KKR Announces Record Intra-Quarter Monetization Activity Update for the Fourth Quarter

Rhea-AI Summary

KKR has reported a record quarterly monetization activity, achieving over $1.15 billion in total realized performance income for the period from October 1, 2021 to December 21, 2021. This amount is composed of approximately 50% gross realized carried interest, 30% realized incentive fees, and 20% realized investment income. The growth is driven by strategic sales and dividend income, although future results remain uncertain as the figures do not account for other income sources or expenses.

Positive

• Record quarterly realized performance income exceeding $1.15 billion.
• Diverse income sources: 50% carried interest, 30% incentive fees, 20% investment income.

Negative

• Uncertainty surrounding future income as the estimate does not include all potential revenue sources.

NEW YORK--(BUSINESS WIRE)-- KKR today announced a monetization activity update for the period from October 1, 2021 to December 21, 2021. Based on information available to us as of today, with respect to the period through December 21, 2021, KKR has earned total realized performance income, including realized incentive fees, and total realized investment income in excess of $1.15 billion, a record quarterly figure for KKR as a public company. Our monetization activity quarter-to-date is made up of approximately 50% gross realized carried interest, approximately 30% realized incentive fees and approximately 20% realized investment income. This activity is driven primarily by strategic and secondary sale transactions that have closed quarter-to-date, dividend and interest income from KKR’s balance sheet portfolio as well as incentive fees from KKR’s hedge fund partnerships.

The estimate disclosed above is not intended to predict or represent total realized performance income, total realized investment income or total revenues for the full quarter ending December 31, 2021, because it does not include the results or impact of any other sources of income, including fee income, or expenses, and we may realize further gains or losses relating to total realized performance income and total realized investment income after the date of this press release. 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/20211221005502/en/

Investor Relations:

Craig Larson

1-877-610-4910 (U.S.) / 212-230-9410

investor-relations@kkr.com



Media:

Cara Major or Miles Radcliffe-Trenner

212-750-8300

media@kkr.com

Source: KKR

FAQ

What is KKR's recent monetization activity update?

KKR reported a record quarterly performance income of over $1.15 billion from October 1 to December 21, 2021.

What contributed to KKR's record performance income in Q4 2021?

The record income was driven by strategic sale transactions, dividend income, and incentive fees from hedge fund partnerships.

What percentage of KKR's recent performance income came from carried interest?

Approximately 50% of KKR's recent performance income came from gross realized carried interest.

Are KKR's estimated earnings indicative of future performance?

No, KKR's estimates do not predict future results as they do not account for all income sources or expenses.

What is the significance of KKR's reported $1.15 billion income?

It marks KKR's highest realized performance income ever as a public company.