Business

KKR profit jump beats Street

KKR & Co., the private-equity firm run by Henry Kravis and George Roberts, said second-quarter profit more than doubled, beating analyst estimates for a decline, as the value of its holdings rose.

Economic net income after taxes, a measure of profit excluding some costs, rose to $520.3 million, or 74 cents a share, from $245.3 million, or 36 cents, a year earlier, New York-based KKR said. Analysts had expected a profit of 16 cents a share, according to the average of 11 estimates compiled by Bloomberg.

Holdings such as Dollar General and HCA Inc. fueled paper gains on investments the firm makes with its own money alongside clients’ and lifted KKR’s share of fund profits, or carried interest.

KKR also said it formed a $300 million venture with Stone Point Capital to manage and underwrite debt and equity deals.