Carlyle reports USD518.8 million fourth-quarter profit

Carlyle Group

Washington-based Carlyle Group reported a USD518.8 million fourth-quarter profit on the back of strong asset sales at the end of last year, including its divestment of a 50 percent stake in streetwear fashion brand Supreme to VF Corporation as part of a USD2.1 billion deal in November.

VF Corporation already includes the brands Vans, The North Face, Timberland and Dickies, and the company said that it expects Supreme to contribute at least USD500 million of revenue and USD0.20 of adjusted EPS in the fiscal year 2022.

Carlyle's December results swung upwards from a loss of USD8.3 million, or 8 cents per share, in the same period of 2019. The better-than-expected figures came largely on the back of the disposal of assets in the global PE-firm's private equity division and credit businesses.

Carlyle’s private-equity portfolio increased in value by 11 per cent during the period, compared with an 11.7 percent gain by the S&P 500 stock market index.

The private equity group recorded total assets under management at USD246 billion, an increase of 10 per cent year-over-year. Meanwhile, fee-earning assets under management stood at USD170 billion, up 6 per cent year-over-year. It also has a remaining USD76 billion of capital available for investment. 

The Carlyle group’s earnings are in line with Blackstone's results, which last week reported a 60 per cent year-on-year rise in its fourth quarter distributable earnings. 

Apollo on the other hand posted a smaller-than-expected 30 percent drop in fourth-quarter distributable earnings yesterday.

Total fundraising for 2020 stood at USD27.5 billion, as Carlyle raised around USD9.7 billion in new capital during the fourth quarter, and USD27.5 billion in FY 2020.

Invested capital reached USD8.7 billion in Q4 2020 and USD18.3 billion in FY 2020, including the investment in Manna Pro Products LLC, a pet-care products company. Carry fund appreciation was up 8 per cent.