KKR Q1 2025 Earnings
Reported May 1, 2025 at 6:50 AM ET · SEC Source
Q1 25 EPS
$1.15
BEAT +1.66%
Est. $1.13
Q1 25 Revenue
N/A
Est. $1.71B
vs S&P Since Q1 25
-39.2%
TRAILING MARKET
KKR -10.2% vs S&P +29.0%
Market Reaction
Did KKR Beat Earnings? Q1 2025 Results
KKR delivered a solid first-quarter beat on Tuesday, posting adjusted earnings of $1.15 per share against a consensus estimate of $1.13, a 1.66% beat, as the alternative asset manager's operational engine continued to fire even as reported revenue fe… Read more KKR delivered a solid first-quarter beat on Tuesday, posting adjusted earnings of $1.15 per share against a consensus estimate of $1.13, a 1.66% beat, as the alternative asset manager's operational engine continued to fire even as reported revenue fell 67.6% year-over-year amid GAAP-level unrealized losses. The headline GAAP figure masked a considerably stronger underlying story: adjusted net income climbed 20% to $1.03 billion, driven by Fee Related Earnings rising 23% to $822.60 million on a 69% FRE margin, up from 64% a year ago. Assets under management grew 15% to $664.00 billion, with the firm raising $31.00 billion in new capital during the quarter and sitting on $116.00 billion in dry powder, a war chest co-CEOs Joseph Bae and Scott Nuttall said positions the firm well to capitalize on market volatility. Looking ahead, KKR's Strategic Holdings segment is projected to generate $350 million in operating earnings by 2026, scaling toward $1.10 billion by 2030, underscoring the firm's push to build durable, compounding income streams alongside its traditional fee businesses.
Key Takeaways
- • Management fees grew 15% year-over-year to $3.6 billion in the LTM, driven by increase in Fee Paying AUM from organic capital raised
- • FRE margin expanded to 69% from 64% a year ago
- • Transaction fees doubled year-over-year to $229 million in the quarter
- • Capital markets transaction fees diversified across private equity (~25%), infrastructure (~20%), and third-party (~20%)
- • Insurance net investment income growth driven by larger investment portfolio and higher average portfolio yields
- • 79% of total segment earnings come from durable and recurring sources (Total Operating Earnings)
- • Perpetual capital represents 42% of AUM and 52% of FPAUM
KKR YoY Financials
Q1 2025 vs Q1 2024, source: SEC Filings
KKR Revenue by Segment
With YoY comparisons, source: SEC Filings
“Over our 49-year history, we have successfully navigated many periods of uncertainty. Our first quarter results and significant April activity bear testament to the strength of our diversified and durable business model. Volatility can yield attractive investment opportunities, and we're encouraged by our positioning given our global footprint, differentiated operational and investment capabilities, and collaborative culture alongside $116 billion of dry powder ready to invest on behalf of our clients.”
— Joseph Y. Bae, Q1 2025 Earnings Press Release
KKR Earnings Trends
KKR vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
KKR EPS Trend
Earnings per share: estimate vs actual
KKR Revenue Trend
Quarterly revenue: estimate vs actual
KKR Quarterly Results
4 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q4 25 MISS FY | $1.14 | $1.12 | -1.75% | $5.74B | — |
| FY Full Year | $4.96 | $4.87 | -1.87% | $19.46B | +150.01% |
| Q3 25 BEAT | $1.30 | $1.41 | +8.64% | $5.53B | +144.75% |
| Q2 25 BEAT | $1.14 | $1.18 | +3.64% | $5.09B | +176.16% |
| Q1 25 BEAT | $1.13 | $1.15 | +1.66% | — | — |