Ares Management Corporation · NYSE:ARES
Ares Management — Q3 2025 Earnings Presentation
45 slides from Ares Management's earnings presentation, Nov 3, 2025
Slide 1: Earnings Presentation Third Quarter 2025
Earnings Presentation Third Quarter 2025 Exhibit 99.2
Slide 2: Important Notice
2 Important Notice This presentation is prepared for Ares Management Corporation (“Ares”) (NYSE: ARES) for the benefit of its public stockholders. This presentation is solely for information purposes in connection with evaluating the business, operations and financial results of Ares and certain of
Slide 3: Third Quarter 2025 Highlights
3 Q3-25 Financial Results Assets Under Management Corporate Actions Third Quarter 2025 Highlights 1) Unconsolidated management fees includes $8.5 million from Consolidated Funds that are eliminated upon consolidation for GAAP for Q3-25 and excludes management fees attributable to certain joint ventu
Slide 4: GAAP Statement of Operations
4 Three months ended September 30, Nine months ended September 30, $ in thousands, except share data 2025 2024 2025 2024 Revenues Management fees $971,762 $753,597 $2,689,371 $2,162,970 Carried interest allocation 464,666 277,651 948,575 194,006 Incentive fees 100,668 48,638 155,795 105,039 Principa
Slide 5: RI and Other Measures Financial Summary
5 RI and Other Measures Financial Summary Three months ended September 30, Nine months ended September 30, $ in thousands, except share data (and as otherwise noted) 2025 2024 % Change 2025 2024 % Change Management fees1 $970,606 $757,262 28% $2,689,267 $2,176,738 24% Fee related performance revenue
Slide 6: Gross New Capital Commitments
6 Gross New Capital Commitments1 1) Represents gross new capital commitments during the period presented, including equity and debt commitments, and gross inflows into our open-ended managed accounts, publicly-traded vehicles and perpetual wealth vehicles. Commitments denominated in currencies other
Slide 7: Assets Under Management
7 Q3-24 Q2-25 Q3-25 Assets Under Management 1) AUM amounts include vehicles managed by Ivy Hill Asset Management, L.P., a wholly owned portfolio company of ARCC and a SEC-registered investment adviser (“IHAM”). AUM1 as of September 30, 2025 was $595.7 billion, an increase of 28% from prior year • Th
Slide 8: Perpetual Capital
8 Q3-24 Q2-25 Q3-25 $2.0 Perpetual Capital Perpetual Capital AUM Perpetual Capital as of September 30, 2025 was $190.3 billion, an increase of 53% from prior year • The increase of $66.2 billion was primarily driven by: – capital raised by our credit BDCs, our open-ended European direct lending fund
Slide 9: AUM and Management Fees by Type
9 8% 10% 9% 6% 54% 13% 22% 16% 7% 5% 44% 6% AUM and Management Fees by Type 87% 1) Long-dated funds generally have a contractual life of five years or more at inception. For the quarter ended September 30, 2025: • 87% of assets under management were perpetual capital or long-dated funds • 94% of man
Slide 10: Available Capital and AUM Not Yet Paying Fees
10 Q3-24 Q2-25 Q3-25 Available Capital and AUM Not Yet Paying Fees Available Capital as of September 30, 2025 was $149.5 billion, an increase of 19% from prior year • The increase of $24.2 billion was primarily driven by: – commitments to our opportunistic credit, U.S.direct lending and infrastructu
Slide 11: AUM Not Yet Paying Fees
11 $63.1 $10.4 $3.2 $4.3 $81.0 $15.5 $4.6 $1.9 AUM Not Yet Paying Fees Available for Future Deployment AUM Not Yet Paying Fees As of September 30, 2025, AUM Not Yet Paying Fees includes $81.0 billion of AUM available for future deployment1 and $4.6 billion of development assets not yet stabilized2 t
Slide 12: Incentive Eligible AUM and Incentive Generating AUM
12 Q3-24 Q2-25 Q3-25 $26.5 Incentive Eligible AUM and Incentive Generating AUM ($ in billions) ($ in billions) Credit3 Real Assets3 Private Equity Secondaries3 Other Businesses Total Incentive Generating AUM $99.4 $25.1 $8.4 $13.9 $1.4 $148.2 + Uninvested IEAUM 67.1 12.4 4.9 12.5 — 96.9 + IEAUM belo
Slide 13: Gross Capital Deployment
13 $0.1 $33.1 $5.4 $1.6 $1.5 Q3-24 Q2-25 Q3-25 Q3-25 Gross Capital Deployment Capital Deployment ($ in billions) (2) Capital Deployment in Drawdown Funds ($ in billions) $10.1 $0.1 $2.2 $13.7 $8.9 $0.1 $2.5 $13.0 $20.2 $4.1 $15.1 $0.9 Credit Real Assets Private Equity Secondaries Other Businesses $0
Slide 14: Credit Group
14Note: Past performance is not indicative of future results. Please refer to the endnotes on slide 38 for additional information. Credit Group1 Alternative Credit 5.6% / 16.0% $ in thousands Q3-25 Q3-24 % Change YTD-25 YTD-24 % Change Management and other fees $665,435 $567,970 17% $1,891,932 $1,63
Slide 15: Real Assets Group
15Note: Past performance is not indicative of future results. Please refer to the endnotes on slide 39 for additional information. Financial Summary and Highlights Americas Real Estate Equity 1.6% / 9.1% Strategy Performance Highlights European Real Estate Equity 1.2% / 4.3% Infrastructure Debt 1.3%
Slide 16: Private Equity Group
16 • Management and other fees decreased by 4% for Q3-25 compared to Q3-24, primarily driven by a corporate private equity extended value fund that stopped paying fees at the end of Q4-24, partially by offset by fees from acquired APAC private equity funds • Fee Related Earnings decreased by 21% for
Slide 17: Secondaries Group
17Note: Past performance is not indicative of future results. Please refer to the endnotes on slide 41 for additional information. Financial Summary and Highlights Private Equity Secondaries3 3.2% / 3.7% Strategy Performance Highlights Real Estate Secondaries3 3.1% / 5.3% Q3-25 / since inception Q3-
Slide 18: Supplemental Details
WARES Supplemental Details
Slide 19: Financial Details – Segments
19 Financial Details – Segments 1. Includes results of the reportable segments on a combined basis together with the Operations Management Group. Please refer to “GAAP to Non-GAAP Reconciliation – Unconsolidated Reporting Basisˮ on slides 36-37. 2. Includes fee related performance compensation of $4
Slide 20: Financial Details – Segments (Nine Months)
20 Nine months ended September 30, 2025 $ in thousands Credit Group Real Assets Group Private Equity Group Secondaries Group Other Operations Management Group Total1 Management fees $1,854,501 $484,032 $97,049 $210,596 $43,089 $— $2,689,267 Fee related performance revenues 81,098 6,051 — 43,002 — —
Slide 21: Realized Income per Share Data
21 Realized Income per Share Data Three months ended September 30, Nine months ended September 30, $ in thousands, except share data 2025 2024 2025 2024 After-tax Realized Income Realized Income before taxes $455,509 $338,756 $1,259,247 $991,070 Entity level foreign, state and local taxes (8,647) (8
Slide 22: Weighted-Average Shares
22 Weighted-Average Shares 1) Represents proportional dilutive impact based upon the weighted average percentage of Ares Operating Group owned by Ares Management Corporation (67.29% and 64.14% as of September 30, 2025 and 2024, respectively). 2) Represents units exchangeable for shares of Class A co
Slide 23: Balance Sheet
23 73% 19% 9% 2% Substantial balance sheet value related to investments primarily in Ares managed vehicles and net accrued performance income Balance Sheet 1) Unconsolidated investments includes $1,097.0 million of investments in Consolidated Funds that are eliminated upon consolidation for GAAP and
Slide 24: Balance Sheet Investments by Strategy
24 Balance Sheet Investments by Strategy1 $ in millions As of September 30, 2025 As of December 31, 2024 Credit Liquid Credit $128.0 $139.8 Alternative Credit 0.8 0.8 Opportunistic Credit 36.1 36.8 U.S. Direct Lending 107.9 93.6 European Direct Lending 42.7 40.3 APAC Credit 15.7 10.1 Credit $331.2 $
Slide 25: AUM Rollforward
25 AUM Rollforward Q3-25 AUM Rollforward $ in millions Credit Real Assets Private Equity Secondaries Other Businesses Total Q2-25 Ending Balance $377,106 $129,774 $23,766 $33,949 $7,790 $572,385 Acquisitions — — 856 — — 856 Net new par/equity commitments 11,479 3,347 528 3,349 2,148 20,851 Net new d
Slide 26: FPAUM Rollforward
26 FPAUM Rollforward Q3-25 FPAUM Rollforward $ in millions Credit Real Assets Private Equity Secondaries Other Businesses Total Q2-25 Ending Balance $228,153 $79,495 $10,993 $24,535 $6,381 $349,557 Acquisitions — — 1,118 — — 1,118 Commitments 8,129 2,811 — 3,153 1,805 15,898 Deployment/increase in l
Slide 27: AUM and FPAUM by Strategy
27 AUM and FPAUM by Strategy As of September 30, 2025 $ in billions AUM % AUM FPAUM % FPAUM Credit Liquid Credit $49.3 13% $48.0 20% Alternative Credit 46.7 12 33.8 14 Opportunistic Credit 19.1 5 9.2 4 U.S. Direct Lending1 180.3 46 99.5 41 European Direct Lending 84.9 22 44.3 18 APAC Credit 11.2 2 5
Slide 28: Credit Group Fund Performance Metrics
28 Credit Group Fund Performance Metrics The following table presents the performance data for funds that are not drawdown funds as of September 30, 2025: Note: Past performance is not indicative of future results. Return information presented may not reflect actual returns earned by investors in th
Slide 29: Credit Group Drawdown Fund Performance
29 Primary Investment Strategy Year of Inception Original Capital Commitments Capital Invested to Date Realized Value8 Unrealized Value9 Total Value MoIC IRR(%) ($ in millions) AUM Gross10 Net11 Gross12 Net13 Funds Harvesting Investments SSF IV Opportunistic Credit 2015 $1,143 $1,515 $1,402 $1,301 $
Slide 30: Real Assets Group Fund Performance Metrics
30 Note: Past performance is not indicative of future results. Return information presented may not reflect actual returns earned by investors in the applicable fund. Fund performance metrics for significant funds may be marked as “NM” as they may not be considered meaningful due to the limited time
Slide 31: Private Equity Group Fund Performance Metrics
31 Private Equity Group Fund Performance Metrics Note: Past performance is not indicative of future results. Return information presented may not reflect actual returns earned by investors in the applicable fund. Fund performance metrics for significant funds may be marked as “NM” as they may not be
Slide 32: Secondaries Group Fund Performance Metrics
32 Secondaries Group Fund Performance Metrics Note: Past performance is not indicative of future results. Return information presented may not reflect actual returns earned by investors in the applicable fund. Fund performance metrics for significant funds may be marked as “NM” as they may not be co
Slide 33: Reconciliation and Disclosures
Reconciliation and Disclosures
Slide 34: Corporate Data
34 Corporate Data Board of Directors Michael Arougheti Ashish Bhutani Antoinette Bush Kipp deVeer Paul G. Joubert David Kaplan Co-Founder and Chief Executive Officer of Ares Former Chairman and Chief Executive Officer of Lazard Asset Management and Former Vice Chairman of Lazard Ltd Former Senior Ad
Slide 35: Corporate Data (cont'd)
35 Corporate Data (cont'd) Research Coverage Autonomous Bank of America Merrill Lynch Barclays BMO Capital Markets Deutsche Bank Goldman Sachs Patrick Davitt (646) 561-6254 Craig Siegenthaler (646) 855-5004 Benjamin Budish (212) 526-2418 Brennan Hawken (646) 648-2408 Brian Bedell (212) 250-6600 Alex
Slide 36: GAAP to Non-GAAP Reconciliation – Unconsolidated Reporting Basis
36 GAAP to Non-GAAP Reconciliation – Unconsolidated Reporting Basis Three months ended September 30, Nine months ended September 30, $ in thousands 2025 2024 2025 2024 Realized Income and Fee Related Earnings: Income before taxes $652,271 $327,106 $1,080,247 $875,479 Adjustments: Amortization of int
Slide 37: GAAP to Non-GAAP Reconciliation (cont'd)
37 GAAP to Non-GAAP Reconciliation – Unconsolidated Reporting Basis (cont'd) Note: These tables reconcile consolidated carried interest allocation and incentive fees reported in accordance with GAAP to unconsolidated realized performance income and consolidated GAAP other income to unconsolidated re
Slide 38: Investment Group Highlights and Fund Performance Endnotes
38 The tables for each of the investment group highlights on slides 14-17 are a financial summary only and segment results are shown before the unallocated support costs of the Operations Management Group. Please refer to “Financial Details - Segments” on slides 19-20 for complete financial results.
Slide 39: Credit Group Endnotes (cont'd)
39 Credit Group (cont’d) 13) The net IRR is an annualized since inception net internal rate of return of cash flows to and from the fund and the fund’s residual value at the end of the measurement period. Net IRRs reflect returns to the fee-paying limited partners and, if applicable, exclude interes
Slide 40: Endnotes: Real Assets Group (cont'd)
40 Investment Group Highlights and Fund Performance Endnotes (cont'd) Real Assets Group (cont’d) 7) Performance is measured by total return, which includes income and appreciation and reinvestment of all distributions for the respective time period. Returns are shown for institutional share class. S
Slide 41: Endnotes: Private Equity Group
41 Private Equity Group 1) The Private Equity Group had ~90 investment and investor relations professionals, ~115 portfolio companies and ~60 active funds as of September 30, 2025. 2) All returns are gross fund-level time-weighted rates of return and include the reinvestment of income and other earn
Slide 42: Endnotes: Secondaries Group (cont'd)
42 Secondaries Group (cont’d) 8) The net MoIC is calculated at the fund-level and is based on the interests of the fee-paying limited partners and if applicable, excludes those interests attributable to the non-fee paying limited partners and/or the general partner which does not pay management fees
Slide 43: Glossary
43 Glossary Ares Operating Group Entities Ares Operating Group entities or an “AOG Entity” refers to, collectively, Ares Holdings L.P. (“Ares Holdings”) and any future entity designated by our board of directors in its sole discretion as an Ares Operating Group entity. Ares Operating Group Unit Ares
Slide 44: Glossary: Fee Related Performance Revenues
44 Fee Related Performance Revenues Fee Related Performance Revenues refers to incentive fees from perpetual capital vehicles that are: (i) measured and eligible to be received on a recurring basis; and (ii) not dependent on realization events from the underlying investments. Certain vehicles are su
Slide 45: Glossary (cont'd)
45 Glossary (cont'd) Perpetual Capital Perpetual Capital refers to the AUM of publicly-traded, perpetual wealth vehicles, commingled funds and managed accounts that have an indefinite term, are not in liquidation, and for which there is no immediate requirement to return invested capital to investor