We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
BlackRock's AUM Touches Record $12.53T as Q2 Earnings Top Estimates
Read MoreHide Full Article
Key Takeaways
BlackRock reported record AUM of $12.53T in Q2, driving adjusted EPS up 16% to $12.05.
A $52B withdrawal by an Asian client pushed long-term net inflows down 10% year over year to $46B.
Revenues rose 13% to $5.42B, led by higher AUM and tech service growth, despite weaker performance fees.
BlackRock (BLK - Free Report) became the first asset manager to surpass $12 trillion in assets under management (AUM), reaching a record $12.53 trillion in the second quarter of 2025. This majorly drove the company’s adjusted earnings of $12.05 per share, which surpassed the Zacks Consensus Estimate of $10.66 and jumped 16% from the year-ago quarter.
Further, BLK’s total revenues (on a GAAP basis) of $5.42 billion increased 13% year over year. However, the figure marginally lagged the Zacks Consensus Estimate of $5.43 billion.
Nonetheless, BlackRock shares tumbled 5.9% during yesterday’s trading session after the company reported that a large Asian institutional client pulled $52 billion from a low-cost index strategy. As such, the company’s long-term net inflows of $46 billion in the quarter were down 10% year over year.
Higher AUM Driving BlackRock’s Revenue Growth
The primary driver for the increase in BLK’s top line was the record AUM balance, which was up 18% year over year. The investment management giant achieved this milestone backed by surging U.S. stock markets and robust net client inflows. Further, higher technology services and subscription revenues offered support.
At the start of the quarter, Trump’s surprise tariffs triggered sharp market volatility, with stocks plunging and bond markets shaken. A week later, a 90-day tariff pause eased concerns, leading to a recovery in the S&P 500 and global markets. Hence, BlackRock reported total net inflows of $68 billion in the quarter, driven by $22 billion into cash and money-market funds, $14 billion into digital asset ETFs and $9.8 billion into alternative investments.
Long known for its low-cost stock and bond offerings, BlackRock is steadily expanding its presence in private markets.
BLK’s Net Inflows Trend
Image Source: BlackRock Inc.
Thus, BlackRock’s investment advisory and administration fees (the main and largest revenue component) jumped 15% from the prior-year period to $4.28 billion. Further, technology services and subscription revenues surged 26% to $499 million.
However, performance fees plunged 43% to $94 million.
BLK’s Adjusted Operating Income Rises
Total expenses were $3.69 billion, jumping 23%. The uptick was mainly due to an increase in employee compensation and benefits, which rose 17%.
Further, non-operating income (on a GAAP basis) was $521 million, surging substantially from $214 million in the prior-year quarter.
Upcoming Release Dates & Earnings Expectations of BLK’s Peers
Invesco (IVZ - Free Report) is scheduled to announce second-quarter 2025 numbers on July 22. It sports a Zacks Rank of 1.
Over the past week, the Zacks Consensus Estimate for IVZ’s quarterly earnings has been raised 2.6% to 39 cents. However, the figure implies a fall of 9.3% from the prior-year number. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)
Blackstone (BX - Free Report) is slated to report second-quarter 2024 results on July 24. The stock carries a Zack Rank #3 (Hold).
Over the past seven days, the Zacks Consensus Estimate for BX’s quarterly earnings has remained unchanged at $1.09. The figure indicates 13.5% growth from the prior-year quarter.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
BlackRock's AUM Touches Record $12.53T as Q2 Earnings Top Estimates
Key Takeaways
BlackRock (BLK - Free Report) became the first asset manager to surpass $12 trillion in assets under management (AUM), reaching a record $12.53 trillion in the second quarter of 2025. This majorly drove the company’s adjusted earnings of $12.05 per share, which surpassed the Zacks Consensus Estimate of $10.66 and jumped 16% from the year-ago quarter.
Further, BLK’s total revenues (on a GAAP basis) of $5.42 billion increased 13% year over year. However, the figure marginally lagged the Zacks Consensus Estimate of $5.43 billion.
Nonetheless, BlackRock shares tumbled 5.9% during yesterday’s trading session after the company reported that a large Asian institutional client pulled $52 billion from a low-cost index strategy. As such, the company’s long-term net inflows of $46 billion in the quarter were down 10% year over year.
Higher AUM Driving BlackRock’s Revenue Growth
The primary driver for the increase in BLK’s top line was the record AUM balance, which was up 18% year over year. The investment management giant achieved this milestone backed by surging U.S. stock markets and robust net client inflows. Further, higher technology services and subscription revenues offered support.
At the start of the quarter, Trump’s surprise tariffs triggered sharp market volatility, with stocks plunging and bond markets shaken. A week later, a 90-day tariff pause eased concerns, leading to a recovery in the S&P 500 and global markets. Hence, BlackRock reported total net inflows of $68 billion in the quarter, driven by $22 billion into cash and money-market funds, $14 billion into digital asset ETFs and $9.8 billion into alternative investments.
Long known for its low-cost stock and bond offerings, BlackRock is steadily expanding its presence in private markets.
BLK’s Net Inflows Trend
Image Source: BlackRock Inc.
Thus, BlackRock’s investment advisory and administration fees (the main and largest revenue component) jumped 15% from the prior-year period to $4.28 billion. Further, technology services and subscription revenues surged 26% to $499 million.
However, performance fees plunged 43% to $94 million.
BLK’s Adjusted Operating Income Rises
Total expenses were $3.69 billion, jumping 23%. The uptick was mainly due to an increase in employee compensation and benefits, which rose 17%.
Further, non-operating income (on a GAAP basis) was $521 million, surging substantially from $214 million in the prior-year quarter.
Hence, this Zacks Rank #2 (Buy) company’s adjusted operating income of $2.1 billion climbed 12% from the prior-year quarter. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Upcoming Release Dates & Earnings Expectations of BLK’s Peers
Invesco (IVZ - Free Report) is scheduled to announce second-quarter 2025 numbers on July 22. It sports a Zacks Rank of 1.
Over the past week, the Zacks Consensus Estimate for IVZ’s quarterly earnings has been raised 2.6% to 39 cents. However, the figure implies a fall of 9.3% from the prior-year number. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)
Blackstone (BX - Free Report) is slated to report second-quarter 2024 results on July 24. The stock carries a Zack Rank #3 (Hold).
Over the past seven days, the Zacks Consensus Estimate for BX’s quarterly earnings has remained unchanged at $1.09. The figure indicates 13.5% growth from the prior-year quarter.