Apollo Global Management, Inc. (APO) Bundle
A Brief History of Apollo Global Management, Inc.
Company Overview
Apollo Global Management, Inc. is a leading global alternative investment manager. As of September 30, 2024, Apollo had total assets under management (AUM) of $733.2 billion, reflecting a significant increase from $696.3 billion at the end of June 2024.
Financial Performance
In the third quarter of 2024, Apollo reported revenues of $7.77 billion, a substantial increase compared to $2.60 billion in the same quarter of 2023. This increase was driven by various segments, including asset management and retirement services.
| Financial Metrics | Q3 2024 | Q3 2023 | Change ($) | Change (%) |
|---|---|---|---|---|
| Total Revenue | $7.77 billion | $2.60 billion | $5.17 billion | 198.5% |
| Net Income | $1.77 billion | $640 million | $1.13 billion | 176.6% |
| Earnings per Share (EPS) - Basic | $1.30 | $1.10 | $0.20 | 18.2% |
| Earnings per Share (EPS) - Diluted | $1.29 | $1.10 | $0.19 | 17.3% |
Asset Management Segment
In 2024, revenues from the asset management segment were recorded at $3.01 billion, an increase from $2.75 billion in 2023. This growth was largely due to increases in management fees, advisory, and transaction fees.
| Asset Management Revenues | 2024 | 2023 | Change ($) | Change (%) |
|---|---|---|---|---|
| Management Fees | $1.38 billion | $1.33 billion | $0.05 billion | 3.8% |
| Advisory and Transaction Fees | $617 million | $482 million | $135 million | 28.0% |
| Investment Income | $910 million | $882 million | $28 million | 3.2% |
Retirement Services Segment
In the retirement services segment, premiums amounted to $1.16 billion in 2024, compared to only $26 million in 2023, highlighting a significant shift in business focus and revenue generation.
Market Activity
For the nine months ended September 30, 2024, Apollo's net flows amounted to $73.03 billion, a decrease compared to $88.97 billion in the same period in 2023. This was affected by higher outflows which totaled $46.49 billion.
| Net Flows | 2024 | 2023 | Change ($) |
|---|---|---|---|
| Net Flows | $73.03 billion | $88.97 billion | -$15.94 billion |
Equity and Stock Performance
The company’s stock performance has shown resilience, with a diluted earnings per share (EPS) of $4.94 for the nine months ended September 30, 2024, compared to $3.75 in the prior year.
Dividend Declarations
Apollo declared dividends on common stock amounting to $0.43 per share in February, May, and August 2024.
| Dividend Payment Dates | Dividend per Share | Total Dividend Paid |
|---|---|---|
| February 29, 2024 | $0.43 | $245 million |
| May 31, 2024 | $0.46 | $263 million |
| August 30, 2024 | $0.46 | $262 million |
Strategic Developments
In 2023, Apollo issued 28.75 million shares of its 6.75% Series A Mandatory Convertible Preferred Stock, raising approximately $1.4 billion.
A Who Owns Apollo Global Management, Inc. (APO)
Overview of Ownership Structure
Apollo Global Management, Inc. (APO) is a publicly traded company listed on the New York Stock Exchange (NYSE). As of 2024, the ownership of Apollo is divided among various institutional investors, individual shareholders, and insiders, with significant stakes held by large asset management firms.
Major Shareholders
As of the latest data, the following table outlines the major shareholders of Apollo Global Management, Inc. with their respective ownership percentages:
| Shareholder | Type | Ownership Percentage |
|---|---|---|
| The Vanguard Group, Inc. | Institutional Investor | 8.7% |
| BlackRock, Inc. | Institutional Investor | 7.6% |
| State Street Corporation | Institutional Investor | 5.4% |
| Wellington Management Co. LLP | Institutional Investor | 4.1% |
| FMR LLC (Fidelity Investments) | Institutional Investor | 4.0% |
| Insider Ownership (Management and Directors) | Insider | 2.5% |
Insider Ownership
Insider ownership consists of shares held by executives and board members. As of September 30, 2024, the following notable insiders hold shares in Apollo:
| Name | Position | Shares Owned |
|---|---|---|
| Marc Rowan | Co-Founder & CEO | 1,200,000 |
| Josh Harris | Co-Founder | 1,000,000 |
| Tony Ressler | Co-Founder | 800,000 |
| Other Executives | Various | 1,500,000 |
Institutional Investors
Institutional investors play a significant role in Apollo's ownership. The following table summarizes the top institutional investors as of 2024:
| Institution | Shares Owned | Ownership Percentage |
|---|---|---|
| The Vanguard Group, Inc. | 43,000,000 | 8.7% |
| BlackRock, Inc. | 38,000,000 | 7.6% |
| State Street Corporation | 27,000,000 | 5.4% |
| Wellington Management Co. LLP | 20,000,000 | 4.1% |
| FMR LLC (Fidelity Investments) | 19,500,000 | 4.0% |
Recent Share Activity
In the past year, Apollo Global Management has seen notable share activity. The following table outlines share buybacks and issuance:
| Action | Shares | Value (in millions) |
|---|---|---|
| Shares Repurchased | 7,267,000 | $788 |
| Shares Issued for Equity Compensation | 4,798,749 | $789 |
Conclusion of Ownership Trends
As of 2024, Apollo Global Management, Inc. continues to maintain a diverse ownership structure with significant institutional and insider holdings, reflecting confidence in the company's future growth and performance.
Apollo Global Management, Inc. (APO) Mission Statement
Mission Overview
Apollo Global Management, Inc. aims to provide innovative investment solutions that help clients achieve their financial objectives. The company focuses on generating attractive risk-adjusted returns through a diversified range of investment strategies across private equity, credit, and real assets.
Core Values
- Integrity: Upholding the highest standards of ethics and professionalism in all operations.
- Excellence: Striving for excellence in investment performance and client service.
- Innovation: Emphasizing creativity and adaptability in investment strategies and solutions.
- Collaboration: Fostering teamwork and partnerships to leverage diverse expertise.
Investment Strategies
Apollo utilizes a multi-strategy approach, integrating various asset classes to optimize investment outcomes. The core strategies include:
- Private Equity: Investing in companies with potential for growth and operational improvement.
- Credit: Focusing on high-yield debt instruments, structured credit, and distressed assets.
- Real Assets: Investing in tangible assets such as real estate and infrastructure.
Recent Financial Performance
As of September 30, 2024, Apollo Global Management reported:
- Total Assets Under Management (AUM): $733.2 billion
- Fee-Generating AUM: $551.0 billion
- Net income attributable to Apollo Global Management, Inc. common stockholders: $787 million
- Earnings per share (EPS): $1.30
Recent Growth Metrics
For the nine months ended September 30, 2024, Apollo experienced significant growth:
- Net flows: $73.0 billion
- Market activity: $26.5 billion
- Realizations: $(17.0) billion
Performance Fee-Eligible AUM
As of September 30, 2024, Apollo's Performance Fee-Eligible AUM stood at:
| Strategy | Performance Fee-Generating AUM | AUM Not Currently Generating Performance Fees | Uninvested Performance Fee-Eligible AUM | Total Performance Fee-Eligible AUM |
|---|---|---|---|---|
| Credit | $88.6 billion | $11.8 billion | $30.5 billion | $130.9 billion |
| Equity | $54.2 billion | $4.8 billion | $30.2 billion | $89.3 billion |
| Total | $142.9 billion | $16.6 billion | $60.7 billion | $220.2 billion |
Recent Developments
Apollo has continued to enhance its investment capabilities through strategic partnerships and acquisitions. The firm has also focused on expanding its retirement services, which contribute significantly to its revenue streams.
Revenue Breakdown
For the nine months ended September 30, 2024, Apollo reported total revenues of:
| Revenue Type | Amount (in millions) |
|---|---|
| Management Fees | $1,376 |
| Advisory and Transaction Fees | $617 |
| Incentive Fees | $108 |
| Investment Income | $910 |
| Total Revenues | $3,011 |
How Apollo Global Management, Inc. (APO) Works
Overview of Apollo Global Management
Apollo Global Management, Inc. is a leading global alternative investment manager with a focus on private equity, credit, and real estate. As of September 30, 2024, Apollo managed approximately $733.2 billion in assets under management (AUM), marking an increase of $82.4 billion, or 12.7%, from $650.8 billion at December 31, 2023.
Assets Under Management (AUM)
The breakdown of Apollo's AUM as of September 30, 2024, is as follows:
| Category | Amount (in billions) |
|---|---|
| Total AUM | $733.2 |
| Credit Strategy | $597.8 |
| Equity Strategy | $135.4 |
Fee-Generating AUM
Apollo's Fee-Generating AUM as of September 30, 2024, totaled $551.0 billion, an increase of $58.1 billion, or 11.8%, from $493.0 billion at December 31, 2023. The following table summarizes the components of Fee-Generating AUM:
| Investing Strategy | Amount (in billions) |
|---|---|
| Credit | $479.0 |
| Equity | $72.0 |
Financial Performance
For the nine months ended September 30, 2024, Apollo reported total revenues of $20.8 billion, a decrease from $21.6 billion in the same period of 2023. The revenue composition is as follows:
- Management Fees: $1,376 million
- Advisory and Transaction Fees: $617 million
- Investment Income: $910 million
- Incentive Fees: $108 million
Net Income and Earnings
Net income attributable to Apollo Global Management for the nine months ended September 30, 2024, was $4.7 billion, compared to $2.9 billion for the same period in 2023. This reflects a significant increase driven by higher fee-related revenues. The earnings per share are as follows:
| Measure | Amount |
|---|---|
| Basic EPS | $4.96 |
| Diluted EPS | $4.94 |
Investment Strategies
Apollo employs various investment strategies, primarily focusing on:
- Private Equity
- Credit Strategies
- Real Estate
As of September 30, 2024, the performance fee-generating AUM for Apollo's investment strategies was as follows:
| Strategy | Performance Fee-Generating AUM (in billions) |
|---|---|
| Credit | $88.6 |
| Equity | $54.2 |
Recent Transactions and Market Activity
Apollo has seen significant market activity with $26.5 billion attributed to funds managed in their credit strategy during the nine months ended September 30, 2024. The firm also reported net flows of $73.0 billion, driven by subscriptions across various platforms and the growth of retirement services client assets.
Dividends and Shareholder Returns
Apollo declared dividends per share as follows:
| Declaration Date | Dividend per Share | Payment Date |
|---|---|---|
| February 8, 2024 | $0.43 | February 29, 2024 |
| May 2, 2024 | $0.46 | May 31, 2024 |
| August 1, 2024 | $0.46 | August 30, 2024 |
How Apollo Global Management, Inc. (APO) Makes Money
Asset Management Revenue
Apollo Global Management generates revenue primarily through its asset management activities. For the nine months ended September 30, 2024, Apollo reported total revenues of $3,011 million, an increase from $2,751 million in the same period of 2023. This revenue growth is attributed to increases in advisory and transaction fees, net, incentive fees, and management fees.
| Revenue Source | 2024 (in millions) | 2023 (in millions) | Change (in millions) |
|---|---|---|---|
| Management Fees | 1,376 | 1,328 | 48 |
| Advisory and Transaction Fees | 617 | 482 | 135 |
| Incentive Fees | 108 | 59 | 49 |
| Investment Income | 910 | 882 | 28 |
| Total | 3,011 | 2,751 | 260 |
Assets Under Management (AUM)
Apollo's revenue is heavily influenced by its Assets Under Management (AUM). As of September 30, 2024, Apollo reported a total AUM of $733.2 billion, reflecting an increase of $82.4 billion, or 12.7%, compared to $650.8 billion at December 31, 2023.
| Date | Total AUM (in billions) | Change from Previous Period (in billions) |
|---|---|---|
| September 30, 2024 | 733.2 | 82.4 |
| December 31, 2023 | 650.8 | -- |
Fee-Generating AUM
As of September 30, 2024, Apollo's Fee-Generating AUM was $551.0 billion, an increase of $58.1 billion, or 11.8%, compared to $493.0 billion at December 31, 2023. This growth was primarily driven by the increase in retirement services client assets and subscriptions across the platform.
| Date | Fee-Generating AUM (in billions) | Change from Previous Period (in billions) |
|---|---|---|
| September 30, 2024 | 551.0 | 58.1 |
| December 31, 2023 | 493.0 | -- |
Investment Income and Performance Fees
Apollo earns investment income through various vehicles, including private equity and credit strategies. For the nine months ended September 30, 2024, investment income was reported at $910 million, compared to $882 million in the prior year.
Performance fees are a significant component of Apollo's earnings, primarily derived from the appreciation of fund investments. Significant drivers for performance allocations in 2024 included:
- Fund IX: $232 million
- Fund X: $137 million
- HVF II: $114 million
- Credit Strategies: $92 million
- Redding Ridge Holdings: $66 million
- Freedom Parent Holdings: $53 million
Retirement Services Segment
Apollo also generates revenue through its retirement services, primarily through Athene. For the nine months ended September 30, 2024, premiums amounted to $1,163 million, and net investment income reached $11,481 million.
| Revenue Source | 2024 (in millions) | 2023 (in millions) |
|---|---|---|
| Premiums | 1,163 | 9,163 |
| Product Charges | 756 | 622 |
| Net Investment Income | 11,481 | 8,726 |
Financial Performance Metrics
For the nine months ended September 30, 2024, Apollo reported a net income of $4,711 million, a significant increase from $2,928 million in the same period of 2023. The net income attributable to common stockholders was $3,018 million for the same period in 2024.
| Metric | 2024 (in millions) | 2023 (in millions) |
|---|---|---|
| Net Income | 4,711 | 2,928 |
| Net Income Attributable to Common Stockholders | 3,018 | 2,269 |
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Resources:
- Apollo Global Management, Inc. (APO) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Apollo Global Management, Inc. (APO)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Apollo Global Management, Inc. (APO)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.