Apollo Global Management, Inc. (NYSE: APO) Surpasses Earnings Estimates

• Earnings per share of $2.22, beating the estimated $1.92, driven by increased assets under management and reduced expenses.
• Revenue reached $955 million, slightly above the forecast, with a strategic focus on the retirement business and fee structures.
• The company's financial health indicators include a price-to-earnings (P/E) ratio of 16.27 and a debt-to-equity ratio of 0.55, reflecting moderate debt levels but potential liquidity challenges.

Apollo Global Management, Inc. (NYSE:APO) is a leading global alternative investment manager, specializing in private equity, credit, and real estate investments. Competing with major firms like Blackstone and KKR, Apollo reported its fourth-quarter earnings on February 4, 2025, showcasing a strong financial performance.

APO reported earnings per share of $2.22, surpassing the estimated $1.92. This positive outcome is attributed to an increase in assets under management (AUM) and reduced expenses. The company's strategic focus on growing its retirement business and enhancing fee structures contributed significantly to this earnings beat.

The company also reported revenue of $955 million, slightly exceeding the estimated $952.5 million. Despite this, Apollo faced a year-over-year decline in revenues, which remains a concern. However, the robust performance in its retirement business and effective management strategies helped mitigate the impact of declining revenues.

Apollo's financial metrics provide further insight into its performance. The company has a price-to-earnings (P/E) ratio of 16.27, indicating the market's valuation of its earnings. Its price-to-sales ratio is 2.89, suggesting how much investors are willing to pay per dollar of sales. The enterprise value to sales ratio is 2.67, highlighting its valuation relative to revenue.

The company's financial health is also reflected in its debt-to-equity ratio of 0.55, indicating a moderate level of debt relative to equity. However, the current ratio of 0.06 may suggest liquidity challenges in meeting short-term obligations. Despite these challenges, Apollo's earnings yield of 6.14% provides insight into the return on investment, showcasing its potential for investors.