Ares Management

ARES · NYSE · Financials · Financials, fiscal 2016 to 2025

ARES · Last close · October 26, 2026

$121.88

Ares Management's revenue rose 28.9% to $4.8 billion in fiscal 2025. Its net margin was 11.1%, down from 12.6% a year earlier.

ARES MANAGEMENT CORPORATION Latest fiscal year ended December 31, 2025 10-K filed February 25, 2026 · 0001628280-26-011413 Updated October 9, 2026

Revenue

$4.8B

28.9%

Net margin

11.1%

1.5 pts

Net income

$527M

13.7%

Free cash flow

—

Return on equity

13.5%

3.6 pts

Market cap

—

No share count

P/E

—

Net margin is net income as a share of revenue. Free cash flow is cash from operations minus capital spending. Return on equity is net income as a share of shareholders' equity. Market cap is the last closing share price times the latest diluted share count, so it is approximate. P/E is the last close divided by diluted earnings per share over the last four quarters, or the latest fiscal year where the quarters aren't available; there is none when the company made a loss.

About these figures. Ares gives earnings per share and share counts only for its Class A common stock, which the SEC's company-level data leaves out, so per-share figures are left blank. Ares' filings don't tag its total debt, so debt and debt-based ratios are left blank. From 2020 Ares' cash flow statement doesn't show its spending on property and equipment as a line of its own, so capital spending and free cash flow are left blank.

What Ares Management does

Ares Management is an investment manager that invests money for institutions and individuals. At the end of 2025 it managed $622.5 billion of client assets, up from $94.0 billion ten years earlier. It has over 4,250 employees in more than 25 countries and was founded in 1997. Ares calls itself a global alternative investment manager, meaning it manages investments other than ordinary stocks and bonds.

Its investment groups are Credit, Real Assets, Secondaries and Private Equity. Its investors include more than 2,850 direct institutional relationships, plus individual investors who hold its publicly traded funds, sub-advised accounts and perpetual wealth vehicles (funds with no fixed end date).

Ares earns management fees on the assets it runs for these funds, and part of its revenue, earnings and cash flow is variable. Its 10-K says the management fee from one fund, Ares Capital Corporation (ARCC), makes up a significant portion of its management fees. It describes its investment approach as credit-oriented and says it competes in an intensely competitive business.

Its biggest risks, as it describes them

Weak markets can cut the value of the assets it manages and make it harder to raise money.
Its business depends on raising capital from investors, and revenue from fees can vary a lot.
Reliance on the management fee from Ares Capital Corporation for a large part of its fees.
Pressure from investors to lower fees.
Conflicts of interest among its funds that could damage its reputation if handled badly.

From Ares Management's annual report on Form 10-K, filed February 25, 2026, in our words; the 10-K has the full description and every risk factor. Updated with each new 10-K.

Charts show fiscal years, from the 10-K filings.

Revenue and margins

Revenue

US$ billions, fiscal years

Margins

Percent of revenue

GrossOperatingNetFree cash flow

Net income and earnings per share

From fiscal 2016 to 2025, net income grew 18.8% a year; the filings' structured data doesn't give diluted earnings per share.

Net income

US$ billions, fiscal years; loss years in red.

Diluted earnings per share

US$ per share, fiscal years, restated for any stock splits; loss years in red. Where the filings' structured data doesn't give a year's earnings per share, the column is blank.

Returns on capital

Return on capital and on equity

Percent. Return on capital is after-tax operating income over the money invested in the business (debt plus equity, minus cash); return on equity is net income over shareholders' equity. Both use the average of opening and closing balances.

Return on capitalReturn on equity

Cash flow

Free cash flow

US$ billions. Cash from operations minus capital expenditure; negative years in red.

Payouts and share count

Dividends and buybacks

US$ billions, cash paid in each fiscal year

DividendsShare buybacks

Diluted share count

Weighted-average diluted shares, millions

Valuation

Two ways to value Ares Management yourself, both starting from its filings: a discounted cash flow model and the price-to-earnings method.

Discounted cash flow (DCF)

A discounted cash flow (DCF) model values a business as the cash it may generate in future, discounted back to today. The starting figures come from Ares Management's 10-K (or, for net cash and shares, its latest 10-Q) and the assumptions are yours: start from one of three example scenarios, then change any figure to see what it implies for a share, and how that compares with the last share price.

The example scenarios need Ares Management's net cash, which its filings' structured data doesn't give for its latest year. You can enter your own figure in the calculator.

From the filings

Starting free cash flow, US$ millions Cash from operations minus depreciation in fiscal 2025: a rough guide to cash flow before spending to grow, for a company building heavily.

Net cash, US$ millions Cash and short-term investments minus debt and finance leases at December 31, 2025. Negative means net debt.

Diluted shares, millions Weighted-average diluted shares in fiscal 2025.

Your assumptions

Start from

Fitted to Ares Management's own revenue growth, as above. Cautious: growth of 9% then 5.5% a year, 2% after year 10, a 10% discount rate. Base: growth of 18% then 10% a year, 2.5% after year 10, a 9% discount rate. Optimistic: growth of 25% then 14% a year, 3% after year 10, a 8% discount rate.

Free cash flow growth, years 1 to 5 (% a year)

Free cash flow growth, years 6 to 10 (% a year)

Growth after year 10 (% a year)Long-run growth forever after year 10. Usually close to inflation, and always below the discount rate.

Discount rate (% a year)The yearly return an investor wants for the risk. A higher rate gives a lower value.

Value per share on these assumptions

—

Last close, October 26, 2026: $121.88
Value on these assumptions, against the last close: —

Cash flows in years 1 to 10, valued today: —
Everything after year 10, valued today: —
Plus net cash: —
Share of value from after year 10: —

Projected free cash flow

US$ billions. Each column is one year's projected free cash flow, split into what it is worth today and the part removed by discounting.

Value todayRemoved by discounting

How the value changes with two assumptions

Value per share in US$, with the growth rates above. The highlighted cell matches the current assumptions.

How the model works. Free cash flow grows at the first rate for five years and the second rate for five more, and each year is discounted at the discount rate. Everything after year 10 is valued as year-10 cash flow × (1 + growth after year 10) ÷ (discount rate − growth after year 10), discounted back ten years. Net cash is added and the total is divided by diluted shares. The result depends entirely on the assumptions. It is not a forecast, a price target or a recommendation. The last close is the consolidated US closing price, from Databento.

Price-to-earnings (P/E) method

Another common way to value a company is to multiply its earnings per share by a price-to-earnings (P/E) multiple: the number of years of today's earnings an investor pays for a share. A higher multiple usually means investors expect earnings to grow. Choose a multiple, for example from similar companies, to see the value it gives.

The P/E method needs positive earnings, and Ares Management's latest diluted earnings per share were not available.

Balance sheet

Fiscal year end	FY21	FY22	FY23	FY24	FY25
Cash and short-term investments	344	390	348	1,508	489
Debt incl. finance leases	—	—	—	—	—
Net debt (negative means net cash)	—	—	—	—	—
Net debt to EBITDA	—	—	—	—	—
Debt to equity	—	—	—	—	—
Interest coverage	30.0x	8.2x	2.8x	2.5x	2.9x
Current ratio	—	—	—	—	—
Quick ratio	—	—	—	—	—

US$ millions unless stated, at each fiscal year end. Net debt to EBITDA is debt minus cash, divided by operating income before depreciation and amortization: roughly how many years of those earnings the net debt equals. Debt to equity is debt as a multiple of shareholders' equity. Interest coverage is operating income divided by interest expense. The current ratio is current assets over current liabilities; the quick ratio leaves out inventory.

Insider trades

Over the 12 months between October 27, 2025 and October 26, 2026, 2 insiders bought $1.3 million of Ares Management shares on the open market, and 2 insiders sold $91.5 million, all of it under trading plans set up in advance.

Date	Insider	Trade	Shares	Price	Value	Filing
Feb 20, 2026	Judy D. OlianDirector	Bought	480	$124.43	$59,726	Form 4
Feb 6, 2026	Ashish BhutaniDirector	Bought	10,000	$126.61	$1.3 million	Form 4
Feb 4, 2026	Aghili Naseem SagatiGeneral Counsel	Sold plan	3,921	$134.92	$529,032	Form 4
Jan 22, 2026	Aghili Naseem SagatiGeneral Counsel	Sold plan	1,849	$161.84	$299,239	Form 4
Dec 1, 2025	Michael J AroughetiCo-Founder and CEO, Director	Sold plan	56,257	$157.26	$8.8 million	Form 4
Nov 28, 2025	Michael J AroughetiCo-Founder and CEO, Director	Sold plan	98,673	$156.15	$15.4 million	Form 4
Nov 26, 2025	Michael J AroughetiCo-Founder and CEO, Director	Sold plan	136,067	$154.48	$21.0 million	Form 4
Nov 25, 2025	Michael J AroughetiCo-Founder and CEO, Director	Sold plan	186,197	$152.75	$28.4 million	Form 4
Nov 24, 2025	Michael J AroughetiCo-Founder and CEO, Director	Sold plan	112,806	$150.15	$16.9 million	Form 4

Open-market purchases and sales by officers, directors and 10% owners, from their Form 4 filings with the SEC: one row per person, day and filing, at the day's average price. Grants, option exercises and shares withheld for tax aren't counted. Insiders buy and sell for many reasons, such as taxes, spreading their savings or a plan set up months earlier, so a trade on its own says little about where a company is heading. For information only, not investment advice. Insider trades at all companies

Piotroski F-score

The F-score counts how many of nine simple tests of profitability, funding and efficiency a company passed in a year (Piotroski, 2000). The more tests passed, the stronger the year: 8 or 9 is strong, 0 to 2 weak. Companies that report no gross profit are scored on the other eight.

Test	FY23	FY24	FY25
Net income is positive	Pass	Pass	Pass
Cash from operations is positive	Fail	Pass	Pass
Return on assets rose	Pass	Fail	Pass
Cash from operations exceeds net income	Fail	Pass	Pass
Debt fell relative to assets	—	—	—
Current ratio rose	—	—	—
Share count didn't rise	—	—	—
Gross margin rose	—	—	—
Revenue rose relative to assets	Pass	Pass	Pass
F-score	—	—	—
Accruals ratio	3.0%	−9.4%	−10.2%

The accruals ratio is net income minus cash from operations, over average total assets.

Compare

Put Ares Management side by side with any other company we cover: revenue, growth, margins, cash flow and returns, with ten years of charts.

Similar companies

Company	Year	Revenue growth	Operating margin	Free cash flow margin	Return on capital	Net debt to EBITDA	F-score	Compare
Ares Management	FY25	28.9%	—	—	—	—	—
Carlyle Group	FY25	−11.9%	—	−70.6%	13.7%	0.7x	—	Compare
Brookfield Asset Management	FY25	21.0%	—	43.4%	—	—	—	Compare
TPG	FY25	33.4%	—	—	15.2%	1.0x	—	Compare
Invesco	FY25	5.1%	−10.9%	22.6%	−3.8%	—	—	Compare

Each company's latest fiscal year. Fiscal years end in different months, so the periods don't line up exactly. Free cash flow margin is free cash flow as a share of revenue. Net debt to EBITDA is explained under the balance sheet, and the F-score above.

10 years of figures

Fiscal year	FY16	FY17	FY18	FY19	FY20	FY21	FY22	FY23	FY24	FY25
Income statement
Revenue	965	1,085	1,218	1,433	1,754	2,289	2,880	3,236	3,691	4,756
Revenue growth	18.5%	12.5%	12.3%	17.6%	22.4%	30.5%	25.8%	12.4%	14.0%	28.9%
Gross profit	—	—	—	—	—	—	—	—	—	—
Research and development	—	—	—	—	—	—	—	—	—	—
Operating income	—	—	—	—	—	—	—	—	—	—
Net income	112	76	57	149	152	409	168	474	464	527
Diluted EPS (US$)	—	—	—	—	—	—	—	—	—	—
Diluted shares (millions)	—	—	—	—	—	—	—	—	—	—
Cash flow
Cash from operations	−626	−1,863	−1,417	−2,083	−426	−2,596	−734	−233	2,791	3,267
Capital expenditure	12	33	18	17	—	—	—	—	—	—
Free cash flow	−638	−1,896	−1,435	−2,100	—	—	—	—	—	—
Dividends paid	0	0	0	0	0	0	0	0	0	0
Share buybacks	0	0	0	0	0	0	0	0	0	0
Acquisitions	0	0	0	0	0	0	0	0	0	0
Stock-based compensation	39	70	90	98	123	237	200	256	353	740
Balance sheet at fiscal year end
Cash and short-term investments	343	119	110	138	540	344	390	348	1,508	489
Debt incl. finance leases	—	—	—	—	—	—	—	—	—	—
Total assets	5,830	8,564	10,155	12,014	15,169	21,605	22,003	24,730	24,884	28,633
Total liabilities	4,452	7,103	8,760	10,156	12,597	16,695	17,098	19,709	17,486	19,932
Shareholders' equity	293	1,460	588	768	1,194	1,825	1,589	1,893	3,544	4,276
Margins and ratios
Gross margin	—	—	—	—	—	—	—	—	—	—
Operating margin	—	—	—	—	—	—	—	—	—	—
Net margin	11.6%	7.0%	4.7%	10.4%	8.7%	17.9%	5.8%	14.7%	12.6%	11.1%
Free cash flow margin	−66.1%	−174.8%	−117.8%	−146.5%	—	—	—	—	—	—
Return on capital	—	—	—	—	—	—	—	—	—	—
Return on equity	41.4%	8.7%	5.6%	22.0%	15.5%	27.1%	9.8%	27.2%	17.1%	13.5%
Return on assets	2.2%	1.1%	0.6%	1.3%	1.1%	2.2%	0.8%	2.0%	1.9%	2.0%
Net debt to EBITDA	—	—	—	—	—	—	—	—	—	—

US$ millions unless stated. Where a later 10-K restated a year, the latest filed figure is shown. Download all figures (CSV, US$ millions)

Source: Ares Management's Form 10-K filings, from SEC EDGAR. For information only, not investment advice. The Filing Desk is not affiliated with Ares Management.