Thursday, 26 May 2016
Last updated 6 hours ago
Apr 30 2012 | 1:53pm ET
Despite markedly lower fee income, Kohlberg Kravis Roberts managed a modest increase in its first-quarter profit.
The New York-based private equity giant said its income for the first three months of the year was $683.8 million, 5% more than the year-earlier period. Strong investment performance was credited, since KKR's fee-related earnings dropped 42% to $73.4 million.
The firm, which said its assets have grown to a record $62.3 billion, blamed the dramatic drop in fee income on slow deal activity; KKR closed just two during the quarter.
"This was a slow quarter when it comes to new investments," executive Scott Nuttall said. "We're seeing some volatility, but also some great opportunity."
KKR's economic net income of 99 cents per share easily topped analysts' expectations.