0001527166-26-000009
SEC filingThe Carlyle Group Inc. reported strong financial results for fiscal year 2025, with total revenues of $4.78 billion and net income attributable to the company of $808.7 million. This performance was driven by robust fund management and incentive fees of $2.59 billion and investment income of $1.34 billion. The company's assets under management grew 8% year-over-year to $477 billion, supported by inflows of $53.7 billion and deployment of $54.5 billion across its platform. Key profitability metrics showed solid performance, with income before taxes of $1.16 billion. The company returned approximately $0.9 billion to shareholders through dividends and share repurchases, demonstrating strong capital allocation. The balance sheet remained healthy with total assets of $29.12 billion and total equity of $7.06 billion.
For fiscal year 2025, The Carlyle Group Inc. reported total revenues of $4.78 billion, a decrease from $5.43 billion in the prior year. Net income attributable to the company was $808.7 million, compared to $1.02 billion in 2024. The company generated income before provision for income taxes of $1.16 billion. Basic and diluted earnings per common share were $2.00. Assets under management grew 8% to $477 billion as of December 31, 2025, from $441 billion the prior year, driven by inflows of $53.7 billion during 2025. The company deployed $54.5 billion across its platform and realized proceeds of $34.1 billion for its carry fund investors.
Total revenues of $4.78 billion were composed of fund management fees and incentive fees of $2.59 billion, investment income of $1.34 billion, and interest and other income of $215.7 million, plus interest and other income of Consolidated Funds of $635.3 million. The company operates across three business segments: Global Private Equity, Global Credit, and Carlyle AlpInvest. Global Credit AUM increased 10% year-over-year to $211 billion, driven by inflows of $28.3 billion. Carlyle AlpInvest segment total AUM increased 20% year-over-year to $102 billion, driven by $17.9 billion of inflows.
Total expenses were $3.74 billion, consisting of total compensation and benefits of $2.21 billion, general, administrative and other expenses of $784.3 million, interest expense of $123.9 million, and interest and other expenses of Consolidated Funds of $624.3 million. This resulted in income before provision for income taxes of $1.16 billion. The provision for income taxes was $214.5 million, leading to net income of $944.7 million. After accounting for net income attributable to non-controlling interests in consolidated entities of $136.0 million, net income attributable to The Carlyle Group Inc. was $808.7 million.
Net cash used in operating activities was $3.28 billion, primarily due to significant purchases of investments by Consolidated Funds of $11.70 billion, partially offset by proceeds from sales and settlements of investments by Consolidated Funds of $6.41 billion. Net cash used in investing activities was $99.4 million. Net cash provided by financing activities was $3.99 billion, driven by net borrowings on loans payable of Consolidated Funds of $4.01 billion and issuance of senior notes. The balance sheet shows total assets of $29.12 billion, including cash and cash equivalents of $1.97 billion and investments of $11.15 billion. Total liabilities were $22.06 billion, with debt obligations of $3.00 billion and loans payable of Consolidated Funds of $10.43 billion. Total equity was $7.06 billion.
The company faces risks related to adverse economic and market conditions that could negatively impact its business by reducing the value or performance of investments and reducing the ability of investment funds to raise capital. Global merger and acquisition volume totaled $5.1 trillion in 2025, a 44% increase from 2024, but a retrenchment could cause a slowdown in investment pace. The company deployed nearly $55 billion across its business in 2025, a 28% increase over 2024. Market volatility could adversely affect fundraising efforts, and a decrease in investor commitments could impact fund size and management fees. The current U.S. political environment and geopolitical tensions could lead to disruption and volatility in global markets.