Apollo Global Management LLC (APO.N) said on Wednesday its second-quarter earnings dropped 25 percent, less than most analysts expected, as it generated less cash from selling assets and its funds appreciated at a slower pace.
While Apollo sold companies such as Great Wolf Resorts Inc and Brit Insurance in the quarter, the overall pace of asset sales slowed down. Its private equity funds appreciated 2.7 percent, versus a 5 percent appreciation a year earlier.
Total economic net income (ENI) was $154.7 million, compared with $207.3 million a year earlier. This translated into ENI per share after taxes of 38 cents, higher than the analysts’ average estimate of 35 cents, according to a Thomson Reuters poll.
Apollo shares were up 1.1 percent at $20.59 in early morning trading in New York.
Distributable earnings after taxes and related payables, which show actual cash available to pay dividends, were $199.5 million versus $227.2 million a year earlier.
Total assets under management were $162.5 billion at the end of June, down slightly from $162.9 billion at the end of March.
Apollo declared a second-quarter dividend of 42 cents per Class A share, down from 46 cents a year earlier.