Ares Management Corporation Sails Through Q1 2026 with Record-Breaking Fundraising and Robust Growth
Ares Management Corporation has announced a stellar first quarter in 2026, with the company's quarterly dividend increasing by over 20% to $1.35 per share. The dividend will be paid on June 30, 2026, to holders of record on June 16.
During the earnings conference call, Michael Arougheti, Chief Executive Officer of Ares Management Corporation, highlighted the company's strong financial results and significant growth across key financial metrics. The company's Assets Under Management (AUM) increased by 18% year-over-year to $644 billion, with fee-paying AUM growing by 19% to $400 billion.
The robust growth is translating into strong top-line growth and profitability for the company, with management fees increasing by 22% year-over-year, Fees Related to Expense (FRE) growing by 26%, and realized income rising by 24%. The company's fund performance has also been strong, driving increased and more diversified investor demand across its firm.
Ares Management Corporation reported a record-breaking $30 billion of gross capital raised in Q1, up 46% compared to last year's record first quarter. The company's pipeline of new institutional funds remains robust for this year and next year, with three of its largest institutional private credit funds in the market over the next 12 months.
The company's institutional franchise remains strong, comprising nearly 75% of its $644 billion AUM. This is supplemented by 14% from publicly traded closed-end funds and other sources, and just over 10% from Evergreen Wealth Products. The company operates one of the largest and most diversified origination platforms in the private markets, with nearly 1,700 investment professionals across more than 55 global offices.
Despite the typical seasonal slowdown in Q1 and heightened geopolitical issues, Ares Management Corporation's deployment was still over $32 billion across the firm, higher than the first quarter of last year. As sponsors and business owners gain increasing comfort with the market backdrop, the company is seeing its forward investment pipeline increase to a new record level.
The expansion of the company's platform is driving new investment opportunities, with 14 new investment products and strategies added over the past two years, totaling $68 billion in AUM. This enables the company to continue expanding its global origination capabilities and find supply-demand imbalances to deploy capital in high conviction areas.
Ares Management Corporation's available capital now stands at over $158 billion, expanding on the back of strong fundraising. The company is confident about the opportunities ahead for its business, driven by its ability to source differentiated investments throughout market cycles and capture market share during periods of volatility."
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