Ares Core Infrastructure Fund's Assets Soar to $1.97B Amid Investment Gains

TL;DR

**Ares Core Infrastructure Fund is aggressively expanding its infrastructure portfolio, but watch that NAV per share dip and rising leverage.**

AI Summary

Ares Core Infrastructure Fund reported a net increase in net assets from operations of $59.402 million for the nine months ended September 30, 2025, a significant improvement from a net decrease of $0.528 million for the period from May 7, 2024 (inception) to September 30, 2024. The fund's total assets surged to $1.967 billion as of September 30, 2025, up from $380.607 million at December 31, 2024. This growth was primarily driven by a substantial increase in investments, at fair value, reaching $1.741 billion from $339.136 million. Net investment loss, however, widened to $14.832 million for the nine months ended September 30, 2025, compared to $0.679 million in the prior period, largely due to a $17.325 million income tax expense. The fund experienced significant net unrealized gains on investments of $84.576 million and net realized gains of $1.525 million for the nine months ended September 30, 2025. Term loans payable also increased substantially to $428.203 million from $207.253 million, indicating increased leverage. The fund's net asset value per share for Class I shares was $24.9088 as of September 30, 2025, a slight decrease from $25.1266 at December 31, 2024.

Why It Matters

Ares Core Infrastructure Fund's substantial asset growth to $1.967 billion and significant unrealized gains highlight robust performance in the infrastructure sector, potentially signaling strong investor confidence and capital inflows. The increase in term loans payable to $428.203 million suggests a strategic use of leverage to fuel expansion, which could amplify returns but also increases risk. For investors, this indicates a growing, actively managed fund with a focus on renewable energy and utilities, offering diversification into essential services. The slight dip in NAV per share despite overall asset growth warrants attention, suggesting dilution or other factors impacting per-share value, which could affect competitive positioning against other infrastructure funds.

Risk Assessment

Risk Level: medium — The fund's risk level is medium due to its significant increase in term loans payable to $428.203 million from $207.253 million, indicating higher leverage. Additionally, 106.61% of the Fund's net assets are in 'restricted securities' as of September 30, 2025, which may limit liquidity and exit options.

Analyst Insight

Investors should closely monitor the fund's leverage ratios and the impact of its significant holdings in restricted securities on liquidity. While the growth in assets and unrealized gains are positive, the slight decrease in NAV per share from $25.1266 to $24.9088 warrants further investigation into the underlying drivers before making new investments.

Key Numbers

• $1.967B — Total Assets (Increased from $380.607M at Dec 31, 2024, indicating significant growth.)
• $59.402M — Net Increase in Net Assets from Operations (For the nine months ended Sep 30, 2025, a substantial improvement from a $0.528M decrease in the prior period.)
• $14.832M — Net Investment Loss (For the nine months ended Sep 30, 2025, widened from $0.679M in the prior period, primarily due to income tax expense.)
• $84.576M — Net Unrealized Gains on Investments (For the nine months ended Sep 30, 2025, contributing significantly to asset growth.)
• $428.203M — Term Loans Payable (Increased from $207.253M at Dec 31, 2024, indicating increased leverage.)
• $24.9088 — Net Asset Value Per Class I Share (Slight decrease from $25.1266 at Dec 31, 2024, despite overall asset growth.)
• 106.61% — Restricted Securities as % of Net Assets (As of Sep 30, 2025, indicating potential liquidity constraints.)
• 65,764,907 — Common Shares Outstanding (As of Nov 4, 2025, reflecting share issuance.)

Key Players & Entities

• Ares Core Infrastructure Fund (company) — Registrant
• SEC (regulator) — Securities and Exchange Commission
• $1.967 billion (dollar_amount) — Total assets as of September 30, 2025
• $380.607 million (dollar_amount) — Total assets as of December 31, 2024
• $59.402 million (dollar_amount) — Net increase in net assets from operations for nine months ended September 30, 2025
• $14.832 million (dollar_amount) — Net investment loss for nine months ended September 30, 2025
• $84.576 million (dollar_amount) — Net unrealized gains on investments for nine months ended September 30, 2025
• $428.203 million (dollar_amount) — Term loans payable as of September 30, 2025
• $24.9088 (dollar_amount) — Net asset value per Class I share as of September 30, 2025
• Delaware (company) — State of incorporation

FAQ

Key Financial Figures

• $0.01 — hares of Beneficial Interest, Par Value $0.01 Per Share (Title of Class) Indicate

Filing Documents

• aci-20250930.htm (10-Q) — 2268KB
• exhibit101selecteddealerag.htm (EX-10.1) — 142KB
• exhibit311aciq32025.htm (EX-31.1) — 12KB
• exhibit312aciq32025.htm (EX-31.2) — 12KB
• exhibit313aciq32025.htm (EX-31.3) — 12KB
• exhibit321aciq32025.htm (EX-32.1) — 11KB
• ares_logoxrgbxnavyblue003a.jpg (GRAPHIC) — 72KB
• 0002031750-25-000043.txt ( ) — 11443KB
• aci-20250930.xsd (EX-101.SCH) — 69KB
• aci-20250930_cal.xml (EX-101.CAL) — 79KB
• aci-20250930_def.xml (EX-101.DEF) — 449KB
• aci-20250930_lab.xml (EX-101.LAB) — 694KB
• aci-20250930_pre.xml (EX-101.PRE) — 583KB
• aci-20250930_htm.xml (XML) — 1911KB

—FINANCIAL INFORMATION

PART I—FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements Consolidated Statements of Assets and Liabilities as of September 30, 2025 (unaudited) and December 31, 2024 3 Consolidated Statements of Operations for the three and nine months ended September 30, 2025 , for the three months ended September 30, 2024 and for the period from May 7, 2024 (inception) to September 30, 2024 (unaudited) 4 Consolidated Schedules of Investments as of September 30, 2025 (unaudited) and December 31, 2024 5 Consolidated Statements of Changes in Net Assets for the three and nine months ended September 30, 2025, for the three months ended September 30, 2024 and for the period from May 7, 2024 (inception) to September 30, 2024 (unaudited) 11 Consolidated Statements of Cash Flows for the nine months ended September 30, 2025 and for the period from May 7, 2024 (inception) to September 30, 2024 (unaudited) 12

Notes to Consolidated Financial Statements (unaudited)

Notes to Consolidated Financial Statements (unaudited) 13

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 43

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 61

Controls and Procedures

Item 4. Controls and Procedures 62

—OTHER INFORMATION

PART II—OTHER INFORMATION

Legal Proceedings

Item 1. Legal Proceedings 63

Risk Factors

Item 1A. Risk Factors 63

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 63

Defaults Upon Senior Securities

Item 3. Defaults Upon Senior Securities 63

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 63

Other Information

Item 5. Other Information 63

Exhibits

Item 6. Exhibits 64

Signatures

Signatures 65 2 Table of Contents

—FINANCIAL INFORMATION

PART I—FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements ARES CORE INFRASTRUCTURE FUND CONSOLIDATED STATEMENTS OF ASSETS AND LIABILITIES ($ in thousands, except share data) As of September 30, 2025 December 31, 2024 (unaudited) ASSETS Investments, at fair value: Non-controlled/non-affiliated investments (Cost of $ 1,427,270 and $ 347,531 , respectively) $ 1,503,533 $ 339,136 Controlled/affiliated investments (Cost of $ 238,347 and $ 0 , respectively) 238,264 — Cash and cash equivalents 202,393 25,528 Restricted cash 14,330 1,789 Derivative contracts, at fair value (Cost of $ 0 and $ 0 , respectively) 6,986 10,414 Offering costs 814 3,078 Other assets 1,071 662 Total assets $ 1,967,391 $ 380,607 LIABILITIES Term loans payable (net of deferred financing costs of $ 16,265 and $ 5,251 , respectively) $ 428,203 $ 207,253 Unsettled trades payable 31,643 — Deferred tax liability, net 19,229 1,904 Distributions payable 12,276 5,742 Capital gains incentive fee payable 8,198 149 Income based incentive fee payable 1,593 — Derivative contracts, at fair value (Cost of $ 0 and $ 0 , respectively) 9,263 824 Interest payable 5,376 4,541 Accrued expenses 953 3,741 Management fees payable 1,482 — Total liabilities 518,216 224,154 Commitments and contingencies (Note 7) NET ASSETS Common shares, par value $ 0.01 per share, unlimited shares authorized; 58,179,313 and 6,226,600 shares issued and outstanding, respectively 582 62 Capital in excess of par value 1,382,661 149,861 Accumulated undistributed earnings 65,932 6,530 Total net assets 1,449,175 156,453 Total liabilities and net assets $ 1,967,391 $ 380,607 NET ASSET VALUE PER SHARE Class I Shares: Net assets $ 1,449,175 $ 156,453 Common shares outstanding ($ 0.01 par value, unlimited shares authorized) (Note 1) 58,179,313 6,226,600 Net asset value per share $ 24.9088 $ 25.1266 The accompanying notes are an integral part of these unaudited consolidated financial statements. 3 Table of Contents ARES CORE

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