Disclaimer:

Disclaimer: The blog posts and comments on this blog and posts on social networks are not investment recommendation, are provided solely for informational purposes, and do not constitute an offer or solicitation to buy or sell any securities. The opinions expressed on the blog are Petar Posledovich's. Petar Posledovich does not guarantee the accuracy of the information presented on this blog and social networks. The information presented is "as is". The blog is stocks analysis and valuation, Bitcoin, Cryptocurrencies, Artificial Intelligence, AI, deep-learning focused. Independent, unbiased AI insights. Petar Vladimirov Posledovich is not liable for any investment losses incurred by reading and interpreting blog posts on this blog and posts on social networks. Conflicts of interest: I may possess some of the securities, currencies or their derivatives mentioned in the blog post and posts on social networks! The blog is property of Wolfteam Ltd. www.wolfteamedge.com Respectfully yours, Petar Posledovich

Sunday, May 11, 2025

KKR 1 Quarter 2025 Earnings Announcement Comment

 


KKR & Co Inc announced a net loss of 0.2 billion USDs on 3.1 billion USDs of revenue for 1Q2025 compared to net income of 0.7 billion USDs on 9.7 billlion USDs in revenue in 1Q 2024.

That said for the rolling 12 months as of 1Q 2025 KKR announced 2.2 billion USDs in net income on 15.3 billion USDs in revenue compared with 4.0 billion USDs in net income on 21 billion USDs in revenue for the rolling 12 months as of 1Q 2024. 

Despite the slowdown in net income and revenue KKR goes on strong in its investment thesis of investing in artificial intelligence, AI data infrastructure and the energy and delivery sector that powers the AI future.

At 104.88 billion USDs market capitalization, KKR is undervalued, according to Wolfteam Ltd.'s projections and estimates. If all KKR's owned properties including companies, real estate and its insurance business arm are sold they will get more money that KKR's current market capitalization, according to back of the napkin sum of the parts valuation performed by Wolfteam Ltd.

KKR is valued as an AI company at present.

Here is KKR's 1Q 2025 earnings release:

GAAP Net Income (Loss) Attributable to KKR & Co. Inc. Common Stockholders was $(0.2) billion for the quarter and
$2.2 billion in the LTM.
($ in thousands, except per share data) 1Q'24 1Q'25 1Q'24 LTM 1Q'25 LTM
Revenues
Asset Management and Strategic Holdings $ 1,956,468 $ 2,045,915 $ 6,637,740 $ 7,301,693
Insurance 7,700,270 1,064,268 14,390,828 8,030,450
Total Revenues $ 9,656,738 $ 3,110,183 $ 21,028,568 $ 15,332,143
Expenses
Asset Management and Strategic Holdings $ 1,617,969 $ 1,667,900 $ 4,969,438 $ 5,809,685
Insurance 7,694,975 2,163,055 13,842,028 9,694,186
Total Expenses $ 9,312,944 $ 3,830,955 $ 18,811,466 $ 15,503,871
Total Investment Income (Loss) - Asset Management and Strategic Holdings $ 1,019,257 $ 1,491,839 $ 5,292,123 $ 5,440,177
Income Tax Expense (Benefit) 269,201 86,569 1,317,977 771,764
Redeemable Noncontrolling Interests 32,678 8,494 34,576 48,965
Noncontrolling Interests 378,958 861,928 2,082,191 2,239,613
Preferred Stock Dividends — — 34,497 —
Net Income (Loss) - KKR Common Stockholders $ 682,214 $ (185,924) $ 4,039,984 $ 2,208,107
Net Income (Loss) Attributable to KKR & Co. Inc. Per Share of Common Stock
Basic $ 0.77 $ (0.22) $ 4.63 $ 2.47
Diluted $ 0.74 $ (0.22) $ 4.46 $ 2.32
Weighted Average Shares of Common Stock Outstanding
Basic 885,005,824 888,246,698 873,421,040 887,826,075
Diluted 925,141,166 888,246,698 914,564,951 946,906,375

No comments: