Ares Management Q3 2026: non-GAAP EPS $1.26 misses as net income slides
Ares closed the September 2026 quarter with $1.43 billion of revenue and $85.3 million of GAAP net income, but the number management steers by — after-tax realized income of $1.26 per share — came in 4.1% under the $1.3136 consensus. Read the quarter in two layers: the fee engine (management fees plus fee related earnings of $524.2 million) versus the GAAP bottom line, which is thin and volatile quarter to quarter.
1 · Expected vs. Actual
Free preview belowGAAP earnings per share was $0.21, while the after-tax realized income figure Ares highlights was $1.26 — 4.1% below the $1.3136 consensus estimate. The gap between the two is the story: after-tax realized income was $449.6 million against GAAP net income of $85.3 million, meaning only about 19.0% of the realized figure survived into GAAP profit. Net income also fell 43.4% from $150.6 million in the prior quarter, so the miss is not a rounding issue.
Revenue was $1.43 billion, up a hair (0.3%) from $1.43 billion in the prior quarter but down 13.5% from $1.66 billion in the same quarter a year earlier. Management Service fees did the heavy lifting at $1.06 billion, or 73.7% of the total, with Carried Interest adding $161.7 million and Administrative Service $112.4 million. This is a fee-driven revenue base with a performance-fee kicker, not a single-line business.
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Figures on this page come from the company's original SEC filings. The analysis is generated automatically and checked against validation rules, but may still contain errors or omissions. Not investment advice. · Generated 2026-11-07
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