BlackRock Inc. (BLK.US) reported strong fourth quarter 2024 results Wednesday, with shares climbing as much as 2.7% in premarket trading as adjusted earnings surpassed analyst estimates. The world's largest asset manager demonstrated robust growth across its platforms, particularly in ETFs and private markets, though assets under management slightly missed expectations. The implied earnings surprise was positive with EPS beating estimates by 4.1%.
BlackRock delivered exceptional Q4 performance with notable strength in ETF flows and private market expansion, while its technology services segment showed continued momentum. The company benefited from increased client engagement and significant growth in alternative investments.
Start investing today or test a free demo
Open account Try demo Download mobile app Download mobile app
BlackRock Q4 2024 results:
- Revenue: $5.68 billion vs $5.59 billion expected (+23% YoY)
- Adjusted EPS: $11.93 vs $11.46 expected ($9.66 YoY)
- Assets under management: $11.55 trillion vs $11.66 trillion expected (+15% YoY)
- Net inflows: $281.42 billion vs $198.41 billion expected (+194% YoY)
- Base fees and securities lending revenue: $4.42 billion vs $4.38 billion expected
- Technology services revenue: $428 million vs $417.5 million expected
- Adjusted operating margin: 45.5% vs 44.8% expected
Segment Performance:
- Long-term inflows: $200.67 billion (vs $159.93 billion expected)
- Equity net inflows: $126.57 billion (vs $73.47 billion expected)
- Fixed Income net inflows: $23.78 billion
- Institutional net inflows: $53.38 billion
- Retail net inflows: $4.65 billion
- Investment advisory performance fees: $451 million (vs $369.5 million expected)
Strategic Developments and 2025 Outlook:
- Completed $12.5 billion acquisition of Global Infrastructure Partners
- Pending closures of HPS Investment Partners ($12 billion) and Preqin Ltd. ($3.1 billion) acquisitions
- Bitcoin ETF launch showing strong growth with over $50 billion in assets
- Annual ETF business attracted $390 billion in total flows for 2024
- Record total annual inflows of $641 billion across all products
CEO Larry Fink expressed strong confidence in the firm's trajectory, stating "BlackRock enters 2025 with more growth and upside potential than ever. This is just the beginning." The company's strategic expansion into private markets through recent acquisitions positions it to compete with industry leaders like Blackstone, KKR, and Apollo Global Management.
The company announced several leadership changes, including Joe DeVico becoming head of the Americas client business and the establishment of a new global partners office to oversee relationships with major investors, following the departure of Mark Wiedman, a 20-year veteran of the firm.
The stock gains 2.7% in premarket trading to $989. Source: xStation
This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
