Bridge Investment Group Reports $412.4M Revenue and $8M Net Income for 2024

Bridge Investment Group Holdings Inc. (Bridge) reported $412.4 million in total revenue for the year ended December 31, 2024, a 6% increase compared to $390.6 million in 2023. This increase was driven by a 7% rise in fund management fees to $245.9 million, and a 34% jump in transaction fees to $27.5 million. However, property management and leasing fees decreased by 7% to $72.6 million, and construction management fees fell by 35% to $7.5 million. Investment income, however, showed a significant increase from a loss of $130.8 million in 2023 to a gain of $6.8 million in 2024.

Total expenses for 2024 reached $382.7 million, a 19% increase from 2023's $322.5 million. This rise was primarily due to a 14% increase in employee compensation and benefits to $251.3 million and a substantial 1,222% increase in performance allocations compensation to $31.3 million. Conversely, third-party operating expenses decreased by 37% to $13.8 million, and general and administrative expenses fell by 19% to $43.8 million. Net income attributable to Bridge Investment Group Holdings Inc. was $8.0 million in 2024, compared to a net loss of $6.8 million in 2023.

Bridge's assets under management (AUM) increased by 4% to $49.8 billion as of December 31, 2024, primarily due to new capital raised and favorable changes in fair value. Fee-earning AUM also increased by 3% to $22.3 billion. The company's growth strategy includes strengthening its fund investor network, expanding product offerings across the risk-return spectrum, launching new products and strategies in adjacent sectors, and expanding distribution capabilities domestically and internationally. As of December 31, 2024, Bridge employed approximately 2,250 people, with an additional 2,700 professionals employed through a professional employment organization.

On February 23, 2025, Bridge entered into a merger agreement with Apollo Global Management, Inc., under which Apollo will acquire all outstanding stock and units in an all-stock transaction valued at approximately $1.5 billion. The merger is expected to close in the third quarter of 2025, subject to customary closing conditions, including stockholder approval. The filing highlights several risks associated with the proposed merger, including the possibility of non-completion, potential disruptions to business operations, and restrictions on business activities during the pendency of the merger. The company also notes various other risks related to its business, including market conditions, valuation methodologies, fundraising, and competition within the alternative investment management industry.

Bridge's outlook is contingent upon the successful completion of the merger with Apollo and continued favorable market conditions. The company's financial performance is significantly influenced by factors such as investor sentiment towards alternative investments, the ability to generate strong returns, the availability of suitable investment opportunities, and the effectiveness of its risk management strategies. The filing includes extensive disclosures on various accounting policies, including those related to consolidation, fair value measurements, revenue recognition, and income taxes.