Cover
Cover - shares | 3 Months Ended | |
Mar. 31, 2024 | May 02, 2024 | |
Entity Listings [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2024 | |
Document Transition Report | false | |
Entity File Number | 001-35538 | |
Entity Registrant Name | Carlyle Group Inc. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 45-2832612 | |
Entity Address, Address Line One | 1001 Pennsylvania Avenue, NW | |
Entity Address, City or Town | Washington | |
Entity Address, State or Province | DC | |
Entity Address, Postal Zip Code | 20004-2505 | |
City Area Code | 202 | |
Local Phone Number | 729-5626 | |
Entity Common Stock, Shares Outstanding | 359,880,497 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q1 | |
Entity Central Index Key | 0001527166 | |
Current Fiscal Year End Date | --12-31 | |
Common Stock | ||
Entity Listings [Line Items] | ||
Title of 12(b) Security | Common Stock | |
Trading Symbol | CG | |
Security Exchange Name | NASDAQ | |
4.625% Subordinated Notes due 2061 of Carlyle Finance L.L.C. | ||
Entity Listings [Line Items] | ||
Title of 12(b) Security | 4.625% Subordinated Notes due 2061 of Carlyle Finance L.L.C. | |
Trading Symbol | CGABL | |
Security Exchange Name | NASDAQ |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Assets | ||
Cash and cash equivalents | $ 1,276.5 | $ 1,440.3 |
Cash and cash equivalents held at Consolidated Funds | 426 | 346 |
Restricted cash | 1.4 | 1.8 |
Investments, including accrued performance allocations of $5,567.6 and $6,169.9 as of March 31, 2024 and December 31, 2023, respectively | 9,473.2 | 9,955.3 |
Investments of Consolidated Funds | 7,458.6 | 7,253.1 |
Due from affiliates and other receivables, net | 624.1 | 691.6 |
Due from affiliates and other receivables of Consolidated Funds, net | 204.1 | 141 |
Fixed assets, net | 162.8 | 161.5 |
Lease right-of-use assets, net | 349.3 | 332.2 |
Deposits and other | 88.5 | 70.6 |
Intangible assets, net | 732.8 | 766.1 |
Deferred tax assets | 52.2 | 16.5 |
Total assets | 20,849.5 | 21,176 |
Liabilities and equity | ||
Debt obligations | 2,259 | 2,281 |
Loans payable of Consolidated Funds | 6,535.1 | 6,486.5 |
Accounts payable, accrued expenses and other liabilities | 375.2 | 333.8 |
Accrued compensation and benefits | 4,173.9 | 4,922.2 |
Due to affiliates | 203.6 | 275.9 |
Deferred revenue | 391.1 | 140.3 |
Deferred tax liabilities | 26.2 | 45.3 |
Other liabilities of Consolidated Funds | 598.5 | 374.4 |
Lease liabilities | 502.9 | 488.1 |
Accrued giveback obligations | 44 | 44 |
Total liabilities | 15,109.5 | 15,391.5 |
Commitments and contingencies | ||
Common stock, $0.01 par value, 100,000,000,000 shares authorized (359,260,138 and 361,326,172 shares issued and outstanding as of March 31, 2024 and December 31, 2023, respectively) | 3.6 | 3.6 |
Additional paid-in-capital | 3,513.9 | 3,403 |
Retained earnings | 1,868.2 | 2,082.1 |
Accumulated other comprehensive loss | (315) | (297.3) |
Non-controlling interests in consolidated entities | 669.3 | 593.1 |
Total equity | 5,740 | 5,784.5 |
Total liabilities and equity | $ 20,849.5 | $ 21,176 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Performance allocations | $ 5,567.6 | $ 6,169.9 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized (in shares) | 100,000,000,000 | 100,000,000,000 |
Common stock, issued (in shares) | 359,260,138 | 361,326,172 |
Common stock, outstanding (in shares) | 359,260,138 | 361,326,172 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Revenues | ||
Investment income (loss) | $ (83.9) | $ 172.5 |
Interest and other income | 57.6 | 44 |
Interest and other income of Consolidated Funds | 164.9 | 121.9 |
Total revenues | 688.4 | 859 |
Compensation and benefits | ||
Cash-based compensation and benefits | 221.9 | 260.2 |
Equity-based compensation | 108.3 | 54.4 |
Performance allocations and incentive fee related compensation | (72.8) | 105.7 |
Total compensation and benefits | 257.4 | 420.3 |
General, administrative and other expenses | 147.7 | 159.2 |
Interest | 30.8 | 29.7 |
Interest and other expenses of Consolidated Funds | 124.6 | 93.7 |
Other non-operating expenses | 0.2 | 0.1 |
Total expenses | 560.7 | 703 |
Other income (loss) | ||
Net investment income (loss) of Consolidated Funds | (7) | 3.6 |
Income before provision for income taxes | 120.7 | 159.6 |
Provision for income taxes | 21.9 | 34.3 |
Net income | 98.8 | 125.3 |
Net income attributable to non-controlling interests in consolidated entities | 33.2 | 24.6 |
Net income attributable to The Carlyle Group Inc. | $ 65.6 | $ 100.7 |
Net income attributable to The Carlyle Group Inc. per common share (see Note 12) | ||
Basic (in dollars per share) | $ 0.18 | $ 0.28 |
Diluted (in dollars per share) | $ 0.18 | $ 0.28 |
Weighted-average common shares | ||
Basic (in shares) | 360,908,247 | 362,944,260 |
Diluted (in shares) | 369,343,601 | 365,357,833 |
Fund management fees | ||
Revenues | ||
Fund management fees and incentive fees | $ 523.6 | $ 500.8 |
Incentive fees | ||
Revenues | ||
Fund management fees and incentive fees | 26.2 | 19.8 |
Performance allocations | ||
Revenues | ||
Investment income (loss) | (157) | 160.8 |
Principal investment income (loss) | ||
Revenues | ||
Investment income (loss) | $ 73.1 | $ 11.7 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 98.8 | $ 125.3 |
Other comprehensive income (loss) | ||
Foreign currency translation adjustments | (20.7) | 19.8 |
Defined benefit plans | ||
Unrealized income for the period | 0.4 | 0.3 |
Reclassification adjustment for gain during the period, included in cash-based compensation and benefits expense | (0.1) | (0.1) |
Other comprehensive income (loss) | (20.4) | 20 |
Comprehensive income | 78.4 | 145.3 |
Comprehensive income attributable to non-controlling interests in consolidated entities | 30.5 | 27.6 |
Comprehensive income attributable to The Carlyle Group Inc. | $ 47.9 | $ 117.7 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Changes in Equity - USD ($) $ in Millions | Total | Common Stock | Additional Paid-in-Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Non- controlling Interests in Consolidated Entities |
Beginning balance (in shares) at Dec. 31, 2022 | 362,300,000 | |||||
Beginning balance at Dec. 31, 2022 | $ 6,821.3 | $ 3.6 | $ 3,138.5 | $ 3,401.1 | $ (322.2) | $ 600.3 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Shares repurchased (in shares) | (2,998,813) | (3,000,000) | ||||
Shares repurchased | $ (100.3) | (100.3) | ||||
Net shares issued for equity-based awards (in shares) | 2,800,000 | |||||
Equity-based compensation | 54.8 | 54.8 | ||||
Dividend-equivalent rights on certain equity-based awards | 0 | 2.2 | (2.2) | |||
Contributions | 18.7 | 18.7 | ||||
Dividends and distributions | (128.3) | (118.4) | (9.9) | |||
Net income | 125.3 | 100.7 | 24.6 | |||
Currency translation adjustments | 19.8 | 16.8 | 3 | |||
Defined benefit plans, net | 0.2 | 0.2 | ||||
Ending balance (in shares) at Mar. 31, 2023 | 362,100,000 | |||||
Ending balance at Mar. 31, 2023 | $ 6,811.5 | $ 3.6 | 3,195.5 | 3,280.9 | (305.2) | 636.7 |
Beginning balance (in shares) at Dec. 31, 2023 | 361,326,172 | 361,300,000 | ||||
Beginning balance at Dec. 31, 2023 | $ 5,784.5 | $ 3.6 | 3,403 | 2,082.1 | (297.3) | 593.1 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Shares repurchased (in shares) | (2,853,602) | (2,800,000) | ||||
Shares repurchased | $ (131.2) | (131.2) | ||||
Net shares issued for equity-based awards (in shares) | 800,000 | |||||
Net shares issued for equity-based awards | (19.4) | (19.4) | ||||
Equity-based compensation | 108.7 | 108.7 | ||||
Dividend-equivalent rights on certain equity-based awards | 0 | 2.2 | (2.2) | |||
Contributions | 64.7 | 64.7 | ||||
Dividends and distributions | (145.7) | (126.7) | (19) | |||
Net income | 98.8 | 65.6 | 33.2 | |||
Currency translation adjustments | (20.7) | (18) | (2.7) | |||
Defined benefit plans, net | $ 0.3 | 0.3 | ||||
Ending balance (in shares) at Mar. 31, 2024 | 359,260,138 | 359,300,000 | ||||
Ending balance at Mar. 31, 2024 | $ 5,740 | $ 3.6 | $ 3,513.9 | $ 1,868.2 | $ (315) | $ 669.3 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Cash flows from operating activities | ||
Net income | $ 98.8 | $ 125.3 |
Adjustments to reconcile net income to net cash flows from operating activities: | ||
Depreciation and amortization | 45.3 | 44 |
Equity-based compensation | 108.3 | 54.4 |
Non-cash performance allocations and incentive fees, net | 190.9 | (36.7) |
Non-cash principal investment income | (70) | (7.7) |
Other non-cash amounts | (2.9) | 10.8 |
Consolidated Funds related: | ||
Realized/unrealized (gain) loss on investments of Consolidated Funds | (82.7) | (145) |
Realized/unrealized (gain) loss from loans payable of Consolidated Funds | 89.7 | 141.4 |
Purchases of investments by Consolidated Funds | (1,477.3) | (386.6) |
Proceeds from sales and settlements of investments by Consolidated Funds | 1,276.3 | 332.5 |
Non-cash interest income, net | (6.7) | (3.7) |
Change in cash and cash equivalents held at Consolidated Funds | (80) | (20.8) |
Change in other receivables held at Consolidated Funds | (65) | 7.1 |
Change in other liabilities held at Consolidated Funds | 227.9 | (32.8) |
Purchases of investments | (145.1) | (18.5) |
Proceeds from the sale of investments | 102.1 | 78.6 |
Payments of contingent consideration | (1.5) | (68.6) |
Changes in deferred taxes, net | (47.1) | (15.1) |
Change in due from affiliates and other receivables | 6.7 | 16.9 |
Change in deposits and other | (19.7) | (33.9) |
Change in accounts payable, accrued expenses and other liabilities | 41.5 | (63.9) |
Change in accrued compensation and benefits | (365.6) | (371.9) |
Change in due to affiliates | (2.2) | (0.2) |
Change in lease right-of-use assets and lease liabilities | (2.2) | (2.8) |
Change in deferred revenue | 251.6 | 284.7 |
Net cash provided by (used in) operating activities | 71.1 | (112.5) |
Cash flows from investing activities | ||
Purchases of corporate treasury investments | 0 | (101.1) |
Proceeds from corporate treasury investments | 0 | 20.1 |
Purchases of fixed assets, net | (14.2) | (12.9) |
Net cash used in investing activities | (14.2) | (93.9) |
Cash flows from financing activities | ||
Payments on CLO borrowings | (13.9) | (1.1) |
Net borrowings on loans payable of Consolidated Funds | 45.3 | 68.7 |
Dividends to common stockholders | (126.7) | (118.4) |
Payment of deferred consideration for Carlyle Holdings units | (68.8) | (68.8) |
Contributions from non-controlling interest holders | 64.7 | 18.7 |
Distributions to non-controlling interest holders | (19) | (9.9) |
Common shares repurchased and net share settlement of equity awards | (150) | (100.3) |
Change in due to/from affiliates financing activities | 51.7 | 74.6 |
Net cash used in financing activities | (216.7) | (136.5) |
Effect of foreign exchange rate changes | (4.4) | 8.3 |
Decrease in cash, cash equivalents and restricted cash | (164.2) | (334.6) |
Cash, cash equivalents and restricted cash, beginning of period | 1,442.1 | 1,361.5 |
Cash, cash equivalents and restricted cash, end of period | 1,277.9 | 1,026.9 |
Reconciliation of cash, cash equivalents and restricted cash, end of period: | ||
Cash and cash equivalents | 1,276.5 | 1,010.1 |
Restricted cash | 1.4 | 16.8 |
Total cash, cash equivalents and restricted cash, end of period | 1,277.9 | 1,026.9 |
Cash and cash equivalents held at Consolidated Funds | $ 426 | $ 228.8 |
Organization and Basis of Prese
Organization and Basis of Presentation | 3 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Basis of Presentation | 1. Organization and Basis of Presentation Carlyle is one of the world’s largest global investment firms that deploys private capital across its business and conducts its operations through three reportable segments: Global Private Equity, Global Credit and Global Investment Solutions (see Note 15 , Segment Reporting ). In the Global Private Equity segment, Carlyle advises buyout, growth, real estate, infrastructure and natural resources funds. The primary areas of focus for the Global Credit segment are liquid credit, private credit, real assets credit, and other credit such as insurance solutions, platform initiatives, and capital markets. The Global Investment Solutions segment provides investment opportunities and resources for investors and clients through secondary purchases and financing of existing portfolios, managed co-investment programs and primary fund investments. Carlyle typically serves as the general partner, investment manager or collateral manager, making day-to-day investment decisions concerning the assets of these products. Basis of Presentation The accompanying financial statements include the accounts of the Company and its consolidated subsidiaries. In addition, certain Carlyle-affiliated funds, related co-investment entities and certain CLOs managed by the Company (collectively the “Consolidated Funds”) have been consolidated in the accompanying financial statements pursuant to accounting principles generally accepted in the United States (“U.S. GAAP”), as described in Note 2 , Summary of Significant Accounting Policies . The consolidation of the Consolidated Funds generally has a gross-up effect on assets, liabilities and cash flows, and generally has no effect on the net income attributable to the Company. The economic ownership interests of the other investors in the Consolidated Funds are reflected as non-controlling interests in consolidated entities in the accompanying condensed consolidated financial statements (see Note 2 , Summary of Significant Accounting Policies ). The accompanying condensed consolidated financial statements have been prepared in accordance with U.S. GAAP for interim financial information. These statements, including notes, have not been audited, exclude some of the disclosures required for annual financial statements, and should be read in conjunction with the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023 filed with the U.S. Securities and Exchange Commission (“SEC”) on February 22, 2024. T he operating results presented for interim periods are not necessarily indicative of the results that may be expected for any other interim period or for the entire year. In the opinion of management, the condensed consolidated financial statements reflect all adjustments, consisting of normal recurring accruals, which are necessary for the fair presentation of the financial condition and results of operations for the interim periods presented . |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Pr inciples of Consolidation The Company consolidates all entities that it controls either through a majority voting interest or as the primary beneficiary of variable interest entities (“VIEs”). The Company evaluates (1) whether it holds a variable interest in an entity, (2) whether the entity is a VIE, and (3) whether the Company’s involvement would make it the primary beneficiary. In evaluating whether the Company holds a variable interest, fees (including management fees, incentive fees and performance allocations) that are customary and commensurate with the level of services provided, and where the Company does not hold other economic interests in the entity that would absorb more than an insignificant amount of the expected losses or returns of the entity, are not considered variable interests. The Company considers all economic interests, including indirect interests, to determine if a fee is considered a variable interest. For those entities where the Company holds a variable interest, the Company determines whether each of these entities qualifies as a VIE and, if so, whether or not the Company is the primary beneficiary. The assessment of whether the entity is a VIE is generally performed qualitatively, which requires judgment. These judgments include: (a) determining whether the equity investment at risk is sufficient to permit the entity to finance its activities without additional subordinated financial support, (b) evaluating whether the equity holders, as a group, can make decisions that have a significant effect on the economic performance of the entity, (c) determining whether two or more parties’ equity interests should be aggregated, and (d) determining whether the equity investors have proportionate voting rights to their obligations to absorb losses or rights to receive returns from an entity. For entities that are determined to be VIEs, the Company consolidates those entities where it has concluded it is the primary beneficiary. The primary beneficiary is defined as the variable interest holder with (a) the power to direct the activities of a VIE that most significantly impact the entity’s economic performance and (b) the obligation to absorb losses of the entity or the right to receive benefits from the entity that could potentially be significant to the VIE. In evaluating whether the Company is the primary beneficiary, the Company evaluates its economic interests in the entity held either directly or indirectly by the Company. As of March 31, 2024 , assets and liabilities of the consolidated VIEs reflected in the condensed consolidated balance sheets were $8.1 billion and $7.1 billion , respectively. As of December 31, 2023 , assets and liabilities of the consolidated VIEs reflected in the consolidated balance sheets were $7.8 billion and $6.9 billion , respectively. Except to the extent of the consolidated assets of the VIEs, the holders of the consolidated VIEs’ liabilities generally do not have recourse to the Company. The Company’s Consolidated Funds are primarily CLOs , which are VIEs that issue loans payable that are backed by diversified collateral asset portfolios consisting primarily of loans or structured debt. In exchange for managing the collateral for the CLOs, the Company earns investment management fees, including in some cases subordinated management fees and contingent incentive fees. In cases where the Company consolidates the CLOs (primarily because of a retained interest that is significant to the CLO), those management fees and contingent incentive fees have been eliminated as intercompany transactions. As of March 31, 2024 , the Company held $184.4 million of investments in these CLOs which represents its maximum risk of loss. The Company’s investments in these CLOs are generally subordinated to other interests in the entities and entitle the Company to receive a pro rata portion of the residual cash flows, if any, from the entities. Investors in the CLOs have no recourse against the Company for any losses sustained in the CLO structure. The Company’s Consolidated Funds also include certain investment funds in our Global Private Equity segment that are accounted for as consolidated VIEs due to the Company providing financing to bridge investment purchases. As of March 31, 2024 , the Company held $319.9 million of notes receivable and investments related to these investment funds which represents its maximum risk of loss . The Company’s Consolidated Funds also include certain funds in our Global Credit and Global Investment Solutions segments that are accounted for as consolidated VIEs due to the Company having a significant indirect interest in these funds via the Company’s investment in Fortitude (see Note 4 , Investments ). Entities that do not qualify as VIEs are generally assessed for consolidation as voting interest entities. Under the voting interest entity model, the Company consolidates those entities it controls through a majority voting interest. All significant inter-entity transactions and balances of entities consolidated have been eliminated. Investments in Unconsolidated Variable Interest Entities The Company holds variable interests in certain VIEs that are not consolidated because the Company is not the primary beneficiary, including its investments in certain credit vehicles and certain AlpInvest vehicles, as well as its strategic investment in NGP Management Company, L.L.C. (“NGP Management” and, together with its affiliates, “NGP”). Refer to Note 4 , Investments , for information on the strategic investment in NGP. The Company’s involvement with such entities is in the form of direct or indirect equity interests and fee arrangements. The maximum exposure to loss represents the loss of assets recognized by the Company relating to its variable interests in these unconsolidated entities. The assets recognized in the Company’s condensed consolidated balance sheets related to the Company’s variable interests in these non-consolidated VIEs were as follows: As of March 31, 2024 December 31, 2023 (Dollars in millions) Investments $ 1,111.3 $ 1,118.4 Accrued performance allocations 544.6 492.3 Management fee receivables 77.4 65.1 Total $ 1,733.3 $ 1,675.8 These amounts represent the Company’s maximum exposure to loss related to the unconsolidated VIEs as of March 31, 2024 and December 31, 2023 . Basis of Accounting The accompanying financial statements are prepared in accordance with U.S. GAAP. Management has determined that the Company’s Funds are investment companies under U.S. GAAP for the purposes of financial reporting. U.S. GAAP for an investment company requires investments to be recorded at estimated fair value and the unrealized gains and/or losses in an investment’s fair value are recognized on a current basis in the statements of operations. Additionally, the Funds do not consolidate their majority-owned and controlled investments (the “Portfolio Companies”). In the preparation of these condensed consolidated financial statements, the Company has retained the specialized accounting for the Funds. All of the investments held and notes issued by the Consolidated Funds are presented at their estimated fair values in the Company’s condensed consolidated balance sheets. Interest and other income of the Consolidated Funds, interest expense and other expenses of the Consolidated Funds, and net investment income (losses) of Consolidated Funds are included in the Company’s condensed consolidated statements of operations. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make assumptions and estimates that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Management’s estimates are based on historical experiences and other factors, including expectations of future events that management believes to be reasonable under the circumstances. It also requires management to exercise judgment in the process of applying the Company’s accounting policies. Assumptions and estimates regarding the valuation of investments and their resulting impact on performance allocations and incentive fees involve a higher degree of judgment and complexity and these assumptions and estimates may be significant to the condensed c onsolidated financial statements and the resulting impact on performance allocations and incentive fees. Actual results could differ from these estimates and such differences could be material. Revenue Recognition The Company recognizes revenue in accordance with ASC 606, Revenue from Contracts with Customers . Revenue is recognized when the Company transfers promised goods or services to customers in an amount that reflects the consideration to which the Company expects to be entitled to in exchange for those goods or services. ASC 606 includes a five-step framework that requires an entity to: (i) identify the contract(s) with a customer, which includes assessing the collectability of the consideration to which it will be entitled in exchange for the goods or services transferred to the customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract, and (v) recognize revenue when the entity satisfies a performance obligation. The Company accounts for performance allocations that represent a performance-based capital allocation from fund limited partners to the Company (commonly known as “carried interest”) as earnings from financial assets within the scope of ASC 323, Investments—Equity Method and Joint Ventures , and therefore are not in the scope of ASC 606. In accordance with ASC 323, the Company records equity method income (losses) as a component of investment income based on the change in its proportionate claim on net assets of the investment fund, including performance allocations, assuming the investment fund was liquidated as of each reporting date pursuant to each fund’s governing agreements. See Note 4 , Investments , for additional information on the components of investments and investment income. Performance fees that do not meet the definition of performance-based capital allocations are in the scope of ASC 606 and are included in incentive fees in the condensed consolidated statements of operations. The calculation of unrealized performance revenues utilizes investment valuations of the funds’ underlying investments, which are derived using the policies, methodologies and templates prepared by the Company’s valuation group, as described in Note 3 , Fair Value Measurement . While the determination of who is the customer in a contractual arrangement will be made on a contract-by-contract basis, the customer will generally be the investment fund for the Company’s significant management and advisory contracts. The customer determination impacts the Company’s analysis of the accounting for contract costs. Fund Management Fees The Company provides management services to funds in which it holds a general partner interest or to funds or certain portfolio companies with which it has an investment advisory or investment management agreement. The Company considers the performance obligations in its contracts with its funds to be the promise to provide (or to arrange for third parties to provide) investment management services related to the management, policies and operations of the funds. As it relates to the Company’s performance obligation to provide investment management services, the Company typically satisfies this performance obligation over time as the services are rendered, since the funds simultaneously receive and consume the benefits provided as the Company performs the service. The transaction price is the amount of consideration to which the Company expects to be entitled in exchange for transferring the promised services to the funds. Management fees earned from each investment management contract over the contract life represent variable consideration because the consideration the Company is entitled to varies based on fluctuations in the basis for the management fee, for example fund net asset value (“NAV”) or assets under management (“AUM”). Given that the management fee basis is susceptible to market factors outside of the Company’s influence, management fees are constrained and, therefore, estimates of future period management fees are generally not included in the transaction price. Revenue recognized for the investment management services provided is generally the amount determined at the end of the period because that is when the uncertainty for that period is resolved. For closed-end carry funds in the Global Private Equity segment, management fees generally range from 1.0% to 2.0% of limited partners’ capital commitments during the fund’s commitment period. For closed-end carry funds in the Global Credit segment, management fees generally range from 1.0% to 2.0% of limited partners’ invested capital. Following the expiration or termination of the investment period, management fees generally are based on the lower of cost or fair value of invested capital and the rate charged may also be reduced. These terms may vary for certain separately managed accounts, longer-dated carry funds, and other closed-end funds. The Company will receive management fees during a specified period of time, which is generally ten years from the initial closing date, or, in some instances, from the final closing date, but such termination date may be earlier in certain limited circumstances or later if extended for successive one -year periods, typically up to a maximum of two years . Depending upon the contracted terms of investment advisory or investment management and related agreements, these fees are generally called semi-annually in advance and are recognized as earned over the subsequent six month period. For certain longer-dated carry funds and certain other closed-end funds, management fees are called quarterly over the life of the fu nd s. Within the Global Credit segment, for CLOs and other structured products, management fees generally range from 0.4% to 0.5% based on the total par amount of assets or the aggregate principal amount of the notes in the CLO and are generally due quarterly in arrears based on the terms and recognized over the respective period. Management fees for the CLOs and other structured products are governed by indentures and collateral management agreements. The Company will receive management fees for the CLOs, generally five to ten years after issuance, including after the CLO redemption date up until all eligible assets are disposed of or at such time the collateral manager waives fees at its discretion. Management fees for the business development companies are due quarterly in arrears at annual rates that range from 1.0% of capital under management to 1.5% of gross assets, excluding cash and cash equivalents. Management fees for Carlyle Tactical Private Credit (“CTAC”) are due monthly in arrears at the annual rate of 1.0% of the month-end value of the CTAC’s net assets. Carlyle Aviation Partners’ funds have varying management fee arrangements depending on the strategy of the particular fund. Under the strategic advisory services agreement with Fortitude, the Company earns a recurring management fee based on Fortitude’s general account assets, which adjusts within an agreed range based on Fortitude’s overall profitability and which is du e quarterly in arrea rs. Managed accounts across the Global Credit segment have varying management fee arrangements depending on the strategy of the particular account. Management fees for the Company’s carry fund vehicles in the Global Investment Solutions segment generally range from 0.25% to 1.5% of the vehicle’s capital commitments during the commitment fee period of the relevant fund. Following the expiration of the commitment fee period, the management fees generally range from 0.25% to 1.5% on (i) the net invested capital, (ii) the lower of cost or net asset value of the capital invested, or (iii) the net asset value for unrealized investments. Management fees for the Global Investment Solutions carry fund vehicles are generally due quarterly in advance and recognized over the related quarter. The investment adviser to CAPM is entitled to receive a monthly management fee equal to 1.25% on an annualized basis of the fund’s net asset value as of the last day of the month. The Company also provides transaction advisory and portfolio advisory services to the portfolio companies, and where covered by separate contractual agreements, recognizes fees for these services when the performance obligation has been satisfied and collection is reasonably assured. The Company is generally required to offset its fund management fees earned by a percentage of the transaction and advisory fees earned, which is referred to as the “rebate offset,” which is generally 100% . The Company also recognizes underwriting fees from the Company’s loan syndication and capital markets business, Carlyle Global Capital Markets. Fund management fees include transaction and portfolio advisory fees, as well as capital markets fees, of $23.8 million and $13.4 million for the three months ended March 31, 2024 and 2023 , respectively, net of rebate offsets as defined in the respective partnership agreements. Fund management fees exclude the reimbursement of any partnership expenses paid by the Company on behalf of the Carlyle funds pursuant to the limited partnership agreements, including amounts related to the pursuit of actual, proposed, or unconsummated investments, professional fees, expenses associated with the acquisition, holding and disposition of investments, and other fund administrative expenses. For the professional fees that the Company arranges for the investment funds, the Company concluded that the nature of its promise is to arrange for the services to be provided and it does not control the services provided by third parties before they are transferred to the customer. Therefore, the Company concluded it is acting in the capacity of an agent. Accordingly, the reimbursement for these professional fees paid on behalf of the investment funds is presented on a net basis in general, administrative and other expenses in the condensed consolidated statements of operations. The Company also incurs certain costs, primarily employee travel and entertainment costs, employee compensation and systems costs, for which it receives reimbursement from the investment funds in connection with its performance obligation to provide investment and management services. For reimbursable travel, compensation and systems costs, the Company concluded it controls the services provided by its employees and the resources used to develop applicable systems before they are transferred to the customer and therefore is a principal. Accordingly, the reimbursement for these costs incurred by the Company to manage the fund limited partnerships are presented on a gross basis in interest and other income in the condensed consolidated statements of operations and the expense in general, administrative and other expenses or cash-based compensation and benefits expenses in the condensed consolidated statements of operations. Incentive Fees In connection with management contracts from certain of its Global Credit funds, the Company is also entitled to receive performance-based incentive fees when the return on assets under management exceeds certain benchmark returns or other performance targets. In such arrangements, incentive fees are recognized when the performance benchmark has been achieved. Incentive fees are variable consideration because they are contingent upon the investment vehicle achieving stipulated investment return hurdles. Investment returns are highly susceptible to market factors outside of the Company’s influence. Accordingly, incentive fees are constrained until all uncertainty is resolved. Estimates of future period incentive fees are generally not included in the transaction price because these estimates are constrained. The transaction price for incentive fees is generally the amount determined at the end of each accounting period to which they relate because that is when the uncertainty for that period is resolved, as these fees are not subject to clawback. Investment Income (Loss), including Performance Allocations Investment income (loss) represents the unrealized and realized gains and losses resulting from the Company’s equity method investments, including any associated general partner performance allocations, and other principal investments, including CLOs. General partner performance allocations consist of the allocation of profits from certain of the funds to which the Company is entitled (commonly known as carried interest). For closed-end carry funds in the Global Private Equity and Global Credit segments, the Company is generally entitled to a 20% allocation (or approximately 2% to 12.5% for most of the Global Investment Solutions segment carry fund vehicles) of the net realized income or gain as a carried interest after returning the invested capital, the allocation of preferred returns of generally 7% to 9% and return of certain fund costs (generally subject to catch-up provisions as set forth in the fund limited partnership agreement). These terms may vary on longer-dated funds, certain credit funds, and external co-investment vehicles. Carried interest is recognized upon appreciation of the funds’ investment values above certain return hurdles set forth in each respective partnership agreement. The Company recognizes revenues attributable to performance allocations based upon the amount that would be due pursuant to the fund partnership agreement at each period end as if the funds were terminated at that date. Accordingly, the amount recognized as investment income for performance allocations reflects the Company’s share of the gains and losses of the associated funds’ underlying investments measured at their then-current fair values relative to the fair values as of the end of the prior period. Because of the inherent uncertainty, these estimated values may differ significantly from the values that would have been used had a ready market for the investments existed, and it is reasonably possible that the difference could be material. Carried interest is ultimately realized when: (i) an underlying investment is profitably disposed of, (ii) certain costs borne by the limited partner investors have been reimbursed, (iii) the fund’s cumulative returns are in excess of the preferred return, and (iv) the Company has decided to collect carry rather than return additional capital to limited partner investors. Realized carried interest may be required to be returned by the Company in future periods if the fund’s investment values decline below certain levels. When the fair value of a fund’s investments remains constant or falls below certain return hurdles, previously recognized performance allocations are reversed. In all cases, each fund is considered separately in this regard, and for a given fund, performance allocations can never be negative over the life of a fund. If upon a hypothetical liquidation of a fund’s investments at their then-current fair values, previously recognized and distributed carried interest would be required to be returned, a liability is established for the potential giveback obligation. As of both March 31, 2024 and December 31, 2023 , the Company has accrued $44.0 million for giveback obligations . Principal investment income (loss) is realized when the Company redeems all or a portion of its investment or when the Company receives or is due cash income, such as dividends or distributions. Unrealized principal investment income (loss) results from the Company’s proportionate share of the investee’s unrealized earnings, including changes in the fair value of the underlying investment, as well as the reversal of unrealized gain (loss) at the time an investment is realized. As it relates to the Company’s investments in NGP (see Note 4 , Investments ), principal investment income includes the related amortization of the basis difference between the Company’s carrying value of its investment and the Company’s share of underlying net assets of the investee, as well as the compensation expense associated with compensatory arrangements provided by the Company to employees of its equity method investee. Interest Income Interest income is recognized when earned. For debt securities representing non-investment grade beneficial interests in securitizations, the effective yield is determined based on the estimated cash flows of the security. Changes in the effective yield of these securities due to changes in estimated cash flows are recognized on a prospective basis as adjustments to interest income in future periods. Interest income earned by the Company is included in interest and other income in the accompanying condensed consolidated statements of operations. Interest income of the Consolidated Funds was $142.6 million and $109.8 million for the three months ended March 31, 2024 and 2023 , respectively, and is included in interest and other income of Consolidated Funds in the accompanying condensed consolidated statements of operations. Credit Losses The Company measures all expected credit losses for financial assets held at the reporting date in accordance with ASC 326, Financial Instruments — Credit Losses , based on historical experience, current conditions, and reasonable and supportable forecasts. The Company assesses the collection risk characteristics of the outstanding amounts in its due from affiliates balance into the following pools of receivables: • Reimbursable fund expenses receivables, • Management fee receivables, • Incentive fee receivables, • Transaction fee receivables, • Portfolio fee receivables, and • Notes receivable. The Company generally utilizes either historical credit loss information or discounted cash flows to calculate expected credit losses for each pool. The Company’s receivables are predominantly with its investment funds, which have low risk of credit loss based on the Company’s historical experience. Historical credit loss data may be adjusted for current conditions and reasonable and supportable forecasts, including the Company’s expectation of near-term realization based on the liquidity of the affiliated investment funds. Compensation and Benefits Cash-Based Compensation and Benefits – Cash-based compensation and benefits includes salaries, bonuses (discretionary awards and guaranteed amounts), performance payment arrangements and benefits paid and payable to Carlyle employees. Bonuses are accrued over the service period to which they relate. Equity-Based Compensation – Compensation expense relating to the issuance of equity-based awards is measured at fair value on the grant date. The compensation expense for awards that vest over a future service period is recognized over the relevant service period on a straight-line basis. The compensation expense for awards that do not require future service is recognized immediately. Cash settled equity-based awards are classified as liabilities and are re-measured at the end of each reporting period. The compensation expense for awards that contain performance conditions is recognized when it is probable that the performance conditions will be achieved. The compensation expense for awards that contain market conditions is based on a grant-date fair value that factors in the probability that the market conditions will be achieved and is recognized over the requisite service period on a straight-line basis. Certain equity-based awards contain dividend-equivalent rights, which are subject to the same terms and conditions, including with respect to vesting and settlement, that apply to the related award. Dividend-equivalents are accounted for as a reclassification from retained earnings to additional paid-in capital at the time dividends are declared and do not result in incremental compensation expense. Equity-based awards issued to non-employees are generally recognized as general, administrative and other expenses, except to the extent they are recognized as part of the Company’s equity method earnings because they are issued to employees of equity method investees. The Company recognizes equity-based award forfeitures in the period they occur as a reversal of previously recognized compensation expense for awards that vest based on service and/or performance conditions. The reduction in compensation expense is determined based on the specific awards forfeited during that period. Furthermore, the Company recognizes all excess tax benefits and deficiencies as income tax benefit or expense in the condensed consolidated statements of operations. For awards with a market condition (e.g., achievement of certain stock price hurdles) that are forfeited due to the market condition not being achieved, the related equity-based compensation expense is not reversed. Performance Allocations and Incentive Fee Related Compensation – A portion of the performance allocations and incentive fees and certain other interests earned is due to employees and advisors of the Company. These amounts are accounted for as profit sharing interests in compensation expense in a systematic and rational manner in conjunction with the recognition of the related performance allocations and incentive fee revenue and, until paid, are recognized as a component of the accrued compensation and benefits liability. The liability is measured assuming the hypothetical liquidation of the associated funds’ underlying investments as of the measurement date. Accordingly, upon a reversal of performance allocations or incentive fee revenue, the related compensation expense, if any, is also reversed. As any vesting requirement is accelerated upon realization, the service period is not considered substantive when recording the liability based on the hypothetical liquidation value. As of March 31, 2024 and December 31, 2023 , the Company had recorded a liability of $3.9 billion and $4.3 billion , respectively, related to the portion of accrued performance allocations and incentive fees due to employees and advisors, respectively, which was included in accrued compensation and benefits in the accompanying condensed consolidated balance sheets. Income Taxes The Carlyle Group Inc. is a corporation for U.S. federal income tax purposes and thus is subject to U.S. federal, state and local corporate income taxes. Tax positions taken by the Company are subject to periodic audit by U.S. federal, state, local and foreign taxing authorities. The interim provision for income taxes is calculated using the discrete effective tax rate method as allowed by ASC 740, Accounting for Income Taxes . The discrete method is applied when the application of the estimated annual effective tax rate is impractical because it is not possible to reliably estimate the annual effective tax rate. In addition, the discrete method treats the year-to-date period as if it was the annual period and determines the income tax expense or benefit on that basis. The Company accounts for income taxes using the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future consequences of events that have been included in the financial statements or tax returns. Under this method, deferred tax assets and liabilities are determined based on the difference between the financial statement reporting and the tax basis of assets and liabilities using enacted tax rates in effect for the period in which the difference is expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in the period of the change in the provision for income taxes. Further, deferred tax assets are recognized for the expected realization of available net operating loss and tax credit carry forwards. A valuation allowance is recorded on the Company’s gross deferred tax assets when it is “more likely than not” that such asset will not be realized. When evaluating the realizability of the Company’s deferred tax assets, all evidence, both positive and negative, is evaluated. Items considered in this analysis include the abili |
Fair Value Measurement
Fair Value Measurement | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement | 3. Fair Value Measurement The following table summarizes the Company’s assets and liabilities measured at fair value on a recurring basis by the fair value hierarchy levels as disclosed in Note 2 , Summary of Significant Accounting Policies , as of March 31, 2024 : (Dollars in millions) Level I Level II Level III Total Assets Investments of Consolidated Funds (1) : Equity securities (2) $ — $ — $ 387.3 $ 387.3 Bonds — — 500.4 500.4 Loans — — 6,064.9 6,064.9 — — 6,952.6 6,952.6 Investments in CLOs and other: Investments in CLOs — — 520.8 520.8 Other investments (3) 38.3 43.1 93.2 174.6 38.3 43.1 614.0 695.4 Foreign currency forward contracts — 2.4 — 2.4 Subtotal $ 38.3 $ 45.5 $ 7,566.6 $ 7,650.4 Investments measured at net asset value 517.1 Total $ 8,167.5 Liabilities Loans payable of Consolidated Funds (4)(5) $ — $ — $ 6,352.3 $ 6,352.3 Foreign currency forward contracts — 0.7 — 0.7 Total $ — $ 0.7 $ 6,352.3 $ 6,353.0 (1) This balance excludes $506.0 million related to investments of Consolidated Funds that are included in investments measured at net asset value. (2) This balance includes $332.1 million related to investments that have been bridged by the Company to investment funds and are accounted for as consolidated VIEs as of March 31, 2024 . (3) The Level III balance excludes $50.3 million related to three corporate investments in equity securities which the Company has elected to account for under the measurement alternative for equity securities without readily determinable fair values pursuant to ASC 321, Investments – Equity Securities . As a non-recurring fair value measurement, the fair value of these equity securities is excluded from the tabular Level III rollforward disclosures. (4) Senior and subordinated notes issued by CLO vehicles are valued based on the more observable fair value of the CLO financial assets, less (i) the fair value of any beneficial interest held by the Company and (ii) the carrying value of any beneficial interests that represent compensation for services. (5) Loans payable of Consolidated Funds balance excludes a $182.8 million revolving credit balance. The following table summarizes the Company’s assets and liabilities measured at fair value on a recurring basis by the above fair value hierarchy levels as of December 31, 2023 : (Dollars in millions) Level I Level II Level III Total Assets Investments of Consolidated Funds (1) : Equity securities (2) $ — $ — $ 377.6 $ 377.6 Bonds — — 522.5 522.5 Loans — — 5,862.1 5,862.1 — — 6,762.2 6,762.2 Investments in CLOs and other: Investments in CLOs — — 532.6 532.6 Other investments (3) 38.7 42.8 84.6 166.1 38.7 42.8 617.2 698.7 Subtotal $ 38.7 $ 42.8 $ 7,379.4 $ 7,460.9 Investments measured at net asset value 502.0 Total $ 7,962.9 Liabilities Loans payable of Consolidated Funds (4)(5) $ — $ — $ 6,298.6 $ 6,298.6 Total $ — $ — $ 6,298.6 $ 6,298.6 (1) This balance excludes $490.9 million related to investments of consolidated funds that are included in investments measured at net asset value. (2) This balance includes $322.0 million related to investments that have been bridged by the Company to investment funds and are accounted for as consolidated VIEs as of December 31, 2023 . (3) The Level III balance excludes a $50.4 million related to two corporate investments in equity securities which the Company has elected to account for under the measurement alternative for equity securities without readily determinable fair values pursuant to ASC 321, Investments – Equity Securities . As a non-recurring fair value measurement, the fair value of these equity securities is excluded from the tabular Level III rollforward disclosures. (4) Senior and subordinated notes issued by CLO vehicles are valued based on the more observable fair value of the CLO financial assets, less (i) the fair value of any beneficial interests held by the Company and (ii) the carrying value of any beneficial interests that represent compensation for services. (5) Loan s payable of Consolidated Funds balance excludes a $177.9 million revolving credit balance and $10.0 million of senior notes and subordinated notes. The changes in financial instruments measured at fair value for which the Company has used Level III inputs to determine fair value are as follows (Dollars in millions): Financial Assets Three Months Ended March 31, 2024 Investments of Consolidated Funds Equity securities Bonds Loans Investments in CLOs Other investments Total Balance, beginning of period $ 377.6 $ 522.5 $ 5,862.1 $ 532.6 $ 84.6 $ 7,379.4 Purchases 24.8 46.4 1,397.4 1.0 — 1,469.6 Sales and distributions (6.1) (72.8) (729.5) (24.0) (0.9) (833.3) Settlements — — (464.7) — — (464.7) Realized and unrealized gains (losses), net Included in earnings (9.0) 15.6 72.8 15.2 9.5 104.1 Included in other comprehensive income — (11.3) (73.2) (4.0) — (88.5) Balance, end of period $ 387.3 $ 500.4 $ 6,064.9 $ 520.8 $ 93.2 $ 7,566.6 Changes in unrealized gains (losses) included in earnings related to financial assets still held at the reporting date $ (9.0) $ 16.4 $ 60.8 $ 15.2 $ 8.6 $ 92.0 Changes in unrealized gains (losses) included in other comprehensive income related to financial assets still held at the reporting date $ — $ (10.2) $ (68.9) $ (4.0) $ — $ (83.1) Financial Assets Three Months Ended March 31, 2023 Investments of Consolidated Funds Equity securities Bonds Loans Investments in CLOs Other investments Total Balance, beginning of period $ 430.6 $ 594.9 $ 5,352.9 $ 526.1 $ 79.4 $ 6,983.9 Purchases 5.4 29.8 237.3 — — 272.5 Sales and distributions — (47.0) (169.7) (7.9) (0.9) (225.5) Settlements — (4.1) (101.6) — — (105.7) Realized and unrealized gains (losses), net Included in earnings (0.5) 11.4 116.0 19.1 (2.4) 143.6 Included in other comprehensive income — 8.2 46.8 7.5 — 62.5 Balance, end of period $ 435.5 $ 593.2 $ 5,481.7 $ 544.8 $ 76.1 $ 7,131.3 Changes in unrealized gains (losses) included in earnings related to financial assets still held at the reporting date $ (0.4) $ 8.5 $ 107.3 $ 19.1 $ (3.3) $ 131.2 Changes in unrealized gains (losses) included in other comprehensive income related to financial assets still held at the reporting date $ — $ 8.7 $ 48.6 $ 7.5 $ — $ 64.8 Financial Liabilities Loans Payable of Consolidated Funds Three Months Ended March 31, 2024 2023 Balance, beginning of period $ 6,298.6 $ 5,491.6 Borrowings 546.7 0.6 Paydowns (207.7) (2.1) Sales (288.7) (38.1) Realized and unrealized (gains) losses, net Included in earnings 89.4 141.4 Included in other comprehensive income (86.0) 54.5 Balance, end of period $ 6,352.3 $ 5,647.9 Changes in unrealized (gains) losses included in earnings related to financial liabilities still held at the reporting date $ 91.1 $ 142.4 Changes in unrealized (gains) losses included in other comprehensive income related to financial liabilities still held at the reporting date $ (87.9) $ 54.5 Realized and unrealized gains and losses included in earnings for Level III investments for investments in CLOs and other investments are included in investment income (loss), and such gains and losses for investments of Consolidated Funds and loans payable of the Consolidated Funds are included in net investment gains (losses) of Consolidated Funds in the condensed consolidated statements of operations. Gains and losses included in other comprehensive income for all Level III financial asset and liabilities are included in accumulated other comprehensive loss and non-controlling interests in consolidated entities. The following table summarizes quantitative information about the Company’s Level III inputs as of March 31, 2024 : Fair Value at Valuation Technique(s) Unobservable Input(s) Range (Weighted Average) (Dollars in millions) March 31, 2024 Assets Investments of Consolidated Funds: Equity securities $ 3.0 Consensus Pricing Indicative Quotes ($ per share) 0.00 - 203.50 ( 0.08 ) 317.1 Discounted Cash Flow Discount Rates 10% - 10% ( 10% ) Terminal Growth Rate 0% - 7% ( 5% ) Comparable Multiple EBITDA Multiple 12.7x - 12.7x ( 12.7x ) TCF Multiple 25.0x - 25.0x ( 25.0x ) 44.4 Discounted Cash Flow Discount Rates 10% - 10% ( 10% ) Terminal Growth Rate 0% - 7% ( 5% ) Comparable Multiple TCF Multiple 25.0x - 25.0x ( 25.0x ) 15.0 Discounted Cash Flow Discount Rates 11% - 11% ( 11% ) Terminal Growth Rate 5% - 5% ( 5% ) Comparable Multiple EBITDA Multiple 7.3x - 7.3x ( 7.3x ) 7.8 Other (1) N/A N/A Bonds 500.4 Consensus Pricing Indicative Quotes (% of Par) 30 - 108 ( 93 ) Loans 6,040.8 Consensus Pricing Indicative Quotes (% of Par) 0 - 102 ( 97 ) 10.7 Discounted Cash Flow Discount Rates 11% - 21% ( 20% ) 8.9 Discounted Cash Flow Discount Rates 17% - 17% ( 17% ) Constant Prepayment Rate 8% - 8% ( 8% ) Constant Default Rate 1% - 1% ( 1% ) 4.5 Other (1) N/A N/A 6,952.6 Investments in CLOs: Senior secured notes 458.7 Consensus Pricing with Discounted Cash Flow Indicative Quotes (% of Par) 75 - 100 ( 98 ) Discount Margins (Basis Points) 110 - 1,613 ( 267 ) Default Rates 2% - 2% ( 2% ) Recovery Rates 60% - 60% ( 60% ) Subordinated notes and preferred shares 61.0 Consensus Pricing with Discounted Cash Flow Indicative Quotes (% of Par) 6 - 93 ( 42 ) Discount Rates 11% - 35% ( 21% ) Default Rates 2% - 2% ( 2% ) Recovery Rates 60% - 60% ( 60% ) 0.1 Liquidation Analysis % of Net Book Value 0% - 10% ( 3% ) 1.0 Other (1) N/A N/A Other investments: BDC preferred shares 90.1 Market Yield Analysis Market Yields 11% - 11% ( 11% ) Aviation subordinated notes 3.1 Discounted Cash Flow Discount Rates 21% - 21% ( 21% ) Total $ 7,566.6 Liabilities Loans payable of Consolidated Funds: Senior secured notes $ 6,153.0 Other (2) N/A N/A Subordinated notes and preferred shares 188.0 Consensus Pricing with Discounted Cash Flow Indicative Quotes (% of Par) 19 - 94 ( 56 ) Discount Rates 14% - 30% ( 19% ) Default Rates 2% - 2% ( 2% ) Recovery Rates 60% - 60% ( 60% ) 11.3 Other (1) N/A N/A Total $ 6,352.3 (1) Fair value approximates transaction price that was in close proximity to the rep orting date. (2) Senior and subordinated notes issued by CLO vehicles are classified based on the more observable fair value of the CLO financial assets, less (i) the fair value of any beneficial interests held by the Company and (ii) the carrying value of any beneficial interests that represent compensation for services. The following table summarizes quantitative information about the Company’s Level III inputs as of December 31, 2023 : Fair Value at Valuation Technique(s) Unobservable Input(s) Range (Weighted Average) (Dollars in millions) December 31, 2023 Assets Investments of Consolidated Funds: Equity securities $ 3.3 Consensus Pricing Indicative Quotes ($ per share) 0.00 - 208.38 ( 0.11 ) 322.1 Discounted Cash Flow Discount Rates 10% - 11% ( 10% ) Terminal Growth Rate 0% - 7% ( 5% ) Comparable Multiple EBITDA Multiple 12.7x - 12.7x ( 12.7x ) TCF Multiple 24.3x - 24.3x ( 24.3x ) 44.4 Discounted Cash Flow Discount Rates 10% - 10% ( 10% ) Terminal Growth Rate 7% - 7% - ( 7% ) Comparable Multiple TCF Multiple 24.3x - 24.3x ( 24.3x ) 7.8 Other (1) N/A N/A Bonds 522.5 Consensus Pricing Indicative Quotes (% of Par) 30 - 105 ( 90 ) Loans 5,829.3 Consensus Pricing Indicative Quotes (% of Par) 0 - 102 ( 95 ) 11.0 Discounted Cash Flow Discount Rates 7% - 16% ( 15% ) 9.4 Discounted Cash Flow Discount Rates 17% - 17% ( 17% ) Constant Prepayment Rate 8% - 8% ( 8% ) Constant Default Rate 1% - 1% ( 1% ) Recovery Rate 0% - 0% ( 0% ) Other 12.4 Other (1) N/A N/A 6,762.2 Investments in CLOs Senior secured notes 472.2 Discounted Cash Flow with Consensus Pricing Indicative Quotes (% of Par) 72 - 101 ( 96 ) Discount Margins (Basis Points) 139 - 1,600 ( 319 ) Default Rates 2% - 2% ( 2% ) Recovery Rates 60% - 60% ( 60% ) Subordinated notes and preferred shares 59.4 Discounted Cash Flow with Consensus Pricing Indicative Quotes (% of Par) 6 - 90 ( 40 ) Discount Rate 11% - 40% ( 21% ) Default Rates 1% - 2% ( 2% ) Recovery Rates 60% - 60% ( 60% ) 1.0 Other (1) N/A N/A Other investments: BDC preferred shares 81.7 Market Yield Analysis Market Yields 11% - 11% ( 11% ) Aviation subordinated notes 2.9 Discounted Cash Flow Discount Rates 21% - 21% ( 21% ) Total $ 7,379.4 Liabilities Loans payable of Consolidated Funds: Senior secured notes $ 6,090.1 Other (2) N/A N/A Subordinated notes and preferred shares 190.0 Discounted Cash Flow with Consensus Pricing Indicative Quotes (% of Par) 16 - 103 ( 41 ) Discount Rates 14% - 30% ( 21% ) Default Rates 2% - 2% ( 2% ) Recovery Rates 60% - 60% ( 60% ) 18.5 Other (1) N/A N/A Total $ 6,298.6 (1) Fair value approximates transaction price that was in close proximity to the reporting date. (2) Senior and subordinated notes issued by CLO vehicles are classified based on the more observable fair value of the CLO financial assets, less (i) the fair value of any beneficial interests held by the Company and (ii) the carrying value of any beneficial interests that represent compensation for services. The significant unobservable inputs used in the fair value measurement of investments of the Company’s consolidated funds are indicative quotes. Significant decreases in indicative quotes in isolation would result in a significantly lower fair value measurement. The significant unobservable inputs used in the fair value measurement of the Company’s investments in CLOs and other investments include indicative quotes, discount margins, discount rates, default rates, and recovery rates. Significant decreases in indicative quotes or recovery rates in isolation would result in a significantly lower fair value measurement. Significant increases in discount margins, discount rates or default rates in isolation would result in a significantly lower fair value measurement. The significant unobservable inputs used in the fair value measurement of the Company’s loans payable of Consolidated Funds are discount rates, default rates, recovery rates and indicative quotes. Significant increases in discount rates or default rates in isolation would result in a significantly lower fair value measurement. Significant decreases in recovery rates or indicative quotes in isolation would result in a significantly lower fair value measurement. |
Investments
Investments | 3 Months Ended |
Mar. 31, 2024 | |
Investments [Abstract] | |
Investments | 4. Investments In vestments consist of the following: As of March 31, 2024 December 31, 2023 (Dollars in millions) Accrued performance allocations $ 5,567.6 $ 6,169.9 Principal equity method investments, excluding performance allocations 3,145.4 3,024.1 Principal investments in CLOs 520.8 532.6 Other investments 239.4 228.7 Total $ 9,473.2 $ 9,955.3 Accrued Performance Allocations The components of accrued performance allocations are as follows: As of March 31, 2024 December 31, 2023 (Dollars in millions) Global Private Equity $ 3,547.7 $ 4,310.7 Global Credit 381.6 323.4 Global Investment Solutions 1,638.3 1,535.8 Total $ 5,567.6 $ 6,169.9 None of the Company’s accrued performance allocations from an individual fund exceeded 10% of total accrued performance allocations at March 31, 2024 and December 31, 2023 . Accrued performance allocations are shown gross of the Company’s accrued performance allocations and incentive fee related compensation (see Note 7 , Accrued Compensation and Benefits ), and accrued giveback obligations, which are separately presented in the condensed consolidated balance sheets. The components of the accrued giveback obligations are as follows: As of March 31, 2024 December 31, 2023 (Dollars in millions) Global Private Equity $ (18.4) $ (18.4) Global Credit (25.6) (25.6) Total $ (44.0) $ (44.0) Principal Equity-Method Investments, Excluding Performance Allocations The Company’s principal equity method investments (excluding performance allocations) include its fund investments in Global Private Equity, Global Credit, and Global Investment Solutions typically as general partner interests, and its investments in Fortitude through a Carlyle-affiliated fund (included within Global Credit) and NGP (included within Global Private Equity), which are not consolidated. Principal investments are related to the following segments: As of March 31, 2024 December 31, 2023 (Dollars in millions) Global Private Equity (1) $ 1,781.1 $ 1,798.3 Global Credit (2) 1,114.8 987.4 Global Investment Solutions 249.5 238.4 Total $ 3,145.4 $ 3,024.1 (1) The balance includes $918.0 million and $916.2 million as of March 31, 2024 and December 31, 2023 , respectively, related to the Company’s equity method investments in NGP. (2) As of March 31, 2024 and December 31, 2023 , the balance includes $709.3 million and $595.4 million , respectively, related to the Company’s investment in Fortitude. Investment in Fortitude On November 13, 2018, the Company acquired a 19.9% interest in Fortitude Group Holdings, LLC (“Fortitude Holdings”), a wholly owned subsidiary of American International Group, Inc. (“AIG”). Fortitude Holdings owns 100% of the outstanding common shares of Fortitude Reinsurance Company Ltd., a Bermuda domiciled reinsurer (“Fortitude Re”). The Company paid $381 million in cash at closing and paid $95 million in additional deferred consideration during the three months ended March 31, 2024. In May 2020, the initial purchase price was adjusted upward by $99.5 million in accordance with the purchase agreement as Fortitude Holdings chose not to distribute a planned non-pro rata dividend to AIG, of which the Company paid $79.6 million in May 2020. The remaining $19.9 million was paid during t h e three months ended March 31, 2024. On June 2, 2020, Carlyle FRL, L.P. (“Carlyle FRL”), a Carlyle-affiliated investment fund, and T&D United Capital Co., Ltd. (“T&D”), a strategic third-party investor, acquired a 51.6% ownership interest and 25.0% ownership interest, respectively, in Fortitude Holdings from AIG. At closing, the Company contributed its existing 19.9% interest in Fortitude Holdings to Carlyle FRL, such that Carlyle FRL held a 71.5% interest in Fortitude Holdings. Taken together, Carlyle FRL and T&D had 96.5% ownership of Fortitude Holdings. In October 2021, Carlyle FRL, T&D and an affiliate of AIG contributed the entirety of their interest in Fortitude Holdings to FGH Parent, L.P. (“FGH Parent”), a newly-formed entity interposed as the direct parent of Fortitude Holdings, in exchange for an equivalent ownership interest in FGH Parent. References to “Fortitude” prior to this restructuring refer to Fortitude Holdings and refer to FGH Parent for subsequent periods. In March 2022, the Company raised $2.0 billion in third-party equity capital from certain investors in Carlyle FRL and T&D, and committed $100 million from the Company for additional equity capital in Fortitude. In May 2022, Fortitude called $1.1 billion of the capital raise, reducing the Company’s indirect ownership of Fortitude from 19.9% to 13.5% . As a result of the dilution, the Company recorded a reduction in the carrying value of its equity method investment and corresponding loss of $176.9 million . In May 2023, Fortitude called the remaining $1 billion of the capital commitments and the Company’s indirect ownership of Fortitude further decreased from 13.5% to 10.5% , resulting in an additional reduction in the carrying value and a corresponding loss of $104.0 million . Effective October 2023, a third-party investor in Carlyle FRL received a distribution in kind of its interest in FGH Parent held indirectly through the fund, reducing Carlyle FRL’s ownership in FGH Parent to 38.5% . Following the additional capital contributions in 2022 and 2023, Carlyle FRL and its strategic third-party investors collectively hold a 97.5% interest in FGH Parent . As of March 31, 2024 , the carrying value of the Company’s investment in Carlyle FRL, which is an investment company that accounts for its investment in Fortitude at fair value, was $709.3 million , relative to equity invested of $679.6 million . The Company has an asset management relationship with Fortitude pursuant to which Fortitude committed to allocate assets in asset management strategies and vehicles of the Company and its affiliates. As of March 31, 2024 , Fortitude, its affiliates and certain Fortitude reinsurance counterparties have committed approximately $17.9 billion of capital to-date to various Carlyle strategies. On April 1, 2022, the Company entered into a strategic advisory services agreement with certain subsidiaries of Fortitude through Carlyle Insurance Solutions Management L.L.C. (“CISM”), an investment adviser. Under the agreement, CISM provides Fortitude with certain services, including business development and growth, transaction origination and execution, and capital management services in exchange for a recurring management fee based on Fortitude’s general account assets, which adjusts within an agreed range based on Fortitu de’s overall profitability. Third party investors who participated in the March 2022 capital raise also made a minority investment in CISM, which is reflected as a non-controlling interest in consolidated entities in the condensed consolidated financial statements. Investment in NGP The Company has equity interests in NGP Management Company, L.L.C. (“NGP Management”), the general partners of certain carry funds advised by NGP, and principal investments in certain NGP funds as described below. The Company does not control NGP and accounts for its investments in NGP under the equity method of accounting, and includes these investments in the Global Private Equity segment. The Company’s investments in NGP as of March 31, 2024 and December 31, 2023 are as follows: As of March 31, 2024 December 31, 2023 (Dollars in millions) Investment in NGP Management $ 369.3 $ 370.5 Investments in NGP general partners - accrued performance allocations 488.4 484.4 Principal investments in NGP funds 60.3 61.3 Total investments in NGP $ 918.0 $ 916.2 Investment in NGP Management . The Company’s equity interests in NGP Management entitle the Company to an allocation of income equal to 55.0% of the management fee related revenues of NGP Management, which serves as the investment advisor to the NGP Energy Funds. Management fees are generally calculated as 1.0% to 2.0% of the limited partners’ commitments during the fund’s investment period, and 0.5% to 2.0% based on the lower of cost or fair market value of invested capital following the expiration or termination of the investment period. Management fee related revenues from NGP Management are primarily driven by NGP XII and NGP XI during the three months ended March 31, 2024 and 2023 . The Company records investment income (loss) for its equity income allocation from NGP management fee related revenues and also records its share of any allocated expenses from NGP Management, as well as expenses associated with the compensatory elements of the investment. The net investment income (loss) recognized in the Company’s condensed consolidated statements of operations for the three months ended March 31, 2024 and 2023 were as follows: Three Months Ended March 31, 2024 2023 (Dollars in millions) Management fee related revenues from NGP Management $ 17.3 $ 18.1 Expenses related to the investment in NGP Management (3.2) (3.4) Net investment income from NGP Management $ 14.1 $ 14.7 The Company assesses the remaining carrying value of its equity method investment for impairment whenever events or circumstances indicate that the carrying value may not be recoverable, and considers factors including, but not limited to, expected cash flows from its interest in future management fees and NGP’s ability to raise new funds. Investment in the General Partners of NGP Carry Funds . The Company’s investment in the general partners of the NGP Carry Funds entitle it to 47.5% ( 40.0% or 42.75% in the case of certain funds) of the performance allocations received by certain current and future NGP fund general partners. The Company records its equity income allocation from NGP performance allocations in principal investment income (loss) from equity method investments rather than performance allocations in its condensed consolidated statements of operations. The Company recognized $15.3 million and $1.7 million of net investment earnings (losses) related to these performance allocations for the three months ended March 31, 2024 and 2023 , respectively. Principal Investments in NGP Funds . The Company also holds principal investments in the NGP Carry Funds. The Company recognized net investment earnings (losses) related to principal investment income (loss) in its condensed consolidated statements of operations of $2.0 million and $(0.1) million for the three months ended March 31, 2024 and 2023 , respectively. Principal Investments in CLOs and Other Investments Principal investments in CLOs as of March 31, 2024 and December 31, 2023 were $520.8 million and $532.6 million , respectively, and consisted of investments in CLO senior and subordinated notes. A portion of the Company’s principal investments in CLOs is collateral to CLO term loans (see Note 6 , Borrowings ). As of March 31, 2024 and December 31, 2023 , other investments include the Company’s investment in the BDC Preferred Shares at fair value of $90.1 million and $81.7 million , respectively (see Note 9 , Related Party Transactions ). Investment Income (Loss) The components of investment income (loss) are as follows: Three Months Ended March 31, 2024 2023 (Dollars in millions) Performance allocations Realized $ 389.7 $ 179.6 Unrealized (546.7) (18.8) (157.0) 160.8 Principal investment income (loss) from equity method investments (excluding performance allocations) Realized 53.7 38.5 Unrealized (6.6) (30.2) 47.1 8.3 Principal investment income (loss) from investments in CLOs and other investments Realized 2.2 (1.1) Unrealized (1) 23.8 4.5 26.0 3.4 Total $ (83.9) $ 172.5 (1) The three months ended March 31, 2023 included investment loss of $13.3 million associated with the remeasurement of a corporate investment, resulting from observable price changes pursuant to ASC 321, Investments - Equity Securities . The performance allocations included in revenues are derived from the following segments: Three Months Ended March 31, 2024 2023 (Dollars in millions) Global Private Equity $ (363.5) $ (3.8) Global Credit 65.1 33.4 Global Investment Solutions 141.4 131.2 Total $ (157.0) $ 160.8 The following table summarizes the funds that are the primary drivers of performance allocations for the periods presented and the total revenue recognized, including performance allocations as well as fund management fees and principal investment income: Three Months Ended March 31, 2024 (Dollars in millions) Global Private Equity Carlyle Europe Partners V, L.P. $ (171.5) Global Private Equity Carlyle Partners VI, L.P. (86.7) Global Private Equity Carlyle Partners VII, L.P. (73.1) Three Months Ended March 31, 2023 (Dollars in millions) Global Private Equity Carlyle Partners VI, L.P. $ (74.4) Carlyle’s income (loss) from its principal equity method investments consists of: Three Months Ended March 31, 2024 2023 (Dollars in millions) Global Private Equity $ 28.8 $ 17.8 Global Credit 11.4 (18.9) Global Investment Solutions 6.9 9.4 Total $ 47.1 $ 8.3 Principal investment income for Global Private Equity includes the Company’s equity income allocation from NGP performance allocations of $15.3 million and $1.7 million for three months ended March 31, 2024 and 2023 , respectively. Investments of Consolidated Funds The Company consolidates the financial positions and results of operations of certain CLOs in which it is the primary beneficiary. During the three months ended March 31, 2024 , the Company did not form any new CLOs for which the Company is the primary beneficiary. Investments in Consolidated Funds as of March 31, 2024 also include $332.1 million related to investments that have been bridged by the Company to investment funds and are accounted for as consolidated VIEs. There were no individual investments with a fair value greater than five percent of the Company’s total assets for any period presented. Interest and Other Income of Consolidated Funds The components of interest and other income of Consolidated Funds are as follows: Three Months Ended March 31, 2024 2023 (Dollars in millions) Interest income from investments $ 142.6 $ 109.8 Other income 22.3 12.1 Total $ 164.9 $ 121.9 Net Investment Income (Loss) of Consolidated Funds Net investment income (loss) of Consolidated Funds includes net realized gains (losses) from sales of investments and unrealized gains (losses) resulting from changes in fair value of the Consolidated Funds’ investments. The components of Net investment income (loss) of Consolidated Funds are as follows: Three Months Ended March 31, 2024 2023 (Dollars in millions) Gains from investments of Consolidated Funds $ 82.7 $ 145.0 Losses from liabilities of CLOs (89.7) (141.4) Total $ (7.0) $ 3.6 The following table presents realized and unrealized gains (losses) earned from investments of the Consolidated Funds: Three Months Ended March 31, 2024 2023 (Dollars in millions) Realized losses $ (21.2) $ (17.4) Net change in unrealized gains 103.9 162.4 Total $ 82.7 $ 145.0 |
Intangible Assets and Goodwill
Intangible Assets and Goodwill | 3 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets and Goodwill | 5. Intangible Assets and Goodwill The following table summarizes the carrying amount of intangible assets as of March 31, 2024 and December 31, 2023 : As of March 31, 2024 December 31, 2023 (Dollars in millions) Acquired contractual rights $ 923.3 $ 924.1 Accumulated amortization (294.4) (262.0) Finite-lived intangible assets, net 628.9 662.1 Goodwill 103.9 104.0 Intangible Assets, net $ 732.8 $ 766.1 As discussed in Note 2 , Summary of Significant Accounting Policies , the Company reviews its intangible assets for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable, and considers factors including, but not limited to, expected cash flows from its interest in future management fees and the ability to raise new funds. For both the three months ended March 31, 2024 and 2023 , the Company record ed no imp airment losses. Intangible asset amortization expense was $32.6 million and $32.8 million for the three months ended March 31, 2024 and 2023 , respectively, and is included in general, administrative, and other expenses in the condensed consolidated statements of operations . Certain intangible assets are held by entities of which the functional currency is not the U.S. dollar. Any corresponding currency translation is recorded in accumulated other comprehensive income (loss). The following table summarizes the expected amortization expense for 2024 through 2028 and thereafter (Dollars in millions): Year ending December 31, 2024 (excluding the three months ended March 31, 2024) $ 98.3 2025 131.0 2026 130.9 2027 120.8 2028 113.7 Thereafter 34.2 $ 628.9 |
Borrowings
Borrowings | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
Borrowings | 6. Borrowings Th e Company borrows and enters into credit agreements for its general operating and investment purposes. The Company’s debt obligations consist of the following: March 31, 2024 December 31, 2023 Borrowing Outstanding Carrying Value Borrowing Outstanding Carrying Value (Dollars in millions) CLO Borrowings (See below) $ 408.1 $ 404.2 $ 431.7 $ 426.4 3.500% Senior Notes Due 9/19/2029 425.0 422.6 425.0 422.5 5.625% Senior Notes Due 3/30/2043 600.0 600.5 600.0 600.6 5.650% Senior Notes Due 9/15/2048 350.0 346.5 350.0 346.4 4.625% Subordinated Notes Due 5/15/2061 500.0 485.2 500.0 485.1 Total debt obligations $ 2,283.1 $ 2,259.0 $ 2,306.7 $ 2,281.0 Senior Credit Facility As of March 31, 2024 , the senior credit facility, which was amended on April 29, 2022, included $1.0 billion in a revolving credit facility. The Company’s borrowing capacity is subject to the ability of the financial institutions in the banking syndicate to fulfill their respective obligations under the revolving credit facility. The revolving credit facility is scheduled to mature on April 29, 2027 , and principal amounts outstanding under the revolving credit facility accrue interest, at the option of the borrowers, either (a) at an alternate base rate plus an applicable margin not to exceed 0.50% per annum, or (b) at SOFR (or similar benchmark for non-U.S. dollar borrowings) plus a 0.10% adjustment and an applicable margin not to exceed 1.50% per annum (at March 31, 2024 , the interest rate was 6.43% ). The Company made no borrowings under the revolving credit facility during the three months ended March 31, 2024 and there was no balance outstanding at March 31, 2024 . Global Credit Revolving Credit Facility Certain subsidiaries of the Company are parties to a revolving line of credit, primarily intended to support certain lending activities within the Global Credit segment. In August 2023, the Global Credit Revolving Credit Facility was amended to increase the capacity of the existing revolving line of credit from $250 million to $300 million (the “2027 Tranche Revolving Loans”) and extend the maturity date to September 2027 . This amendment also provides for a new tranche of revolving loans with a capacity of $200 million maturing in August 2024 (the “2024 Tranche Revolving Loans,” together with the 2027 Tranche Revolving Loans, the “Global Credit Revolving Credit Facility”). The Company’s borrowing capacity is subject to the ability of the financial institutions in the banking syndicate to fulfill their respective obligations under the credit facility. Principal amounts outstanding under the facility accrue interest at applicable SOFR or Eurocurrency rates plus an applicable margin of 2.00% or an alternate base rate plus an applicable margin of 1.00% . The Company made no borrowings under the credit facility during the three months ended March 31, 2024 , and there was no borrowing outstanding under this credit facility as of March 31, 2024 . CLO Borrowings For certain of the Company’s CLOs, the Company finances a portion of its investment in the CLOs through the proceeds received from term loans and other financing arrangements with financial institutions. The Company’s outstanding CLO borrowings consist of the following (Dollars in millions): Formation Date Borrowing Outstanding March 31, 2024 Borrowing Outstanding December 31, 2023 Maturity Date (1) Interest Rate as of March 31, 2024 February 28, 2017 $ 34.2 $ 39.9 September 21, 2029 6.30% (2) June 29, 2017 40.7 45.6 July 20, 2030 6.77% (4) December 6, 2017 38.5 41.1 January 15, 2031 6.97% (5) March 15, 2019 1.8 1.8 March 15, 2032 12.05% (3) August 20, 2019 3.9 4.0 August 15, 2032 8.64% (3) September 15, 2020 19.2 19.7 April 15, 2033 5.53% (3) January 8, 2021 20.1 20.6 January 15, 2034 6.44% (3) March 9, 2021 14.8 16.8 August 15, 2030 5.34% (3) March 30, 2021 18.0 18.6 March 15, 2032 5.65% (3) April 21, 2021 3.5 3.6 April 15, 2033 9.79% (3) May 21, 2021 15.1 15.5 November 17, 2031 5.27% (3) June 4, 2021 20.2 20.7 January 16, 2034 6.22% (3) June 10, 2021 1.3 1.3 November 17, 2031 6.75% (3) July 15, 2021 15.1 15.5 July 15, 2034 6.23% (3) July 20, 2021 20.1 20.6 July 20, 2031 6.25% (3) August 4, 2021 16.3 16.7 August 15, 2032 5.65% (3) October 27, 2021 23.4 24.0 October 15, 2035 6.35% (3) November 5, 2021 14.0 14.3 January 14, 2034 6.03% (3) January 6, 2022 20.2 20.7 February 15, 2035 6.28% (3) February 22, 2022 20.3 20.8 November 10, 2035 6.35% (3) July 13, 2022 17.0 17.5 January 13, 2035 7.26% (3) October 25, 2022 17.7 18.1 October 25, 2035 7.69% (3) September 5, 2023 12.7 14.3 August 28, 2031 5.47% (3) $ 408.1 $ 431.7 (1) Maturity date is earlier of date indicated or the date that the CLO is dissolved. (2) Incurs interest at EURIBOR plus applicable margins as defined in the agreement. (3) Incurs interest at the average effective interest rate of each class of purchased securities plus 0.50% spread percentage. (4) Incurs interest at SOFR plus 1.45% . (5) Incurs interest at SOFR plus 1.66% . The CLO term loans are secured by the Company’s investments in the respective CLO, have a general unsecured interest in the Carlyle entity that manages the CLO, and generally do not have recourse to any other Carlyle entity. Interest expense for the three months ended March 31, 2024 and 2023 was $6.8 million and $5.2 million , respectively. The fair value of the outstanding balance of the CLO term loans at March 31, 2024 approximated par value based on current market rates for similar debt instruments. These CLO term loans are classified as Level III within the fair value hierarchy. European CLO Financing - February 28, 2017 On February 28, 2017, a subsidiary of the Company entered into a financing agreement with several financial institutions under which these financial institutions provided a €31.7 million term loan ( $34.2 million at March 31, 2024 ) to the Company. This term loan is secured by the Company’s investments in the retained notes in certain European CLOs that were formed in 2014 and 2015. This term loan will mature on the earlier of September 21, 2029 or the date that the certain European CLO retained notes have been redeemed. The Company may prepay the term loan in whole or in part at any time. Interest on this term loan accrues at EURIBOR plus applicable margins ( 6.30% at March 31, 2024 ). Master Credit Agreement - Term Loans The Company assumed liabilities under master credit agreements previously entered into by CBAM under which a financial institution provided term loans to CBAM for the purchase of eligible interests in CLOs (see Note 3 to the consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023 ) . Term loans issued under these master credit agreements are secured by the Company’s investment in the respective CLO as well as any senior management fee and subordinated management fee payable by each CLO. Term loans generally bear interest at SOFR plus a weighted average spread over SOFR on the CLO notes, which is due quarterly. As of March 31, 2024 , term loans under these agreements had $79.2 million outstanding. The master credit agreements mature in July 2030 and January 2031, respectively. CLO Repurchase Agreements On February 5, 2019, the Company entered into a master credit facility agreement (the “Carlyle CLO Financing Facility”) to finance a portion of the risk retention investments in certain European CLOs managed by the Company. Each transaction entered into under the Carlyle CLO Financing Facility will bear interest at a rate based on the weighted average effective interest rate of each class of securities that have been sold plus a spread to be agreed upon by the parties. As of March 31, 2024 , €211.0 million ( $227.7 million ) was outstanding under the Carlyle CLO Financing Facility. Additional borrowings may be made on terms agreed upon by the Company and the counterparty subject to the terms and conditions of the Carlyle CLO Financing Facility. Each transaction entered into under the CLO Financing Facility provides for payment netting and, in the case of a default or similar event with respect to the counterparty to the CLO Financing Facility, provides for netting across transactions. Generally, upon a counterparty default, the Company can terminate all transactions under the CLO Financing Facility and offset amounts it owes in respect of any one transaction against collateral, if any, or other amounts it has received in respect of any other transactions under the CLO Financing Facility; provided, however, that in the case of certain defaults, the Company may only be able to terminate and offset solely with respect to the transaction affected by the default. During the term of a transaction entered into under the CLO Financing Facility, the Company will deliver cash or additional securities acceptable to the counterparty if the securities sold are in default. Upon termination of a transaction, the Company will repurchase the previously sold securities from the counterparty at a previously determined repurchase price. The CLO Financing Facility may be terminated at any time upon certain defaults or circumstances agreed upon by the parties. The repurchase agreements may result in credit exposure in the event the counterparty to the transaction is unable to fulfill its contractual obligations. The Company minimizes the credit risk associated with these activities by monitoring counterparty credit exposure and collateral values. Other than margin requirements, the Company is not subject to additional terms or contingencies which would expose the Company to additional obligations based upon the performance of the securities pledged as collateral. The Company assumed liabilities under a master credit facility agreement previously entered into by CBAM (the “CBAM CLO Financing Facility,” together with the Carlyle CLO Financing Facility, the “CLO Financing Facilities”) to finance a portion of the risk retention investments in certain European CLOs managed by CBAM ( see Note 3 to the consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023 ). The maximum facility amount is €100.0 million , but may be expanded on such terms agreed upon by the Company and the counterparty subject to the terms and conditions of the CBAM CLO Financing Facility. Each transaction entered into under the CBAM CLO Financing Facility will bear interest at a rate based on the weighted average effective interest rate of each class of securities that have been sold plus a spread to be agreed upon by the parties. As of March 31, 2024 , €61.9 million ( $66.8 million ) was outstanding under the CBAM CLO Financing Facility. Senior Notes Certain indirect subsidiaries of the Company have issued long term borrowings in the form of senior notes, on which interest is payable semi-annually in arrears. The following table provides information regarding these senior notes (Dollars in millions): Interest Expense Fair Value (1) As of Three Months Ended March 31, Aggregate Principal Amount March 31, 2024 December 31, 2023 2024 2023 3.500% Senior Notes Due 9/19/2029 (2) $ 425.0 $ 393.9 $ 401.9 $ 3.8 $ 3.8 5.625% Senior Notes Due 3/30/2043 (3) 600.0 588.0 594.6 8.4 8.4 5.650% Senior Notes Due 9/15/2048 (4) 350.0 337.8 336.0 5.0 5.0 $ 17.2 $ 17.2 (1) Including accrued interest. Fair value is based on indicative quotes and the notes are classified as Level II within the fair value hierarchy. (2) Issued in September 2019 at 99.841% of par. (3) Issued $400.0 million in aggregate principal at 99.583% of par in March 2013. An additional $200.0 million in aggregate principal was issued at 104.315% of par in March 2014, and is treated as a single class with the outstanding $400.0 million in senior notes previously issued. (4) Issued in September 2018 at 99.914% of par. The issuers may redeem the senior notes, in whole at any time or in part from time to time, at a price equal to the greater of (i) 100% of the principal amount of the notes being redeemed and (ii) the sum of the present values of the remaining scheduled payments of principal and interest on any notes being redeemed discounted to the redemption date on a semiannual basis at the Treasury Rate plus 40 basis points ( 30 basis points in the case of the 3.500% senior notes), plus in each case accrued and unpaid interest on the principal amounts being redeemed. Subordinated Notes In May 2021, an indirect subsidiary of the Company issued $435.0 million aggregate principal amount of 4.625% Subordinated Notes due May 15, 2061 (the “Subordinated Notes”), on which interest is payable quarterly accruing from May 11, 2021. In June 2021, an additional $65.0 million aggregate principal amount of these Subordinated Notes were issued and are treated as a single series with the already outstanding $435.0 million aggregate principal amount. The Subordinated Notes are unsecured and subordinated obligations of the issuer, and are fully and unconditionally guaranteed (the “Guarantees”), jointly and severally, on a subordinated basis, by the Company, each of the Carlyle Holdings partnerships, and CG Subsidiary Holdings L.L.C., an indirect subsidiary of the Company (collectively, the “Guarantors”). The Consolidated Funds are not guarantors, and as such, the assets of the Consolidated Funds are not available to service the Subordinated Notes under the Guarantee. The Subordinated Notes may be redeemed at the issuer’s option in whole at any time or in part from time to time on or after June 15, 2026 at a redemption price equal to their principal amount plus any accrued and unpaid interest to, but excluding, the date of redemption. If interest due on the Subordinated Notes is deemed no longer to be deductible in the U.S., a “Tax Redemption Event,” the Subordinated Notes may be redeemed, in whole, but not in part, within 120 days of the occurrence of such event at a redemption price equal to their principal amount plus accrued and unpaid interest to, but excluding, the date of redemption. In addition, the Subordinated Notes may be redeemed, in whole, but not in part, at any time prior to May 15, 2026, within 90 days of the rating agencies determining that the Subordinated Notes should no longer receive partial equity treatment pursuant to the rating agency’s criteria, a “rating agency event,” at a redemption price equal to 102% of their principal amount plus any accrued and unpaid interest to, but excluding, the date of redemption. As of March 31, 2024 and December 31, 2023 , the fair value of the Subordinated Notes was $390.2 million and $411.8 million , respectively. Fair value is based on active market quotes and the notes are classified as Level I within the fair value hierarchy. For both the three months ended March 31, 2024 and 2023 , the Company incurred $5.9 million of interest expense on the Subordinated Notes. Debt Covenants The Company is subject to various financial covenants under its loan agreements including, among other items, maintenance of a minimum amount of management fee-earning assets. The Company is also subject to various non-financial covenants under its loan agreements and the indentures governing its senior notes. The Company was in compliance with all financial and non-financial covenants under its various loan agreements as of March 31, 2024 . Loans Payable of Consolidated Funds Loans payable of Consolidated Funds primarily represent amounts due to holders of debt securities issued by the CLOs. As of March 31, 2024 and December 31, 2023 , the following borrowings were outstanding (Dollars in millions): As of March 31, 2024 Borrowing Outstanding Fair Value Weighted Average Interest Rate Weighted Average Remaining Maturity in Years Senior secured notes $ 6,133.0 $ 6,153.0 6.36 % 8.84 Subordinated notes 220.5 199.3 N/A (4) 8.94 Revolving credit facilities (3) 182.8 182.8 6.57 % 4.74 Total $ 6,536.3 $ 6,535.1 As of December 31, 2023 Borrowing Outstanding Fair Value Weighted Average Interest Rate Weighted Average Remaining Maturity in Years Senior secured notes (1) $ 6,171.9 $ 6,097.9 6.32 % 8.99 Subordinated notes (2) 173.5 210.7 N/A (4) 9.16 Revolving credit facilities (3) 177.9 177.9 6.46 % 5.05 Total $ 6,523.3 $ 6,486.5 (1) Borrowing Outstanding and Fair Value as of December 31, 2023 includes $7.8 million of senior secured notes that are carried at par value. (2) Borrowing Outstanding and Fair Value as of December 31, 2023 includes $2.2 million of subordinated notes that are carried at par value. (3) Fair Value as of March 31, 2024 and December 31, 2023 reflects the amortized cost of outstanding revolving credit balances which approximates fair value. (4) The subordinated notes do not have contractual interest rates, but instead receive distributions from the excess cash flows of the CLOs. Loans payable of the CLOs are collateralized by the assets held by the CLOs and the assets of one CLO may not be used to satisfy the liabilities of another. This collateral consisted of cash and cash equivalents, corporate loans, corporate bonds and other securities. As of March 31, 2024 and December 31, 2023 , the fair value of the CLO assets was $7.1 billion and $6.8 billion , respectively. |
Accrued Compensation and Benefi
Accrued Compensation and Benefits | 3 Months Ended |
Mar. 31, 2024 | |
Retirement Benefits [Abstract] | |
Accrued Compensation and Benefits | 7. Accrued Compensation and Benefits A ccrued compensation and benefits consist of the following: As of March 31, 2024 December 31, 2023 (Dollars in millions) Accrued performance allocations and incentive fee related compensation $ 3,939.4 $ 4,255.8 Accrued bonuses 110.4 498.2 Accrued pension liability 12.4 13.1 Other (1) 111.7 155.1 Total $ 4,173.9 $ 4,922.2 (1) Includes $15.1 million and $44.5 million of realized performance allocations and incentive fee related c ompensation not yet paid to participants as of March 31, 2024 and December 31, 2023 , respectively. The following table presents realized and unrealized performance allocations and incentive fee related compensation: Three Months Ended March 31, 2024 2023 (Dollars in millions) Realized $ 266.8 $ 103.6 Unrealized (339.6) 2.1 Total $ (72.8) $ 105.7 |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 8. Commitments and Contingencies Capital Commitments The Company and its unconsolidated affiliates have unfunded commitments totaling $4.2 billion as of March 31, 2024 , of which approximately $3.6 billion is subscribed individually by senior Carlyle professionals, advisors and other professionals. In addition to these unfunded commitments, the Company may from time to time exercise its right to purchase additional interests in its investment funds that become available in the ordinary course of their operations. Under the Carlyle Global Capital Markets platform, certain subsidiaries of the Company may act as an underwriter, syndicator or placement agent for security offerings and loan originations. The Company earns fees in connection with these activities and bears the risk of the sale of such securities and placement of such loans, which may be longer dated. As of March 31, 2024 , the Company had no commitments related to the origination and syndication of loans and securities under the Carlyle Global Capital Markets platform. Guaranteed Loans From time to time, the Company or its subsidiaries may enter into agreements to guarantee certain obligations of the investment funds related to, for example, credit facilities or equity commitments. Certain consolidated subsidiaries of the Company are the guarantors of revolving credit facilities for certain funds in the Global Investment Solutions segment. The guarantee is limited to the lesser of the total amount drawn under the credit facilities or the total of net asset value of the guarantor subsidiaries plus any uncalled capital of the applicable general partner, and was approximately $10.7 million as of March 31, 2024 . The outstanding balances are secured by uncalled capital commitments from the underlying funds and the Company believes the likelihood of any material funding under this guarantee to be remote. Contingent Obligations (Giveback) A liability for potential repayment of previously received performance allocations of $44.0 million at March 31, 2024 was shown as accrued giveback obligations in the condensed consolidated balance sheets, representing the giveback obligation that would need to be paid if the funds were liquidated at their current fair values at March 31, 2024 . However, the ultimate giveback obligation, if any, generally is not paid until the end of a fund’s life or earlier if the giveback becomes fixed and early payment is agreed upon by the fund’s partners (see Note 2 , Summary of Significant Accounting Policies ). The Company had $11.5 million of unbilled receivables from former and current employees and senior Carlyle professionals as of March 31, 2024 related to giveback obligations. Any such receivables are collateralized by investments made by individual senior Carlyle professionals and employees in Carlyle-sponsored funds. In addition, $148.4 million have been withheld from distributions of carried interest to senior Carlyle professionals and employees for potential giveback obligations as of March 31, 2024 . Such amounts are held on behalf of the respective current and former Carlyle employees to satisfy any givebacks they may owe and are held by entities not included in the accompanying condensed consolidated balance sheets. Current and former senior Carlyle professionals and employees are personally responsible for their giveback obligations. As of March 31, 2024 , approximately $20.3 million of the Company’s accrued giveback obligation is the responsibility of various current and former senior Carlyle professionals and other former limited partners of the Carlyle Holdings partnerships, and the net accrued giveback obligation attributable to the Company is $23.7 million . If, at March 31, 2024 , all of the investments held by the Company’s Funds were deemed worthless, a possibility that management views as remote, the amount of realized and distributed carried interest subject to potential giveback would be $1.5 billion , on an after-tax basis where applicable, of which approximately $0.6 billion would be the responsibility of current and former senior Carlyle professionals. Legal Matters In the ordinary course of business, the Company is a party to litigation, investigations, inquiries, employment-related matters, disputes and other potential claims. Certain of these matters are described below. The Company is not currently able to estimate the reasonably possible amount of loss or range of loss, in excess of amounts accrued, for the matters that have not been resolved. The Company does not believe it is probable that the outcome of any existing litigation, investigations, disputes or other potential claims will materially affect the Company or these financial statements in excess of amounts accrued. The Authentix Matter Authentix, Inc. (“Authentix”) was a majority-owned portfolio company in one of the Company’s investment funds, Carlyle U.S. Growth Fund III, L.P. (“CGF III”). When Authentix was owned by CGF III, two of the Company’s employees served on Authentix’s board of directors. After a lengthy sale process, Authentix was sold for an aggregate sale price of $87.5 million . On August 7, 2020, certain of the former minority shareholders in Authentix filed suit in Delaware Chancery Court, alleging that the Authentix board of directors, CGF III, and the Company breached various fiduciary duties by agreeing to a sale of Authentix at an inopportune time and at a price that was too low. Plaintiffs seek damages for a portion of the lost profits from the sale—the difference between the actual sale price and the purported maximum amount for which Authentix could have sold, multiplied by plaintiff’s ownership percentage. Plaintiffs also seek disgorgement of any profits received by the Company stemming from the sale. A trial before the Delaware Court of Chancery was completed in early February 2024. A decision from the court is expected later this year, following post-trial briefing. The former directors of Authentix are covered by indemnification from Authentix and an Authentix insurance policy. The defendants expect to continue to contest the claims vigorously. The Tax Receivable Agreement Matter The Company came into existence on January 1, 2020, when its predecessor, The Carlyle Group, L.P. (the “PTP”), converted from a partnership into a corporation (the “Conversion”). On July 29, 2022, an alleged stockholder of the Company, the City of Pittsburgh Comprehensive Municipal Trust Fund (the “Plaintiff”), filed suit in the Delaware Court of Chancery, alleging a direct claim against the Company for breach of its certificate of incorporation and a derivative claim on behalf of the Company against certain current and former officers and directors of the Company. Plaintiff challenges the receipt, by certain officers of the PTP and certain directors of the general partner of the PTP, of a right to cash payments associated with the elimination of a tax receivable agreement in connection with the Conversion. Plaintiff is seeking monetary damages, restitution, and an injunction preventing the Company from making any future cash payments for the elimination of the tax receivable agreement in connection with the Conversion. By virtue of the derivative nature of the primary claims (i.e., that the claims are aimed primarily at certain officers and directors), it is remote that the Company itself will pay material damage awards based on the Plaintiff’s claims, although the Company is expected to incur legal defense fees to the extent not covered by insurance. The Delaware Court issued a ruling on the defendant’s motion to dismiss on April 24, 2024, dismissing some of the Plaintiff’s claims but allowing most of the claims to proceed to discovery and possibly to trial. The Company intends to contest the direct claims vigorously, and the officer and director defendants intend to continue contesting the claims vigorously. SEC Investigation As part of a sweep investigation of financial services and investment advisory firms, in October 2022, the Company received from the SEC a request for information related to the preservation of certain types of electronic business communications (e.g., text messages and messages on WhatsApp, WeChat, and similar applications) as part of the Company’s books and records. The Company has cooperated with the investigation and in recent weeks has engaged in discussions with the Enforcement Division about potential resolution. There is no assurance that a settlement will be reached. The Company currently is and expects to continue to be, from time to time, subject to examinations, formal and informal inquiries and investigations by various U.S. and non-U.S. governmental and regulatory agencies, including but not limited to, the SEC, Department of Justice, state attorneys general, FINRA, National Futures Association and the U.K. Financial Conduct Authority. The Company routinely cooperates with such examinations, inquiries and investigations, and they may result in the commencement of civil, criminal, or administrative or other proceedings against the Company or its personnel. It is not possible to predict the ultimate outcome of all pending investigations and legal proceedings and employment- related matters, and some of the matters discussed above involve claims for potentially large and/or indeterminate amounts of damages. Based on information known by management, management does not believe that as of the date of this filing the final resolutions of the matters above will have a material effect upon the Company’s condensed consolidated financial statements. However, given the potentially large and/or indeterminate amounts of damages sought in certain of these matters and the inherent unpredictability of investigations and litigations, it is possible that an adverse outcome in certain matters could, from time to time, have a material effect on the Company’s financial results in any particular period. The Company accrues an estimated loss contingency liability when it is probable that such a liability has been incurred and the amount of the loss can be reasonably estimated. As of March 31, 2024 , the Company had recorded liabilities aggregating to approximately $45 million for litigation-related contingencies, regulatory examinations and inquiries, and other matters. The Company evaluates its outstanding legal and regulatory proceedings and other matters each quarter to assess its loss contingency accruals, and makes adjustments in such accruals, upward or downward, as appropriate, based on management’s best judgment after consultation with counsel. There is no assurance that the Company’s accruals for loss contingencies will not need to be adjusted in the future or that, in light of the uncertainties involved in such matters, the ultimate resolution of these matters will not significantly exceed the accruals that the Company has recorded. Indemnifications In the normal course of business, the Company and its subsidiaries enter into contracts that contain a variety of representations and warranties and provide general indemnifications. The Company’s maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Company that have not yet occurred. However, based on experience, the Company believes the risk of material loss to be remote. In connection with the sale of the Company’s interest in its local Brazilian management entity in August 2021, the Company provided a guarantee to the acquiring company of up to BRL 100.0 million ( $19.9 million as of March 31, 2024 ) for liabilities arising from tax-related indemnifications. This guarantee, which will expire in August 2027, would only come into effect after all alternative remedies have been exhausted. The Company believes the likelihood of any material funding under this guarantee to be remote. Risks and Uncertainties Carlyle’s funds seek investment opportunities that offer the possibility of attaining substantial capital appreciation. Certain events particular to each industry in which the underlying investees conduct their operations, as well as general economic, political, regulatory and public health conditions, may have a significant negative impact on the Company’s investments and profitability. The funds managed by the Company may also experience a slowdown in the deployment of capital, which could adversely affect the Company’s ability to raise capital for new or successor funds and could also impact the management fees the Company earns on its carry funds and managed accounts, and/or result in the impairment of intangible assets and/or goodwill the case of the Company’s acquired businesses. Such events are beyond the Company’s control, and the likelihood that they may occur and the effect on the Company cannot be predicted. Furthermore, certain of the funds’ investments are made in private companies and there are generally no public markets for the underlying securities at the current time. The funds’ ability to liquidate their publicly-traded investments are often subject to limitations, including discounts that may be required to be taken on quoted prices due to the number of shares being sold. The funds’ ability to liquidate their investments and realize value is subject to significant limitations and uncertainties, including among others currency fluctuations and natural disasters. The Company and the funds make investments outside of the United States. Investments outside the United States may be subject to less developed bankruptcy, corporate, partnership and other laws (which may have the effect of disregarding or otherwise circumventing the limited liability structures potentially causing the actions or liabilities of one fund or a portfolio company to adversely impact the Company or an unrelated fund or portfolio company). Non-U.S. investments are subject to the same risks associated with the Company’s U.S. investments as well as additional risks, such as fluctuations in foreign currency exchange rates, unexpected changes in regulatory requirements, heightened risk of political and economic instability, difficulties in managing non-U.S. investments, potentially adverse tax consequences and the burden of complying with a wide variety of foreign laws. Furthermore, Carlyle is exposed to economic risk concentrations related to certain large investments as well as concentrations of investments in certain industries and geographies. Additionally, the Company encounters credit risk. Credit risk is the risk of default by a counterparty in the Company’s investments in debt securities, loans, leases and derivatives that result from a borrower’s, lessee’s or derivative counterparty’s inability or unwillingness to make required or expected payments. The Company is subject to credit risk should a financial institution be unable to fulfill its obligations. The Company considers cash, cash equivalents, securities, receivables, principal equity method investments, accounts payable, accrued expenses, other liabilities, loans, senior notes, assets and liabilities of Consolidated Funds and contingent and other consideration for acquisitions to be its financial instruments. Except for the senior notes, subordinated notes and compensatory contingent and other consideration for acquisitions, the carrying amounts reported in the condensed consolidated balance sheets for these financial instruments equal or closely approximate their fair values. The fair value of the senior and subordinated notes is disclosed in Note 6 , Borrowings . |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Mar. 31, 2024 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 9. Related Party Transactions Du e from Affiliates and Other Receivables, Net The Company had the following due from affiliates and other receivables at March 31, 2024 and December 31, 2023 : As of March 31, 2024 December 31, 2023 (Dollars in millions) Accrued incentive fees $ 23.8 $ 22.9 Unbilled receivable for giveback obligations from current and former employees 11.5 11.5 Notes receivable and accrued interest from affiliates 39.1 44.2 Management fee receivable, net 272.9 277.8 Reimbursable expenses and other receivables from unconsolidated funds and affiliates, net 276.8 335.2 Total $ 624.1 $ 691.6 Reimbursable expenses and other receivables from certain of the unconsolidated funds and portfolio companies relate to advisory fees receivable and expenses paid on behalf of these entities. These costs generally represent costs related to the pursuit of actual or proposed investments, professional fees and expenses associated with the acquisition, holding and disposition of the investments. The affiliates are obligated at the discretion of the Company to reimburse the expenses. Based on management’s determination, the Company accrues and charges interest on amounts due from affiliate accounts at interest rates ranging up to 7.02% as of March 31, 2024 . The accrued and charged interest to the affiliates was not significant for any period presented. Notes receivable include loans that the Company has provided to certain unconsolidated funds to meet short-term obligations to purchase investments. Notes receivable as of March 31, 2024 and December 31, 2023 also include interest- bearing loans of $23.5 million and $25.0 million , respectively, to certain eligible Carlyle employees, which excludes Section 16 officers and other members of senior management, to finance their investments in certain Carlyle sponsored funds. These advances accrue interest at the WSJ Prime Rate minus 1.00% floating with a floor rate of 3.50% ( 7.50% as of March 31, 2024 ) and are collateralized by each borrower’s interest in the Carlyle sponsored funds. These receivables are assessed regularly for collectability. For management fee receivable, amounts determined to be uncollectible are recorded as a reduction in revenue in the condensed consolidated statements of operations. For all other receivables, amounts determined to be uncollectible are charged directly to general, administrative and other expenses in the condensed consolidated statements of operations. A corresponding allowance for doubtful accounts is recorded and such amounts were not significant for any period presented. Due to Affiliates The Company had the following due to affiliates balances at March 31, 2024 and December 31, 2023 : As of March 31, 2024 December 31, 2023 (Dollars in millions) Due to affiliates of Consolidated Funds $ 6.4 $ 6.3 Due to non-consolidated affiliates 93.4 97.0 Amounts owed under the tax receivable agreement 76.2 79.3 Deferred consideration for Carlyle Holdings units — 68.4 Other 27.6 24.9 Total $ 203.6 $ 275.9 The Company has recorded obligations for amounts due to certain of its affiliates. The Company periodically offsets expenses it has paid on behalf of its affiliates against these obligations. Deferred consideration for Carlyle Holdings units relates to the remaining obligation to the holders of Carlyle Holdings partnership units who will receive cash payments aggregating to $1.50 per Carlyle Holdings partnership unit exchanged in connection with the Conversion, payable in five annual installments of $0.30 . The fifth and final annual installment payment occurred in January 2024. The obligation was initially recorded at fair value, net of a discount of $11.3 million and measured using Level III inputs in the fair value hierarchy. In connection with the Company’s initial public offering, the Company entered into a tax receivable agreement with the limited partners of the Carlyle Holdings partnerships whereby certain subsidiaries of the Partnership agreed to pay to the limited partners of the Carlyle Holdings partnerships involved in any exchange transaction 85% of the amount of cash tax savings, if any, in U.S. federal, state and local income tax realized as a result of increases in tax basis resulting from exchanges of Carlyle Holdings Partnership units for common units of The Carlyle Group L.P. Other Related Party Transactions On May 5, 2020, the Company purchased 2,000,000 of the BDC Preferred Shares from CSL in a private placement at a price of $25 per share. Dividends are payable on a quarterly basis in an initial amount equal to 7.0% per annum payable in cash, or, at CSL’s option, 9.0% per annual payable in additional BDC Preferred Shares. The BDC Preferred Shares are convertible at the Company’s option, in whole or in part, into the number of shares of common stock equal to $25 per share plus any accumulated but unpaid dividends divided by an initial conversion price of $9.50 per share, subject to certain adjustments. With the approval of its board of directors, CSL has the option to redeem the BDC Preferred Shares, in whole or in part. In such case, the Company has the right to convert its shares, in whole or in part, prior to the date of redemption. For both the three months ended March 31, 2024 and 2023 , the Company recorded dividend income of $0.9 million . Dividend income from the BDC Preferred Shares is included in interest and other income in the condensed consolidated statements of operations. The Company’s investment in the BDC Preferred Shares, which is recorded at fair value, was $90.1 million and $81.7 million as of March 31, 2024 and December 31, 2023 , respectively, and is included in investments, including accrued performance allocations, in the condensed consolidated balance sheets. Senior Carlyle professionals and employees are permitted to participate in co-investment entities that invest in Carlyle funds or alongside Carlyle funds. In many cases, participation is limited by law to individuals who qualify under applicable legal requirements. These co-investment entities generally do not require senior Carlyle professionals and employees to pay management or performance allocations, however, Carlyle professionals and employees are required to pay their portion of partnership expenses. Carried interest income from certain funds can be distributed to senior Carlyle professionals and employees on a current basis, but is subject to repayment by the subsidiary of the Company that acts as general partner of the fund in the event that certain specified return thresholds are not ultimately achieved. The senior Carlyle professionals and certain other investment professionals have personally guaranteed, subject to certain limitations, the obligation of these subsidiaries in respect of this general partner obligation. Such guarantees are several and not joint and are limited to a particular individual’s distributions received. The Company does business with some of its portfolio companies; all such arrangements are on a negotiated basis. Substantially all revenue is earned from affiliates of Carlyle. |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 10. Income Taxes The Company’s provision for income taxes was $21.9 million and $34.3 million for the three months ended March 31, 2024 and 2023 , respectively. The Company’s effective tax rate was approximately 18% and 21% for the three months ended March 31, 2024 and 2023 , respectively. The effective tax rate for the three months ended March 31, 2024 and 2023 primarily comprises the 21% U.S. federal corporate income tax rate and the impact of U.S. state and foreign income taxes and disallowed executive compensation, partially offset by non-controlling interest and equity-based compensation deductions. As of March 31, 2024 and December 31, 2023 , the Company had federal, state, local and foreign taxes payable of $101.4 million and $46.9 million , respectively, which is recorded as a component of accounts payable, accrued expenses and other liabilities on the accompanying condensed consolidated balance sheets. In the normal course of business, the Company is subject to examination by federal and certain state, local and foreign tax regulators. With a few exceptions, as of March 31, 2024 , the Company’s U.S. federal income tax returns for the years 2020 through 2022 are open under the normal three -year statute of limitations and therefore subject to examination. State and local tax returns are generally subject to audit from 2018 to 2022 . Foreign tax returns are generally subject to audit from 2011 to 2022 . Certain of the Company’s affiliates are currently under audit by federal, state and foreign tax authorities. The Company does not believe that the outcome of the audits will require it to record material reserves for uncertain tax positions or that the outcome will have a material impact on the consolidated financial statements. The Company does not believe that it has any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly increase or decrease within the next twelve months . On August 16, 2022, the Inflation Reduction Act of 2022 (the “IRA”) was signed into law. The IRA enacted a 15% CAMT on the “adjusted financial statement income” of certain large corporations, which became effective on January 1, 2023. The Company does not expect the IRA to have a material impact to its provision for income taxes given that any current year payments that would be made under CAMT would be permitted to be carried forward and used as credits in future years resulting in a deferred tax benefit. The Company will continue to monitor as additional guidance is released by U.S. Department of the Treasury, the IRS, and other standard-setting bodies . On December 27, 2023, the State of New York issued final regulations that implemented comprehensive franchise tax reform for corporations, banks, and insurance companies. This did not have a material impact to the Company’s consolidated financial statements. The Company will continue to monitor as additional guidance is released by the State of New York. In October 2021, t he OECD introduced a 15% global minimum tax under the Pillar Two GloBE model rules. There are a number of key provisions under the rules that are being phased in during 2024 and 2025. Several OECD member countries have enacted the tax legislation based on certain elements of these rules that became effective on January 1, 2024, and additional countries have drafted or announced an intent to implement legislation. While the Company does not expect Pillar Two to have a material impact to its provision for income taxes for 2024, the rules remain subject to significant negotiation and potential change, and the timing and ultimate impact of any such changes on our tax obligations are uncertain. The Company will continue to monitor as additional countries enact legislation, new parts of the regime come into force or additional guidance is released by the OECD and other standard-setting bodies. |
Non-controlling Interests in Co
Non-controlling Interests in Consolidated Entities | 3 Months Ended |
Mar. 31, 2024 | |
Noncontrolling Interest [Abstract] | |
Non-controlling Interests in Consolidated Entities | 11. Non-controlling Interests in Consolidated Entities The components of the Company’s non-controlling interests in consolidated entities are as follows: As of March 31, 2024 December 31, 2023 (Dollars in millions) Non-Carlyle interests in Consolidated Funds $ 430.2 $ 415.3 Non-Carlyle interests in majority-owned subsidiaries 246.3 184.5 Non-controlling interest in carried interest, giveback obligations and cash held for carried interest distributions (7.2) (6.7) Non-controlling interests in consolidated entities $ 669.3 $ 593.1 The components of the Company’s non-controlling interests in income of consolidated entities are as follows: Three Months Ended March 31, 2024 2023 (Dollars in millions) Non-Carlyle interests in Consolidated Funds $ 12.7 $ 17.2 Non-Carlyle interests in majority-owned subsidiaries 20.5 5.5 Non-controlling interest in carried interest, giveback obligations and cash held for carried interest distributions — 1.9 Non-controlling interests in income of consolidated entities $ 33.2 $ 24.6 |
Earnings Per Common Share
Earnings Per Common Share | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Earnings Per Common Share | 12. Earnings Per Common Share Ba sic and diluted net income (loss) per common share are calculated as follows: Three Months Ended March 31, 2024 Basic Diluted Net income attributable to common shares $ 65,600,000 $ 65,600,000 Weighted-average common shares outstanding 360,908,247 369,343,601 Net income per common share $ 0.18 $ 0.18 Three Months Ended March 31, 2023 Basic Diluted Net income attributable to common shares $ 100,700,000 $ 100,700,000 Weighted-average common shares outstanding 362,944,260 365,357,833 Net income per common share $ 0.28 $ 0.28 The weighted-average common shares outstanding, basic and diluted, are calculated as follows: Three Months Ended March 31, 2024 Basic Diluted The Carlyle Group Inc. weighted-average common shares outstanding 360,908,247 360,908,247 Unvested restricted stock units — 6,733,282 Issuable common shares and performance-vesting restricted stock units — 1,702,072 Weighted-average common shares outstanding 360,908,247 369,343,601 Three Months Ended March 31, 2023 Basic Diluted The Carlyle Group Inc. weighted-average common shares outstanding 362,944,260 362,944,260 Unvested restricted stock units — 1,702,114 Issuable common shares and performance-vesting restricted stock units — 711,459 Weighted-average common shares outstanding 362,944,260 365,357,833 The Company applies the treasury stock method to determine the dilutive weighted-average common shares represented by the unvested restricted stock units. Also included in the determination of dilutive weighted-average common shares are issuable common shares associated with the Company’s investment in NGP and performance-vesting restricted stock units |
Equity
Equity | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
Equity | 13. Equity Stock Repurchase Program Pursuant to a share repurchase program that was publicly announced in February 2021, and subsequently amended in October 2021 and February 2023, the Board of Directors of the Company authorized the repurchase of up to $500 million in shares of our common stock, effective as of March 31, 2023. The Board of Directors reset the total repurchase authorization to $1.4 billion in shares of our common stock, effective as of February 6, 2024, which authorization replaced the Company’s prior $500 million authorization. Under this repurchase program, shares of common stock may be repurchased from time to time in open market transactions, in privately negotiated transactions, or otherwise, including through Rule 10b5-1 plans. The timing and actual number of shares of common stock repurchased will depend on a variety of factors, including legal requirements and price, economic, and market conditions. In addition to repurchases of common stock, the repurchase program is used for the payment of tax withholding amounts upon net share settlement of equity-based awards granted pursuant to our Equity Incentive Plan or otherwise based on the value of shares withheld that would have otherwise been issued to the award holder. The share repurchase program may be suspended or discontinued at any time and does not have a specified expiration date. As of March 31, 2024 , $1,256.9 million of repurchase capacity remained under the program, which reflects both common shares repurchased and shares retired in connection with the net share settlement of equity-based awards. The following table presents the Company’s shares that have been repurchased or retired as a result of net share settlement of equity-based awards during the three months ended March 31, 2024 and 2023 : Three Months Ended March 31, 2024 2023 (Dollars in millions) Shares $ Shares $ Shares repurchased 2,853,602 $ 130.6 2,998,813 $ 100.3 Shares retired in connection with the net share settlement of equity-based awards 481,261 19.4 — — Total 3,334,863 $ 150.0 2,998,813 $ 100.3 The IRA also enacted a 1% excise tax on certain actual and deemed stock repurchases by publicly traded U.S. corporations effective January 1, 2023. The value of repurchases subject to the tax is reduced by the value of any stock issued by the corporation during the tax year, including stock issued or provided to the employees of the corporation. The excise tax is accounted for in equity as an additional repurchase cost. The excise tax for the three months ended March 31, 2024 was $0.6 million . Excise tax for the three months ended March 31, 2023 was immaterial . Dividends The table below presents information regarding the quarterly dividends on the common shares, which were made at the sole discretion of the Board of Directors of the Company. Dividend Record Date Dividend Payment Date Dividend per Common Share Dividend to Common Stockholders (Dollars in millions, except per share data) May 16, 2023 May 23, 2023 $ 0.35 $ 126.7 August 15, 2023 August 23, 2023 0.35 126.3 November 21, 2023 November 29, 2023 0.35 126.3 February 23, 2024 March 1, 2024 0.35 126.7 Total 2023 Dividend Year $ 1.40 $ 506.0 May 14, 2024 May 21, 2024 $ 0.35 $ 126.0 Total 2024 Dividend Year (through Q1 2024) $ 0.35 $ 126.0 The Board of Directors will take into account general economic and business conditions, as well as the Company’s strategic plans and prospects, business and investment opportunities, financial condition and obligations, legal, tax and regulatory restrictions, other constraints on the payment of dividends by the Company to its common stockholders or by subsidiaries to the Company, and other such factors as the Board of Directors may deem relevant. In addition, the terms of the Company’s credit facility provide certain limits on the Company’s ability to pay dividends . |
Equity-Based Compensation
Equity-Based Compensation | 3 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Equity-Based Compensation | 14. Equity-Based Compensation The Carlyle Group Inc. Amended and Restated 2012 Equity Incentive Plan (the “Equity Incentive Plan,” initially adopted in May 2012 and as most recently amended and restated on May 30, 2023) is a source of equity-based awards permitting the Company to grant to Carlyle employees, directors and consultants non-qualified options, share appreciation rights, common shares, restricted stock units and other awards based on the Company’s shares of common stock. Following the amendment and restatement of the Equity Incentive Plan on May 30, 2023, a total of 39,800,000 shares of common stock were authorized for the grant of awards under the Equity Incentive Plan. As of March 31, 2024 , there was a total of 10,176,358 shares of the Company’s common stock remaining available for grant under the Equity Incentive Plan. A summar y of the status of the Company’s non-vested equity-based awards as of March 31, 2024 and a summary of changes for the three months ended March 31, 2024 , are presented below: Unvested Shares Performance- Vesting Restricted Stock Units (1) Weighted- Average Grant Date Fair Value Restricted Stock Units Weighted- Average Grant Date Fair Value Unvested Common Shares (2) Weighted- Average Grant Date Fair Value Balance, December 31, 2023 4,941,317 $ 23.19 17,232,330 $ 34.68 458,929 $ 37.87 Granted (3) 13,194,168 $ 26.42 4,968,866 $ 40.57 247,293 $ 40.08 Vested (4) — $ — 1,268,829 $ 33.07 — $ — Forfeited — $ — 307,778 $ 32.12 — $ — Balance, March 31, 2024 18,135,485 $ 25.54 20,624,589 $ 36.24 706,222 $ 38.64 (1) Includes restricted stock units granted to certain senior Carlyle professionals, including equity inducement awards granted in connection with the appointment of the Company’s Chief Executive Officer, which are subject to vesting based on the achievement of stock price performance conditions over a service period. (2) Includes common shares issued in connection with the Company’s investment in NGP. (3) Includes shares reserved for issuance upon settlement of dividend-equivalent rights carried by certain restricted stock units concurrently with the settlement of the restricted stock units for shares. (4) Includes 481,261 shares which were retired in connection with the net share settlement of equity-based awards. The Company paid $ 19.4 million of taxes related to the net share settlement of equity-based awards during the three months ended March 31, 2024 , which is included within Financing activities in the condensed consolidated statements of cash flows. In February 2024, the Company granted 13.2 million restricted stock units to certain senior Carlyle professionals that are eligible to vest in three tranches based on the achievement of stock price performance conditions over service periods of one, two and three years. Equity-based compensation expense for each tranche is recognized on a straight-line basis over its respective service period. These awards had a grant date fair value of approximately $347 million , which was derived using the Monte Carlo Simulation model. The Company recorded compensation expense, net of forfeitures, for restricted stock units of $108.3 million and $54.4 million for the three months ended March 31, 2024 and 2023 , respectively, with $20.1 million and $9.7 million of corresponding deferred tax benefits, respectively. As of March 31, 2024 , the total unrecognized equity-based compensation expense related to unvested restricted stock units was $896.7 million , which is expected to be recognized over a weighted- average term of 2.2 years . |
Segment Reporting
Segment Reporting | 3 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
Segment Reporting | 15. Segment Reporting Car lyle conducts its operations through three reportable segments: Global Private Equity – The Global Private Equity segment advises the Company’s buyout, middle market and growth capital funds, its U.S. and internationally focused real estate funds, and its infrastructure and natural resources funds. The segment also includes the NGP Carry Funds advised by NGP. Global Credit – The Global Credit segment advises funds and vehicles that pursue investment strategies including loans and structured credit, direct lending, opportunistic credit, distressed credit, aircraft financing and servicing, infrastructure debt, insurance solutions, asset-backed lending, and global capital markets. Global Investment Solutions – The Global Investment Solutions segment advises global private equity programs and related co-investment and secondary activities. The Company’s reportable business segments are differentiated by their various investment focuses and strategies. Overhead costs are generally allocated based on cash-based compensation and benefits expense for each segment. The Company’s earnings from its investment in NGP are presented in the respective operating captions within the Global Private Equity segment. Distributable Earnings . Distributable Earnings, or “DE,” is a key performance benchmark used in the Company’s industry and is evaluated regularly by management in making resource deployment and compensation decisions and in assessing performance of the Company’s three reportable segments. Management also uses DE in budgeting, forecasting, and the overall management of the Company’s segments. Management believes that reporting DE is helpful to understanding the Company’s business and that investors should review the same supplemental financial measure that management uses to analyze the Company’s segment performance. DE is intended to show the amount of net realized earnings without the effects of the consolidation of the Consolidated Funds. DE is derived from the Company’s segment reported results and is used to assess performance. Distributable Earnings differs from income (loss) before provision for income taxes computed in accordance with U.S. GAAP in that it includes certain tax expenses associated with certain foreign performance revenues (comprised of performance allocations and incentive fees), and does not include unrealized performance allocations and related compensation expense, unrealized principal investment income, equity-based compensation expense, net income (loss) attributable to non-Carlyle interests in consolidated entities, or charges (credits) related to Carlyle corporate actions and non-recurring items that affect period-to-period comparability and are not reflective of the Company’s operational performance . Charges (credits) related to Carlyle corporate actions and non-recurring items include: charges (credits) associated with acquisitions, dispositions or strategic investments, changes in the tax receivable agreement liability, amortization and any impairment charges associated with acquired intangible assets, transaction costs associated with acquisitions and dispositions, charges associated with earn- outs and contingent consideration including gains and losses associated with the estimated fair value of contingent considerations issued in conjunction with acquisitions or strategic investments, impairment charges associated with lease right- of-use assets, gains and losses from the retirement of debt, charges associated with contract terminations and employee severance, certain general, administrative and other expenses when the timing of any futu re payment is uncertain, and non- recurring items that affect period-to-period comparability and are not reflective of the Company’ s operating performance . Management believes the inclusion or exclusion of these items provides investors with a meaningful indication of the Company’s core operating performance. Fee Related Earnings . Fee Related Earnings, or “FRE,” is a component of DE and is used to assess the ability of the business to cover base compensation and operating expenses from total fee revenues. FRE adjusts DE to exclude net realized performance revenues, realized principal investment income, and net interest (interest income less interest expense). Fee Related Earnings includes fee related performance revenues and related compensation expense, which is generally 45% of fee related performance revenues. Fee related performance revenues represent the realized portion of performance revenues that are measured and received on a recurring basis, are not dependent on realization events, and which have no risk of giveback. The following tables present the financial data for the Company’s three reportable segments for the three months ended March 31, 2024 : Three Months Ended March 31, 2024 Global Private Equity Global Credit Global Investment Solutions Total (Dollars in millions) Segment Revenues Fund level fee revenues Fund management fees $ 304.6 $ 136.9 $ 74.1 $ 515.6 Portfolio advisory and transaction fees, net and other 7.1 19.6 — 26.7 Fee related performance revenues 3.7 24.2 1.2 29.1 Total fund level fee revenues 315.4 180.7 75.3 571.4 Realized performance revenues 373.8 0.6 23.4 397.8 Realized principal investment income 18.9 13.8 1.0 33.7 Interest income 7.6 10.7 1.8 20.1 Total revenues 715.7 205.8 101.5 1,023.0 Segment Expenses Compensation and benefits Cash-based compensation and benefits 109.3 76.8 28.2 214.3 Realized performance revenues related compensation 234.3 0.3 21.2 255.8 Total compensation and benefits 343.6 77.1 49.4 470.1 General, administrative, and other indirect expenses 38.6 29.6 11.5 79.7 Depreciation and amortization expense 6.4 3.1 1.6 11.1 Interest expense 14.0 13.9 2.9 30.8 Total expenses 402.6 123.7 65.4 591.7 Distributable Earnings $ 313.1 $ 82.1 $ 36.1 $ 431.3 (-) Realized Net Performance Revenues 139.5 0.3 2.2 142.0 (-) Realized Principal Investment Income 18.9 13.8 1.0 33.7 (+) Net Interest 6.4 3.2 1.1 10.7 (=) Fee Related Earnings $ 161.1 $ 71.2 $ 34.0 $ 266.3 Segment assets as of March 31, 2024 $ 7,154.6 $ 3,783.9 $ 2,339.9 $ 13,278.4 The following tables present the financial data for the Company’s three reportable segments for the three months ended March 31, 2023 : Three Months Ended March 31, 2023 Global Private Equity Global Credit Global Investment Solutions Total (Dollars in millions) Segment Revenues Fund level fee revenues Fund management fees $ 326.9 $ 122.6 $ 56.7 $ 506.2 Portfolio advisory and transaction fees, net and other 5.4 11.0 — 16.4 Fee related performance revenues 9.6 18.4 0.8 28.8 Total fund level fee revenues 341.9 152.0 57.5 551.4 Realized performance revenues 99.0 27.7 38.4 165.1 Realized principal investment income 11.9 9.0 2.9 23.8 Interest income 5.4 7.2 1.3 13.9 Total revenues 458.2 195.9 100.1 754.2 Segment Expenses Compensation and benefits Cash-based compensation and benefits 148.7 80.4 31.5 260.6 Realized performance revenues related compensation 46.3 12.7 36.6 95.6 Total compensation and benefits 195.0 93.1 68.1 356.2 General, administrative, and other indirect expenses 57.1 21.7 8.7 87.5 Depreciation and amortization expense 6.7 2.0 1.2 9.9 Interest expense 16.6 10.2 2.2 29.0 Total expenses 275.4 127.0 80.2 482.6 Distributable Earnings $ 182.8 $ 68.9 $ 19.9 $ 271.6 (-) Realized Net Performance Revenues 52.7 15.0 1.8 69.5 (-) Realized Principal Investment Income 11.9 9.0 2.9 23.8 (+) Net Interest 11.2 3.0 0.9 15.1 (=) Fee Related Earnings $ 129.4 $ 47.9 $ 16.1 $ 193.4 The following tables reconcile the Total Segments to the Company’s Income (Loss) Before Provision for Taxes for the three months ended March 31, 2024 and 2023 , and Total Assets as of March 31, 2024 . Three Months Ended March 31, 2024 Total Reportable Segments Consolidated Funds Reconciling Items Carlyle Consolidated (Dollars in millions) Revenues $ 1,023.0 $ 164.9 $ (499.5) (a) $ 688.4 Expenses $ 591.7 $ 139.5 $ (170.5) (b) $ 560.7 Other income (loss) $ — $ (7.0) $ — (c) $ (7.0) Distributable earnings $ 431.3 $ 18.4 $ (329.0) (d) $ 120.7 Total assets $ 13,278.4 $ 8,154.9 $ (583.8) (e) $ 20,849.5 Three Months Ended March 31, 2023 Total Reportable Segments Consolidated Funds Reconciling Items Carlyle Consolidated (Dollars in millions) Revenues $ 754.2 $ 121.9 $ (17.1) (a) $ 859.0 Expenses $ 482.6 $ 97.2 $ 123.2 (b) $ 703.0 Other income (loss) $ — $ 3.6 $ — (c) $ 3.6 Distributable earnings $ 271.6 $ 28.3 $ (140.3) (d) $ 159.6 (a) The Revenues adjustment principally represents unrealized performance revenues, unrealized principal investment income (loss) (including Fortitude), revenues earned from the Consolidated Funds which were eliminated in consolidation to arrive at the Company’s total revenues, adjustments for amounts attributable to non-controlling interests in consolidated entities, adjustments related to expenses associated with the investments in NGP Management and its affiliates that are included in operating captions or are excluded from the segment results, adjustments to reflect the reimbursement of certain costs incurred on behalf of Carlyle funds on a net basis, and the inclusion of tax expenses associated with certain foreign performance revenues, as detailed below: Three Months Ended March 31, 2024 2023 (Dollars in millions) Unrealized performance and fee related performance revenues $ (521.6) $ (20.7) Unrealized principal investment income (loss) 4.4 (29.0) Adjustments related to expenses associated with investments in NGP Management and its affiliates (3.2) (3.4) Non-controlling interests and other adjustments to present certain costs on a net basis 41.5 50.8 Elimination of revenues of Consolidated Funds (20.6) (14.8) $ (499.5) $ (17.1) The following table reconciles the total segments fund level fee revenue to the most directly comparable U.S. GAAP measure, the Company’s consolidated fund management fees, for the three months ended March 31, 2024 and 2023 . Three Months Ended March 31, 2024 2023 (Dollars in millions) Total Reportable Segments - Fund level fee revenues $ 571.4 $ 551.4 Adjustments (1) (47.8) (50.6) Carlyle Consolidated - Fund management fees $ 523.6 $ 500.8 (1) Adjustments represent the reclassification of NGP management fees from principal investment income, the reclassification of fee related performance revenues from business development companies and other products, management fees earned from Consolidated Funds which were eliminated in consolidation to arrive at the Company’s fund management fees, and the reclassification of certain amounts included in portfolio advisory fees, net and other in the segment results that are included in interest and other income in the U.S. GAAP results. (b) The Expenses adjustment represents the elimination of intercompany expenses of the Consolidated Funds payable to the Company, the inclusion of equity-based compensation, certain tax expenses associated with realized performance revenues related compensation, and unrealized performance revenues related compensation, adjustments related to expenses associated with the investment in NGP Management that are included in operating captions, adjustments to reflect the reimbursement of certain costs incurred on behalf of Carlyle funds on a net basis, changes in the tax receivable agreement liability, and charges and credits associated with Carlyle corporate actions and non-recurring items, as detailed below: Three Months Ended March 31, 2024 2023 (Dollars in millions) Unrealized performance and fee related performance revenue compensation expense $ (328.4) $ (2.3) Equity-based compensation 111.0 57.1 Acquisition or disposition-related charges and amortization of intangibles and impairment 32.8 28.7 Tax (expense) benefit associated with certain foreign performance revenues related compensation (1.0) (0.5) Non-controlling interests and other adjustments to present certain costs on a net basis 17.8 40.0 Other adjustments 12.2 3.9 Elimination of expenses of Consolidated Funds (14.9) (3.7) $ (170.5) $ 123.2 (c) The Other Income (Loss) adjustment results from the Consolidated Funds that were eliminated in consolidation to arrive at the Company’s total Other Income (Loss). (d) The following table is a reconciliation of Income (Loss) Before Provision for Income Taxes to Distributable Earnings and to Fee Related Earnings: Three Months Ended March 31, 2024 2023 (Dollars in millions) Income (loss) before provision for income taxes $ 120.7 $ 159.6 Adjustments: Net unrealized performance and fee related performance revenues 193.2 18.4 Unrealized principal investment (income) loss (4.4) 29.0 Equity-based compensation (1) 111.0 57.1 Acquisition or disposition-related charges, including amortization of intangibles and impairment 32.8 28.7 Tax expense associated with certain foreign performance revenues (1.0) (0.5) Net income attributable to non-controlling interests in consolidated entities (33.2) (24.6) Other adjustments 12.2 3.9 Distributable Earnings $ 431.3 $ 271.6 Realized performance revenues, net of related compensation (2) 142.0 69.5 Realized principal investment income (2) 33.7 23.8 Net interest 10.7 15.1 Fee Related Earnings $ 266.3 $ 193.4 (1) Equity-based compensation for the three months ended March 31, 2024 and 2023 includes amounts that are presented in principal investment income and general, administrative and other expenses in the Company’s U.S. GAAP statement of operations. (2) See reconciliation to most directly comparable U.S. GAAP measure below: Three Months Ended March 31, 2024 Carlyle Consolidated Adjustments (3) Total Reportable Segments (Dollars in millions) Performance revenues $ (157.0) $ 554.8 $ 397.8 Performance revenues related compensation expense (72.8) 328.6 255.8 Net performance revenues $ (84.2) $ 226.2 $ 142.0 Principal investment income (loss) $ 73.1 $ (39.4) $ 33.7 Three Months Ended March 31, 2023 Carlyle Consolidated Adjustments (3) Total Reportable Segments (Dollars in millions) Performance revenues $ 160.8 $ 4.3 $ 165.1 Performance revenues related compensation expense 105.7 (10.1) 95.6 Net performance revenues $ 55.1 $ 14.4 $ 69.5 Principal investment income (loss) $ 11.7 $ 12.1 $ 23.8 ( 3) Adjustments to performance revenues and principal investment income (loss) relate to (i) unrealized performance allocations net of related compensation expense and unrealized principal investment income, which are excluded from the segment results, (ii) amounts earned from the Consolidated Funds, which were eliminated in the U.S. GAAP consolidation but were included in the segment results, (iii) amounts attributable to non-controlling interests in consolidated entities, which were excluded from the segment results, (iv) the reclassification of NGP performance revenues, which are included in principal investment income in the U.S. GAAP financial statements, (v) the reclassification of fee related performance revenues, which are included in fund level fee revenues in the segment results, and (vi) the reclassification of tax expenses associated with certain foreign performance revenues. Adjustments to principal investment income (loss) also include the reclassification of earnings for the investments in NGP Management and its affiliates to the appropriate operating captions for the segment results, the exclusion of charges associated with the investment in NGP Management and its affiliates that are excluded from the segment results and the exclusion of the principal investment loss from dilution of the indirect investment in Fortitude. (e) The Total Assets adjustment represents the addition of the assets of the Consolidated Funds that were eliminated in consolidation to arrive at the Company’s total assets . |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2024 | |
Subsequent Events [Abstract] | |
Subsequent Events | 16. Subsequent Events In April 2024 , the Company’s Board of Directors declared a quarterly dividend of $0.35 per share of common stock to common stockholders of record at the close of business on May 14, 2024 , payable on May 21, 2024 . |
Supplemental Financial Informat
Supplemental Financial Information | 3 Months Ended |
Mar. 31, 2024 | |
Condensed Financial Information Disclosure [Abstract] | |
Supplemental Financial Information | 17. Supplemental Financial Information The following supplemental financial information illustrates the consolidating effects of the Consolidated Funds on the Company’s financial position as of March 31, 2024 and December 31, 2023 and results of operations for the three months ended March 31, 2024 and 2023 . The supplemental statement of cash flows is presented without effects of the Consolidated Funds. As of March 31, 2024 Consolidated Operating Entities Consolidated Funds Eliminations Consolidated (Dollars in millions) Assets Cash and cash equivalents $ 1,276.5 $ — $ — $ 1,276.5 Cash and cash equivalents held at Consolidated Funds — 426.0 — 426.0 Restricted cash 1.4 — — 1.4 Investments, including performance allocations of $5,567.6 9,684.7 — (211.5) 9,473.2 Investments of Consolidated Funds — 7,520.5 (61.9) 7,458.6 Due from affiliates and other receivables, net 934.5 — (310.4) 624.1 Due from affiliates and other receivables of Consolidated Funds, net — 204.1 — 204.1 Fixed assets, net 162.8 — — 162.8 Lease right-of-use assets, net 349.3 — — 349.3 Deposits and other 84.2 4.3 — 88.5 Intangible assets, net 732.8 — — 732.8 Deferred tax assets 52.2 — — 52.2 Total assets $ 13,278.4 $ 8,154.9 $ (583.8) $ 20,849.5 Liabilities and equity Debt obligations $ 2,259.0 $ — $ — $ 2,259.0 Loans payable of Consolidated Funds — 6,840.0 (304.9) 6,535.1 Accounts payable, accrued expenses and other liabilities 375.2 — — 375.2 Accrued compensation and benefits 4,173.9 — — 4,173.9 Due to affiliates 197.2 6.4 — 203.6 Deferred revenue 391.1 — — 391.1 Deferred tax liabilities 26.2 — — 26.2 Other liabilities of Consolidated Funds — 598.5 — 598.5 Lease liabilities 502.9 — — 502.9 Accrued giveback obligations 44.0 — — 44.0 Total liabilities 7,969.5 7,444.9 (304.9) 15,109.5 Common stock 3.6 — — 3.6 Additional paid-in capital 3,513.9 291.4 (291.4) 3,513.9 Retained earnings 1,868.2 — — 1,868.2 Accumulated other comprehensive loss (315.9) (11.6) 12.5 (315.0) Non-controlling interests in consolidated entities 239.1 430.2 — 669.3 Total equity 5,308.9 710.0 (278.9) 5,740.0 Total liabilities and equity $ 13,278.4 $ 8,154.9 $ (583.8) $ 20,849.5 As of December 31, 2023 Consolidated Operating Entities Consolidated Funds Eliminations Consolidated (Dollars in millions) Assets Cash and cash equivalents $ 1,440.3 $ — $ — $ 1,440.3 Cash and cash equivalents held at Consolidated Funds — 346.0 — 346.0 Restricted cash 1.8 — — 1.8 Investments, including performance allocations of $6,169.9 10,104.5 — (149.2) 9,955.3 Investments of Consolidated Funds — 7,313.9 (60.8) 7,253.1 Due from affiliates and other receivables, net 1,009.2 — (317.6) 691.6 Due from affiliates and other receivables of Consolidated Funds, net — 141.0 — 141.0 Fixed assets, net 161.5 — — 161.5 Lease right-of-use assets, net 332.2 — — 332.2 Deposits and other 66.0 4.6 — 70.6 Intangible assets, net 766.1 — — 766.1 Deferred tax assets 16.5 — — 16.5 Total assets $ 13,898.1 $ 7,805.5 $ (527.6) $ 21,176.0 Liabilities and equity Debt obligations $ 2,281.0 $ — $ — $ 2,281.0 Loans payable of Consolidated Funds — 6,796.4 (309.9) 6,486.5 Accounts payable, accrued expenses and other liabilities 333.8 — — 333.8 Accrued compensation and benefits 4,922.2 — — 4,922.2 Due to affiliates 269.6 6.3 — 275.9 Deferred revenue 140.3 — — 140.3 Deferred tax liabilities 45.3 — — 45.3 Other liabilities of Consolidated Funds — 374.4 — 374.4 Lease liabilities 488.1 — — 488.1 Accrued giveback obligations 44.0 — — 44.0 Total liabilities 8,524.3 7,177.1 (309.9) 15,391.5 Common stock 3.6 — — 3.6 Additional paid-in capital 3,403.0 223.8 (223.8) 3,403.0 Retained earnings 2,082.1 — — 2,082.1 Accumulated other comprehensive loss (292.7) (10.7) 6.1 (297.3) Non-controlling interests in consolidated entities 177.8 415.3 — 593.1 Total equity 5,373.8 628.4 (217.7) 5,784.5 Total liabilities and equity $ 13,898.1 $ 7,805.5 $ (527.6) $ 21,176.0 Three Months Ended March 31, 2024 Consolidated Operating Entities Consolidated Funds Eliminations Consolidated (Dollars in millions) Revenues Fund management fees $ 530.2 $ — $ (6.6) $ 523.6 Incentive fees 26.2 — — 26.2 Investment income (loss) Performance allocations (155.8) — (1.2) (157.0) Principal investment income 79.6 — (6.5) 73.1 Total investment loss (76.2) — (7.7) (83.9) Interest and other income 63.9 — (6.3) 57.6 Interest and other income of Consolidated Funds — 164.9 — 164.9 Total revenues 544.1 164.9 (20.6) 688.4 Expenses Compensation and benefits Cash-based compensation and benefits 221.9 — — 221.9 Equity-based compensation 108.3 — — 108.3 Performance allocations and incentive fee related compensation (72.8) — — (72.8) Total compensation and benefits 257.4 — — 257.4 General, administrative and other expenses 147.7 — — 147.7 Interest 30.8 — — 30.8 Interest and other expenses of Consolidated Funds — 139.5 (14.9) 124.6 Other non-operating expenses 0.2 — — 0.2 Total expenses 436.1 139.5 (14.9) 560.7 Other income (loss) Net investment loss of Consolidated Funds — (7.0) — (7.0) Income before provision for income taxes 108.0 18.4 (5.7) 120.7 Provision for income taxes 21.9 — — 21.9 Net income 86.1 18.4 (5.7) 98.8 Net income attributable to non-controlling interests in consolidated entities 20.5 — 12.7 33.2 Net income attributable to The Carlyle Group Inc. $ 65.6 $ 18.4 $ (18.4) $ 65.6 Three Months Ended March 31, 2023 Consolidated Operating Entities Consolidated Funds Eliminations Consolidated (Dollars in millions) Revenues Fund management fees $ 508.4 $ — $ (7.6) $ 500.8 Incentive fees 19.9 — (0.1) 19.8 Investment income Performance allocations 162.3 — (1.5) 160.8 Principal investment income 14.7 — (3.0) 11.7 Total investment income 177.0 — (4.5) 172.5 Interest and other income 46.6 — (2.6) 44.0 Interest and other income of Consolidated Funds — 121.9 — 121.9 Total revenues 751.9 121.9 (14.8) 859.0 Expenses Compensation and benefits Cash-based compensation and benefits 260.2 — — 260.2 Equity-based compensation 54.4 — — 54.4 Performance allocations and incentive fee related compensation 105.7 — — 105.7 Total compensation and benefits 420.3 — — 420.3 General, administrative and other expenses 159.4 — (0.2) 159.2 Interest 29.7 — — 29.7 Interest and other expenses of Consolidated Funds — 97.2 (3.5) 93.7 Other non-operating expenses 0.1 — — 0.1 Total expenses 609.5 97.2 (3.7) 703.0 Other income (loss) Net investment income of Consolidated Funds — 3.6 — 3.6 Income before provision for income taxes 142.4 28.3 (11.1) 159.6 Provision for income taxes 34.3 — — 34.3 Net income 108.1 28.3 (11.1) 125.3 Net income attributable to non-controlling interests in consolidated entities 7.4 — 17.2 24.6 Net income attributable to The Carlyle Group Inc. $ 100.7 $ 28.3 $ (28.3) $ 100.7 Three Months Ended March 31, 2024 2023 (Dollars in millions) Cash flows from operating activities Net income $ 86.1 $ 108.1 Adjustments to reconcile net income to net cash flows from operating activities: Depreciation and amortization 45.3 44.0 Equity-based compensation 108.3 54.4 Non-cash performance allocations and incentive fees 189.6 (38.2) Non-cash principal investment income (68.1) (8.7) Other non-cash amounts (2.9) 10.8 Purchases of investments (215.1) (19.0) Proceeds from the sale of investments 108.3 78.9 Payments of contingent consideration (1.5) (68.6) Change in deferred taxes, net (47.1) (15.1) Change in due from affiliates and other receivables 7.9 17.0 Change in deposits and other (19.7) (33.9) Change in accounts payable, accrued expenses and other liabilities 41.5 (63.9) Change in accrued compensation and benefits (365.6) (371.9) Change in due to affiliates (2.2) (0.2) Change in lease right-of-use asset and lease liability (2.2) (2.8) Change in deferred revenue 251.6 284.7 Net cash provided by operating activities 114.2 (24.4) Cash flows from investing activities Purchases of corporate treasury investments — (101.1) Proceeds from corporate treasury investments — 20.1 Purchases of fixed assets, net (14.2) (12.9) Net cash used in investing activities (14.2) (93.9) Cash flows from financing activities Payments on CLO borrowings (13.9) (1.1) Proceeds from CLO borrowings, net of financing costs — — Dividends to common stockholders (126.7) (118.4) Payment of deferred consideration for Carlyle Holdings units (68.8) (68.8) Contributions from non-controlling interest holders 62.5 2.0 Distributions to non-controlling interest holders (19.0) (8.5) Common shares repurchased and net share settlement of equity awards (150.0) (100.3) Change in due to/from affiliates financing activities 56.7 73.0 Net cash used in financing activities (259.2) (222.1) Effect of foreign exchange rate changes (5.0) 5.8 Decrease in cash, cash equivalents and restricted cash (164.2) (334.6) Cash, cash equivalents and restricted cash, beginning of period 1,442.1 1,361.5 Cash, cash equivalents and restricted cash, end of period $ 1,277.9 $ 1,026.9 Reconciliation of cash, cash equivalents and restricted cash, end of period: Cash and cash equivalents $ 1,276.5 $ 1,010.1 Restricted cash 1.4 16.8 Total cash, cash equivalents and restricted cash, end of period $ 1,277.9 $ 1,026.9 Cash and cash equivalents held at Consolidated Funds $ 426.0 $ 228.8 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Pr inciples of Consolidation The Company consolidates all entities that it controls either through a majority voting interest or as the primary beneficiary of variable interest entities (“VIEs”). The Company evaluates (1) whether it holds a variable interest in an entity, (2) whether the entity is a VIE, and (3) whether the Company’s involvement would make it the primary beneficiary. In evaluating whether the Company holds a variable interest, fees (including management fees, incentive fees and performance allocations) that are customary and commensurate with the level of services provided, and where the Company does not hold other economic interests in the entity that would absorb more than an insignificant amount of the expected losses or returns of the entity, are not considered variable interests. The Company considers all economic interests, including indirect interests, to determine if a fee is considered a variable interest. For those entities where the Company holds a variable interest, the Company determines whether each of these entities qualifies as a VIE and, if so, whether or not the Company is the primary beneficiary. The assessment of whether the entity is a VIE is generally performed qualitatively, which requires judgment. These judgments include: (a) determining whether the equity investment at risk is sufficient to permit the entity to finance its activities without additional subordinated financial support, (b) evaluating whether the equity holders, as a group, can make decisions that have a significant effect on the economic performance of the entity, (c) determining whether two or more parties’ equity interests should be aggregated, and (d) determining whether the equity investors have proportionate voting rights to their obligations to absorb losses or rights to receive returns from an entity. For entities that are determined to be VIEs, the Company consolidates those entities where it has concluded it is the primary beneficiary. The primary beneficiary is defined as the variable interest holder with (a) the power to direct the activities of a VIE that most significantly impact the entity’s economic performance and (b) the obligation to absorb losses of the entity or the right to receive benefits from the entity that could potentially be significant to the VIE. In evaluating whether the Company is the primary beneficiary, the Company evaluates its economic interests in the entity held either directly or indirectly by the Company. As of March 31, 2024 , assets and liabilities of the consolidated VIEs reflected in the condensed consolidated balance sheets were $8.1 billion and $7.1 billion , respectively. As of December 31, 2023 , assets and liabilities of the consolidated VIEs reflected in the consolidated balance sheets were $7.8 billion and $6.9 billion , respectively. Except to the extent of the consolidated assets of the VIEs, the holders of the consolidated VIEs’ liabilities generally do not have recourse to the Company. The Company’s Consolidated Funds are primarily CLOs , which are VIEs that issue loans payable that are backed by diversified collateral asset portfolios consisting primarily of loans or structured debt. In exchange for managing the collateral for the CLOs, the Company earns investment management fees, including in some cases subordinated management fees and contingent incentive fees. In cases where the Company consolidates the CLOs (primarily because of a retained interest that is significant to the CLO), those management fees and contingent incentive fees have been eliminated as intercompany transactions. As of March 31, 2024 , the Company held $184.4 million of investments in these CLOs which represents its maximum risk of loss. The Company’s investments in these CLOs are generally subordinated to other interests in the entities and entitle the Company to receive a pro rata portion of the residual cash flows, if any, from the entities. Investors in the CLOs have no recourse against the Company for any losses sustained in the CLO structure. The Company’s Consolidated Funds also include certain investment funds in our Global Private Equity segment that are accounted for as consolidated VIEs due to the Company providing financing to bridge investment purchases. As of March 31, 2024 , the Company held $319.9 million of notes receivable and investments related to these investment funds which represents its maximum risk of loss . The Company’s Consolidated Funds also include certain funds in our Global Credit and Global Investment Solutions segments that are accounted for as consolidated VIEs due to the Company having a significant indirect interest in these funds via the Company’s investment in Fortitude (see Note 4 , Investments ). Entities that do not qualify as VIEs are generally assessed for consolidation as voting interest entities. Under the voting interest entity model, the Company consolidates those entities it controls through a majority voting interest. All significant inter-entity transactions and balances of entities consolidated have been eliminated. |
Investments in Unconsolidated Variable Interest Entities | Investments in Unconsolidated Variable Interest Entities The Company holds variable interests in certain VIEs that are not consolidated because the Company is not the primary beneficiary, including its investments in certain credit vehicles and certain AlpInvest vehicles, as well as its strategic investment in NGP Management Company, L.L.C. (“NGP Management” and, together with its affiliates, “NGP”). Refer to Note 4 , Investments , for information on the strategic investment in NGP. The Company’s involvement with such entities is in the form of direct or indirect equity interests and fee arrangements. The maximum exposure to loss represents the loss of assets recognized by the Company relating to its variable interests in these unconsolidated entities. |
Basis of Accounting | Basis of Accounting The accompanying financial statements are prepared in accordance with U.S. GAAP. Management has determined that the Company’s Funds are investment companies under U.S. GAAP for the purposes of financial reporting. U.S. GAAP for an investment company requires investments to be recorded at estimated fair value and the unrealized gains and/or losses in an investment’s fair value are recognized on a current basis in the statements of operations. Additionally, the Funds do not consolidate their majority-owned and controlled investments (the “Portfolio Companies”). In the preparation of these condensed consolidated financial statements, the Company has retained the specialized accounting for the Funds. All of the investments held and notes issued by the Consolidated Funds are presented at their estimated fair values in the Company’s condensed consolidated balance sheets. Interest and other income of the Consolidated Funds, interest expense and other expenses of the Consolidated Funds, and net investment income (losses) of Consolidated Funds are included in the Company’s condensed consolidated statements of operations. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make assumptions and estimates that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Management’s estimates are based on historical experiences and other factors, including expectations of future events that management believes to be reasonable under the circumstances. It also requires management to exercise judgment in the process of applying the Company’s accounting policies. Assumptions and estimates regarding the valuation of investments and their resulting impact on performance allocations and incentive fees involve a higher degree of judgment and complexity and these assumptions and estimates may be significant to the condensed c onsolidated financial statements and the resulting impact on performance allocations and incentive fees. Actual results could differ from these estimates and such differences could be material. |
Revenue Recognition and Deferred Revenue | Revenue Recognition The Company recognizes revenue in accordance with ASC 606, Revenue from Contracts with Customers . Revenue is recognized when the Company transfers promised goods or services to customers in an amount that reflects the consideration to which the Company expects to be entitled to in exchange for those goods or services. ASC 606 includes a five-step framework that requires an entity to: (i) identify the contract(s) with a customer, which includes assessing the collectability of the consideration to which it will be entitled in exchange for the goods or services transferred to the customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract, and (v) recognize revenue when the entity satisfies a performance obligation. The Company accounts for performance allocations that represent a performance-based capital allocation from fund limited partners to the Company (commonly known as “carried interest”) as earnings from financial assets within the scope of ASC 323, Investments—Equity Method and Joint Ventures , and therefore are not in the scope of ASC 606. In accordance with ASC 323, the Company records equity method income (losses) as a component of investment income based on the change in its proportionate claim on net assets of the investment fund, including performance allocations, assuming the investment fund was liquidated as of each reporting date pursuant to each fund’s governing agreements. See Note 4 , Investments , for additional information on the components of investments and investment income. Performance fees that do not meet the definition of performance-based capital allocations are in the scope of ASC 606 and are included in incentive fees in the condensed consolidated statements of operations. The calculation of unrealized performance revenues utilizes investment valuations of the funds’ underlying investments, which are derived using the policies, methodologies and templates prepared by the Company’s valuation group, as described in Note 3 , Fair Value Measurement . While the determination of who is the customer in a contractual arrangement will be made on a contract-by-contract basis, the customer will generally be the investment fund for the Company’s significant management and advisory contracts. The customer determination impacts the Company’s analysis of the accounting for contract costs. Fund Management Fees The Company provides management services to funds in which it holds a general partner interest or to funds or certain portfolio companies with which it has an investment advisory or investment management agreement. The Company considers the performance obligations in its contracts with its funds to be the promise to provide (or to arrange for third parties to provide) investment management services related to the management, policies and operations of the funds. As it relates to the Company’s performance obligation to provide investment management services, the Company typically satisfies this performance obligation over time as the services are rendered, since the funds simultaneously receive and consume the benefits provided as the Company performs the service. The transaction price is the amount of consideration to which the Company expects to be entitled in exchange for transferring the promised services to the funds. Management fees earned from each investment management contract over the contract life represent variable consideration because the consideration the Company is entitled to varies based on fluctuations in the basis for the management fee, for example fund net asset value (“NAV”) or assets under management (“AUM”). Given that the management fee basis is susceptible to market factors outside of the Company’s influence, management fees are constrained and, therefore, estimates of future period management fees are generally not included in the transaction price. Revenue recognized for the investment management services provided is generally the amount determined at the end of the period because that is when the uncertainty for that period is resolved. For closed-end carry funds in the Global Private Equity segment, management fees generally range from 1.0% to 2.0% of limited partners’ capital commitments during the fund’s commitment period. For closed-end carry funds in the Global Credit segment, management fees generally range from 1.0% to 2.0% of limited partners’ invested capital. Following the expiration or termination of the investment period, management fees generally are based on the lower of cost or fair value of invested capital and the rate charged may also be reduced. These terms may vary for certain separately managed accounts, longer-dated carry funds, and other closed-end funds. The Company will receive management fees during a specified period of time, which is generally ten years from the initial closing date, or, in some instances, from the final closing date, but such termination date may be earlier in certain limited circumstances or later if extended for successive one -year periods, typically up to a maximum of two years . Depending upon the contracted terms of investment advisory or investment management and related agreements, these fees are generally called semi-annually in advance and are recognized as earned over the subsequent six month period. For certain longer-dated carry funds and certain other closed-end funds, management fees are called quarterly over the life of the fu nd s. Within the Global Credit segment, for CLOs and other structured products, management fees generally range from 0.4% to 0.5% based on the total par amount of assets or the aggregate principal amount of the notes in the CLO and are generally due quarterly in arrears based on the terms and recognized over the respective period. Management fees for the CLOs and other structured products are governed by indentures and collateral management agreements. The Company will receive management fees for the CLOs, generally five to ten years after issuance, including after the CLO redemption date up until all eligible assets are disposed of or at such time the collateral manager waives fees at its discretion. Management fees for the business development companies are due quarterly in arrears at annual rates that range from 1.0% of capital under management to 1.5% of gross assets, excluding cash and cash equivalents. Management fees for Carlyle Tactical Private Credit (“CTAC”) are due monthly in arrears at the annual rate of 1.0% of the month-end value of the CTAC’s net assets. Carlyle Aviation Partners’ funds have varying management fee arrangements depending on the strategy of the particular fund. Under the strategic advisory services agreement with Fortitude, the Company earns a recurring management fee based on Fortitude’s general account assets, which adjusts within an agreed range based on Fortitude’s overall profitability and which is du e quarterly in arrea rs. Managed accounts across the Global Credit segment have varying management fee arrangements depending on the strategy of the particular account. Management fees for the Company’s carry fund vehicles in the Global Investment Solutions segment generally range from 0.25% to 1.5% of the vehicle’s capital commitments during the commitment fee period of the relevant fund. Following the expiration of the commitment fee period, the management fees generally range from 0.25% to 1.5% on (i) the net invested capital, (ii) the lower of cost or net asset value of the capital invested, or (iii) the net asset value for unrealized investments. Management fees for the Global Investment Solutions carry fund vehicles are generally due quarterly in advance and recognized over the related quarter. The investment adviser to CAPM is entitled to receive a monthly management fee equal to 1.25% on an annualized basis of the fund’s net asset value as of the last day of the month. The Company also provides transaction advisory and portfolio advisory services to the portfolio companies, and where covered by separate contractual agreements, recognizes fees for these services when the performance obligation has been satisfied and collection is reasonably assured. The Company is generally required to offset its fund management fees earned by a percentage of the transaction and advisory fees earned, which is referred to as the “rebate offset,” which is generally 100% . The Company also recognizes underwriting fees from the Company’s loan syndication and capital markets business, Carlyle Global Capital Markets. Fund management fees exclude the reimbursement of any partnership expenses paid by the Company on behalf of the Carlyle funds pursuant to the limited partnership agreements, including amounts related to the pursuit of actual, proposed, or unconsummated investments, professional fees, expenses associated with the acquisition, holding and disposition of investments, and other fund administrative expenses. For the professional fees that the Company arranges for the investment funds, the Company concluded that the nature of its promise is to arrange for the services to be provided and it does not control the services provided by third parties before they are transferred to the customer. Therefore, the Company concluded it is acting in the capacity of an agent. Accordingly, the reimbursement for these professional fees paid on behalf of the investment funds is presented on a net basis in general, administrative and other expenses in the condensed consolidated statements of operations. The Company also incurs certain costs, primarily employee travel and entertainment costs, employee compensation and systems costs, for which it receives reimbursement from the investment funds in connection with its performance obligation to provide investment and management services. For reimbursable travel, compensation and systems costs, the Company concluded it controls the services provided by its employees and the resources used to develop applicable systems before they are transferred to the customer and therefore is a principal. Accordingly, the reimbursement for these costs incurred by the Company to manage the fund limited partnerships are presented on a gross basis in interest and other income in the condensed consolidated statements of operations and the expense in general, administrative and other expenses or cash-based compensation and benefits expenses in the condensed consolidated statements of operations. Incentive Fees In connection with management contracts from certain of its Global Credit funds, the Company is also entitled to receive performance-based incentive fees when the return on assets under management exceeds certain benchmark returns or other performance targets. In such arrangements, incentive fees are recognized when the performance benchmark has been achieved. Incentive fees are variable consideration because they are contingent upon the investment vehicle achieving stipulated investment return hurdles. Investment returns are highly susceptible to market factors outside of the Company’s influence. Accordingly, incentive fees are constrained until all uncertainty is resolved. Estimates of future period incentive fees are generally not included in the transaction price because these estimates are constrained. The transaction price for incentive fees is generally the amount determined at the end of each accounting period to which they relate because that is when the uncertainty for that period is resolved, as these fees are not subject to clawback. Investment Income (Loss), including Performance Allocations Investment income (loss) represents the unrealized and realized gains and losses resulting from the Company’s equity method investments, including any associated general partner performance allocations, and other principal investments, including CLOs. General partner performance allocations consist of the allocation of profits from certain of the funds to which the Company is entitled (commonly known as carried interest). For closed-end carry funds in the Global Private Equity and Global Credit segments, the Company is generally entitled to a 20% allocation (or approximately 2% to 12.5% for most of the Global Investment Solutions segment carry fund vehicles) of the net realized income or gain as a carried interest after returning the invested capital, the allocation of preferred returns of generally 7% to 9% and return of certain fund costs (generally subject to catch-up provisions as set forth in the fund limited partnership agreement). These terms may vary on longer-dated funds, certain credit funds, and external co-investment vehicles. Carried interest is recognized upon appreciation of the funds’ investment values above certain return hurdles set forth in each respective partnership agreement. The Company recognizes revenues attributable to performance allocations based upon the amount that would be due pursuant to the fund partnership agreement at each period end as if the funds were terminated at that date. Accordingly, the amount recognized as investment income for performance allocations reflects the Company’s share of the gains and losses of the associated funds’ underlying investments measured at their then-current fair values relative to the fair values as of the end of the prior period. Because of the inherent uncertainty, these estimated values may differ significantly from the values that would have been used had a ready market for the investments existed, and it is reasonably possible that the difference could be material. Carried interest is ultimately realized when: (i) an underlying investment is profitably disposed of, (ii) certain costs borne by the limited partner investors have been reimbursed, (iii) the fund’s cumulative returns are in excess of the preferred return, and (iv) the Company has decided to collect carry rather than return additional capital to limited partner investors. Realized carried interest may be required to be returned by the Company in future periods if the fund’s investment values decline below certain levels. When the fair value of a fund’s investments remains constant or falls below certain return hurdles, previously recognized performance allocations are reversed. In all cases, each fund is considered separately in this regard, and for a given fund, performance allocations can never be negative over the life of a fund. If upon a hypothetical liquidation of a fund’s investments at their then-current fair values, previously recognized and distributed carried interest would be required to be returned, a liability is established for the potential giveback obligation. Principal investment income (loss) is realized when the Company redeems all or a portion of its investment or when the Company receives or is due cash income, such as dividends or distributions. Unrealized principal investment income (loss) results from the Company’s proportionate share of the investee’s unrealized earnings, including changes in the fair value of the underlying investment, as well as the reversal of unrealized gain (loss) at the time an investment is realized. As it relates to the Company’s investments in NGP (see Note 4 , Investments ), principal investment income includes the related amortization of the basis difference between the Company’s carrying value of its investment and the Company’s share of underlying net assets of the investee, as well as the compensation expense associated with compensatory arrangements provided by the Company to employees of its equity method investee. Interest Income Interest income is recognized when earned. For debt securities representing non-investment grade beneficial interests in securitizations, the effective yield is determined based on the estimated cash flows of the security. Changes in the effective yield of these securities due to changes in estimated cash flows are recognized on a prospective basis as adjustments to interest income in future periods. Interest income earned by the Company is included in interest and other income in the accompanying condensed consolidated statements of operations. Deferred Revenue Deferred revenue represents management fees and other revenue received prior to the balance sheet date, which has not yet been earned. Deferred revenue also includes transaction and portfolio advisory fees received by the Company that are required to offset fund management fees pursuant to the related fund agreements. |
Credit Losses | Credit Losses The Company measures all expected credit losses for financial assets held at the reporting date in accordance with ASC 326, Financial Instruments — Credit Losses , based on historical experience, current conditions, and reasonable and supportable forecasts. The Company assesses the collection risk characteristics of the outstanding amounts in its due from affiliates balance into the following pools of receivables: • Reimbursable fund expenses receivables, • Management fee receivables, • Incentive fee receivables, • Transaction fee receivables, • Portfolio fee receivables, and • Notes receivable. The Company generally utilizes either historical credit loss information or discounted cash flows to calculate expected credit losses for each pool. The Company’s receivables are predominantly with its investment funds, which have low risk of credit loss based on the Company’s historical experience. Historical credit loss data may be adjusted for current conditions and reasonable and supportable forecasts, including the Company’s expectation of near-term realization based on the liquidity of the affiliated investment funds. |
Compensation and Benefits | Compensation and Benefits Cash-Based Compensation and Benefits – Cash-based compensation and benefits includes salaries, bonuses (discretionary awards and guaranteed amounts), performance payment arrangements and benefits paid and payable to Carlyle employees. Bonuses are accrued over the service period to which they relate. Equity-Based Compensation – Compensation expense relating to the issuance of equity-based awards is measured at fair value on the grant date. The compensation expense for awards that vest over a future service period is recognized over the relevant service period on a straight-line basis. The compensation expense for awards that do not require future service is recognized immediately. Cash settled equity-based awards are classified as liabilities and are re-measured at the end of each reporting period. The compensation expense for awards that contain performance conditions is recognized when it is probable that the performance conditions will be achieved. The compensation expense for awards that contain market conditions is based on a grant-date fair value that factors in the probability that the market conditions will be achieved and is recognized over the requisite service period on a straight-line basis. Certain equity-based awards contain dividend-equivalent rights, which are subject to the same terms and conditions, including with respect to vesting and settlement, that apply to the related award. Dividend-equivalents are accounted for as a reclassification from retained earnings to additional paid-in capital at the time dividends are declared and do not result in incremental compensation expense. Equity-based awards issued to non-employees are generally recognized as general, administrative and other expenses, except to the extent they are recognized as part of the Company’s equity method earnings because they are issued to employees of equity method investees. The Company recognizes equity-based award forfeitures in the period they occur as a reversal of previously recognized compensation expense for awards that vest based on service and/or performance conditions. The reduction in compensation expense is determined based on the specific awards forfeited during that period. Furthermore, the Company recognizes all excess tax benefits and deficiencies as income tax benefit or expense in the condensed consolidated statements of operations. For awards with a market condition (e.g., achievement of certain stock price hurdles) that are forfeited due to the market condition not being achieved, the related equity-based compensation expense is not reversed. Performance Allocations and Incentive Fee Related Compensation – A portion of the performance allocations and incentive fees and certain other interests earned is due to employees and advisors of the Company. These amounts are accounted for as profit sharing interests in compensation expense in a systematic and rational manner in conjunction with the recognition of the related performance allocations and incentive fee revenue and, until paid, are recognized as a component of the accrued compensation and benefits liability. The liability is measured assuming the hypothetical liquidation of the associated funds’ underlying investments as of the measurement date. Accordingly, upon a reversal of performance allocations or incentive fee revenue, the related compensation expense, if any, is also reversed. As any vesting requirement is accelerated upon realization, the service period is not considered substantive when recording the liability based on the hypothetical liquidation value. As of March 31, 2024 and December 31, 2023 , the Company had recorded a liability of $3.9 billion and $4.3 billion , respectively, related to the portion of accrued performance allocations and incentive fees due to employees and advisors, respectively, which was included in accrued compensation and benefits in the accompanying condensed consolidated |
Income Taxes | Income Taxes The Carlyle Group Inc. is a corporation for U.S. federal income tax purposes and thus is subject to U.S. federal, state and local corporate income taxes. Tax positions taken by the Company are subject to periodic audit by U.S. federal, state, local and foreign taxing authorities. The interim provision for income taxes is calculated using the discrete effective tax rate method as allowed by ASC 740, Accounting for Income Taxes . The discrete method is applied when the application of the estimated annual effective tax rate is impractical because it is not possible to reliably estimate the annual effective tax rate. In addition, the discrete method treats the year-to-date period as if it was the annual period and determines the income tax expense or benefit on that basis. The Company accounts for income taxes using the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future consequences of events that have been included in the financial statements or tax returns. Under this method, deferred tax assets and liabilities are determined based on the difference between the financial statement reporting and the tax basis of assets and liabilities using enacted tax rates in effect for the period in which the difference is expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in the period of the change in the provision for income taxes. Further, deferred tax assets are recognized for the expected realization of available net operating loss and tax credit carry forwards. A valuation allowance is recorded on the Company’s gross deferred tax assets when it is “more likely than not” that such asset will not be realized. When evaluating the realizability of the Company’s deferred tax assets, all evidence, both positive and negative, is evaluated. Items considered in this analysis include the ability to carry back losses, the reversal of temporary differences, tax planning strategies, and expectations of future earnings. The Company accounts for the valuation allowance assessment on its deferred tax assets and without regard to the Company’s potential future corporate alternative minimum tax (“CAMT”) status or global minimum tax status under the Pillar Two Global Anti-Base Erosion (“GloBE”) model rules of the Organization for Economic Co-operation and Development (“OECD”). Therefore, the Company accounts for CAMT and the global minimum tax in the period as incurred. Lastly, the Company accounts for the tax on global intangible low-taxed income (“GILTI”) as incurred and therefore has not recorded deferred taxes related to GILTI on its foreign subsidiaries. Under U.S. GAAP for income taxes, the amount of tax benefit to be recognized is the amount of benefit that is “more likely than not” to be sustained upon examination. The Company analyzes its tax filing positions in all of the U.S. federal, state, local and foreign tax jurisdictions where it is required to file income tax returns, as well as for all open tax years in these jurisdictions. If, based on this analysis, the Company determines that uncertainties in tax positions exist, a liability is established, which is included in accounts payable, accrued expenses and other liabilities in the condensed consolidated financial statements. The Company recognizes accrued interest and penalties related to unrecognized tax positions in the provision for income taxes. If recognized, the entire amount of unrecognized tax positions would be recorded as a reduction in the provision for income taxes. |
Non-controlling Interests | Non-controlling Interests Non-controlling interests in consolidated entities represent the component of equity in consolidated entities held by third- party investors. These interests are adjusted for general partner allocations which occur during the reporting period. Any change in ownership of a subsidiary while the controlling financial interest is retained is accounted for as an equity transaction between the controlling and non-controlling interests. Transaction costs incurred in connection with such changes in ownership of a subsidiary are recorded as a direct charge to equity. |
Earnings Per Common Share | Earnings Per Common Share The Company computes earnings per common share in accordance with ASC 260, Earnings Per Share . Basic earnings per common share is calculated by dividing net income (loss) attributable to the common shares of the Company by the weighted-average number of common shares outstanding for the period. Diluted earnings per common share reflects the assumed conversion of all dilutive securities. The Company applies the treasury stock method to determine the dilutive weighted-average common shares outstanding for certain equity-based compensation awards. For certain equity-based compensation awards that contain performance or market conditions, the number of contingently issuable common shares is included in diluted earnings per common share based on the number of common shares, if any, that would be issuable under the terms of the awards if the end of the reporting period were the end of the contingency period, if the result is dilutive. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The underlying entities that the Company manages and invests in (and in certain cases, consolidates) are primarily investment companies which account for their investments at estimated fair value. The fair value measurement accounting guidance under ASC Topic 820, Fair Value Measurement (“ASC 820”), establishes a hierarchical disclosure framework which ranks the observability of market price inputs used in measuring financial instruments at fair value. The observability of inputs is impacted by a number of factors, including the type of financial instrument, the characteristics specific to the financial instrument and the state of the marketplace, including the existence and transparency of transactions between market participants. Financial instruments with readily available quoted prices, or for which fair value can be measured from quoted prices in active markets, will generally have a higher degree of market price observability and a lesser degree of judgment applied in determining fair value. Financial instruments measured and reported at fair value are classified and disclosed based on the observability of inputs used in the determination of fair values, as follows: Level I – inputs to the valuation methodology are quoted prices available in active markets for identical instruments as of the reporting date. The type of financial instruments in this category include unrestricted securities, such as equities and derivatives, listed in active markets. The Company does not adjust the quoted price for these instruments, even in situations where the Company holds a large position and a sale could reasonably impact the quoted price. Level II – inputs to the valuation methodology are other than quoted prices in active markets, which are either directly or indirectly observable as of the reporting date. The types of financial instruments in this category include less liquid and restricted securities listed in active markets, securities traded in other than active markets, government and agency securities, and certain over-the-counter derivatives where the fair value is based on observable inputs. Level III – inputs to the valuation methodology are unobservable and significant to overall fair value measurement. The inputs into the determination of fair value require significant management judgment or estimation. The types of financial instruments in this category include investments in privately-held entities, non- investment grade residual interests in securitizations, collateralized loan obligations, and certain over-the-counter derivatives where the fair value is based on unobservable inputs. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the determination of which category within the fair value hierarchy is appropriate for any given financial instrument is based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the financial instrument. In certain cases, debt and equity securities (including corporate treasury investments) are valued on the basis of prices from an orderly transaction between market participants provided by reputable dealers or pricing services. In determining the value of a particular investment, pricing services may use certain information with respect to transactions in such investments, quotations from dealers, pricing matrices, market transactions in comparable investments and various relationships between investments. In the absence of observable market prices, the Company values its investments and its funds’ investments using valuation methodologies applied on a consistent basis. For some investments little market activity may exist. Management’s determination of fair value is then based on the best information available in the circumstances and may incorporate management’s own assumptions and involve a significant degree of judgment, taking into consideration a combination of internal and external factors, including the appropriate risk adjustments for non-performance and liquidity risks. Investments for which market prices are not observable include private investments in the equity and debt of operating companies and real assets, CLO investments and CLO loans payable and fund investments. The valuation technique for each of these investments is described below: Investments in Operating Companies and Real Assets – The fair values of private investments in operating companies and real assets are generally determined by reference to the income approach (including the discounted cash flow method and the income capitalization method) and the market approach (including the comparable publicly traded company method and the comparable transaction method). Valuations under these approaches are typically derived by reference to investment-specific inputs (such as projected cash flows, earnings before interest, taxes, depreciation and amortization (“EBITDA”), a nd net operating income) combined with market-based inputs (such as discount rates, EBITDA multiples and capitalization rates). In many cases, the investment-specific inputs are unaudited at the time received. Management may also adjust the market-based inputs to account for differences between the subject investment and the companies, asset or investments used to derive the market-based inputs. Adjustments to observable valuation measures are frequently made upon the initial investment to calibrate the initial investment valuation to industry observable inputs. Such adjustments are made to align the investment to observable industry inputs for differences in size, profitability, projected growth rates, geography, capital structure, and other factors as applicable. The adjustments are then reviewed with each subsequent valuation to assess how the investment has evolved relative to the observable inputs. Additionally, the investment may be subject to certain specific risks and/or development milestones which are also taken into account in the valuation assessment. Option pricing models and similar tools may also be considered but do not currently drive a significant portion of operating company or real asset valuations and are used primarily to value warrants, derivatives, certain restrictions and other atypical investment instruments. Credit-Oriented Investments – The fair values of credit-oriented investments ( including corporate treasury investments ) are generally determined on the basis of prices between market participants provided by reputable dealers or pricing services. In determining the value of a particular investment, pricing services may use certain information with respect to transactions in such investments, quotations from dealers, pricing matrices, market transactions in comparable investments and various relationships between investments. Specifically, for investments in distressed debt and corporate loans and bonds, the fair values are generally determined by valuations of comparable investments. In some instances, the Company may utilize other valuation techniques, including the discounted cash flow method. CLO Investments and CLO Loans Payable – The Company measures the financial liabilities of its consolidated CLOs based on the fair value of the financial assets of its consolidated CLOs, as the Company believes the fair value of the financial assets are more observable. The fair values of the CLO loan and bond assets are primarily based on quotations from reputable dealers or relevant pricing services. In situations where valuation quotations are unavailable, the assets are valued based on similar securities, market index changes, and other factors. The Company performs certain procedures to ensure the reliability of the quotations from pricing services for its CLO assets and CLO structured asset positions, which generally includes corroborating prices with a discounted cash flow analysis. Generally, the loan and bond assets of the CLOs are not publicly traded and are classified as Level III. The fair values of the CLO structured asset positions are determined based on both discounted cash flow analyses and third party quotes. Those analyses consider the position size, liquidity, current financial condition of the CLOs, the third party financing environment, reinvestment rates, recovery lags, discount rates and default forecasts and are compared to broker quotations from market makers and third party dealers. The Company measures the CLO loan payables held by third party beneficial interest holders on the basis of the fair value of the financial assets of the CLO and the beneficial interests held by the Company. The Company continues to measure the CLO loans payable that it holds at fair value based on relevant pricing services or discounted cash flow analyses, as described above. Fund Investments – The Company’s primary and secondary investments in external funds are generally valued as its proportionate share of the most recent net asset value provided by the third-party general partners of the underlying fund partnerships, adjusted for subsequent cash flows received from or distributed to the underlying fund partnerships. The Company also adjusts for any changes in the market prices of public securities held by the underlying fund partnerships and may also apply a market adjustment to reflect the estimated change in the fair value of the underlying fund partnerships’ non-public investments from the date of the most recent net asset value provided by the third-party general partners. Investment professionals with responsibility for the underlying investments are responsible for preparing the investment valuations pursuant to the policies, methodologies and templates prepared by the Company’s valuation group, which is a team made up of dedicated valuation professionals reporting to the Company’s chief accounting officer. The valuation group is responsible for maintaining the Company’s valuation policy and related guidance, templates and systems that are designed to be consistent with the guidance found in ASC 820. These valuations, inputs and preliminary conclusions are reviewed by the fund management teams. The valuations are then reviewed and approved by the respective fund valuation subcommittees, which include the respective fund head(s), segment head, chief financial officer and chief accounting officer, as well as members of the valuation group. The valuation group compiles the aggregate results and significant matters and presents them for review and approval by the global valuation committee, which includes the Company’s Chief Executive Officer, chief risk officer, chief financial officer, chief accounting officer, and the business segment heads, and observed by the chief compliance officer, the director of Internal Audit, the Company’s Audit Committee and others. Additionally, each quarter a sample of valuations are reviewed by external valuation firms. Valuations of the funds’ investments are used in the calculation of accrued performance allocations, or “carried interest.” |
Investments, at Fair Value and Corporate Treasury Investments | Investments, at Fair Value Investments include (i) the Company’s ownership interests (typically general partner interests) in the Funds, including the Company’s investment in Fortitude (which are accounted for as equity method investments), (ii) the Company’s investment in NGP (which is accounted for as an equity method investment), (iii) the investments held by the Consolidated Funds (which are presented at fair value in the Company’s condensed consolidated financial statements), and (iv) certain credit-oriented investments, including investments in the CLOs and the preferred securities of Carlyle Secured Lending, Inc. (“CSL,” formerly known as “TCG BDC, Inc.,” the preferred securities of which are referred to as the “BDC Preferred Shares”) (which are accounted for as trading securities). Upon the sale of a security or other investment, the realized net gain or loss is computed on a weighted average cost basis, with the exception of the investments held by the CLOs, which compute the realized net gain or loss on a first in, first out basis. Securities transactions are recorded on a trade date basis. Corporate Treasury Investments Corporate treasury investments represent investments in U.S. Treasury and government agency obligations, commercial paper, certificates of deposit, other investment grade securities and other investments with original maturities of greater than three months when purchased. These investments are accounted for as trading securities in which changes in the fair value of each investment are recorded through investment income (loss). Any interest earned on debt investments is recorded through interest and other income. |
Equity Method Investments | Equity Method Investments The Company accounts for all investments in which it has or is otherwise presumed to have significant influence, including investments in the unconsolidated Funds and the Company’s investment in NGP, using the equity method of accounting. The carrying value of equity method investments is determined based on amounts invested by the Company, adjusted for the equity in earnings or losses of the investee (including performance allocations) allocated based on the respective partnership agreement, less distributions received. The Company evaluates its equity method investments for impairment whenever events or changes in circumstances indicate that the carrying amounts of such investments may not be recoverable. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include cash held at banks and cash held for distributions, including investments with original maturities of less than three months when purchased. The Company is subject to credit risk should a financial institution be unable to fulfil its obligations and if balances held at a financial institution exceed insured limits. |
Cash and Cash Equivalents Held at Consolidated Funds | Cash and Cash Equivalents Held at Consolidated Funds Cash and cash equivalents held at Consolidated Funds consists of cash and cash equivalents held by the Consolidated Funds, which, although not legally restricted, is not available to fund the general liquidity needs of the Company. |
Restricted Cash | Restricted Cash Restricted cash primarily represents cash held by the Company’s foreign subsidiaries due to certain government regulatory capital requirements as well as certain amounts held on behalf of Carlyle funds. |
Derivative Instruments | Derivative Instruments The Company uses derivative instruments primarily to reduce its exposure to changes in foreign currency exchange rates. Derivative instruments are recognized at fair value in the condensed consolidated balance sheets with changes in fair value |
Securities Sold Under Agreements to Repurchase | Securities Sold Under Agreements to Repurchase As it relates to certain European CLOs sponsored by the Company, securities sold under agreements to repurchase (“repurchase agreements”) are accounted for as collateralized financing transactions. The Company provides securities to counterparties to collateralize amounts borrowed under repurchase agreements on terms that permit the counterparties to repledge or resell the securities to others. As of March 31, 2024 , $294.5 million of securities were transferred to counterparties under repurchase agreements and are included within investments in the condensed consolidated balance sheets. Cash received |
Fixed Assets | Fixed Assets Fixed assets consist of furniture, fixtures and equipment, leasehold improvements, computer hardware and software, and fractional shares in corporate aircraft, and are stated at cost, less accumulated depreciation and amortization. Depreciation is recognized on a straight-line method over the assets’ estimated useful lives, which for leasehold improvements are the lesser of the lease terms or the life of the asset, and three to seven years for other fixed assets. Fixed assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. |
Leases | Leases The Company accounts for its leases in accordance with ASC 842, Leases , and recognizes a lease liability and right-of- use (“ROU”) asset in the condensed consolidated balance sheet for contracts that it determines are leases or contain a lease. The Company’s leases primarily consist of operating leases for office space in various countries around the world. The Company also has operating leases for office equipment and vehicles, which are not significant. The Company does not separate non- lease components from lease components for its office space and equipment operating leases and instead accounts for each separate lease component and its associated non-lease component as a single lease component. ROU assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the Company’s obligation to make lease payments arising from the leases. The Company’s ROU assets and lease liabilities are recognized at lease commencement based on the present value of lease payments over the lease term. Lease ROU assets include initial direct costs incurred by the Company and are presented net of deferred rent and lease incentives. Absent an implicit interest rate in the lease, the Company uses its incremental borrowing rate, adjusted for the effects of collateralization, based on the information available at commencement in determining the present value of lease payments. The Company’s lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise those options. Lease expense for lease payments is recognized on a straight-line basis over the lease term. Lease ROU assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. The Company does not recognize a lease liability or ROU asset on the balance sheet for short-term leases. Instead, the Company recognizes short-term lease payments as an expense on a straight-line basis over the lease term. A short-term lease is defined as a lease that, at the commencement date, has a lease term of 12 months or less and does not include an option to purchase the underlying asset that the lessee is reasonably certain to exercise. When determining whether a lease qualifies as a short-term lease, the Company evaluates the lease term and the purchase option in the same manner as all other leases. ROU assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. |
Intangible Assets and Goodwill | Intangible Assets and Goodwill The Company’s intangible assets consist of acquired contractual rights to earn future fee income, including management and advisory fees, customer relationships, and acquired trademarks. Finite-lived intangible assets are amortized over their estimated useful lives, which range from four to eight years , and are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. Goodwill represents the excess of cost over the identifiable net assets of businesses acquired and is recorded in the functional currency of the acquired entity. Goodwill is recognized as an asset and is reviewed for impairment annually as of October 1 and between annual tests when events and circumstances indicate that impairment may have occurred. |
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) The Company’s accumulated other comprehensive income (loss) is comprised of foreign currency translation adjustments and gains and losses on defined benefit plans sponsored by AlpInvest. |
Foreign Currency Translation | Foreign Currency Translation Non-U.S. dollar denominated assets and liabilities are translated at period-end rates of exchange, and the condensed consolidated statements of operations are translated at rates of exchange in effect throughout the period. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements The Company considers the applicability and impact of all accounting standard updates (“ASU”) issued by the Financial Accounting Standards Board (“FASB”). ASUs not listed below were assessed and either determined to be not applicable or expected to have minimal impact on the Company’s condensed consolidated financial statements. In June 2022, the FASB issued ASU 2022-03, Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions . The amendments in this update clarify the guidance in Topic 820 when measuring the fair value of an equity security subject to contractual sale restrictions and introduce new disclosure requirements related to such equity securities. The amendments are effective for fiscal years beginning after December 15, 2023, with early adoption permitted. The adoption of this guidance did not have a material impact on the Company’s condensed consolidated financial statements. In November 2023, the FASB issued ASU 2023-07, Segment Reporting – Improvements to Reportable Segment Disclosures , which requires, among other things, disclosure of significant segment expense categories and amounts for each reportable segment on an interim and annual basis. The guidance is effective for fiscal years beginning after December 15, 2023, and interim periods in fiscal years beginning after December 15, 2024, with early adoption permitted. The Company does not expect the impact of this guidance to be material to its condensed consolidated financial statements. In December 2023, the FASB issued ASU 2023-09, Improvements to Income Tax Disclosure , which requires disclosure of disaggregated information about a reporting entity’s effective tax rate reconciliation, using both percentages and reporting currency amounts for specific standardized categories, as well as disclosure of income taxes paid disaggregated by jurisdiction. The guidance is effective for annual periods beginning after December 15, 2024, with early adoption permitted. The Company |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Schedule of Assets Recognized in Consolidated Balance Sheets Related to Non-Consolidated VIEs | The assets recognized in the Company’s condensed consolidated balance sheets related to the Company’s variable interests in these non-consolidated VIEs were as follows: As of March 31, 2024 December 31, 2023 (Dollars in millions) Investments $ 1,111.3 $ 1,118.4 Accrued performance allocations 544.6 492.3 Management fee receivables 77.4 65.1 Total $ 1,733.3 $ 1,675.8 |
Schedule of Components of Accumulated Other Comprehensive Income (loss) | The components of accumulated other comprehensive income (loss) as of March 31, 2024 and December 31, 2023 were as follows: As of March 31, 2024 December 31, 2023 (Dollars in millions) Currency translation adjustments $ (310.8) $ (292.8) Unrealized losses on defined benefit plans (4.2) (4.5) Total $ (315.0) $ (297.3) |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets and Liabilities Measured at Fair Value on Recurring Basis | The following table summarizes the Company’s assets and liabilities measured at fair value on a recurring basis by the fair value hierarchy levels as disclosed in Note 2 , Summary of Significant Accounting Policies , as of March 31, 2024 : (Dollars in millions) Level I Level II Level III Total Assets Investments of Consolidated Funds (1) : Equity securities (2) $ — $ — $ 387.3 $ 387.3 Bonds — — 500.4 500.4 Loans — — 6,064.9 6,064.9 — — 6,952.6 6,952.6 Investments in CLOs and other: Investments in CLOs — — 520.8 520.8 Other investments (3) 38.3 43.1 93.2 174.6 38.3 43.1 614.0 695.4 Foreign currency forward contracts — 2.4 — 2.4 Subtotal $ 38.3 $ 45.5 $ 7,566.6 $ 7,650.4 Investments measured at net asset value 517.1 Total $ 8,167.5 Liabilities Loans payable of Consolidated Funds (4)(5) $ — $ — $ 6,352.3 $ 6,352.3 Foreign currency forward contracts — 0.7 — 0.7 Total $ — $ 0.7 $ 6,352.3 $ 6,353.0 (1) This balance excludes $506.0 million related to investments of Consolidated Funds that are included in investments measured at net asset value. (2) This balance includes $332.1 million related to investments that have been bridged by the Company to investment funds and are accounted for as consolidated VIEs as of March 31, 2024 . (3) The Level III balance excludes $50.3 million related to three corporate investments in equity securities which the Company has elected to account for under the measurement alternative for equity securities without readily determinable fair values pursuant to ASC 321, Investments – Equity Securities . As a non-recurring fair value measurement, the fair value of these equity securities is excluded from the tabular Level III rollforward disclosures. (4) Senior and subordinated notes issued by CLO vehicles are valued based on the more observable fair value of the CLO financial assets, less (i) the fair value of any beneficial interest held by the Company and (ii) the carrying value of any beneficial interests that represent compensation for services. (5) Loans payable of Consolidated Funds balance excludes a $182.8 million revolving credit balance. The following table summarizes the Company’s assets and liabilities measured at fair value on a recurring basis by the above fair value hierarchy levels as of December 31, 2023 : (Dollars in millions) Level I Level II Level III Total Assets Investments of Consolidated Funds (1) : Equity securities (2) $ — $ — $ 377.6 $ 377.6 Bonds — — 522.5 522.5 Loans — — 5,862.1 5,862.1 — — 6,762.2 6,762.2 Investments in CLOs and other: Investments in CLOs — — 532.6 532.6 Other investments (3) 38.7 42.8 84.6 166.1 38.7 42.8 617.2 698.7 Subtotal $ 38.7 $ 42.8 $ 7,379.4 $ 7,460.9 Investments measured at net asset value 502.0 Total $ 7,962.9 Liabilities Loans payable of Consolidated Funds (4)(5) $ — $ — $ 6,298.6 $ 6,298.6 Total $ — $ — $ 6,298.6 $ 6,298.6 (1) This balance excludes $490.9 million related to investments of consolidated funds that are included in investments measured at net asset value. (2) This balance includes $322.0 million related to investments that have been bridged by the Company to investment funds and are accounted for as consolidated VIEs as of December 31, 2023 . (3) The Level III balance excludes a $50.4 million related to two corporate investments in equity securities which the Company has elected to account for under the measurement alternative for equity securities without readily determinable fair values pursuant to ASC 321, Investments – Equity Securities . As a non-recurring fair value measurement, the fair value of these equity securities is excluded from the tabular Level III rollforward disclosures. (4) Senior and subordinated notes issued by CLO vehicles are valued based on the more observable fair value of the CLO financial assets, less (i) the fair value of any beneficial interests held by the Company and (ii) the carrying value of any beneficial interests that represent compensation for services. (5) Loan s payable of Consolidated Funds balance excludes a $177.9 million revolving credit balance and $10.0 million of senior notes and subordinated notes. |
Schedule of Changes in Level III Financial Assets Measured at Fair Value | The changes in financial instruments measured at fair value for which the Company has used Level III inputs to determine fair value are as follows (Dollars in millions): Financial Assets Three Months Ended March 31, 2024 Investments of Consolidated Funds Equity securities Bonds Loans Investments in CLOs Other investments Total Balance, beginning of period $ 377.6 $ 522.5 $ 5,862.1 $ 532.6 $ 84.6 $ 7,379.4 Purchases 24.8 46.4 1,397.4 1.0 — 1,469.6 Sales and distributions (6.1) (72.8) (729.5) (24.0) (0.9) (833.3) Settlements — — (464.7) — — (464.7) Realized and unrealized gains (losses), net Included in earnings (9.0) 15.6 72.8 15.2 9.5 104.1 Included in other comprehensive income — (11.3) (73.2) (4.0) — (88.5) Balance, end of period $ 387.3 $ 500.4 $ 6,064.9 $ 520.8 $ 93.2 $ 7,566.6 Changes in unrealized gains (losses) included in earnings related to financial assets still held at the reporting date $ (9.0) $ 16.4 $ 60.8 $ 15.2 $ 8.6 $ 92.0 Changes in unrealized gains (losses) included in other comprehensive income related to financial assets still held at the reporting date $ — $ (10.2) $ (68.9) $ (4.0) $ — $ (83.1) Financial Assets Three Months Ended March 31, 2023 Investments of Consolidated Funds Equity securities Bonds Loans Investments in CLOs Other investments Total Balance, beginning of period $ 430.6 $ 594.9 $ 5,352.9 $ 526.1 $ 79.4 $ 6,983.9 Purchases 5.4 29.8 237.3 — — 272.5 Sales and distributions — (47.0) (169.7) (7.9) (0.9) (225.5) Settlements — (4.1) (101.6) — — (105.7) Realized and unrealized gains (losses), net Included in earnings (0.5) 11.4 116.0 19.1 (2.4) 143.6 Included in other comprehensive income — 8.2 46.8 7.5 — 62.5 Balance, end of period $ 435.5 $ 593.2 $ 5,481.7 $ 544.8 $ 76.1 $ 7,131.3 Changes in unrealized gains (losses) included in earnings related to financial assets still held at the reporting date $ (0.4) $ 8.5 $ 107.3 $ 19.1 $ (3.3) $ 131.2 Changes in unrealized gains (losses) included in other comprehensive income related to financial assets still held at the reporting date $ — $ 8.7 $ 48.6 $ 7.5 $ — $ 64.8 |
Schedule of Changes in Level III Financial Liabilities Measured at Fair Value | Financial Liabilities Loans Payable of Consolidated Funds Three Months Ended March 31, 2024 2023 Balance, beginning of period $ 6,298.6 $ 5,491.6 Borrowings 546.7 0.6 Paydowns (207.7) (2.1) Sales (288.7) (38.1) Realized and unrealized (gains) losses, net Included in earnings 89.4 141.4 Included in other comprehensive income (86.0) 54.5 Balance, end of period $ 6,352.3 $ 5,647.9 Changes in unrealized (gains) losses included in earnings related to financial liabilities still held at the reporting date $ 91.1 $ 142.4 Changes in unrealized (gains) losses included in other comprehensive income related to financial liabilities still held at the reporting date $ (87.9) $ 54.5 |
Schedule of Quantitative Information About Level III Inputs | The following table summarizes quantitative information about the Company’s Level III inputs as of March 31, 2024 : Fair Value at Valuation Technique(s) Unobservable Input(s) Range (Weighted Average) (Dollars in millions) March 31, 2024 Assets Investments of Consolidated Funds: Equity securities $ 3.0 Consensus Pricing Indicative Quotes ($ per share) 0.00 - 203.50 ( 0.08 ) 317.1 Discounted Cash Flow Discount Rates 10% - 10% ( 10% ) Terminal Growth Rate 0% - 7% ( 5% ) Comparable Multiple EBITDA Multiple 12.7x - 12.7x ( 12.7x ) TCF Multiple 25.0x - 25.0x ( 25.0x ) 44.4 Discounted Cash Flow Discount Rates 10% - 10% ( 10% ) Terminal Growth Rate 0% - 7% ( 5% ) Comparable Multiple TCF Multiple 25.0x - 25.0x ( 25.0x ) 15.0 Discounted Cash Flow Discount Rates 11% - 11% ( 11% ) Terminal Growth Rate 5% - 5% ( 5% ) Comparable Multiple EBITDA Multiple 7.3x - 7.3x ( 7.3x ) 7.8 Other (1) N/A N/A Bonds 500.4 Consensus Pricing Indicative Quotes (% of Par) 30 - 108 ( 93 ) Loans 6,040.8 Consensus Pricing Indicative Quotes (% of Par) 0 - 102 ( 97 ) 10.7 Discounted Cash Flow Discount Rates 11% - 21% ( 20% ) 8.9 Discounted Cash Flow Discount Rates 17% - 17% ( 17% ) Constant Prepayment Rate 8% - 8% ( 8% ) Constant Default Rate 1% - 1% ( 1% ) 4.5 Other (1) N/A N/A 6,952.6 Investments in CLOs: Senior secured notes 458.7 Consensus Pricing with Discounted Cash Flow Indicative Quotes (% of Par) 75 - 100 ( 98 ) Discount Margins (Basis Points) 110 - 1,613 ( 267 ) Default Rates 2% - 2% ( 2% ) Recovery Rates 60% - 60% ( 60% ) Subordinated notes and preferred shares 61.0 Consensus Pricing with Discounted Cash Flow Indicative Quotes (% of Par) 6 - 93 ( 42 ) Discount Rates 11% - 35% ( 21% ) Default Rates 2% - 2% ( 2% ) Recovery Rates 60% - 60% ( 60% ) 0.1 Liquidation Analysis % of Net Book Value 0% - 10% ( 3% ) 1.0 Other (1) N/A N/A Other investments: BDC preferred shares 90.1 Market Yield Analysis Market Yields 11% - 11% ( 11% ) Aviation subordinated notes 3.1 Discounted Cash Flow Discount Rates 21% - 21% ( 21% ) Total $ 7,566.6 Liabilities Loans payable of Consolidated Funds: Senior secured notes $ 6,153.0 Other (2) N/A N/A Subordinated notes and preferred shares 188.0 Consensus Pricing with Discounted Cash Flow Indicative Quotes (% of Par) 19 - 94 ( 56 ) Discount Rates 14% - 30% ( 19% ) Default Rates 2% - 2% ( 2% ) Recovery Rates 60% - 60% ( 60% ) 11.3 Other (1) N/A N/A Total $ 6,352.3 (1) Fair value approximates transaction price that was in close proximity to the rep orting date. (2) Senior and subordinated notes issued by CLO vehicles are classified based on the more observable fair value of the CLO financial assets, less (i) the fair value of any beneficial interests held by the Company and (ii) the carrying value of any beneficial interests that represent compensation for services. The following table summarizes quantitative information about the Company’s Level III inputs as of December 31, 2023 : Fair Value at Valuation Technique(s) Unobservable Input(s) Range (Weighted Average) (Dollars in millions) December 31, 2023 Assets Investments of Consolidated Funds: Equity securities $ 3.3 Consensus Pricing Indicative Quotes ($ per share) 0.00 - 208.38 ( 0.11 ) 322.1 Discounted Cash Flow Discount Rates 10% - 11% ( 10% ) Terminal Growth Rate 0% - 7% ( 5% ) Comparable Multiple EBITDA Multiple 12.7x - 12.7x ( 12.7x ) TCF Multiple 24.3x - 24.3x ( 24.3x ) 44.4 Discounted Cash Flow Discount Rates 10% - 10% ( 10% ) Terminal Growth Rate 7% - 7% - ( 7% ) Comparable Multiple TCF Multiple 24.3x - 24.3x ( 24.3x ) 7.8 Other (1) N/A N/A Bonds 522.5 Consensus Pricing Indicative Quotes (% of Par) 30 - 105 ( 90 ) Loans 5,829.3 Consensus Pricing Indicative Quotes (% of Par) 0 - 102 ( 95 ) 11.0 Discounted Cash Flow Discount Rates 7% - 16% ( 15% ) 9.4 Discounted Cash Flow Discount Rates 17% - 17% ( 17% ) Constant Prepayment Rate 8% - 8% ( 8% ) Constant Default Rate 1% - 1% ( 1% ) Recovery Rate 0% - 0% ( 0% ) Other 12.4 Other (1) N/A N/A 6,762.2 Investments in CLOs Senior secured notes 472.2 Discounted Cash Flow with Consensus Pricing Indicative Quotes (% of Par) 72 - 101 ( 96 ) Discount Margins (Basis Points) 139 - 1,600 ( 319 ) Default Rates 2% - 2% ( 2% ) Recovery Rates 60% - 60% ( 60% ) Subordinated notes and preferred shares 59.4 Discounted Cash Flow with Consensus Pricing Indicative Quotes (% of Par) 6 - 90 ( 40 ) Discount Rate 11% - 40% ( 21% ) Default Rates 1% - 2% ( 2% ) Recovery Rates 60% - 60% ( 60% ) 1.0 Other (1) N/A N/A Other investments: BDC preferred shares 81.7 Market Yield Analysis Market Yields 11% - 11% ( 11% ) Aviation subordinated notes 2.9 Discounted Cash Flow Discount Rates 21% - 21% ( 21% ) Total $ 7,379.4 Liabilities Loans payable of Consolidated Funds: Senior secured notes $ 6,090.1 Other (2) N/A N/A Subordinated notes and preferred shares 190.0 Discounted Cash Flow with Consensus Pricing Indicative Quotes (% of Par) 16 - 103 ( 41 ) Discount Rates 14% - 30% ( 21% ) Default Rates 2% - 2% ( 2% ) Recovery Rates 60% - 60% ( 60% ) 18.5 Other (1) N/A N/A Total $ 6,298.6 (1) Fair value approximates transaction price that was in close proximity to the reporting date. (2) Senior and subordinated notes issued by CLO vehicles are classified based on the more observable fair value of the CLO financial assets, less (i) the fair value of any beneficial interests held by the Company and (ii) the carrying value of any beneficial interests that represent compensation for services. |
Investments (Tables)
Investments (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Investments [Abstract] | |
Schedule of Investments | In vestments consist of the following: As of March 31, 2024 December 31, 2023 (Dollars in millions) Accrued performance allocations $ 5,567.6 $ 6,169.9 Principal equity method investments, excluding performance allocations 3,145.4 3,024.1 Principal investments in CLOs 520.8 532.6 Other investments 239.4 228.7 Total $ 9,473.2 $ 9,955.3 |
Schedule of Components of Accrued Performance Fees | The components of accrued performance allocations are as follows: As of March 31, 2024 December 31, 2023 (Dollars in millions) Global Private Equity $ 3,547.7 $ 4,310.7 Global Credit 381.6 323.4 Global Investment Solutions 1,638.3 1,535.8 Total $ 5,567.6 $ 6,169.9 |
Schedule of Components of Accrued Giveback Obligations | The components of the accrued giveback obligations are as follows: As of March 31, 2024 December 31, 2023 (Dollars in millions) Global Private Equity $ (18.4) $ (18.4) Global Credit (25.6) (25.6) Total $ (44.0) $ (44.0) |
Schedule of Equity Method Investments | Principal investments are related to the following segments: As of March 31, 2024 December 31, 2023 (Dollars in millions) Global Private Equity (1) $ 1,781.1 $ 1,798.3 Global Credit (2) 1,114.8 987.4 Global Investment Solutions 249.5 238.4 Total $ 3,145.4 $ 3,024.1 (1) The balance includes $918.0 million and $916.2 million as of March 31, 2024 and December 31, 2023 , respectively, related to the Company’s equity method investments in NGP. (2) As of March 31, 2024 and December 31, 2023 , the balance includes $709.3 million and $595.4 million , respectively, related to the Company’s investment in Fortitude. The Company’s investments in NGP as of March 31, 2024 and December 31, 2023 are as follows: As of March 31, 2024 December 31, 2023 (Dollars in millions) Investment in NGP Management $ 369.3 $ 370.5 Investments in NGP general partners - accrued performance allocations 488.4 484.4 Principal investments in NGP funds 60.3 61.3 Total investments in NGP $ 918.0 $ 916.2 Carlyle’s income (loss) from its principal equity method investments consists of: Three Months Ended March 31, 2024 2023 (Dollars in millions) Global Private Equity $ 28.8 $ 17.8 Global Credit 11.4 (18.9) Global Investment Solutions 6.9 9.4 Total $ 47.1 $ 8.3 |
Schedule of Net Investment Income (Loss) | The net investment income (loss) recognized in the Company’s condensed consolidated statements of operations for the three months ended March 31, 2024 and 2023 were as follows: Three Months Ended March 31, 2024 2023 (Dollars in millions) Management fee related revenues from NGP Management $ 17.3 $ 18.1 Expenses related to the investment in NGP Management (3.2) (3.4) Net investment income from NGP Management $ 14.1 $ 14.7 |
Schedule of Components of Investment Income (Loss) | The components of investment income (loss) are as follows: Three Months Ended March 31, 2024 2023 (Dollars in millions) Performance allocations Realized $ 389.7 $ 179.6 Unrealized (546.7) (18.8) (157.0) 160.8 Principal investment income (loss) from equity method investments (excluding performance allocations) Realized 53.7 38.5 Unrealized (6.6) (30.2) 47.1 8.3 Principal investment income (loss) from investments in CLOs and other investments Realized 2.2 (1.1) Unrealized (1) 23.8 4.5 26.0 3.4 Total $ (83.9) $ 172.5 (1) The three months ended March 31, 2023 included investment loss of $13.3 million associated with the remeasurement of a corporate investment, resulting from observable price changes pursuant to ASC 321, Investments - Equity Securities . |
Schedule of Performance Allocations Included in Revenues | The performance allocations included in revenues are derived from the following segments: Three Months Ended March 31, 2024 2023 (Dollars in millions) Global Private Equity $ (363.5) $ (3.8) Global Credit 65.1 33.4 Global Investment Solutions 141.4 131.2 Total $ (157.0) $ 160.8 The following table summarizes the funds that are the primary drivers of performance allocations for the periods presented and the total revenue recognized, including performance allocations as well as fund management fees and principal investment income: Three Months Ended March 31, 2024 (Dollars in millions) Global Private Equity Carlyle Europe Partners V, L.P. $ (171.5) Global Private Equity Carlyle Partners VI, L.P. (86.7) Global Private Equity Carlyle Partners VII, L.P. (73.1) Three Months Ended March 31, 2023 (Dollars in millions) Global Private Equity Carlyle Partners VI, L.P. $ (74.4) |
Schedule of Components of Interest and Other Income of Consolidated Funds | The components of interest and other income of Consolidated Funds are as follows: Three Months Ended March 31, 2024 2023 (Dollars in millions) Interest income from investments $ 142.6 $ 109.8 Other income 22.3 12.1 Total $ 164.9 $ 121.9 |
Schedule of Components of Net Investment Income (losses) of Consolidated Funds | The components of Net investment income (loss) of Consolidated Funds are as follows: Three Months Ended March 31, 2024 2023 (Dollars in millions) Gains from investments of Consolidated Funds $ 82.7 $ 145.0 Losses from liabilities of CLOs (89.7) (141.4) Total $ (7.0) $ 3.6 |
Schedule of Realized and Unrealized Gains (Losses) Earned from Investments of Consolidated Funds | The following table presents realized and unrealized gains (losses) earned from investments of the Consolidated Funds: Three Months Ended March 31, 2024 2023 (Dollars in millions) Realized losses $ (21.2) $ (17.4) Net change in unrealized gains 103.9 162.4 Total $ 82.7 $ 145.0 |
Intangible Assets and Goodwill
Intangible Assets and Goodwill (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Carrying Amount of Intangible Assets | The following table summarizes the carrying amount of intangible assets as of March 31, 2024 and December 31, 2023 : As of March 31, 2024 December 31, 2023 (Dollars in millions) Acquired contractual rights $ 923.3 $ 924.1 Accumulated amortization (294.4) (262.0) Finite-lived intangible assets, net 628.9 662.1 Goodwill 103.9 104.0 Intangible Assets, net $ 732.8 $ 766.1 |
Schedule of Estimated Amortization Expense | The following table summarizes the expected amortization expense for 2024 through 2028 and thereafter (Dollars in millions): Year ending December 31, 2024 (excluding the three months ended March 31, 2024) $ 98.3 2025 131.0 2026 130.9 2027 120.8 2028 113.7 Thereafter 34.2 $ 628.9 |
Borrowings (Tables)
Borrowings (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Debt Instrument [Line Items] | |
Schedule of Debt Obligations | The Company’s debt obligations consist of the following: March 31, 2024 December 31, 2023 Borrowing Outstanding Carrying Value Borrowing Outstanding Carrying Value (Dollars in millions) CLO Borrowings (See below) $ 408.1 $ 404.2 $ 431.7 $ 426.4 3.500% Senior Notes Due 9/19/2029 425.0 422.6 425.0 422.5 5.625% Senior Notes Due 3/30/2043 600.0 600.5 600.0 600.6 5.650% Senior Notes Due 9/15/2048 350.0 346.5 350.0 346.4 4.625% Subordinated Notes Due 5/15/2061 500.0 485.2 500.0 485.1 Total debt obligations $ 2,283.1 $ 2,259.0 $ 2,306.7 $ 2,281.0 |
Schedule of Loans Payable of Consolidated Funds | As of March 31, 2024 and December 31, 2023 , the following borrowings were outstanding (Dollars in millions): As of March 31, 2024 Borrowing Outstanding Fair Value Weighted Average Interest Rate Weighted Average Remaining Maturity in Years Senior secured notes $ 6,133.0 $ 6,153.0 6.36 % 8.84 Subordinated notes 220.5 199.3 N/A (4) 8.94 Revolving credit facilities (3) 182.8 182.8 6.57 % 4.74 Total $ 6,536.3 $ 6,535.1 As of December 31, 2023 Borrowing Outstanding Fair Value Weighted Average Interest Rate Weighted Average Remaining Maturity in Years Senior secured notes (1) $ 6,171.9 $ 6,097.9 6.32 % 8.99 Subordinated notes (2) 173.5 210.7 N/A (4) 9.16 Revolving credit facilities (3) 177.9 177.9 6.46 % 5.05 Total $ 6,523.3 $ 6,486.5 (1) Borrowing Outstanding and Fair Value as of December 31, 2023 includes $7.8 million of senior secured notes that are carried at par value. (2) Borrowing Outstanding and Fair Value as of December 31, 2023 includes $2.2 million of subordinated notes that are carried at par value. (3) Fair Value as of March 31, 2024 and December 31, 2023 reflects the amortized cost of outstanding revolving credit balances which approximates fair value. (4) The subordinated notes do not have contractual interest rates, but instead receive distributions from the excess cash flows of the CLOs. |
CLO Borrowings | |
Debt Instrument [Line Items] | |
Schedule of Debt Obligations | The Company’s outstanding CLO borrowings consist of the following (Dollars in millions): Formation Date Borrowing Outstanding March 31, 2024 Borrowing Outstanding December 31, 2023 Maturity Date (1) Interest Rate as of March 31, 2024 February 28, 2017 $ 34.2 $ 39.9 September 21, 2029 6.30% (2) June 29, 2017 40.7 45.6 July 20, 2030 6.77% (4) December 6, 2017 38.5 41.1 January 15, 2031 6.97% (5) March 15, 2019 1.8 1.8 March 15, 2032 12.05% (3) August 20, 2019 3.9 4.0 August 15, 2032 8.64% (3) September 15, 2020 19.2 19.7 April 15, 2033 5.53% (3) January 8, 2021 20.1 20.6 January 15, 2034 6.44% (3) March 9, 2021 14.8 16.8 August 15, 2030 5.34% (3) March 30, 2021 18.0 18.6 March 15, 2032 5.65% (3) April 21, 2021 3.5 3.6 April 15, 2033 9.79% (3) May 21, 2021 15.1 15.5 November 17, 2031 5.27% (3) June 4, 2021 20.2 20.7 January 16, 2034 6.22% (3) June 10, 2021 1.3 1.3 November 17, 2031 6.75% (3) July 15, 2021 15.1 15.5 July 15, 2034 6.23% (3) July 20, 2021 20.1 20.6 July 20, 2031 6.25% (3) August 4, 2021 16.3 16.7 August 15, 2032 5.65% (3) October 27, 2021 23.4 24.0 October 15, 2035 6.35% (3) November 5, 2021 14.0 14.3 January 14, 2034 6.03% (3) January 6, 2022 20.2 20.7 February 15, 2035 6.28% (3) February 22, 2022 20.3 20.8 November 10, 2035 6.35% (3) July 13, 2022 17.0 17.5 January 13, 2035 7.26% (3) October 25, 2022 17.7 18.1 October 25, 2035 7.69% (3) September 5, 2023 12.7 14.3 August 28, 2031 5.47% (3) $ 408.1 $ 431.7 (1) Maturity date is earlier of date indicated or the date that the CLO is dissolved. (2) Incurs interest at EURIBOR plus applicable margins as defined in the agreement. (3) Incurs interest at the average effective interest rate of each class of purchased securities plus 0.50% spread percentage. (4) Incurs interest at SOFR plus 1.45% . (5) Incurs interest at SOFR plus 1.66% . |
Senior Notes | |
Debt Instrument [Line Items] | |
Schedule of Debt Obligations | Senior Notes Certain indirect subsidiaries of the Company have issued long term borrowings in the form of senior notes, on which interest is payable semi-annually in arrears. The following table provides information regarding these senior notes (Dollars in millions): Interest Expense Fair Value (1) As of Three Months Ended March 31, Aggregate Principal Amount March 31, 2024 December 31, 2023 2024 2023 3.500% Senior Notes Due 9/19/2029 (2) $ 425.0 $ 393.9 $ 401.9 $ 3.8 $ 3.8 5.625% Senior Notes Due 3/30/2043 (3) 600.0 588.0 594.6 8.4 8.4 5.650% Senior Notes Due 9/15/2048 (4) 350.0 337.8 336.0 5.0 5.0 $ 17.2 $ 17.2 (1) Including accrued interest. Fair value is based on indicative quotes and the notes are classified as Level II within the fair value hierarchy. (2) Issued in September 2019 at 99.841% of par. (3) Issued $400.0 million in aggregate principal at 99.583% of par in March 2013. An additional $200.0 million in aggregate principal was issued at 104.315% of par in March 2014, and is treated as a single class with the outstanding $400.0 million in senior notes previously issued. (4) Issued in September 2018 at 99.914% |
Accrued Compensation and Bene_2
Accrued Compensation and Benefits (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Retirement Benefits [Abstract] | |
Schedule of Components of Accrued Compensation and Benefits | A ccrued compensation and benefits consist of the following: As of March 31, 2024 December 31, 2023 (Dollars in millions) Accrued performance allocations and incentive fee related compensation $ 3,939.4 $ 4,255.8 Accrued bonuses 110.4 498.2 Accrued pension liability 12.4 13.1 Other (1) 111.7 155.1 Total $ 4,173.9 $ 4,922.2 (1) Includes $15.1 million and $44.5 million of realized performance allocations and incentive fee related c ompensation not yet paid to participants as of March 31, 2024 and December 31, 2023 |
Schedule of Performance Allocations and Incentive Fee Related Compensation | The following table presents realized and unrealized performance allocations and incentive fee related compensation: Three Months Ended March 31, 2024 2023 (Dollars in millions) Realized $ 266.8 $ 103.6 Unrealized (339.6) 2.1 Total $ (72.8) $ 105.7 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Related Party Transactions [Abstract] | |
Schedule of Amounts Due from Affiliates and Other Receivables | The Company had the following due from affiliates and other receivables at March 31, 2024 and December 31, 2023 : As of March 31, 2024 December 31, 2023 (Dollars in millions) Accrued incentive fees $ 23.8 $ 22.9 Unbilled receivable for giveback obligations from current and former employees 11.5 11.5 Notes receivable and accrued interest from affiliates 39.1 44.2 Management fee receivable, net 272.9 277.8 Reimbursable expenses and other receivables from unconsolidated funds and affiliates, net 276.8 335.2 Total $ 624.1 $ 691.6 |
Schedule of Amounts Due to Affiliates | The Company had the following due to affiliates balances at March 31, 2024 and December 31, 2023 : As of March 31, 2024 December 31, 2023 (Dollars in millions) Due to affiliates of Consolidated Funds $ 6.4 $ 6.3 Due to non-consolidated affiliates 93.4 97.0 Amounts owed under the tax receivable agreement 76.2 79.3 Deferred consideration for Carlyle Holdings units — 68.4 Other 27.6 24.9 Total $ 203.6 $ 275.9 |
Non-controlling Interests in _2
Non-controlling Interests in Consolidated Entities (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Noncontrolling Interest [Abstract] | |
Schedule of Components of Non-Controlling Interests in Consolidated Entities | The components of the Company’s non-controlling interests in consolidated entities are as follows: As of March 31, 2024 December 31, 2023 (Dollars in millions) Non-Carlyle interests in Consolidated Funds $ 430.2 $ 415.3 Non-Carlyle interests in majority-owned subsidiaries 246.3 184.5 Non-controlling interest in carried interest, giveback obligations and cash held for carried interest distributions (7.2) (6.7) Non-controlling interests in consolidated entities $ 669.3 $ 593.1 |
Schedule of Components of Non-Controlling Interests in Income (Loss) of Consolidated Entities | The components of the Company’s non-controlling interests in income of consolidated entities are as follows: Three Months Ended March 31, 2024 2023 (Dollars in millions) Non-Carlyle interests in Consolidated Funds $ 12.7 $ 17.2 Non-Carlyle interests in majority-owned subsidiaries 20.5 5.5 Non-controlling interest in carried interest, giveback obligations and cash held for carried interest distributions — 1.9 Non-controlling interests in income of consolidated entities $ 33.2 $ 24.6 |
Earnings Per Common Share (Tabl
Earnings Per Common Share (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Schedule of Basic and Diluted Net Income Per Common Unit | Ba sic and diluted net income (loss) per common share are calculated as follows: Three Months Ended March 31, 2024 Basic Diluted Net income attributable to common shares $ 65,600,000 $ 65,600,000 Weighted-average common shares outstanding 360,908,247 369,343,601 Net income per common share $ 0.18 $ 0.18 Three Months Ended March 31, 2023 Basic Diluted Net income attributable to common shares $ 100,700,000 $ 100,700,000 Weighted-average common shares outstanding 362,944,260 365,357,833 Net income per common share $ 0.28 $ 0.28 |
Schedule of Weighted-Average Common Units Outstanding, Basic and Diluted | The weighted-average common shares outstanding, basic and diluted, are calculated as follows: Three Months Ended March 31, 2024 Basic Diluted The Carlyle Group Inc. weighted-average common shares outstanding 360,908,247 360,908,247 Unvested restricted stock units — 6,733,282 Issuable common shares and performance-vesting restricted stock units — 1,702,072 Weighted-average common shares outstanding 360,908,247 369,343,601 Three Months Ended March 31, 2023 Basic Diluted The Carlyle Group Inc. weighted-average common shares outstanding 362,944,260 362,944,260 Unvested restricted stock units — 1,702,114 Issuable common shares and performance-vesting restricted stock units — 711,459 Weighted-average common shares outstanding 362,944,260 365,357,833 |
Equity (Tables)
Equity (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
Schedule of Quarterly Distributions on Common Units | The table below presents information regarding the quarterly dividends on the common shares, which were made at the sole discretion of the Board of Directors of the Company. Dividend Record Date Dividend Payment Date Dividend per Common Share Dividend to Common Stockholders (Dollars in millions, except per share data) May 16, 2023 May 23, 2023 $ 0.35 $ 126.7 August 15, 2023 August 23, 2023 0.35 126.3 November 21, 2023 November 29, 2023 0.35 126.3 February 23, 2024 March 1, 2024 0.35 126.7 Total 2023 Dividend Year $ 1.40 $ 506.0 May 14, 2024 May 21, 2024 $ 0.35 $ 126.0 Total 2024 Dividend Year (through Q1 2024) $ 0.35 $ 126.0 |
Schedule of Shares Repurchased or Retired | The following table presents the Company’s shares that have been repurchased or retired as a result of net share settlement of equity-based awards during the three months ended March 31, 2024 and 2023 : Three Months Ended March 31, 2024 2023 (Dollars in millions) Shares $ Shares $ Shares repurchased 2,853,602 $ 130.6 2,998,813 $ 100.3 Shares retired in connection with the net share settlement of equity-based awards 481,261 19.4 — — Total 3,334,863 $ 150.0 2,998,813 $ 100.3 |
Equity-Based Compensation (Tabl
Equity-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Status of Non-Vested Equity-Based Awards | A summar y of the status of the Company’s non-vested equity-based awards as of March 31, 2024 and a summary of changes for the three months ended March 31, 2024 , are presented below: Unvested Shares Performance- Vesting Restricted Stock Units (1) Weighted- Average Grant Date Fair Value Restricted Stock Units Weighted- Average Grant Date Fair Value Unvested Common Shares (2) Weighted- Average Grant Date Fair Value Balance, December 31, 2023 4,941,317 $ 23.19 17,232,330 $ 34.68 458,929 $ 37.87 Granted (3) 13,194,168 $ 26.42 4,968,866 $ 40.57 247,293 $ 40.08 Vested (4) — $ — 1,268,829 $ 33.07 — $ — Forfeited — $ — 307,778 $ 32.12 — $ — Balance, March 31, 2024 18,135,485 $ 25.54 20,624,589 $ 36.24 706,222 $ 38.64 (1) Includes restricted stock units granted to certain senior Carlyle professionals, including equity inducement awards granted in connection with the appointment of the Company’s Chief Executive Officer, which are subject to vesting based on the achievement of stock price performance conditions over a service period. (2) Includes common shares issued in connection with the Company’s investment in NGP. (3) Includes shares reserved for issuance upon settlement of dividend-equivalent rights carried by certain restricted stock units concurrently with the settlement of the restricted stock units for shares. (4) Includes 481,261 shares which were retired in connection with the net share settlement of equity-based awards. The Company paid $ 19.4 million of taxes related to the net share settlement of equity-based awards during the three months ended March 31, 2024 , which is included within Financing activities in the condensed consolidated statements of cash flows. |
Segment Reporting (Tables)
Segment Reporting (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
Schedule of Reportable Segments Financial Data | The following tables present the financial data for the Company’s three reportable segments for the three months ended March 31, 2024 : Three Months Ended March 31, 2024 Global Private Equity Global Credit Global Investment Solutions Total (Dollars in millions) Segment Revenues Fund level fee revenues Fund management fees $ 304.6 $ 136.9 $ 74.1 $ 515.6 Portfolio advisory and transaction fees, net and other 7.1 19.6 — 26.7 Fee related performance revenues 3.7 24.2 1.2 29.1 Total fund level fee revenues 315.4 180.7 75.3 571.4 Realized performance revenues 373.8 0.6 23.4 397.8 Realized principal investment income 18.9 13.8 1.0 33.7 Interest income 7.6 10.7 1.8 20.1 Total revenues 715.7 205.8 101.5 1,023.0 Segment Expenses Compensation and benefits Cash-based compensation and benefits 109.3 76.8 28.2 214.3 Realized performance revenues related compensation 234.3 0.3 21.2 255.8 Total compensation and benefits 343.6 77.1 49.4 470.1 General, administrative, and other indirect expenses 38.6 29.6 11.5 79.7 Depreciation and amortization expense 6.4 3.1 1.6 11.1 Interest expense 14.0 13.9 2.9 30.8 Total expenses 402.6 123.7 65.4 591.7 Distributable Earnings $ 313.1 $ 82.1 $ 36.1 $ 431.3 (-) Realized Net Performance Revenues 139.5 0.3 2.2 142.0 (-) Realized Principal Investment Income 18.9 13.8 1.0 33.7 (+) Net Interest 6.4 3.2 1.1 10.7 (=) Fee Related Earnings $ 161.1 $ 71.2 $ 34.0 $ 266.3 Segment assets as of March 31, 2024 $ 7,154.6 $ 3,783.9 $ 2,339.9 $ 13,278.4 The following tables present the financial data for the Company’s three reportable segments for the three months ended March 31, 2023 : Three Months Ended March 31, 2023 Global Private Equity Global Credit Global Investment Solutions Total (Dollars in millions) Segment Revenues Fund level fee revenues Fund management fees $ 326.9 $ 122.6 $ 56.7 $ 506.2 Portfolio advisory and transaction fees, net and other 5.4 11.0 — 16.4 Fee related performance revenues 9.6 18.4 0.8 28.8 Total fund level fee revenues 341.9 152.0 57.5 551.4 Realized performance revenues 99.0 27.7 38.4 165.1 Realized principal investment income 11.9 9.0 2.9 23.8 Interest income 5.4 7.2 1.3 13.9 Total revenues 458.2 195.9 100.1 754.2 Segment Expenses Compensation and benefits Cash-based compensation and benefits 148.7 80.4 31.5 260.6 Realized performance revenues related compensation 46.3 12.7 36.6 95.6 Total compensation and benefits 195.0 93.1 68.1 356.2 General, administrative, and other indirect expenses 57.1 21.7 8.7 87.5 Depreciation and amortization expense 6.7 2.0 1.2 9.9 Interest expense 16.6 10.2 2.2 29.0 Total expenses 275.4 127.0 80.2 482.6 Distributable Earnings $ 182.8 $ 68.9 $ 19.9 $ 271.6 (-) Realized Net Performance Revenues 52.7 15.0 1.8 69.5 (-) Realized Principal Investment Income 11.9 9.0 2.9 23.8 (+) Net Interest 11.2 3.0 0.9 15.1 (=) Fee Related Earnings $ 129.4 $ 47.9 $ 16.1 $ 193.4 |
Schedule of Reconciliation of Total Segments to Income Before Provision for Taxes | The following tables reconcile the Total Segments to the Company’s Income (Loss) Before Provision for Taxes for the three months ended March 31, 2024 and 2023 , and Total Assets as of March 31, 2024 . Three Months Ended March 31, 2024 Total Reportable Segments Consolidated Funds Reconciling Items Carlyle Consolidated (Dollars in millions) Revenues $ 1,023.0 $ 164.9 $ (499.5) (a) $ 688.4 Expenses $ 591.7 $ 139.5 $ (170.5) (b) $ 560.7 Other income (loss) $ — $ (7.0) $ — (c) $ (7.0) Distributable earnings $ 431.3 $ 18.4 $ (329.0) (d) $ 120.7 Total assets $ 13,278.4 $ 8,154.9 $ (583.8) (e) $ 20,849.5 Three Months Ended March 31, 2023 Total Reportable Segments Consolidated Funds Reconciling Items Carlyle Consolidated (Dollars in millions) Revenues $ 754.2 $ 121.9 $ (17.1) (a) $ 859.0 Expenses $ 482.6 $ 97.2 $ 123.2 (b) $ 703.0 Other income (loss) $ — $ 3.6 $ — (c) $ 3.6 Distributable earnings $ 271.6 $ 28.3 $ (140.3) (d) $ 159.6 (a) The Revenues adjustment principally represents unrealized performance revenues, unrealized principal investment income (loss) (including Fortitude), revenues earned from the Consolidated Funds which were eliminated in consolidation to arrive at the Company’s total revenues, adjustments for amounts attributable to non-controlling interests in consolidated entities, adjustments related to expenses associated with the investments in NGP Management and its affiliates that are included in operating captions or are excluded from the segment results, adjustments to reflect the reimbursement of certain costs incurred on behalf of Carlyle funds on a net basis, and the inclusion of tax expenses associated with certain foreign performance revenues, as detailed below: Three Months Ended March 31, 2024 2023 (Dollars in millions) Unrealized performance and fee related performance revenues $ (521.6) $ (20.7) Unrealized principal investment income (loss) 4.4 (29.0) Adjustments related to expenses associated with investments in NGP Management and its affiliates (3.2) (3.4) Non-controlling interests and other adjustments to present certain costs on a net basis 41.5 50.8 Elimination of revenues of Consolidated Funds (20.6) (14.8) $ (499.5) $ (17.1) The following table reconciles the total segments fund level fee revenue to the most directly comparable U.S. GAAP measure, the Company’s consolidated fund management fees, for the three months ended March 31, 2024 and 2023 . Three Months Ended March 31, 2024 2023 (Dollars in millions) Total Reportable Segments - Fund level fee revenues $ 571.4 $ 551.4 Adjustments (1) (47.8) (50.6) Carlyle Consolidated - Fund management fees $ 523.6 $ 500.8 (1) Adjustments represent the reclassification of NGP management fees from principal investment income, the reclassification of fee related performance revenues from business development companies and other products, management fees earned from Consolidated Funds which were eliminated in consolidation to arrive at the Company’s fund management fees, and the reclassification of certain amounts included in portfolio advisory fees, net and other in the segment results that are included in interest and other income in the U.S. GAAP results. (b) The Expenses adjustment represents the elimination of intercompany expenses of the Consolidated Funds payable to the Company, the inclusion of equity-based compensation, certain tax expenses associated with realized performance revenues related compensation, and unrealized performance revenues related compensation, adjustments related to expenses associated with the investment in NGP Management that are included in operating captions, adjustments to reflect the reimbursement of certain costs incurred on behalf of Carlyle funds on a net basis, changes in the tax receivable agreement liability, and charges and credits associated with Carlyle corporate actions and non-recurring items, as detailed below: Three Months Ended March 31, 2024 2023 (Dollars in millions) Unrealized performance and fee related performance revenue compensation expense $ (328.4) $ (2.3) Equity-based compensation 111.0 57.1 Acquisition or disposition-related charges and amortization of intangibles and impairment 32.8 28.7 Tax (expense) benefit associated with certain foreign performance revenues related compensation (1.0) (0.5) Non-controlling interests and other adjustments to present certain costs on a net basis 17.8 40.0 Other adjustments 12.2 3.9 Elimination of expenses of Consolidated Funds (14.9) (3.7) $ (170.5) $ 123.2 (c) The Other Income (Loss) adjustment results from the Consolidated Funds that were eliminated in consolidation to arrive at the Company’s total Other Income (Loss). (d) The following table is a reconciliation of Income (Loss) Before Provision for Income Taxes to Distributable Earnings and to Fee Related Earnings: Three Months Ended March 31, 2024 2023 (Dollars in millions) Income (loss) before provision for income taxes $ 120.7 $ 159.6 Adjustments: Net unrealized performance and fee related performance revenues 193.2 18.4 Unrealized principal investment (income) loss (4.4) 29.0 Equity-based compensation (1) 111.0 57.1 Acquisition or disposition-related charges, including amortization of intangibles and impairment 32.8 28.7 Tax expense associated with certain foreign performance revenues (1.0) (0.5) Net income attributable to non-controlling interests in consolidated entities (33.2) (24.6) Other adjustments 12.2 3.9 Distributable Earnings $ 431.3 $ 271.6 Realized performance revenues, net of related compensation (2) 142.0 69.5 Realized principal investment income (2) 33.7 23.8 Net interest 10.7 15.1 Fee Related Earnings $ 266.3 $ 193.4 (1) Equity-based compensation for the three months ended March 31, 2024 and 2023 includes amounts that are presented in principal investment income and general, administrative and other expenses in the Company’s U.S. GAAP statement of operations. (2) See reconciliation to most directly comparable U.S. GAAP measure below: Three Months Ended March 31, 2024 Carlyle Consolidated Adjustments (3) Total Reportable Segments (Dollars in millions) Performance revenues $ (157.0) $ 554.8 $ 397.8 Performance revenues related compensation expense (72.8) 328.6 255.8 Net performance revenues $ (84.2) $ 226.2 $ 142.0 Principal investment income (loss) $ 73.1 $ (39.4) $ 33.7 Three Months Ended March 31, 2023 Carlyle Consolidated Adjustments (3) Total Reportable Segments (Dollars in millions) Performance revenues $ 160.8 $ 4.3 $ 165.1 Performance revenues related compensation expense 105.7 (10.1) 95.6 Net performance revenues $ 55.1 $ 14.4 $ 69.5 Principal investment income (loss) $ 11.7 $ 12.1 $ 23.8 ( 3) Adjustments to performance revenues and principal investment income (loss) relate to (i) unrealized performance allocations net of related compensation expense and unrealized principal investment income, which are excluded from the segment results, (ii) amounts earned from the Consolidated Funds, which were eliminated in the U.S. GAAP consolidation but were included in the segment results, (iii) amounts attributable to non-controlling interests in consolidated entities, which were excluded from the segment results, (iv) the reclassification of NGP performance revenues, which are included in principal investment income in the U.S. GAAP financial statements, (v) the reclassification of fee related performance revenues, which are included in fund level fee revenues in the segment results, and (vi) the reclassification of tax expenses associated with certain foreign performance revenues. Adjustments to principal investment income (loss) also include the reclassification of earnings for the investments in NGP Management and its affiliates to the appropriate operating captions for the segment results, the exclusion of charges associated with the investment in NGP Management and its affiliates that are excluded from the segment results and the exclusion of the principal investment loss from dilution of the indirect investment in Fortitude. (e) The Total Assets adjustment represents the addition of the assets of the Consolidated Funds that were eliminated in consolidation to arrive at the Company’s total assets . |
Supplemental Financial Inform_2
Supplemental Financial Information (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Condensed Financial Information Disclosure [Abstract] | |
Schedule of Supplemental Financial Position | As of March 31, 2024 Consolidated Operating Entities Consolidated Funds Eliminations Consolidated (Dollars in millions) Assets Cash and cash equivalents $ 1,276.5 $ — $ — $ 1,276.5 Cash and cash equivalents held at Consolidated Funds — 426.0 — 426.0 Restricted cash 1.4 — — 1.4 Investments, including performance allocations of $5,567.6 9,684.7 — (211.5) 9,473.2 Investments of Consolidated Funds — 7,520.5 (61.9) 7,458.6 Due from affiliates and other receivables, net 934.5 — (310.4) 624.1 Due from affiliates and other receivables of Consolidated Funds, net — 204.1 — 204.1 Fixed assets, net 162.8 — — 162.8 Lease right-of-use assets, net 349.3 — — 349.3 Deposits and other 84.2 4.3 — 88.5 Intangible assets, net 732.8 — — 732.8 Deferred tax assets 52.2 — — 52.2 Total assets $ 13,278.4 $ 8,154.9 $ (583.8) $ 20,849.5 Liabilities and equity Debt obligations $ 2,259.0 $ — $ — $ 2,259.0 Loans payable of Consolidated Funds — 6,840.0 (304.9) 6,535.1 Accounts payable, accrued expenses and other liabilities 375.2 — — 375.2 Accrued compensation and benefits 4,173.9 — — 4,173.9 Due to affiliates 197.2 6.4 — 203.6 Deferred revenue 391.1 — — 391.1 Deferred tax liabilities 26.2 — — 26.2 Other liabilities of Consolidated Funds — 598.5 — 598.5 Lease liabilities 502.9 — — 502.9 Accrued giveback obligations 44.0 — — 44.0 Total liabilities 7,969.5 7,444.9 (304.9) 15,109.5 Common stock 3.6 — — 3.6 Additional paid-in capital 3,513.9 291.4 (291.4) 3,513.9 Retained earnings 1,868.2 — — 1,868.2 Accumulated other comprehensive loss (315.9) (11.6) 12.5 (315.0) Non-controlling interests in consolidated entities 239.1 430.2 — 669.3 Total equity 5,308.9 710.0 (278.9) 5,740.0 Total liabilities and equity $ 13,278.4 $ 8,154.9 $ (583.8) $ 20,849.5 As of December 31, 2023 Consolidated Operating Entities Consolidated Funds Eliminations Consolidated (Dollars in millions) Assets Cash and cash equivalents $ 1,440.3 $ — $ — $ 1,440.3 Cash and cash equivalents held at Consolidated Funds — 346.0 — 346.0 Restricted cash 1.8 — — 1.8 Investments, including performance allocations of $6,169.9 10,104.5 — (149.2) 9,955.3 Investments of Consolidated Funds — 7,313.9 (60.8) 7,253.1 Due from affiliates and other receivables, net 1,009.2 — (317.6) 691.6 Due from affiliates and other receivables of Consolidated Funds, net — 141.0 — 141.0 Fixed assets, net 161.5 — — 161.5 Lease right-of-use assets, net 332.2 — — 332.2 Deposits and other 66.0 4.6 — 70.6 Intangible assets, net 766.1 — — 766.1 Deferred tax assets 16.5 — — 16.5 Total assets $ 13,898.1 $ 7,805.5 $ (527.6) $ 21,176.0 Liabilities and equity Debt obligations $ 2,281.0 $ — $ — $ 2,281.0 Loans payable of Consolidated Funds — 6,796.4 (309.9) 6,486.5 Accounts payable, accrued expenses and other liabilities 333.8 — — 333.8 Accrued compensation and benefits 4,922.2 — — 4,922.2 Due to affiliates 269.6 6.3 — 275.9 Deferred revenue 140.3 — — 140.3 Deferred tax liabilities 45.3 — — 45.3 Other liabilities of Consolidated Funds — 374.4 — 374.4 Lease liabilities 488.1 — — 488.1 Accrued giveback obligations 44.0 — — 44.0 Total liabilities 8,524.3 7,177.1 (309.9) 15,391.5 Common stock 3.6 — — 3.6 Additional paid-in capital 3,403.0 223.8 (223.8) 3,403.0 Retained earnings 2,082.1 — — 2,082.1 Accumulated other comprehensive loss (292.7) (10.7) 6.1 (297.3) Non-controlling interests in consolidated entities 177.8 415.3 — 593.1 Total equity 5,373.8 628.4 (217.7) 5,784.5 Total liabilities and equity $ 13,898.1 $ 7,805.5 $ (527.6) $ 21,176.0 |
Schedule of Supplemental Results of Operations | Three Months Ended March 31, 2024 Consolidated Operating Entities Consolidated Funds Eliminations Consolidated (Dollars in millions) Revenues Fund management fees $ 530.2 $ — $ (6.6) $ 523.6 Incentive fees 26.2 — — 26.2 Investment income (loss) Performance allocations (155.8) — (1.2) (157.0) Principal investment income 79.6 — (6.5) 73.1 Total investment loss (76.2) — (7.7) (83.9) Interest and other income 63.9 — (6.3) 57.6 Interest and other income of Consolidated Funds — 164.9 — 164.9 Total revenues 544.1 164.9 (20.6) 688.4 Expenses Compensation and benefits Cash-based compensation and benefits 221.9 — — 221.9 Equity-based compensation 108.3 — — 108.3 Performance allocations and incentive fee related compensation (72.8) — — (72.8) Total compensation and benefits 257.4 — — 257.4 General, administrative and other expenses 147.7 — — 147.7 Interest 30.8 — — 30.8 Interest and other expenses of Consolidated Funds — 139.5 (14.9) 124.6 Other non-operating expenses 0.2 — — 0.2 Total expenses 436.1 139.5 (14.9) 560.7 Other income (loss) Net investment loss of Consolidated Funds — (7.0) — (7.0) Income before provision for income taxes 108.0 18.4 (5.7) 120.7 Provision for income taxes 21.9 — — 21.9 Net income 86.1 18.4 (5.7) 98.8 Net income attributable to non-controlling interests in consolidated entities 20.5 — 12.7 33.2 Net income attributable to The Carlyle Group Inc. $ 65.6 $ 18.4 $ (18.4) $ 65.6 Three Months Ended March 31, 2023 Consolidated Operating Entities Consolidated Funds Eliminations Consolidated (Dollars in millions) Revenues Fund management fees $ 508.4 $ — $ (7.6) $ 500.8 Incentive fees 19.9 — (0.1) 19.8 Investment income Performance allocations 162.3 — (1.5) 160.8 Principal investment income 14.7 — (3.0) 11.7 Total investment income 177.0 — (4.5) 172.5 Interest and other income 46.6 — (2.6) 44.0 Interest and other income of Consolidated Funds — 121.9 — 121.9 Total revenues 751.9 121.9 (14.8) 859.0 Expenses Compensation and benefits Cash-based compensation and benefits 260.2 — — 260.2 Equity-based compensation 54.4 — — 54.4 Performance allocations and incentive fee related compensation 105.7 — — 105.7 Total compensation and benefits 420.3 — — 420.3 General, administrative and other expenses 159.4 — (0.2) 159.2 Interest 29.7 — — 29.7 Interest and other expenses of Consolidated Funds — 97.2 (3.5) 93.7 Other non-operating expenses 0.1 — — 0.1 Total expenses 609.5 97.2 (3.7) 703.0 Other income (loss) Net investment income of Consolidated Funds — 3.6 — 3.6 Income before provision for income taxes 142.4 28.3 (11.1) 159.6 Provision for income taxes 34.3 — — 34.3 Net income 108.1 28.3 (11.1) 125.3 Net income attributable to non-controlling interests in consolidated entities 7.4 — 17.2 24.6 Net income attributable to The Carlyle Group Inc. $ 100.7 $ 28.3 $ (28.3) $ 100.7 |
Schedule of Supplemental Statement of Cash Flows | Three Months Ended March 31, 2024 2023 (Dollars in millions) Cash flows from operating activities Net income $ 86.1 $ 108.1 Adjustments to reconcile net income to net cash flows from operating activities: Depreciation and amortization 45.3 44.0 Equity-based compensation 108.3 54.4 Non-cash performance allocations and incentive fees 189.6 (38.2) Non-cash principal investment income (68.1) (8.7) Other non-cash amounts (2.9) 10.8 Purchases of investments (215.1) (19.0) Proceeds from the sale of investments 108.3 78.9 Payments of contingent consideration (1.5) (68.6) Change in deferred taxes, net (47.1) (15.1) Change in due from affiliates and other receivables 7.9 17.0 Change in deposits and other (19.7) (33.9) Change in accounts payable, accrued expenses and other liabilities 41.5 (63.9) Change in accrued compensation and benefits (365.6) (371.9) Change in due to affiliates (2.2) (0.2) Change in lease right-of-use asset and lease liability (2.2) (2.8) Change in deferred revenue 251.6 284.7 Net cash provided by operating activities 114.2 (24.4) Cash flows from investing activities Purchases of corporate treasury investments — (101.1) Proceeds from corporate treasury investments — 20.1 Purchases of fixed assets, net (14.2) (12.9) Net cash used in investing activities (14.2) (93.9) Cash flows from financing activities Payments on CLO borrowings (13.9) (1.1) Proceeds from CLO borrowings, net of financing costs — — Dividends to common stockholders (126.7) (118.4) Payment of deferred consideration for Carlyle Holdings units (68.8) (68.8) Contributions from non-controlling interest holders 62.5 2.0 Distributions to non-controlling interest holders (19.0) (8.5) Common shares repurchased and net share settlement of equity awards (150.0) (100.3) Change in due to/from affiliates financing activities 56.7 73.0 Net cash used in financing activities (259.2) (222.1) Effect of foreign exchange rate changes (5.0) 5.8 Decrease in cash, cash equivalents and restricted cash (164.2) (334.6) Cash, cash equivalents and restricted cash, beginning of period 1,442.1 1,361.5 Cash, cash equivalents and restricted cash, end of period $ 1,277.9 $ 1,026.9 Reconciliation of cash, cash equivalents and restricted cash, end of period: Cash and cash equivalents $ 1,276.5 $ 1,010.1 Restricted cash 1.4 16.8 Total cash, cash equivalents and restricted cash, end of period $ 1,277.9 $ 1,026.9 Cash and cash equivalents held at Consolidated Funds $ 426.0 $ 228.8 |
Organization and Basis of Pre_2
Organization and Basis of Presentation (Details) - segment | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Number of reportable segments | 3 | 3 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Variable Interest Entities (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Variable Interest Entity [Line Items] | ||
Consolidated VIEs, assets | $ 20,849.5 | $ 21,176 |
Consolidated VIEs, liabilities | 15,109.5 | 15,391.5 |
Investments in CLOs | 184.4 | |
Investment fund | 319.9 | |
Consolidated VIEs | ||
Variable Interest Entity [Line Items] | ||
Consolidated VIEs, assets | 8,100 | 7,800 |
Consolidated VIEs, liabilities | $ 7,100 | $ 6,900 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Assets Recognized in Consolidated Balance Sheets Related to Non-Consolidated VIEs (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Variable Interest Entity [Line Items] | ||
Investments | $ 9,473.2 | $ 9,955.3 |
Total assets | 20,849.5 | 21,176 |
Unconsolidated VIEs | ||
Variable Interest Entity [Line Items] | ||
Investments | 1,111.3 | 1,118.4 |
Accrued performance allocations | 544.6 | 492.3 |
Management fee receivables | 77.4 | 65.1 |
Total assets | $ 1,733.3 | $ 1,675.8 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Revenue Recognition (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Net Investment Income [Line Items] | |||
Period of time for which management fees will be received by partners from the initial closing date | 10 years | ||
Subsequent period in which management fees are recognized after these fees are called | 6 months | ||
Percentage of management fees for CLOs on the total par amount of assets in the fund | 1% | ||
Percentage of monthly management fee | 1.25% | ||
Transaction and portfolio advisory fee, rebate offset percentage | 100% | ||
Transaction and advisory fees | $ 23.8 | $ 13.4 | |
Incentive Fees | |||
Performance fees allocation percentage to partnership (percent) | 20% | ||
Accrued giveback obligations | $ 44 | $ 44 | |
Interest Income | |||
Interest income from investments | $ 142.6 | $ 109.8 | |
Minimum | |||
Net Investment Income [Line Items] | |||
Percentage of management fees earned | 1% | ||
Percentage of management fees earned from invested capital | 1% | ||
Extension period for fund closing | 1 year | ||
Percentage of management fees for CLOs on the total par amount of assets in the fund | 0.40% | ||
Period of management fees related to collateralized loan obligation | 5 years | ||
Percentage of management fees for business development companies | 1% | ||
Percentage of management fees from funds of funds during the commitment fee period | 0.25% | ||
Percentage of management fees from funds of funds following the expiration of the weighted average investment period | 0.25% | ||
Incentive Fees | |||
Percentage of allocation based performance fees related to fund of funds vehicles (percent) | 2% | ||
Percent of preferred returns (percent) | 7% | ||
Maximum | |||
Net Investment Income [Line Items] | |||
Percentage of management fees earned | 2% | ||
Percentage of management fees earned from invested capital | 2% | ||
Extension period for fund closing | 2 years | ||
Percentage of management fees for CLOs on the total par amount of assets in the fund | 0.50% | ||
Period of management fees related to collateralized loan obligation | 10 years | ||
Percentage of management fees for business development companies | 1.50% | ||
Percentage of management fees from funds of funds during the commitment fee period | 1.50% | ||
Percentage of management fees from funds of funds following the expiration of the weighted average investment period | 1.50% | ||
Incentive Fees | |||
Percentage of allocation based performance fees related to fund of funds vehicles (percent) | 12.50% | ||
Percent of preferred returns (percent) | 9% |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Additional Information (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Accounting Policies [Abstract] | ||
Accrued performance allocations and incentive fee related compensation | $ 3,939.4 | $ 4,255.8 |
Securities transferred to counterparties under repurchase agreements | $ 294.5 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Fixed Assets (Details) | Mar. 31, 2024 |
Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of other fixed assets | 3 years |
Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of other fixed assets | 7 years |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies - Intangible Assets and Goodwill (Details) | Mar. 31, 2024 |
Minimum | |
Finite-Lived Intangible Assets [Line Items] | |
Estimated useful life of finite lived intangible assets | 4 years |
Maximum | |
Finite-Lived Intangible Assets [Line Items] | |
Estimated useful life of finite lived intangible assets | 8 years |
Summary of Significant Accou_10
Summary of Significant Accounting Policies - Components of Accumulated Other Comprehensive Income (loss) (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Accumulated Other Comprehensive Loss | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Total | $ (315) | $ (297.3) |
Currency translation adjustments | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Total | (310.8) | (292.8) |
Unrealized losses on defined benefit plans | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Total | $ (4.2) | $ (4.5) |
Summary of Significant Accou_11
Summary of Significant Accounting Policies - Foreign Currency Translation (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Accounting Policies [Abstract] | ||
Foreign currency transaction gain (loss) | $ 0.5 | $ (11.8) |
Fair Value Measurement - Assets
Fair Value Measurement - Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Assets | ||
Subtotal | $ 8,167.5 | |
Investments measured at net asset value | $ 7,962.9 | |
Liabilities | ||
Loans payable of Consolidated Funds | 6,352.3 | 6,298.6 |
Foreign currency forward contracts | 0.7 | |
Total | 6,353 | 6,298.6 |
Senior And Subordinated Notes | ||
Liabilities | ||
Loans payable of Consolidated Funds | 10 | |
Revolving Credit Facility | ||
Liabilities | ||
Loans payable of Consolidated Funds | 182.8 | 177.9 |
Equity securities | Consolidated VIEs | ||
Assets | ||
Investments measured at net asset value | 332.1 | 322 |
Investments In CLOs and other, and Partnership and LLC interests | ||
Assets | ||
Investments | 695.4 | |
Fair Value, Inputs, Level 1, 2 and 3 | ||
Assets | ||
Subtotal | 7,650.4 | 7,460.9 |
Fair Value, Inputs, Level 1, 2 and 3 | Equity securities | ||
Assets | ||
Investments | 387.3 | 377.6 |
Fair Value, Inputs, Level 1, 2 and 3 | Bonds | ||
Assets | ||
Investments | 500.4 | 522.5 |
Fair Value, Inputs, Level 1, 2 and 3 | Loans | ||
Assets | ||
Investments | 6,064.9 | 5,862.1 |
Fair Value, Inputs, Level 1, 2 and 3 | Investments of Consolidated Funds | ||
Assets | ||
Investments | 6,952.6 | 6,762.2 |
Fair Value, Inputs, Level 1, 2 and 3 | Investments in CLOs | ||
Assets | ||
Investments | 520.8 | 532.6 |
Fair Value, Inputs, Level 1, 2 and 3 | Other investments | ||
Assets | ||
Investments | 174.6 | 166.1 |
Fair Value, Inputs, Level 1, 2 and 3 | Investments In CLOs and other, and Partnership and LLC interests | ||
Assets | ||
Investments | 698.7 | |
Fair Value, Inputs, Level 1, 2 and 3 | Foreign currency forward contracts | ||
Assets | ||
Foreign currency forward contracts | 2.4 | |
Level I | ||
Assets | ||
Subtotal | 38.3 | 38.7 |
Liabilities | ||
Loans payable of Consolidated Funds | 0 | 0 |
Foreign currency forward contracts | 0 | |
Total | 0 | 0 |
Level I | Equity securities | ||
Assets | ||
Investments | 0 | 0 |
Level I | Bonds | ||
Assets | ||
Investments | 0 | 0 |
Level I | Loans | ||
Assets | ||
Investments | 0 | 0 |
Level I | Investments of Consolidated Funds | ||
Assets | ||
Investments | 0 | 0 |
Level I | Investments in CLOs | ||
Assets | ||
Investments | 0 | 0 |
Level I | Other investments | ||
Assets | ||
Investments | 38.3 | 38.7 |
Level I | Investments In CLOs and other, and Partnership and LLC interests | ||
Assets | ||
Investments | 38.3 | 38.7 |
Level I | Foreign currency forward contracts | ||
Assets | ||
Foreign currency forward contracts | 0 | |
Level II | ||
Assets | ||
Subtotal | 45.5 | 42.8 |
Liabilities | ||
Loans payable of Consolidated Funds | 0 | 0 |
Foreign currency forward contracts | 0.7 | |
Total | 0.7 | 0 |
Level II | Equity securities | ||
Assets | ||
Investments | 0 | 0 |
Level II | Bonds | ||
Assets | ||
Investments | 0 | 0 |
Level II | Loans | ||
Assets | ||
Investments | 0 | 0 |
Level II | Investments of Consolidated Funds | ||
Assets | ||
Investments | 0 | 0 |
Level II | Investments in CLOs | ||
Assets | ||
Investments | 0 | 0 |
Level II | Other investments | ||
Assets | ||
Investments | 43.1 | 42.8 |
Level II | Investments In CLOs and other, and Partnership and LLC interests | ||
Assets | ||
Investments | 43.1 | 42.8 |
Level II | Foreign currency forward contracts | ||
Assets | ||
Foreign currency forward contracts | 2.4 | |
Level III | ||
Assets | ||
Subtotal | 7,566.6 | 7,379.4 |
Liabilities | ||
Loans payable of Consolidated Funds | 6,352.3 | 6,298.6 |
Foreign currency forward contracts | 0 | |
Total | 6,352.3 | 6,298.6 |
Level III | Equity securities | ||
Assets | ||
Investments | 387.3 | 377.6 |
Subtotal | 7.8 | |
Investments measured at net asset value | 50.3 | 50.4 |
Level III | Bonds | ||
Assets | ||
Investments | 500.4 | 522.5 |
Level III | Loans | ||
Assets | ||
Investments | 6,064.9 | 5,862.1 |
Level III | Investments of Consolidated Funds | ||
Assets | ||
Investments | 6,952.6 | 6,762.2 |
Subtotal | 6,952.6 | 6,762.2 |
Level III | Investments in CLOs | ||
Assets | ||
Investments | 520.8 | 532.6 |
Level III | Other investments | ||
Assets | ||
Investments | 93.2 | 84.6 |
Level III | Investments In CLOs and other, and Partnership and LLC interests | ||
Assets | ||
Investments | 614 | 617.2 |
Level III | Foreign currency forward contracts | ||
Assets | ||
Foreign currency forward contracts | 0 | |
Fair Value Measured at NAV | ||
Assets | ||
Investments measured at net asset value | 517.1 | 502 |
Fair Value Measured at NAV | Investments of Consolidated Funds | ||
Assets | ||
Investments | $ 506 | $ 490.9 |
Fair Value Measurement - Change
Fair Value Measurement - Changes in Level III Financial Assets Measured at Fair Value (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Equity securities | ||
Realized and unrealized gains (losses), net | ||
Fair value, asset, recurring basis, unobservable input reconciliation, gain (loss), statement of income or comprehensive income | Net investment income (loss) of Consolidated Funds | Net investment income (loss) of Consolidated Funds |
Fair value, asset, recurring basis, unobservable input reconciliation, asset, gain (loss), statement of other comprehensive income or comprehensive income | Other Comprehensive Income (Loss), Net of Tax | Other Comprehensive Income (Loss), Net of Tax |
Fair value, asset, recurring basis, still held, unrealized gain (loss), statement of income or comprehensive income | Net investment income (loss) of Consolidated Funds | Net investment income (loss) of Consolidated Funds |
Bonds | ||
Realized and unrealized gains (losses), net | ||
Fair value, asset, recurring basis, unobservable input reconciliation, gain (loss), statement of income or comprehensive income | Net investment income (loss) of Consolidated Funds | Net investment income (loss) of Consolidated Funds |
Fair value, asset, recurring basis, unobservable input reconciliation, asset, gain (loss), statement of other comprehensive income or comprehensive income | Other Comprehensive Income (Loss), Net of Tax | Other Comprehensive Income (Loss), Net of Tax |
Fair value, asset, recurring basis, still held, unrealized gain (loss), statement of income or comprehensive income | Net investment income (loss) of Consolidated Funds | Net investment income (loss) of Consolidated Funds |
Loans | ||
Realized and unrealized gains (losses), net | ||
Fair value, asset, recurring basis, unobservable input reconciliation, gain (loss), statement of income or comprehensive income | Net investment income (loss) of Consolidated Funds | Net investment income (loss) of Consolidated Funds |
Fair value, asset, recurring basis, unobservable input reconciliation, asset, gain (loss), statement of other comprehensive income or comprehensive income | Other Comprehensive Income (Loss), Net of Tax | Other Comprehensive Income (Loss), Net of Tax |
Fair value, asset, recurring basis, still held, unrealized gain (loss), statement of income or comprehensive income | Net investment income (loss) of Consolidated Funds | Net investment income (loss) of Consolidated Funds |
Investments in CLOs | ||
Realized and unrealized gains (losses), net | ||
Fair value, asset, recurring basis, unobservable input reconciliation, gain (loss), statement of income or comprehensive income | Net investment income (loss) of Consolidated Funds | Net investment income (loss) of Consolidated Funds |
Fair value, asset, recurring basis, unobservable input reconciliation, asset, gain (loss), statement of other comprehensive income or comprehensive income | Other Comprehensive Income (Loss), Net of Tax | Other Comprehensive Income (Loss), Net of Tax |
Fair value, asset, recurring basis, still held, unrealized gain (loss), statement of income or comprehensive income | Net investment income (loss) of Consolidated Funds | Net investment income (loss) of Consolidated Funds |
Other investments | ||
Realized and unrealized gains (losses), net | ||
Fair value, asset, recurring basis, unobservable input reconciliation, gain (loss), statement of income or comprehensive income | Net investment income (loss) of Consolidated Funds | Net investment income (loss) of Consolidated Funds |
Fair value, asset, recurring basis, unobservable input reconciliation, asset, gain (loss), statement of other comprehensive income or comprehensive income | Other Comprehensive Income (Loss), Net of Tax | Other Comprehensive Income (Loss), Net of Tax |
Fair value, asset, recurring basis, still held, unrealized gain (loss), statement of income or comprehensive income | Net investment income (loss) of Consolidated Funds | Net investment income (loss) of Consolidated Funds |
Level III | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance, beginning of period | $ 7,379.4 | $ 6,983.9 |
Purchases | 1,469.6 | 272.5 |
Sales and distributions | (833.3) | (225.5) |
Settlements | (464.7) | (105.7) |
Realized and unrealized gains (losses), net | ||
Included in earnings | 104.1 | 143.6 |
Included in other comprehensive income | (88.5) | 62.5 |
Balance, end of period | 7,566.6 | 7,131.3 |
Changes in unrealized gains (losses) included in earnings related to financial assets still held at the reporting date | 92 | 131.2 |
Changes in unrealized gains (losses) included in other comprehensive income related to financial assets still held at the reporting date | (83.1) | 64.8 |
Level III | Equity securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance, beginning of period | 377.6 | 430.6 |
Purchases | 24.8 | 5.4 |
Sales and distributions | (6.1) | 0 |
Settlements | 0 | 0 |
Realized and unrealized gains (losses), net | ||
Included in earnings | (9) | (0.5) |
Included in other comprehensive income | 0 | 0 |
Balance, end of period | 387.3 | 435.5 |
Changes in unrealized gains (losses) included in earnings related to financial assets still held at the reporting date | (9) | (0.4) |
Changes in unrealized gains (losses) included in other comprehensive income related to financial assets still held at the reporting date | 0 | 0 |
Level III | Bonds | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance, beginning of period | 522.5 | 594.9 |
Purchases | 46.4 | 29.8 |
Sales and distributions | (72.8) | (47) |
Settlements | 0 | (4.1) |
Realized and unrealized gains (losses), net | ||
Included in earnings | 15.6 | 11.4 |
Included in other comprehensive income | (11.3) | 8.2 |
Balance, end of period | 500.4 | 593.2 |
Changes in unrealized gains (losses) included in earnings related to financial assets still held at the reporting date | 16.4 | 8.5 |
Changes in unrealized gains (losses) included in other comprehensive income related to financial assets still held at the reporting date | (10.2) | 8.7 |
Level III | Loans | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance, beginning of period | 5,862.1 | 5,352.9 |
Purchases | 1,397.4 | 237.3 |
Sales and distributions | (729.5) | (169.7) |
Settlements | (464.7) | (101.6) |
Realized and unrealized gains (losses), net | ||
Included in earnings | 72.8 | 116 |
Included in other comprehensive income | (73.2) | 46.8 |
Balance, end of period | 6,064.9 | 5,481.7 |
Changes in unrealized gains (losses) included in earnings related to financial assets still held at the reporting date | 60.8 | 107.3 |
Changes in unrealized gains (losses) included in other comprehensive income related to financial assets still held at the reporting date | (68.9) | 48.6 |
Level III | Investments in CLOs | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance, beginning of period | 532.6 | 526.1 |
Purchases | 1 | 0 |
Sales and distributions | (24) | (7.9) |
Settlements | 0 | 0 |
Realized and unrealized gains (losses), net | ||
Included in earnings | 15.2 | 19.1 |
Included in other comprehensive income | (4) | 7.5 |
Balance, end of period | 520.8 | 544.8 |
Changes in unrealized gains (losses) included in earnings related to financial assets still held at the reporting date | 15.2 | 19.1 |
Changes in unrealized gains (losses) included in other comprehensive income related to financial assets still held at the reporting date | (4) | 7.5 |
Level III | Other investments | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance, beginning of period | 84.6 | 79.4 |
Purchases | 0 | 0 |
Sales and distributions | (0.9) | (0.9) |
Settlements | 0 | 0 |
Realized and unrealized gains (losses), net | ||
Included in earnings | 9.5 | (2.4) |
Included in other comprehensive income | 0 | 0 |
Balance, end of period | 93.2 | 76.1 |
Changes in unrealized gains (losses) included in earnings related to financial assets still held at the reporting date | 8.6 | (3.3) |
Changes in unrealized gains (losses) included in other comprehensive income related to financial assets still held at the reporting date | $ 0 | $ 0 |
Fair Value Measurement - Level
Fair Value Measurement - Level III Financial Liabilities Measured at Fair Value (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Realized and unrealized (gains) losses, net | ||
Fair value, liability, recurring basis, unobservable input reconciliation, gain (loss), statement of income or comprehensive income | Net investment income (loss) of Consolidated Funds | Net investment income (loss) of Consolidated Funds |
Level III | Loans Payable of Consolidated Funds | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance, beginning of period | $ 6,298.6 | $ 5,491.6 |
Borrowings | 546.7 | 0.6 |
Paydowns | (207.7) | (2.1) |
Sales | (288.7) | (38.1) |
Realized and unrealized (gains) losses, net | ||
Included in earnings | 89.4 | 141.4 |
Included in other comprehensive income | (86) | 54.5 |
Balance, end of period | 6,352.3 | 5,647.9 |
Changes in unrealized (gains) losses included in earnings related to financial liabilities still held at the reporting date | 91.1 | 142.4 |
Changes in unrealized (gains) losses included in other comprehensive income related to financial liabilities still held at the reporting date | $ (87.9) | $ 54.5 |
Fair Value Measurement - Quanti
Fair Value Measurement - Quantitative Information About Level III Inputs (Details) $ in Millions | Mar. 31, 2024 USD ($) | Dec. 31, 2023 USD ($) $ / shares |
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | $ 8,167.5 | |
Fair value of liabilities | 6,353 | $ 6,298.6 |
Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | 7,566.6 | 7,379.4 |
Fair value of liabilities | 6,352.3 | 6,298.6 |
Senior secured notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of liabilities | 6,090.1 | |
Investments of Consolidated Funds | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | 6,952.6 | 6,762.2 |
Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | 7.8 | |
BDC preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | 90.1 | 81.7 |
Consensus Pricing | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | 3 | 3.3 |
Consensus Pricing | Bonds | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | 500.4 | 522.5 |
Consensus Pricing | Loans | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | $ 6,040.8 | $ 5,829.3 |
Consensus Pricing | Indicative Quotes | Minimum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0 | 0 |
Consensus Pricing | Indicative Quotes | Minimum | Bonds | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.30 | 0.30 |
Consensus Pricing | Indicative Quotes | Minimum | Loans | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0 | 0 |
Consensus Pricing | Indicative Quotes | Maximum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 203.50 | 208.38 |
Consensus Pricing | Indicative Quotes | Maximum | Bonds | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 1.08 | 1.05 |
Consensus Pricing | Indicative Quotes | Maximum | Loans | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 1.02 | 1.02 |
Consensus Pricing | Indicative Quotes | Weighted Average | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.08 | 0.11 |
Consensus Pricing | Indicative Quotes | Weighted Average | Bonds | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.93 | 0.90 |
Consensus Pricing | Indicative Quotes | Weighted Average | Loans | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.97 | 0.95 |
Discounted Cash Flow | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | $ 317.1 | $ 322.1 |
Discounted Cash Flow | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | 44.4 | 44.4 |
Discounted Cash Flow | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | 15 | |
Discounted Cash Flow | Loans | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | 10.7 | 11 |
Discounted Cash Flow | Loan two | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | 8.9 | 9.4 |
Discounted Cash Flow | Aviation subordinated notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | $ 3.1 | $ 2.9 |
Discounted Cash Flow | Discount Rates | Minimum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.10 | 0.10 |
Discounted Cash Flow | Discount Rates | Minimum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.10 | 0.10 |
Discounted Cash Flow | Discount Rates | Minimum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.11 | |
Discounted Cash Flow | Discount Rates | Minimum | Loans | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.11 | 0.07 |
Discounted Cash Flow | Discount Rates | Minimum | Loan two | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.17 | 0.17 |
Discounted Cash Flow | Discount Rates | Minimum | Aviation subordinated notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.21 | 0.21 |
Discounted Cash Flow | Discount Rates | Maximum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.10 | 0.11 |
Discounted Cash Flow | Discount Rates | Maximum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.10 | 0.10 |
Discounted Cash Flow | Discount Rates | Maximum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.11 | |
Discounted Cash Flow | Discount Rates | Maximum | Loans | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.21 | 0.16 |
Discounted Cash Flow | Discount Rates | Maximum | Loan two | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.17 | 0.17 |
Discounted Cash Flow | Discount Rates | Maximum | Aviation subordinated notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.21 | 0.21 |
Discounted Cash Flow | Discount Rates | Weighted Average | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.10 | 0.10 |
Discounted Cash Flow | Discount Rates | Weighted Average | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.10 | 0.10 |
Discounted Cash Flow | Discount Rates | Weighted Average | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.11 | |
Discounted Cash Flow | Discount Rates | Weighted Average | Loans | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.20 | 0.15 |
Discounted Cash Flow | Discount Rates | Weighted Average | Loan two | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.17 | 0.17 |
Discounted Cash Flow | Discount Rates | Weighted Average | Aviation subordinated notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.21 | 0.21 |
Discounted Cash Flow | Terminal Growth Rate | Minimum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0 | 0 |
Discounted Cash Flow | Terminal Growth Rate | Minimum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0 | 0.07 |
Discounted Cash Flow | Terminal Growth Rate | Minimum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.05 | |
Discounted Cash Flow | Terminal Growth Rate | Maximum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.07 | 0.07 |
Discounted Cash Flow | Terminal Growth Rate | Maximum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.07 | 0.07 |
Discounted Cash Flow | Terminal Growth Rate | Maximum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.05 | |
Discounted Cash Flow | Terminal Growth Rate | Weighted Average | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.05 | 0.05 |
Discounted Cash Flow | Terminal Growth Rate | Weighted Average | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.05 | 0.07 |
Discounted Cash Flow | Terminal Growth Rate | Weighted Average | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.05 | |
Discounted Cash Flow | Constant Prepayment Rate | Minimum | Loans | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.08 | |
Discounted Cash Flow | Constant Prepayment Rate | Minimum | Loan two | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.08 | |
Discounted Cash Flow | Constant Prepayment Rate | Maximum | Loans | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.08 | |
Discounted Cash Flow | Constant Prepayment Rate | Maximum | Loan two | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.08 | |
Discounted Cash Flow | Constant Prepayment Rate | Weighted Average | Loans | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.08 | |
Discounted Cash Flow | Constant Prepayment Rate | Weighted Average | Loan two | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.08 | |
Discounted Cash Flow | Default Rates | Minimum | Loans | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.01 | |
Discounted Cash Flow | Default Rates | Minimum | Loan two | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.01 | |
Discounted Cash Flow | Default Rates | Maximum | Loans | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.01 | |
Discounted Cash Flow | Default Rates | Maximum | Loan two | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.01 | |
Discounted Cash Flow | Default Rates | Weighted Average | Loans | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.01 | |
Discounted Cash Flow | Default Rates | Weighted Average | Loan two | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.01 | |
Discounted Cash Flow | Recovery Rates | Minimum | Loans | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0 | |
Discounted Cash Flow | Recovery Rates | Maximum | Loans | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0 | |
Discounted Cash Flow | Recovery Rates | Weighted Average | Loans | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0 | |
Comparable Multiple | EBITDA Multiple | Minimum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 12.7 | 12.7 |
Comparable Multiple | EBITDA Multiple | Minimum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 7.3 | |
Comparable Multiple | EBITDA Multiple | Maximum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 12.7 | 12.7 |
Comparable Multiple | EBITDA Multiple | Maximum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 7.3 | |
Comparable Multiple | EBITDA Multiple | Weighted Average | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 12.7 | 12.7 |
Comparable Multiple | EBITDA Multiple | Weighted Average | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 7.3 | |
Comparable Multiple | TCF Multiple | Minimum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 25 | 24.3 |
Comparable Multiple | TCF Multiple | Minimum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 25 | 24.3 |
Comparable Multiple | TCF Multiple | Maximum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 25 | 24.3 |
Comparable Multiple | TCF Multiple | Maximum | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 25 | 24.3 |
Comparable Multiple | TCF Multiple | Weighted Average | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 25 | 24.3 |
Comparable Multiple | TCF Multiple | Weighted Average | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 25 | 24.3 |
Consensus Pricing with Discounted Cash Flow | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of liabilities | $ 188 | $ 190 |
Consensus Pricing with Discounted Cash Flow | Senior secured notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | 458.7 | 472.2 |
Consensus Pricing with Discounted Cash Flow | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | $ 61 | $ 59.4 |
Consensus Pricing with Discounted Cash Flow | Indicative Quotes | Minimum | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Liabilities, measurement input | 0.19 | 0.16 |
Consensus Pricing with Discounted Cash Flow | Indicative Quotes | Minimum | Senior secured notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.75 | 0.72 |
Consensus Pricing with Discounted Cash Flow | Indicative Quotes | Minimum | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.06 | 0.06 |
Consensus Pricing with Discounted Cash Flow | Indicative Quotes | Maximum | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Liabilities, measurement input | 0.94 | 1.03 |
Consensus Pricing with Discounted Cash Flow | Indicative Quotes | Maximum | Senior secured notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 1 | 1.01 |
Consensus Pricing with Discounted Cash Flow | Indicative Quotes | Maximum | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.93 | 0.90 |
Consensus Pricing with Discounted Cash Flow | Indicative Quotes | Weighted Average | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Liabilities, measurement input | 0.56 | 0.41 |
Consensus Pricing with Discounted Cash Flow | Indicative Quotes | Weighted Average | Senior secured notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.98 | 0.96 |
Consensus Pricing with Discounted Cash Flow | Indicative Quotes | Weighted Average | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.42 | 0.40 |
Consensus Pricing with Discounted Cash Flow | Discount Rates | Minimum | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Liabilities, measurement input | 0.14 | 0.14 |
Consensus Pricing with Discounted Cash Flow | Discount Rates | Minimum | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.11 | 0.11 |
Consensus Pricing with Discounted Cash Flow | Discount Rates | Maximum | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Liabilities, measurement input | 0.30 | 0.30 |
Consensus Pricing with Discounted Cash Flow | Discount Rates | Maximum | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.35 | 0.40 |
Consensus Pricing with Discounted Cash Flow | Discount Rates | Weighted Average | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Liabilities, measurement input | 0.19 | 0.21 |
Consensus Pricing with Discounted Cash Flow | Discount Rates | Weighted Average | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.21 | 0.21 |
Consensus Pricing with Discounted Cash Flow | Discount Margins | Minimum | Senior secured notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.0110 | 0.0139 |
Consensus Pricing with Discounted Cash Flow | Discount Margins | Maximum | Senior secured notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.1613 | 0.1600 |
Consensus Pricing with Discounted Cash Flow | Discount Margins | Weighted Average | Senior secured notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.0267 | 0.0319 |
Consensus Pricing with Discounted Cash Flow | Default Rates | Minimum | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Liabilities, measurement input | 0.02 | 0.02 |
Consensus Pricing with Discounted Cash Flow | Default Rates | Minimum | Senior secured notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.02 | 0.02 |
Consensus Pricing with Discounted Cash Flow | Default Rates | Minimum | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.02 | 0.01 |
Consensus Pricing with Discounted Cash Flow | Default Rates | Maximum | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Liabilities, measurement input | 0.02 | 0.02 |
Consensus Pricing with Discounted Cash Flow | Default Rates | Maximum | Senior secured notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.02 | 0.02 |
Consensus Pricing with Discounted Cash Flow | Default Rates | Maximum | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.02 | 0.02 |
Consensus Pricing with Discounted Cash Flow | Default Rates | Weighted Average | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Liabilities, measurement input | 0.02 | 0.02 |
Consensus Pricing with Discounted Cash Flow | Default Rates | Weighted Average | Senior secured notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.02 | 0.02 |
Consensus Pricing with Discounted Cash Flow | Default Rates | Weighted Average | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.02 | 0.02 |
Consensus Pricing with Discounted Cash Flow | Recovery Rates | Minimum | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Liabilities, measurement input | 0.60 | 0.60 |
Consensus Pricing with Discounted Cash Flow | Recovery Rates | Minimum | Senior secured notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.60 | 0.60 |
Consensus Pricing with Discounted Cash Flow | Recovery Rates | Minimum | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.60 | 0.60 |
Consensus Pricing with Discounted Cash Flow | Recovery Rates | Maximum | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Liabilities, measurement input | 0.60 | 0.60 |
Consensus Pricing with Discounted Cash Flow | Recovery Rates | Maximum | Senior secured notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.60 | 0.60 |
Consensus Pricing with Discounted Cash Flow | Recovery Rates | Maximum | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.60 | 0.60 |
Consensus Pricing with Discounted Cash Flow | Recovery Rates | Weighted Average | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Liabilities, measurement input | 0.60 | 0.60 |
Consensus Pricing with Discounted Cash Flow | Recovery Rates | Weighted Average | Senior secured notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.60 | 0.60 |
Consensus Pricing with Discounted Cash Flow | Recovery Rates | Weighted Average | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.60 | 0.60 |
Liquidation Analysis | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | $ 0.1 | |
Liquidation Analysis | % of Net Book Value | Minimum | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0 | |
Liquidation Analysis | % of Net Book Value | Maximum | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.10 | |
Liquidation Analysis | % of Net Book Value | Weighted Average | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.03 | |
Market Yield Analysis | BDC preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | $ 90.1 | $ 81.7 |
Market Yield Analysis | Market Yields | Minimum | BDC preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.11 | 0.11 |
Market Yield Analysis | Market Yields | Maximum | BDC preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.11 | 0.11 |
Market Yield Analysis | Market Yields | Weighted Average | BDC preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Assets, measurement input | 0.11 | 0.11 |
Other | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of liabilities | $ 11.3 | |
Other | Senior secured notes | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of liabilities | 6,153 | |
Other | Equity securities | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | $ 7.8 | |
Other | Loans | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | 4.5 | 12.4 |
Other | Subordinated notes and preferred shares | Level III | ||
Fair Value Assets And Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair value of assets | $ 1 | 1 |
Fair value of liabilities | $ 18.5 |
Investments - Investments (Deta
Investments - Investments (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Investments [Abstract] | ||
Accrued performance allocations | $ 5,567.6 | $ 6,169.9 |
Principal equity method investments, excluding performance allocations | 3,145.4 | 3,024.1 |
Principal investments in CLOs | 520.8 | 532.6 |
Other investments | 239.4 | 228.7 |
Total | $ 9,473.2 | $ 9,955.3 |
Investments - Components of Acc
Investments - Components of Accrued Performance Fees (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Segment Reporting Information [Line Items] | ||
Accrued performance allocations | $ 5,567.6 | $ 6,169.9 |
Global Private Equity | ||
Segment Reporting Information [Line Items] | ||
Accrued performance allocations | 3,547.7 | 4,310.7 |
Global Credit | ||
Segment Reporting Information [Line Items] | ||
Accrued performance allocations | 381.6 | 323.4 |
Global Investment Solutions | ||
Segment Reporting Information [Line Items] | ||
Accrued performance allocations | $ 1,638.3 | $ 1,535.8 |
Investments - Accrued Performan
Investments - Accrued Performance Fees (Details) - financingVehicle | Mar. 31, 2024 | Dec. 31, 2023 |
Investments [Abstract] | ||
Number of partnerships corporate private equity funds related to accrued performance fees | 0 | 0 |
Investments - Components of A_2
Investments - Components of Accrued Giveback Obligations (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Segment Reporting Information [Line Items] | ||
Accrued giveback obligations | $ (44) | $ (44) |
Global Private Equity | ||
Segment Reporting Information [Line Items] | ||
Accrued giveback obligations | (18.4) | (18.4) |
Global Credit | ||
Segment Reporting Information [Line Items] | ||
Accrued giveback obligations | $ (25.6) | $ (25.6) |
Investments - Principal Investm
Investments - Principal Investments (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Segment Reporting Information [Line Items] | ||
Total | $ 3,145.4 | $ 3,024.1 |
Global Private Equity | ||
Segment Reporting Information [Line Items] | ||
Total | 1,781.1 | 1,798.3 |
Global Private Equity | NGP Management | ||
Segment Reporting Information [Line Items] | ||
Total | 918 | 916.2 |
Global Credit | ||
Segment Reporting Information [Line Items] | ||
Total | 1,114.8 | 987.4 |
Global Credit | Fortitude Group Holdings, LLC | ||
Segment Reporting Information [Line Items] | ||
Total | 709.3 | 595.4 |
Global Investment Solutions | ||
Segment Reporting Information [Line Items] | ||
Total | $ 249.5 | $ 238.4 |
Investments - Investment in For
Investments - Investment in Fortitude (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | |||||||
Jun. 02, 2020 | Nov. 13, 2018 | Oct. 31, 2023 | May 31, 2023 | May 31, 2022 | Mar. 31, 2022 | May 31, 2020 | Mar. 31, 2024 | Dec. 31, 2023 | |
Schedule of Equity Method Investments [Line Items] | |||||||||
Investment | $ 3,145.4 | $ 3,024.1 | |||||||
Fortitude Group Holdings, LLC | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Ownership percentage acquired | 19.90% | ||||||||
Purchase of investment in Fortitude Re | $ 381 | ||||||||
Deferred consideration, maximum | 95 | ||||||||
Purchase price adjustment, maximum | $ 99.5 | ||||||||
Purchase price adjustment, payable upon inability to make distribution | $ 79.6 | 19.9 | |||||||
Fortitude Group Holdings, LLC | Fortitude Re | Maximum | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Committed capital | 17,900 | ||||||||
Fortitude Group Holdings, LLC | Carlyle FRL | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Ownership interest transferred | 19.90% | ||||||||
Fortitude Group Holdings, LLC | Carlyle FRL | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Ownership percentage acquired | 51.60% | 38.50% | 97.50% | ||||||
Ownership percentage | 71.50% | ||||||||
Fortitude Group Holdings, LLC | T&D | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Ownership percentage acquired | 25% | ||||||||
Fortitude Group Holdings, LLC | Carlyle FRL and T&D | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Ownership percentage | 96.50% | ||||||||
Fortitude Re | Fortitude Group Holdings, LLC | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Ownership percentage | 100% | ||||||||
Carlyle FRL | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Equity capital raised | $ 1,000 | $ 1,100 | $ 2,000 | ||||||
Investment loss | $ 176.9 | 104 | |||||||
Investment | 709.3 | ||||||||
Investment, cost | $ 679.6 | ||||||||
Carlyle FRL | Fortitude Group Holdings, LLC | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Ownership percentage | 10.50% | 13.50% | |||||||
Carlyle FRL | Fortitude Group Holdings, LLC | Maximum | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Ownership percentage | 19.90% | ||||||||
Carlyle FRL | Fortitude Group Holdings, LLC | Minimum | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Ownership percentage | 13.50% | ||||||||
Carlyle FRL | T&D | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Investment company, committed capital | $ 100 |
Investments - Investments in NG
Investments - Investments in NGP (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Schedule of Equity Method Investments [Line Items] | ||
Total | $ 3,145.4 | $ 3,024.1 |
Global Private Equity | ||
Schedule of Equity Method Investments [Line Items] | ||
Total | 1,781.1 | 1,798.3 |
Investment in NGP Management | Global Private Equity | ||
Schedule of Equity Method Investments [Line Items] | ||
Total | 369.3 | 370.5 |
Investments in NGP general partners - accrued performance allocations | Global Private Equity | ||
Schedule of Equity Method Investments [Line Items] | ||
Total | 488.4 | 484.4 |
Principal investments in NGP funds | Global Private Equity | ||
Schedule of Equity Method Investments [Line Items] | ||
Total | 60.3 | 61.3 |
Total investments in NGP | Global Private Equity | ||
Schedule of Equity Method Investments [Line Items] | ||
Total | $ 918 | $ 916.2 |
Investments - Investment in NGP
Investments - Investment in NGP (Additional Information) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Schedule of Equity Method Investments [Line Items] | ||
Performance allocations, percentage (percent) | 47.50% | |
NGP Management | ||
Schedule of Equity Method Investments [Line Items] | ||
Net investment earnings related to performance allocations | $ 15.3 | $ 1.7 |
Net investment (losses) earnings related to principal investment income | $ 2 | $ (0.1) |
Minimum | ||
Schedule of Equity Method Investments [Line Items] | ||
Performance allocations, carry funds, percentage (percent) | 40% | |
Minimum | NGP Management | ||
Schedule of Equity Method Investments [Line Items] | ||
Management fee, percentage of commitments (percent) | 1% | |
Management fee, percentage of invested capital (percent) | 0.50% | |
Maximum | ||
Schedule of Equity Method Investments [Line Items] | ||
Performance allocations, carry funds, percentage (percent) | 42.75% | |
Maximum | NGP Management | ||
Schedule of Equity Method Investments [Line Items] | ||
Management fee, percentage of commitments (percent) | 2% | |
Management fee, percentage of invested capital (percent) | 2% | |
Management Fee Related Revenues | Investment in NGP Management | ||
Schedule of Equity Method Investments [Line Items] | ||
Management fee-related revenues, allocation percentage (percent) | 55% |
Investments - Net Investment Ea
Investments - Net Investment Earnings (Loss) (Details) - NGP Management - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Schedule of Equity Method Investments [Line Items] | ||
Management fee related revenues from NGP Management | $ 17.3 | $ 18.1 |
Expenses related to the investment in NGP Management | (3.2) | (3.4) |
Net investment income from NGP Management | $ 14.1 | $ 14.7 |
Investments - Principal Inves_2
Investments - Principal Investments in CLOs and Other Investments (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
TCG BDC, Inc. | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Trading securities | $ 90.1 | $ 81.7 |
CLO Senior and Subordinated Notes and Derivative Instruments | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Trading securities | $ 520.8 | $ 532.6 |
Investments - Components of Inv
Investments - Components of Investment Income (Loss) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Net Investment Income [Line Items] | ||
Investment income (loss) | $ (83.9) | $ 172.5 |
Performance allocations - realized | ||
Net Investment Income [Line Items] | ||
Investment income (loss) | 389.7 | 179.6 |
Performance allocations - unrealized | ||
Net Investment Income [Line Items] | ||
Investment income (loss) | (546.7) | (18.8) |
Performance allocations | ||
Net Investment Income [Line Items] | ||
Investment income (loss) | (157) | 160.8 |
Principal investment income (loss) from equity method investments (excluding performance allocations) - realized | ||
Net Investment Income [Line Items] | ||
Investment income (loss) | 53.7 | 38.5 |
Principal investment income (loss) from equity method investments (excluding performance allocations) - unrealized | ||
Net Investment Income [Line Items] | ||
Investment income (loss) | (6.6) | (30.2) |
Principal investment income (loss) from equity method investments | ||
Net Investment Income [Line Items] | ||
Investment income (loss) | 47.1 | 8.3 |
Principal investment income (loss) from investments in CLOs and other investments - realized | ||
Net Investment Income [Line Items] | ||
Investment income (loss) | 2.2 | (1.1) |
Principal investment income (loss) from investments in CLOs and other investments - unrealized | ||
Net Investment Income [Line Items] | ||
Investment income (loss) | 23.8 | 4.5 |
Principal investment income (loss) from investments in CLOs and other investments - unrealized | Corporate Investment | ||
Net Investment Income [Line Items] | ||
Investment income (loss) | 13.3 | |
Principal investment income (loss) from investments in CLOs and other investments | ||
Net Investment Income [Line Items] | ||
Investment income (loss) | $ 26 | $ 3.4 |
Investments - Performance Alloc
Investments - Performance Allocations Included in Revenues (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Schedule of Investments [Line Items] | ||
Total | $ (157) | $ 160.8 |
Global Private Equity | ||
Schedule of Investments [Line Items] | ||
Total | (363.5) | (3.8) |
Global Credit | ||
Schedule of Investments [Line Items] | ||
Total | 65.1 | 33.4 |
Global Investment Solutions | ||
Schedule of Investments [Line Items] | ||
Total | $ 141.4 | $ 131.2 |
Investments - Primary Drivers O
Investments - Primary Drivers Of Performance Allocation (Details) - Revenue Benchmark - Customer concentration risk - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Carlyle Europe Partners V, L.P. | ||
Segment Reporting Information [Line Items] | ||
Fund management fees and incentive fees | $ (171.5) | |
Carlyle Partners VI, L.P. | ||
Segment Reporting Information [Line Items] | ||
Fund management fees and incentive fees | (86.7) | $ (74.4) |
Carlyle Partners VII, L.P | ||
Segment Reporting Information [Line Items] | ||
Fund management fees and incentive fees | $ (73.1) |
Investments - Income (Loss) fro
Investments - Income (Loss) from Principal Investments (Details) - Principal investment income (loss) from equity method investments - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Schedule of Investments [Line Items] | ||
Principal investment income from equity method investments | $ 47.1 | $ 8.3 |
Global Private Equity | ||
Schedule of Investments [Line Items] | ||
Principal investment income from equity method investments | 28.8 | 17.8 |
Global Credit | ||
Schedule of Investments [Line Items] | ||
Principal investment income from equity method investments | 11.4 | (18.9) |
Global Investment Solutions | ||
Schedule of Investments [Line Items] | ||
Principal investment income from equity method investments | $ 6.9 | $ 9.4 |
Investments - Investments of Co
Investments - Investments of Consolidated Funds (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Dec. 31, 2023 | |
Schedule of Investments [Line Items] | ||
Investments measured at net asset value | $ 7,962.9 | |
Minimum percent of aggregate assets for individual investments with fair value | 5% | |
Consolidated VIEs | Equity securities | ||
Schedule of Investments [Line Items] | ||
Investments measured at net asset value | $ 332.1 | $ 322 |
Investments - Interest and Othe
Investments - Interest and Other Income of Consolidated Funds (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Investments [Abstract] | ||
Interest income from investments | $ 142.6 | $ 109.8 |
Other income | 22.3 | 12.1 |
Total | $ 164.9 | $ 121.9 |
Investments - Net Investment Ga
Investments - Net Investment Gains (Losses) of Consolidated Funds (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Investments [Abstract] | ||
Gains from investments of Consolidated Funds | $ 82.7 | $ 145 |
Losses from liabilities of CLOs | (89.7) | (141.4) |
Total | $ (7) | $ 3.6 |
Investments - Realized and Unre
Investments - Realized and Unrealized Gains (Losses) Earned from Investments of Consolidated Funds (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Investments [Abstract] | ||
Realized losses | $ (21.2) | $ (17.4) |
Net change in unrealized gains | 103.9 | 162.4 |
Total | $ 82.7 | $ 145 |
Intangible Assets and Goodwil_2
Intangible Assets and Goodwill - Carrying Amount of Intangible Assets (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Acquired contractual rights | $ 923.3 | $ 924.1 |
Accumulated amortization | (294.4) | (262) |
Finite-lived intangible assets, net | 628.9 | 662.1 |
Goodwill | 103.9 | 104 |
Intangible Assets, net | $ 732.8 | $ 766.1 |
Intangible Assets and Goodwil_3
Intangible Assets and Goodwill - Additional Information (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Impairment of intangible assets | $ 0 | $ 0 |
Intangible asset amortization expense | $ 32,600,000 | $ 32,800,000 |
Intangible Assets and Goodwil_4
Intangible Assets and Goodwill - Estimated Amortization Expense (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
2024 (excluding the three months ended March 31, 2024) | $ 98.3 | |
2025 | 131 | |
2026 | 130.9 | |
2027 | 120.8 | |
2028 | 113.7 | |
Thereafter | 34.2 | |
Finite-lived intangible assets, net | $ 628.9 | $ 662.1 |
Borrowings - Debt Obligations (
Borrowings - Debt Obligations (Details) - USD ($) | Mar. 31, 2024 | Dec. 31, 2023 | Jun. 30, 2021 | May 31, 2021 |
Debt Instrument [Line Items] | ||||
Borrowing Outstanding | $ 2,283,100,000 | $ 2,306,700,000 | ||
Carrying Value | 2,259,000,000 | 2,281,000,000 | ||
CLO Borrowings | ||||
Debt Instrument [Line Items] | ||||
Borrowing Outstanding | 408,100,000 | 431,700,000 | ||
Carrying Value | $ 404,200,000 | 426,400,000 | ||
3.500% Senior Notes Due 9/19/2029 | ||||
Debt Instrument [Line Items] | ||||
Interest rate (percent) | 3.50% | |||
Borrowing Outstanding | $ 425,000,000 | 425,000,000 | ||
Carrying Value | $ 422,600,000 | 422,500,000 | ||
5.625% Senior Notes Due 3/30/2043 | ||||
Debt Instrument [Line Items] | ||||
Interest rate (percent) | 5.625% | |||
Borrowing Outstanding | $ 600,000,000 | 600,000,000 | ||
Carrying Value | $ 600,500,000 | 600,600,000 | ||
5.650% Senior Notes Due 9/15/2048 | ||||
Debt Instrument [Line Items] | ||||
Interest rate (percent) | 5.65% | |||
Borrowing Outstanding | $ 350,000,000 | 350,000,000 | ||
Carrying Value | $ 346,500,000 | 346,400,000 | ||
4.625% Subordinated Notes Due 5/15/2061 | ||||
Debt Instrument [Line Items] | ||||
Interest rate (percent) | 4.625% | 4.625% | ||
Borrowing Outstanding | $ 500,000,000 | 500,000,000 | $ 65,000,000 | $ 435,000,000 |
Carrying Value | $ 485,200,000 | $ 485,100,000 |
Borrowings - Additional Informa
Borrowings - Additional Information (Details) € in Millions | 1 Months Ended | 3 Months Ended | |||||||||
Aug. 31, 2023 USD ($) | Mar. 31, 2024 USD ($) | Mar. 31, 2023 USD ($) | Mar. 31, 2024 EUR (€) | Dec. 31, 2023 USD ($) | Jul. 31, 2023 USD ($) | Jun. 30, 2021 USD ($) | May 31, 2021 USD ($) | Feb. 28, 2017 EUR (€) | Mar. 31, 2014 USD ($) | Mar. 31, 2013 USD ($) | |
Debt Instrument [Line Items] | |||||||||||
Interest expense | $ 30,800,000 | $ 29,700,000 | |||||||||
Borrowings | 2,283,100,000 | $ 2,306,700,000 | |||||||||
Fair value of collateralized loan obligation assets | $ 7,100,000,000 | 6,800,000,000 | |||||||||
Senior Notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Debt redemption price percentage (percent) | 100% | ||||||||||
CLO Borrowings | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Interest expense | $ 6,800,000 | 5,200,000 | |||||||||
Borrowings | 408,100,000 | 431,700,000 | |||||||||
CLO Term Loan February 2017 Maturing September 2029 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Borrowings | $ 34,200,000 | € 31.7 | |||||||||
CLO Term Loan February 2017 Maturing September 2029 | Euribor | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Interest rate under credit facility | 6.30% | 6.30% | |||||||||
Master Credit Agreements - Term Loans | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Outstanding borrowings | $ 79,200,000 | ||||||||||
CLO Financing Facility | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Outstanding borrowings | 227,700,000 | € 211 | |||||||||
CBAM CLO Financing Facility | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Borrowing capacity | € | 100 | ||||||||||
Outstanding borrowings | 66,800,000 | € 61.9 | |||||||||
5.650% Senior Notes Due 9/15/2048 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Borrowings | $ 350,000,000 | 350,000,000 | |||||||||
Interest rate (percent) | 5.65% | 5.65% | |||||||||
5.650% Senior Notes Due 9/15/2048 | Senior Notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Borrowings | $ 350,000,000 | ||||||||||
Fair value of debt | $ 337,800,000 | 336,000,000 | |||||||||
5.650% Senior Notes Due 9/15/2048 | Treasury rate | Senior Notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Discount rate, spread on variable rate | 0.40% | ||||||||||
5.625% Senior Notes Due 3/30/2043 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Borrowings | $ 600,000,000 | 600,000,000 | |||||||||
Interest rate (percent) | 5.625% | 5.625% | |||||||||
5.625% Senior Notes Due 3/30/2043 | Senior Notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Borrowings | $ 600,000,000 | $ 200,000,000 | $ 400,000,000 | ||||||||
Fair value of debt | $ 588,000,000 | 594,600,000 | |||||||||
5.625% Senior Notes Due 3/30/2043 | Treasury rate | Senior Notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Discount rate, spread on variable rate | 0.40% | ||||||||||
3.500% Senior Notes Due 9/19/2029 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Borrowings | $ 425,000,000 | 425,000,000 | |||||||||
Interest rate (percent) | 3.50% | 3.50% | |||||||||
3.500% Senior Notes Due 9/19/2029 | Senior Notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Borrowings | $ 425,000,000 | ||||||||||
Interest rate (percent) | 3.50% | 3.50% | |||||||||
Fair value of debt | $ 393,900,000 | 401,900,000 | |||||||||
3.500% Senior Notes Due 9/19/2029 | Treasury rate | Senior Notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Discount rate, spread on variable rate | 0.30% | ||||||||||
4.625% Subordinated Notes Due 5/15/2061 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Interest expense | $ 5,900,000 | $ 5,900,000 | |||||||||
Borrowings | $ 500,000,000 | 500,000,000 | $ 65,000,000 | $ 435,000,000 | |||||||
Debt redemption price percentage (percent) | 102% | ||||||||||
Interest rate (percent) | 4.625% | 4.625% | 4.625% | ||||||||
Period from tax redemption event that debt may be redeemed | 120 days | ||||||||||
Period from rating agency event that debt may be redeemed | 90 days | ||||||||||
Fair value of debt | $ 390,200,000 | 411,800,000 | |||||||||
Revolving Credit Facility | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Borrowing capacity | $ 1,000,000,000 | ||||||||||
Interest rate under credit facility | 6.43% | 6.43% | |||||||||
Borrowings under credit facilities | $ 0 | ||||||||||
Repayments under credit facility | 0 | ||||||||||
Outstanding borrowings | 0 | ||||||||||
Fair value of debt | $ 182,800,000 | $ 177,900,000 | |||||||||
Revolving Credit Facility | Base rate | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Margin spread on interest rate (percent) | 0.50% | ||||||||||
Revolving Credit Facility | SOFR | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Margin spread on interest rate (percent) | 0.10% | ||||||||||
Revolving Credit Facility | SOFR | Maximum | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Margin spread on interest rate (percent) | 1.50% | ||||||||||
Revolving Credit Facility | Global Credit Revolving Credit Facility | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Borrowing capacity | $ 300,000,000 | $ 200,000,000 | $ 250,000,000 | ||||||||
Outstanding borrowings | 0 | ||||||||||
Borrowings under credit facility | $ 0 | ||||||||||
Revolving Credit Facility | Global Credit Revolving Credit Facility | Base rate | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Margin spread on interest rate (percent) | 1% | ||||||||||
Revolving Credit Facility | Global Credit Revolving Credit Facility | SOFR | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Margin spread on interest rate (percent) | 2% |
Borrowings - CLO Borrowings (De
Borrowings - CLO Borrowings (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Dec. 31, 2023 | |
CLO Term Loan February 2017 Maturing September 2029 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 34.2 | $ 39.9 |
CLO Term Loan February 2017 Maturing September 2029 | Euribor | ||
Debt Instrument [Line Items] | ||
Interest Rate | 6.30% | |
CLO Term Loan June 2017 Maturing July 20, 2030 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 40.7 | 45.6 |
CLO Term Loan June 2017 Maturing July 20, 2030 | SOFR | ||
Debt Instrument [Line Items] | ||
Interest Rate | 6.77% | |
Margin spread on interest rate (percent) | 1.45% | |
CLO Term Loan December 2017 Maturing January 15, 2031 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 38.5 | 41.1 |
CLO Term Loan December 2017 Maturing January 15, 2031 | SOFR | ||
Debt Instrument [Line Items] | ||
Interest Rate | 6.97% | |
Margin spread on interest rate (percent) | 1.66% | |
CLO Term Loan March 2019 Maturing March 2032 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 1.8 | 1.8 |
CLO Term Loan March 2019 Maturing March 2032 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 12.05% | |
CLO Term Loan August 2019 Maturing August 2032 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 3.9 | 4 |
CLO Term Loan August 2019 Maturing August 2032 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 8.64% | |
CLO Term Loan September 2020 Maturing April 2033 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 19.2 | 19.7 |
CLO Term Loan September 2020 Maturing April 2033 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.53% | |
CLO Term Loan Maturing January 2034 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 20.1 | 20.6 |
CLO Term Loan Maturing January 2034 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 6.44% | |
CLO Term Loan Maturing August 2030 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 14.8 | 16.8 |
CLO Term Loan Maturing August 2030 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.34% | |
CLO Term Loan March 2021 Maturing March 2032 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 18 | 18.6 |
CLO Term Loan March 2021 Maturing March 2032 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.65% | |
CLO Term Loan Maturing April 2033 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 3.5 | 3.6 |
CLO Term Loan Maturing April 2033 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 9.79% | |
CLO Term Loan May2021 Maturing November2031 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 15.1 | 15.5 |
CLO Term Loan May2021 Maturing November2031 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.27% | |
CLO Term Loan June 2021 Maturing January 2034 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 20.2 | 20.7 |
CLO Term Loan June 2021 Maturing January 2034 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 6.22% | |
CLO Term Loan Maturing November 2031 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 1.3 | 1.3 |
CLO Term Loan Maturing November 2031 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 6.75% | |
CLO Term Loan July 2021 Maturing July 15, 2034 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 15.1 | 15.5 |
CLO Term Loan July 2021 Maturing July 15, 2034 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 6.23% | |
CLO Term Loan July 2021 Maturing July 20, 2031 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 20.1 | 20.6 |
CLO Term Loan July 2021 Maturing July 20, 2031 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 6.25% | |
CLO Term Loan August 2021 Maturing August 2032 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 16.3 | 16.7 |
CLO Term Loan August 2021 Maturing August 2032 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.65% | |
CLO Term Loan October 2021 Maturing October 2035 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 23.4 | 24 |
CLO Term Loan October 2021 Maturing October 2035 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 6.35% | |
CLO Term Loan November 2021 Maturing January 2034 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 14 | 14.3 |
CLO Term Loan November 2021 Maturing January 2034 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 6.03% | |
CLO Term Loan January 2022 Maturing February 15, 2035 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 20.2 | 20.7 |
CLO Term Loan January 2022 Maturing February 15, 2035 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 6.28% | |
CLO Term Loan February 2022 Maturing November 10, 2035 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 20.3 | 20.8 |
CLO Term Loan February 2022 Maturing November 10, 2035 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 6.35% | |
CLO Term Loan July 2022 Maturing January 13, 2035 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 17 | 17.5 |
CLO Term Loan July 2022 Maturing January 13, 2035 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 7.26% | |
CLO Term Loan October 2022 Maturing October 2035 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 17.7 | 18.1 |
CLO Term Loan October 2022 Maturing October 2035 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 7.69% | |
CLO Term Loan September 2023 Maturing August 2031 | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 12.7 | 14.3 |
CLO Term Loan September 2023 Maturing August 2031 | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.47% | |
CLO Borrowings | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | $ 408.1 | $ 431.7 |
CLO Term Loan Various | Average Effective Interest Rate | ||
Debt Instrument [Line Items] | ||
Margin spread on interest rate (percent) | 0.50% |
Borrowings - Senior Notes (Deta
Borrowings - Senior Notes (Details) - USD ($) $ in Millions | 3 Months Ended | ||||||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | Sep. 30, 2019 | Sep. 30, 2018 | Mar. 31, 2014 | Mar. 31, 2013 | |
Debt Instrument [Line Items] | |||||||
Aggregate Principal Amount | $ 2,283.1 | $ 2,306.7 | |||||
Interest Expense | $ 17.2 | $ 17.2 | |||||
3.500% Senior Notes Due 9/19/2029 | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate (percent) | 3.50% | ||||||
Aggregate Principal Amount | $ 425 | 425 | |||||
5.625% Senior Notes Due 3/30/2043 | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate (percent) | 5.625% | ||||||
Aggregate Principal Amount | $ 600 | 600 | |||||
5.650% Senior Notes Due 9/15/2048 | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate (percent) | 5.65% | ||||||
Aggregate Principal Amount | $ 350 | 350 | |||||
Senior Notes | 3.500% Senior Notes Due 9/19/2029 | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate (percent) | 3.50% | ||||||
Aggregate Principal Amount | $ 425 | ||||||
Fair Value | 393.9 | 401.9 | |||||
Interest Expense | 3.8 | 3.8 | |||||
Senior notes percentage of par value (percent) | 99.841% | ||||||
Senior Notes | 5.625% Senior Notes Due 3/30/2043 | |||||||
Debt Instrument [Line Items] | |||||||
Aggregate Principal Amount | 600 | $ 200 | $ 400 | ||||
Fair Value | 588 | 594.6 | |||||
Interest Expense | 8.4 | 8.4 | |||||
Senior notes percentage of par value (percent) | 104.315% | 99.583% | |||||
Senior Notes | 5.650% Senior Notes Due 9/15/2048 | |||||||
Debt Instrument [Line Items] | |||||||
Aggregate Principal Amount | 350 | ||||||
Fair Value | 337.8 | $ 336 | |||||
Interest Expense | $ 5 | $ 5 | |||||
Senior notes percentage of par value (percent) | 99.914% |
Borrowings - Outstanding Loans
Borrowings - Outstanding Loans Payable of Consolidated Funds (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended |
Mar. 31, 2024 | Dec. 31, 2023 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Fair value of liabilities | $ 6,353 | $ 6,298.6 |
Revolving credit facilities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Borrowing Outstanding | 182.8 | 177.9 |
Fair Value | $ 182.8 | $ 177.9 |
Weighted Average Interest Rate | 6.57% | 6.46% |
Weighted Average Remaining Maturity in Years | 4 years 8 months 26 days | 5 years 18 days |
Loans Payable of Consolidated Funds | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Borrowing Outstanding | $ 6,536.3 | $ 6,523.3 |
Fair Value | 6,535.1 | 6,486.5 |
Senior secured notes | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Borrowing Outstanding | 6,133 | 6,171.9 |
Fair Value | $ 6,153 | $ 6,097.9 |
Weighted Average Interest Rate | 6.36% | 6.32% |
Weighted Average Remaining Maturity in Years | 8 years 10 months 2 days | 8 years 11 months 26 days |
Fair value of liabilities | $ 7.8 | |
Subordinated notes | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Borrowing Outstanding | $ 220.5 | 173.5 |
Fair Value | $ 199.3 | $ 210.7 |
Weighted Average Remaining Maturity in Years | 8 years 11 months 8 days | 9 years 1 month 28 days |
Fair value of liabilities | $ 2.2 |
Accrued Compensation and Bene_3
Accrued Compensation and Benefits - Components (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Retirement Benefits [Abstract] | ||
Accrued performance allocations and incentive fee related compensation | $ 3,939.4 | $ 4,255.8 |
Accrued bonuses | 110.4 | 498.2 |
Accrued pension liability | 12.4 | 13.1 |
Other | 111.7 | 155.1 |
Total | 4,173.9 | 4,922.2 |
Realized performance allocations and incentive fee-related compensation not yet paid | $ 15.1 | $ 44.5 |
Accrued Compensation and Bene_4
Accrued Compensation and Benefits - Performance Allocations and Incentive Fee Related Compensation (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Retirement Benefits [Abstract] | ||
Realized | $ 266.8 | $ 103.6 |
Unrealized | (339.6) | 2.1 |
Total | $ (72.8) | $ 105.7 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) R$ in Millions, $ in Millions | 3 Months Ended | ||
Mar. 31, 2024 USD ($) employee | Dec. 31, 2023 USD ($) | Aug. 31, 2021 BRL (R$) | |
Guarantor Obligations [Line Items] | |||
Unfunded commitments | $ 4,200 | ||
Unfunded commitment subscribed individually by senior Carlyle professionals, operating executives and other professionals | 3,600 | ||
Unfunded commitments related to origination and syndication of loans and securities | 0 | ||
Liability for potential repayment of previously received performance fees | 44 | $ 44 | |
Due from affiliates and other receivables, net | 624.1 | 691.6 | |
Amount of accrued giveback obligation of various current and former senior Carlyle professionals and other limited partners of Carlyle Holdings partnerships | 20.3 | ||
Amount of net accrued giveback obligation attributable to Carlyle Holdings | $ 23.7 | ||
Number of employees serving on board of directors | employee | 2 | ||
Proceeds from sale of investment | $ 87.5 | ||
Loss contingency accrual | 45 | ||
Affiliated Entity | |||
Guarantor Obligations [Line Items] | |||
Due from affiliates and other receivables, net | 624.1 | 691.6 | |
Unbilled receivable for giveback obligations from current and former employees | Affiliated Entity | |||
Guarantor Obligations [Line Items] | |||
Due from affiliates and other receivables, net | 11.5 | $ 11.5 | |
Guaranteed Employee Credit Facility | |||
Guarantor Obligations [Line Items] | |||
Guarantor obligations, current carrying value | 10.7 | ||
Contingent Obligations (Giveback) | |||
Guarantor Obligations [Line Items] | |||
Cash withheld from carried interest distributions for potential giveback obligations | 148.4 | ||
Amount of realized and distributed carried interest subject to potential giveback on after-tax basis | 1,500 | ||
Amount of realized and distributed carried interest subject to potential giveback on after-tax basis, responsibility of current and former senior Carlyle professionals | 600 | ||
Indemnifications | |||
Guarantor Obligations [Line Items] | |||
Guaranteed loans, aggregate program limit | $ 19.9 | R$ 100.0 |
Related Party Transactions - Am
Related Party Transactions - Amounts Due from Affiliates and Other Receivables (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Related Party Transaction [Line Items] | ||
Due from affiliates and other receivables, net | $ 624.1 | $ 691.6 |
Affiliated Entity | ||
Related Party Transaction [Line Items] | ||
Due from affiliates and other receivables, net | 624.1 | 691.6 |
Accrued incentive fees | Affiliated Entity | ||
Related Party Transaction [Line Items] | ||
Due from affiliates and other receivables, net | 23.8 | 22.9 |
Unbilled receivable for giveback obligations from current and former employees | Affiliated Entity | ||
Related Party Transaction [Line Items] | ||
Due from affiliates and other receivables, net | 11.5 | 11.5 |
Notes receivable and accrued interest from affiliates | Affiliated Entity | ||
Related Party Transaction [Line Items] | ||
Due from affiliates and other receivables, net | 39.1 | 44.2 |
Management fee receivable, net | Affiliated Entity | ||
Related Party Transaction [Line Items] | ||
Due from affiliates and other receivables, net | 272.9 | 277.8 |
Reimbursable expenses and other receivables from unconsolidated funds and affiliates, net | Affiliated Entity | ||
Related Party Transaction [Line Items] | ||
Due from affiliates and other receivables, net | $ 276.8 | $ 335.2 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | ||||
May 05, 2020 | Jan. 01, 2020 | Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Related Party Transaction [Line Items] | |||||
Maximum percentage of interest on amounts due from affiliates (percent) | 7.02% | ||||
Tax receivable agreement termination, cash payments per partnership unit exchanged (in dollars per share) | $ 1.50 | ||||
Tax receivable agreement termination, term of annual installments | 5 years | ||||
Tax receivable agreement termination, annual cash payments per partnership unit exchanged (in dollars per share) | $ 0.30 | ||||
Conversion of units, deferred consideration obligation, discount | $ 11.3 | ||||
Percentage of estimated realizable tax benefit to be paid by corporate taxpayers on exchange transactions | 85% | ||||
Interest and other income | $ 57.6 | $ 44 | |||
Fair value of assets | 8,167.5 | ||||
Level III | |||||
Related Party Transaction [Line Items] | |||||
Fair value of assets | 7,566.6 | $ 7,379.4 | |||
Level III | BDC preferred shares | |||||
Related Party Transaction [Line Items] | |||||
Fair value of assets | 90.1 | 81.7 | |||
Affiliated Entity | |||||
Related Party Transaction [Line Items] | |||||
Notes receivable and accrued interest from affiliates | $ 23.5 | $ 25 | |||
Floor rate | 3.50% | ||||
Actual rate | 0.0750 | ||||
Affiliated Entity | WSJ Prime Rate | |||||
Related Party Transaction [Line Items] | |||||
Accrued interest percentage | 1% | ||||
Related Party | Carlyle Secured Lending, Inc. | |||||
Related Party Transaction [Line Items] | |||||
Purchase of investment (in shares) | 2,000,000 | ||||
Purchase of investment (in dollars per share) | $ 25 | ||||
Dividend rate, percentage | 7% | ||||
Dividend rate, payable in shares, percentage | 9% | ||||
Initial conversion price (in usd per share) | $ 9.50 | ||||
Interest and other income | $ 0.9 | $ 0.9 |
Related Party Transactions - _2
Related Party Transactions - Amounts Due to Affiliates (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Related Party Transaction [Line Items] | ||
Due to affiliates | $ 203.6 | $ 275.9 |
Affiliated Entity | ||
Related Party Transaction [Line Items] | ||
Due to affiliates | 203.6 | 275.9 |
Affiliated Entity | Due to affiliates of Consolidated Funds | ||
Related Party Transaction [Line Items] | ||
Due to affiliates | 6.4 | 6.3 |
Affiliated Entity | Due to non-consolidated affiliates | ||
Related Party Transaction [Line Items] | ||
Due to affiliates | 93.4 | 97 |
Affiliated Entity | Amounts owed under the tax receivable agreement | ||
Related Party Transaction [Line Items] | ||
Due to affiliates | 76.2 | 79.3 |
Affiliated Entity | Deferred consideration for Carlyle Holdings units | ||
Related Party Transaction [Line Items] | ||
Due to affiliates | 0 | 68.4 |
Affiliated Entity | Other | ||
Related Party Transaction [Line Items] | ||
Due to affiliates | $ 27.6 | $ 24.9 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |||
Provision for income taxes | $ 21.9 | $ 34.3 | |
Effective tax rate (percent) | 18% | 21% | |
Income taxes payable | $ 101.4 | $ 46.9 |
Non-controlling Interests in _3
Non-controlling Interests in Consolidated Entities - Non-Controlling Interests in Consolidated Entities (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Noncontrolling Interest [Line Items] | ||
Non-controlling interests in consolidated entities | $ 669.3 | $ 593.1 |
Non-Carlyle interests in Consolidated Funds | ||
Noncontrolling Interest [Line Items] | ||
Non-controlling interests in consolidated entities | 430.2 | 415.3 |
Non-Carlyle interests in majority-owned subsidiaries | ||
Noncontrolling Interest [Line Items] | ||
Non-controlling interests in consolidated entities | 246.3 | 184.5 |
Non-controlling interest in carried interest, giveback obligations and cash held for carried interest distributions | ||
Noncontrolling Interest [Line Items] | ||
Non-controlling interests in consolidated entities | $ (7.2) | $ (6.7) |
Non-controlling Interests in _4
Non-controlling Interests in Consolidated Entities - Non-Controlling Interests in Income (Loss) of Consolidated Entities (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Noncontrolling Interest [Line Items] | ||
Non-controlling interests in income of consolidated entities | $ 33.2 | $ 24.6 |
Non-Carlyle interests in Consolidated Funds | ||
Noncontrolling Interest [Line Items] | ||
Net income (loss) attributable to other non-controlling interests in consolidated entities | 12.7 | 17.2 |
Non-Carlyle interests in majority-owned subsidiaries | ||
Noncontrolling Interest [Line Items] | ||
Net income (loss) attributable to other non-controlling interests in consolidated entities | 20.5 | 5.5 |
Non-controlling interest in carried interest, giveback obligations and cash held for carried interest distributions | ||
Noncontrolling Interest [Line Items] | ||
Net income (loss) attributable to other non-controlling interests in consolidated entities | $ 0 | $ 1.9 |
Earnings Per Common Share - Bas
Earnings Per Common Share - Basic and Diluted Net Income Per Common Unit (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Basic | ||
Net income attributable to common shares | $ 65,600,000 | $ 100,700,000 |
Weighted-average common shares outstanding (in shares) | 360,908,247 | 362,944,260 |
Net income per common share (in dollars per share) | $ 0.18 | $ 0.28 |
Diluted | ||
Net income attributable to common shares | $ 65,600,000 | $ 100,700,000 |
Weighted-average common shares outstanding (in shares) | 369,343,601 | 365,357,833 |
Net income per common share (in dollars per share) | $ 0.18 | $ 0.28 |
Earnings Per Common Share - Wei
Earnings Per Common Share - Weighted-Average Common Units Outstanding, Basic and Diluted (Details) - shares | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ||
Weighted-average common shares outstanding, basic (in shares) | 360,908,247 | 362,944,260 |
Weighted-average common shares outstanding, diluted (in shares) | 369,343,601 | 365,357,833 |
The Carlyle Group Inc. weighted-average common shares outstanding | ||
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ||
Weighted-average common shares outstanding, basic (in shares) | 360,908,247 | 362,944,260 |
Weighted-average common shares outstanding, diluted (in shares) | 360,908,247 | 362,944,260 |
Unvested restricted stock units | ||
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ||
Weighted-average common shares outstanding, basic (in shares) | 0 | 0 |
Weighted-average common shares outstanding, diluted (in shares) | 6,733,282 | 1,702,114 |
Issuable common shares and performance-vesting restricted stock units | ||
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ||
Weighted-average common shares outstanding, basic (in shares) | 0 | 0 |
Weighted-average common shares outstanding, diluted (in shares) | 1,702,072 | 711,459 |
Equity - Additional Information
Equity - Additional Information (Details) - USD ($) | 3 Months Ended | |||
Mar. 31, 2024 | Mar. 31, 2023 | Feb. 06, 2024 | Feb. 28, 2023 | |
Equity [Abstract] | ||||
Amount authorized for repurchase | $ 1,400,000,000 | $ 500,000,000 | ||
Remaining authorized amount | $ 1,256,900,000 | |||
Excise taxes collected | $ 600,000 | $ 0 |
Equity - Shares Repurchased or
Equity - Shares Repurchased or Retired (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Equity [Abstract] | ||
Shares repurchased (in shares) | 2,853,602 | 2,998,813 |
Shares repurchased | $ 130.6 | $ 100.3 |
Shares retired in connection with the net share settlement of equity-based awards (in shares) | 481,261 | 0 |
Shares retired in connection with the net share settlement of equity-based awards | $ 19.4 | $ 0 |
Total (in shares) | 3,334,863 | 2,998,813 |
Total | $ 150 | $ 100.3 |
Equity - Quarterly Distribution
Equity - Quarterly Distributions on Common Units (Details) - USD ($) $ / shares in Units, $ in Millions | 9 Months Ended | |||||
May 21, 2024 | Mar. 01, 2024 | Nov. 29, 2023 | Aug. 23, 2023 | May 23, 2023 | Mar. 01, 2024 | |
Preferred Units [Line Items] | ||||||
Dividend per Common Share (in dollars per share) | $ 0.35 | $ 0.35 | $ 0.35 | $ 0.35 | $ 1.40 | |
Dividend to Common Stockholders | $ 126.7 | $ 126.3 | $ 126.3 | $ 126.7 | $ 506 | |
Forecast | ||||||
Preferred Units [Line Items] | ||||||
Dividend per Common Share (in dollars per share) | $ 0.35 | |||||
Dividend to Common Stockholders | $ 126 |
Equity-Based Compensation - Add
Equity-Based Compensation - Additional Information (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | ||
Feb. 29, 2024 | Mar. 31, 2024 | Mar. 31, 2023 | May 30, 2023 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares authorized for grant (in shares) | 10,176,358 | 39,800,000 | ||
Share-Based Payment Arrangement, Tranche One | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting percentage | 33.33% | |||
Share-Based Payment Arrangement, Tranche Two | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting percentage | 33.33% | |||
Share-Based Payment Arrangement, Tranche Three | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting percentage | 33.33% | |||
Restricted Stock Units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Granted (in shares) | 4,968,866 | |||
Allocated share based compensation expense | $ 108.3 | $ 54.4 | ||
Tax benefits related to equity-based compensation expense | 20.1 | $ 9.7 | ||
Unrecognized equity-based compensation expense | $ 896.7 | |||
Weighted-average term for unrecognized compensation expense to be recognized | 2 years 2 months 12 days | |||
Restricted Stock Units | Senior Professionals | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Granted (in shares) | 13,200,000 | |||
Grant date value of equity awards | $ 347 |
Equity-Based Compensation - Sta
Equity-Based Compensation - Status of Non-Vested Equity-Based Awards (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Weighted- Average Grant Date Fair Value | ||
Shares retired from net share settlement of equity awards (in shares) | 481,261 | 0 |
Shares retired in connection with the net share settlement of equity-based awards | $ 19.4 | $ 0 |
Performance-Vesting Restricted Stock Units | ||
Unvested Units | ||
Beginning balance (in shares) | 4,941,317 | |
Granted (in shares) | 13,194,168 | |
Vested (in shares) | 0 | |
Forfeited (in shares) | 0 | |
Ending balance (in shares) | 18,135,485 | |
Weighted- Average Grant Date Fair Value | ||
Beginning balance (in dollars per share) | $ 23.19 | |
Granted (in dollars per share) | 26.42 | |
Vested (in dollars per share) | 0 | |
Forfeited (in dollars per share) | 0 | |
Ending balance (in dollars per share) | $ 25.54 | |
Restricted Stock Units | ||
Unvested Units | ||
Beginning balance (in shares) | 17,232,330 | |
Granted (in shares) | 4,968,866 | |
Vested (in shares) | 1,268,829 | |
Forfeited (in shares) | 307,778 | |
Ending balance (in shares) | 20,624,589 | |
Weighted- Average Grant Date Fair Value | ||
Beginning balance (in dollars per share) | $ 34.68 | |
Granted (in dollars per share) | 40.57 | |
Vested (in dollars per share) | 33.07 | |
Forfeited (in dollars per share) | 32.12 | |
Ending balance (in dollars per share) | $ 36.24 | |
Unvested Common Shares | ||
Unvested Units | ||
Beginning balance (in shares) | 458,929 | |
Granted (in shares) | 247,293 | |
Vested (in shares) | 0 | |
Forfeited (in shares) | 0 | |
Ending balance (in shares) | 706,222 | |
Weighted- Average Grant Date Fair Value | ||
Beginning balance (in dollars per share) | $ 37.87 | |
Granted (in dollars per share) | 40.08 | |
Vested (in dollars per share) | 0 | |
Forfeited (in dollars per share) | 0 | |
Ending balance (in dollars per share) | $ 38.64 |
Segment Reporting - Additional
Segment Reporting - Additional Information (Details) - segment | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Segment Reporting Information [Line Items] | ||
Number of reportable segments | 3 | 3 |
Fee related performance revenues | ||
Segment Reporting Information [Line Items] | ||
Percentage of fee related earnings | 45% |
Segment Reporting - Reportable
Segment Reporting - Reportable Segments Financial Data (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Fund level fee revenues | |||
Investment income | $ (83.9) | $ 172.5 | |
Interest income | 57.6 | 44 | |
Total revenues | 688.4 | 859 | |
Compensation and benefits | |||
Cash-based compensation and benefits | 221.9 | 260.2 | |
Realized performance revenues related compensation | (72.8) | 105.7 | |
Total compensation and benefits | 257.4 | 420.3 | |
General, administrative, and other indirect expenses | 147.7 | 159.2 | |
Interest expense | 30.8 | 29.7 | |
Total expenses | 560.7 | 703 | |
Distributable Earnings | 120.7 | 159.6 | |
Realized net performance revenues | (84.2) | 55.1 | |
Consolidated VIEs, assets | 20,849.5 | $ 21,176 | |
Total Reportable Segments | |||
Compensation and benefits | |||
Distributable Earnings | 431.3 | 271.6 | |
Fee Related Earnings | 266.3 | 193.4 | |
Total Reportable Segments | Global Segments | |||
Fund level fee revenues | |||
Total fund level fee revenues | 571.4 | 551.4 | |
Interest income | 20.1 | 13.9 | |
Total revenues | 1,023 | 754.2 | |
Compensation and benefits | |||
Cash-based compensation and benefits | 214.3 | 260.6 | |
Realized performance revenues related compensation | 255.8 | 95.6 | |
Total compensation and benefits | 470.1 | 356.2 | |
General, administrative, and other indirect expenses | 79.7 | 87.5 | |
Depreciation and amortization expense | 11.1 | 9.9 | |
Interest expense | 30.8 | 29 | |
Total expenses | 591.7 | 482.6 | |
Distributable Earnings | 431.3 | 271.6 | |
Realized net performance revenues | 142 | 69.5 | |
Realized principal investment income | 33.7 | 23.8 | |
Net interest | 10.7 | 15.1 | |
Fee Related Earnings | 266.3 | 193.4 | |
Consolidated VIEs, assets | 13,278.4 | ||
Total Reportable Segments | Global Private Equity | |||
Fund level fee revenues | |||
Total fund level fee revenues | 315.4 | 341.9 | |
Interest income | 7.6 | 5.4 | |
Total revenues | 715.7 | 458.2 | |
Compensation and benefits | |||
Cash-based compensation and benefits | 109.3 | 148.7 | |
Realized performance revenues related compensation | 234.3 | 46.3 | |
Total compensation and benefits | 343.6 | 195 | |
General, administrative, and other indirect expenses | 38.6 | 57.1 | |
Depreciation and amortization expense | 6.4 | 6.7 | |
Interest expense | 14 | 16.6 | |
Total expenses | 402.6 | 275.4 | |
Distributable Earnings | 313.1 | 182.8 | |
Realized net performance revenues | 139.5 | 52.7 | |
Realized principal investment income | 18.9 | 11.9 | |
Net interest | 6.4 | 11.2 | |
Fee Related Earnings | 161.1 | 129.4 | |
Consolidated VIEs, assets | 7,154.6 | ||
Total Reportable Segments | Global Credit | |||
Fund level fee revenues | |||
Total fund level fee revenues | 180.7 | 152 | |
Interest income | 10.7 | 7.2 | |
Total revenues | 205.8 | 195.9 | |
Compensation and benefits | |||
Cash-based compensation and benefits | 76.8 | 80.4 | |
Realized performance revenues related compensation | 0.3 | 12.7 | |
Total compensation and benefits | 77.1 | 93.1 | |
General, administrative, and other indirect expenses | 29.6 | 21.7 | |
Depreciation and amortization expense | 3.1 | 2 | |
Interest expense | 13.9 | 10.2 | |
Total expenses | 123.7 | 127 | |
Distributable Earnings | 82.1 | 68.9 | |
Realized net performance revenues | 0.3 | 15 | |
Realized principal investment income | 13.8 | 9 | |
Net interest | 3.2 | 3 | |
Fee Related Earnings | 71.2 | 47.9 | |
Consolidated VIEs, assets | 3,783.9 | ||
Total Reportable Segments | Global Investment Solutions | |||
Fund level fee revenues | |||
Total fund level fee revenues | 75.3 | 57.5 | |
Interest income | 1.8 | 1.3 | |
Total revenues | 101.5 | 100.1 | |
Compensation and benefits | |||
Cash-based compensation and benefits | 28.2 | 31.5 | |
Realized performance revenues related compensation | 21.2 | 36.6 | |
Total compensation and benefits | 49.4 | 68.1 | |
General, administrative, and other indirect expenses | 11.5 | 8.7 | |
Depreciation and amortization expense | 1.6 | 1.2 | |
Interest expense | 2.9 | 2.2 | |
Total expenses | 65.4 | 80.2 | |
Distributable Earnings | 36.1 | 19.9 | |
Realized net performance revenues | 2.2 | 1.8 | |
Realized principal investment income | 1 | 2.9 | |
Net interest | 1.1 | 0.9 | |
Fee Related Earnings | 34 | 16.1 | |
Consolidated VIEs, assets | 2,339.9 | ||
Fund management fees | |||
Fund level fee revenues | |||
Total fund level fee revenues | 523.6 | 500.8 | |
Fund management fees | Total Reportable Segments | Global Segments | |||
Fund level fee revenues | |||
Total fund level fee revenues | 515.6 | 506.2 | |
Fund management fees | Total Reportable Segments | Global Private Equity | |||
Fund level fee revenues | |||
Total fund level fee revenues | 304.6 | 326.9 | |
Fund management fees | Total Reportable Segments | Global Credit | |||
Fund level fee revenues | |||
Total fund level fee revenues | 136.9 | 122.6 | |
Fund management fees | Total Reportable Segments | Global Investment Solutions | |||
Fund level fee revenues | |||
Total fund level fee revenues | 74.1 | 56.7 | |
Portfolio advisory and transaction fees, net and other | Total Reportable Segments | Global Segments | |||
Fund level fee revenues | |||
Total fund level fee revenues | 26.7 | 16.4 | |
Portfolio advisory and transaction fees, net and other | Total Reportable Segments | Global Private Equity | |||
Fund level fee revenues | |||
Total fund level fee revenues | 7.1 | 5.4 | |
Portfolio advisory and transaction fees, net and other | Total Reportable Segments | Global Credit | |||
Fund level fee revenues | |||
Total fund level fee revenues | 19.6 | 11 | |
Portfolio advisory and transaction fees, net and other | Total Reportable Segments | Global Investment Solutions | |||
Fund level fee revenues | |||
Total fund level fee revenues | 0 | 0 | |
Fee related performance revenues | Global Investment Solutions | |||
Fund level fee revenues | |||
Total fund level fee revenues | 0.8 | ||
Fee related performance revenues | Total Reportable Segments | Global Segments | |||
Fund level fee revenues | |||
Total fund level fee revenues | 29.1 | 28.8 | |
Fee related performance revenues | Total Reportable Segments | Global Private Equity | |||
Fund level fee revenues | |||
Total fund level fee revenues | 3.7 | 9.6 | |
Fee related performance revenues | Total Reportable Segments | Global Credit | |||
Fund level fee revenues | |||
Total fund level fee revenues | 24.2 | 18.4 | |
Fee related performance revenues | Total Reportable Segments | Global Investment Solutions | |||
Fund level fee revenues | |||
Total fund level fee revenues | 1.2 | ||
Performance revenues | |||
Fund level fee revenues | |||
Investment income | (157) | 160.8 | |
Performance revenues | Total Reportable Segments | Global Segments | |||
Fund level fee revenues | |||
Investment income | 397.8 | 165.1 | |
Performance revenues | Total Reportable Segments | Global Private Equity | |||
Fund level fee revenues | |||
Investment income | 373.8 | 99 | |
Performance revenues | Total Reportable Segments | Global Credit | |||
Fund level fee revenues | |||
Investment income | 0.6 | 27.7 | |
Performance revenues | Total Reportable Segments | Global Investment Solutions | |||
Fund level fee revenues | |||
Investment income | 23.4 | 38.4 | |
Principal investment income (loss) | |||
Fund level fee revenues | |||
Investment income | 73.1 | 11.7 | |
Principal investment income (loss) | Total Reportable Segments | Global Segments | |||
Fund level fee revenues | |||
Investment income | 33.7 | 23.8 | |
Principal investment income (loss) | Total Reportable Segments | Global Private Equity | |||
Fund level fee revenues | |||
Investment income | 18.9 | 11.9 | |
Principal investment income (loss) | Total Reportable Segments | Global Credit | |||
Fund level fee revenues | |||
Investment income | 13.8 | 9 | |
Principal investment income (loss) | Total Reportable Segments | Global Investment Solutions | |||
Fund level fee revenues | |||
Investment income | $ 1 | $ 2.9 |
Segment Reporting - Total Segme
Segment Reporting - Total Segments to Partnership Income Before Provision for Taxes Reconciliation (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Segment Reporting Information [Line Items] | |||
Revenues | $ 688.4 | $ 859 | |
Expenses | 560.7 | 703 | |
Other income (loss) | (7) | 3.6 | |
Distributable Earnings | 120.7 | 159.6 | |
Total assets | 20,849.5 | $ 21,176 | |
Total Reportable Segments | |||
Segment Reporting Information [Line Items] | |||
Distributable Earnings | 431.3 | 271.6 | |
Total Reportable Segments | Global Segments | |||
Segment Reporting Information [Line Items] | |||
Revenues | 1,023 | 754.2 | |
Expenses | 591.7 | 482.6 | |
Other income (loss) | 0 | 0 | |
Distributable Earnings | 431.3 | 271.6 | |
Total assets | 13,278.4 | ||
Consolidated Funds | Consolidated Funds | |||
Segment Reporting Information [Line Items] | |||
Revenues | 164.9 | 121.9 | |
Expenses | 139.5 | 97.2 | |
Other income (loss) | (7) | 3.6 | |
Distributable Earnings | 18.4 | 28.3 | |
Total assets | 8,154.9 | $ 7,805.5 | |
Reconciling Items | |||
Segment Reporting Information [Line Items] | |||
Revenues | (499.5) | (17.1) | |
Expenses | (170.5) | 123.2 | |
Other income (loss) | 0 | 0 | |
Distributable Earnings | (329) | $ (140.3) | |
Total assets | $ (583.8) |
Segment Reporting - Revenue Adj
Segment Reporting - Revenue Adjustments (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Segment Reporting Information [Line Items] | ||
Total revenues | $ 688.4 | $ 859 |
Reconciling Items | ||
Segment Reporting Information [Line Items] | ||
Unrealized performance and fee related performance revenues | (521.6) | (20.7) |
Unrealized principal investment income (loss) | 4.4 | (29) |
Adjustments related to expenses associated with investments in NGP Management and its affiliates | (3.2) | (3.4) |
Non-controlling interests and other adjustments to present certain costs on a net basis | 41.5 | 50.8 |
Total revenues | (499.5) | (17.1) |
Elimination of revenues of Consolidated Funds | ||
Segment Reporting Information [Line Items] | ||
Total revenues | $ (20.6) | $ (14.8) |
Segment Reporting - Reconciliat
Segment Reporting - Reconciliation of Fund Level Fee Revenues (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Total Reportable Segments | Global Segments | ||
Segment Reporting Information [Line Items] | ||
Fund management fees and incentive fees | $ 571.4 | $ 551.4 |
Elimination of revenues of Consolidated Funds | ||
Segment Reporting Information [Line Items] | ||
Adjustments | (47.8) | (50.6) |
Fund management fees | ||
Segment Reporting Information [Line Items] | ||
Fund management fees and incentive fees | 523.6 | 500.8 |
Fund management fees | Total Reportable Segments | Global Segments | ||
Segment Reporting Information [Line Items] | ||
Fund management fees and incentive fees | 515.6 | 506.2 |
Fund management fees | Elimination of revenues of Consolidated Funds | ||
Segment Reporting Information [Line Items] | ||
Fund management fees and incentive fees | $ (6.6) | $ (7.6) |
Segment Reporting - Expense Adj
Segment Reporting - Expense Adjustments (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Segment Reporting Information [Line Items] | ||
Unrealized performance and fee related performance revenue compensation expense | $ (339.6) | $ 2.1 |
Equity-based compensation | 108.3 | 54.4 |
Expenses | 560.7 | 703 |
Total Reportable Segments | ||
Segment Reporting Information [Line Items] | ||
Unrealized performance and fee related performance revenue compensation expense | (328.4) | (2.3) |
Reconciling Items | ||
Segment Reporting Information [Line Items] | ||
Equity-based compensation | 111 | 57.1 |
Acquisition or disposition-related charges and amortization of intangibles and impairment | 32.8 | 28.7 |
Tax (expense) benefit associated with certain foreign performance revenues related compensation | (1) | (0.5) |
Non-controlling interests and other adjustments to present certain costs on a net basis | 17.8 | 40 |
Other adjustments | 12.2 | 3.9 |
Expenses | (170.5) | 123.2 |
Elimination of revenues of Consolidated Funds | ||
Segment Reporting Information [Line Items] | ||
Equity-based compensation | 0 | 0 |
Expenses | $ (14.9) | $ (3.7) |
Segment Reporting - Reconcili_2
Segment Reporting - Reconciliation of Income Before Provision for Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Segment Reporting Information [Line Items] | ||
Income (loss) before provision for income taxes | $ 120.7 | $ 159.6 |
Adjustments: | ||
Unrealized principal investment (income) loss | 83.9 | (172.5) |
Net income attributable to non-controlling interests in consolidated entities | 33.2 | 24.6 |
Distributable Earnings | 120.7 | 159.6 |
Realized performance revenues, net of related compensation | (84.2) | 55.1 |
Total Reportable Segments | ||
Adjustments: | ||
Net unrealized performance and fee related performance revenues | 193.2 | 18.4 |
Distributable Earnings | 431.3 | 271.6 |
Fee Related Earnings | 266.3 | 193.4 |
Total Reportable Segments | Global Segments | ||
Adjustments: | ||
Distributable Earnings | 431.3 | 271.6 |
Realized performance revenues, net of related compensation | 142 | 69.5 |
Realized principal investment income | 33.7 | 23.8 |
Net interest | 10.7 | 15.1 |
Fee Related Earnings | 266.3 | 193.4 |
Reconciling Items | ||
Adjustments: | ||
Equity-based compensation | 111 | 57.1 |
Acquisition or disposition-related charges, including amortization of intangibles and impairment | 32.8 | 28.7 |
Tax expense associated with certain foreign performance revenues | (1) | (0.5) |
Net income attributable to non-controlling interests in consolidated entities | (33.2) | (24.6) |
Other adjustments | 12.2 | 3.9 |
Distributable Earnings | (329) | (140.3) |
Unrealized principal investment income (loss) | Reconciling Items | ||
Adjustments: | ||
Unrealized principal investment (income) loss | $ (4.4) | $ 29 |
Segment Reporting - Adjustments
Segment Reporting - Adjustments for Performance Fees, Performance Fee Related Compensation and Investment Income (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Segment Reporting Information [Line Items] | ||
Investment income (loss) | $ (83.9) | $ 172.5 |
Performance revenues related compensation expense | (72.8) | 105.7 |
Net performance revenues | (84.2) | 55.1 |
Adjustments | ||
Segment Reporting Information [Line Items] | ||
Performance revenues related compensation expense | 328.6 | (10.1) |
Net performance revenues | 226.2 | 14.4 |
Total Reportable Segments | Global Segments | ||
Segment Reporting Information [Line Items] | ||
Performance revenues related compensation expense | 255.8 | 95.6 |
Net performance revenues | 142 | 69.5 |
Performance revenues | ||
Segment Reporting Information [Line Items] | ||
Investment income (loss) | (157) | 160.8 |
Performance revenues | Adjustments | ||
Segment Reporting Information [Line Items] | ||
Investment income (loss) | 554.8 | 4.3 |
Performance revenues | Total Reportable Segments | Global Segments | ||
Segment Reporting Information [Line Items] | ||
Investment income (loss) | 397.8 | 165.1 |
Principal investment income (loss) | ||
Segment Reporting Information [Line Items] | ||
Investment income (loss) | 73.1 | 11.7 |
Principal investment income (loss) | Adjustments | ||
Segment Reporting Information [Line Items] | ||
Investment income (loss) | (39.4) | 12.1 |
Principal investment income (loss) | Total Reportable Segments | Global Segments | ||
Segment Reporting Information [Line Items] | ||
Investment income (loss) | $ 33.7 | $ 23.8 |
Subsequent Events (Details)
Subsequent Events (Details) | 1 Months Ended |
May 14, 2024 $ / shares | |
Subsequent event | |
Subsequent Event [Line Items] | |
Common stock dividend declared (in dollars per share) | $ 0.35 |
Supplemental Financial Inform_3
Supplemental Financial Information - Financial Position (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 | Dec. 31, 2022 |
Assets | ||||
Cash and cash equivalents | $ 1,276.5 | $ 1,440.3 | $ 1,010.1 | |
Cash and cash equivalents held at Consolidated Funds | 426 | 346 | 228.8 | |
Restricted cash | 1.4 | 1.8 | 16.8 | |
Investments | 9,473.2 | 9,955.3 | ||
Investments of Consolidated Funds | 7,458.6 | 7,253.1 | ||
Due from affiliates and other receivables, net | 624.1 | 691.6 | ||
Due from affiliates and other receivables of Consolidated Funds, net | 204.1 | 141 | ||
Fixed assets, net | 162.8 | 161.5 | ||
Lease right-of-use assets, net | 349.3 | 332.2 | ||
Deposits and other | 88.5 | 70.6 | ||
Intangible assets, net | 732.8 | 766.1 | ||
Deferred tax assets | 52.2 | 16.5 | ||
Total assets | 20,849.5 | 21,176 | ||
Liabilities and equity | ||||
Debt obligations | 2,259 | 2,281 | ||
Loans payable of Consolidated Funds | 6,535.1 | 6,486.5 | ||
Accounts payable, accrued expenses and other liabilities | 375.2 | 333.8 | ||
Accrued compensation and benefits | 4,173.9 | 4,922.2 | ||
Due to affiliates | 203.6 | 275.9 | ||
Deferred revenue | 391.1 | 140.3 | ||
Deferred tax liabilities | 26.2 | 45.3 | ||
Other liabilities of Consolidated Funds | 598.5 | 374.4 | ||
Lease liabilities | 502.9 | 488.1 | ||
Accrued giveback obligations | 44 | 44 | ||
Total liabilities | 15,109.5 | 15,391.5 | ||
Common stock | 3.6 | 3.6 | ||
Additional paid-in capital | 3,513.9 | 3,403 | ||
Retained earnings | 1,868.2 | 2,082.1 | ||
Accumulated other comprehensive loss | (315) | (297.3) | ||
Non-controlling interests in consolidated entities | 669.3 | 593.1 | ||
Total equity | 5,740 | 5,784.5 | 6,811.5 | $ 6,821.3 |
Total liabilities and equity | 20,849.5 | 21,176 | ||
Performance allocations | 5,567.6 | 6,169.9 | ||
Consolidated Operating Entities | ||||
Assets | ||||
Cash and cash equivalents | 1,276.5 | 1,010.1 | ||
Cash and cash equivalents held at Consolidated Funds | 426 | 228.8 | ||
Restricted cash | 1.4 | $ 16.8 | ||
Consolidated Entities and Consolidated Funds | Consolidated Operating Entities | ||||
Assets | ||||
Cash and cash equivalents | 1,276.5 | 1,440.3 | ||
Cash and cash equivalents held at Consolidated Funds | 0 | 0 | ||
Restricted cash | 1.4 | 1.8 | ||
Investments | 9,684.7 | 10,104.5 | ||
Investments of Consolidated Funds | 0 | 0 | ||
Due from affiliates and other receivables, net | 934.5 | 1,009.2 | ||
Due from affiliates and other receivables of Consolidated Funds, net | 0 | 0 | ||
Fixed assets, net | 162.8 | 161.5 | ||
Lease right-of-use assets, net | 349.3 | 332.2 | ||
Deposits and other | 84.2 | 66 | ||
Intangible assets, net | 732.8 | 766.1 | ||
Deferred tax assets | 52.2 | 16.5 | ||
Total assets | 13,278.4 | 13,898.1 | ||
Liabilities and equity | ||||
Debt obligations | 2,259 | 2,281 | ||
Loans payable of Consolidated Funds | 0 | 0 | ||
Accounts payable, accrued expenses and other liabilities | 375.2 | 333.8 | ||
Accrued compensation and benefits | 4,173.9 | 4,922.2 | ||
Due to affiliates | 197.2 | 269.6 | ||
Deferred revenue | 391.1 | 140.3 | ||
Deferred tax liabilities | 26.2 | 45.3 | ||
Other liabilities of Consolidated Funds | 0 | 0 | ||
Lease liabilities | 502.9 | 488.1 | ||
Accrued giveback obligations | 44 | 44 | ||
Total liabilities | 7,969.5 | 8,524.3 | ||
Common stock | 3.6 | 3.6 | ||
Additional paid-in capital | 3,513.9 | 3,403 | ||
Retained earnings | 1,868.2 | 2,082.1 | ||
Accumulated other comprehensive loss | (315.9) | (292.7) | ||
Non-controlling interests in consolidated entities | 239.1 | 177.8 | ||
Total equity | 5,308.9 | 5,373.8 | ||
Total liabilities and equity | 13,278.4 | 13,898.1 | ||
Consolidated Entities and Consolidated Funds | Consolidated Funds | ||||
Assets | ||||
Cash and cash equivalents | 0 | 0 | ||
Cash and cash equivalents held at Consolidated Funds | 426 | 346 | ||
Restricted cash | 0 | 0 | ||
Investments | 0 | 0 | ||
Investments of Consolidated Funds | 7,520.5 | 7,313.9 | ||
Due from affiliates and other receivables, net | 0 | 0 | ||
Due from affiliates and other receivables of Consolidated Funds, net | 204.1 | 141 | ||
Fixed assets, net | 0 | 0 | ||
Lease right-of-use assets, net | 0 | 0 | ||
Deposits and other | 4.3 | 4.6 | ||
Intangible assets, net | 0 | 0 | ||
Deferred tax assets | 0 | 0 | ||
Total assets | 8,154.9 | 7,805.5 | ||
Liabilities and equity | ||||
Debt obligations | 0 | 0 | ||
Loans payable of Consolidated Funds | 6,840 | 6,796.4 | ||
Accounts payable, accrued expenses and other liabilities | 0 | 0 | ||
Accrued compensation and benefits | 0 | 0 | ||
Due to affiliates | 6.4 | 6.3 | ||
Deferred revenue | 0 | 0 | ||
Deferred tax liabilities | 0 | 0 | ||
Other liabilities of Consolidated Funds | 598.5 | 374.4 | ||
Lease liabilities | 0 | 0 | ||
Accrued giveback obligations | 0 | 0 | ||
Total liabilities | 7,444.9 | 7,177.1 | ||
Common stock | 0 | 0 | ||
Additional paid-in capital | 291.4 | 223.8 | ||
Retained earnings | 0 | 0 | ||
Accumulated other comprehensive loss | (11.6) | (10.7) | ||
Non-controlling interests in consolidated entities | 430.2 | 415.3 | ||
Total equity | 710 | 628.4 | ||
Total liabilities and equity | 8,154.9 | 7,805.5 | ||
Eliminations | ||||
Assets | ||||
Cash and cash equivalents | 0 | 0 | ||
Cash and cash equivalents held at Consolidated Funds | 0 | 0 | ||
Restricted cash | 0 | 0 | ||
Investments | (211.5) | (149.2) | ||
Investments of Consolidated Funds | (61.9) | (60.8) | ||
Due from affiliates and other receivables, net | (310.4) | (317.6) | ||
Due from affiliates and other receivables of Consolidated Funds, net | 0 | 0 | ||
Fixed assets, net | 0 | 0 | ||
Lease right-of-use assets, net | 0 | 0 | ||
Deposits and other | 0 | 0 | ||
Intangible assets, net | 0 | 0 | ||
Deferred tax assets | 0 | 0 | ||
Total assets | (583.8) | (527.6) | ||
Liabilities and equity | ||||
Debt obligations | 0 | 0 | ||
Loans payable of Consolidated Funds | (304.9) | (309.9) | ||
Accounts payable, accrued expenses and other liabilities | 0 | 0 | ||
Accrued compensation and benefits | 0 | 0 | ||
Due to affiliates | 0 | 0 | ||
Deferred revenue | 0 | 0 | ||
Deferred tax liabilities | 0 | 0 | ||
Other liabilities of Consolidated Funds | 0 | 0 | ||
Lease liabilities | 0 | 0 | ||
Accrued giveback obligations | 0 | 0 | ||
Total liabilities | (304.9) | (309.9) | ||
Common stock | 0 | 0 | ||
Additional paid-in capital | (291.4) | (223.8) | ||
Retained earnings | 0 | 0 | ||
Accumulated other comprehensive loss | 12.5 | 6.1 | ||
Non-controlling interests in consolidated entities | 0 | 0 | ||
Total equity | (278.9) | (217.7) | ||
Total liabilities and equity | $ (583.8) | $ (527.6) |
Supplemental Financial Inform_4
Supplemental Financial Information - Results of Operations (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Condensed Income Statements, Captions [Line Items] | ||
Investment income (loss) | $ (83.9) | $ 172.5 |
Interest and other income | 57.6 | 44 |
Interest and other income of Consolidated Funds | 164.9 | 121.9 |
Total revenues | 688.4 | 859 |
Compensation and benefits | ||
Cash-based compensation and benefits | 221.9 | 260.2 |
Equity-based compensation | 108.3 | 54.4 |
Performance allocations and incentive fee related compensation | (72.8) | 105.7 |
Total compensation and benefits | 257.4 | 420.3 |
General, administrative and other expenses | 147.7 | 159.2 |
Interest | 30.8 | 29.7 |
Interest and other expenses of Consolidated Funds | 124.6 | 93.7 |
Other non-operating expenses | 0.2 | 0.1 |
Total expenses | 560.7 | 703 |
Other income (loss) | ||
Net investment income (loss) of Consolidated Funds | (7) | 3.6 |
Income before provision for income taxes | 120.7 | 159.6 |
Provision for income taxes | 21.9 | 34.3 |
Net income | 98.8 | 125.3 |
Net income attributable to non-controlling interests in consolidated entities | 33.2 | 24.6 |
Net income attributable to The Carlyle Group Inc. | 65.6 | 100.7 |
Consolidated Operating Entities | ||
Compensation and benefits | ||
Equity-based compensation | 108.3 | 54.4 |
Other income (loss) | ||
Net income | 86.1 | 108.1 |
Consolidated Entities and Consolidated Funds | Consolidated Operating Entities | ||
Condensed Income Statements, Captions [Line Items] | ||
Investment income (loss) | (76.2) | 177 |
Interest and other income | 63.9 | 46.6 |
Interest and other income of Consolidated Funds | 0 | 0 |
Total revenues | 544.1 | 751.9 |
Compensation and benefits | ||
Cash-based compensation and benefits | 221.9 | 260.2 |
Equity-based compensation | 108.3 | 54.4 |
Performance allocations and incentive fee related compensation | (72.8) | 105.7 |
Total compensation and benefits | 257.4 | 420.3 |
General, administrative and other expenses | 147.7 | 159.4 |
Interest | 30.8 | 29.7 |
Interest and other expenses of Consolidated Funds | 0 | 0 |
Other non-operating expenses | 0.2 | 0.1 |
Total expenses | 436.1 | 609.5 |
Other income (loss) | ||
Net investment income (loss) of Consolidated Funds | 0 | 0 |
Income before provision for income taxes | 108 | 142.4 |
Provision for income taxes | 21.9 | 34.3 |
Net income | 86.1 | 108.1 |
Net income attributable to non-controlling interests in consolidated entities | 20.5 | 7.4 |
Net income attributable to The Carlyle Group Inc. | 65.6 | 100.7 |
Consolidated Entities and Consolidated Funds | Consolidated Funds | ||
Condensed Income Statements, Captions [Line Items] | ||
Investment income (loss) | 0 | 0 |
Interest and other income | 0 | 0 |
Interest and other income of Consolidated Funds | 164.9 | 121.9 |
Total revenues | 164.9 | 121.9 |
Compensation and benefits | ||
Cash-based compensation and benefits | 0 | 0 |
Equity-based compensation | 0 | 0 |
Performance allocations and incentive fee related compensation | 0 | 0 |
Total compensation and benefits | 0 | 0 |
General, administrative and other expenses | 0 | 0 |
Interest | 0 | 0 |
Interest and other expenses of Consolidated Funds | 139.5 | 97.2 |
Other non-operating expenses | 0 | 0 |
Total expenses | 139.5 | 97.2 |
Other income (loss) | ||
Net investment income (loss) of Consolidated Funds | (7) | 3.6 |
Income before provision for income taxes | 18.4 | 28.3 |
Provision for income taxes | 0 | 0 |
Net income | 18.4 | 28.3 |
Net income attributable to non-controlling interests in consolidated entities | 0 | 0 |
Net income attributable to The Carlyle Group Inc. | 18.4 | 28.3 |
Eliminations | ||
Condensed Income Statements, Captions [Line Items] | ||
Investment income (loss) | (7.7) | (4.5) |
Interest and other income | (6.3) | (2.6) |
Interest and other income of Consolidated Funds | 0 | 0 |
Total revenues | (20.6) | (14.8) |
Compensation and benefits | ||
Cash-based compensation and benefits | 0 | 0 |
Equity-based compensation | 0 | 0 |
Performance allocations and incentive fee related compensation | 0 | 0 |
Total compensation and benefits | 0 | 0 |
General, administrative and other expenses | 0 | (0.2) |
Interest | 0 | 0 |
Interest and other expenses of Consolidated Funds | (14.9) | (3.5) |
Other non-operating expenses | 0 | 0 |
Total expenses | (14.9) | (3.7) |
Other income (loss) | ||
Net investment income (loss) of Consolidated Funds | 0 | 0 |
Income before provision for income taxes | (5.7) | (11.1) |
Provision for income taxes | 0 | 0 |
Net income | (5.7) | (11.1) |
Net income attributable to non-controlling interests in consolidated entities | 12.7 | 17.2 |
Net income attributable to The Carlyle Group Inc. | (18.4) | (28.3) |
Fund management fees | ||
Condensed Income Statements, Captions [Line Items] | ||
Fund management fees and incentive fees | 523.6 | 500.8 |
Fund management fees | Consolidated Entities and Consolidated Funds | Consolidated Operating Entities | ||
Condensed Income Statements, Captions [Line Items] | ||
Fund management fees and incentive fees | 530.2 | 508.4 |
Fund management fees | Consolidated Entities and Consolidated Funds | Consolidated Funds | ||
Condensed Income Statements, Captions [Line Items] | ||
Fund management fees and incentive fees | 0 | 0 |
Fund management fees | Eliminations | ||
Condensed Income Statements, Captions [Line Items] | ||
Fund management fees and incentive fees | (6.6) | (7.6) |
Incentive fees | ||
Condensed Income Statements, Captions [Line Items] | ||
Fund management fees and incentive fees | 26.2 | 19.8 |
Incentive fees | Consolidated Entities and Consolidated Funds | Consolidated Operating Entities | ||
Condensed Income Statements, Captions [Line Items] | ||
Fund management fees and incentive fees | 26.2 | 19.9 |
Incentive fees | Consolidated Entities and Consolidated Funds | Consolidated Funds | ||
Condensed Income Statements, Captions [Line Items] | ||
Fund management fees and incentive fees | 0 | 0 |
Incentive fees | Eliminations | ||
Condensed Income Statements, Captions [Line Items] | ||
Fund management fees and incentive fees | 0 | (0.1) |
Performance revenues | ||
Condensed Income Statements, Captions [Line Items] | ||
Investment income (loss) | (157) | 160.8 |
Performance revenues | Consolidated Entities and Consolidated Funds | Consolidated Operating Entities | ||
Condensed Income Statements, Captions [Line Items] | ||
Investment income (loss) | (155.8) | 162.3 |
Performance revenues | Consolidated Entities and Consolidated Funds | Consolidated Funds | ||
Condensed Income Statements, Captions [Line Items] | ||
Investment income (loss) | 0 | 0 |
Performance revenues | Eliminations | ||
Condensed Income Statements, Captions [Line Items] | ||
Investment income (loss) | (1.2) | (1.5) |
Principal investment income | ||
Condensed Income Statements, Captions [Line Items] | ||
Investment income (loss) | 73.1 | 11.7 |
Principal investment income | Consolidated Entities and Consolidated Funds | Consolidated Operating Entities | ||
Condensed Income Statements, Captions [Line Items] | ||
Investment income (loss) | 79.6 | 14.7 |
Principal investment income | Consolidated Entities and Consolidated Funds | Consolidated Funds | ||
Condensed Income Statements, Captions [Line Items] | ||
Investment income (loss) | 0 | 0 |
Principal investment income | Eliminations | ||
Condensed Income Statements, Captions [Line Items] | ||
Investment income (loss) | $ (6.5) | $ (3) |
Supplemental Financial Inform_5
Supplemental Financial Information - Cash Flows (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Cash flows from operating activities | |||
Net income | $ 98.8 | $ 125.3 | |
Adjustments to reconcile net income to net cash flows from operating activities: | |||
Depreciation and amortization | 45.3 | 44 | |
Equity-based compensation | 108.3 | 54.4 | |
Non-cash performance allocations and incentive fees, net | 190.9 | (36.7) | |
Non-cash principal investment income | (70) | (7.7) | |
Other non-cash amounts | (2.9) | 10.8 | |
Purchases of investments | (145.1) | (18.5) | |
Proceeds from the sale of investments | 102.1 | 78.6 | |
Payments of contingent consideration | (1.5) | (68.6) | |
Changes in deferred taxes, net | (47.1) | (15.1) | |
Change in due from affiliates and other receivables | 6.7 | 16.9 | |
Change in deposits and other | (19.7) | (33.9) | |
Change in accounts payable, accrued expenses and other liabilities | 41.5 | (63.9) | |
Change in accrued compensation and benefits | (365.6) | (371.9) | |
Change in due to affiliates | (2.2) | (0.2) | |
Change in lease right-of-use asset and lease liability | (2.2) | (2.8) | |
Change in deferred revenue | 251.6 | 284.7 | |
Net cash provided by (used in) operating activities | 71.1 | (112.5) | |
Cash flows from investing activities | |||
Purchases of corporate treasury investments | 0 | (101.1) | |
Proceeds from corporate treasury investments | 0 | 20.1 | |
Purchases of fixed assets, net | (14.2) | (12.9) | |
Net cash used in investing activities | (14.2) | (93.9) | |
Cash flows from financing activities | |||
Payments on CLO borrowings | (13.9) | (1.1) | |
Dividends to common stockholders | (126.7) | (118.4) | |
Payment of deferred consideration for Carlyle Holdings units | (68.8) | (68.8) | |
Contributions from non-controlling interest holders | 64.7 | 18.7 | |
Distributions to non-controlling interest holders | (19) | (9.9) | |
Common shares repurchased and net share settlement of equity awards | (150) | (100.3) | |
Change in due to/from affiliates financing activities | 51.7 | 74.6 | |
Net cash used in financing activities | (216.7) | (136.5) | |
Effect of foreign exchange rate changes | (4.4) | 8.3 | |
Decrease in cash, cash equivalents and restricted cash | (164.2) | (334.6) | |
Cash, cash equivalents and restricted cash, beginning of period | 1,442.1 | 1,361.5 | |
Cash, cash equivalents and restricted cash, end of period | 1,277.9 | 1,026.9 | |
Reconciliation of cash, cash equivalents and restricted cash, end of period: | |||
Cash and cash equivalents | 1,276.5 | 1,010.1 | $ 1,440.3 |
Restricted cash | 1.4 | 16.8 | 1.8 |
Total cash, cash equivalents and restricted cash, end of period | 1,277.9 | 1,026.9 | 1,442.1 |
Cash and cash equivalents held at Consolidated Funds | 426 | 228.8 | 346 |
Consolidated Operating Entities | |||
Cash flows from operating activities | |||
Net income | 86.1 | 108.1 | |
Adjustments to reconcile net income to net cash flows from operating activities: | |||
Depreciation and amortization | 45.3 | 44 | |
Equity-based compensation | 108.3 | 54.4 | |
Non-cash performance allocations and incentive fees, net | 189.6 | (38.2) | |
Non-cash principal investment income | (68.1) | (8.7) | |
Other non-cash amounts | (2.9) | 10.8 | |
Purchases of investments | (215.1) | (19) | |
Proceeds from the sale of investments | 108.3 | 78.9 | |
Payments of contingent consideration | (1.5) | (68.6) | |
Changes in deferred taxes, net | (47.1) | (15.1) | |
Change in due from affiliates and other receivables | 7.9 | 17 | |
Change in deposits and other | (19.7) | (33.9) | |
Change in accounts payable, accrued expenses and other liabilities | 41.5 | (63.9) | |
Change in accrued compensation and benefits | (365.6) | (371.9) | |
Change in due to affiliates | (2.2) | (0.2) | |
Change in lease right-of-use asset and lease liability | (2.2) | (2.8) | |
Change in deferred revenue | 251.6 | 284.7 | |
Net cash provided by (used in) operating activities | 114.2 | (24.4) | |
Cash flows from investing activities | |||
Purchases of corporate treasury investments | 0 | (101.1) | |
Proceeds from corporate treasury investments | 0 | 20.1 | |
Purchases of fixed assets, net | (14.2) | (12.9) | |
Net cash used in investing activities | (14.2) | (93.9) | |
Cash flows from financing activities | |||
Payments on CLO borrowings | (13.9) | (1.1) | |
Proceeds from CLO borrowings, net of financing costs | 0 | 0 | |
Dividends to common stockholders | (126.7) | (118.4) | |
Payment of deferred consideration for Carlyle Holdings units | (68.8) | (68.8) | |
Contributions from non-controlling interest holders | 62.5 | 2 | |
Distributions to non-controlling interest holders | (19) | (8.5) | |
Common shares repurchased and net share settlement of equity awards | (150) | (100.3) | |
Change in due to/from affiliates financing activities | 56.7 | 73 | |
Net cash used in financing activities | (259.2) | (222.1) | |
Effect of foreign exchange rate changes | (5) | 5.8 | |
Decrease in cash, cash equivalents and restricted cash | (164.2) | (334.6) | |
Cash, cash equivalents and restricted cash, beginning of period | 1,442.1 | 1,361.5 | |
Cash, cash equivalents and restricted cash, end of period | 1,277.9 | 1,026.9 | |
Reconciliation of cash, cash equivalents and restricted cash, end of period: | |||
Cash and cash equivalents | 1,276.5 | 1,010.1 | |
Restricted cash | 1.4 | 16.8 | |
Total cash, cash equivalents and restricted cash, end of period | 1,277.9 | 1,026.9 | $ 1,442.1 |
Cash and cash equivalents held at Consolidated Funds | $ 426 | $ 228.8 |