(Reuters) — Private equity firm KKR & Co LP (KKR.N) on Tuesday reported higher-than-expected earnings as a rebound in investment returns and stabilizing financial markets helped to lift performance.
New York-based KKR said it had earned economic net income of 23 cents a share in the second quarter, down from 88 cents a year earlier but well above analysts’ forecasts of 5 cents, according to Thomson Reuters I/B/E/S.
Economic net income is a key metric for U.S. private equity firms that accounts for unrealized gains or losses in investments.
KKR’s performance reflects steadying oil prices and stronger U.S. equity and credit markets.
Blackstone Group LP (BX.N), KKR’s rival and the world’s biggest alternative asset manager, also surprised analysts last week by posting stronger-than-expected quarterly results.