Apollo Posts Q3 GAAP Loss on Athene Marks as Fee Related Earnings Hit Record $802 Million
Apollo Global Management posted a third-quarter GAAP net loss as higher interest rates hit investment marks at its Athene retirement business, but its asset management engine set records, with fee related earnings up 23.0% to $802 million.
The net loss attributable to common stockholders was $1.06 billion, or $1.78 per share, compared with net income of $1.71 billion, or $2.78 per diluted share, a year earlier, according to the earnings materials Apollo filed with an 8-K on Tuesday. The company said the loss was driven primarily by unrealized mark-to-market losses on certain investments in the Retirement Services segment resulting from higher interest rates.
Adjusted net income, Apollo's primary non-GAAP earnings metric, was $1.29 billion, or $2.07 per share, down 4.6% from $2.17 a year earlier.
"Origination reached a new high of $114 billion in the quarter, and over the last twelve months, activity exceeded $350 billion while our clients entrusted us with $270 billion of inflows," Chairman and CEO Marc Rowan said in the release.
Asset management at a record
Fee related earnings rose to $802 million from $652 million, which Apollo said reflected record quarterly fee related revenue and margin expansion. Segment management fees increased 17.8% to $1.02 billion, and capital solutions fees and other rose to $290 million from $212 million.
Total assets under management reached $1.074 trillion, up 18% from a year earlier, the company said, helped by $53 billion of inflows in the quarter. Asset Management contributed $35 billion of those inflows and Retirement Services $19 billion.
Spread earnings dip
Spread related earnings, the profit from Athene's retirement business, slipped 3.1% to $844 million from $871 million. Excluding notable items, which in the third quarter reflected Athene's annual assumption review, SRE was a record $909 million, up 7.4% from $846 million.
Principal investing income was $52 million, compared with $50 million, as realized performance fees climbed to $362 million from $201 million on realizations from private equity, including Fund X.
On a GAAP basis, total revenues fell 51.8% to $4.74 billion from $9.82 billion, as Retirement Services recorded $3.42 billion of investment-related losses versus gains of $2.25 billion a year earlier.
Dividend and buybacks
Apollo declared a quarterly dividend of $0.5625 per share, payable Nov. 30 to holders of record on Nov. 18. It spent $143 million on share repurchases in the third quarter, including $75 million of opportunistic buybacks, and returned a total of $1.5 billion to stockholders over the last 12 months through dividends and opportunistic repurchases.
By the numbers
- GAAP net loss per share: $1.78
- Adjusted net income per share: $2.07, down 4.6%
- Fee related earnings: $802 million, up 23.0%
- Spread related earnings: $844 million, down 3.1%
- Quarterly inflows: $53 billion
- Quarterly dividend: $0.5625 per share
Sources
- Apollo Global Management Form 8-K with third-quarter 2026 earnings release, filed Nov. 3, 2026 (accession 0001858681-26-000063)
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