KKR & Co. Inc. (NYSE:KKR) Q2 2024 Earnings Conference Call July 31, 2024 10:00 AM ET

Company Participants

Craig Larson - Partner and Head of IR
Scott Nuttall - Co-Chief Executive Officer
Rob Lewin - Chief Financial Officer

Conference Call Participants

Craig Siegenthaler - Bank of America
Bill Katz - TD Cowen
Alexander Blostein - Goldman Sachs
Patrick Davitt - Autonomous Research
Daniel Fannon - Jefferies
Brian Bedell - Deutsche Bank
Brian McKenna - Citizens JMP
Benjamin Budish - Barclays
Steven Chubak - Wolfe Research
Michael Cyprys - Morgan Stanley
Chris Kotowski - Oppenheimer
Arnaud Giblat - BNP

Operator

Ladies and gentlemen, thank you for standing by. Welcome to KKR's Second Quarter 2024 Earnings Conference Call. During today's presentation, all parties will be in a listen-only mode. Following management's prepared remarks, the conference will be opened for questions [Operator Instructions] As a reminder, this conference is being recorded.

I will now hand the call over to Craig Larson, Partner and Head of Investor Relations for KKR. Craig, please go ahead.

Craig Larson

Thank you, operator. Good morning, everyone and welcome to our second quarter 2024 earnings call. This morning, as usual, I'm joined by Rob Lewin, our Chief Financial Officer; and Scott Nuttall, our Co-Chief Executive Officer.

We would like to remind everyone that we'll refer to non-GAAP measures on the call, which are reconciled to GAAP figures in our press release, which is available on the Investor Center section at kkr.com. And as a reminder, we report our segment numbers on an adjusted share basis.

This call will contain forward-looking statements, which do not guarantee future events or performance. Please refer to our earnings release as well as our SEC filings for cautionary factors about these statements.

So first beginning with our results for the second quarter, we are pleased to be reporting fee related earnings of $0.84 per share, the highest we reported in our history and 25% above the figures we reported one year ago. And adjusted net income of $1.09 per share is up approximately 50% compared to one year ago.

Going into a little more detail, management fees in the quarter were $847 million. This is up 13% year-over-year, driven by the breadth of our fundraising activities alongside a pickup in deployment. Capital markets transaction fees were strong in the quarter at $192 million, mainly from activity in new and existing portfolio companies within private equity and infrastructure, as well as an overall improvement in both the debt and equity capital markets backdrops.