Why Investment Firm KKR's Stock Is Higher Today

KKR & Co Inc KKR shares are trading higher after it reported fourth-quarter FY23 results.

Asset management segment revenues of $1.63 billion, beating the consensus of $1.61 billion.

The private equity company reported after-tax adjusted distributable EPS of $1.00, which beat the consensus of $0.91.

In the insurance segment, net investment income rose to $1.47 billion from $1.23 billion in the prior year, reflecting higher yields and growth in the investment portfolio. 

Fee Related Earnings rose 21% Y/Y to $675 million in the quarter.  

Assets under management rose 10% Y/Y to $553 billion, with organic new capital of $31 billion raised in the quarter.

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Book value per adjusted shares rose 13% Y/Y to $30.95 in the quarter. As of FY23-end, cash and investments stood at $29 billion.

Dividend: KKR declared a dividend per share of $0.165, payable on March 1, 2024, to shareholders of record as of February 16, 2024.

Beginning with the first quarter of FY24, the company plans to raise the annual dividend to $0.70 from $0.66.

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Price Action: KKR shares are trading higher by 2.60% at $90.75 premarket on the last check Tuesday.