How has KKR's earnings trend evolved in 2024?

KKR's earnings trend in 2024 has been marked by significant growth and strong financial performance, despite some challenges in specific areas such as private equity performance and insurance earnings.

1. Overall Growth: KKR has demonstrated robust growth in both earnings and revenue. The company's total revenue for 2024 was $22.3 billion, with a significant surge in the fourth quarter. This growth was supported by a 17% rise in total fee-related revenues and a 15% increase in management fees.
2. Adjusted Net Income: KKR's adjusted net income per share increased by 32% year-over-year, reaching $1.32, slightly above the forecast of $1.31. This growth was driven by strong operational execution and strategic growth initiatives.
3. Fee-Related Earnings: The company's fee-related earnings per share (FRE) increased by 24% year-over-year, reaching $0.94. Fee-related revenues for the fourth quarter were $1.3 billion, up 17% year-over-year.
4. Capital Raised: KKR raised $27 billion in the fourth quarter, contributing to a total of $114 billion for the year 2024. This marks one of the most active years in KKR's history, showcasing significant capital-raising success.
5. Challenges: Despite the strong performance, KKR faced some challenges, such as a slight decrease in profit margin and a drop in EPS compared to the previous year. The company's net income for the year was $3.08 billion, down 16% from the previous year. However, these challenges did not overshadow the overall positive earnings trend.
6. Market Reaction: Despite the positive earnings performance, KKR's stock fell by 7.03% in pre-market trading, reflecting investor concerns or broader market trends. This decline was a notable aspect of the earnings call, with the company attributing it to external market factors rather than internal performance issues.

In conclusion, KKR's earnings trend in 2024 has been characterized by substantial growth, strategic capital-raising success, and a strong financial performance, with some minor challenges in specific areas.