Carlyle Reports
Second Quarter 2021
Financial Results
July 29, 2021
Carlyle Reports
Second Quarter 2021
Financial Results
WASHINGTON, DC - July 29, 2021 - Global investment firm The Carlyle Group Inc. (NASDAQ: CG) today reported its unaudited results for the second quarter ended June 30, 2021.
Dividend
The Board of Directors has declared a quarterly dividend of $0.25 per common share to holders of record at the close of business on August 10, 2021, payable on August 17, 2021.
Conference Call
Carlyle will host a conference call at 8:30 a.m. EDT on Thursday, July 29, 2021, to discuss its second quarter financial results. The call will be available via public webcast from the Shareholders section of Carlyle's website at www.carlyle.com and a replay will be available on our website soon after the call's completion.
About Carlyle
Carlyle (NASDAQ: CG) is a global investment firm with deep industry expertise that
deploys private capital across three business segments: Global Private Equity, Global Credit and Investment Solutions. With $276 billion of assets under management as of June 30, 2021, Carlyle's purpose is to invest wisely and create value on behalf of its investors, portfolio companies and the communities in which we live and invest. Carlyle employs nearly 1,800 people in 27 offices across five continents. Further information is available at www.carlyle.com. Follow Carlyle on Twitter @OneCarlyle.
"Carlyle's strong performance this quarter further demonstrates the power of our leading global investment platform and the success of our people driving organizational change as we execute on our strategic plan.
The firm's momentum continues to build, which gives us confidence in our accelerating growth and earnings.
We are thinking bigger, moving faster and performing better to generate attractive results for all stakeholders."
KEWSONG LEE
Chief Executive Officer
Forward Looking Statement
THIS PRESS RELEASE MAY CONTAIN FORWARD-LOOKINGstatements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements include, but are not limited to, statements related to our expectations regarding the performance of our business, our financial results, our liquidity and capital resources, contingencies, our dividend policy, our expected future dividend policy, the anticipated benefits from converting to a corporation and other non-historicalstatements. You can identify these forward-lookingstatements by the use of words such as "outlook," "believes," "expects," "potential," "continues," "may," "will," "should," "seeks," "approximately," "predicts," "intends," "plans," "estimates," "anticipates" or the negative version of these words or other comparable words. Such forward-lookingstatements are subject to various risks, uncertainties and assumptions. Accordingly, there are or will be important factors that could
cause actual outcomes or results to differ materially from those indicated in these statements including, but not limited to, those described under the section entitled "Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2020 filed with the SEC on February 11, 2021, as such factors may be updated from time to time in our periodic filings with the SEC, which are accessible on the SEC's website at www.sec.gov. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this release and in our filings with the SEC. We undertake no obligation to publicly update or review any forward-looking statements, whether as a result of new information, future developments or otherwise, except as required by applicable law.
This release does not constitute an offer for any Carlyle fund.
Contacts
INVESTOR RELATIONS | MEDIA | |
Daniel Harris | Leigh Farris | Brittany Berliner |
Phone: +1 (212) 813-4527 | Phone: +1 (212) 813-4815 | Phone: +1 (212) 813-4839 |
daniel.harris@carlyle.com | leigh.farris@carlyle.com | brittany.berliner@carlyle.com |
Second Quarter 2021 Financial Results
Carlyle Second Quarter 2021 U.S. GAAP Results
Net income attributable to The Carlyle Group Inc. common stockholders in Q2 2021 was $925 million, a $779 million increase from $146 million in Q2 2020
(Dollars in millions, except per share amounts) | 2Q'20 | 2Q'21 | YTD 2Q'20 | YTD 2Q'21 | ||||||
REVENUES | ||||||||||
Fund management fees | $ | 371.8 | $ | 394.4 | $ | 727.7 | $ | 775.4 | ||
Incentive fees | 9.0 | 10.4 | 17.9 | 19.9 | ||||||
Investment income (loss), including performance allocations | 679.2 | 2,218.4 | (511.7) | 4,183.6 | ||||||
Revenue from consolidated entities | 55.2 | 62.1 | 108.2 | 123.2 | ||||||
All other revenues | 15.8 | 21.0 | 43.2 | 41.4 | ||||||
Total Revenues | 1,131.0 | 2,706.3 | 385.3 | 5,143.5 | ||||||
EXPENSES | ||||||||||
Cash-based compensation and benefits | 212.5 | 231.8 | 416.8 | 460.3 | ||||||
Equity-based compensation | 30.5 | 47.2 | 59.6 | 79.6 | ||||||
Performance allocations and incentive fee related compensation | 535.6 | 994.0 | 93.1 | 1,860.6 | ||||||
General, administrative and other expenses | 80.2 | 109.1 | 149.8 | 200.8 | ||||||
Expenses from consolidated entities | 39.3 | 46.5 | 84.9 | 88.9 | ||||||
Interest and other non-operating expenses (income) | 26.4 | 22.4 | 50.5 | 46.0 | ||||||
Total Expenses | 924.5 | 1,451.0 | 854.7 | 2,736.2 | ||||||
Net investment gains (losses) of consolidated funds | 50.3 | (2.6) | (62.8) | 9.7 | ||||||
Income (loss) before provision for income taxes 1 | 256.8 | 1,252.7 | (532.2) | 2,417.0 | ||||||
Provision (benefit) for income taxes | 52.3 | 306.2 | (27.7) | 579.6 | ||||||
Net income (loss) | 204.5 | 946.5 | (504.5) | 1,837.4 | ||||||
Net income (loss) attributable to non-controlling interests in consolidated entities | 58.6 | 21.5 | (38.4) | 43.1 | ||||||
Net income (loss) attributable to The Carlyle Group Inc. Common Stockholders | $ | 145.9 | $ | 925.0 | $ | (466.1) | $ | 1,794.3 | ||
Net income (loss) attributable to The Carlyle Group Inc. per common share: | ||||||||||
Basic | $ | 0.42 | $ | 2.61 | $ | (1.34) | $ | 5.06 | ||
Diluted | $ | 0.41 | $ | 2.55 | $ | (1.34) | $ | 4.97 | ||
Supplemental information: | ||||||||||
Income (loss) before provision for taxes margin 2 | 22.7 % | 46.3 % | (138.1)% | 47.0 % | ||||||
Effective tax rate | 20.4 % | 24.4 % | 5.2 % | 24.0 % | ||||||
Net performance revenues 3 | $ | 656.2 | $ | 1,086.7 | $ | 161.1 | $ | 2,006.2 |
- Investment income (loss), including performance allocations, YTD 2Q'21 reflects 25% appreciation in our carry portfolio, compared to (3)% depreciation YTD 2Q'20. Additionally, 2Q'20 and YTD 2Q'20 include a loss of $621 million related to the contribution of our 19.9% interest in Fortitude Re to a Carlyle-affiliated investment fund and the subsequent accounting for our investment based on the net asset value of our interest in the investment fund rather than a direct interest in Fortitude Re.
- General, administrative and other expenses ("G&A") in 2Q'21 and YTD 2Q'21 include $27 million in right-of-use asset impairment related to the sublease of a portion of our office space in New York. In YTD 2Q'20, G&A includes the positive impact of a $30 million recovery of litigation costs (a contra expense). Excluding this, G&A would have been $180 million in YTD 2Q'20.
- Provision (benefit) for income taxes in YTD 2Q'20 includes $90 million in expense related to a reduction in the net deferred tax asset resulting from the Company's conversion from a partnership to a corporation on January 1, 2020 (the "Conversion").
See notes at end of document. | 5 |
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The Carlyle Group LP published this content on 29 July 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 29 July 2021 10:06:05 UTC.