Apollo Global Management surpassed profit expectations in the second quarter, achieving a record $627 million in fee-related earnings, marking a 22% increase year-over-year. This strong performance was primarily fueled by a surge in lending activity and substantial inflows from investors.
The firm generated $61 billion in net inflows during the quarter, comprising investments from external parties, assets acquired through the purchase of a smaller manager, and contributions from its insurance arm, Athene. Apollo's origination business, focused on providing loans to companies, recorded volumes of $81 billion, contributing to a 4% rise in fees from this segment.
Apollo posted an adjusted net income of $1.18 billion, or $1.92 per share, for the three months ending June 30. This significantly exceeded analysts' consensus estimate of $1.84 per share, as compiled by LSEG. The overall growth was also supported by a 25% rise in management fees from credit, overshadowing a 12% jump in fees from equity.
Looking at broader trends, Apollo has been consistently setting records. In the first quarter of 2026, the firm reported record fee-related earnings (FRE) of $728 million, a 30% year-over-year growth, contributing to total FRE and SRE of $1.4 billion. Total Assets Under Management (AUM) also surpassed $1 trillion, reaching $1.03 trillion, driven by record inflows of $115 billion in the first quarter alone, and $300 billion over the preceding twelve months. The fourth quarter prior saw Apollo set a lending record with $309 billion.
These results highlight Apollo's successful strategy to rival traditional Wall Street banks, with a focus on its credit and lending operations. The firm's ability to attract significant capital and generate robust fee income positions it strongly in the alternative asset management landscape.
