Company: APO
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001858681-25-000117
Chunk: 396

Company: Apollo Global Management, Inc.
Filing Date: 2025-08-07
Form: 10-Q
Item: Item 8
Chunk 396
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4 refer to the six months ended June 30, 2024.

PII was $61 million in 2025, an increase of $7 million, as compared to $54 million in 2024. This increase was primarily attributable to increases in realized performance fees and realized investment income of $140 million and $16 million, respectively, partially offset by an increase in principal investing compensation expense of $145 million.

The increase in realized performance fees of $140 million in 2025 was primarily driven by an increase in realized performance fees generated from HVF II, Fund IX and ANRP III, as well as the crystallization of performance fees generated from AAA Aviation Holdings, L.P., partially offset by a decrease in realized performance fees earned from Fund VII. 

The increase in realized investment income of $16 million in 2025 was primarily attributable to realized gains from the sale of the Company’s direct investment in Challenger Limited. 

Principal investing compensation expense of $356 million in 2025 increased $145 million, as compared to $211 million in 2024. The increase in 2025 was primarily due to an increase in profit sharing expense corresponding to the increase in realized performance fees. In any period, the blended profit sharing percentage is impacted by the respective profit sharing ratios of the funds generating performance allocations in the period. The increase in 2025 was also driven by profit sharing expense 

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attributable to the Company’s incentive pool, a compensation program through which certain employees are allocated discretionary compensation based on realized performance fees in a given year, and is included within principal investing compensation. The incentive pool is separate from the fund related profit sharing expense and may result in greater variability in compensation and have a variable impact on the blended profit sharing percentage during a particular period.

The Historical Investment Performance of Our Funds

Below we present information relating to the historical performance of the funds we manage, including certain legacy Apollo funds that do not have a meaningful amount of unrealized investments, and in respect of which the general partner interest has not been contributed to us.

When considering the data presented below, you should note that the historical results of funds we manage are not indicative of the future results that you should expect from such funds, from any future funds we may raise or from your investment in our common stock.

An investment in our common stock is not an investment in any of the Apollo managed funds, and the assets and revenues of the funds we manage are not directly available to us. The historical and potential future returns of the funds we manage are