Apollo Global Management Inc.’s fundraising machine held its pace through the tumultuous exit of longtime leader Leon Black in the first quarter as the firm’s private equity portfolio helped set a profit record.

FILE: Leon Black, chairman and chief executive officer of Apollo Global Management LLC, at the Milken Institute Global Conference in Beverly Hills, California, U.S., on Tuesday, May 1, 2018. After months of ugly headlines about his business dealings with notorious sex offender Jeffrey Epstein, Black has stepped down as Apollo Global Management chief executive officer. Insiders, speaking on the condition they not be named, described the drama late Monday after the board revealed that Black had paid a startling $158 million for Epstein’s advice. Still, the iconic dealmaker will remain chairman, while his preferred partner replaces him as chief executive officer.

The company raked in $13.4 billion from clients, more than half of it for credit strategies, according to a statement on Tuesday. Its private equity portfolio appreciated 22 percent, propelled by a rising stock market and the reopening of the economy. That lifted earnings per share to a record $2.81 after a year-earlier loss.

The influx of cash followed months of mounting pressure on the firm as the board commissioned a review into Black’s personal financial dealings with convicted sex offender Jeffrey Epstein, a controversy that prompted some investors to put their commitments on hold. But Black announced plans in January to pass the reins to co-founder Marc Rowan, and then accelerated the handoff in March.

The period’s results contrast with the start of 2020, when performance suffered because of investments in sectors hit hardest by the pandemic, such as travel, retail and energy. That turmoil threatened to put Apollo on the hook to pay back profits to investors — an obligation that’s since shrunk considerably. The firm’s eighth fund, which was booking a loss, has now rebounded enough to generate a profit.

Meanwhile, Apollo kept adding to its cash stockpile, which amounted to $49.7 billion in so-called dry powder at the end of March. The firm is hunting for opportunities in industries beaten down by the pandemic that may revive as vaccinations spread and the economy reopens. In March, Apollo and partner Vici Properties Inc. agreed to buy casino operator Las Vegas Sands Corp. for $6.25 billion in a bet on a leisure-and-travel comeback. Targets of other big deals include crafting and hobby retailer Michaels Cos. and the media assets of Verizon Communications Inc.

Here are some earnings takeaways:

  • Distributable earnings hit 66 cents a share, up from 37 cents a year earlier and beating analysts’ estimates, helped by asset sales. The firm realized $3.7 billion during the quarter.
  • The performance of Apollo’s private equity portfolio helped boost assets under management 1.2 percent to $461.1 billion.
  • Fee-related earnings hit a record, increasing 26 percent to $286.7 million. Fee-earning assets fell slightly to $345.2 billion from the prior quarter.
  • Apollo, together with some current and former employees and partners, was potentially on the hook to give back $149 million as of March 31. That’s down from $965.4 million at the end of the first quarter last year.