CĪON Investment Corporation ( CION ) priced an offering of $150 million worth of new 7.5% notes due 2029, which the company may optionally redeem at par starting December 2026. The new notes received credit ratings of BBB from Egan Jones RatingsWhether you are the kind of investor who sticks with preferred stocks with a CDx3 Compliance Score rated 10 out of 10, or whether your portfolio has room for 9-score-and-lower securities, stay tuned for future articles recapping new IPOs and interesting preferred sto ...

Ares Management Corporation (NYSE:ARES) Q3 2024 Results Conference Call November 1, 2024 11:00 AM ET Company Participants Greg Mason - Co-Head-Public Markets IR Michael Arougheti - CEO Jarrod Phillips - CFO Conference Call Participants Craig Siegenthaler - Bank of America Alex Blostein - Goldman Sachs Brendan O'Brien - Wolfe Research Bill Katz - TD Cowen Brennan Hawken - UBS Michael Cyprys - Morgan Stanley Brian Bedell - Deutsche Bank Ken Worthington - JPMorgan Mike Brown - Wells Fargo Securities Operator W ...

Ares Management (ARES) reported $802.95 million in revenue for the quarter ended September 2024, representing a year-over-year increase of 17.9%. EPS of $0.95 for the same period compares to $0.83 a year ago.The reported revenue represents a surprise of -3.68% over the Zacks Consensus Estimate of $833.58 million. With the consensus EPS estimate being $0.94, the EPS surprise was +1.06%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to ...

Ares Management (ARES) came out with quarterly earnings of $0.95 per share, beating the Zacks Consensus Estimate of $0.94 per share. This compares to earnings of $0.83 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 1.06%. A quarter ago, it was expected that this private equity firm would post earnings of $0.98 per share when it actually produced earnings of $0.99, delivering a surprise of 1.02%.Over the last four quarters, th ...

| --- | --- | --- | --- | |------------------------------------------|-------|-------|-------| | | | | | | | | | | | ØARES | | | | | | | | | | Earnings Presentation Third Quarter 2024 | | | | Important Notice This presentation is prepared for Ares Management Corporation ('Ares'') (NYSE: ARES) for the benefit of its public stockholders. This presenta purposes in connection with evaluating the business, operations and financial results of Ares and certain of its affiliates. Any discussio provided solely to de ...

In its upcoming report, Ares Management (ARES) is predicted by Wall Street analysts to post quarterly earnings of $0.94 per share, reflecting an increase of 13.3% compared to the same period last year. Revenues are forecasted to be $833.58 million, representing a year-over-year increase of 22.4%. Over the last 30 days, there has been a downward revision of 2% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their ...

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Core Insights - The article discusses the increasing trend of pension funds and other institutional investors moving into alternative assets to achieve higher returns in a challenging market environment, with pension fund assets reaching approximately $56 trillion by the end of 2023, of which 20% is allocated to alternative assets, up from 12% in 2003 [2][3]. Company Overview - Ares Management Corporation, founded in 1997, has grown to manage approximately $447 billion in assets, with over 2,900 employees across 35 global offices [5][7]. - More than 25% of Ares' assets under management (AUM) come from pension funds, insurance companies, and banks, highlighting its strong institutional investor base [5][7]. Business Model and Growth - Ares focuses primarily on credit, managing over $320 billion in this space, which has seen significant growth due to increased demand for private loans as banks become more cautious [7][9]. - The company has experienced a remarkable annual compounding growth rate of 19% in AUM since 2011, with AUM increasing from $49 billion in 2011 to $447 billion in 2Q24 [7][8]. - Fee revenues have also risen by 18% annually, reaching $2.8 billion in the four quarters ending 2Q24, driven by a record $26 billion in gross capital raised during that quarter [8][9]. Market Position and Opportunities - Ares is well-positioned in fragmented markets, with only 0.8% of the $40 trillion private credit market and 0.3% of the $202 trillion real estate market, indicating substantial room for growth [9][11]. - The company is optimistic about future growth, expecting to have 3.5 funds in the market with 17 unique strategies to capitalize on the increasing demand for alternative asset allocation [12][14]. Financial Performance - Ares has consistently grown its management fees every year since 2006, with a five-year CAGR of 25% in management fees and 27% in realized income [15][16]. - The dividend yield stands at 2.6%, with a five-year CAGR of 23.2%, reflecting the company's strong financial performance and commitment to returning value to shareholders [17][19]. Valuation and Market Sentiment - Currently, Ares trades at a blended P/E ratio of 35.7x, significantly above its five-year average of 24.7x, indicating that much of the positive outlook is already priced in [21][22]. - Analysts expect 13% EPS growth in 2024, followed by 40% growth in 2025, suggesting potential for further appreciation in stock value, although caution is advised due to high current valuations [21][22][23].

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File No. 001-36429 ARES MANAGEMENT CORPORATION (Exact name of Registrant as specified in its charter) Delaware 80-0962035 (State or other ...

Financial Data and Key Metrics Changes - The company reported a record $26 billion in gross capital raised during Q2 2024, marking a 29% increase in assets under management (AUM) not yet paying fees, positioning the company well for future deployment [10][27] - AUM reached $447 billion, an 18% increase year-over-year, with fee-paying AUM at $276 billion, up 14% from the previous year [31][32] - Fee-related earnings (FRE) totaled approximately $325 million, reflecting a 22% year-over-year growth, with a margin improvement of 130 basis points to 42.1% [31][32] Business Line Data and Key Metrics Changes - In private credit strategies, gross deployment increased over 58% year-over-year, with approximately $20 billion deployed in Q2 [11] - Real estate strategies saw deployment more than double compared to the previous year, with positive trends in industrial and multifamily sectors [13][14] - The company raised nearly $20 billion in funds managed accounts and collateralized loan obligations (CLOs) within its credit group during Q2 [17] Market Data and Key Metrics Changes - The macroeconomic environment improved, with a stronger transaction environment and stable credit trends, contributing to increased investor confidence [8][9] - The company noted significant institutional and retail demand for alternative investment products globally, particularly in credit strategies and real estate [9][10] - The wealth management channel saw a tripling of net flows year-over-year, indicating strong demand for alternative investments [16][22] Company Strategy and Development Direction - The company is focused on expanding its alternative investment offerings, particularly in private credit, real estate, and digital infrastructure [14][15][38] - There is a strategic emphasis on maintaining a balance sheet light model to capitalize on market opportunities while managing risks effectively [38] - The company is exploring inorganic growth opportunities in sectors such as insurance, Asia real estate, and digital infrastructure [50] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, citing a large pool of available investment capacity and strong investor demand for products [39] - The company anticipates continued solid economic growth and favorable credit performance in both US and European markets [12] - Management highlighted the importance of adapting to changing market conditions and maintaining a competitive edge through rigorous due diligence and selective investment [12][62] Other Important Information - The company declared a third-quarter common dividend of $0.93 per share, representing a 21% increase over the same quarter last year [7] - Aspida, the company's minority-owned insurance affiliate, secured nearly $600 million in additional institutional equity, positioning it for continued growth [24] - The company has committed nearly $5 billion in digital-related infrastructure investments over the past five years [15] Q&A Session Summary Question: Update on the private wealth channel and new product launches - Management reported positive scaling in new products and noted that international expansion of wealth distribution is accelerating, with 30% to 35% of flows coming from outside the US [41][43] Question: Credit quality and industry outlook on defaults - Management indicated that while default rates may rise, they do not expect alarming levels, citing strong credit quality and a favorable capital structure [44][46] Question: M&A strategy and potential targets - Management highlighted a disciplined approach to M&A, focusing on cultural fit and financial accretion, while noting that rate cuts could catalyze deal flow [49][51] Question: Deployment dynamics and origination ratios - Management expects further improvement in the gross to net origination ratio, with a shift towards new transaction activity [53][54] Question: Wealth distribution fees and expense dynamics - Management clarified that distribution fees are a run-rate expense, and as fundraising increases, these expenses will also rise, but they view it positively as a sign of growth [57][59]