Apollo assets rise 1.2% for quarter, 46.1% for year

Apollo Global Management reported a 1.2% increase in assets under management to $461.1 billion as of March 31 from three months earlier and up 46.1% from a year earlier.

Apollo attributed the increase from Dec. 31 to appreciation in its private equity portfolio and fundraising in its flagship funds. Apollo's private equity funds appreciated 22% on a total-return basis before fees and expenses in the first quarter from its public and private portfolio companies.

The firm reported $13.4 billion in inflows in the quarter and $128.8 billion in the year ended March 31. Apollo executives invested $24.9 billion in the first quarter and $92.3 billion in the 12-month period ended March 31.

Apollo has $49.7 billion in dry powder.

During an earnings conference call Tuesday, CEO Marc Rowan said Apollo is positioned for growth as it builds a new high-grade alpha business to make loans to large corporations and a real estate secondaries business.

Absent from the call were Leon Black, who stepped down as CEO earlier this year, and Josh Harris, co-founder, who had also been CIO.

In response to an analyst's question, Mr. Rowan said Mr. Harris "is less involved in compensation, which seems like a natural given that I'm now the CEO."

However, he said Mr. Harris is "an active and productive member of the executive team" and is on a committee that reviews Apollo's largest deals.

Apollo's largest business, credit had $323.3 billion in AUM as of March 31, up 1.6% from $328.6 billion as of Dec. 31 and up 54.2% from $209.7 billion March 31, 2020.

Private equity had $89.5 billion at the end of the first quarter, up 10.9% from the end of the prior quarter and up 32.2% year-over-year.

Real assets had $48.4 billion as of March 31, up 4.8% from three months earlier and up 27% from 12 months earlier.

Apollo reported GAAP net income of $1.5 billion for the first quarter, compared with net income under GAAP of $1.1 billion for the fourth quarter.