Ares raises US$20b in Q1 amid private credit demand
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The news: Ares Management Corp raised over USD20 billion ($30.8 billion) in the first quarter this year, as appetite for private credit saw the manager’s AUM surge above USD500 billion.
The numbers: Ares’ assets under management climbed 27% to a total of almost USD546 billion in Q1, raising just over USD20 billion to achieve a first-quarter record for the firm, with more than half of that amount flowing to its credit group.
The company’s Q1 results saw after-tax realised income per share of USD1.09, with fee related earnings of USD367.3 million for the quarter.
Ares also announced a quarterly dividend of USD1.12 per share of its Class A and non-voting common stock, and a quarterly dividend of $0.84375 per share for its 6.75% Series B mandatory convertible preferred stock.
What they said: Michael Arougheti, Ares CEO said on the results: "We reported strong first quarter results with robust fundraising and investing activities, 20% or more year-over-year growth in many of our key financial metrics and assets under management that surpassed a half a trillion dollars."
Jarrod Phillips, Ares CFO added: “With a record amount of assets under management not yet paying fees of nearly $100 billion, we remain well positioned to make attractive investments in a volatile market environment. We have a history of resilient growth during market dislocations as our management fee centric and asset-light business model enables us to perform well through market cycles.”
The sources: Ares Management Corp, Earnings presentation
