Kohlberg Kravis Roberts 8-K
PositiveEarningsNew guidanceImpairment / charge
Insurance investment gains swung to losses, while fee-related and total operating earnings set records for a second straight quarter.
Filed 2026-11-09 06:51 ET
- 2.02 Results of Operations
- 9.01 Financial Statements and Exhibits
Summary
Q3 2026 results. Revenue fell 20% Q/Q after rising 33% Q/Q, as insurance investment-related gains swung to losses; Fee Related Earnings (FRE), KKR’s more recurring asset-management earnings, and Total Operating Earnings (TOE), its recurring earnings measure across asset management, insurance and strategic holdings, set quarterly and trailing-twelve-month records for a second consecutive quarter.
KKR expects to return more than $40B to clients in 2026, exceeding its prior annual record by more than 50%.
Developments
- K-Series vehicles, which KKR offers to individual investors, had $45B of AUM across asset classes, up from $29B a year earlier.
- Perpetual capital—capital of indefinite duration—reached $344B, up 11% Y/Y; 54% of AUM was perpetual or had a duration of at least 15 years at inception.
- Global Infrastructure V held its final close in August with $19.2B of commitments, making it KKR’s largest infrastructure fund raised to date.
- KKR expects the sale of USI Insurance Services, its inaugural Core Private Equity investment, to close in Q4 2026.
Results
| Metric | Q3 2026 | Change | 9M 2026 |
|---|---|---|---|
| Revenue | $4.56B | -17% Y/Y, -20% Q/Q | $14.6B+6.4% Y/Y |
| Assets Under Management | $804B | +11% Y/Y, +1.1% Q/Q | — |
| Fee Paying Assets Under Management | $648B | +11% Y/Y, +1.5% Q/Q | — |
| New Capital Raised (AUM) | $25.2B | -41% Y/Y | — |
| Capital Invested | $20.1B | -23% Y/Y, -16% Q/Q | — |
| Regular dividend | $0.195 | +0.0% Q/Q | — |
| Net income | $1.12B | +30% Y/Y, +70% Q/Q | $2.15B+87% Y/Y |
| Adjusted Net Income (non-GAAP) | $1.65B | +29% Y/Y, +10% Q/Q | $4.39B+30% Y/Y |
| Diluted EPS | $1.19 | +32% Y/Y, +70% Q/Q | $2.26+90% Y/Y |
| Cash and marketable securities | $5.38B | — | — |
| Total debt | $9.34B | — | — |
What moved the numbers
- Insurance GAAP revenue was $2.80B vs $3.78B a year earlier, as net investment-related losses of $(323)M replaced gains of $352M; Asset Management and Strategic Holdings GAAP revenue was $1.76B vs $1.74B.
- FRE was $1.32B, up 27% Y/Y, helping drive TOE to $1.74B, up 25% Y/Y. Insurance Operating Earnings were $230M vs $305M, or $257M vs $264M excluding the current-period $26M actuarial-review charge and prior-year $41M benefit; Strategic Holdings Operating Earnings were $192M vs $58M, driven by dividends.
- Transaction-related and non-operating items included a $230M impairment of an asset-management partnership, partially offset by a $75M release of a contingent reserve.
- Subject to the USI sale closing, KKR expects ≈$2.0B of non-GAAP adjusted net income, or more than $2.00 per share, in Q4 2026.
- From 12/31/2025 through 11/04/2026, KKR spent $906M on share repurchases and equity-grant retirements representing 9.9M shares, at an average $91.65 per share. Common shares outstanding were 896.3M at 9/30/2026 vs 891.5M at 12/31/2025; KKR approved another $500M increase to repurchase capacity on 11/06/2026.
Figures extracted from the filings and checked against their text; changes and verdicts computed from them.
The summary is written by an AI model reading the filing.
Model 005 · prompt v192 · 2026-11-09 15:42:57Z