Core Insights - KKR & Co. Inc. is expected to report a decrease in earnings for the fourth quarter of 2025, while revenues are projected to increase [1][3][8] Earnings & Sales Estimates - The Zacks Consensus Estimate for fourth-quarter 2025 earnings is $1.21 per share, reflecting an 8.3% decrease year-over-year [3] - The consensus estimate for sales in the same quarter is $1.44 billion, indicating a 15.1% year-over-year increase [3] - For the full year 2025, earnings are estimated at $4.95 per share, a 5.3% increase from the previous year, while sales are projected at $5.39 billion, reflecting a 13.1% year-over-year increase [4] Recent Developments - In January 2026, KKR divested several business units of Janney Montgomery Scott LLC to Huntington Bancshares, allowing KKR to focus on its core alternative investment and asset management businesses [5] Key Factors Influencing Performance - KKR has seen increases in fee-earning AUM and total AUM, driven by a diversified product mix and net inflows, with a projected AUM of $740 billion, a 16.1% increase year-over-year [7][8] - Fee-paying AUM is estimated at $598.5 billion, indicating a 16.9% year-over-year increase [8] - Management fees for the quarter are expected to grow by 20.4% to $1.09 billion [8] Performance Metrics - Fee-related performance revenues are estimated at $31.7 million, reflecting a 26.3% year-over-year increase [9] - KKR anticipates limited profits from deal exits, with preliminary estimates for realized performance income and net realized investment income exceeding $525 million, down from $725 million in the prior-year quarter [9] Expense Outlook - KKR is likely to report elevated expenses due to higher employee compensation, commissions, and reinsurance expenses, driven by increased placement fees and fundraising activities [10] Earnings Prediction Model - The earnings prediction model indicates that KKR is not expected to beat earnings estimates this quarter, with an Earnings ESP of -4.08% and a Zacks Rank of 3 [11]