Abstract
KKR & Co LP will report fourth-quarter results on February 05, 2026 Pre-Market; this preview synthesizes recent financials, consensus forecasts, and institutional commentary to frame expectations around revenue, margins, and adjusted EPS trends.
Market Forecast
Consensus projections for the current quarter point to total revenue of USD 2.04 billion with year-over-year growth of 4.33%, forecast EBIT of USD 1.29 billion with year-over-year growth of 8.75%, and forecast EPS of 1.20 with year-over-year contraction of 6.23%; margin commentary suggests modest stability, with incremental gains linked to operating leverage. The main business is expected to benefit from insurance revenue breadth and steady asset-management fees, while outlook sensitivity ties to investment performance and capital deployment. The most promising segment is insurance, supported by scaled premiums and investment income dynamics, anticipated to underpin revenue resilience and improved operating contribution.
Last Quarter Review
In the prior quarter, KKR & Co LP reported revenue of USD 1.74 billion, a gross profit margin of 55.49%, GAAP net profit attributable to the parent company of USD 0.90 billion, a net profit margin of 12.67%, and adjusted EPS of 1.41 with year-over-year growth of 2.17%. A notable highlight was a sequential net profit increase of 76.50%, reflecting stronger monetizations and portfolio valuation support across investment platforms. Main business highlights included insurance revenue of USD 3.78 billion and asset management revenue of USD 1.74 billion, with the insurance franchise continuing to expand its contribution mix.
Current Quarter Outlook
Insurance
Insurance remains the largest revenue contributor, anchoring near-term stability and cash generation. The scale of premiums and consistent investment income can support operating margins, with underwriting discipline improving earnings quality when market volatility rises. Portfolio construction within the insurance balance sheet, including duration positioning and credit selection, will matter for spread income and mark-to-market effects as interest rates evolve. Management’s deployment of capital into higher-yielding assets without compromising credit quality can incrementally lift net interest margins, while reinsurance and flow agreements provide predictable inflows that bolster quarterly revenue cadence.
Asset Management
Asset management performance hinges on fee-paying assets under management and realized performance income, which together shape quarterly earnings power. The revenue base benefits from management fees tied to long-duration capital, and carry realization can add upside when exit activity improves. Fundraising momentum, pacing of capital deployment, and the timing of realizations will influence EBIT and EPS trajectory, especially given the forecast EPS contraction despite revenue expansion. Should equity markets and credit spreads remain supportive, valuation uplift and exit optionality may offset pressure from slower realization timing; conversely, extended risk-off conditions could dampen performance fees, making cost discipline and operating leverage central to sustaining margins.
Key Stock Price Drivers This Quarter
Stock performance this quarter will be most sensitive to the mix of fee-related earnings versus performance income and the contribution from insurance spreads. A positive surprise in carry realizations or valuation marks can drive EPS above forecasts even if revenue is in line, while lower-than-expected performance income could pressure the earnings multiple. Guidance around capital deployment, fundraising backlogs, and balance-sheet flexibility will shape sentiment; clear signals on the pace of exits and visibility on insurance spread sustainability can help bridge the gap between forecast EPS contraction and underlying revenue growth. Investors will scrutinize whether fee-related earnings growth offsets a softer performance income backdrop, and whether insurance margin dynamics remain supportive amid rate shifts.
Analyst Opinions
Institutional commentary gathered over the recent period skews cautiously positive, with a majority indicating constructive expectations for fee-related earnings growth and stable insurance contribution, while acknowledging near-term EPS headwinds linked to realization timing. Analysts point to resilient management-fee streams, diversified investment platforms, and scale advantages from insurance as anchors for revenue stability and incremental EBIT growth. Coverage from prominent sell-side institutions emphasizes that the most critical swing factor is performance income cadence; several previews highlight the potential for upside if exit activity normalizes and valuation marks remain supportive. Overall, the prevailing stance expects in-line to modestly better revenue outcomes with balanced margin dynamics, and a watchful view on EPS given the forecast decline relative to last year.
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