KKR & Co. Inc
Q3 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +2.47%.
Did KKR Beat Earnings? Q3 2025 Results
KKR delivered a standout third quarter for fiscal 2025, posting adjusted EPS of $1.41 against a consensus estimate of $1.2979 — an 8.64% beat — while revenue of $5.53 billion ran 144.75% ahead of the $2.26 billion Wall Street had anticipated and rose 16.8% year-over-year. The engine behind the outperformance was a record $1.03 billion in Fee Related Earnings, powered by a 19% year-over-year jump in management fees as assets under management climbed 16% to $723.19 billion. Capital raising was equally impressive, with KKR pulling in $42.61 billion during the quarter — the second-highest in its history — pushing last-twelve-month inflows to $128.00 billion and dry powder to a record $126.00 billion. The firm also renewed its European pay-later receivables agreement with PayPal, underscoring the breadth of its credit deployment capabilities. Looking ahead, KKR's Strategic Holdings segment is targeting operating earnings of $350 million or more by 2026, scaling toward $1.1 billion or more by 2030, signaling confidence in the durability of its long-term earnings trajectory.
- Record management fees growing 19% year-over-year to $1.064 billion driven by growth in Fee Paying AUM
- Record Fee Related Earnings of $1.033 billion with 69% FRE margin
- $43 billion of new capital raised — the second-highest quarter in KKR's history
- $26 billion of capital invested — the most active investment quarter in KKR's history
- Insurance Operating Earnings of $305 million benefitting from $41 million actuarial assumption review impact
- Perpetual capital grew 19% year-over-year to $309 billion, representing 43% of AUM
- K-Series AUM doubled year-over-year to $29 billion across asset classes
- Global Atlantic Net Investment Income of $1.835 billion reflecting portfolio growth and higher average yields
“KKR's strong performance continued in Q3 with latest twelve month management fees, Fee Related Earnings and Adjusted Net Income all at record levels. New capital raised reached $43 billion – the highest quarterly figure for KKR in over four years – reflecting the trust we've built with our investors and continued momentum across our businesses. With a record $126 billion of dry powder, we remain incredibly well positioned to help our clients navigate the current environment.”
KKR CEO, on the earnings call
Forward Guidance & Outlook
KKR expects Strategic Holdings Operating Earnings to reach $350+ million by 2026, $700+ million by 2028, and $1.1+ billion by 2030 driven by ongoing strong operating and financial performance across the portfolio. The firm has $64 billion of committed AUM not yet paying fees with a weighted average management fee rate of approximately 80 bps that becomes payable when capital is invested or enters its investment period. With a record $126 billion of dry powder diversified across investment strategies, KKR signals it remains well-positioned for continued deployment. K-Series AUM totaled $29 billion, doubling from $14 billion a year prior, indicating strong momentum in retail distribution channels.
KKR YoY Financials
KKR Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.