Ares Management’s net income nearly triples year-on-year in Q2

Ares Management Corporation has reported its net income shot up to $141.6 million in the second quarter, nearly tripling from $56 million year-on-year. Earnings per share of Class A non-voting stock rose to $0.69 from $0.32 on a fully diluted basis.

“Our uniquely positioned and differentiated business model delivered record results across nearly every financial metric for the second quarter, including quarterly records for fee-related earnings, capital raising and fund appreciation,” said Michael Arougheti, chief executive and president of Ares Management, in an earnings release issued by alternative asset manager.

“The second quarter is not only our 17th consecutive quarter of sequential quarter fee-related earnings growth, but also reflects exceptional financial results, with fee-related earnings and realized income increasing 52 percent and 80 percent, respectively, year-over-year,” said Michael McFerran, who is both COO and CFO of Ares, in the release.

In the second quarter, the Los Angeles-based manager reported that it raised more than $20 billion of capital, which the firm said helped push its assets under management to a record $248 billion, up 56 percent since last year.

Ares Management’s assets under management increased by $89.5 billion, which the firm said was driven by fundraising from its ACE V direct lending in Europe, Pathfinder in alternative credit and its corporate private equity fund, among other things.

Ares contributed a total of $7.5 billion to US direct lending, its highest capital commitment in the quarter. Of that, $5.1 billion went to its second US senior direct lending fund.