The Carlyle Group (CG) investor relations material

Executive summary

• Achieved one of the strongest quarters in recent years, with record Fee Related Earnings and highest Distributable Earnings in nearly four years, supported by strong fundraising, realization activity, and diversified platform execution.

• Assets under management reached a record $485.5 billion as of June 30, 2026, with $334.4 billion in fee-earning AUM, driven by growth in Carlyle AlpInvest and Global Credit.

• Distributed nearly $7 billion to clients in Q2 2026 and $37 billion over the past year, reflecting disciplined execution and industry leadership in capital returns.

• Declared a quarterly dividend of $0.35 per share, consistent with prior quarters.

Financial highlights

• Distributable earnings for Q2 2026 were $472 million ($1.07 per share), the highest in nearly four years.

• Fee Related Earnings reached $358 million in Q2 2026, up 11% year-over-year, with a 47% margin.

• Q2 2026 revenues were $1.12 billion, with total segment expenses of $639.9 million.

• Fund management fees increased to $657 million in Q2 2026; incentive fees rose 144% to $98.9 million.

• Net income attributable to common stockholders was $137 million for Q2 2026, or $0.37 per diluted share.

Outlook and guidance

• Entering a fundraising super cycle with nearly all core strategies in the market over the next few years.

• Management expects continued acceleration in revenue and earnings, supported by robust capital raising and deployment.

• Compensation ratio expected to remain around 47% for 2026, with margin improvement anticipated as fundraising flows through in 2027 and 2028.

• Distributable earnings in Global Private Equity expected to be lower in the second half of 2026 due to an anticipated realization of a loss on an infrastructure fund investment.

• Realizations and performance revenues are expected to maintain strong momentum in the second half, though quarter-to-quarter variability is anticipated.