Apollo Global Management LLC

CIK:0001411494|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Revenues:
Investment income (loss)	$ 137,201	$ (192,178)	$ 578,786	$ 510,137
Total Revenues	1,020,532	480,277	2,264,021	1,777,164
Expenses:
Compensation and benefits	516,539	308,904	1,186,106	1,043,009
Interest expense	34,784	31,432	69,086	64,425
General, administrative and other	223,077	150,721	406,105	291,084
Total Expenses	774,400	491,057	1,661,297	1,398,518
Other Income:
Net gains from investment activities	19,874	146,054	18,338	917,316
Net gains from investment activities of consolidated variable interest entities	9,353	36,617	43,390	316,072
Interest income	28,497	5,786	60,781	8,622
Other income (loss), net	12,360	12,170	4,944	(13,013)
Total Other Income	70,084	200,627	127,453	1,228,997
Income before income tax provision	316,216	189,847	730,177	1,607,643
Income tax provision	(51,908)	(7,627)	(113,380)	(141,801)
Net Income	264,308	182,220	616,797	1,465,842
Net income attributable to non-controlling interests	(151,472)	(114,099)	(286,578)	(800,753)
Net Income Attributable to Apollo Asset Management, Inc.	112,836	68,121	330,219	665,089
Net Income Attributable to Apollo Asset Management, Inc. Common Stockholders	103,671	58,956	311,890	646,760
Series A Preferred Stock Dividends
Other Income:
Preferred stock dividends	(4,383)	(4,383)	(8,766)	(8,766)
Series B Preferred Stock Dividends
Other Income:
Preferred stock dividends	(4,782)	(4,782)	(9,563)	(9,563)
Management fees
Revenues:
Revenues	687,143	560,010	1,318,983	1,082,946
Advisory and transaction fees, net
Revenues:
Revenues	170,654	110,492	325,253	176,278
Incentive fees
Revenues:
Revenues	$ 25,534	$ 1,953	$ 40,999	$ 7,803

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Cash Flows from Operating Activities:
Net income	$ 616,797	$ 1,465,842
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Equity-based compensation	250,389	268,758
Depreciation and amortization	54,149	20,897
Unrealized (gains) losses from investment activities	(24,916)	74,913
Net investment income	(578,786)	(510,137)
Deferred taxes, net	39,284	(231,668)
Other non-cash amounts included in net income, net	83,351	55,207
Cash flows due to changes in operating assets and liabilities:
Due from related parties	(111,504)	(101,170)
Accounts payable and accrued expenses	22,032	(32,164)
Accrued compensation and benefits	113,708	55,750
Deferred revenue	(58,426)	(81,656)
Due to related parties	40,878	(27,538)
Profit sharing payable	208,557	54,193
Lease liability	(22,883)	(26,286)
Other assets and other liabilities, net	(107,091)	(723,248)
Earnings from net investment income	368,835	718,348
Satisfaction of contingent obligations	(10)	(13,259)
Apollo Fund and VIE related:
Net Cash Provided by (Used in) Operating Activities	287,743	(1,372,280)
Cash Flows from Investing Activities:
Purchases of fixed assets	(80,985)	(98,848)
Proceeds from sale of investments	11,820	4,526
Purchase of investments	(83,251)	(141,647)
Purchase of U.S. Treasury securities	(490,149)	(1,842,853)
Proceeds from maturities of U.S. Treasury securities	952,453	1,895,665
Cash contributions to principal investments	(72,702)	(118,860)
Cash distributions from principal investments	23,132	38,225
Related party inflows (Repayments)	10,300	11,506
Related party outflows (Issuances)	(16,348)	(11,873)
Other investing activities, net	0	4,045
Net Cash Provided by Investing Activities	254,270	557,123
Cash Flows from Financing Activities:
Principal repayments of debt	(4,028)	0
Dividends to Preferred Stockholders	(18,329)	(18,329)
Satisfaction of tax receivable agreement	(50,583)	(51,032)
Distributions related to deliveries of AGM’s Common Stock for RSUs	(165,704)	(146,904)
Dividends/Distributions	(251,252)	(458,520)
AOG Unit Payment	(87,633)	(131,450)
Due to parent, net	(465,584)	479,064
Other financing activities, net	1,510	(2,787)
Apollo Fund and VIE related:
Net Cash Provided by (Used in) Financing Activities	(1,291,767)	981,739
Net Increase (Decrease) in Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, and Cash and Cash Equivalents Held at Consolidated Funds and VIEs	(749,754)	166,582
Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, and Cash and Cash Equivalents Held at Consolidated Funds and VIEs, Beginning of Period	2,358,442	2,088,334
Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, and Cash and Cash Equivalents Held at Consolidated Funds and VIEs, End of Period	1,608,688	2,254,916
Supplemental Disclosure of Cash Flow Information:
Interest paid	60,215	59,590
Interest paid by consolidated variable interest entities	33,287	170,479
Income taxes paid	49,925	75,817
Supplemental Disclosure of Non-Cash Investing Activities:
Distributions from principal investments	1,158	4,580
Capital increases related to equity-based compensation	220,941	232,903
Contributions	0	334,919
Issuance of restricted shares	22,765	31,469
Other non-cash financing activities	0	(1,361)
Investments, at fair value	0	(16,054,540)
Other assets	0	(184,109)
Debt, at fair value	0	9,350,540
Notes payable	0	2,611,019
Other liabilities	0	528,595
Non-controlling interest in consolidated entities related to acquisition	0	4,693,618
Reconciliation of Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, and Cash and Cash Equivalents Held at Consolidated Variable Interest Entities to the Consolidated Statements of Financial Condition:
Cash and cash equivalents	1,219,475	1,545,343
Restricted cash and cash equivalents	269,721	693,326
Total Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, and Cash and Cash Equivalents Held at Consolidated Variable Interest Entities	1,608,688	2,254,916
Investments of Consolidated VIEs
Apollo Fund and VIE related:
Net realized and unrealized gains from investing activities and debt	(37,924)	(107,862)
Change in consolidation	0	(945,123)
Purchases of investments	(2,958,858)	(3,845,677)
Proceeds from sale of investments	2,397,208	2,181,605
Changes in other assets and other liabilities, net	(7,047)	377,995
Cash Flows from Investing Activities:
Purchase of U.S. Treasury securities	0	(1,162,672)
Proceeds from maturities of U.S. Treasury securities	0	1,979,909
Cash Flows from Financing Activities:
Principal repayments of debt	(2,257,803)	(668,362)
Apollo Fund and VIE related:
Issuance of debt	2,795,602	1,760,996
Distributions paid to non-controlling interests in consolidated entities	(34,018)	(501,522)
Contributions from non-controlling interests in consolidated entities	44,493	1,496,857
Distributions to redeemable non-controlling interests	(798,438)	(776,272)
Reconciliation of Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, and Cash and Cash Equivalents Held at Consolidated Variable Interest Entities to the Consolidated Statements of Financial Condition:
Cash and cash equivalents	$ 119,492	$ 16,247

CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (UNAUDITED) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Assets:
Cash and cash equivalents	$ 1,219,475	$ 1,200,735
Restricted cash and cash equivalents	269,721	1,048,129
Investments (includes performance allocations of $2,866,463 and $2,635,180 as of June 30, 2023 and December 31, 2022, respectively)	5,549,629	5,644,167
Assets of consolidated variable interest entities:
Other assets	1,227,288	1,175,755
Due from related parties	843,427	726,253
Deferred tax assets, net	594,851	633,660
Other assets	1,227,288	1,175,755
Lease assets	614,508	590,732
Goodwill	263,744	263,744
Total Assets	13,695,317	13,793,947
Liabilities:
Accounts payable and accrued expenses	189,228	167,764
Accrued compensation and benefits	229,799	114,862
Deferred revenue	114,294	172,720
Profit sharing payable	1,617,961	1,412,451
Debt	2,812,089	2,814,117
Liabilities of consolidated variable interest entities:
Lease liabilities	701,172	664,366
Total Liabilities	9,549,086	9,295,046
Commitments and Contingencies (see note 14)
Redeemable non-controlling interests:
Redeemable non-controlling interests	284,631	1,031,914
Apollo Asset Management, Inc. Stockholders’ Equity:
Common stock	0	0
Additional paid in capital	1,353,930	1,304,378
Retained earnings	73,057	0
Accumulated other comprehensive loss	(10,797)	(10,340)
Total Apollo Asset Management, Inc. Stockholders’ Equity	1,970,403	1,848,251
Total Stockholders’ Equity	3,861,600	3,466,987
Total Liabilities, Redeemable non-controlling interests and Stockholders’ Equity	13,695,317	13,793,947
Related Party
Liabilities:
Other liabilities	1,014,572	1,577,494
Liabilities of consolidated variable interest entities:
Other liabilities	1,014,572	1,577,494
Other liabilities	1,014,572	1,577,494
Nonrelated Party
Liabilities:
Other liabilities	397,974	422,441
Liabilities of consolidated variable interest entities:
Other liabilities	397,974	422,441
Other liabilities	397,974	422,441
Investments of Consolidated VIEs
Assets:
Cash and cash equivalents	119,492
Assets of consolidated variable interest entities:
Cash and cash equivalents	119,492	109,578
Investments	2,973,070	2,370,884
Other assets	20,112	30,310
Other assets	20,112	30,310
Liabilities:
Other liabilities	1,496,443	1,898,841
Liabilities of consolidated variable interest entities:
Notes payable	975,554	49,990
Other liabilities	1,496,443	1,898,841
Other liabilities	1,496,443	1,898,841
Consolidated Entities Excluding VIE
Apollo Asset Management, Inc. Stockholders’ Equity:
Non-controlling interests	548,350	487,909
Series A Preferred Stock
Apollo Asset Management, Inc. Stockholders’ Equity:
Preferred stock	264,398	264,398
Series B Preferred Stock
Apollo Asset Management, Inc. Stockholders’ Equity:
Preferred stock	289,815	289,815
Apollo Operating Group
Apollo Asset Management, Inc. Stockholders’ Equity:
Non-controlling interests	$ 1,342,847	$ 1,130,827