APO exceeded the estimates
In 4Q17, Apollo Global Management (APO) reported earnings per share (or EPS) of $1.22, which exceeded Wall Street analyst projections by $0.56. Peers (XLF) Blackstone Group (BX) and Carlyle Group (CG) have also exceeded analyst EPS estimates in 4Q17. However, KKR (KKR) missed the analyst estimates on 4Q17 EPS.
Apollo Global has beaten analyst estimates on EPS in three out of four quarters of 2017. In 2Q17, actual EPS and estimated EPS were the same. According to the management, in 2017, the company’s total assets under management (or AUM) were positively affected by the funds’ performances.
Apollo Global saw realizations amounting to $10.7 billion in 2017. According to the management, moving forward, the company is expected to witness a rise in the realization activities if the markets show positive momentum. In 2017, metrics that positively impacted the company’s business include deployments as well as favorable momentum in AUM, investment performance, and permanent capital vehicles. However, realizations also contributed.
According to management, Apollo Global witnessed capital inflows in 2017 because of the significant returns delivered to investors. The company generated revenues of $869.5 million in 4Q17, which exceeded analyst estimates by $262.1 million. Its total AUM as of December 31, 2017, stood at $248.9 billion, while fee-earning AUM was $169 billion.
In 4Q17, Apollo Global witnessed deployments amounting to $5.5 billion.