QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
4.625% Subordinated Notes due 2061 of Carlyle Finance L.L.C. |
☒ | Accelerated filer | ☐ | ||||
Non-accelerated filer | ☐ | Smaller reporting company | ||||
Emerging growth company |
Page | ||
Item 1. | ||
Unaudited Condensed Consolidated Financial Statements – March 31, 2024 and 2023: | ||
Item 2. | ||
Item 3. | ||
Item 4. | ||
Item 1. | ||
Item 1A. | ||
Item 2. | ||
Item 3. | ||
Item 4. | ||
Item 5. | ||
Item 6. | ||
March 31, 2024 | December 31, 2023 | ||
(Unaudited) | |||
Assets | |||
Cash and cash equivalents | $ | $ | |
Cash and cash equivalents held at Consolidated Funds | |||
Restricted cash | |||
Investments, including accrued performance allocations of $ March 31, 2024 and December 31, 2023, respectively | |||
Investments of Consolidated Funds | |||
Due from affiliates and other receivables, net | |||
Due from affiliates and other receivables of Consolidated Funds, net | |||
Fixed assets, net | |||
Lease right-of-use assets, net | |||
Deposits and other | |||
Intangible assets, net | |||
Deferred tax assets | |||
Total assets | $ | $ | |
Liabilities and equity | |||
Debt obligations | $ | $ | |
Loans payable of Consolidated Funds | |||
Accounts payable, accrued expenses and other liabilities | |||
Accrued compensation and benefits | |||
Due to affiliates | |||
Deferred revenue | |||
Deferred tax liabilities | |||
Other liabilities of Consolidated Funds | |||
Lease liabilities | |||
Accrued giveback obligations | |||
Total liabilities | |||
Commitments and contingencies | |||
Common stock, $ respectively) | |||
Additional paid-in-capital | |||
Retained earnings | |||
Accumulated other comprehensive loss | ( | ( | |
Non-controlling interests in consolidated entities | |||
Total equity | |||
Total liabilities and equity | $ | $ |
Three Months Ended March 31, | |||
2024 | 2023 | ||
Revenues | |||
Fund management fees | $ | $ | |
Incentive fees | |||
Investment income (loss) | |||
Performance allocations | ( | ||
Principal investment income | |||
Total investment income (loss) | ( | ||
Interest and other income | |||
Interest and other income of Consolidated Funds | |||
Total revenues | |||
Expenses | |||
Compensation and benefits | |||
Cash-based compensation and benefits | |||
Equity-based compensation | |||
Performance allocations and incentive fee related compensation | ( | ||
Total compensation and benefits | |||
General, administrative and other expenses | |||
Interest | |||
Interest and other expenses of Consolidated Funds | |||
Other non-operating expenses | |||
Total expenses | |||
Other income (loss) | |||
Net investment income (loss) of Consolidated Funds | ( | ||
Income before provision for income taxes | |||
Provision for income taxes | |||
Net income | |||
Net income attributable to non-controlling interests in consolidated entities | |||
Net income attributable to The Carlyle Group Inc. | $ | $ | |
Net income attributable to The Carlyle Group Inc. per common share (see Note 12) | |||
Basic | $ | $ | |
Diluted | $ | $ | |
Weighted-average common shares | |||
Basic | |||
Diluted |
Three Months Ended March 31, | |||
2024 | 2023 | ||
Net income | $ | $ | |
Other comprehensive income (loss) | |||
Foreign currency translation adjustments | ( | ||
Defined benefit plans | |||
Unrealized income for the period | |||
Reclassification adjustment for gain during the period, included in cash-based compensation and benefits expense | ( | ( | |
Other comprehensive income (loss) | ( | ||
Comprehensive income | |||
Comprehensive income attributable to non-controlling interests in consolidated entities | |||
Comprehensive income attributable to The Carlyle Group Inc. | $ | $ |
Common Shares | Common Stock | Additional Paid-in- Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Non- controlling Interests in Consolidated Entities | Total Equity | |||||||
Balance at December 31, 2023 | $ | $ | $ | $( | $ | $ | |||||||
Shares repurchased | ( | — | — | ( | — | — | ( | ||||||
Net shares issued for equity-based awards | — | — | ( | — | — | ( | |||||||
Equity-based compensation | — | — | — | — | — | ||||||||
Dividend-equivalent rights on certain equity- based awards | — | — | ( | — | — | ||||||||
Contributions | — | — | — | — | — | ||||||||
Dividends and distributions | — | — | — | ( | — | ( | ( | ||||||
Net income | — | — | — | — | |||||||||
Currency translation adjustments | — | — | — | — | ( | ( | ( | ||||||
Defined benefit plans, net | — | — | — | — | — | ||||||||
Balance at March 31, 2024 | $ | $ | $ | $( | $ | $ |
Common Shares | Common Stock | Additional Paid-in- Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Non- controlling Interests in Consolidated Entities | Total Equity | |||||||
Balance at December 31, 2022 | $ | $ | $ | $( | $ | $ | |||||||
Shares repurchased | ( | — | — | ( | — | — | ( | ||||||
Shares issued for equity-based awards | — | — | — | — | — | — | |||||||
Equity-based compensation | — | — | — | — | — | ||||||||
Dividend-equivalent rights on certain equity- based awards | — | — | ( | — | — | ||||||||
Contributions | — | — | — | — | — | ||||||||
Dividends and distributions | — | — | — | ( | — | ( | ( | ||||||
Net income | — | — | — | — | |||||||||
Currency translation adjustments | — | — | — | — | |||||||||
Defined benefit plans, net | — | — | — | — | — | ||||||||
Balance at March 31, 2023 | $ | $ | $ | $( | $ | $ |
Three Months Ended March 31, | |||
2024 | 2023 | ||
Cash flows from operating activities | |||
Net income | $ | $ | |
Adjustments to reconcile net income to net cash flows from operating activities: | |||
Depreciation and amortization | |||
Equity-based compensation | |||
Non-cash performance allocations and incentive fees, net | ( | ||
Non-cash principal investment income | ( | ( | |
Other non-cash amounts | ( | ||
Consolidated Funds related: | |||
Realized/unrealized (gain) loss on investments of Consolidated Funds | ( | ( | |
Realized/unrealized (gain) loss from loans payable of Consolidated Funds | |||
Purchases of investments by Consolidated Funds | ( | ( | |
Proceeds from sales and settlements of investments by Consolidated Funds | |||
Non-cash interest income, net | ( | ( | |
Change in cash and cash equivalents held at Consolidated Funds | ( | ( | |
Change in other receivables held at Consolidated Funds | ( | ||
Change in other liabilities held at Consolidated Funds | ( | ||
Purchases of investments | ( | ( | |
Proceeds from the sale of investments | |||
Payments of contingent consideration | ( | ( | |
Changes in deferred taxes, net | ( | ( | |
Change in due from affiliates and other receivables | |||
Change in deposits and other | ( | ( | |
Change in accounts payable, accrued expenses and other liabilities | ( | ||
Change in accrued compensation and benefits | ( | ( | |
Change in due to affiliates | ( | ( | |
Change in lease right-of-use assets and lease liabilities | ( | ( | |
Change in deferred revenue | |||
Net cash provided by (used in) operating activities | ( | ||
Cash flows from investing activities | |||
Purchases of corporate treasury investments | ( | ||
Proceeds from corporate treasury investments | |||
Purchases of fixed assets, net | ( | ( | |
Net cash used in investing activities | ( | ( |
Three Months Ended March 31, | |||
2024 | 2023 | ||
Cash flows from financing activities | |||
Payments on CLO borrowings | ( | ( | |
Net borrowings on loans payable of Consolidated Funds | |||
Dividends to common stockholders | ( | ( | |
Payment of deferred consideration for Carlyle Holdings units | ( | ( | |
Contributions from non-controlling interest holders | |||
Distributions to non-controlling interest holders | ( | ( | |
Common shares repurchased and net share settlement of equity awards | ( | ( | |
Change in due to/from affiliates financing activities | |||
Net cash used in financing activities | ( | ( | |
Effect of foreign exchange rate changes | ( | ||
Decrease in cash, cash equivalents and restricted cash | ( | ( | |
Cash, cash equivalents and restricted cash, beginning of period | |||
Cash, cash equivalents and restricted cash, end of period | $ | $ | |
Reconciliation of cash, cash equivalents and restricted cash, end of period: | |||
Cash and cash equivalents | $ | $ | |
Restricted cash | |||
Total cash, cash equivalents and restricted cash, end of period | $ | $ | |
Cash and cash equivalents held at Consolidated Funds | $ | $ |
As of | |||
March 31, 2024 | December 31, 2023 | ||
(Dollars in millions) | |||
Investments | $ | $ | |
Accrued performance allocations | |||
Management fee receivables | |||
Total | $ | $ |
As of | |||
March 31, 2024 | December 31, 2023 | ||
(Dollars in millions) | |||
Currency translation adjustments | $( | $( | |
Unrealized losses on defined benefit plans | ( | ( | |
Total | $( | $( |
(Dollars in millions) | Level I | Level II | Level III | Total | |||
Assets | |||||||
Investments of Consolidated Funds(1): | |||||||
Equity securities(2) | $ | $ | $ | $ | |||
Bonds | |||||||
Loans | |||||||
Investments in CLOs and other: | |||||||
Investments in CLOs | |||||||
Other investments(3) | |||||||
Foreign currency forward contracts | |||||||
Subtotal | $ | $ | $ | $ | |||
Investments measured at net asset value | |||||||
Total | $ | ||||||
Liabilities | |||||||
Loans payable of Consolidated Funds(4)(5) | $ | $ | $ | $ | |||
Foreign currency forward contracts | |||||||
Total | $ | $ | $ | $ |
(Dollars in millions) | Level I | Level II | Level III | Total | |||
Assets | |||||||
Investments of Consolidated Funds(1): | |||||||
Equity securities(2) | $ | $ | $ | $ | |||
Bonds | |||||||
Loans | |||||||
Investments in CLOs and other: | |||||||
Investments in CLOs | |||||||
Other investments(3) | |||||||
Subtotal | $ | $ | $ | $ | |||
Investments measured at net asset value | |||||||
Total | $ | ||||||
Liabilities | |||||||
Loans payable of Consolidated Funds(4)(5) | $ | $ | $ | $ | |||
Total | $ | $ | $ | $ |
Financial Assets | |||||||||||
Three Months Ended March 31, 2024 | |||||||||||
Investments of Consolidated Funds | |||||||||||
Equity securities | Bonds | Loans | Investments in CLOs | Other investments | Total | ||||||
Balance, beginning of period | $ | $ | $ | $ | $ | $ | |||||
Purchases | |||||||||||
Sales and distributions | ( | ( | ( | ( | ( | ( | |||||
Settlements | ( | ( | |||||||||
Realized and unrealized gains (losses), net | |||||||||||
Included in earnings | ( | ||||||||||
Included in other comprehensive income | ( | ( | ( | ( | |||||||
Balance, end of period | $ | $ | $ | $ | $ | $ | |||||
Changes in unrealized gains (losses) included in earnings related to financial assets still held at the reporting date | $( | $ | $ | $ | $ | $ | |||||
Changes in unrealized gains (losses) included in other comprehensive income related to financial assets still held at the reporting date | $ | $( | $( | $( | $ | $( |
Financial Assets | |||||||||||
Three Months Ended March 31, 2023 | |||||||||||
Investments of Consolidated Funds | |||||||||||
Equity securities | Bonds | Loans | Investments in CLOs | Other investments | Total | ||||||
Balance, beginning of period | $ | $ | $ | $ | $ | $ | |||||
Purchases | |||||||||||
Sales and distributions | ( | ( | ( | ( | ( | ||||||
Settlements | ( | ( | ( | ||||||||
Realized and unrealized gains (losses), net | |||||||||||
Included in earnings | ( | ( | |||||||||
Included in other comprehensive income | |||||||||||
Balance, end of period | $ | $ | $ | $ | $ | $ | |||||
Changes in unrealized gains (losses) included in earnings related to financial assets still held at the reporting date | $( | $ | $ | $ | $( | $ | |||||
Changes in unrealized gains (losses) included in other comprehensive income related to financial assets still held at the reporting date | $ | $ | $ | $ | $ | $ |
Financial Liabilities | |||
Loans Payable of Consolidated Funds | |||
Three Months Ended March 31, | |||
2024 | 2023 | ||
Balance, beginning of period | $ | $ | |
Borrowings | |||
Paydowns | ( | ( | |
Sales | ( | ( | |
Realized and unrealized (gains) losses, net | |||
Included in earnings | |||
Included in other comprehensive income | ( | ||
Balance, end of period | $ | $ | |
Changes in unrealized (gains) losses included in earnings related to financial liabilities still held at the reporting date | $ | $ | |
Changes in unrealized (gains) losses included in other comprehensive income related to financial liabilities still held at the reporting date | $( | $ |
Fair Value at | Valuation Technique(s) | Unobservable Input(s) | Range (Weighted Average) | ||||
(Dollars in millions) | March 31, 2024 | ||||||
Assets | |||||||
Investments of Consolidated Funds: | |||||||
Equity securities | $ | Consensus Pricing | Indicative Quotes ($ per share) | ||||
Discounted Cash Flow | Discount Rates | ||||||
Terminal Growth Rate | |||||||
Comparable Multiple | EBITDA Multiple | ||||||
TCF Multiple | |||||||
Discounted Cash Flow | Discount Rates | ||||||
Terminal Growth Rate | |||||||
Comparable Multiple | TCF Multiple | ||||||
Discounted Cash Flow | Discount Rates | ||||||
Terminal Growth Rate | |||||||
Comparable Multiple | EBITDA Multiple | ||||||
Other(1) | N/A | N/A | |||||
Bonds | Consensus Pricing | Indicative Quotes (% of Par) | |||||
Loans | Consensus Pricing | Indicative Quotes (% of Par) | |||||
Discounted Cash Flow | Discount Rates | ||||||
Discounted Cash Flow | Discount Rates | ||||||
Constant Prepayment Rate | |||||||
Constant Default Rate | |||||||
Other(1) | N/A | N/A | |||||
Investments in CLOs: | |||||||
Senior secured notes | Consensus Pricing with Discounted Cash Flow | Indicative Quotes (% of Par) | |||||
Discount Margins (Basis Points) | |||||||
Default Rates | |||||||
Recovery Rates | |||||||
Subordinated notes and preferred shares | Consensus Pricing with Discounted Cash Flow | Indicative Quotes (% of Par) | |||||
Discount Rates | |||||||
Default Rates | |||||||
Recovery Rates | |||||||
Liquidation Analysis | % of Net Book Value | ||||||
Other(1) | N/A | N/A | |||||
Other investments: | |||||||
BDC preferred shares | Market Yield Analysis | Market Yields | |||||
Aviation subordinated notes | Discounted Cash Flow | Discount Rates | |||||
Total | $ | ||||||
Liabilities | |||||||
Loans payable of Consolidated Funds: | |||||||
Senior secured notes | $ | Other(2) | N/A | N/A | |||
Subordinated notes and preferred shares | Consensus Pricing with Discounted Cash Flow | Indicative Quotes (% of Par) | |||||
Discount Rates | |||||||
Default Rates | |||||||
Recovery Rates | |||||||
Other(1) | N/A | N/A | |||||
Total | $ |
Fair Value at | Valuation Technique(s) | Unobservable Input(s) | Range (Weighted Average) | ||||
(Dollars in millions) | December 31, 2023 | ||||||
Assets | |||||||
Investments of Consolidated Funds: | |||||||
Equity securities | $ | Consensus Pricing | Indicative Quotes ($ per share) | ||||
Discounted Cash Flow | Discount Rates | ||||||
Terminal Growth Rate | |||||||
Comparable Multiple | EBITDA Multiple | ||||||
TCF Multiple | |||||||
Discounted Cash Flow | Discount Rates | ||||||
Terminal Growth Rate | |||||||
Comparable Multiple | TCF Multiple | ||||||
Other(1) | N/A | N/A | |||||
Bonds | Consensus Pricing | Indicative Quotes (% of Par) | |||||
Loans | Consensus Pricing | Indicative Quotes (% of Par) | |||||
Discounted Cash Flow | Discount Rates | ||||||
Discounted Cash Flow | Discount Rates | ||||||
Constant Prepayment Rate | |||||||
Constant Default Rate | |||||||
Recovery Rate | |||||||
Other | Other(1) | N/A | N/A | ||||
Investments in CLOs | |||||||
Senior secured notes | Discounted Cash Flow with Consensus Pricing | Indicative Quotes (% of Par) | |||||
Discount Margins (Basis Points) | |||||||
Default Rates | |||||||
Recovery Rates | |||||||
Subordinated notes and preferred shares | Discounted Cash Flow with Consensus Pricing | Indicative Quotes (% of Par) | |||||
Discount Rate | |||||||
Default Rates | |||||||
Recovery Rates | |||||||
Other(1) | N/A | N/A | |||||
Other investments: | |||||||
BDC preferred shares | Market Yield Analysis | Market Yields | |||||
Aviation subordinated notes | Discounted Cash Flow | Discount Rates | |||||
Total | $ | ||||||
Liabilities | |||||||
Loans payable of Consolidated Funds: | |||||||
Senior secured notes | $ | Other(2) | N/A | N/A | |||
Subordinated notes and preferred shares | Discounted Cash Flow with Consensus Pricing | Indicative Quotes (% of Par) | |||||
Discount Rates | |||||||
Default Rates | |||||||
Recovery Rates | |||||||
Other(1) | N/A | N/A | |||||
Total | $ |
As of | |||
March 31, 2024 | December 31, 2023 | ||
(Dollars in millions) | |||
Accrued performance allocations | $ | $ | |
Principal equity method investments, excluding performance allocations | |||
Principal investments in CLOs | |||
Other investments | |||
Total | $ | $ |
As of | |||
March 31, 2024 | December 31, 2023 | ||
(Dollars in millions) | |||
Global Private Equity | $ | $ | |
Global Credit | |||
Global Investment Solutions | |||
Total | $ | $ |
As of | |||
March 31, 2024 | December 31, 2023 | ||
(Dollars in millions) | |||
Global Private Equity | $( | $( | |
Global Credit | ( | ( | |
Total | $( | $( |
As of | |||
March 31, 2024 | December 31, 2023 | ||
(Dollars in millions) | |||
Global Private Equity(1) | $ | $ | |
Global Credit(2) | |||
Global Investment Solutions | |||
Total | $ | $ |
As of | |||
March 31, 2024 | December 31, 2023 | ||
(Dollars in millions) | |||
Investment in NGP Management | $ | $ | |
Investments in NGP general partners - accrued performance allocations | |||
Principal investments in NGP funds | |||
Total investments in NGP | $ | $ |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Management fee related revenues from NGP Management | $ | $ | |
Expenses related to the investment in NGP Management | ( | ( | |
Net investment income from NGP Management | $ | $ |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Performance allocations | |||
Realized | $ | $ | |
Unrealized | ( | ( | |
( | |||
Principal investment income (loss) from equity method investments (excluding performance allocations) | |||
Realized | |||
Unrealized | ( | ( | |
Principal investment income (loss) from investments in CLOs and other investments | |||
Realized | ( | ||
Unrealized(1) | |||
Total | $( | $ |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Global Private Equity | $( | $( | |
Global Credit | |||
Global Investment Solutions | |||
Total | $( | $ |
Three Months Ended March 31, 2024 | ||
(Dollars in millions) | ||
Global Private Equity | Carlyle Europe Partners V, L.P. | $( |
Global Private Equity | Carlyle Partners VI, L.P. | ( |
Global Private Equity | Carlyle Partners VII, L.P. | ( |
Three Months Ended March 31, 2023 | ||
(Dollars in millions) | ||
Global Private Equity | Carlyle Partners VI, L.P. | $( |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Global Private Equity | $ | $ | |
Global Credit | ( | ||
Global Investment Solutions | |||
Total | $ | $ |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Interest income from investments | $ | $ | |
Other income | |||
Total | $ | $ |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Gains from investments of Consolidated Funds | $ | $ | |
Losses from liabilities of CLOs | ( | ( | |
Total | $( | $ |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Realized losses | $( | $( | |
Net change in unrealized gains | |||
Total | $ | $ |
As of | |||
March 31, 2024 | December 31, 2023 | ||
(Dollars in millions) | |||
Acquired contractual rights | $ | $ | |
Accumulated amortization | ( | ( | |
Finite-lived intangible assets, net | |||
Goodwill | |||
Intangible Assets, net | $ | $ |
Year ending December 31, | |
2024 (excluding the three months ended March 31, 2024) | $ |
2025 | |
2026 | |
2027 | |
2028 | |
Thereafter | |
$ |
March 31, 2024 | December 31, 2023 | ||||||
Borrowing Outstanding | Carrying Value | Borrowing Outstanding | Carrying Value | ||||
(Dollars in millions) | |||||||
CLO Borrowings (See below) | $ | $ | $ | $ | |||
Total debt obligations | $ | $ | $ | $ |
Formation Date | Borrowing Outstanding March 31, 2024 | Borrowing Outstanding December 31, 2023 | Maturity Date (1) | Interest Rate as of March 31, 2024 | |||||||
February 28, 2017 | $ | $ | September 21, 2029 | (2) | |||||||
June 29, 2017 | July 20, 2030 | (4) | |||||||||
December 6, 2017 | January 15, 2031 | (5) | |||||||||
March 15, 2019 | March 15, 2032 | (3) | |||||||||
August 20, 2019 | August 15, 2032 | (3) | |||||||||
September 15, 2020 | April 15, 2033 | (3) | |||||||||
January 8, 2021 | January 15, 2034 | (3) | |||||||||
March 9, 2021 | August 15, 2030 | (3) | |||||||||
March 30, 2021 | March 15, 2032 | (3) | |||||||||
April 21, 2021 | April 15, 2033 | (3) | |||||||||
May 21, 2021 | November 17, 2031 | (3) | |||||||||
June 4, 2021 | January 16, 2034 | (3) | |||||||||
June 10, 2021 | November 17, 2031 | (3) | |||||||||
July 15, 2021 | July 15, 2034 | (3) | |||||||||
July 20, 2021 | July 20, 2031 | (3) | |||||||||
August 4, 2021 | August 15, 2032 | (3) | |||||||||
October 27, 2021 | October 15, 2035 | (3) | |||||||||
November 5, 2021 | January 14, 2034 | (3) | |||||||||
January 6, 2022 | February 15, 2035 | (3) | |||||||||
February 22, 2022 | November 10, 2035 | (3) | |||||||||
July 13, 2022 | January 13, 2035 | (3) | |||||||||
October 25, 2022 | October 25, 2035 | (3) | |||||||||
September 5, 2023 | August 28, 2031 | (3) | |||||||||
$ | $ |
Interest Expense | |||||||||
Fair Value (1) As of | Three Months Ended March 31, | ||||||||
Aggregate Principal Amount | March 31, 2024 | December 31, 2023 | 2024 | 2023 | |||||
$ | $ | $ | $ | $ | |||||
$ | $ |
As of March 31, 2024 | |||||||||
Borrowing Outstanding | Fair Value | Weighted Average Interest Rate | Weighted Average Remaining Maturity in Years | ||||||
Senior secured notes | $ | $ | |||||||
Subordinated notes | N/A | (4) | |||||||
Revolving credit facilities(3) | |||||||||
Total | $ | $ |
As of December 31, 2023 | |||||||||
Borrowing Outstanding | Fair Value | Weighted Average Interest Rate | Weighted Average Remaining Maturity in Years | ||||||
Senior secured notes(1) | $ | $ | |||||||
Subordinated notes(2) | N/A | (4) | |||||||
Revolving credit facilities(3) | |||||||||
Total | $ | $ |
As of | |||
March 31, 2024 | December 31, 2023 | ||
(Dollars in millions) | |||
Accrued performance allocations and incentive fee related compensation | $ | $ | |
Accrued bonuses | |||
Accrued pension liability | |||
Other(1) | |||
Total | $ | $ |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Realized | $ | $ | |
Unrealized | ( | ||
Total | $( | $ |
As of | |||
March 31, 2024 | December 31, 2023 | ||
(Dollars in millions) | |||
Accrued incentive fees | $ | $ | |
Unbilled receivable for giveback obligations from current and former employees | |||
Notes receivable and accrued interest from affiliates | |||
Management fee receivable, net | |||
Reimbursable expenses and other receivables from unconsolidated funds and affiliates, net | |||
Total | $ | $ |
As of | |||
March 31, 2024 | December 31, 2023 | ||
(Dollars in millions) | |||
Due to affiliates of Consolidated Funds | $ | $ | |
Due to non-consolidated affiliates | |||
Amounts owed under the tax receivable agreement | |||
Deferred consideration for Carlyle Holdings units | |||
Other | |||
Total | $ | $ |
As of | |||
March 31, 2024 | December 31, 2023 | ||
(Dollars in millions) | |||
Non-Carlyle interests in Consolidated Funds | $ | $ | |
Non-Carlyle interests in majority-owned subsidiaries | |||
Non-controlling interest in carried interest, giveback obligations and cash held for carried interest distributions | ( | ( | |
Non-controlling interests in consolidated entities | $ | $ |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Non-Carlyle interests in Consolidated Funds | $ | $ | |
Non-Carlyle interests in majority-owned subsidiaries | |||
Non-controlling interest in carried interest, giveback obligations and cash held for carried interest distributions | |||
Non-controlling interests in income of consolidated entities | $ | $ |
Three Months Ended March 31, 2024 | |||
Basic | Diluted | ||
Net income attributable to common shares | $ | $ | |
Weighted-average common shares outstanding | |||
Net income per common share | $ | $ |
Three Months Ended March 31, 2023 | |||
Basic | Diluted | ||
Net income attributable to common shares | $ | $ | |
Weighted-average common shares outstanding | |||
Net income per common share | $ | $ |
Three Months Ended March 31, 2024 | |||
Basic | Diluted | ||
The Carlyle Group Inc. weighted-average common shares outstanding | |||
Unvested restricted stock units | |||
Issuable common shares and performance-vesting restricted stock units | |||
Weighted-average common shares outstanding |
Three Months Ended March 31, 2023 | |||
Basic | Diluted | ||
The Carlyle Group Inc. weighted-average common shares outstanding | |||
Unvested restricted stock units | |||
Issuable common shares and performance-vesting restricted stock units | |||
Weighted-average common shares outstanding |
Three Months Ended March 31, | |||||
2024 | 2023 | ||||
(Dollars in millions) | Shares | $ | Shares | $ | |
Shares repurchased | $ | $ | |||
Shares retired in connection with the net share settlement of equity-based awards | |||||
Total | $ | $ |
Dividend Record Date | Dividend Payment Date | Dividend per Common Share | Dividend to Common Stockholders | |||
(Dollars in millions, except per share data) | ||||||
May 16, 2023 | May 23, 2023 | $ | $ | |||
August 15, 2023 | August 23, 2023 | |||||
November 21, 2023 | November 29, 2023 | |||||
February 23, 2024 | March 1, 2024 | |||||
Total 2023 Dividend Year | $ | $ | ||||
May 14, 2024 | May 21, 2024 | $ | $ | |||
Total 2024 Dividend Year (through Q1 2024) | $ | $ |
Unvested Shares | Performance- Vesting Restricted Stock Units(1) | Weighted- Average Grant Date Fair Value | Restricted Stock Units | Weighted- Average Grant Date Fair Value | Unvested Common Shares(2) | Weighted- Average Grant Date Fair Value | |||||
Balance, December 31, 2023 | $ | $ | $ | ||||||||
Granted (3) | $ | $ | $ | ||||||||
Vested (4) | $ | $ | $ | ||||||||
Forfeited | $ | $ | $ | ||||||||
Balance, March 31, 2024 | $ | $ | $ |
Three Months Ended March 31, 2024 | |||||||
Global Private Equity | Global Credit | Global Investment Solutions | Total | ||||
(Dollars in millions) | |||||||
Segment Revenues | |||||||
Fund level fee revenues | |||||||
Fund management fees | $ | $ | $ | $ | |||
Portfolio advisory and transaction fees, net and other | |||||||
Fee related performance revenues | |||||||
Total fund level fee revenues | |||||||
Realized performance revenues | |||||||
Realized principal investment income | |||||||
Interest income | |||||||
Total revenues | |||||||
Segment Expenses | |||||||
Compensation and benefits | |||||||
Cash-based compensation and benefits | |||||||
Realized performance revenues related compensation | |||||||
Total compensation and benefits | |||||||
General, administrative, and other indirect expenses | |||||||
Depreciation and amortization expense | |||||||
Interest expense | |||||||
Total expenses | |||||||
Distributable Earnings | $ | $ | $ | $ | |||
(-) Realized Net Performance Revenues | |||||||
(-) Realized Principal Investment Income | |||||||
(+) Net Interest | |||||||
(=) Fee Related Earnings | $ | $ | $ | $ | |||
Segment assets as of March 31, 2024 | $ | $ | $ | $ | |||
Three Months Ended March 31, 2023 | |||||||
Global Private Equity | Global Credit | Global Investment Solutions | Total | ||||
(Dollars in millions) | |||||||
Segment Revenues | |||||||
Fund level fee revenues | |||||||
Fund management fees | $ | $ | $ | $ | |||
Portfolio advisory and transaction fees, net and other | |||||||
Fee related performance revenues | |||||||
Total fund level fee revenues | |||||||
Realized performance revenues | |||||||
Realized principal investment income | |||||||
Interest income | |||||||
Total revenues | |||||||
Segment Expenses | |||||||
Compensation and benefits | |||||||
Cash-based compensation and benefits | |||||||
Realized performance revenues related compensation | |||||||
Total compensation and benefits | |||||||
General, administrative, and other indirect expenses | |||||||
Depreciation and amortization expense | |||||||
Interest expense | |||||||
Total expenses | |||||||
Distributable Earnings | $ | $ | $ | $ | |||
(-) Realized Net Performance Revenues | |||||||
(-) Realized Principal Investment Income | |||||||
(+) Net Interest | |||||||
(=) Fee Related Earnings | $ | $ | $ | $ | |||
Three Months Ended March 31, 2024 | |||||||||
Total Reportable Segments | Consolidated Funds | Reconciling Items | Carlyle Consolidated | ||||||
(Dollars in millions) | |||||||||
Revenues | $ | $ | $( | (a) | $ | ||||
Expenses | $ | $ | $( | (b) | $ | ||||
Other income (loss) | $ | $( | $ | (c) | $( | ||||
Distributable earnings | $ | $ | $( | (d) | $ | ||||
Total assets | $ | $ | $( | (e) | $ |
Three Months Ended March 31, 2023 | |||||||||
Total Reportable Segments | Consolidated Funds | Reconciling Items | Carlyle Consolidated | ||||||
(Dollars in millions) | |||||||||
Revenues | $ | $ | $( | (a) | $ | ||||
Expenses | $ | $ | $ | (b) | $ | ||||
Other income (loss) | $ | $ | $ | (c) | $ | ||||
Distributable earnings | $ | $ | $( | (d) | $ |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Unrealized performance and fee related performance revenues | $( | $( | |
Unrealized principal investment income (loss) | ( | ||
Adjustments related to expenses associated with investments in NGP Management and its affiliates | ( | ( | |
Non-controlling interests and other adjustments to present certain costs on a net basis | |||
Elimination of revenues of Consolidated Funds | ( | ( | |
$( | $( |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Total Reportable Segments - Fund level fee revenues | $ | $ | |
Adjustments(1) | ( | ( | |
Carlyle Consolidated - Fund management fees | $ | $ |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Unrealized performance and fee related performance revenue compensation expense | $( | $( | |
Equity-based compensation | |||
Acquisition or disposition-related charges and amortization of intangibles and impairment | |||
Tax (expense) benefit associated with certain foreign performance revenues related compensation | ( | ( | |
Non-controlling interests and other adjustments to present certain costs on a net basis | |||
Other adjustments | |||
Elimination of expenses of Consolidated Funds | ( | ( | |
$( | $ |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Income (loss) before provision for income taxes | $ | $ | |
Adjustments: | |||
Net unrealized performance and fee related performance revenues | |||
Unrealized principal investment (income) loss | ( | ||
Equity-based compensation(1) | |||
Acquisition or disposition-related charges, including amortization of intangibles and impairment | |||
Tax expense associated with certain foreign performance revenues | ( | ( | |
Net income attributable to non-controlling interests in consolidated entities | ( | ( | |
Other adjustments | |||
Distributable Earnings | $ | $ | |
Realized performance revenues, net of related compensation(2) | |||
Realized principal investment income(2) | |||
Net interest | |||
Fee Related Earnings | $ | $ |
Three Months Ended March 31, 2024 | |||||
Carlyle Consolidated | Adjustments (3) | Total Reportable Segments | |||
(Dollars in millions) | |||||
Performance revenues | $( | $ | $ | ||
Performance revenues related compensation expense | ( | ||||
Net performance revenues | $( | $ | $ | ||
Principal investment income (loss) | $ | $( | $ |
Three Months Ended March 31, 2023 | |||||
Carlyle Consolidated | Adjustments (3) | Total Reportable Segments | |||
(Dollars in millions) | |||||
Performance revenues | $ | $ | $ | ||
Performance revenues related compensation expense | ( | ||||
Net performance revenues | $ | $ | $ | ||
Principal investment income (loss) | $ | $ | $ |
As of March 31, 2024 | |||||||
Consolidated Operating Entities | Consolidated Funds | Eliminations | Consolidated | ||||
(Dollars in millions) | |||||||
Assets | |||||||
Cash and cash equivalents | $ | $ | $ | $ | |||
Cash and cash equivalents held at Consolidated Funds | |||||||
Restricted cash | |||||||
Investments, including performance allocations of $ | ( | ||||||
Investments of Consolidated Funds | ( | ||||||
Due from affiliates and other receivables, net | ( | ||||||
Due from affiliates and other receivables of Consolidated Funds, net | |||||||
Fixed assets, net | |||||||
Lease right-of-use assets, net | |||||||
Deposits and other | |||||||
Intangible assets, net | |||||||
Deferred tax assets | |||||||
Total assets | $ | $ | $( | $ | |||
Liabilities and equity | |||||||
Debt obligations | $ | $ | $ | $ | |||
Loans payable of Consolidated Funds | ( | ||||||
Accounts payable, accrued expenses and other liabilities | |||||||
Accrued compensation and benefits | |||||||
Due to affiliates | |||||||
Deferred revenue | |||||||
Deferred tax liabilities | |||||||
Other liabilities of Consolidated Funds | |||||||
Lease liabilities | |||||||
Accrued giveback obligations | |||||||
Total liabilities | ( | ||||||
Common stock | |||||||
Additional paid-in capital | ( | ||||||
Retained earnings | |||||||
Accumulated other comprehensive loss | ( | ( | ( | ||||
Non-controlling interests in consolidated entities | |||||||
Total equity | ( | ||||||
Total liabilities and equity | $ | $ | $( | $ |
As of December 31, 2023 | |||||||
Consolidated Operating Entities | Consolidated Funds | Eliminations | Consolidated | ||||
(Dollars in millions) | |||||||
Assets | |||||||
Cash and cash equivalents | $ | $ | $ | $ | |||
Cash and cash equivalents held at Consolidated Funds | |||||||
Restricted cash | |||||||
Investments, including performance allocations of $ | ( | ||||||
Investments of Consolidated Funds | ( | ||||||
Due from affiliates and other receivables, net | ( | ||||||
Due from affiliates and other receivables of Consolidated Funds, net | |||||||
Fixed assets, net | |||||||
Lease right-of-use assets, net | |||||||
Deposits and other | |||||||
Intangible assets, net | |||||||
Deferred tax assets | |||||||
Total assets | $ | $ | $( | $ | |||
Liabilities and equity | |||||||
Debt obligations | $ | $ | $ | $ | |||
Loans payable of Consolidated Funds | ( | ||||||
Accounts payable, accrued expenses and other liabilities | |||||||
Accrued compensation and benefits | |||||||
Due to affiliates | |||||||
Deferred revenue | |||||||
Deferred tax liabilities | |||||||
Other liabilities of Consolidated Funds | |||||||
Lease liabilities | |||||||
Accrued giveback obligations | |||||||
Total liabilities | ( | ||||||
Common stock | |||||||
Additional paid-in capital | ( | ||||||
Retained earnings | |||||||
Accumulated other comprehensive loss | ( | ( | ( | ||||
Non-controlling interests in consolidated entities | |||||||
Total equity | ( | ||||||
Total liabilities and equity | $ | $ | $( | $ |
Three Months Ended March 31, 2024 | |||||||
Consolidated Operating Entities | Consolidated Funds | Eliminations | Consolidated | ||||
(Dollars in millions) | |||||||
Revenues | |||||||
Fund management fees | $ | $ | $( | $ | |||
Incentive fees | |||||||
Investment income (loss) | |||||||
Performance allocations | ( | ( | ( | ||||
Principal investment income | ( | ||||||
Total investment loss | ( | ( | ( | ||||
Interest and other income | ( | ||||||
Interest and other income of Consolidated Funds | |||||||
Total revenues | ( | ||||||
Expenses | |||||||
Compensation and benefits | |||||||
Cash-based compensation and benefits | |||||||
Equity-based compensation | |||||||
Performance allocations and incentive fee related compensation | ( | ( | |||||
Total compensation and benefits | |||||||
General, administrative and other expenses | |||||||
Interest | |||||||
Interest and other expenses of Consolidated Funds | ( | ||||||
Other non-operating expenses | |||||||
Total expenses | ( | ||||||
Other income (loss) | |||||||
Net investment loss of Consolidated Funds | ( | ( | |||||
Income before provision for income taxes | ( | ||||||
Provision for income taxes | |||||||
Net income | ( | ||||||
Net income attributable to non-controlling interests in consolidated entities | |||||||
Net income attributable to The Carlyle Group Inc. | $ | $ | $( | $ |
Three Months Ended March 31, 2023 | |||||||
Consolidated Operating Entities | Consolidated Funds | Eliminations | Consolidated | ||||
(Dollars in millions) | |||||||
Revenues | |||||||
Fund management fees | $ | $ | $( | $ | |||
Incentive fees | ( | ||||||
Investment income | |||||||
Performance allocations | ( | ||||||
Principal investment income | ( | ||||||
Total investment income | ( | ||||||
Interest and other income | ( | ||||||
Interest and other income of Consolidated Funds | |||||||
Total revenues | ( | ||||||
Expenses | |||||||
Compensation and benefits | |||||||
Cash-based compensation and benefits | |||||||
Equity-based compensation | |||||||
Performance allocations and incentive fee related compensation | |||||||
Total compensation and benefits | |||||||
General, administrative and other expenses | ( | ||||||
Interest | |||||||
Interest and other expenses of Consolidated Funds | ( | ||||||
Other non-operating expenses | |||||||
Total expenses | ( | ||||||
Other income (loss) | |||||||
Net investment income of Consolidated Funds | |||||||
Income before provision for income taxes | ( | ||||||
Provision for income taxes | |||||||
Net income | ( | ||||||
Net income attributable to non-controlling interests in consolidated entities | |||||||
Net income attributable to The Carlyle Group Inc. | $ | $ | $( | $ |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Cash flows from operating activities | |||
Net income | $ | $ | |
Adjustments to reconcile net income to net cash flows from operating activities: | |||
Depreciation and amortization | |||
Equity-based compensation | |||
Non-cash performance allocations and incentive fees | ( | ||
Non-cash principal investment income | ( | ( | |
Other non-cash amounts | ( | ||
Purchases of investments | ( | ( | |
Proceeds from the sale of investments | |||
Payments of contingent consideration | ( | ( | |
Change in deferred taxes, net | ( | ( | |
Change in due from affiliates and other receivables | |||
Change in deposits and other | ( | ( | |
Change in accounts payable, accrued expenses and other liabilities | ( | ||
Change in accrued compensation and benefits | ( | ( | |
Change in due to affiliates | ( | ( | |
Change in lease right-of-use asset and lease liability | ( | ( | |
Change in deferred revenue | |||
Net cash provided by operating activities | ( | ||
Cash flows from investing activities | |||
Purchases of corporate treasury investments | ( | ||
Proceeds from corporate treasury investments | |||
Purchases of fixed assets, net | ( | ( | |
Net cash used in investing activities | ( | ( | |
Cash flows from financing activities | |||
Payments on CLO borrowings | ( | ( | |
Proceeds from CLO borrowings, net of financing costs | |||
Dividends to common stockholders | ( | ( | |
Payment of deferred consideration for Carlyle Holdings units | ( | ( | |
Contributions from non-controlling interest holders | |||
Distributions to non-controlling interest holders | ( | ( | |
Common shares repurchased and net share settlement of equity awards | ( | ( | |
Change in due to/from affiliates financing activities | |||
Net cash used in financing activities | ( | ( | |
Effect of foreign exchange rate changes | ( | ||
Decrease in cash, cash equivalents and restricted cash | ( | ( | |
Cash, cash equivalents and restricted cash, beginning of period | |||
Cash, cash equivalents and restricted cash, end of period | $ | $ | |
Reconciliation of cash, cash equivalents and restricted cash, end of period: | |||
Cash and cash equivalents | $ | $ | |
Restricted cash | |||
Total cash, cash equivalents and restricted cash, end of period | $ | $ | |
Cash and cash equivalents held at Consolidated Funds | $ | $ |
Global Private Equity 1 | $159.2 | Global Credit | $186.4 | |
Corporate Private Equity | $106.6 | Insurance 5 | $79.1 | |
U.S. Buyout (CP) | 52.2 | Liquid Credit | $51.3 | |
Asia Buyout (CAP) | 11.8 | U.S. CLOs | 36.6 | |
Europe Buyout (CEP) | 10.7 | Europe CLOs | 10.8 | |
Carlyle Global Partners (CGP) | 6.8 | Revolving Credit | 2.0 | |
Europe Technology (CETP) | 6.3 | CLO Investment Products | 1.9 | |
Japan Buyout (CJP) | 5.7 | Private Credit | $25.8 | |
U.S. Growth (CP Growth / CEOF) | 3.6 | Opportunistic Credit (CCOF / CSP) | 16.1 | |
Life Sciences (ABV / ACCD) | 2.2 | Direct Lending 6 | 9.7 | |
Asia Growth (CAP Growth / CAGP) | 1.2 | Real Assets Credit | $17.0 | |
Other 2 | 6.3 | Aviation (SASOF / CALF) | 12.2 | |
Infrastructure (CICF) | 4.0 | |||
Real Estate | $27.7 | Other 7 | 0.8 | |
U.S. Real Estate (CRP) | 16.9 | Platform Initiatives | $13.1 | |
Core Plus Real Estate (CPI) | 7.6 | Credit Strategic Solutions | 7.0 | |
International Real Estate (CER) | 3.2 | Carlyle Tactical Private Credit (CTAC) | 3.9 | |
Other Cross-Platform Credit Products | 2.1 | |||
Infrastructure & Natural Resources | $24.9 | Global Investment Solutions | $79.9 | |
NGP Energy 3 | 11.0 | Secondaries and Portfolio Finance (ASF / ASPF) | $33.1 | |
Infrastructure & Renewable Energy 4 | 7.6 | Co-Investments (ACF) | $21.4 | |
International Energy (CIEP) | 6.2 | Primary Investments & Other 8 | $25.4 | |
As of March 31, | |||
2024 | 2023 | ||
Consolidated Results | (Dollars in millions) | ||
Components of Fee-earning AUM | |||
Fee-earning AUM based on capital commitments | $72,095 | $81,854 | |
Fee-earning AUM based on invested capital | 68,662 | 61,233 | |
Fee-earning AUM based on collateral balances, at par | 48,072 | 46,268 | |
Fee-earning AUM based on net asset value | 20,137 | 12,410 | |
Fee-earning AUM based on fair value and other | 95,259 | 69,593 | |
Balance, End of Period(1) | $304,225 | $271,358 |
Three Months Ended March 31, | |||
2024 | 2023 | ||
Consolidated Results | (Dollars in millions) | ||
Fee-earning AUM Rollforward | |||
Balance, Beginning of Period | $307,418 | $266,577 | |
Inflows(1) | 5,664 | 6,278 | |
Outflows (including realizations)(2) | (6,311) | (2,853) | |
Market Activity & Other(3) | (1,347) | 685 | |
Foreign Exchange(4) | (1,199) | 671 | |
Balance, End of Period | $304,225 | $271,358 |
Three Months Ended March 31, 2024 | |
Consolidated Results | (Dollars in millions) |
Total AUM Rollforward | |
Balance, Beginning of Period | $425,994 |
Inflows(1) | 5,334 |
Outflows (including realizations)(2) | (7,569) |
Market Activity & Other(3) | 3,720 |
Foreign Exchange(4) | (2,014) |
Balance, End of Period | $425,465 |
Three Months Ended March 31, | Change | ||||||
2024 | 2023 | $ | % | ||||
(Dollars in millions) | |||||||
Revenues | |||||||
Fund management fees | $523.6 | $500.8 | $22.8 | 5% | |||
Incentive fees | 26.2 | 19.8 | 6.4 | 32% | |||
Investment income (loss) | |||||||
Performance allocations | (157.0) | 160.8 | (317.8) | (198)% | |||
Principal investment income (loss) | 73.1 | 11.7 | 61.4 | NM | |||
Total investment income (loss) | (83.9) | 172.5 | (256.4) | (149)% | |||
Interest and other income | 57.6 | 44.0 | 13.6 | 31% | |||
Interest and other income of Consolidated Funds | 164.9 | 121.9 | 43.0 | 35% | |||
Total revenues | 688.4 | 859.0 | (170.6) | (20)% | |||
Expenses | |||||||
Compensation and benefits | |||||||
Cash-based compensation and benefits | 221.9 | 260.2 | (38.3) | (15)% | |||
Equity-based compensation | 108.3 | 54.4 | 53.9 | 99% | |||
Performance allocations and incentive fee related compensation | (72.8) | 105.7 | (178.5) | (169)% | |||
Total compensation and benefits | 257.4 | 420.3 | (162.9) | (39)% | |||
General, administrative and other expenses | 147.7 | 159.2 | (11.5) | (7)% | |||
Interest | 30.8 | 29.7 | 1.1 | 4% | |||
Interest and other expenses of Consolidated Funds | 124.6 | 93.7 | 30.9 | 33% | |||
Other non-operating expenses | 0.2 | 0.1 | 0.1 | 100% | |||
Total expenses | 560.7 | 703.0 | (142.3) | (20)% | |||
Other income (loss) | |||||||
Net investment income (loss) of Consolidated Funds | (7.0) | 3.6 | (10.6) | (294)% | |||
Income (loss) before provision for income taxes | 120.7 | 159.6 | (38.9) | (24)% | |||
Provision (benefit) for income taxes | 21.9 | 34.3 | (12.4) | (36)% | |||
Net income (loss) | 98.8 | 125.3 | (26.5) | (21)% | |||
Net income attributable to non-controlling interests in consolidated entities | 33.2 | 24.6 | 8.6 | 35% | |||
Net income (loss) attributable to The Carlyle Group Inc. Common Stockholders | $65.6 | $100.7 | $(35.1) | (35)% |
Three Months Ended March 31, | |
2024 v. 2023 | |
(Dollars in millions) | |
Higher management fees from the commencement of the investment period for certain newly raised funds | $25.5 |
Lower management fees resulting from the change in basis from commitments to invested capital and step-downs in rate for certain funds, and the impact of net investment activity in funds whose management fees are based on invested capital, including the impact of changes in the base under the strategic advisory services agreement with Fortitude | (8.3) |
Decrease in catch-up management fees from subsequent closes of funds that are in the fundraising period | (2.3) |
Higher transaction and portfolio advisory fees | 10.4 |
All other changes | (2.5) |
Total increase in Fund management fees(1) | $22.8 |
Three Months Ended March 31, | Change | ||||||
2024 | 2023 | $ | % | ||||
(Dollars in millions) | |||||||
Performance allocations | $(157.0) | $160.8 | $(317.8) | (198)% | |||
Principal investment income: | |||||||
Investment income from NGP, which includes performance allocations | 31.4 | 16.3 | 15.1 | 93% | |||
Investment income (loss) from our carry funds: | |||||||
Global Private Equity | (2.7) | 2.6 | (5.3) | (204)% | |||
Global Credit | 8.5 | 1.4 | 7.1 | NM | |||
Global Investment Solutions | 7.1 | 9.4 | (2.3) | (24)% | |||
Investment income (loss) from our CLOs | 13.4 | 17.9 | (4.5) | (25)% | |||
Investment income (loss) from Carlyle FRL | (1.2) | (26.3) | 25.1 | (95)% | |||
Investment income (loss) from our other Global Credit products | 12.5 | 2.0 | 10.5 | NM | |||
Investment income (loss) on foreign currency hedges | 2.8 | 0.4 | 2.4 | NM | |||
All other investment income (loss) | 1.3 | (12.0) | 13.3 | (111)% | |||
Total Principal investment income | 73.1 | 11.7 | 61.4 | NM | |||
Total Investment income (loss) | $(83.9) | $172.5 | $(256.4) | (149)% |
Three Months Ended March 31, | Change | ||||||
2024 | 2023 | $ | % | ||||
(Dollars in millions) | |||||||
Global Private Equity | $(363.5) | $(3.8) | $(359.7) | NM | |||
Global Credit | 65.1 | 33.4 | 31.7 | 95% | |||
Global Investment Solutions | 141.4 | 131.2 | 10.2 | 8% | |||
Total performance allocations | $(157.0) | $160.8 | $(317.8) | (198)% |
Three Months Ended March 31, | Change | ||||||
2024 | 2023 | $ | % | ||||
(Dollars in millions) | |||||||
Realized losses | $(21.2) | $(17.4) | $(3.8) | 22% | |||
Net change in unrealized gains | 103.9 | 162.4 | (58.5) | (36)% | |||
Total gains (losses) | 82.7 | 145.0 | (62.3) | (43)% | |||
Losses from liabilities of CLOs | (89.7) | (141.4) | 51.7 | (37)% | |||
Total net investment income (loss) of Consolidated Funds | $(7.0) | $3.6 | $(10.6) | NM |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Total Segment Revenues | $1,023.0 | $754.2 | |
Total Segment Expenses | 591.7 | 482.6 | |
(=) Distributable Earnings | $431.3 | $271.6 | |
(-) Realized Net Performance Revenues | 142.0 | 69.5 | |
(-) Realized Principal Investment Income | 33.7 | 23.8 | |
(+) Net Interest | 10.7 | 15.1 | |
(=) Fee Related Earnings | $266.3 | $193.4 |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Segment Revenues | |||
Fund level fee revenues | |||
Fund management fees | $515.6 | $506.2 | |
Portfolio advisory and transaction fees, net and other | 26.7 | 16.4 | |
Fee related performance revenues | 29.1 | 28.8 | |
Total fund level fee revenues | 571.4 | 551.4 | |
Realized performance revenues | 397.8 | 165.1 | |
Realized principal investment income | 33.7 | 23.8 | |
Interest income | 20.1 | 13.9 | |
Total Segment Revenues | $1,023.0 | $754.2 |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Segment Expenses | |||
Compensation and benefits | |||
Cash-based compensation and benefits | $214.3 | $260.6 | |
Realized performance revenue related compensation | 255.8 | 95.6 | |
Total compensation and benefits | 470.1 | 356.2 | |
General, administrative, and other indirect expenses | 79.7 | 87.5 | |
Depreciation and amortization expense | 11.1 | 9.9 | |
Interest expense | 30.8 | 29.0 | |
Total Segment Expenses | $591.7 | $482.6 |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Income (loss) before provision for income taxes | $120.7 | $159.6 | |
Adjustments: | |||
Net unrealized performance and fee related performance revenues | 193.2 | 18.4 | |
Unrealized principal investment (income) loss | (4.4) | 29.0 | |
Equity-based compensation(1) | 111.0 | 57.1 | |
Acquisition or disposition-related charges, including amortization of intangibles and impairment | 32.8 | 28.7 | |
Tax expense associated with certain foreign performance revenues | (1.0) | (0.5) | |
Net (income) loss attributable to non-controlling interests in consolidated entities | (33.2) | (24.6) | |
Other adjustments | 12.2 | 3.9 | |
(=) Distributable Earnings | $431.3 | $271.6 | |
(-) Realized net performance revenues, net of related compensation(2) | 142.0 | 69.5 | |
(-) Realized principal investment income(2) | 33.7 | 23.8 | |
(+) Net interest | 10.7 | 15.1 | |
(=) Fee Related Earnings | $266.3 | $193.4 |
Three Months Ended March 31, 2024 | |||||
Carlyle Consolidated | Adjustments(3) | Total Reportable Segments | |||
(Dollars in millions) | |||||
Performance revenues | $(157.0) | $554.8 | $397.8 | ||
Performance revenues related compensation expense | (72.8) | 328.6 | 255.8 | ||
Net performance revenues | $(84.2) | $226.2 | $142.0 | ||
Principal investment income (loss) | $73.1 | $(39.4) | $33.7 |
Three Months Ended March 31, 2023 | |||||
Carlyle Consolidated | Adjustments(3) | Total Reportable Segments | |||
(Dollars in millions) | |||||
Performance revenues | $160.8 | $4.3 | $165.1 | ||
Performance revenues related compensation expense | 105.7 | (10.1) | 95.6 | ||
Net performance revenues | $55.1 | $14.4 | $69.5 | ||
Principal investment income (loss) | $11.7 | $12.1 | $23.8 |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Global Private Equity | $313.1 | $182.8 | |
Global Credit | 82.1 | 68.9 | |
Global Investment Solutions | 36.1 | 19.9 | |
Distributable Earnings | $431.3 | $271.6 |
Three Months Ended March 31, | Change | ||||||
2024 | 2023 | $ | % | ||||
(Dollars in millions) | |||||||
Segment Revenues | |||||||
Fund level fee revenues | |||||||
Fund management fees | $304.6 | $326.9 | $(22.3) | (7)% | |||
Portfolio advisory and transaction fees, net and other | 7.1 | 5.4 | 1.7 | 31% | |||
Fee related performance revenues | 3.7 | 9.6 | (5.9) | (61)% | |||
Total fund level fee revenues | 315.4 | 341.9 | (26.5) | (8)% | |||
Realized performance revenues | 373.8 | 99.0 | 274.8 | 278% | |||
Realized principal investment income | 18.9 | 11.9 | 7.0 | 59% | |||
Interest income | 7.6 | 5.4 | 2.2 | 41% | |||
Total revenues | 715.7 | 458.2 | 257.5 | 56% | |||
Segment Expenses | |||||||
Compensation and benefits | |||||||
Cash-based compensation and benefits | 109.3 | 148.7 | (39.4) | (26)% | |||
Realized performance revenues related compensation | 234.3 | 46.3 | 188.0 | NM | |||
Total compensation and benefits | 343.6 | 195.0 | 148.6 | 76% | |||
General, administrative, and other indirect expenses | 38.6 | 57.1 | (18.5) | (32)% | |||
Depreciation and amortization expense | 6.4 | 6.7 | (0.3) | (4)% | |||
Interest expense | 14.0 | 16.6 | (2.6) | (16)% | |||
Total expenses | 402.6 | 275.4 | 127.2 | 46% | |||
(=) Distributable Earnings | $313.1 | $182.8 | $130.3 | 71% | |||
(-) Realized Net Performance Revenues | 139.5 | 52.7 | 86.8 | 165% | |||
(-) Realized Principal Investment Income | 18.9 | 11.9 | 7.0 | 59% | |||
(+) Net Interest | 6.4 | 11.2 | (4.8) | (43)% | |||
(=) Fee Related Earnings | $161.1 | $129.4 | $31.7 | 24% |
Three Months Ended March 31, | |
2024 v. 2023 | |
(Dollars in millions) | |
Distributable Earnings, March 31, 2023 | $182.8 |
Increases (decreases): | |
Increase in fee related earnings | 31.7 |
Increase in realized net performance revenues | 86.8 |
Increase in realized principal investment income | 7.0 |
Decrease in net interest | 4.8 |
Total increase | 130.3 |
Distributable Earnings, March 31, 2024 | $313.1 |
Three Months Ended March 31, | |
2024 v. 2023 | |
(Dollars in millions) | |
Fee Related Earnings, March 31, 2023 | $129.4 |
Increases (decreases): | |
Decrease in fee revenues | (26.5) |
Decrease in cash-based compensation and benefits | 39.4 |
Decrease in general, administrative and other indirect expenses | 18.5 |
All other changes | 0.3 |
Total increase | 31.7 |
Fee Related Earnings, March 31, 2024 | $161.1 |
Three Months Ended March 31, | |
2024 v. 2023 | |
(Dollars in millions) | |
Lower fund management fees | $(22.3) |
Higher portfolio advisory and transaction fees, net and other | 1.7 |
Lower fee related performance revenues | (5.9) |
Total decrease in fee revenues | $(26.5) |
As of March 31, | |||
2024 | 2023 | ||
Global Private Equity | (Dollars in millions) | ||
Components of Fee-earning AUM(1) | |||
Fee-earning AUM based on capital commitments | $51,370 | $55,763 | |
Fee-earning AUM based on invested capital | 42,627 | 42,004 | |
Fee-earning AUM based on net asset value | 7,110 | 6,324 | |
Fee-earning AUM based on lower of cost or fair value | 2,917 | 3,706 | |
Total Fee-earning AUM | $104,024 | $107,797 | |
Annualized Management Fee Rate(2) | 1.15% | 1.19% |
Three Months Ended March 31, | |||
2024 | 2023 | ||
Global Private Equity | (Dollars in millions) | ||
Fee-earning AUM Rollforward | |||
Balance, Beginning of Period | $106,651 | $107,801 | |
Inflows(1) | 719 | 1,486 | |
Outflows (including realizations)(2) | (2,616) | (1,592) | |
Market Activity & Other(3) | (224) | (73) | |
Foreign Exchange(4) | (506) | 175 | |
Balance, End of Period | $104,024 | $107,797 |
Three Months Ended March 31, 2024 | |
(Dollars in millions) | |
Global Private Equity | |
Total AUM Rollforward | |
Balance, Beginning of Period | $161,308 |
Inflows(1) | 1,506 |
Outflows (including realizations)(2) | (3,174) |
Market Activity & Other(3) | 490 |
Foreign Exchange(4) | (940) |
Balance, End of Period | $159,190 |
(Amounts in millions) | TOTAL INVESTMENTS | REALIZED/PARTIALLY REALIZED INVESTMENTS(5) | ||||||||||||
As of March 31, 2024 | As of March 31, 2024 | |||||||||||||
Fund (Fee Initiation Date/Stepdown Date)(19) | Committed Capital(20) | Cumulative Invested Capital(1) | Percent Invested | Realized Value(2) | Remaining Fair Value(3) | MOIC (4) | Gross IRR (6)(12) | Net IRR (7)(12) | Net Accrued Carry/ (Giveback) (8) | Total Fair Value(9) | MOIC (4) | Gross IRR (6)(12) | ||
Corporate Private Equity | ||||||||||||||
CP VIII (Oct 2021 / Oct 2027) | $14,797 | $7,836 | 53% | $681 | $8,849 | 1.2x | NM | NM | $— | n/a | n/a | n/a | ||
CP VII (May 2018 / Oct 2021) | $18,510 | $17,740 | 96% | $2,150 | $22,616 | 1.4x | 11% | 8% | $3 | $1,643 | 1.3x | 13% | ||
CP VI (May 2013 / May 2018) | $13,000 | $13,140 | 101% | $24,133 | $4,636 | 2.2x | 18% | 14% | $170 | $26,254 | 2.5x | 22% | ||
CP V (Jun 2007 / May 2013) | $13,720 | $13,238 | 96% | $28,102 | $803 | 2.2x | 18% | 14% | $56 | $28,149 | 2.3x | 20% | ||
CEP V (Oct 2018 / Sep 2024) | €6,416 | €5,545 | 86% | €1,446 | €6,020 | 1.3x | 14% | 8% | $11 | n/a | n/a | n/a | ||
CEP IV (Sep 2014 / Oct 2018) | €3,670 | €3,797 | 103% | €6,190 | €1,380 | 2.0x | 17% | 12% | $85 | €6,261 | 2.1x | 20% | ||
CEP III (Jul 2007 / Dec 2012) | €5,295 | €5,177 | 98% | €11,724 | €105 | 2.3x | 19% | 14% | $8 | €11,657 | 2.3x | 19% | ||
CAP V (Jun 2018 / Jun 2024) | $6,554 | $6,047 | 92% | $1,671 | $6,582 | 1.4x | 17% | 8% | $86 | $944 | 1.9x | 143% | ||
CAP IV (Jul 2013 / Jun 2018) | $3,880 | $4,146 | 107% | $7,678 | $995 | 2.1x | 18% | 13% | $61 | $7,587 | 2.9x | 25% | ||
CJP IV (Oct 2020 / Oct 2026) | ¥258,000 | ¥180,016 | 70% | ¥53,996 | ¥249,645 | 1.7x | 47% | 28% | $47 | ¥50,751 | 3.5x | 150% | ||
CJP III (Sep 2013 / Aug 2020) | ¥119,505 | ¥91,192 | 76% | ¥214,998 | ¥42,750 | 2.8x | 24% | 18% | $17 | ¥203,055 | 3.4x | 27% | ||
CGFSP III (Dec 2017 / Dec 2023) | $1,005 | $956 | 95% | $385 | $1,754 | 2.2x | 28% | 21% | $72 | $781 | 6.2x | 49% | ||
CGFSP II (Jun 2013 / Dec 2017) | $1,000 | $943 | 94% | $1,960 | $566 | 2.7x | 26% | 20% | $32 | $1,956 | 2.4x | 28% | ||
CP Growth (Oct 2021 / Oct 2027) | $1,283 | $472 | 37% | $— | $521 | 1.1x | NM | NM | $— | n/a | n/a | n/a | ||
CEOF II (Nov 2015 / Mar 2020) | $2,400 | $2,361 | 98% | $3,095 | $1,926 | 2.1x | 20% | 15% | $83 | $3,122 | 2.9x | 37% | ||
CETP V (Mar 2022 / Jun 2028) | €3,180 | €1,023 | 32% | €— | €1,030 | 1.0x | NM | NM | $— | n/a | n/a | n/a | ||
CETP IV (Jul 2019 / Jun 2022) | €1,350 | €1,186 | 88% | €915 | €1,660 | 2.2x | 36% | 26% | $64 | €892 | 5.9x | 91% | ||
CETP III (Jul 2014 / Jul 2019) | €657 | €602 | 92% | €1,278 | €808 | 3.5x | 42% | 29% | $50 | €1,290 | 3.4x | 46% | ||
CGP II (Dec 2020 / Jan 2025) | $1,840 | $984 | 53% | $39 | $1,183 | 1.2x | 11% | 6% | $7 | n/a | n/a | n/a | ||
CGP (Jan 2015 / Mar 2021) | $3,588 | $3,206 | 89% | $1,427 | $3,032 | 1.4x | 6% | 5% | $29 | $1,688 | 2.1x | 16% | ||
CAGP IV (Aug 2008 / Dec 2014) | $1,041 | $954 | 92% | $1,141 | $77 | 1.3x | 6% | 1% | $— | $1,131 | 1.3x | 7% | ||
CSABF (Dec 2009 / Dec 2016) | $776 | $773 | 100% | $541 | $298 | 1.1x | 1% | Neg | $— | $645 | 1.3x | 5% | ||
All Other Active Funds & Vehicles(10) | $20,573 | n/a | $17,109 | $15,754 | 1.6x | 21% | 14% | $27 | $16,939 | 2.1x | 29% | |||
Fully Realized Funds & Vehicles(11)(21) | $30,851 | n/a | $74,155 | $2 | 2.4x | 28% | 20% | $3 | $74,156 | 2.4x | 28% | |||
TOTAL CORPORATE PRIVATE EQUITY(13) | $144,710 | n/a | $189,299 | $83,400 | 1.9x | 25% | 17% | $909 | $188,360 | 2.4x | 26% | |||
Real Estate | ||||||||||||||
CRP IX (Oct 2021 / Oct 2026) | $7,987 | $3,924 | 49% | $32 | $4,169 | 1.1x | NM | NM | $— | $33 | 1.2x | NM | ||
CRP VIII (Aug 2017 / Oct 2021) | $5,505 | $5,213 | 95% | $4,778 | $4,173 | 1.7x | 38% | 23% | $108 | $4,803 | 2.1x | 54% | ||
CRP VII (Jun 2014 / Dec 2017) | $4,162 | $3,848 | 92% | $4,914 | $1,438 | 1.7x | 17% | 10% | $38 | $4,874 | 1.8x | 22% | ||
CRP VI (Mar 2011 / Jun 2014) | $2,340 | $2,180 | 93% | $3,792 | $154 | 1.8x | 27% | 18% | $3 | $3,711 | 1.9x | 29% | ||
CPI (May 2016 / n/a) | $7,647 | $7,991 | 104% | $2,533 | $7,714 | 1.3x | 13% | 11% | n/a* | $1,493 | 1.7x | 10% | ||
All Other Active Funds & Vehicles(14) | $3,074 | n/a | $1,241 | $2,881 | 1.3x | 9% | 7% | $6 | $868 | 1.7x | 20% | |||
Fully Realized Funds & Vehicles(15)(21) | $12,903 | n/a | $19,496 | $14 | 1.5x | 10% | 6% | $— | $19,509 | 1.5x | 10% | |||
TOTAL REAL ESTATE(13) | $39,133 | n/a | $36,786 | $20,543 | 1.5x | 12% | 8% | $155 | $35,290 | 1.7x | 13% | |||
Infrastructure & Natural Resources | ||||||||||||||
CIEP II (Apr 2019 / Apr 2025) | $2,286 | $1,008 | 44% | $707 | $961 | 1.7x | 31% | 13% | $27 | $644 | 2.7x | NM** | ||
CIEP I (Sep 2013 / Jun 2019) | $2,500 | $2,422 | 97% | $2,619 | $1,895 | 1.9x | 16% | 9% | $78 | $3,380 | 2.3x | 20% | ||
CPP II (Sep 2014 / Apr 2021) | $1,527 | $1,592 | 104% | $1,238 | $1,702 | 1.8x | 15% | 10% | $78 | $1,651 | 3.2x | 30% | ||
CGIOF (Dec 2018 / Sep 2023) | $2,201 | $1,849 | 84% | $451 | $2,426 | 1.6x | 22% | 12% | $54 | $299 | 1.6x | 20% | ||
CRSEF II (Nov 2022 / Aug 2027) | $1,125 | $322 | 29% | $— | $407 | 1.3x | NM | NM | $2 | n/a | n/a | n/a | ||
NGP XIII (Feb 2023 / Feb 2028) | $1,658 | $170 | 10% | $— | $186 | 1.1x | NM | NM | $— | n/a | n/a | n/a | ||
NGP XII (Jul 2017 / Jul 2022) | $4,304 | $3,053 | 71% | $3,695 | $2,638 | 2.1x | 22% | 16% | $39 | $3,569 | 3.5x | 41% | ||
NGP XI (Oct 2014 / Jul 2017) | $5,325 | $5,034 | 95% | $6,031 | $3,721 | 1.9x | 14% | 10% | $139 | $6,922 | 2.1x | 23% | ||
NGP X (Jan 2012 / Dec 2014) | $3,586 | $3,351 | 93% | $3,417 | $292 | 1.1x | 3% | Neg | $— | $3,261 | 1.2x | 5% | ||
All Other Active Funds & Vehicles(17) | $4,907 | n/a | $3,429 | $4,043 | 1.5x | 14% | 12% | $19 | $3,364 | 2.2x | 23% | |||
Fully Realized Funds & Vehicles(18)(21) | $1,190 | n/a | $1,435 | $— | 1.2x | 3% | 1% | $— | $1,435 | 1.2x | 3% | |||
TOTAL INFRASTRUCTURE & NATURAL RESOURCES(13) | $24,896 | n/a | $23,022 | $18,269 | 1.7x | 12% | 8% | $436 | $24,524 | 2.0x | 16% | |||
Legacy Energy Funds(16) | $16,741 | n/a | $23,998 | $34 | 1.4x | 12% | 6% | $(1) | $23,566 | 1.5x | 14% |
Three Months Ended March 31, | Change | ||||||
2024 | 2023 | $ | % | ||||
(Dollars in millions) | |||||||
Segment Revenues | |||||||
Fund level fee revenues | |||||||
Fund management fees | $136.9 | $122.6 | $14.3 | 12% | |||
Portfolio advisory and transaction fees, net and other | 19.6 | 11.0 | 8.6 | 78% | |||
Fee related performance revenues | 24.2 | 18.4 | 5.8 | 32% | |||
Total fund level fee revenues | 180.7 | 152.0 | 28.7 | 19% | |||
Realized performance revenues | 0.6 | 27.7 | (27.1) | (98)% | |||
Realized principal investment income | 13.8 | 9.0 | 4.8 | 53% | |||
Interest income | 10.7 | 7.2 | 3.5 | 49% | |||
Total revenues | 205.8 | 195.9 | 9.9 | 5% | |||
Segment Expenses | |||||||
Compensation and benefits | |||||||
Cash-based compensation and benefits | 76.8 | 80.4 | (3.6) | (4)% | |||
Realized performance revenues related compensation | 0.3 | 12.7 | (12.4) | (98)% | |||
Total compensation and benefits | 77.1 | 93.1 | (16.0) | (17)% | |||
General, administrative, and other indirect expenses | 29.6 | 21.7 | 7.9 | 36% | |||
Depreciation and amortization expense | 3.1 | 2.0 | 1.1 | 55% | |||
Interest expense | 13.9 | 10.2 | 3.7 | 36% | |||
Total expenses | 123.7 | 127.0 | (3.3) | (3)% | |||
(=) Distributable Earnings | $82.1 | $68.9 | $13.2 | 19% | |||
(-) Realized Net Performance Revenues | 0.3 | 15.0 | (14.7) | (98)% | |||
(-) Realized Principal Investment Income | 13.8 | 9.0 | 4.8 | 53% | |||
(+) Net Interest | 3.2 | 3.0 | 0.2 | 7% | |||
(=) Fee Related Earnings | $71.2 | $47.9 | $23.3 | 49% |
Three Months Ended March 31, | |
2024 v. 2023 | |
(Dollars in millions) | |
Distributable Earnings, March 31, 2023 | $68.9 |
Increases (decreases): | |
Increase in fee related earnings | 23.3 |
Decrease in realized net performance revenues | (14.7) |
Increase in realized principal investment income | 4.8 |
Increase in net interest | (0.2) |
Total increase | 13.2 |
Distributable Earnings, March 31, 2024 | $82.1 |
Three Months Ended March 31, | |
2024 v. 2023 | |
(Dollars in millions) | |
Fee Related Earnings, March 31, 2023 | $47.9 |
Increases (decreases): | |
Increase in fee revenues | 28.7 |
Decrease in cash-based compensation and benefits | 3.6 |
Increase in general, administrative and other indirect expenses | (7.9) |
All other changes | (1.1) |
Total increase | 23.3 |
Fee Related Earnings, March 31, 2024 | $71.2 |
Three Months Ended March 31, | |
2024 v. 2023 | |
(Dollars in millions) | |
Higher fund management fees | $14.3 |
Higher portfolio advisory and transaction fees, net and other | 8.6 |
Higher fee related performance revenues | 5.8 |
Total increase in fee revenues | $28.7 |
As of March 31, | |||
2024 | 2023 | ||
Global Credit | (Dollars in millions) | ||
Components of Fee-earning AUM(1) | |||
Fee-earning AUM based on capital commitments | $2,369 | $6,100 | |
Fee-earning AUM based on invested capital | 17,361 | 14,263 | |
Fee-earning AUM based on collateral balances, at par | 48,072 | 46,268 | |
Fee-earning AUM based on net asset value | 2,110 | 1,960 | |
Fee-earning AUM based on fair value and other(2) | 83,516 | 56,709 | |
Total Fee-earning AUM | $153,428 | $125,300 | |
Annualized Management Fee Rate(3) | 0.35% | 0.40% |
Three Months Ended March 31, | |||
2024 | 2023 | ||
Global Credit | (Dollars in millions) | ||
Fee-earning AUM Rollforward | |||
Balance, Beginning of Period | $155,238 | $121,229 | |
Inflows(1) | 2,761 | 3,648 | |
Outflows (including realizations)(2) | (2,960) | (670) | |
Market Activity & Other(3) | (1,338) | 932 | |
Foreign Exchange(4) | (273) | 161 | |
Balance, End of Period | $153,428 | $125,300 |
Three Months Ended March 31, 2024 | |
(Dollars in millions) | |
Global Credit | |
Total AUM Rollforward | |
Balance, Beginning of Period | $187,826 |
Inflows(1) | 1,476 |
Outflows (including realizations)(2) | (2,364) |
Market Activity & Other(3) | (304) |
Foreign Exchange(4) | (283) |
Balance, End of Period | $186,351 |
(Dollars in millions) | TOTAL INVESTMENTS | |||||||||
As of March 31, 2024 | ||||||||||
Fund (Fee Initiation Date/Stepdown Date)(11) | Committed Capital(12) | Cumulative Invested Capital (1) | Percent Invested | Realized Value (2) | Remaining Fair Value (3) | MOIC (4) | Gross IRR (5) (8) | Net IRR (6) (8) | Net Accrued Carry/(Giveback) (7) | |
Global Credit Carry Funds | ||||||||||
CCOF III (Feb 2023 / Jun 2028) | $2,273 | $1,040 | 46% | $51 | $1,091 | 1.1x | NM | NM | $— | |
CCOF II (Nov 2020 / Oct 2025) | $4,430 | $5,263 | 119% | $1,581 | $5,006 | 1.3x | 15% | 11% | $75 | |
CCOF I (Nov 2017 / Sep 2022) | $2,373 | $3,495 | 147% | $3,026 | $1,785 | 1.4x | 17% | 12% | $29 | |
CSP IV (Apr 2016 / Dec 2020) | $2,500 | $2,500 | 100% | $970 | $2,296 | 1.3x | 10% | 5% | $— | |
CSP III (Dec 2011 / Aug 2015) | $703 | $703 | 100% | $932 | $29 | 1.4x | 18% | 8% | $— | |
CEMOF II (Dec 2015 / Jun 2019) | $1,692 | $1,713 | 101% | $1,847 | $332 | 1.3x | 7% | 3% | $— | |
SASOF III (Nov 2014 / n/a) | $833 | $991 | 119% | $1,197 | $60 | 1.3x | 18% | 10% | $5 | |
All Other Active Funds & Vehicles(9) | $10,094 | n/a | $2,403 | $8,605 | 1.1x | 3% | 2% | $34 | ||
Fully Realized Funds & Vehicles(10)(13) | $6,625 | n/a | $8,190 | $— | 1.2x | 9% | 3% | $— | ||
TOTAL GLOBAL CREDIT CARRY FUNDS | $32,424 | n/a | $20,197 | $19,204 | 1.2x | 10% | 5% | $143 |
Three Months Ended March 31, | Change | ||||||
2024 | 2023 | $ | % | ||||
(Dollars in millions) | |||||||
Segment Revenues | |||||||
Fund level fee revenues | |||||||
Fund management fees | $74.1 | $56.7 | $17.4 | 31% | |||
Fee related performance revenues | 1.2 | 0.8 | 0.4 | 50% | |||
Total fund level fee revenues | 75.3 | 57.5 | 17.8 | 31% | |||
Realized performance revenues | 23.4 | 38.4 | (15.0) | (39)% | |||
Realized principal investment income | 1.0 | 2.9 | (1.9) | (66)% | |||
Interest income | 1.8 | 1.3 | 0.5 | 38% | |||
Total revenues | 101.5 | 100.1 | 1.4 | 1% | |||
Segment Expenses | |||||||
Compensation and benefits | |||||||
Cash-based compensation and benefits | 28.2 | 31.5 | (3.3) | (10)% | |||
Realized performance revenues related compensation | 21.2 | 36.6 | (15.4) | (42)% | |||
Total compensation and benefits | 49.4 | 68.1 | (18.7) | (27)% | |||
General, administrative, and other indirect expenses | 11.5 | 8.7 | 2.8 | 32% | |||
Depreciation and amortization expense | 1.6 | 1.2 | 0.4 | 33% | |||
Interest expense | 2.9 | 2.2 | 0.7 | 32% | |||
Total expenses | 65.4 | 80.2 | (14.8) | (18)% | |||
(=) Distributable Earnings | $36.1 | $19.9 | $16.2 | 81% | |||
(-) Realized Net Performance Revenues | 2.2 | 1.8 | 0.4 | 22% | |||
(-) Realized Principal Investment Income | 1.0 | 2.9 | (1.9) | (66)% | |||
(+) Net Interest | 1.1 | 0.9 | 0.2 | 22% | |||
(=) Fee Related Earnings | $34.0 | $16.1 | $17.9 | 111% |
Three Months Ended March 31, | |
2024 v. 2023 | |
(Dollars in millions) | |
Distributable Earnings, March 31, 2023 | $19.9 |
Increases (decreases): | |
Increase in fee related earnings | 17.9 |
Increase in realized net performance revenues | 0.4 |
Decrease in realized principal investment income | (1.9) |
Increase in net interest | (0.2) |
Total increase | 16.2 |
Distributable Earnings, March 31, 2024 | $36.1 |
Three Months Ended March 31, | |
2024 v. 2023 | |
(Dollars in millions) | |
Fee Related Earnings, March 31, 2023 | $16.1 |
Increases (decreases): | |
Increase in fee revenues | 17.8 |
Decrease in cash-based compensation and benefits | 3.3 |
Increase in general, administrative and other indirect expenses | (2.8) |
All other changes | (0.4) |
Total increase | 17.9 |
Fee Related Earnings, March 31, 2024 | $34.0 |
As of March 31, | |||
2024 | 2023 | ||
Global Investment Solutions | (Dollars in millions) | ||
Components of Fee-earning AUM(1) | |||
Fee-earning AUM based on capital commitments | $18,356 | $19,991 | |
Fee-earning AUM based on invested capital(2) | 8,674 | 4,966 | |
Fee-earning AUM based on net asset value | 10,917 | 4,126 | |
Fee-earning AUM based on lower of cost or fair market value | 8,826 | 9,178 | |
Total Fee-earning AUM | $46,773 | $38,261 | |
Annualized Management Fee Rate(3) | 0.61% | 0.60% |
Three Months Ended March 31, | |||
2024 | 2023 | ||
Global Investment Solutions | (Dollars in millions) | ||
Fee-earning AUM Rollforward | |||
Balance, Beginning of Period | $45,529 | $37,547 | |
Inflows(1) | 2,184 | 1,144 | |
Outflows (including realizations)(2) | (735) | (591) | |
Market Activity & Other(3) | 215 | (174) | |
Foreign Exchange(4) | (420) | 335 | |
Balance, End of Period | $46,773 | $38,261 |
Three Months Ended March 31, 2024 | |
(Dollars in millions) | |
Global Investment Solutions | |
Total AUM Rollforward | |
Balance, Beginning of Period | $76,860 |
Inflows(1) | 2,352 |
Outflows (including realizations)(2) | (2,031) |
Market Activity & Other(3) | 3,534 |
Foreign Exchange(4) | (791) |
Balance, End of Period | $79,924 |
(Amounts in millions) | TOTAL INVESTMENTS | |||||||||||
As of March 31, 2024 | ||||||||||||
Global Investment Solutions (1)(8) | Vintage Year | Fund Size | Cumulative Invested Capital (2)(3) | Realized Value (3) | Remaining Fair Value (3) | Total Fair Value(3)(4) | MOIC (5) | Gross IRR (6)(10) | Net IRR (7)(10) | Net Accrued Carry/ (Giveback) (12) | ||
(Reported in Local Currency, in Millions) | ||||||||||||
Secondaries and Portfolio Finance | ASF VIII | 2024 | $6,506 | $1,259 | $— | $1,843 | $1,843 | 1.5x | NM | NM | $25 | |
ASF VII | 2020 | $6,769 | $5,417 | $1,057 | $6,623 | $7,679 | 1.4x | 25% | 20% | $93 | ||
ASF VII - SMAs | 2020 | €2,016 | €1,635 | €371 | €2,017 | €2,388 | 1.5x | 24% | 21% | $33 | ||
ASF VI | 2017 | $3,333 | $3,147 | $2,960 | $1,985 | $4,945 | 1.6x | 17% | 14% | $58 | ||
ASF VI - SMAs | 2017 | €2,817 | €2,739 | €2,225 | €2,201 | €4,425 | 1.6x | 16% | 14% | $48 | ||
ASF V | 2012 | $756 | $655 | $1,007 | $195 | $1,202 | 1.8x | 19% | 15% | $8 | ||
ASF V - SMAs | 2012 | €3,916 | €4,137 | €6,989 | €792 | €7,780 | 1.9x | 21% | 20% | $15 | ||
SMAs 2009-2011 | 2010 | €1,859 | €2,029 | €3,459 | €70 | €3,529 | 1.7x | 19% | 18% | $— | ||
All Other Active Funds & Vehicles (9) | Various | $1,318 | $527 | $1,278 | $1,805 | 1.4x | 23% | 21% | $17 | |||
Fully Realized Funds & Vehicles | Various | €4,312 | €7,077 | €34 | €7,111 | 1.6x | 19% | 18% | $— | |||
Co-Investments | ACF IX | 2023 | $2,998 | $450 | $— | $450 | $450 | 1.0x | NM | NM | $— | |
ACF VIII | 2021 | $3,614 | $3,243 | $45 | $3,881 | $3,926 | 1.2x | 12% | 9% | $20 | ||
ACF VIII - SMAs | 2021 | $1,069 | $847 | $32 | $1,006 | $1,038 | 1.2x | 13% | 10% | $5 | ||
ACF VII | 2017 | $1,688 | $1,620 | $805 | $2,349 | $3,154 | 1.9x | 18% | 15% | $55 | ||
ACF VII - SMAs | 2017 | €1,452 | €1,441 | €594 | €2,009 | €2,602 | 1.8x | 17% | 15% | $45 | ||
SMAs 2014-2016 | 2014 | €1,274 | €1,128 | €2,172 | €792 | €2,964 | 2.6x | 25% | 23% | $14 | ||
SMAs 2012-2013 | 2012 | €1,124 | €1,074 | €2,778 | €280 | €3,058 | 2.8x | 28% | 26% | $2 | ||
SMAs 2009-2010 | 2010 | €1,475 | €1,397 | €3,597 | €567 | €4,164 | 3.0x | 23% | 22% | $— | ||
Strategic SMAs | Various | $3,662 | $1,186 | $4,863 | $6,048 | 1.7x | 19% | 17% | $58 | |||
All Other Active Funds & Vehicles (9) | Various | €477 | €594 | €138 | €733 | 1.5x | 16% | 14% | $2 | |||
Fully Realized Funds & Vehicles | Various | €5,814 | €9,993 | €1 | €9,994 | 1.7x | 14% | 12% | $— | |||
Primary Investments | SMAs 2021-2023 | 2021 | €4,374 | €784 | €25 | €874 | €899 | 1.1x | NM | NM | $— | |
SMAs 2018-2020 | 2018 | $3,101 | $2,074 | $337 | $2,603 | $2,941 | 1.4x | 18% | 16% | $2 | ||
SMAs 2015-2017 | 2015 | €2,501 | €2,466 | €2,192 | €2,701 | €4,894 | 2.0x | 22% | 21% | $10 | ||
SMAs 2012-2014 | 2012 | €5,080 | €6,000 | €8,823 | €4,451 | €13,274 | 2.2x | 18% | 18% | $16 | ||
SMAs 2009-2011 | 2009 | €4,877 | €5,800 | €10,350 | €2,252 | €12,602 | 2.2x | 17% | 17% | $1 | ||
SMAs 2006-2008 | 2005 | €11,500 | €13,623 | €22,166 | €1,552 | €23,717 | 1.7x | 10% | 10% | $— | ||
SMAs 2003-2005 | 2003 | €4,628 | €5,143 | €8,131 | €198 | €8,329 | 1.6x | 10% | 9% | $— | ||
All Other Active Funds & Vehicles (9) | Various | €1,856 | €1,792 | €317 | €2,108 | 1.1x | 3% | 2% | $— | |||
Fully Realized Funds & Vehicles | Various | €5,025 | €8,178 | €39 | €8,217 | 1.6x | 12% | 11% | $— | |||
TOTAL GLOBAL INVESTMENT SOLUTIONS (USD)(11) | $95,855 | $117,478 | $50,040 | $167,518 | 1.7x | 14% | 13% | $527 |
Accrued Performance Allocations(1) | Accrued Giveback Obligation | Net Accrued Performance Revenues | |||
(Dollars in millions) | |||||
Global Private Equity | $3,547.7 | $(18.4) | $3,529.3 | ||
Global Credit | 381.6 | (25.6) | 356.0 | ||
Global Investment Solutions | 1,638.3 | — | 1,638.3 | ||
Total | $5,567.6 | $(44.0) | $5,523.6 | ||
Plus: Accrued performance allocations from NGP Carry Funds(2) | 488.4 | ||||
Less: Net accrued performance allocations presented as fee related performance revenues | (2.2) | ||||
Less: Accrued performance allocation-related compensation | (3,939.4) | ||||
Plus: Receivable for giveback obligations from current and former employees | 11.5 | ||||
Less: Deferred taxes on certain foreign accrued performance allocations | (25.5) | ||||
Less/Plus: Net accrued performance allocations/giveback obligations attributable to non-controlling interests in consolidated entities | 7.3 | ||||
Plus: Net accrued performance allocations attributable to Consolidated Funds, eliminated in consolidation | 10.2 | ||||
Net accrued performance revenues before timing differences | 2,073.9 | ||||
Less/Plus: Timing differences between the period when accrued performance allocations/giveback obligations are realized and the period they are collected/distributed(3) | 95.0 | ||||
Net accrued performance revenues attributable to The Carlyle Group Inc. | $2,168.9 |
Carry Fund Appreciation/(Depreciation)(1) | Net Accrued Performance Revenues | ||||||||
Quarter-to-Date | Last Twelve Months | ||||||||
Q1 2023 | Q1 2024 | Q1 2023 | Q1 2024 | ||||||
Overall Carry Fund Appreciation/(Depreciation) | 2% | 2% | 7% | 7% | |||||
Global Private Equity(2): | $1,497.9 | ||||||||
Corporate Private Equity | 1% | —% | 3% | 4% | 908.8 | ||||
Real Estate | —% | 1% | 5% | —% | 154.6 | ||||
Infrastructure & Natural Resources | —% | 2% | 24% | 10% | 434.5 | ||||
Global Credit Carry Funds | 3% | 2% | 7% | 12% | 142.5 | ||||
Global Investment Solutions Carry Funds | 5% | 5% | 7% | 10% | 528.5 | ||||
Net Accrued Performance Revenues | $2,168.9 |
Investments in Carlyle Funds | Investments in NGP(1) | Total | |||
(Dollars in millions) | |||||
Investments, excluding performance allocations | $3,047.9 | $857.7 | $3,905.6 | ||
Less: Amounts attributable to non-controlling interests in consolidated entities | (221.7) | — | (221.7) | ||
Plus: Investments in Consolidated Funds, eliminated in consolidation | 201.3 | — | 201.3 | ||
Less: Strategic equity method investments in NGP Management | — | (369.3) | (369.3) | ||
Less: Investment in NGP general partners - accrued performance allocations | — | (488.4) | (488.4) | ||
Total investments attributable to The Carlyle Group Inc. | $3,027.5 | $— | $3,027.5 |
Investments in Carlyle Funds, excluding CLOs: | |
Global Private Equity funds(1) | $887.1 |
Global Credit funds(2) | 1,202.0 |
Global Investment Solutions funds | 251.7 |
Total investments in Carlyle Funds, excluding CLOs | 2,340.8 |
Investments in CLOs | 540.8 |
Other investments | 145.9 |
Total investments attributable to The Carlyle Group Inc. | 3,027.5 |
CLO loans and other borrowings collateralized by investments attributable to The Carlyle Group Inc.(3) | (387.1) |
Total investments attributable to The Carlyle Group Inc., net of CLO loans and other borrowings | $2,640.4 |
Common Stock Dividends - Dividend Year 2024 | |||||
Quarter | Dividend per Common Share | Dividend to Common Stockholders | Record Date | Payment Date | |
(Dollars in millions, except per share data) | |||||
Q1 2024 | $0.35 | $126.0 | May 14, 2024 | May 21, 2024 | |
Total | $0.35 | $126.0 |
Common Stock Dividends - Dividend Year 2023 | |||||
Quarter | Dividend per Common Share | Dividend to Common Stockholders | Record Date | Payment Date | |
(Dollars in millions, except per share data) | |||||
Q1 2023 | $0.35 | $126.7 | May 16, 2023 | May 23, 2023 | |
Q2 2023 | 0.35 | 126.3 | August 15, 2023 | August 23, 2023 | |
Q3 2023 | 0.35 | 126.3 | November 21, 2023 | November 29, 2023 | |
Q4 2023 | 0.35 | 126.7 | February 23, 2024 | March 1, 2024 | |
Total | $1.40 | $506.0 |
Three Months Ended March 31, | |||
2024 | 2023 | ||
(Dollars in millions) | |||
Statements of Cash Flows Data | |||
Net cash provided by (used in) operating activities | $71.1 | $(112.5) | |
Net cash used in investing activities | (14.2) | (93.9) | |
Net cash used in financing activities | (216.7) | (136.5) | |
Effect of foreign exchange rate changes | (4.4) | 8.3 | |
Net change in cash, cash equivalents and restricted cash | $(164.2) | $(334.6) |
Apr. 1, 2024 to Dec. 31, 2024 | 2025-2026 | 2027-2028 | Thereafter | Total | |||||
(Dollars in millions) | |||||||||
Debt obligations(1) | $— | $61.7 | $79.0 | $2,142.4 | $2,283.1 | ||||
Interest payable(2) | 87.9 | 220.3 | 205.8 | 1,637.5 | 2,151.5 | ||||
Other consideration(3) | 0.6 | 37.0 | 18.0 | — | 55.6 | ||||
Operating lease obligations(4) | 50.2 | 133.4 | 132.3 | 296.5 | 612.4 | ||||
Capital commitments to Carlyle funds(5) | 4,235.2 | — | — | — | 4,235.2 | ||||
Tax receivable agreement payments(6) | — | 12.1 | 11.2 | 52.9 | 76.2 | ||||
Loans payable of Consolidated Funds(7) | 283.9 | 753.6 | 754.7 | 7,969.2 | 9,761.4 | ||||
Unfunded commitments of the CLOs(8) | 3.6 | — | — | — | 3.6 | ||||
Consolidated contractual obligations | 4,661.4 | 1,218.1 | 1,201.0 | 12,098.5 | 19,179.0 | ||||
Loans payable of Consolidated Funds(7) | (283.9) | (753.6) | (754.7) | (7,969.2) | (9,761.4) | ||||
Capital commitments to Carlyle funds(5) | (3,555.9) | — | — | — | (3,555.9) | ||||
Unfunded commitments of the CLOs(8) | (3.6) | — | — | — | (3.6) | ||||
Carlyle Operating Entities contractual obligations | $818.0 | $464.5 | $446.3 | $4,129.3 | $5,858.1 |
Three Months Ended March 31, | |
2024 | |
Balance, beginning of period | 361,326,172 |
Shares issued | 787,568 |
Shares repurchased/retired | (2,853,602) |
Balance, end of period | 359,260,138 |
Period | (a) Total number of shares purchased | (b) Average price paid per share | (c) Total number of shares purchased as part of publicly announced plans or programs | (d) Maximum number (or approximate dollar value) of shares that may yet be purchased under the plans or programs (3) |
(Dollars in millions, except share and per share data) | ||||
January 1, 2024 to January 31, 2024 (1) | — | $— | — | $396.8 |
February 1, 2024 to February 29, 2024 (1)(2) | 1,024,995 | $44.49 | 1,024,995 | $1,354.4 |
March 1, 2024 to March 31, 2024 (1)(2) | 1,828,607 | $46.48 | 1,828,607 | $1,269.4 |
Total | 2,853,602 | 2,853,602 |
Exhibit No. | Description |
3.1 | |
3.2 | |
10.1*+ | |
10.2*+ | |
10.3*+ | |
22* | |
31.1* | |
31.2* | |
32.1** | |
32.2** | |
101.INS | Inline XBRL Instance Document - the Instance Document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document. |
101.SCH | Inline XBRL Taxonomy Extension Schema Document. |
101.CAL | Inline XBRL Taxonomy Extension Calculation Linkbase Document. |
101.DEF | Inline XBRL Taxonomy Extension Definition Linkbase Document. |
101.LAB | Inline XBRL Taxonomy Extension Labels Linkbase Document. |
101.PRE | Inline XBRL Taxonomy Extension Presentation Linkbase Document. |
104 | The cover page from The Carlyle Group Inc.’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2024, formatted in Inline XBRL (included within the Exhibit 101 attachments). |
* | Filed herewith. |
** | Furnished herewith. |
+ | Management contract or compensatory plan or arrangement in which directors and/or executive officers are eligible to participate. |
The Carlyle Group Inc. | ||||
Date: May 7, 2024 | By: | /s/ John C. Redett | ||
Name: | John C. Redett | |||
Title: | Chief Financial Officer | |||
(Principal Financial Officer and Authorized Officer) |