higher adjusted net revenues. An increase in AUM balance on decent inflows was a positive for IVZ.

BlackRock’s (BLK Quick QuoteBLK - Free Report) fourth-quarter 2024 adjusted earnings of $11.93 per share surpassed the Zacks Consensus Estimate of $11.44. The figure reflects a rise of 23.5% from the year-ago quarter.

BLK’s results benefited from a rise in revenues. AUM witnessed robust growth and touched the $11.55 trillion mark driven by net inflows, partially offset by market depreciation and negative forex impact. However, higher expenses and lower non-operating income acted as headwinds.