Apollo Posts 3Q Earnings Results, Credit Business Outperforms
October 29, 2015
Apollo Global Management reported third quarter financial results yesterday, recording economic net income of $104 million across its combined segments and total management business economic income of $79.3 million. Both numbers reflect an approximately 33% QoQ decline, influenced in large part by lowered mark-to-market performance within the firm's incentive business amid a volatile market backdrop. Apollo's traditional private equity fund depreciation during the quarter came in at 3.7%, yet the firm still deployed $1.4 billion across three investments last quarter. It also committed an additional $3.2 billion, of which $2 billion is earmarked for energy asset build-ups expected to be deployed over time. PE AUM declined to $38.3 billion due to certain realizations and the above-mentioned fund value decline. The best performing segment for the alternative asset manager came in its Credit business, which recorded $112.7 million in economic income, a YoY and QoQ increase of 15.9% and 18%, respectively.