Carlyle Group’s assets under management grew to $180.4 billion as of June 30, up 2% from March 31 and up 15.5% from a year ago, according to the alternative investment manager’s quarterly earnings released Wednesday.
Driving the increase were $4.7 billion in new capital commitments, more than $3.5 billion in appreciation and more than $900 million in new subscriptions to Carlyle’s hedge funds and open-end credit funds. This was offset by $6 billion in net distributions. Carlyle also reported that it had a total of $49 billion of so-called dry powder, or unspent committed capital, made up of $20.1 billion in corporate private equity, $17.9 billion in global solutions, $9.2 billion in real assets and $1.8 billion in global market strategies.
During the second quarter, Carlyle Group suffered a GAAP net loss of $3.3 million, compared to a $10.3 million net loss under GAAP in the three months ended June 30, 2012. Revenues included fund management fees that were up 1% to $242.2 million in the quarter from the same period last year and realized performance fees that were up 74% to $203.2 million in the quarter compared to the second quarter of 2012.
Distributable earnings for the quarter were $163 million on a pretax basis compared to $116 million for the quarter ended June 30, 2012.
Carlyle benefited from rising U.S. markets in the second quarter, selling shares in seven companies, including Hertz Global Holdings and Nielsen Holdings. Increased competition for deals globally prompted William Conway, Carlyle’s co-chief executive officer, to reverse his outlook for 2013, saying the firm will invest less than the $7.9 billion it did last year. Mr. Conway during the prior quarter predicted that deal activity this year would exceed that of 2012.
Bloomberg contributed to this story.
