Blue Owl Capital Inc. Files 10-Q for Q1 2024

TL;DR

<b>Blue Owl Capital Inc. has filed its Q1 2024 10-Q report, detailing financial performance and corporate information.</b>

AI Summary

BLUE OWL CAPITAL INC. (OWL) filed a Quarterly Report (10-Q) with the SEC on May 3, 2024. Blue Owl Capital Inc. filed its 10-Q report for the period ending March 31, 2024. The filing covers the first quarter of 2024. The company's principal executive offices are located at 399 Park Avenue, 37th Floor, New York, NY 10022. The filing includes data related to common stock, additional paid-in capital, and retained earnings. Key dates include the filing date of May 3, 2024, and the period of report ending March 31, 2024.

Why It Matters

For investors and stakeholders tracking BLUE OWL CAPITAL INC., this filing contains several important signals. This 10-Q filing provides investors with the latest quarterly financial statements and management's discussion, crucial for understanding the company's current operational and financial health. The detailed breakdown of common stock classes and capital accounts offers insight into the company's equity structure and potential dilution factors.

Risk Assessment

Risk Level: medium — BLUE OWL CAPITAL INC. shows moderate risk based on this filing. The company operates in the investment advisory sector, which is subject to market volatility and regulatory changes that could impact its financial performance.

Analyst Insight

Monitor Blue Owl Capital's revenue growth and net income trends in subsequent filings to assess its ability to navigate market conditions.

Key Numbers

• 2024-03-31 — Report Period End Date (Conformed Period of Report)
• 2024-05-03 — Filing Date (Filed as of Date)
• 2024-01-01 — Quarter Start Date (Reporting period start date)
• 2023-01-01 — Prior Year Quarter Start Date (Prior year reporting period start date)

Key Players & Entities

• BLUE OWL CAPITAL INC. (company) — Filer name
• 0001823945 (company) — Central Index Key
• 399 PARK AVENUE, 37TH FLOOR (company) — Business Address
• NEW YORK (company) — Business Address City
• NY (company) — Business Address State
• 10022 (company) — Business Address Zip
• ALTIMAR ACQUISITION CORP. (company) — Former Company Name
• 20200909 (company) — Date of Name Change

FAQ

Risk Factors

• Market Conditions [medium — market]: The company's financial results are subject to market fluctuations and economic conditions that could adversely affect its business.
• Regulatory Environment [medium — regulatory]: Changes in laws and regulations applicable to the investment management industry could impact the company's operations and profitability.
• Operational Risks [medium — operational]: The company relies on key personnel and its ability to attract and retain talent, and disruptions could negatively affect its performance.

Key Dates

• 2024-05-03: 10-Q Filing — Filing of the quarterly report for the period ending March 31, 2024.
• 2024-03-31: Quarter End Date — End of the reporting period for the first quarter of 2024.
• 2024-01-01: Quarter Start Date — Beginning of the reporting period for the first quarter of 2024.

Key Financial Figures

• $0.0001 — 2024 Class A common stock, par value $0.0001 500,879,131 Class B common stock, par
• $750 million — ding Kuvare UK Holdings ("Kuvare"), for $750 million (the "KAM Acquisition"). We will fund t
• $325 million — AM Acquisition through a combination of $325 million in cash and $425 million in Blue Owl Cl
• $425 million — combination of $325 million in cash and $425 million in Blue Owl Class A common stock. The K
• $250 million — g-term investment in Kuvare, purchasing $250 million of preferred equity. In April 2024, we
• $170 million — re Prima Capital Advisors ("Prima") for $170 million (the "Prima Acquisition"). The Prima Ac
• $157 million — through a combination of approximately $157 million of Class A Shares, Class C Shares and B
• $13 million — Operating Group Units and approximately $13 million in cash, subject to certain closing con
• $174.3 billion — ssets Under Management Blue Owl AUM: $174.3 billion FPAUM: $105.4 billion Credit AUM: $
• $105.4 billion — Blue Owl AUM: $174.3 billion FPAUM: $105.4 billion Credit AUM: $91.3 billion FPAUM: $5
• $91.3 billion — n FPAUM: $105.4 billion Credit AUM: $91.3 billion FPAUM: $58.8 billion GP Strategic Cap
• $58.8 billion — on Credit AUM: $91.3 billion FPAUM: $58.8 billion GP Strategic Capital AUM: $55.8 billi
• $55.8 billion — 8.8 billion GP Strategic Capital AUM: $55.8 billion FPAUM: $31.8 billion Real Estate AUM
• $31.8 billion — gic Capital AUM: $55.8 billion FPAUM: $31.8 billion Real Estate AUM: $27.2 billion FPAUM
• $27.2 billion — FPAUM: $31.8 billion Real Estate AUM: $27.2 billion FPAUM: $14.9 billion Diversified Len

Filing Documents

• owl-20240331.htm (10-Q) — 1801KB
• a33124exhibit311.htm (EX-31.1) — 10KB
• a33124exhibit312.htm (EX-31.2) — 10KB
• a33124exhibit313.htm (EX-31.3) — 10KB
• a33124exhibit321.htm (EX-32.1) — 5KB
• a33124exhibit322.htm (EX-32.2) — 5KB
• a33124exhibit323.htm (EX-32.3) — 5KB
• owl-20240331_g1.jpg (GRAPHIC) — 68KB
• owl-20240331_g2.jpg (GRAPHIC) — 55KB
• owl-20240331_g3.jpg (GRAPHIC) — 44KB
• owl-20240331_g4.jpg (GRAPHIC) — 45KB
• 0001823945-24-000041.txt (&nbsp;) — 9398KB
• owl-20240331.xsd (EX-101.SCH) — 62KB
• owl-20240331_cal.xml (EX-101.CAL) — 78KB
• owl-20240331_def.xml (EX-101.DEF) — 350KB
• owl-20240331_lab.xml (EX-101.LAB) — 669KB
• owl-20240331_pre.xml (EX-101.PRE) — 506KB
• owl-20240331_htm.xml (XML) — 1476KB

Financial Statements

Financial Statements 7 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 7 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 25 Item 4 .

Controls and Procedures

Controls and Procedures 26 PART II OTHER INFORMATION 27 Item 1.

Legal Proceedings

Legal Proceedings 27 Item 1A.

Risk Factors

Risk Factors 27 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 27 Item 3. Defaults Upon Senior Securities 27 Item 4. Mine Safety Disclosures 27 Item 5. Other Information 27 Item 6. Exhibits 27

Signatures

Signatures 29 Index to Financial Statements F- 1 Table of Contents DEFINED TERMS Assets Under Management or AUM Refers to the assets that we manage, and is generally equal to the sum of (i) net asset value ("NAV"); (ii) drawn and undrawn debt; (iii) uncalled capital commitments; (iv) total managed assets for certain Real Estate products; and (v) par value of collateral for collateralized loan obligations ("CLOs"). Annual Report Refers to our annual report for the year ended December 31, 2023, filed with the SEC on Form 10-K on February 23, 2024. our BDCs Refers to the business development companies ("BDCs") we manage, as regulated under the Investment Company Act of 1940, as amended: Blue Owl Capital Corporation (NYSE: OBDC) ("OBDC"), Blue Owl Capital Corporation II ("OBDC II"), Blue Owl Capital Corporation III (NYSE: OBDE) ("OBDC III"), Blue Owl Technology Finance Corp. ("OTF"), Blue Owl Technology Finance Corp. II ("OTF II"), Blue Owl Credit Income Corp. ("OCIC") and Blue Owl Technology Income Corp. ("OTIC"). Blue Owl, the Company, the firm, we, us, and our Refers to the Registrant and its consolidated subsidiaries. Blue Owl Carry Refers to Blue Owl Capital Carry LP. Blue Owl GP Refers collectively to Blue Owl Capital GP Holdings LLC and Blue Owl Capital GP LLC, which are directly or indirectly wholly owned subsidiaries of the Registrant that hold the Registrants interests in the Blue Owl Operating Partnerships. Blue Owl Holdings Refers to Blue Owl Capital Holdings LP. Blue Owl Operating Group Refers collectively to the Blue Owl Operating Partnerships and their consolidated subsidiaries. Blue Owl Operating Group Units Refers collectively to a unit in each of the Blue Owl Operating Partnerships. Blue Owl Operating Partnerships Refers to Blue Owl Carry and Blue Owl Holdings, collectively. Blue Owl Securities Refers to Blue Owl Securities LLC, a Delaware limited liability company. Blue Owl Securities is a broker-dealer registered with th

Financial Statements Refers to our consolidated financial statements included in this report

Financial Statements Refers to our consolidated financial statements included in this report. GAAP Refers to U.S. generally accepted accounting principles. GP Strategic Capital Refers to our GP Strategic Capital platform that primarily focuses on acquiring equity stakes in, and providing debt financing to, large, multi-product private equity and private credit firms through two existing investment strategies: GP minority stakes and GP debt financing, and also includes our professional sports minority stakes strategy. NYSE Refers to the New York Stock Exchange. our products Refers to the products that we manage, including our BDCs, private funds, CLOs, managed accounts and real estate investment trusts. Part I Fees Refers to quarterly performance income on the net investment income of our BDCs and similarly structured products, subject to a fixed hurdle rate. These fees are classified as management fees throughout this report, as they are predictable and recurring in nature, not subject to repayment, and cash-settled each quarter. Part II Fees Generally refers to fees from our BDCs and similarly structured products that are paid in arrears as of the end of each measurement period when the cumulative aggregate realized capital gains exceed the cumulative aggregate realized capital losses and aggregate unrealized capital depreciation, less the aggregate amount of Part II Fees paid in all prior years since inception. Part II Fees are classified as performance revenues throughout this report. Partner Manager Refers to alternative asset management firms in which the GP Strategic Capital products invest. Permanent Capital Refers to AUM in products that do not have ordinary redemption provisions or a requirement to exit investments and return the proceeds to investors after a prescribed period of time. Some of these products, however, may be required or can elect to return all or a portion of capital gains and investment income, and some may have periodic te

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements. The information required by this item is included in the Financial Statements set forth in the F-pages of this report.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations. The following Management's Discussion and Analysis of Financial Condition and Results of Operations ("MD&A"), should be read in conjunction with the Financial Statements. For a description of our business, please see "Item 1. Business" in the Annual Report. 2024 First Quarter Overview Three Months Ended March 31, (dollars in thousands) 2024 2023 Net Income Attributable to Blue Owl Capital Inc. $ 25,091 $ 8,317 Fee-Related Earnings (1) $ 289,698 $ 225,899 Distributable Earnings (1) $ 240,099 $ 209,014 (1) For the specific components and calculations of these Non-GAAP measures, as well as a reconciliation of these measures to the most comparable measure in accordance with GAAP, see "—Non-GAAP Analysis" and "—Non-GAAP Reconciliations." Please see "—GAAP Results of Operations Analysis" and "—Non-GAAP Analysis" for a detailed discussion of the underlying drivers of our results. Acquisitions In April 2024, we announced our entry into an agreement to acquire Kuvare Insurance Services LP (dba Kuvare Asset Management) ("KAM"), a boutique investment management firm focused on providing asset management services to the insurance industry, including Kuvare UK Holdings ("Kuvare"), for $750 million (the "KAM Acquisition"). We will fund the KAM Acquisition through a combination of $325 million in cash and $425 million in Blue Owl Class A common stock. The KAM Acquisition is expected to close in the second or third quarter of 2024 and remains subject to customary regulatory approvals and other closing conditions and specified termination rights. Separately, we made a long-term investment in Kuvare, purchasing $250 million of preferred equity. In April 2024, we announced our entry into an agreement to acquire Prima Capital Advisors ("Prima") for $170 million (the "Prima Acquisition"). The Prima Acquisition will be funded through a combination of approximately $157 millio

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