uploads/2017/08/CG-private-equity-ENI-1.png

What Happened with Carlyle’s Private Equity Division in 2Q17?

By

Updated

Carlyle’s Private Equity division

In 2Q17, Carlyle Group’s (CG) Private Equity division saw its carry funds appreciate by 8%. From January 2017 to June 2017, the division’s carry funds appreciated by 18%.

The division’s ENI (economic net income) stood at $242 million in 2Q17, compared with $58 million in 2Q16. The division also saw a substantial fall in its DE (distributable earnings) in 2Q17, which stood at $173 million, compared with $235 million in 2Q16, due to a decline in realized proceeds. 

Article continues below advertisement

The division’s realized proceeds in 2Q17 stood at $2.7 billion, compared with $4 billion in 2Q16. The division’s FRE (fee-related earnings) in 2Q17 stood at $13 million, compared with $23 million in 2Q16. The division saw a substantial rise in its net performance fees in 2Q17, reaching $224 million, compared with $33 million in 2Q16.

Profit margins

CG’s profit margin stood at 4.13% in 2Q17. Peer alternative asset managers (XLF) had the following profit margins in the same quarter:

  • KKR & Company (KKR): 22.99%
  • Blackstone (BX): 23.46%
  • Apollo Global Management (APO): 22.52%
Advertisement

More From Market Realist