Private equity firm KKR & Co LP reported a lower-than-expected 27 percent year-on-year drop in third-quarter profit on Thursday, as its holdings appreciated more than many analysts foresaw and it generated more cash by exiting its investments.KKR's steep earnings drop was driven by a lower appreciation of its private equity investments compared with peers Blackstone Group LP and Carlyle Group. Its private equity portfolio rose 2.2 percent in the quarter compared with a 5.9 percent increase in the third quarter of 2013.Blackstone's private equity funds appreciated 3.7 percent in the third quarter of 2014, while Carlyle's private equity funds rose 3 percent.Nonetheless, many analysts expected a bigger earnings slump at KKR. Its economic net income (ENI), a metric of profitability that takes into account the mark-to-market valuation of the portfolio, was $419 million on a post-tax basis, down from $571 million a year ago. This translated into post-tax ENI per adjusted unit of 50 cents versus the average forecast of 44 cents in a Thomson Reuters poll of analysts.
The Blackstone Group L.P. (Blackstone) is a manager of private capital and provider of financial advisory services. Shares of BX traded higher by 0.33% or $0.1/share to $30.38. In the past year, the shares have traded as low as $25.60 and as high as $36.08. On average, 4815710 shares of BX exchange hands on a given day and today's volume is recorded at 6598519.
Thomson Reuters Corporation (Thomson Reuters) is a provider of information for the world?s businesses and professionals. Shares of TRI fell by 1.15% or $-0.42/share to $35.95. In the past year, the shares have traded as low as $33.21 and as high as $38.73. On average, 753349 shares of TRI exchange hands on a given day and today's volume is recorded at 949808.
Thomson Reuters Corporation (Thomson Reuters) is a provider of information for the world?s businesses and professionals. Shares of TRI fell by 0.95% or $-0.39/share to $40.47. In the past year, the shares have traded as low as $36.79 and as high as $42.10. On average, 718448 shares of TRI.TO exchange hands on a given day and today's volume is recorded at 638891.
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