KKR posts robust earnings growth in Q2; AUM grows to $101.6B

Alternative asset manager Kohlberg Kravis Roberts & Co. LP (KKR) has reported a robust growth in earnings for the quarter as well as six months period ended on June 30, 2015, on the back of strong investment performance.

The asset management giant’s key metrics of economic net income (ENI) rose to $839.9 million for the quarter ended June 30, 2015, from $501.6 million in the year-ago period.

Attributable GAAP net income was $376.3 million in the second quarter, up from $178.2 million in the year ago period, while total distributable earning was reported at $491.4 million, down from $701.0 million in the same period last year.

Fee and yield earnings were $180.9 million and $348.9 million for the quarter and six months ended June 30, 2015, respectively, up from $154.2 million and $317.0 million in the comparable periods of 2014.

Its assets under management (AUM) and fee paying assets under management (FPAUM) totalled $101.6 billion and $83.7 billion as of June 30, 2015, respectively.

“Our strong investment performance resulted in $840 million of Economic Net Income, a record quarterly figure for KKR,” Henry R Kravis and George R Roberts, co-chairmen and co-chief executive officers of KKR, said in a joint statement.

In April 2015, KKR held its final close for Lending Partners II, the successor fund to the predecessor Lending Partners fund with over $1.3 billion of capital commitments, surpassing the predecessor fund that had $460 million in total capital commitments.

Also, KKR held its final close this month for Global Infrastructure Investors II, the successor fund to the predecessor Global Infrastructure Investors fund. KKR closed this successor fund with over $3 billion of capital commitments, three times the predecessor.

Total uncalled commitments or dry powder rose from $21.5 billion as of March 31, 2015 to $25.9 billion as of June 30, 2015.

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