DigitalBridge Raised $14B and Earned $77M in Q2 2024
By Isabelle Durso August 8, 2024 3:48 pm
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Infrastructure investment firm DigitalBridge Group reported strong earnings in the second quarter of 2024, driven largely by a growing number of assets under management and a strategy to maintain its position as the world’s largest owner of AI infrastructure.
DigitalBridge has raised over $14 billion in capital so far this year, 80 percent of which is earmarked for data center investments, according to the company’s earnings report released on Wednesday. The company now has more than $84 billion in assets under management.
“This firm is not a one trick pony anymore,” CEO Marc Ganzi said during a Wednesday evening earnings call. “We have multiple teams and multiple products focused on AI infrastructure in the market at the same time. So this is a really exciting moment for the company and we’re starting to really hit our stride.”
Moreover, the firm reported a net income of $77 million, or $0.44 per share, during the second quarter — a jump from $22 million during the same period in 2023. DigitalBridge reported total revenues of $390 million, up from $190 million last year, and distributable earnings of $19.6 million, or $0.11 per share, an increase of $14.1 million year-over-year.
Despite the gains, the earnings fell a tad short of analysts’ expectations, who estimated the company would have $0.12 per share in distributable earnings, the Associated Press reported.
Ganzi said the company hasn’t seen the interest rate cuts it was looking for. The company is focused on returning capital to limited partners and creating shareholder value.
In response to concerns about growth, Ganzi and CFO Thomas Mayrhofer said during the earnings call that DigitalBridge is building 93 new data centers to power the digital economy as part of a $30 billion growth opportunity they see in AI infrastructure.
And, in order to expand its portfolio of fiber, mobile infrastructure and radio access network hubs, DigitalBridge aims to raise $7 billion in new capital by year-end and plans to expand from 4 gigawatts to 7.5 gigawatts over the next five years, according to the report.
“We’re more than one platform now,” Ganzi said. “You’re going to keep seeing this in the numbers, whether it’s in our credit strategy or private wealth channel that we’ve now launched or other investment management products. We see no slowing down.”
Isabelle Durso can be reached at idurso@commercialobserver.com.
