Assets under management (AUM) reached a record $465 billion at quarter-end, with $51 billion of organic inflows over the past 12 months.
Carlyle delivered record fee-related earnings (FRE) of $323 million in Q2 2025, up 18% year-over-year, with year-to-date FRE at $634 million and a 48% margin.
Corporate private equity returned nearly $15 billion to investors over the last 12 months, triple the industry average, with strong portfolio realizations and performance.
Global Credit and Carlyle AlpInvest accounted for 55% of firm-wide FRE, up from less than 30% two years ago, reflecting diversification and growth.
Management fees increased 7% to $590 million in Q2 and $1.1 billion year-to-date, while capital markets fees more than doubled to $48 million in Q2 and $126 million year-to-date.
Adjusted EBITDAC increased 24.5% to $308 million, with margin expansion of 50 basis points to 36.1%.
GAAP interest expense is expected to be approximately $223 million in 2025, with $57 million in Q3.
M&A remains a top priority with net leverage at 3.5x, and the company is willing to temporarily exceed comfort levels for strategic acquisitions.
Ryan Specialty Holdings reported total revenue growth of 23% in Q2 2025 to $855 million, driven by 7.1% organic growth and 13 percentage points from M&A.
The adjusted effective tax rate was 26%, expected to remain similar for the rest of 2025.
Adjusted operating margin expanded to 39.6% in Q2, up 120 basis points from prior year.
Financial Solutions segment grew 7% organically in Q2, led by issuing and digital payments growth.
Fiserv delivered 8% adjusted and organic revenue growth in Q2 2025, with 16% adjusted EPS growth year-over-year.
Free cash flow was $1.2 billion in Q2 and $1.5 billion for the first half of 2025, with an expected full year of approximately $5.5 billion.
Merchant Solutions operating margin declined 200 basis points to 34.6% due to investments and acquisitions, while Financial Solutions margin expanded to 48.7%.
Merchant Solutions segment grew 9% organically in Q2, with 10% adjusted revenue growth, driven by Clover and Commerce Hub.
Share repurchases totaled $2.2 billion in Q2, with guidance increased to approximately 130% of free cash flow for 2025.
Market Opportunity Driven by Bank Pullback in Direct Lending
Market conditions created an excellent window for TRTX to capitalize on widening loan spreads, especially as banks continued their reluctance to engage in direct lending.
TRTX executed 7 new loans totaling $696 million during the quarter, with a weighted average loan-to-value ratio of 68%.
The market backdrop allowed TRTX to leverage its dry powder and stable liability structure for attractive risk-adjusted returns.
Declines were driven by lower U.S. agent count, broker fees, and revenue from previous acquisitions, partially offset by new revenue streams including RE/MAX Media Network and lead concierge initiatives.
Revenue excluding marketing funds was $54.5 million, down 6.8% year-over-year due to negative organic growth of 5.7% and adverse foreign currency movements of 1.1%.
Selling, operating, and administrative expenses decreased by $1 million or 2.8% to $33.9 million, primarily due to lower personnel expenses partially offset by severance and investments in flagship websites.
Total leverage ratio was 3.58:1 as of June 30, consistent with March 31, with expectations to decrease in the second half of the year.
Total revenue for Q2 2025 was $72.8 million, with adjusted EBITDA of $26.3 million and an adjusted EBITDA margin of 36.1%, up 30 basis points from Q2 2024.
Dafinchi