Carlyle, the global private equity, private credit and insurance asset management firm has 441 billion USD of assets under management. 164 billion USDs of assets under management are in global private equity, 192 billion USDs are in global credit and 85 billion USDs AUM are in global investment solutions.
Carlyle is realatively undervalued towards CVC, in Wolfteam Ltd.'s view.
Carlyle Group's market capitalization is 17.39 billion USD. Carlyle Group's Price/Earnings ratio is 17.53
Regarding CVC. Total AUM reached €200bn as at 31 December 2024. FPAUM
increased to €147bn, or +50% vs. €98bn as at 31 December 2023. CVC's market capitalization is 23.28 billion EURs. CVC's Price/Earnings ratio is 51.86
Carlyle distributes dividend yield of 2.88 %, while CVC does not distribute dividend.
On a relative valuation basis Carlyle is undervalued compared to CVC.
Carlyle's intrinsic value is 52 billion USD, while CVC's intrinsic value is 31 billion EURs, according to Wolfteam Ltd.'s projections and estimates.
Carlyle Fourth Quarter and Full-Year 2024 U.S. GAAP Results
• Fund management fees increased 7% in FY 2024 compared to FY 2023, primarily driven by an increase in capital market fees, an increase in fundraising in our Global Investment Solutions and Global Credit
segments, and an increase in fees earned under the Fortitude strategic advisory services agreement. These increases were partially offset by the impact of investment activity and step-downs in certain products
in our Global Private Equity segment.
• Investment income, including performance allocations, increased in FY 2024 compared to FY 2023, reflecting higher accruals of unrealized performance allocations driven by higher appreciation in our carry
fund portfolio, particularly in our U.S. buyout funds. Investment income in FY 2023 also included an investment loss of $104 million related to the dilution of our ownership in Fortitude.
• Equity-based compensation increased in FY 2024 compared to FY 2023, driven by awards granted in February 2024, including awards to certain senior Carlyle professionals that are subject to vesting based
on the achievement of stock price performance conditions over a service period of three years.
• Performance allocations and incentive fee related compensation increased in FY 2024 compared to FY 2023, driven by the increase in Investment income, including performance allocations. This was partially
offset by a one-time charge of $1.1 billion in 4Q 2023 related to a realignment of our employee compensation program to increase the proportion of our accrued performance allocations used to compensate our
employees.
5
(Dollars in millions, except per share amounts) 4Q'23 4Q'24 FY'22 FY'23 FY'24
REVENUES
Fund management fees $ 532.0 $ 597.4 $ 2,030.1 $ 2,043.2 $ 2,188.1
Incentive fees 31.8 37.3 63.7 93.7 133.5
Investment income (loss), including performance allocations 144.0 220.5 1,898.0 44.8 2,254.4
Revenue from consolidated entities 158.4 121.0 311.0 570.1 631.6
All other revenues 60.0 56.3 135.9 212.1 218.2
Total Revenues 926.2 1,032.5 4,438.7 2,963.9 5,425.8
EXPENSES
Cash-based compensation and benefits 225.3 239.8 1,052.0 1,023.7 875.5
Equity-based compensation 62.3 112.8 154.0 249.1 467.9
Performance allocations and incentive fee related compensation 1,144.1 139.1 719.9 1,103.7 1,361.5
General, administrative and other expenses 181.4 153.4 575.8 652.1 665.6
Expenses from consolidated entities 120.8 126.2 211.6 419.1 564.9
Interest and other non-operating expenses 32.0 29.4 111.4 124.0 120.7
Total Expenses 1,765.9 800.7 2,824.7 3,571.7 4,056.1
Net investment gains (losses) of consolidated funds (3.0) 33.6 (41.5) 6.9 24.0
Income (loss) before provision for income taxes1 (842.7) 265.4 1,572.5 (600.9) 1,393.7
Provision (benefit) for income taxes (172.4) 38.1 287.8 (104.2) 302.6
Net income (loss) (670.3) 227.3 1,284.7 (496.7) 1,091.1
Net income attributable to non-controlling interests 21.7 16.4 59.7 111.7 70.7
Net income (loss) attributable to The Carlyle Group Inc. Common Stockholders $ (692.0) $ 210.9 $ 1,225.0 $ (608.4) $ 1,020.4
Net income (loss) attributable to The Carlyle Group Inc. per common share:
Basic $ (1.92) $ 0.59 $ 3.39 $ (1.68) $ 2.85
Diluted $ (1.92) $ 0.57 $ 3.35 $ (1.68) $ 2.77
Margin on income (loss) before provision for taxes2 (91.0) % 25.7 % 35.4 % (20.3) % 25.7 %
Effective tax rate 20.5 % 14.4 % 18.3 % 17.3 % 21.7 %
Net performance revenues3 $ (1,028.4) $ 49.9 $ 607.6 $ (1,192.3) $ 654.2
Here is CVC's investment activity :
Deployment2:
– Strong year-on-year recovery in deployment activity: +71% vs. FY 2023
– Private Equity deployment reached €13.3bn in FY 2024 vs. €4.2bn in FY 2023
o 13 new investments for Europe / Americas Fund IX, following its activation in May, and 23
investments in total across Europe / Americas, StratOps and Asia
– Attractive deployment opportunities for CVC Secondary Partners drove an increase of +93%
year-on-year, with €2.4bn deployed3 in FY 2024 vs. €1.2bn in FY 2023
– Deployment4 across CVC Credit reached €8.0bn in FY 2024, up from €6.7bn in FY 2023
(+20%), highlighting our strong origination and execution capabilities across Performing and
Private Credit strategies. CVC Credit achieved record levels of deployment in 2024, although
refinancing activity resulted in a high level of repayments slowing overall growth in FPAUM
o Record year for CLO issuances across Europe and the U.S. with 25 CLOs issued5
– Infrastructure remained highly selective in making the final investments from DIF VII and
Value Add III, ahead of the launch of successor funds in 2025
Realisations6:
– Whilst realisations across all strategies increased by 114% year-on-year, we continue to
remain cautious on the near-term outlook given inconsistent activity levels across the market
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