KKR Announces Intra-Quarter Monetization Activity for the Second Quarter

Rhea-AI Summary

KKR reported significant monetization activities for the period from April 1 to June 24, 2021, achieving over $900 million in gross realized carried interest and investment income. Approximately 65% of this amount is attributed to carried interest, while 35% pertains to realized investment income, driven by strategic sales and dividends. However, this estimate does not predict total revenues for the quarter or the full year, as it excludes other income sources.

Positive

• Achieved over $900 million in gross realized carried interest and investment income.
• 65% of realized income derived from carried interest, indicating strong investment performance.
• Successful strategic and secondary sale transactions contributing to revenue.

Negative

• The estimate does not predict total revenues for the quarter or year, implying uncertainty.
• Excludes fee income, losses, and expenses, which could significantly affect overall performance.

KKR today announced a monetization activity update for the period from April 1, 2021 through June 24, 2021. Based on information available to us as of today, with respect to the period through June 24, 2021, KKR has earned gross realized carried interest and realized investment income in excess of $900 million, of which approximately 65% is gross realized carried interest and approximately 35% is realized investment income. This is driven primarily by strategic and secondary sale transactions that have closed quarter to-date, as well as dividend and interest income from KKR’s balance sheet portfolio.

The estimate disclosed above is not intended to predict or represent the total revenues for the full quarter ending June 30, 2021, because it does not include the results or impact of any other sources of income, including fee income, losses or expenses. This estimate is also not necessarily indicative of the results that may be expected for any other period, including the entire year ending December 31, 2021.

About KKR

KKR is a leading global investment firm that offers alternative asset management and capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer retirement, life and reinsurance products under the management of The Global Atlantic Financial Group. References to KKR’s investments may include the activities of its sponsored funds and insurance subsidiaries. For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR's website at www.kkr.com and on Twitter @KKR_Co.

Forward-Looking Statements

This press release may contain forward-looking statements, including estimated operating results from certain monetization activities. Words such as “expect,” estimate,” “will,” “may” and “believe” or similar expressions may identify forward-looking statements. These forward-looking statements are subject to the inherent uncertainties in predicting future results and conditions. Certain factors could cause actual results to differ materially from those included in these forward-looking statements, and investors should not place undue reliance on such statements. These forward-looking statements speak only as of the date of this press release, and we do not undertake any obligation to update or revise any of the forward-looking statements to reflect future events or circumstances, except as required by law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210624005470/en/

FAQ

What is KKR's gross realized income for April to June 2021?

KKR reported over $900 million in gross realized carried interest and investment income for the period.

What percentage of KKR's income is carried interest?

Approximately 65% of KKR's gross realized income is attributed to carried interest.

Does KKR's report predict total revenues for the quarter ending June 30, 2021?

No, the report does not predict total revenues for the quarter, as it excludes other income sources.

What factors contributed to KKR's reported income during this period?

KKR's income was primarily driven by strategic and secondary sale transactions, along with dividend and interest income.

What are the limitations of KKR's income estimate?

The estimate does not encompass fee income, losses, or expenses, which are critical for understanding full financial performance.