KKR & Co. Inc.

(New York Stock Exchange)
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Bullish +72

KKR & Co. Stock Gains as Q3 Earnings Beat Estimates, AUM Rises Y/Y

Earnings report Share buyback AI-generated analysis

πŸ“ˆ KKR shares gained 2.1% pre-market as Q3 2026 adjusted net income per share of $1.78 beat the Zacks Consensus Estimate of $1.58.

πŸ’° Total segment revenues increased 26.7% year-over-year to $1.86 billion, surpassing the consensus estimate of $1.75 billion.

πŸ“Š Assets under management (AUM) grew 11.2% year-over-year to $804.4 billion as of September 30, 2026.

πŸ’΅ Management fees rose 12.9% to $1.20 billion, while fee-related performance revenues jumped significantly to $326.3 million.

πŸ”„ KKR repurchased and retired 6.2 million shares for $567 million between June 30 and November 4, 2026.

πŸ“œ The company approved an additional $500 million increase to its share repurchase program on November 6, 2026.

πŸ’Ό KKR expects to generate approximately $2 billion in adjusted net income from the sale of USI Insurance Services upon closing.

⚠️ Total segment expenses increased 24.9% year-over-year to $539.3 million due to rising compensation and operating costs.

πŸ“‰ GAAP net income attributable to common stockholders reached $1.12 billion, up from $859.9 million in the prior-year quarter.

Bullish Signals
  • Shares of KKR gained 2.1% in pre-market trading as Q3 2026 adjusted net income per share of $1.78 surpassed the Zacks Consensus Estimate of $1.58.
  • Total segment revenues increased 26.7% year-over-year to $1.86 billion, exceeding the analyst consensus estimate of $1.75 billion.
  • Assets under management (AUM) grew 11.2% year-over-year to $804.4 billion as of September 30, 2026, indicating strong fundraising capabilities.
  • Fee-related performance revenues rose sharply to $326.3 million from $73.2 million in the prior-year quarter, boosting overall profitability.
  • Management fees increased 12.9% year-over-year to $1.20 billion, reflecting growth in fee-paying assets and market activity.
  • The company repurchased and retired 6.2 million shares for $567 million from June 30 through November 4, 2026, demonstrating commitment to shareholder returns.
  • KKR approved an additional $500 million increase in its share repurchase program on November 6, 2026, further supporting capital allocation.
Risk Factors
  • Total segment expenses increased 24.9% year-over-year to $539.3 million, acting as a headwind to overall profitability growth.
  • Rising fee-related compensation and other operating expenses are likely to keep the expense base elevated in the quarters ahead.
Full Analysis
KKR & Co. Inc. shares rose 2.1% in pre-market trading following a third-quarter 2026 earnings beat, with adjusted net income per share reaching $1.78 against the consensus estimate of $1.58. The company's bottom line improved significantly to $1.41 billion from $1.12 billion in the prior-year quarter, driven primarily by robust growth in assets under management (AUM) and associated fee revenues. Total segment revenues surged 26.7% year-over-year to $1.86 billion, exceeding analyst expectations of $1.75 billion. This expansion was fueled by a 12.9% increase in management fees to $1.20 billion and a substantial jump in fee-related performance revenues to $326.3 million. Despite a 24.9% rise in total segment expenses to $539.3 million, the company posted strong fee-related earnings of $1.32 billion. As of September 30, 2026, KKR's total AUM grew 11.2% year-over-year to $804.4 billion, with fee-paying AUM increasing 10.7% to $647.9 billion. The company also executed a significant capital return program, repurchasing and retiring 6.2 million shares for $567 million in the first half of the year and approving an additional $500 million buyback program in early November. Looking ahead, KKR expects to generate approximately $2 billion in adjusted net income from the sale of USI Insurance Services, anticipated to close in the fourth quarter. While rising compensation costs and operating expenses are expected to keep the expense base elevated, the firm anticipates continued benefits from its fundraising capabilities and AUM growth in upcoming quarters.