Explain this page
Arphra AIPlain-English read on Ares Management Corporation’s valuationRatios & metrics
Profitability, returns on capital, growth, and credit — all derived from the historical income statement, balance sheet, and cash flow rows in our data warehouse.
Quality composite
B+Solid
A snapshot of the latest fiscal year’s margins, returns on capital, balance-sheet strength and efficiency, computed from the income statement, balance sheet and cash-flow rows. Source income / balance / cash_flow.
Profitability
Gross margin74.8%
Operating margin27.2%
Net margin8.2%
ROE6.1%
ROA1.8%
ROIC6.7%
Liquidity & leverage
Current ratio2.24×
Quick ratio2.24×
Debt / equity1.71×
Net debt / EBITDA5.84×
Interest coverage2×
Efficiency & per-share
Asset turnover0.22×
Inventory days0
Days sales out.107
FCF / share$7.10
Book value / share$40.03
Valuation multiples
Price- and EV-based multiples plus shareholder yields. Snapshot at each fiscal year-end from key_metrics (FMP).
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Headline | |||||||||
| Market cap | — | — | — | $52.37B | $52.47B | — | — | — | — |
| Enterprise value | — | — | — | $62.78B | $65.89B | — | — | — | — |
| Multiples | |||||||||
| P / E | — | — | — | — | — | — | — | — | — |
| P / B | — | — | — | — | — | — | — | — | — |
| EV / EBITDA | — | — | — | — | — | — | — | — | — |
| EV / Sales | — | — | — | 16.16 | 10.18 | — | — | — | — |
| EV / FCF | — | — | — | 23.26 | 20.62 | — | — | — | — |
| Yields | |||||||||
| Earnings yield | — | — | — | +1.32% | +1.50% | — | — | — | — |
| Free cash flow yield | — | — | — | +7.70% | +9.09% | — | — | — | — |
| Dividend yield | — | — | — | — | — | — | — | — | — |
Profitability
Margin structure across the last 5 fiscal years
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Margins | |||||||||
| Gross margin | +72.40% | +50.95% | +59.07% | +55.42% | +74.79% | +64.81% | +63.86% | +61.78% | +62.78% |
| Operating margin | +19.04% | +10.03% | +22.96% | +24.35% | +27.22% | +24.45% | +25.23% | +25.39% | +24.97% |
| EBITDA margin | +34.99% | +43.69% | +66.79% | +62.09% | +35.49% | +53.64% | +53.46% | +54.85% | +54.80% |
| EBIT margin | +32.30% | +32.52% | +60.41% | +58.01% | +31.75% | +48.80% | +49.89% | +50.96% | +48.97% |
| Pre-tax margin | +25.30% | +16.72% | +36.70% | +32.83% | +19.89% | +29.76% | +30.31% | +29.61% | +30.11% |
| Net margin | +9.71% | +5.48% | +13.06% | +11.94% | +8.15% | +11.04% | +11.20% | +10.88% | +10.81% |
| Cost structure | |||||||||
| Cost of revenue / sales | +27.60% | +49.05% | +40.93% | +44.58% | +25.21% | +37.98% | +37.39% | +37.30% | +36.94% |
| R&D intensity | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
| SG&A intensity | +51.87% | +39.74% | +34.90% | +30.53% | 0.00% | +22.16% | +22.23% | +21.23% | +21.39% |
| Effective tax rate | +13.83% | +14.07% | +12.98% | +12.91% | +15.43% | +13.68% | +13.45% | +13.56% | +13.23% |
Returns on capital
ROE / ROA / ROC / ROIC over the relevant capital base, plus the 3-step DuPont decomposition of ROE.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Returns | |||||||||
| Return on equity (ROE) | +10.72% | +4.41% | +10.60% | +6.80% | +6.06% | +7.41% | +7.38% | +7.47% | +7.09% |
| Return on assets (ROA) | +1.89% | +0.76% | +1.92% | +1.86% | +1.82% | +1.83% | +1.94% | +1.89% | +1.80% |
| Return on capital (ROC) | +4.92% | +1.79% | +4.12% | +4.74% | +7.46% | +5.16% | +5.10% | +5.33% | +5.06% |
| Return on invested capital (ROIC) | +2.51% | +0.98% | +2.34% | +2.32% | +2.23% | +2.33% | +2.26% | +2.29% | +2.19% |
| Asset turnover | +19.50% | +13.89% | +14.69% | +15.61% | +22.32% | +16.61% | +17.28% | +17.39% | +16.68% |
| DuPont · ROE decomposition | |||||||||
| Net margin | +9.71% | +5.48% | +13.06% | +11.94% | +8.15% | +11.04% | +11.20% | +10.88% | +10.81% |
| Asset turnover (× revenue / assets) | +19.50% | +13.89% | +14.69% | +15.61% | +22.32% | +16.61% | +17.28% | +17.39% | +16.68% |
| Equity multiplier (× assets / equity) | +566.41% | +579.23% | +552.72% | +364.65% | +333.20% | +404.02% | +381.39% | +394.84% | +393.36% |
Activity & efficiency
Turnover ratios and days-outstanding — how efficiently the business converts assets and working capital into sales and cash.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Turnover | |||||||||
| Asset turnover | 0.19 | 0.14 | 0.15 | 0.16 | 0.22 | 0.17 | 0.17 | 0.17 | 0.17 |
| Fixed-asset turnover | 17.63 | 12.97 | 9.77 | 5.64 | 12.51 | — | — | — | — |
| Inventory turnover | — | — | — | — | — | — | — | — | — |
| Receivables turnover | 3.64 | 2.82 | 2.85 | 2.57 | 3.40 | — | — | — | — |
| Payables turnover | 3.04 | 3.74 | 3.51 | 2.52 | — | — | — | — | — |
| Days outstanding | |||||||||
| Days sales outstanding (DSO) | 100.34 | 129.59 | 127.95 | 141.95 | 107.23 | — | — | — | — |
| Days inventory outstanding (DIO) | — | — | — | — | — | — | — | — | — |
| Days payables outstanding (DPO) | 120.22 | 97.48 | 103.95 | 144.79 | — | — | — | — | — |
| Cash conversion cycle | -19.88 | 32.11 | 24.00 | -2.84 | 107.23 | — | — | — | — |
Cash flow quality
How well reported earnings translate into operating and free cash flow, plus reinvestment intensity.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Operating CF / Net income | -6.35 | -4.38 | -0.49 | 6.02 | 3.07 | 2.75 | 2.71 | 2.71 | 2.76 |
| FCF / Net income | -6.42 | -4.60 | -0.63 | 5.82 | 2.93 | 2.63 | 2.58 | 2.60 | 2.64 |
| FCF margin | -62.28% | -25.20% | -8.27% | +69.49% | +23.87% | +29.06% | +28.84% | +28.28% | +28.53% |
| OCF margin | -61.63% | -24.03% | -6.42% | +71.85% | +24.98% | +30.36% | +30.30% | +29.44% | +29.86% |
| CapEx / Revenue | +0.65% | +1.17% | +1.85% | +2.36% | +1.12% | +1.80% | +1.81% | +1.79% | +1.82% |
| CapEx / D&A | 0.24 | 0.10 | 0.29 | 0.58 | 0.30 | — | — | — | — |
| Stock-based comp / Revenue | 0.00% | +6.56% | +7.05% | +9.08% | 0.00% | — | — | — | — |
Per-share & shareholder yield
EPS, book value, sales, cash flow and dividends per share — plus payout / retention.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| EPS · diluted | 2.15 | 0.87 | 2.42 | 2.07 | 1.96 | 6.01 | 7.43 | 8.71 | 9.26 |
| EPS · basic | 2.25 | 0.87 | 2.46 | 2.07 | 1.96 | 6.11 | 7.51 | 8.83 | 9.23 |
| Book value / share | 21.18 | 21.64 | 22.85 | 34.46 | 40.03 | 39.03 | 48.04 | 53.18 | 83.61 |
| Tangible BV / share | 8.90 | 9.06 | 11.71 | 23.66 | 14.41 | 39.03 | 48.04 | 53.18 | 83.61 |
| Sales / share | 23.39 | 17.41 | 18.55 | 19.61 | 29.77 | 26.18 | 31.66 | 36.53 | 54.87 |
| Operating CF / share | -14.41 | -4.18 | -1.19 | 14.09 | 7.44 | 7.95 | 9.59 | 10.75 | 16.38 |
| Free cash flow / share | -14.56 | -4.39 | -1.53 | 13.63 | 7.10 | 7.61 | 9.13 | 10.33 | 15.65 |
| Dividends / share | 3.30 | 4.77 | 5.26 | 6.62 | 0.00 | 5.48 | 6.51 | 7.45 | 11.31 |
| Payout ratio | +145.17% | +499.20% | +217.29% | +282.68% | 0.00% | +189.62% | +183.69% | +187.52% | +190.77% |
| Retention ratio | -45.17% | -399.20% | -117.29% | -182.68% | +100.00% | -89.62% | -83.69% | -87.52% | -90.77% |
Growth
Year-over-year change for headline P&L lines, plus through-cycle CAGR
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E | 8y CAGR |
|---|---|---|---|---|---|---|---|---|---|---|
| Top-line | ||||||||||
| Revenue · YoY | — | -27.46% | +18.87% | +6.96% | +66.55% | -11.33% | +19.83% | +15.00% | +49.37% | +13.75% |
| Gross profit · YoY | — | -48.95% | +37.79% | +0.37% | +124.76% | -23.16% | +18.08% | +11.25% | +51.78% | +11.74% |
| Profit | ||||||||||
| Operating income · YoY | — | -61.80% | +172.24% | +13.44% | +86.17% | -20.36% | +23.67% | +15.73% | +46.87% | +17.67% |
| EBITDA · YoY | — | -9.43% | +81.72% | -0.55% | -4.81% | +34.03% | +19.43% | +17.98% | +49.23% | +20.31% |
| Net income · YoY | — | -59.02% | +183.11% | -2.23% | +13.72% | +20.12% | +21.54% | +11.73% | +48.37% | +15.29% |
| Operating | ||||||||||
| EBIT · YoY | — | -26.97% | +120.82% | +2.72% | -8.84% | +36.28% | +22.50% | +17.46% | +43.56% | +19.83% |
| R&D · YoY | — | — | — | — | — | — | — | — | — | — |
| Per-share | ||||||||||
| EPS · diluted · YoY | — | -59.53% | +178.16% | -14.46% | -5.31% | +206.46% | +23.65% | +17.28% | +6.30% | +20.03% |
| EPS · basic · YoY | — | -61.33% | +182.76% | -15.85% | -5.31% | +211.68% | +22.86% | +17.65% | +4.50% | +19.29% |
Credit & leverage
Balance-sheet health + interest coverage + liquidity. Coverage ratios use period-end debt and trailing interest expense.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Leverage | |||||||||
| Total debt | $12.49B | $13.33B | $15.76B | $13.15B | $14.91B | $18.66B | $23.61B | $26.12B | $40.23B |
| Net debt | $11.1B | $12.22B | $14.26B | $10.41B | $13.41B | $16.06B | $20.48B | $22.66B | $34.93B |
| Net debt / EBITDA | 7.53 | 9.15 | 5.88 | 4.32 | 5.84 | 5.22 | 5.57 | 5.23 | 5.40 |
| Debt / equity | 3.28 | 3.51 | 3.52 | 1.93 | 1.71 | 2.18 | 2.26 | 2.27 | 2.24 |
| Debt / assets | +57.83% | +60.60% | +63.71% | +52.84% | +51.43% | +54.00% | +59.34% | +57.48% | +56.84% |
| Equity / assets | +17.66% | +17.26% | +18.09% | +27.42% | +30.01% | +24.75% | +26.22% | +25.33% | +25.42% |
| Coverage | |||||||||
| EBITDA / interest expense | 5.00 | 2.77 | 2.82 | 2.47 | 2.99 | 2.62 | 2.57 | 2.68 | 2.76 |
| Operating income / interest | 2.72 | 0.63 | 0.97 | 0.97 | 2.30 | 1.19 | 1.21 | 1.24 | 1.26 |
| Interest expense | $294.81M | $482.72M | $860.88M | $978.3M | $767.46M | $1.18B | $1.43B | $1.62B | $2.34B |
| Liquidity | |||||||||
| Current ratio | 0.63 | 0.64 | 0.73 | 0.98 | 2.24 | — | — | — | — |
| Quick ratio | 0.63 | 0.64 | 0.73 | 0.98 | 2.28 | — | — | — | — |
| Cash ratio | 0.35 | 0.33 | 0.40 | 0.63 | 1.00 | — | — | — | — |
| Working capital | -$1.47B | -$1.22B | -$1.02B | -$85.8M | $1.85B | — | — | — | — |
| Working capital / revenue | -34.83% | -40.00% | -28.09% | -2.21% | +28.65% | — | — | — | — |
Sourced from key_metrics + financial_ratios (loaded by load_fundamentals_extended.py).
Valuation
| Metric | FY 2025 | FY 2024 |
|---|---|---|
| P / E | — | — |
| P / B | — | — |
| EV / EBITDA | — | — |
| EV / Sales | 10.18x | 16.16x |
| Earnings yield | 1.5% | 1.3% |
| FCF yield | 9.1% | 7.7% |
Returns
| Metric | FY 2025 | FY 2024 |
|---|---|---|
| Gross margin | — | — |
| Operating margin | — | — |
| Net margin | — | — |
| ROE | 12.3% | 13.1% |
| ROA | 1.8% | 1.9% |
| ROIC | 5.1% | 4.0% |
Leverage & liquidity
| Metric | FY 2025 | FY 2024 |
|---|---|---|
| Debt / equity | — | — |
| Net debt / EBITDA | 5.84 | 4.32 |
| Interest coverage | — | — |
| Current ratio | 2.24x | 0.98x |
| Quick ratio | — | — |
Methodology. ROE / ROA / ROC use period-end balance-sheet denominators (no average-of- period smoothing). ROIC = Operating Income × (1 − inferred effective tax rate) over invested capital, with the effective tax inferred from net-to-operating income when both are positive and a 25% default otherwise. Net debt / EBITDA, debt ratios, and interest-coverage ratios are calculated point-in-time at each fiscal year-end. TTM = trailing 4 quarters (income / cash flow summed, balance sheet = most-recent quarterly snapshot). Through-cycle CAGR in the Growth panel uses the geometric mean of first-to-last period growth across the window (positive values only).