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Key Takeaways Ares Management's AUM reached $671.3 billion, or 89.5% of its $750 billion 2028 target.Fee-paying AUM rose 17% year over year to $409.9 billion, strengthening its recurring fee base.BlueCove and GCP International acquisitions expanded Ares' capabilities and added new AUM growth avenues. Ares Management Corporation’s (ARES - Free Report) expanding asset base highlights the strength of its alternative investment platform. With assets under management (AUM) of $671.3 billion as of June 30, 2026, the company has reached approximately 89.5% of its $750-billion AUM target for 2028, unveiled at its 2024 Investor Day.

Strong historical AUM growth provides a solid foundation for reaching the target. The company’s diversified offerings across Credit, Real Assets, Secondaries and Private Equity provide multiple avenues for capital raising and deployment across market cycles. This broad platform has supported sustained asset growth, with AUM recording a six-year compound annual growth rate (CAGR) of 26.9% during 2019-2025. Growth has continued in the first half of 2026, with fee-paying AUM increasing 17% year over year to $409.9 billion as of June 30, 2026. The expanding fee-paying asset base strengthens recurring fee-generation potential and provides a foundation for future revenue growth.

Fundraising momentum remains a key driver of organic AUM growth. ARES expects another record fundraising year in 2026, supported by successor funds in direct lending and continued demand from institutional and wealth clients. Strong fundraising is expected to help the company raise new capital, expand its fee-paying asset base and support recurring management fee revenues.

Inorganic expansion provides another source of growth. The acquisition of BlueCove in February 2026 expanded ARES’ systematic fixed-income capabilities and added approximately $5.5 billion of AUM. Earlier, the March 2025 acquisition of GCP International strengthened its real assets and digital infrastructure capabilities. ARES continues to pursue partnerships, joint ventures and other strategic initiatives to expand its investment capabilities and distribution reach. These initiatives complement organic growth by adding new capabilities, broadening distribution and providing additional avenues for AUM expansion.

However, Ares Management’s growth trajectory remains subject to market and fundraising conditions. Volatility in private credit, shifts in investor sentiment and a cautious institutional environment could temporarily moderate fundraising, deployment activity and AUM growth. Yet, strong historical AUM growth, rising fee-paying assets, a robust fundraising pipeline and expanding institutional and wealth channels position ARES well to advance toward its 2028 AUM target. Organic growth initiatives and potential inorganic expansion further support its long-term AUM growth prospects.

How Is Ares Performing Against Its Peers on AUM Growth?Similar to Ares Management, its peers, Apollo Global Management (APO - Free Report) and KKR & Co. (KKR - Free Report) , are witnessing strong AUM growth, supported by fundraising, capital formation and strategic expansion.

Apollo Global Management’s AUM recorded a CAGR of 19.6% during 2022-2025, with the rising trend continuing in the first half of 2026. Its AUM reached $1.05 trillion as of June 30, 2026, up 25% year over year, driven by strong capital formation and Retirement Services inflows. Fee-earning AUM also increased 34% year over year, supported by fundraising across credit and equity strategies and continued growth in Athene. By 2029, Apollo Global Management expects total AUM to reach almost $1.5 trillion by scaling its private equity business.

KKR is also witnessing strong AUM growth. Its AUM recorded a five-year CAGR of 24.2% during 2020-2025, with the rising trend continuing in the first half of 2026. Strong fundraising has been a key growth driver, with KKR raising $305 billion since the start of 2024, surpassing its three-year $300 billion target ahead of schedule. Strategic acquisitions, including Arctos Partners and HealthCare Royalty Partners, have further expanded its investment platform and AUM. KKR aims to reach at least $1 trillion in AUM by 2030.

ARES’s Price Performance & Zacks RankThe company’s shares have gained 23.5% in the past six months compared with the industry’s 13.3% rise.

Image Source: Zacks Investment Research

Currently, ARES carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Second quarter GAAP net income of $4.4 million or $0.08 per diluted common share and 
Distributable Earnings1 of $6.9 million or $0.12 per diluted common share

- Subsequent to the three months ended June 30, 2026 -

Declared third quarter 2026 dividend of $0.15 per common share

, /PRNewswire/ -- Ares Commercial Real Estate Corporation (the "Company") (NYSE: ACRE), a specialty finance company primarily engaged in directly originating and investing in commercial real estate loans and related investments, reported generally accepted accounting principles ("GAAP") net income of $4.4 million or $0.08 per diluted common share and Distributable Earnings1 of $6.9 million or $0.12 per diluted common share for the second quarter of 2026.

"We continue to make advancements in repositioning our portfolio, addressing risk rated 4 and 5 loans, and reducing office loans and REO properties, while investing in new loans," said Bryan Donohoe, Chief Executive Officer of Ares Commercial Real Estate Corporation. "Supported by the Ares platform, in the second quarter, we closed $130 million of new loan commitments, bringing the total new loan commitments to over $900 million in the last twelve months."

"During the second quarter, we maintained our balance sheet flexibility with moderate leverage and available capital of over $100 million to support our business priorities," said Jeff Gonzales, Chief Financial Officer of Ares Commercial Real Estate Corporation. "We continue to execute the goals we have outlined, which we believe will allow us to rebuild earnings to levels that are expected to meet or exceed the current dividend level."

________________________________________

(1)

Distributable Earnings (Loss) is a non-GAAP financial measure. Refer to Schedule I for the definition and reconciliation of Distributable Earnings (Loss).

COMMON STOCK DIVIDEND

On May 7, 2026, the Board of Directors of the Company declared a regular cash dividend of $0.15 per common share for the second quarter of 2026. The second quarter 2026 dividend was paid on July 15, 2026 to common stockholders of record as of June 30, 2026.

On August 4, 2026, the Board of Directors of the Company declared a regular cash dividend of $0.15 per common share for the third quarter of 2026. The third quarter 2026 dividend will be payable on October 15, 2026 to common stockholders of record as of September 30, 2026.

ADDITIONAL INFORMATION

The Company issued a presentation of its second quarter 2026 results, which can be viewed at www.arescre.com on the Investor Resources section of our home page under Events and Presentations. The presentation is titled "Second Quarter 2026 Earnings Presentation." The Company also filed its Quarterly Report on Form 10-Q for the quarter ended June 30, 2026 with the U.S. Securities and Exchange Commission on August 4, 2026.

CONFERENCE CALL AND WEBCAST INFORMATION

On Tuesday, August 4, 2026, the Company invites all interested persons to attend its webcast/conference call at 12:00 p.m. (Eastern Time) to discuss its second quarter 2026 financial results.

All interested parties are invited to participate via telephone or the live webcast, which will be hosted on a webcast link located on the Home page of the Investor Resources section of the Company's website at www.arescre.com. Please visit the website to test your connection before the webcast. Domestic callers can access the conference call by dialing +1 (800) 343-5172. International callers can access the conference call by dialing +1 (203) 518-9856. Please provide passcode ACREQ226. All callers are asked to dial in 10-15 minutes prior to the call so that name and company information can be collected. For interested parties, an archived replay of the call will be available through September 4, 2026 at 5:00 p.m. (Eastern Time) to domestic callers by dialing +1 (800) 723-0532 and to international callers by dialing +1 (402) 220-2655. An archived replay will also be available through September 4, 2026 on a webcast link located on the Home page of the Investor Resources section of the Company's website.

ABOUT ARES COMMERCIAL REAL ESTATE CORPORATION

Ares Commercial Real Estate Corporation (the "Company") is a specialty finance company primarily engaged in directly originating and investing in commercial real estate loans and related investments. Through its national direct origination platform, the Company provides a broad offering of flexible and reliable financing solutions for commercial real estate owners and operators. The Company invests in whole and co-invested senior mortgage loans, as well as subordinate financings, mezzanine debt and preferred equity, with an emphasis on providing value added financing on a variety of properties located in liquid markets across the United States. Ares Commercial Real Estate Corporation elected and qualified to be taxed as a real estate investment trust and is externally managed by a subsidiary of Ares Management Corporation. For more information, please visit www.arescre.com. The contents of such website are not, and should not be deemed to be, incorporated by reference herein.

FORWARD-LOOKING STATEMENTS

Statements included herein or on the webcast / conference call may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934, as amended. These statements relate to future events or the Company's future performance or financial condition and include, but are not limited to, statements about potential earnings, the resolution of underperforming loans, increased investment activity, liquidity management, reduction or increase of CECL reserve, reduction or increase of available borrowings, the industry and the loan market. These statements are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including global economic trends and economic conditions, including slower growth, changes to fiscal and monetary policy, inflation, labor shortages, changing interest rates, foreign currency exchange volatility and uncertainties caused by tariffs and trade disputes, as well as geopolitical instability, changes in interest rates and credit spreads, management's estimate of current expected credit losses and current expected credit loss reserve, the amount of commercial mortgage loans requiring refinancing, the demand for commercial real estate loans, the Company's expected investment capacity and available capital, rates of default or decreased recovery rates on the Company's target investments, the Company's business and investment strategy, the Company's projected operating results, the ability of Ares Commercial Real Estate Management LLC ("ACREM" or the Company's "Manager") to locate suitable investments for the Company, monitor, service and administer the Company's investments and execute its investment strategy, and the risks described from time to time in the Company's filings with the Securities and Exchange Commission (the "SEC"), including, but not limited to, the risk factors described in Part I, Item 1A. Risk Factors in the Company's Annual Report on Form 10-K, filed with the SEC on February 10, 2026. Any forward-looking statement, including any contained herein, speaks only as of the time of this press release and Ares Commercial Real Estate Corporation undertakes no duty to update any forward-looking statements made herein or on the webcast/conference call. Projections and forward-looking statements are based on management's good faith and reasonable assumptions, including the assumptions described herein.

INVESTOR RELATIONS CONTACTS

Ares Commercial Real Estate Corporation
Carl Drake or John Stilmar
(888) 818-5298
[email protected] 

ARES COMMERCIAL REAL ESTATE CORPORATION AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(in thousands, except share and per share data)

As of

June 30, 2026

December 31, 2025

(unaudited)

ASSETS

Cash and cash equivalents

$            17,558

$            29,289

Restricted cash ($1,108 related to consolidated VIEs as of December 31, 2025)               

41,017

37,868

Loans held for investment ($138,950 related to consolidated VIEs as of December
31, 2025)

1,748,835

1,528,806

Current expected credit loss reserve

(137,810)

(125,756)

Loans held for investment, net of current expected credit loss reserve

1,611,025

1,403,050

Real estate owned held for investment, net ($52,634 related to consolidated VIEs
as of December 31, 2025)

76,238

130,165

Real estate owned held for sale

53,934

—

Other assets ($76 of interest receivable related to consolidated VIEs as of
December 31, 2025)

17,503

17,770

Total assets

$        1,817,275

$        1,618,142

LIABILITIES AND STOCKHOLDERS' EQUITY

LIABILITIES

Secured funding agreements

$        1,173,027

$           858,176

Secured term loan

89,722

89,360

Collateralized loan obligation securitization debt (consolidated VIEs)

—

99,921

Due to affiliate

4,199

4,061

Dividends payable

8,458

8,442

Other liabilities ($257 of interest payable related to consolidated VIEs as of
December 31, 2025)

52,644

48,614

Total liabilities

1,328,050

1,108,574

Commitments and contingencies

STOCKHOLDERS' EQUITY

Common stock, par value $0.01 per share, 450,000,000 shares authorized at June
30, 2026 and December 31, 2025 and 55,481,113 and 55,026,453 shares issued
and outstanding at June 30, 2026 and December 31, 2025, respectively

532

532

Additional paid-in capital

822,606

820,827

Accumulated earnings (deficit)

(333,913)

(311,791)

Total stockholders' equity

489,225

509,568

Total liabilities and stockholders' equity

$        1,817,275

$         1,618,142

ARES COMMERCIAL REAL ESTATE CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except share and per share data)

(unaudited)

For the Three Months Ended
June 30,

For the Six Months Ended
June 30,

2026

2025

2026

2025

Revenue:

Interest income

$    27,754

$    23,117

$    52,660

$    50,597

Interest expense

(19,182)

(16,101)

(36,543)

(34,290)

Net interest margin

8,572

7,016

16,117

16,307

Revenue from real estate owned

5,784

5,549

11,699

11,206

Total revenue

14,356

12,565

27,816

27,513

Expenses:

Management and incentive fees to affiliate

2,394

2,430

4,794

4,997

Professional fees

699

673

1,519

1,550

General and administrative expenses

1,723

1,995

3,140

3,715

General and administrative expenses reimbursed to affiliate

853

1,024

1,639

2,027

Expenses from real estate owned

3,301

4,628

6,435

9,123

Total expenses

8,970

10,750

17,527

21,412

(Provision for) reversal of current expected credit losses, net

(865)

20,150

(12,003)

25,490

Realized losses on loans

—

(33,000)

(3,340)

(33,000)

Income (loss) before income taxes

4,521

(11,035)

(5,054)

(1,409)

Income tax expense (benefit), including excise tax

138

—

169

281

Net income (loss) attributable to common stockholders

$     4,383

$  (11,035)

$    (5,223)

$    (1,690)

Earnings (loss) per common share:

Basic earnings (loss) per common share

$       0.08

$      (0.20)

$      (0.09)

$      (0.03)

Diluted earnings (loss) per common share

$       0.08

$      (0.20)

$      (0.09)

$      (0.03)

Weighted average number of common shares outstanding:       

Basic weighted average shares of common stock outstanding

55,367,375

54,856,949

55,344,923

54,842,959

Diluted weighted average shares of common stock outstanding

56,354,988

54,856,949

55,344,923

54,842,959

Dividends declared per share of common stock1

$       0.15

$       0.15

$       0.30

$       0.30

____________________________

(1)

There is no assurance dividends will continue at these levels or at all.

 SCHEDULE I
Reconciliation of Net Income (Loss) to Non-GAAP Distributable Earnings (Loss)

Distributable Earnings (Loss) is a non-GAAP financial measure that helps the Company evaluate its financial performance excluding the effects of certain transactions and GAAP adjustments that it believes are not necessarily indicative of its current loan origination portfolio and operations. To maintain the Company's REIT status, the Company is generally required to annually distribute to its stockholders substantially all of its taxable income. The Company believes the disclosure of Distributable Earnings (Loss) provides useful information to investors regarding the Company's ability to pay dividends, which is one of the principal reasons the Company believes investors invest in the Company. The presentation of this additional information is not meant to be considered in isolation or as a substitute for financial results prepared in accordance with GAAP. Distributable Earnings (Loss) is defined as net income (loss) attributable to common stockholders computed in accordance with GAAP, excluding non-cash equity compensation expense, the incentive fees the Company pays to its Manager, depreciation and amortization (to the extent that any of the Company's target investments are structured as debt and the Company forecloses on any properties underlying such debt), any unrealized gains, losses or other non-cash items recorded in net income (loss) for the period, regardless of whether such items are included in other comprehensive income or loss, or in net income (loss), one-time events pursuant to changes in GAAP and certain non-cash charges after discussions between the Company's Manager and the Company's independent directors and after approval by a majority of the Company's independent directors. Loan balances that are deemed to be uncollectible are written-off as a realized loss and are included in Distributable Earnings (Loss). Distributable Earnings (Loss) is aligned with the calculation of "Core Earnings," which is defined in the Management Agreement and is used to calculate the incentive fees the Company pays to its Manager.

Reconciliation of net income (loss) attributable to common stockholders, the most directly comparable GAAP financial measure, to Distributable Earnings (Loss) is set forth in the table below for the three and twelve months ended June 30, 2026 ($ in thousands):

For the Three Months Ended

June 30, 2026

For the Twelve Months Ended

June 30, 2026

Net income (loss) attributable to common stockholders

$                    4,383

$                    (4,434)

Stock-based compensation

882

3,696

Incentive fees to affiliate

—

—

Depreciation and amortization of real estate owned

749

5,104

Provision for (reversal of) current expected credit losses, net      

865

19,648

Distributable Earnings (Loss)

$                    6,879

$                    24,014

Net income (loss) attributable to common stockholders

$                      0.08

$                      (0.08)

Stock-based compensation

0.02

0.07

Incentive fees to affiliate

—

—

Depreciation and amortization of real estate owned

0.01

0.09

Provision for (reversal of) current expected credit losses, net

0.02

0.36

Basic Distributable Earnings (Loss) per common share

$                      0.12

$                       0.44

Net income (loss) attributable to common stockholders

$                      0.08

$                      (0.08)

Stock-based compensation

0.02

0.07

Incentive fees to affiliate

—

—

Depreciation and amortization of real estate owned

0.01

0.09

Provision for (reversal of) current expected credit losses, net

0.02

0.35

Diluted Distributable Earnings (Loss) per common share

$                      0.12

$                       0.43

____________________________

Numbers presented may not foot due to rounding.

SOURCE Ares Commercial Real Estate Corporation

Approximately $8.2 Billion in New Commitments Closed in the Second Quarter and approximately $52.3 Billion Closed in the 12 Months Ended June 30, 2026

, /PRNewswire/ -- Ares Management Corporation (NYSE: ARES) announced today that Ares Credit funds (collectively "Ares") closed U.S. direct lending commitments of approximately $8.2 billion across 69 transactions during the second quarter of 2026 and approximately $52.3 billion across 347 transactions in the 12 months ended June 30, 2026. Below is a description of selected transactions that Ares closed during the second quarter of 2026.

AeriTek / Mill Point Capital
Ares served as administrative agent, joint lead arranger and joint bookrunner for a senior secured credit facility to support Mill Point Capital-backed AeriTek's acquisition of National Refrigeration & A/C Products ("NRAC"). AeriTek is a leading international manufacturer of commercial refrigeration and foodservice equipment.

Atwell / Advent International
Ares served as administrative agent, joint lead arranger and joint bookrunner for a senior secured credit facility to support Advent International's acquisition of Atwell. Atwell is a scaled, full-service engineering, consulting and construction management firm operating within the power & energy, residential and commercial development, and digital infrastructure segments.

Firebird Music / Raine Group
Ares supported Raine Group-backed Firebird Music in its continued growth plan. Firebird Music is a next-generation music company that integrates artist management, recorded music, expanded rights & brands, and music IP acquisition into a holistic, artist-centered ecosystem.

Frontline Road Safety Holdings / Bain Capital
Ares served as a lead arranger and bookrunner for a senior secured credit facility to support Bain Capital's continued growth plans for Frontline Road Safety Holdings. Frontline Road Safety Holdings is a leading national provider of pavement marking services to roadways and airports across the U.S.

Jiffy Lube / Monomoy Capital Partners
Ares served as a joint lead arranger for a senior secured credit facility to support Monomoy Capital Partners' acquisition of Jiffy Lube International, Inc. Jiffy Lube is the leading quick lube and automotive service franchisor in North America, serving approximately 19 million customers annually through more than 2,000 service centers across the country.

Mai Capital Management / Carlyle
Ares served as a lead arranger and bookrunner for a senior secured credit facility to support MAI Capital Management's continued M&A strategy following its acquisition by Carlyle. MAI Capital Management is a provider of financial planning, investment advisory, investment management, family office administration, and advisory services.

Precinmac / Centerbridge Partners
Ares served as administrative agent, joint lead arranger, and joint bookrunner for an incremental commitment to Precinmac's senior secured credit facility to support the company's continued growth. Precinmac is a leading manufacturer of high-complexity precision components, serving aerospace, defense, space, semiconductor, and power generation customers.

Relation Insurance / BayPine LP
Ares served as a joint lead arranger and joint bookrunner for a senior secured credit facility to support BayPine's acquisition of Relation Insurance. Relation Insurance is a leading insurance brokerage platform providing commercial lines, personal lines, and employee benefits solutions to clients across a diverse range of industries, including construction, transportation, agriculture, entertainment, healthcare, manufacturing, hospitality, and real estate.

Sunvair Aerospace Group / Greenbriar Equity Group
Ares served as administrative agent, lead arranger and bookrunner for a senior secured credit facility to support Greenbriar Equity Group's continued growth plans for Sunvair Aerospace Group. Sunvair Aerospace Group is a global provider of aircraft component maintenance, repair, and overhaul (MRO) services, offering a broad range of engineered solutions across accessory component repair and landing gear overhaul.

Valcourt Group / Littlejohn & Co. ("Littlejohn")
Ares served as administrative agent, lead arranger, and bookrunner for a senior secured credit facility to support Littlejohn's continued growth plans for Valcourt Group ("Valcourt"). Valcourt is a leading provider of building envelope maintenance and restoration services for mid- and high-rise properties.

About Ares Management Corporation
Ares Management Corporation (NYSE: ARES) is a leading global alternative investment manager offering clients complementary primary and secondary investment solutions across the credit, real estate, private equity and infrastructure asset classes. We seek to advance our stakeholders' long-term goals by providing flexible capital that supports businesses and creates value for our investors and within our communities. By collaborating across our investment groups, we aim to generate consistent and attractive investment returns throughout market cycles. As of June 30, 2026, Ares Management Corporation's global platform had over $671 billion of assets under management, with operations across North America, South America, Europe, Asia Pacific and the Middle East. For more information, please visit www.ares.com.

Investor Relations:
[email protected]

Media:
[email protected]

SOURCE Ares Management Corporation

The market expects Ares Management (ARES - Free Report) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.

The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on July 31. On the other hand, if they miss, the stock may move lower.

While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.

Zacks Consensus EstimateThis private equity firm is expected to post quarterly earnings of $1.29 per share in its upcoming report, which represents a year-over-year change of +25.2%.

Revenues are expected to be $1.32 billion, up 25.6% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 2.38% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.

Price, Consensus and EPS Surprise

Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction).

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.

A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).

How Have the Numbers Shaped Up for Ares Management?For Ares Management, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +1.48%.

On the other hand, the stock currently carries a Zacks Rank of #4.

So, this combination makes it difficult to conclusively predict that Ares Management will beat the consensus EPS estimate.

Does Earnings Surprise History Hold Any Clue?While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.

For the last reported quarter, it was expected that Ares Management would post earnings of $1.32 per share when it actually produced earnings of $1.24, delivering a surprise of -6.06%.

Over the last four quarters, the company has beaten consensus EPS estimates just once.

Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.

That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

Ares Management doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

An Industry Player's Expected ResultsAmong the stocks in the Zacks Financial - Investment Management industry, KKR & Co. Inc. (KKR - Free Report) , is soon expected to post earnings of $1.42 per share for the quarter ended June 2026. This estimate indicates a year-over-year change of +20.3%. This quarter's revenue is expected to be $1.52 billion, up 18.5% from the year-ago quarter.

The consensus EPS estimate for KKR & Co. has been revised 0.2% higher over the last 30 days to the current level. However, a higher Most Accurate Estimate has resulted in an Earnings ESP of +0.18%.

When combined with a Zacks Rank of #3 (Hold), this Earnings ESP indicates that KKR & Co. will most likely beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates three times.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.