Company: APO
Filing Date: 2025-05-07
Form Type: 10-Q
Source: 0001858681-25-000049
Chunk: 24

Company: Apollo Global Management, Inc.
Filing Date: 2025-05-07
Form: 10-Q
Item: Item 2
Chunk 24
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 by increases in professional fees, depreciation and amortization and higher placement fees.

Interest expense was $60 million in 2025, an increase of $9 million from $51 million in 2024. The increase in 2025 was primarily driven by higher interest rates from additional debt issuances in the full year 2024, offset, in part, by debt repayments.

Other Income (Loss)

Other income (loss) was a loss of $25 million in 2025, a decrease of $63 million from income of $38 million in 2024. This decrease was primarily driven by decreases in other income (loss), net and net gains (losses) from investment activities of $192 million and $57 million, respectively, offset by an increase in net gains (losses) from investment activities of consolidated variable interest entities of $186 million.

The decrease in other income (loss) of $192 million was primarily driven by the issuance of common stock to the Apollo DAF and derivative losses primarily on forward contracts and fluctuations in foreign exchange rates in 2025. The decrease in net gains (losses) from investment activities of $57 million was primarily due to depreciation in the Company’s investments in Global Business Travel Group, Inc.

The increase in net gains (losses) from investment activities of consolidated VIEs of $186 million was primarily driven by the appreciation of a consolidated VIE’s underlying investment valuation.

Retirement Services

Revenues

Retirement Services revenues were $4.5 billion in 2025, a decrease of $1.5 billion from $6.0 billion in 2024. The decrease was primarily driven by a decrease in investment related gains (losses), partially offset by an increase in net investment income and an increase in revenues of consolidated VIEs.

Investment related gains (losses) were losses of $828 million in 2025, a decrease of $2.5 billion from gains of $1.7 billion in 2024, primarily due to the unfavorable change in fair value of FIA hedging derivatives, unfavorable net foreign exchange impacts and an increase in realized losses on AFS securities, partially offset by the favorable change in fair value of mortgage loans and reinsurance assets. The change in fair value of FIA hedging derivatives decreased $2.7 billion, primarily driven by the unfavorable performance of the equity indices upon which Athene’s call options are based. The largest percentage of Athene’s call options are based on the S&P 500 Index