A diversified alternative asset manager leveraging extensive deal flow and operational expertise to generate alpha across private equity, credit, real estate, and infrastructure investments.
Investors may favor Carlyle Group for its diversified revenue streams across multiple asset classes that provide downside protection, a track record of deploying capital efficiently as evidenced by substantial shareholder returns via buybacks and dividends, and the ability to generate consistent operating profits exceeding $1B annually.
Concerns regarding recent revenue volatility with a 2023 loss of $496.7M followed by a 2024 peak suggest sensitivity to market cycles, while large non-cash adjustments of -$4.50B indicate potential complexities in earnings quality that warrant close monitoring before entry.
Carlyle Group Inc. (CG) is a global alternative investment firm providing private equity, credit, real estate, and infrastructure solutions to clients worldwide. The company manages capital for institutional investors, high-net-worth individuals, and corporations across diverse markets including healthcare, technology, consumer products, and industrial sectors.
Despite a notable revenue contraction from 2024 to 2025, Carlyle Group maintained robust profitability with net income of $944.7M, supported by strong cash generation from financing activities totaling $3.99B which funded share repurchases of $686.5M and dividends of $505.1M.
The alternative asset management industry is characterized by high barriers to entry due to regulatory requirements and the need for specialized operational expertise, with performance heavily influenced by global economic conditions and capital availability from institutional investors.
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Revenue | $4.44B | $2.96B | $5.43B | $4.78B |
| Cost of Revenue | $0 | $0 | $0 | $0 |
| Gross Profit | $4.44B | $2.96B | $5.43B | $4.78B |
| Operating Expenses | $2.87B | $3.56B | $4.03B | $3.62B |
| Operating Income | $1.57B | $-600.9M | $1.39B | $1.16B |
| G&A | $575.8M | — | — | — |
| Stock-Based Comp | $154.0M | $249.1M | $467.9M | $374.7M |
| D&A | $147.4M | $180.6M | $184.1M | $192.1M |
| Amortization | $103.9M | $135.0M | $130.8M | $131.0M |
| Other OpEx | $2.29B | — | — | — |
| Non-Operating Income | $0 | $0 | $0 | $0 |
| Interest Expense | $110.4M | $123.8M | $121.0M | $123.9M |
| Interest Income | $282.3M | $512.4M | $577.6M | $577.2M |
| Pre-Tax Income | $1.57B | $-600.9M | $1.39B | $1.16B |
| Income Tax | $287.8M | $-104.2M | $302.6M | $214.5M |
| Continuing Ops | $1.28B | $-496.7M | $1.09B | $944.7M |
| Discontinued Ops | $0 | $0 | $0 | $0 |
| Net Income | $1.28B | $-496.7M | $1.09B | $944.7M |
| Minority Interest | $59.7M | $111.7M | $70.7M | $136.0M |
| Net to Common | $1.23B | $-608.4M | $1.02B | $808.7M |
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Cash & Equivalents | $1.36B | $1.44B | $1.27B | $1.97B |
| PP&E (Net) | $139.9M | $161.5M | $185.3M | $224.9M |
| Goodwill | $103.9M | $104.0M | $103.6M | $104.6M |
| Operating Leases | $337.0M | $332.2M | $341.4M | $331.9M |
| Total Assets | $21.40B | $21.18B | $23.10B | $29.12B |
| Total Liabilities | $14.58B | $15.39B | $16.76B | $22.06B |
| Shareholders' Equity | $6.82B | $5.78B | $6.35B | $7.06B |
| Paid-In Capital | $3.14B | $3.40B | $3.89B | $4.29B |
| Retained Earnings | $3.40B | $2.08B | $2.04B | $1.64B |
| AOCI | $-322.2M | $-297.3M | $-329.8M | $-170.2M |
| Total L&E | $21.40B | $21.18B | $23.10B | $29.12B |
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Net Income (CFO) | $1.28B | $-496.7M | $1.09B | $944.7M |
| Non-Cash Adjustments | $-1.69B | $327.6M | $-1.79B | $-4.50B |
| Working Capital Changes | $24.0M | $374.0M | $-62.3M | $281.4M |
| Cash from Operations | $-379.3M | $204.9M | $-759.5M | $-3.28B |
| Capital Expenditures | $40.6M | $66.6M | $77.7M | $99.4M |
| Cash from Investing | $-828.8M | $-43.6M | $-77.6M | $-99.4M |
| Share Buybacks | $185.6M | $203.5M | $554.6M | $686.5M |
| Dividends Paid | $443.6M | $497.7M | $503.0M | $505.1M |
| Cash from Financing | $114.8M | $-99.6M | $682.8M | $3.99B |
| FX Effect | $-20.3M | $18.9M | $-21.3M | $91.6M |
| Net Change in Cash | $-1.11B | $80.6M | $-175.6M | $707.1M |
| Beginning Cash | $2.48B | $1.36B | $1.44B | $1.27B |
| Ending Cash | $1.36B | $1.44B | $1.27B | $1.97B |
The firm operates primarily through four main investment strategies: Private Equity (acquiring controlling stakes in companies), Credit (providing financing solutions including senior secured loans), Real Estate (developing and managing income-generating properties), and Infrastructure (investing in essential assets like energy and transportation).
Significant exposure to market volatility affecting private equity valuations, potential regulatory changes impacting alternative asset management fees, concentration risk within specific industry sectors like healthcare or energy, and macroeconomic headwinds including interest rate fluctuations affecting credit spreads and real estate valuations.
Carlyle Group possesses a deep network of industry-specific operating partners who provide post-acquisition value creation, strong brand reputation among limited partners leading to consistent fundraise success, and proprietary deal sourcing capabilities that offer first-mover advantages in niche markets.
Not financial advice. All content is for informational purposes only. Data may contain errors. Consult a qualified financial advisor before making investment decisions.