CG

Wrapping up Q2 earnings, we look at the numbers and key takeaways for the asset management stocks, including Carlyle (NASDAQ:CG) and its peers. Asset management firms oversee investment portfolios for institutions and individuals. The industry benefits from the growing global wealth pool, retirement savings needs, and expansion into alternative investments (private equity, real estate, etc.). However, firms face significant pressure from the shift to lower-cost passive investment products, regulatory requirements for fee transparency, and increasing technology costs to stay competitive in portfolio management and client service. The 5 asset management stocks we track reported a very strong Q2. As a group, revenues beat analysts’ consensus estimates by 8.4%. Thankfully, share prices of the companies have been resilient as they are up 8.2% on average since the latest earnings results. Founded in 1987 with just $5 million in capital and named after the iconic New York hotel where the founders first met, The Carlyle Group (NASDAQ:CG) is a global investment firm that raises, manages, and deploys capital across private equity, credit, and investment solutions. Carlyle reported revenues of $1.11 billion, up 13% year on year. This print exceeded analysts’ expectations by 20.7%. Overall, it was a stunning quarter for the company with a beat of analysts’ EPS and AUM estimates. Carlyle scored the biggest analyst estimate beat in the group. Investor expectations, however, were likely higher than Wall Street’s published projections, leaving some wishing for even better results (analysts’ consensus estimates are those published by big banks and advisory firms, not the investors who make buy and sell decisions). The stock is down 3.8% since reporting and currently trades at $48.70. Is now the time to buy Carlyle? Access our full analysis of the earnings results here, it’s free. Founded in 1992 and managing over 300 active portfolio companies across more than 30 countries, TPG (NASDAQ:TPG) is a global alternative asset management firm that invests across private equity, credit, real estate, and public market strategies. TPG reported revenues of $610.4 million, up 24.7% year on year, outperforming analysts’ expectations by 7.8%. The business had a stunning quarter with an impressive beat of analysts’ AUM and EPS estimates. The market seems happy with the results as the stock is up 7.2% since reporting. It currently trades at $52.49. Is now the time to buy TPG? Access our full analysis of the earnings results here, it’s free. With roots in the leveraged finance group of Apollo Management, Ares Management (NYSE:ARES) is an alternative investment firm that manages private equity, credit, real estate, and infrastructure assets for institutional and high-net-worth clients. Ares reported revenues of $1.28 billion, up 25.6% year on year, in line with analysts’ expectations. It was a mixed quarter as it posted a narrow beat of analysts’ AUM estimates. Ares delivered the fastest revenue growth but had the weakest performance against analyst estimates in the group. Interestingly, the stock is up 15.5% since the results and currently trades at $143.39. Read our full analysis of Ares’s results here. With over $1 trillion in assets under management and investments spanning real estate, private equity, credit, and hedge funds, Blackstone (NYSE:BX) is a global alternative asset manager that invests capital on behalf of pension funds, sovereign wealth funds, and other institutional investors. Blackstone reported revenues of $3.83 billion, up 23.8% year on year. This result beat analysts’ expectations by 10.9%. It was a stunning quarter as it also produced a beat of analysts’ EPS and AUM estimates. The stock is up 16.8% since reporting and currently trades at $143.51. Read our full, actionable report on Blackstone here, it’s free. Founded in 1994 with a focus on autonomous investment teams and a "high-value-added" approach, Artisan Partners (NYSE:APAM) is an investment management firm that offers actively managed equity and fixed income strategies to institutional and individual investors. Artisan Partners reported revenues of $307.9 million, up 8.9% year on year. This print topped analysts’ expectations by 2.3%. Overall, it was a strong quarter as it also recorded a beat of analysts’ EPS estimates and AUM in line with analysts’ estimates. Artisan Partners had the slowest revenue growth among its peers. The stock is up 5.5% since reporting and currently trades at $43.14. Read our full, actionable report on Artisan Partners here, it’s free. Over the past year, investors have been forced to repeatedly answer the same question: what is the market’s biggest risk? The answer has changed several times, and each shift has reshaped market leadership. Late in 2025 and early 2026, artificial intelligence became the market’s primary uncertainty. Investors questioned whether AI would erode software pricing power and weaken competitive moats as AI made it easier to replicate once-differentiated products. By the spring, technology took a back seat to geopolitics. The U.S. conflict with Iran briefly became the market’s dominant narrative, raising concerns about oil prices, inflation, and global growth. But as energy markets remained orderly and fears of a prolonged supply disruption faded, investors quickly turned their focus back to fundamentals. Want to invest in winners with rock-solid fundamentals? Check out our Hidden Gem Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.

Carlyle's second quarter saw results that met expectations, with the company delivering improved revenue and profitability driven by strong performance in its AlpInvest and Global Credit divisions. Management attributed this growth to disciplined execution, record fee-related performance revenue, and effective capital markets activity. CEO Harvey Schwartz cited Carlyle’s ability to deliver “record distributable earnings in both Carlyle AlpInvest and Global Credit,” and highlighted the company’s continued industry leadership in returning capital to clients, underpinned by robust realizations across asset classes and geographies. Is now the time to buy CG? Find out in our full research report (it’s free). Revenue: $1.11 billion vs analyst estimates of $921.4 million (13% year-on-year growth, 20.7% beat) Adjusted EPS: $1.07 vs analyst estimates of $0.91 (18% beat) Operating Margin: 22.3%, down from 40% in the same quarter last year Market Capitalization: $17.23 billion While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Steven Chubak (Wolfe Research) asked about the timing and impact of fundraising from flagship funds. CEO Harvey Schwartz explained that while momentum is strong, most fund closings and their effects will be seen over the next 24 months. Alexander Blostein (Goldman Sachs) inquired about the strategic rationale for the MAI Capital acquisition and partnerships in retirement solutions. Schwartz outlined a selective approach to partnerships and expected meaningful impact from new wealth and retirement channels, though timelines for material benefit extend into later years. Brennan Hawken (BMO) questioned the compensation ratio amid high fee-related revenue. CFO Justin Plouffe stated that the ratio will remain consistent as the firm continues to invest in growth, particularly in technology and AI, with margin gains likely as fundraising cycles mature. Michael Brown (UBS) probed the sustainability of capital markets fee growth. Schwartz responded that transaction volumes may fluctuate, but the broader platform strategy is expected to create a compounding "flywheel effect" as activity scales with fundraising. Brian Bedell (Deutsche Bank) asked about the defense and industrials platform’s growth trajectory and product expansion. Schwartz emphasized long-standing expertise and strong demand, noting the potential for additional product launches and significant LP interest. In the coming quarters, our analysts will be watching (1) the pace and breadth of fundraising across Carlyle’s flagship and new sector-focused funds, (2) the ramp-up of fee-related performance revenue as inflows scale, and (3) realization activity and its impact on distributable earnings. The execution of technology investments and the success of the defense and industrials platform will also be closely monitored for signs of sustainable competitive advantage. Carlyle currently trades at $48.36, down from $50.64 just before the earnings. Is there an opportunity in the stock? Find out in our full research report (it’s free for active Edge members). ONE MORE THING: Top 6 Stocks for This Week. This market is separating quality stocks from expensive ones fast. AI is taking down whole sectors with no warning. In a rotation this fast, you need more than a list of good companies. Our AI system flagged Palantir before it ran 1,662% between October 2022 and February 2026. AppLovin before it ran 753% between February 2024 and February 2026. Nvidia before it ran 1,178% between January 2023 and February 2026. Each week it produces 6 new names that pass the same tests. Get Our Top 6 Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,552% between June 2020 and June 2025). Find your next big winner with StockStory today.

Find your next quality investment with Simply Wall St's easy and powerful screener, trusted by over 7 million individual investors worldwide. Carlyle Group (CG) is back in focus after reporting second quarter 2026 results that topped analyst forecasts, with revenue and after tax distributable earnings above expectations and fee related earnings and assets under management hitting record levels. See our latest analysis for Carlyle Group. The strong second quarter has given Carlyle Group a near term lift, with the share price up 13.2% over the past month and 11.5% over the past week, although the year to date share price return is still down 18.1%. Over a longer horizon, the three year total shareholder return of 72.0% and five year total shareholder return of 22.3% point to a very different experience for investors who stayed invested through earlier cycles. If the latest move in Carlyle Group has you thinking about where else capital could go next, this is a good moment to scan for 22 top founder-led companies The recent jump in Carlyle Group’s share price sits between two stories. One points to record fee related earnings and AUM. The other points to a sentiment reset after a weak year to date return. Which is the better guide to value? Carlyle Group’s most followed narrative pegs fair value at $56.69 compared with the latest close at $49.84, which frames the recent price move as only part of the story. Read the complete narrative. Want to see what sits behind that fair value for Carlyle Group? The narrative leans heavily on faster top line growth, wider margins, and a future earnings profile that assumes the current business mix keeps shifting toward recurring fee income. Curious how those building blocks stack up year by year and what kind of earnings base they imply by the end of the forecast window? Result: Fair Value of $56.69 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, Carlyle Group’s story still carries real risks, including fee pressure if competition intensifies, and the chance that fundraising momentum slows from wealth and secondaries channels. Find out about the key risks to this Carlyle Group narrative. With sentiment on Carlyle Group split between fresh momentum and longer term questions, this is a useful time to review the full picture for yourself. To see how the current concerns and potential rewards line up in one place, start with these 2 key rewards and 3 important warning signs If you want a broader watchlist alongside Carlyle Group, this is the moment to line up a few fresh ideas before the next wave of opportunities moves on. Spot potential value opportunities early by reviewing 51 high quality undervalued stocks that combine quality fundamentals with prices the market has not fully credited yet. Strengthen your downside protection by focusing on companies in the solid balance sheet and fundamentals stocks screener (50 results) that can better handle tougher conditions. Get ahead of the crowd by searching the screener containing 17 high quality undiscovered gems before they land on every investor’s radar. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include CG. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

NEW YORK, Aug. 06, 2026 (GLOBE NEWSWIRE) -- Carlyle Secured Lending, Inc. (together with its consolidated subsidiaries, “we,” “us,” “our,” “CGBD” or the “Company”) (NASDAQ: CGBD) today announced its financial results for its second quarter ended June 30, 2026. Alex Chi, CGBD’s Chief Executive Officer, said, “CGBD had another strong quarter of earnings in the second quarter, with full coverage on the updated quarterly dividend and low non-accruals. We continued to ramp our fee-free joint venture complex, achieving high-teens returns at both investment funds during the second quarter. Looking to the second half of the year, we are focused on continuing to deliver stable income and consistent credit performance, while taking share in the broader direct lending market by leveraging the OneCarlyle platform.” For the second quarter of 2026, we reported $0.35 per common share of Net Investment Income and Adjusted Net Investment Income, a non-GAAP financial measure described below. Net asset value per common share decreased by 1.8% for the second quarter to $15.61 from $15.89 as of March 31, 2026. The total fair value of our investments increased to $2.4 billion as of June 30, 2026. Dividends On July 29, 2026, the Board of Directors declared a quarterly common dividend of $0.35 per share. The dividend is payable on October 16, 2026 to common stockholders of record on September 30, 2026. Conference Call The Company will host a conference call at 11:00 a.m. (Eastern Time) on Friday, August 7, 2026 to discuss these financial results. The conference call will be available via public webcast via a link on our website and will also be available on our website soon after the call’s completion. Non-GAAP Financial Measures On a supplemental basis, we are disclosing Adjusted Net Investment Income Per Common Share, which is calculated and presented on a basis other than in accordance with GAAP (“non-GAAP”). We use this non-GAAP financial measure internally to analyze and evaluate financial results and performance, and we believe this non-GAAP financial measure is useful to investors as an additional tool to evaluate our ongoing results and trends and to review our performance without giving effect to (i) the amortization/accretion resulting from the new cost basis of the investments acquired and accounted for under the acquisition method of accounting in accordance with ASC 805 and (ii) the one-time purchase or non-recurring investment income and expense events, including the effects on incentive fees. In addition, the Company’s management uses the non-GAAP financial measure described above internally to analyze and evaluate financial results and performance and to compare the Company’s financial results with those of other business development companies that have not had similar one-time or non-recurring events. The presentation of this non-GAAP measure is not intended to be a substitute for financial results prepared in accordance with GAAP and should not be considered in isolation. Starting in the first quarter of 2025, the adjustment to net investment income per common share to determine Adjusted Net Investment Income Per Common Share represents the difference between GAAP amortization under the asset acquisition method of accounting in accordance with ASC 805 and management’s non-GAAP measure of amortization related to assets acquired in connection with the CSL III merger on March 27, 2025, and the remaining interest in Middle Market Credit Fund II on February 11, 2025. This adjustment reflects management’s view of the economic yield on the acquired assets and is consistent with our internal evaluation of performance. Carlyle Secured Lending, Inc. CGBD is an externally managed specialty finance company focused on lending to middle-market companies. CGBD is managed by Carlyle Global Credit Investment Management L.L.C., an SEC-registered investment adviser and a wholly owned subsidiary of The Carlyle Group Inc. Since it commenced investment operations in May 2013 through June 30, 2026, CGBD has invested approximately $11.2 billion in aggregate principal amount of debt and equity investments prior to any subsequent exits or repayments. CGBD’s investment objective is to generate current income and capital appreciation primarily through debt investments in U.S. middle market companies. CGBD has elected to be regulated as a business development company under the Investment Company Act of 1940, as amended. Web: carlylesecuredlending.com About Carlyle Carlyle (“Carlyle,” or the “Adviser”) (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 Carlyle AlpInvest. With $485 billion of assets under management as of June 30, 2026, Carlyle’s purpose is to connect people, ideas, and capital to fuel growth for companies and performance for investors. Carlyle employs more than 2,500 people in 28 offices across four continents. Further information is available at www.carlyle.com. Follow Carlyle on X @OneCarlyle and LinkedIn at The Carlyle Group. Contacts:

The Carlyle Group Inc. CG reported second-quarter 2026 post-tax distributable earnings per share of $1.07, surpassing the Zacks Consensus Estimate of 88 cents. The metric also rose from 91 cents in the year-ago quarter. Results benefited from higher realized performance revenues and fee-related performance revenues. A rise in the assets under management (AUM) balance was another positive. However, higher expenses acted as a spoilsport. Net income attributable to Carlyle was $137.1 million, down from $319.7 million in the year-ago quarter. Second-quarter segmental revenues were $1.11 billion, which surpassed the Zacks Consensus Estimate of $908.8 million. The top line also rose 13% from the year-ago quarter. Total segment fee revenues were $759.3 million, up 12.3% year over year. Fund management fees declined 5% year over year to $560.1 million, while transaction and portfolio advisory fees, net and other, jumped 130.7% to $110.5 million. Fee-related performance revenues surged 129.2% to $88.7 million. Realized performance revenues rose 21.2% from the year-ago quarter to $314.8 million. Total segmental expenses increased 15.7% year over year to $639.9 million. As of June 30, 2026, total AUM was $485.5 billion, up 4% from the prior-year quarter. The fee-earning AUM was $334.4 billion, which rose 3% year over year. Pending fee-earning AUM was $28 billion, up 57%. Global Private Equity’s total AUM was $162.7 billion as of June 30, 2026, down 1.5% year over year. The segment’s fee-related earnings were $133.6 million, down 7%. Distributable earnings were $218.5 million, down 5.8%. Global Credit’s total AUM was $211.1 billion, up 4% year over year. Fee-related earnings were $137.6 million, up 23.5%. Distributable earnings were $158 million, up 30.7%. Carlyle AlpInvest’s total AUM was $111.7 billion, up 15.8% year over year. Fee-related earnings were $86.5 million, up 26.6%. Distributable earnings were $95.8 million, up 22.5%. In the reported quarter, CG repurchased or withheld 6.7 million shares of common stock, including shares withheld in the net share settlement of equity awards, totaling $304 million. As of June 30, 2026, $1.6 billion worth of shares were available under the authorization. The company also declared a quarterly dividend of 35 cents per share. The dividend will be paid out on Aug. 26, 2026, to shareholders of record as of Aug. 17, 2026. A rising total AUM balance, along with higher realized performance revenues and strong fundraising, will likely support Carlyle’s revenue growth in the long run. However, rising expenses remain concerning. Carlyle Group Inc. price-consensus-eps-surprise-chart | Carlyle Group Inc. Quote CG currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. In June 2026, Carlyle completed its previously announced acquisition of a majority stake in MAI Capital Management, a registered investment advisor focused on wealth management services for high-net-worth and ultra-high-net-worth clients. Following the completion of the transaction, Carlyle is now the majority owner of MAI, while MAI will continue to operate independently under its existing leadership team. MAI employees and advisors will continue to hold a significant minority ownership stake in the business. The acquisition expands Carlyle’s presence in wealth management and adds a platform with $77.3 billion in client assets managed or advised as of April 2026. The deal is expected to strengthen the company’s recurring fee-based revenue stream and complements its broader wealth management strategy, including investments in Intelliflo and iCapital Network to enhance its advisor-focused platform. Invesco’s IVZ second-quarter 2026 adjusted earnings of 71 cents per share surpassed the Zacks Consensus Estimate of 67 cents. The bottom line increased 97.2% from the prior-year quarter. IVZ’s results primarily benefited from an increase in adjusted revenues and substantial growth in the assets under management (AUM) balance. Record net long-term inflows also supported the quarter. However, an increase in adjusted expenses was a headwind. SEI Investments Co.’s SEIC second-quarter 2026 adjusted earnings per share of $1.66 surpassed the Zacks Consensus Estimate of $1.45. The bottom line reflected a rise of 38.3% from the prior-year quarter’s actual. SEIC’s results were aided by higher revenues and a rise in AUM. However, higher expenses acted as a spoilsport. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Carlyle Group Inc. (CG) : Free Stock Analysis Report Invesco Ltd. (IVZ) : Free Stock Analysis Report SEI Investments Company (SEIC) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

For the quarter ended June 2026, Carlyle Group (CG) reported revenue of $1.11 billion, up 13% over the same period last year. EPS came in at $1.07, compared to $0.91 in the year-ago quarter. The reported revenue compares to the Zacks Consensus Estimate of $908.66 million, representing a surprise of +22.4%. The company delivered an EPS surprise of +21.59%, with the consensus EPS estimate being $0.88. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance. Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance. Here is how Carlyle performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Total AUM Roll Forward - Global Private Equity - EOP: $162.7 billion versus $161.32 billion estimated by three analysts on average. Total AUM Roll Forward - Global Credit - EOP: $211.12 billion compared to the $213.79 billion average estimate based on three analysts. Total AUM Roll Forward - EOP: $485.5 billion compared to the $485.23 billion average estimate based on three analysts. Fee-earning AUM Roll Forward - Global Private Equity - EOP: $96.56 billion versus the three-analyst average estimate of $99.95 billion. Segment Revenues- Fund management fees: $560.1 million compared to the $551.81 million average estimate based on three analysts. The reported number represents a change of -5% year over year. Fee related performance revenues: $88.7 million compared to the $48.54 million average estimate based on three analysts. The reported number represents a change of +129.2% year over year. Segment Revenues- Realized principal investment income (loss): $22.6 million versus $35.25 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a -32.5% change. Segment Revenues- Total segment fee revenues: $759.3 million compared to the $674.77 million average estimate based on three analysts. The reported number represents a change of +12.3% year over year. Revenues- Global Private Equity- Fund management fees: $283.4 million versus the three-analyst average estimate of $286.63 million. The reported number represents a year-over-year change of -6.3%. Revenues- Global Private Equity- Total fee revenues: $304.3 million versus the three-analyst average estimate of $309.36 million. The reported number represents a year-over-year change of -1.6%. Revenues- Global Private Equity- Realized performance revenues: $251.5 million compared to the $189.29 million average estimate based on three analysts. The reported number represents a change of +2.8% year over year. Revenues- Global Private Equity- Realized principal investment income: $5.6 million compared to the $12.27 million average estimate based on three analysts. The reported number represents a change of -54.8% year over year. View all Key Company Metrics for Carlyle here>>> Shares of Carlyle have returned +15.1% over the past month versus the Zacks S&P 500 composite's +3.5% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Carlyle Group Inc. (CG) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

This article first appeared on GuruFocus. Distributable Earnings (DE): $472 million, or $1.07 per share, the best pretax DE quarter in nearly four years. Fee-Related Earnings (FRE): Record $358 million, up 11% year-over-year, at a 47% margin. Fund Management Fees: $560 million, up 3% from the first quarter. Transaction Fees: Record $111 million, more than double the level a year ago. Fee-Related Performance Revenue: Record $89 million, more than double last year's second quarter. Inflows: $16.8 billion in the quarter; $56 billion over the last 12 months, a 10% increase from the prior year. AUM: Record $485 billion. Capital Returned to Clients: Nearly $7 billion in the quarter and $37 billion over the past year. Deployment: $14 billion invested in the quarter. Capital Markets Fees: Record more than $100 million. Carlyle AlpInvest DE: Record $96 million; FRE of $87 million, up 27% year-over-year; AUM of $112 billion, up 16% year-over-year. Global Credit DE: Record $158 million, up more than 30% year-over-year; FRE of $138 million, a record; AUM of $211 billion, up 4% year-over-year. Global Private Equity DE: $219 million, up nearly 50% sequentially; FRE of $134 million; realized proceeds of $3.9 billion in the quarter and over $20 billion over the last 12 months. Net Accrued Performance Revenues: $2.4 billion, representing nearly $7 of pretax earnings per share. Share Repurchases: Record $304 million to repurchase or withhold 6.7 million shares; $1.6 billion remaining on the $2 billion authorization. Dividend: Declared quarterly dividend of $0.35 per common share. Warning! GuruFocus has detected 7 Warning Signs with CG. Is CG fairly valued? Test your thesis with our free DCF calculator. Release Date: August 05, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Record distributable earnings of $472 million, the highest in nearly four years, driven by record FRE and a significant step-up in net realized performance revenue. Record fee-related earnings (FRE) of $358 million, up 11% year-over-year, with a 47% margin, supported by record fee-related performance revenue and capital markets fees. Strong fundraising momentum with $56 billion in inflows over the last 12 months, including $30 billion in the first half of 2026, and a record AUM of $485 billion. Industry-leading realizations, returning $37 billion to clients over the past year, with US buyout returning capital at more than double the industry average. Record capital markets fees of $111 million, more than double year-over-year, reflecting successful repositioning and a growing flywheel effect from new fund launches. Strong growth in the wealth channel, with evergreen AUM up over 60% year-over-year to $20 billion, and a new partnership with AllianceBernstein for defined contribution solutions. Record distributable earnings in both Carlyle AlpInvest ($96 million) and Global Credit ($158 million), with AlpInvest AUM up 16% year-over-year. Active capital management with a record $304 million share repurchase, reducing adjusted share count by over 1% and maintaining a strong balance sheet. Compensation ratio ticked up quarter-over-quarter, and management expects it to remain around 47% for the year due to investments in growth, AI, and technology, which could pressure margins in the near term. Fundraising for flagship funds is still in early stages, with no major closes expected until later in the super cycle, limiting near-term management fee growth. Realized performance revenues are difficult to predict quarter-to-quarter, and the third quarter may see lower transaction flow due to seasonal factors. The insurance solutions business (flow reinsurance) has seen flat AUM year-to-date, with growth dependent on transaction timing and competitive market conditions. Macroeconomic headwinds, including the war in the Middle East, energy price shocks, and inflation, could impact portfolio company performance and market volatility. The comp ratio is expected to remain elevated as the firm invests in AI and technology, which may delay margin expansion until 2027 or 2028. The wealth channel, particularly credit, has been quieter, though it appears to be abating, indicating some near-term softness in that segment. Q: Can you provide more specifics on the realization pipeline and whether the strong pickup in realized performance fees gives you visibility into continued improvement in the second half of 2026?A: CFO Justin Plouffe stated that the firm has been a market leader in realizations. While the first quarter's realizations were strong, the mix did not result in net realized performance revenue, but the second quarter saw that mix change. The firm has already closed several notable deals in July. Although the third quarter historically sees less transaction flow due to the summer months, the pace of realizations remains market-leading, and with capital markets open, the firm expects good momentum in net realized performance revenues in the second half of the year. Q: With all the flagship funds coming to market in the coming quarters, how is the fundraising market broadly, and are you seeing fundraising periods being extended or shortened?A: CEO Harvey Schwartz indicated that the level of engagement with LPs is very high. While the wealth channel for credit has been quieter, that is abating. The firm's focus on sectors like defense, energy security, and industrials aligns well with current global priorities. Schwartz reaffirmed confidence in the "super cycle" and the firm's $200 million fundraising target, noting that momentum is quite good. Q: Can you unpack the key drivers behind the record fee-related performance revenue (FRPR) this quarter and how we should think about this line item over the next 12 to 24 months?A: CFO Justin Plouffe attributed the record FRPR primarily to the strong growth of the wealth channel, with inflows up over 60% year-over-year. A specific asset-backed finance fund also flipped from a carry structure to a performance fee structure, contributing a one-time boost. Going forward, the continued growth of the wealth platform, particularly in AlpInvest and the CPEP private equity solutions, is expected to drive this line item higher into 2027. Q: How should we think about the growth of the insurance solutions business AUM beyond the Unum deal?A: CEO Harvey Schwartz noted that the flow reinsurance business has been steady, while the block transaction market was quieter but has a good pipeline. The team is focused on sourcing opportunities where they can add the most value. While growth is expected, the business is transaction-driven, so it's difficult to predict exact timing, but the firm's brand as a true partner is exceptional globally. Q: Can you elaborate on the new defense and industrials platform and its growth trajectory, including potential for wealth products?A: CEO Harvey Schwartz explained that Carlyle has nearly 40 years of expertise in aerospace, defense, and government services. Given the global increase in defense spending, potentially totaling $8 trillion over the next decade, the firm launched a dedicated platform to focus on middle-market opportunities. It is run by the same experts and is a core component of the US buyout business. While there is significant interest from the wealth channel, Schwartz was cautious about committing to a specific evergreen product, emphasizing a thoughtful approach to delivering solutions. Q: The comp ratio ticked up quarter-over-quarter. Can you help us understand the drivers and the outlook for margins?A: CFO Justin Plouffe stated that the comp ratio for 2026 is expected to be roughly consistent with last year, around 47%. The firm is intentionally investing back into the business, including in AI, technology, and the wealth platform, to fuel future growth. Margins are expected to tick up in 2027 and 2028 as the benefits of the current fundraising super cycle flow through the financials. Q: Can you double-click on the key drivers of the record capital markets fees and whether this level of activity is sustainable?A: CEO Harvey Schwartz explained that the capital markets strategy, deployed three years ago, is now part of the firm's "muscle memory." While quarterly numbers will fluctuate, the business will systematically grow as the firm grows and launches new funds. The upcoming fundraising super cycle will create a "flywheel effect," compounding the benefits of these high-quality, low-risk earnings. Q: How is Carlyle thinking about the cyclical versus secular tailwinds in the AlpInvest business?A: CEO Harvey Schwartz noted that AlpInvest benefits from both cyclical and secular tailwinds. The cyclical tailwind comes from the industry-wide need for liquidity, which has created a long and extended cycle for secondaries. The secular shift is that AlpInvest is now a "corporate finance solutions provider," helping GPs and LPs with portfolio repositioning and optimization. The business is uniquely built for the wealth audience due to its diversification and the strength of the Carlyle brand. Q: Where is AI having the most measurable financial impact on the business today, and how do you expect that to progress?A: CEO Harvey Schwartz framed the approach in two ways: enabling portfolio companies to deploy technology efficiently and using data science internally to improve investment outcomes and run the firm more effectively. With only 2,500 employees, the goal is not headcount reduction but enhancing decision-making. Schwartz believes the firm is in the early innings of AI's impact and is investing capital and talent for the long term. Q: Do you see GPs leaning more on balance sheet deployment to drive fundraising, and is that a competitive advantage for large-scale players?A: CEO Harvey Schwartz affirmed the firm's preference for a capital-light model but emphasized a disciplined approach to deploying balance sheet capital for maximum ROI. He views balance sheet capital as a "scarce asset" and is protective of it. While the industry may see more creative and efficient uses of capital, Carlyle's current path is to prioritize business investments while remaining opportunistic on buybacks. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Interested in Carlyle Group Inc.? Here are five stocks we like better. Record quarterly performance: Carlyle reported $472 million in distributable earnings, or $1.07 per share, while fee-related earnings rose 11% year over year to a record $358 million. Assets under management also reached a record $485 billion. Strong fundraising momentum: The firm raised $16.8 billion during the quarter and $56 billion over the past year, with nearly all flagship strategies expected to seek capital over the next 24 months. Its wealth business also grew rapidly, with Evergreen Wealth assets increasing more than 60% year over year to $20 billion. Higher realizations and shareholder returns: Realized proceeds exceeded $3.9 billion in the quarter, helping drive a sharp increase in private-equity distributable earnings. Carlyle returned nearly $7 billion to clients and repurchased or withheld $304 million of shares, while maintaining its $0.35 quarterly dividend. Prepare for the Next Wave of Factory Automation With These 3 Standout Names Carlyle Group (NASDAQ:CG) reported second-quarter results marked by record fee-related earnings, strong fundraising and higher realized performance revenue, as the alternative asset manager said it was entering a period in which nearly all of its core strategies will be seeking capital. Distributable earnings totaled $472 million, or $1.07 per share, representing the company’s strongest pre-tax distributable-earnings quarter in nearly four years, Chief Executive Officer Harvey Schwartz said. Fee-related earnings reached a record $358 million, up 11% from a year earlier, while assets under management rose to a record $485 billion. → SpaceX’s First Earnings Report Could Decide Whether Shorts or Bulls Have Control The 2026 Cannabis Wildcard: How Tax Reform Could Reset Stock Valuations “Our momentum is a result of disciplined execution, focusing on investment performance, and delivering on our strategic plan,” Schwartz said. Carlyle raised $16.8 billion during the quarter and $56 billion over the past 12 months, a 10% increase from the prior-year period. Organic inflows reached $30 billion in the first half of 2026, another company record, according to Schwartz. → 3 Drone Stocks That Should Soar After the Summer Slump Analysts Are Bullish on These 3 Laser Tech Companies The quarter included $5 billion of commitments earmarked for Carlyle’s next U.S. buyout fund, which has begun marketing. Management said the firm expects virtually all its flagship strategies—including secondaries, portfolio finance and credit opportunities—to be in the market over the next 24 months. Schwartz characterized the fundraising environment as a “super cycle” and said the company remains confident in its previously discussed $200 billion fundraising opportunity. He said Carlyle’s sector and geographic focus aligned with investor demand, particularly in areas including industrials, defense, infrastructure and healthcare. → The Bitcoin Comeback May Already Be Underway—2 ETFs for Exposure Management also highlighted growth in its wealth business. Gross sales across Evergreen Wealth strategies exceeded $7 billion over the past year, lifting assets in those strategies to $20 billion, up more than 60% year over year. Chief Financial Officer Justin Plouffe said wealth-platform inflows were more than 60% higher year to date than in the prior year. Carlyle AlpInvest generated record distributable earnings of $96 million and fee-related earnings of $87 million, up 27% from the second quarter of 2025. The segment’s assets under management rose 16% year over year to $112 billion, supported by $4.5 billion of inflows into secondaries, portfolio-finance and evergreen strategies. The firm’s second vintage single-asset secondary strategy closed at four times the size of its predecessor, Plouffe said. Schwartz said the business is benefiting from both cyclical demand for liquidity and a broader shift toward private-market portfolio and financing solutions. Global Credit posted record distributable earnings of $158 million, more than 30% above the prior-year period. Fee-related earnings of $138 million were also a record, driven by $93 million of transaction fees and $54 million of fee-related performance revenue. The segment had $211 billion of assets under management and deployed $7 billion during the quarter, led by U.S. liquid credit, direct lending and opportunistic credit strategies. Global Private Equity reported fee-related earnings of $134 million and distributable earnings of $219 million. The segment’s distributable earnings increased nearly 50% sequentially, reflecting higher net realized performance revenue. Realized proceeds were $3.9 billion in the quarter and more than $20 billion over the trailing 12 months. Across the company, Carlyle returned nearly $7 billion to clients during the quarter and $37 billion over the past year. In U.S. buyout, the firm returned 23% of the strategy’s fair value to investors over the previous 12 months, which Schwartz said was more than twice the industry average cited by the company. Plouffe said net accrued performance revenues stood at $2.4 billion, representing nearly $7 of pre-tax earnings per share in potential future shareholder earnings. Fund management fees totaled $560 million, up 3% sequentially. Transaction fees reached a record $111 million, more than double the year-earlier level, while fee-related performance revenue rose to a record $89 million, more than twice the level reported in the second quarter of 2025. Management attributed the transaction-fee increase to capital markets activity tied to investments and fundraising, including the Surventis coatings-business carve-out from BASF, MAI Capital, and Tsukiko, a Japanese construction company. Schwartz said U.S. capital markets fees exceeded $100 million during the quarter. While management does not expect transaction-fee levels to be consistent every quarter, Schwartz said the capital-markets business has become embedded in the firm’s operations and should expand alongside investment activity and larger fund launches. In Global Credit, Carlyle and Fortitude Re announced a second block reinsurance transaction with Unum. The deal is expected to close later this year and, upon closing, is expected to add more than $5 billion to Global Credit assets under management. Carlyle also launched a dedicated defense and industrials platform and announced its first transaction: the acquisition of Secturion Systems, an NSA-certified hardware data-encryption provider. Schwartz said the initiative builds on Carlyle’s longstanding defense, aerospace and government-services investment practice, while providing a dedicated middle-market-focused investment capability. Fee-related earnings margin was 47% in the quarter. Plouffe said Carlyle expects its compensation ratio to be roughly consistent with last year, at about 47%, as the company invests in personnel, technology, artificial intelligence and its wealth platform. He said margins could rise in 2027 and 2028 as fundraising activity begins to flow through financial results. The company declared a quarterly dividend of $0.35 per common share. It also deployed a record $304 million to repurchase or withhold 6.7 million shares during the quarter, reducing its adjusted share count by more than 1% year to date. Carlyle had $1.6 billion remaining under its $2 billion repurchase authorization at quarter-end. Schwartz said the company continues to favor a capital-light model, while remaining willing to deploy balance-sheet capital selectively when it believes the potential return is compelling. Plouffe said management entered the third quarter with momentum across all three operating segments and expects solid capital markets to support additional realizations and investments. The Carlyle Group (NASDAQ: CG) is a global alternative asset manager that invests across a range of strategies including private equity, real assets (such as real estate and infrastructure), global credit, and investment solutions. Founded in 1987 and headquartered in Washington, DC, Carlyle raises and manages investment funds that acquire, operate and exit companies and assets on behalf of institutional and private investors. The firm is publicly traded on the Nasdaq exchange and operates as an asset manager and investment advisor rather than as an operating company. Carlyle's core activities include sourcing and executing private equity buyouts and growth investments, originating and managing credit and financing solutions, and acquiring and operating real asset portfolios. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Carlyle Group Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Achieved record results across the platform driven by disciplined execution and a focus on investment performance, leading to record AUM of $485 billion. Maintained industry leadership in realizations, returning $37 billion to clients over the past year, which management attributes to a proactive approach in a challenging market. Repositioned the Capital Markets business over the last three years to capture higher transaction fees, creating a 'flywheel effect' as fund sizes and activity levels increase. Launched a dedicated defense and industrials platform to capitalize on an estimated $8 trillion in global defense spending driven by geopolitical shifts. Attributed strong performance in Global Credit and AlpInvest to the systematic build-out of diversified strategies that perform across various market cycles. Observed a resilient U.S. economy with 2% to 2.5% real growth, using proprietary data from nearly 300 portfolio companies to inform investment decisions. Entering a 'fundraising super cycle' with nearly all core flagship strategies expected to be in the market over the next 24 months. Anticipates accelerating revenue and earnings as new capital from the super cycle begins to flow through financials, particularly in 2027 and 2028. Expects the $5 billion Unum transaction to close later this year, providing a significant boost to Global Credit AUM. Projecting margin expansion in the outer years of the 3-year plan as fundraising momentum offsets current investments in technology and talent. Focusing on the 401(k) and target date fund channels within the retirement practice, with material impacts expected to manifest starting in 2027. Allocated a record $304 million to share repurchases in Q2, signaling management's view of attractive valuation despite a 'business-first' capital allocation priority. Investing heavily in AI and data science to improve investment outcomes and operational efficiency rather than as a primary tool for headcount reduction. Noted pockets of stress in the macro environment from Hormuz-related price shocks and energy market pressures, though overall consumption remains strong. The compensation ratio is expected to remain around 47% for the year as the firm prioritizes reinvestment in growth initiatives over immediate margin expansion. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management confirmed $30 billion in organic inflows for the first half of 2026, a firm record achieved before flagship funds fully hit the market. Clarified that while the second half will see accelerated marketing, the timing of fund closings may create quarter-to-quarter variability in fee growth. The platform targets a 'middle market' sleeve of defense opportunities that fall outside the scope of the large-scale U.S. buyout fund. Leverages Carlyle's 40-year history in the sector to meet high LP demand for exposure to global reindustrialization and national security trends. Management views these fees as high-quality, low-risk earnings that will scale alongside the firm's overall growth and deployment activity. Acknowledged that while Q2 was exceptionally strong, the business is now a 'muscle memory' part of the firm's culture and will correlate with future deal flow. Growth is primarily driven by the wealth channel and evergreen strategies, specifically within AlpInvest and asset-backed finance. One specific credit fund transitioned from a carry structure to a performance fee structure this quarter, which will contribute to the run rate going forward.