Blue Owl Capital Inc. · NYSE:OWL
Blue Owl Capital — Q4 2024 Earnings Presentation
29 slides from Blue Owl Capital's earnings presentation, Feb 6, 2025
Slide 1: Fourth Quarter 2024 Earnings
February 6, 2025 Blue Owl Capital Inc. Fourth Quarter 2024 Earnings
Slide 2: Disclosures
Disclosures About Blue Owl Blue Owl (NYSE: OWL) is a leading asset manager that is redefining alternatives. With over $250 billion in assets under management as of December 31, 2024, we invest across three multi-strategy platforms: Credit, GP Strategic Capital, and Real Assets. Anchored by a strong
Slide 3: Disclosures
Disclosures Non-GAAP Financial Measures; Other Financial and Operational Data This presentation includes certain non-GAAP financial measures that are not prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and that may be different from non-GAAP financi
Slide 4: Blue Owl Overview
Blue Owl Overview With over $250 billion of assets under management, Blue Owl is a leading asset manager that is redefining alternatives. Investment Platforms Credit GP Strategic Capital Real Assets • Financing partner of choice for private • Provides innovative minority equity and • Flexible and be
Slide 5: Fourth Quarter 2024 Highlights
Fourth Quarter 2024 Highlights • GAAP Net Income of $20.7 million, or $0.03 per basic and $0.03 per diluted Class A Share Financial Results • Fee-Related Earnings of $340.3 million, or $0.23 per Adjusted Share • Distributable Earnings of $315.2 million, or $0.21 per Adjusted Share • AUM of $251.1 bi
Slide 6: GAAP Results (Unaudited)
GAAP Results (Unaudited) Quarter Ended Year Ended (dollars in thousands, except per share data) 4Q'24 4Q'23 % Change 4Q'24 4Q'23 % Change GAAP Revenues Credit (including Part I Fees of $135,503, $110,073, $518,981 and $ 350,273 $ 249,285 41% $ 1,234,594 $ 899,902 37% $381,576) GP Strategic Capital (
Slide 7: Historical Trends (GAAP)
Historical Trends (GAAP) • GAAP Management Fees of $1,994.1 million for the year, increased 31% compared to prior year • GAAP Consolidated Net Income of $420.4 million for the year, compared to $220.8 million in the prior year • GAAP Net Income Attributable to Class A Shares of $109.6 million for th
Slide 8: FY'24 - Earnings Growth
FY'24 - Earnings Growth 15th consecutive quarter of both FRE management fee and FRE sequential growth FRE Revenue FRE DE (dollars in millions) (dollars in millions) (dollars in millions) 31% 26% 22% Growth Growth Growth 2,170.6 1,253.4 1,129.2 927.8 1,660.5 997.7 FY'23 FY'24 FY'23 FY'24 FY'23 FY'24
Slide 9: Non-GAAP Results (Unaudited)
Non-GAAP Results (Unaudited) Quarter Ended Year Ended (dollars in thousands, except per share data) 4Q'24 4Q'23 % Change 4Q'24 4Q'23 % Change FRE Revenues Credit (including Part I Fees of $135,503, $110,073, $518,981 and $ 350,273 $ 249,285 41% $ 1,234,594 $ 899,902 37% $381,576) GP Strategic Capita
Slide 10: Historical Trends (Non-GAAP)
Historical Trends (Non-GAAP) • FRE Management Fees of $2,037.6 million for the year, increased 30% compared to prior year • Fee-Related Earnings of $1,253.4 million for the year, increased 26% compared to prior year • Distributable Earnings of $1,129.2 million for the year, increased 22% compared to
Slide 11: Assets Under Management
Assets Under Management • AUM of $251.1 billion, increased 52% since December 31, 2023 ◦ The increase was primarily driven by the Kuvare, Prima and Atalaya Acquisitions, as well as capital raised, change in debt and appreciation across the business • FPAUM of $159.8 billion, increased 56% since Dece
Slide 12: Fundraising
Fundraising • Total Fundraise of $9.5 billion during the quarter was driven by $4.3 billion in Credit, $3.2 billion in GP Strategic Capital and $1.9 billion in Real Assets • Private Wealth Fundraise of $3.9 billion during the quarter was primarily driven by products from the direct lending strategy
Slide 13: Credit Platform
Credit Platform • AUM of $135.7 billion, increased 60% since December 31, 2023 ◦ The increase was primarily driven by the Kuvare and Atalaya Acquisitions, as well as capital raised and change in debt in products from the direct lending strategy. • FPAUM of $91.0 billion, increased 59% since December
Slide 14: GP Strategic Capital Platform
GP Strategic Capital Platform • AUM of $66.0 billion, increased 22% since December 31, 2023 ◦ The increase was primarily driven by capital raised in our sixth flagship minority equity stakes product and appreciation across the platform • FPAUM of $37.3 billion, increased 20% since December 31, 2023
Slide 15: Real Assets Platform
Real Assets Platform • AUM of $49.4 billion, increased 84% since December 31, 2023 ◦ The increase was primarily driven by the Prima and Kuvare Acquisitions, as well as capital raised in our real estate investment trust, European net lease product and sixth vintage drawdown product • FPAUM of $31.5 b
Slide 16: Supplemental Information
Supplemental Information
Slide 17: Supplemental Liquidity Metrics
Supplemental Liquidity Metrics As of December 31, 2024, the average maturity of the Company's outstanding notes is ~10 years. Total Debt ($M) Available Liquidity ($M) $2,640 $130 $60 Credit Ratings $350 BBB+ Baa2 $152 $400 Fitch Moody's BBB $700 S&P $1,000 $759 $1,586 $1.7B Available Liquidity Revol
Slide 18: FPAUM to AUM Bridge
FPAUM to AUM Bridge As of December 31, 2024, AUM not yet paying fees totaled $22.6 billion, reflecting expected annual management fees of over $300 million once deployed. (dollars in billions) $55.3 $251.1 $13.2 $20.2 $49.4 $13.4 $21.9 $0.1 $22.6 $6.8 $6.5 $4.6 $1.6 $159.8 $16.4 $66.0 $31.5 $28.6 $3
Slide 19: AUM and FPAUM Rollforwards
AUM and FPAUM Rollforwards Three Months Ended December 31, 2024 Twelve Months Ended December 31, 2024 (dollars in millions) GP Strategic GP Strategic Credit Capital Real Assets Total Credit Capital Real Assets Total AUM Beginning Balance $ 128,443 $ 62,027 $ 44,113 $ 234,583 $ 84,632 $ 54,199 $ 26,8
Slide 20: Appendix
Appendix
Slide 21: GAAP Results (Unaudited)
GAAP Results (Unaudited) Quarter Ended Year Ended (dollars in thousands, except share and per share data) 4Q'24 4Q'23 4Q'24 4Q'23 Revenues Management fees, net (includes Part I Fees of $137,580, $111,923, $527,859 and $387,346) $ 557,103 $ 410,578 $ 1,994,064 $ 1,527,241 Administrative, transaction
Slide 22: GAAP Results Summary (Unaudited)
GAAP Results Summary (Unaudited) Quarter Ended (dollars in thousands, except per share data) 4Q'24 3Q'24 2Q'24 1Q'24 4Q'23 GAAP Revenues Management Fees, Net $ 557,103 $ 523,309 $ 465,754 $ 447,898 $ 410,578 Administrative, Transaction and Other Fees 69,675 77,289 83,906 63,397 80,342 Performance Re
Slide 23: Non-GAAP Results Summary (Unaudited)
Non-GAAP Results Summary (Unaudited) Quarter Ended (dollars in thousands, except per share data) 4Q'24 3Q'24 2Q'24 1Q'24 4Q'23 FRE Revenues FRE Management Fees, Net $ 568,220 $ 534,425 $ 476,414 $ 458,558 $ 421,238 FRE Administrative, Transaction and Other Fees 23,288 33,622 43,404 25,945 46,295 FRE
Slide 24: Non-GAAP and Other Measures
Non-GAAP and Other Measures GAAP Margin Calculated as income before income taxes, divided by total revenues. Fee-Related Earnings, or FRE, and Fee-Related Earnings is a supplemental non-GAAP measure of our core operating performance used to make operating decisions and assess our Related Components
Slide 25: Non-GAAP Reconciliations
Non-GAAP Reconciliations Quarter Ended Year Ended (dollars in thousands) 4Q'24 3Q'24 2Q'24 1Q'24 4Q'23 4Q'24 4Q'23 GAAP Net Income Attributable to Class A Shares $ 20,743 $ 29,805 $ 33,945 $ 25,091 $ 18,058 $ 109,584 $ 54,343 Net income attributable to noncontrolling interests 50,312 69,519 104,109
Slide 26: Non-GAAP Reconciliations (cont'd)
Non-GAAP Reconciliations (cont’d) Quarter Ended Year Ended (dollars in thousands, except per share data) 4Q'24 3Q'24 2Q'24 1Q'24 4Q'23 4Q'24 4Q'23 Weighted-Average Adjusted Shares Class A Shares(1) 590,446,378 563,549,711 518,018,685 476,336,605 458,682,468 537,305,932 452,011,730 Common Units and V
Slide 27: Non-GAAP Reconciliations (cont'd)
Non-GAAP Reconciliations (cont’d) Quarter Ended Year Ended (dollars in thousands, except per share data) 4Q'24 4Q'23 4Q'24 4Q'23 Income Before Income Taxes $ 74,073 $ 84,306 $ 469,228 $ 246,384 GAAP Revenues $ 631,361 $ 494,035 $ 2,295,427 $ 1,731,608 GAAP Margin 12 % 17 % 20 % 14 % Fee-Related Earn
Slide 28: Defined Terms
Defined Terms Assets Under Management or AUM Refers to the assets that we manage, and is generally equal to the sum of (i) net asset value (“NAV”); (ii) drawn and undrawn debt; (iii) uncalled capital commitments; (iv) total managed assets for certain Credit and Real Assets products; and (v) par valu
Slide 29: Defined Terms (cont'd)
Defined Terms (cont’d) Gross Return Refers to a return that is equal to the percentage change in the value of a product's portfolio, adjusted for all contributions and withdrawals (cash flows) before the effects of management fees, incentive fees and carried interest allocated to the general partner