Apollo Global Management, Inc. - FORM 8-K - EX-99.1 - November 6, 2020

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EXHIBIT 99.1

UNAUDITED RECONCILIATION OF FINANCIAL DATA

    The following tables present the historical unaudited financial information for the Apollo Operating Group as of and for the three and nine months ended September 30, 2020. The Apollo Operating Group does not report audited or unaudited financial information on a stand-alone basis. Accordingly, the financial data presented herein for the Apollo Operating Group has been reconciled to Apollo Global Management, Inc.’s financial statements for the relevant periods.


As of September 30, 2020
Total Apollo Operating Group ConsolidatedConsolidated Funds & VIEs
Other (1)
Total Apollo Global Management, Inc. Consolidated
Statement of Financial Data(dollars in thousands)
Assets:
Cash and cash equivalents$1,838,519 $6 $121 $1,838,646 
Restricted cash17,694 — — 17,694 
U.S. Treasury securities, at fair value— — — — 
Investments (includes performance allocations of $1,128,160 as of September 30, 2020)4,230,361 363 (253,655)3,977,069 
Assets of consolidated variable interest entities:
Cash and cash equivalents— 805,529 — 805,529 
Investments, at fair value— 10,156,109 (255,516)9,900,593 
Other assets— 189,795 (6,197)183,598 
Incentive fee receivable1,028 — — 1,028 
Due from related parties695,607 — (208,154)487,453 
Deferred tax assets, net2,818 — 675,981 678,799 
Other assets281,075 — 37,649 318,724 
Lease assets301,779 — — 301,779 
Goodwill117,553 — (595)116,958 
Total Assets$7,486,434 $11,151,802 $(10,366)$18,627,870 
Liabilities and Stockholders’ Equity
Liabilities:
Accounts payable and accrued expenses$115,073 $— $28,591 $143,664 
Accrued compensation and benefits221,185 — — 221,185 
Deferred revenue120,075 — — 120,075 
Due to related parties391,417 — 320,769 712,186 
Profit sharing payable666,734 — — 666,734 
Debt3,151,247 — — 3,151,247 
Liabilities of consolidated variable interest entities:
Debt, at fair value— 5,927,186 (280,302)5,646,884 
Notes payable2,567,353 (103,086)2,464,267 
Other liabilities— 870,202 (63,869)806,333 
Due to related parties— 23,435 (23,435)— 
Other liabilities169,522 — — 169,522 
Lease liabilities336,769 — — 336,769 
Total Liabilities5,172,022 9,388,176 (121,332)14,438,866 
Stockholders’ Equity:
Apollo Global Management, Inc. stockholders' equity:
Series A Preferred Stock, 11,000,000 shares issued and outstanding as of September 30, 2020264,398 — — 264,398 
Series B Preferred Stock, 12,000,000 shares issued and outstanding as of September 30, 2020289,815 — — 289,815 
Additional paid in capital— — 929,524 929,524 
Retained earnings (accumulated deficit)348,236 81,331 (826,462)(396,895)
Accumulated other comprehensive income (loss)(4,265)(917)7,904 2,722 
Total Apollo Global Management, Inc. Stockholders’ equity898,184 80,414 110,966 1,089,564 
Non-Controlling Interests in consolidated entities5,694 1,683,212 — 1,688,906 
Non-Controlling Interests in Apollo Operating Group1,410,534 — — 1,410,534 
Total Stockholders’ Equity2,314,412 1,763,626 110,966 4,189,004 
Total Liabilities and Stockholders’ Equity$7,486,434 $11,151,802 $(10,366)$18,627,870 
(1)    Includes eliminations for VIE and fund consolidation and entities not included in the Apollo Operating Group.


For the Three Months Ended September 30, 2020
 Total Apollo Operating Group ConsolidatedConsolidated Funds & VIEs
Other(1)
Total Apollo Global Management, Inc. Consolidated
Statement of Operating Data(dollars in thousands)
Revenues:
      Management fees $450,209 $— $(16,639)$433,570 
      Advisory and transaction fees, net73,449 — — 73,449 
      Investment income (loss):
Performance allocations461,461 — (2,220)459,241 
Principal investment income (loss)53,948 — (3,226)50,722 
      Total investment income (loss)515,409 — (5,446)509,963 
      Incentive fees1,292 — — 1,292 
Total Revenues1,040,359 — (22,085)1,018,274 
Expenses:
      Compensation and benefits:
    Salary, bonus and benefits163,197 — — 163,197 
    Equity-based compensation49,726 — — 49,726 
    Profit sharing expense191,809 — — 191,809 
                           Total compensation and benefits404,732 — — 404,732 
      Interest expense34,887 — 2 34,889 
      General, administrative and other90,425 — 397 90,822 
      Placement fees612 — — 612 
               Total Expenses530,656 — 399 531,055 
Other Income:
      Net gains (losses) from investment activities144,839 24 (391)144,472 
      Net gains from investment activities of consolidated variable interest entities— 101,096 21,023 122,119 
      Interest income (loss)1,808 — (323)1,485 
      Other income (loss), net10,164 — (3)10,161 
               Total Other Income156,811 101,120 20,306 278,237 
      Income (loss) before income tax provision666,514 101,120 (2,178)765,456 
      Income tax provision(11,965)— (77,392)(89,357)
               Net Income (Loss)654,549 101,120 (79,570)676,099 
      Net income attributable to Non-controlling Interests(304,715)— (98,985)(403,700)
               Net Income (Loss) Attributable to Apollo Global Management, Inc.349,834 101,120 (178,555)272,399 
      Series A Preferred Stock Dividends(4,382)— — (4,382)
      Series B Preferred Stock Dividends(4,781)— — (4,781)
               Net Income (Loss) Attributable to Apollo Global Management, Inc. Class A Common Stockholders$340,671 $101,120 $(178,555)$263,236 

(1)    Includes eliminations for VIE and fund consolidation and entities not included in the Apollo Operating Group.





For the Nine Months Ended September 30, 2020
 Total Apollo Operating Group ConsolidatedConsolidated Funds & VIEsOther(1)Total Apollo Global Management, Inc. Consolidated
Statement of Operating Data(dollars in thousands)
Revenues:
      Management fees $1,289,251 $— $(49,124)$1,240,127 
      Advisory and transaction fees, net172,369 — — 172,369 
      Investment income (loss):
      Performance allocations(362,455)— 11,972 (350,483)
      Principal investment income (loss)(25,859)— 353 (25,506)
      Total investment income (loss)(388,314)— 12,325 (375,989)
      Incentive fees21,016 — — 21,016 
Total Revenues1,094,322 — (36,799)1,057,523 
Expenses:
      Compensation and benefits:
    Salary, bonus and benefits453,485 — — 453,485 
    Equity-based compensation161,268 — — 161,268 
    Profit sharing expense(68,230)— — (68,230)
                           Total compensation and benefits546,523 — — 546,523 
      Interest expense98,420 — 2 98,422 
      General, administrative and other259,016 (6)63 259,073 
      Placement fees1,380 — — 1,380 
Total Expenses905,339 (6)65 905,398 
Other Income (Loss):
      Net losses from investment activities(849,292)(233)(1,887)(851,412)
Net gains (losses) from investment activities of consolidated variable interest entities— (37,994)52,055 14,061 
      Interest income (loss)14,190 — (777)13,413 
      Other loss, net(3,012)— (7)(3,019)
               Total Other Income (Loss)(838,114)(38,227)49,384 (826,957)
      Income (loss) before income tax (provision) benefit(649,131)(38,221)12,520 (674,832)
      Income tax (provision) benefit(22,609)— 88,782 66,173 
               Net Income (Loss)(671,740)(38,221)101,302 (608,659)
      Net loss attributable to Non-Controlling Interests305,534 — 25,635 331,169 
               Net Income (Loss) Attributable to Apollo Global Management, Inc.(366,206)(38,221)126,937 (277,490)
      Series A Preferred Stock Dividends(13,148)— — (13,148)
      Series B Preferred Stock Dividends(14,344)— — (14,344)
               Net Income (Loss)Attributable to Apollo Global Management, Inc. Class A Common Stockholders$(393,698)$(38,221)$126,937 $(304,982)

(1)    Includes eliminations for VIE and fund consolidation and entities not included in the Apollo Operating Group.




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