Core Insights - Blackstone reported strong earnings for Q4 2024, exceeding analyst expectations with distributable EPS of $1.69 and total segment revenues of $4.15 billion, reflecting a 64% year-over-year increase [1][2][3] Financial Performance - Distributable EPS reached $1.69, surpassing the $1.47 estimate and showing a 52.3% increase from $1.11 in Q4 2023 [3] - Total segment revenues were $4.15 billion, exceeding the $3.78 billion estimate and marking a 64% increase from $2.54 billion in Q4 2023 [3] - Net income attributable to Blackstone was $703.9 million, a significant increase of 364% from $151.8 million in the previous year [3] - Assets under management (AUM) rose to $1.13 trillion, an 8.5% increase year-over-year [3][7] Strategic Initiatives - Blackstone's growth was supported by record-setting asset management growth and strategic diversification across various asset classes, including real estate, infrastructure, and life sciences [2][5][8] - The firm expanded into private wealth channels, which contributed to an increasing share of total AUM [8] - Fee-earning AUM grew by 9% to $830.7 billion, indicating a solid foundation for future revenue generation [7] Dividend and Investor Returns - Blackstone declared a quarterly dividend of $1.44 per common share, leading to a total annual dividend of $3.95 per share, reflecting confidence in growth prospects [9] Future Outlook - Management anticipates a constructive market environment in 2025, focusing on leveraging technological advancements, particularly AI, to enhance investment decisions [10][11] - The firm plans to capitalize on investment opportunities in the private credit market and infrastructure investments, aiming for long-term growth [12]

Core Insights - Blackstone Inc. reported a revenue of $4.15 billion for the quarter ended December 2024, marking a 63.7% increase year-over-year, with EPS at $1.69 compared to $1.11 in the previous year [1] - The revenue exceeded the Zacks Consensus Estimate of $3.79 billion by 9.60%, and the EPS also surpassed the consensus estimate of $1.48 by 14.19% [1] Financial Performance Metrics - Fee-Earning Assets Under Management totaled $830.71 billion, slightly below the average estimate of $842.77 billion [4] - Private Equity assets were reported at $212.18 billion, compared to the average estimate of $214.42 billion [4] - Real Estate assets were $278.92 billion, below the average estimate of $289.02 billion [4] - Credit & Insurance assets were $264.62 billion, slightly above the average estimate of $262.49 billion [4] Segment Revenue Performance - Realized Performance Revenues reached $865.08 million, exceeding the average estimate of $670.78 million, representing a 24.8% increase year-over-year [4] - Realized Principal Investment Income was reported at $25.61 million, compared to the average estimate of $45.68 million, reflecting a 33.4% year-over-year increase [4] - Base Management Fees totaled $1.77 billion, slightly below the average estimate of $1.78 billion, with a year-over-year increase of 10.4% [4] - Total Management and Advisory Fees, Net, were $1.86 billion, compared to the average estimate of $1.87 billion, showing a 12.4% year-over-year increase [4] - Fee Related Performance Revenues surged to $1.40 billion, significantly exceeding the average estimate of $1.19 billion, with a remarkable year-over-year change of 728% [4] - Credit & Insurance Base Management Fees were $411.84 million, below the average estimate of $425.44 million, with a year-over-year increase of 21.3% [4] - Multi-Asset Investing Realized Principal Investment Income (Loss) was reported at $3.04 million, compared to the average estimate of $5.73 million, reflecting a 105.1% year-over-year change [4] - Multi-Asset Investing Transaction, Advisory and Other Fees, Net, were $0.94 million, below the average estimate of $1.21 million, showing a 44% decrease year-over-year [4] Stock Performance - Blackstone Inc. shares returned +7.5% over the past month, outperforming the Zacks S&P 500 composite's +1.2% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Earnings Performance - Blackstone's Q4 2024 distributable earnings per share were $1.69, beating the Zacks Consensus Estimate of $1.46 and reflecting a 52% YoY increase [1] - For full-year 2024, distributable earnings per share were $4.64, surpassing the consensus estimate of $4.41 and growing 17% YoY [3] - Net income attributable to Blackstone in Q4 2024 was $703.9 million, compared to $151.8 million in the prior-year quarter [2] - Full-year 2024 net income attributable to Blackstone was $2.78 billion, doubling from $1.39 billion in 2023 [3] Revenue and Expenses - Q4 2024 total segment revenues were $4.15 billion, a 64% YoY increase and beating the Zacks Consensus Estimate of $3.79 billion [4] - Full-year 2024 total segment revenues reached $11.65 billion, up 20% YoY and surpassing the consensus estimate of $11.28 billion [5] - GAAP basis revenues for 2024 were $13.23 billion, a 65% YoY increase [5] - Total GAAP expenses for 2024 were $1.5 billion, surging 59% YoY [5] Assets Under Management (AUM) - Fee-earning AUM grew 9% YoY to $830.71 billion as of Dec 31, 2024 [6] - Total AUM reached $1.13 trillion, up 8% YoY, driven by $57.5 billion in Q4 inflows [6] - Undrawn capital available for investment stood at $168.6 billion as of Dec 31, 2024 [6] Financial Position - As of Dec 31, 2024, Blackstone had $9.7 billion in total cash, cash equivalents, and corporate treasury investments [5] - The company held $19.1 billion in cash and net investments [5] - Blackstone maintained a $4.3 billion undrawn credit revolver [5] Share Repurchases - Blackstone repurchased 0.3 million shares during Q4 2024 [7] - As of Dec 31, 2024, $1.8 billion worth of buyback authorization remained available [7] Peer Performance - Invesco's Q4 2024 adjusted earnings per share were 52 cents, beating the consensus estimate of 49 cents and increasing 10.6% YoY [9] - BlackRock's Q4 2024 adjusted earnings per share were $11.93, surpassing the consensus estimate of $11.44 and reflecting a 23.5% YoY rise [10] - BlackRock's AUM reached $11.55 trillion, driven by net inflows, partially offset by market depreciation and negative forex impact [10]

Stephen A. Schwarzman, Chairman and Chief Executive Officer, said, "Blackstone reported one of the best quarters in our history. Earnings growth accelerated sharply, while the key drivers of our business – inflows, investment activity and realizations – all reached their highest levels in two-and-a-half years. Blackstone's distinctive ability to innovate and build market-leading businesses continues to power our growth. As we move forward in 2025, the firm is exhibiting significant momentum." Blackstone iss ...

Core Insights - Blackstone Inc. reported quarterly earnings of $1.69 per share, exceeding the Zacks Consensus Estimate of $1.48 per share, and showing an increase from $1.11 per share a year ago, representing an earnings surprise of 14.19% [1] - The company achieved revenues of $4.15 billion for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 9.60%, and up from $2.54 billion year-over-year [2] - Blackstone's shares have increased approximately 7.5% since the beginning of the year, outperforming the S&P 500's gain of 2.7% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $1.27 on revenues of $3.21 billion, and for the current fiscal year, it is $5.86 on revenues of $14.62 billion [7] - The estimate revisions trend for Blackstone Inc. is mixed, resulting in a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Financial - Miscellaneous Services industry, to which Blackstone belongs, is currently ranked in the top 29% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Financial Performance - Blackstone reported GAAP Net Income of $1.3 billion for Q4 2024 and $5.4 billion for the full year 2024, with Net Income Attributable to Blackstone Inc. at $704 million for the quarter and $2.8 billion for the year[13]. - Total Revenues for Q4 2024 were $3.1 billion, a significant increase from $1.3 billion in Q4 2023, while full year revenues reached $13.2 billion, up from $8.0 billion in FY 2023[14]. - Fee Related Earnings (FRE) for Q4 2024 were $1.8 billion ($1.50/share), representing a 76% increase from Q4 2023, and FRE for the full year was $5.3 billion ($4.32/share), a 21% increase year-over-year[16]. - Distributable Earnings (DE) for Q4 2024 were $2.2 billion ($1.69/share), a 56% increase compared to Q4 2023, with full year DE at $6.0 billion ($4.64/share), an 18% increase[16]. - Total Segment Distributable Earnings were $2.4 billion for 4Q'24 and $6.7 billion for the full year[33]. - Distributable Earnings for FY'24 were reported at $5,966,742, up from $5,060,955 in FY'23, indicating a growth of 17.9%[81]. - Total Revenues rose significantly from $1,285,020 in Q4'23 to $3,082,565 in Q4'24, marking an increase of 139.9%[80]. - Net Income attributable to Blackstone Inc. increased from $151,800 in Q4'23 to $703,873 in Q4'24, reflecting a growth of 363.5%[80]. Assets Under Management (AUM) - Blackstone's Total Assets Under Management (AUM) reached $1.127 trillion, an 8% increase from the previous year, with Fee-Earning AUM at $830.7 billion[16]. - Total AUM increased to $1,127.2 billion, up 8% year-over-year, with fee-earning AUM of $830.7 billion, up 9% year-over-year[28]. - Invested Performance Eligible AUM reached $560.6 billion at quarter end, with undrawn capital available for investment of $168.6 billion[30]. - Real Estate segment total AUM was $315.4 billion, with inflows of $8.1 billion in the quarter and $27.9 billion for the year[36]. - Private Equity segment total AUM increased 12% to $352.2 billion, with inflows of $11.6 billion in the quarter and $41.3 billion for the year[39]. - Total AUM for BSCH is $12.3 billion, while BIP's Total AUM stands at $54.8 billion[71]. Capital Flows - The company experienced inflows of $57.5 billion in Q4 2024 and $171.5 billion for the full year, with deployments of $41.6 billion in the quarter and $133.9 billion for the year[16]. - Total inflows were $57.5 billion in 4Q'24, bringing full year inflows to $171.5 billion[26]. - Capital deployed was $41.6 billion in 4Q'24 and $133.9 billion for the year, with an additional $20.5 billion committed but not yet deployed[26]. - Total Global BREP committed capital reached $104.17 billion with a net IRR of 17%[59]. Shareholder Returns - Blackstone declared a quarterly dividend of $1.44 per share, payable on February 18, 2025, with total dividends for the year amounting to $3.95 per share[16]. - The company repurchased 0.3 million common shares in Q4 2024 and 4.0 million shares for the full year, returning $1.9 billion to shareholders in Q4 and $5.6 billion for the year through dividends and share repurchases[16]. - Common shareholders' retained capital was $529 million for FY'24, with $192 million for Q4'24[111]. Performance Metrics - Liquid Credit net returns were 2.3% for 4Q'24 and 9.0% for FY'24, while Private Credit net returns were 2.2% and 11.6% respectively[22]. - Absolute Return Composite net returns were 3.3% for 4Q'24 and 12.0% for FY'24[22]. - Fee Related Performance Revenues rose by 47% to $227.986 million in Q4'24 compared to Q4'23, and increased by 32% to $747.092 million for FY'24[41]. - Realized Performance Revenues surged by 144% to $337.635 million in Q4'24 compared to Q4'23, and by 145% to $380.518 million for FY'24[44]. - Incentive Fees for Q4'24 were $404.74 million, significantly higher than $191.79 million in Q3'24, indicating a quarterly increase of over 110%[100]. Financial Position - Total Assets increased from $40,287,530 thousand in 4Q'23 to $43,469,875 thousand in 4Q'24, indicating growth in the company's asset base[93]. - Total Liabilities rose from $22,212,316 thousand in 4Q'23 to $23,974,860 thousand in 4Q'24, suggesting an increase in financial obligations[93]. - Cash and Cash Equivalents decreased from $2,955,866 thousand in 4Q'23 to $1,972,140 thousand in 4Q'24, indicating a reduction in liquidity[93]. - The company had $19.1 billion in cash and net investments, equating to $15.61 per share[54]. Performance Challenges - Net Accrued Performance Revenues stood at $6.3 billion ($5.14/share), reflecting a decline due to realized distributions across strategies[19]. - Market activity for Q4 2024 resulted in a net loss of $2.894 billion across various segments[50]. - The company reported a significant unrealized performance allocation of $(983,647) thousand in 4Q'23, highlighting challenges in performance-based revenue generation[83]. - GAAP Unrealized Performance Revenues for 4Q'23 were $(983,642) thousand, with a projected FY'24 total of $(1,691,788) thousand, indicating a significant decline[83]. Strategic Initiatives - Blackstone intends to pay a quarterly dividend representing approximately 85% of its share of Distributable Earnings, subject to board discretion and potential adjustments[115]. - The declaration and payment of dividends are at the sole discretion of Blackstone's board of directors, which may change the dividend policy at any time[115]. - Forward-looking statements reflect current views on operations, taxes, earnings, and financial performance, subject to various risks and uncertainties[117].

Core Viewpoint - Blackstone is expected to report increased revenues and earnings for Q4 and full-year 2024, with significant year-over-year growth anticipated in both metrics [1][4]. Group 1: Earnings and Revenue Estimates - The Zacks Consensus Estimate for Blackstone's earnings is $1.50 per share, reflecting a 35.1% increase from the prior-year quarter [4] - The consensus estimate for sales is $3.82 billion, indicating a 50.8% increase year-over-year [4] - Blackstone's third-quarter 2024 earnings exceeded the Zacks Consensus Estimate, driven by higher segment revenues and increased assets under management (AUM) [2] Group 2: Assets Under Management (AUM) - Blackstone has seen growth in fee-earning AUM and total AUM, with the total AUM estimated at $1.13 trillion, an 8.8% increase from the prior-year quarter [5] - The consensus estimate for total fee-earning AUM is $842.8 billion, suggesting a rise of 10.5% [5] Group 3: Revenue Components - The Zacks Consensus Estimate for total management and advisory fees is $1.87 billion, indicating a 13% increase [6] - Fee-related performance revenues are estimated at $1.2 billion, a significant increase from $169 million in the prior-year quarter [6] - Revenues from realization activities are preliminarily estimated to exceed $775 million for the quarter, comprising 95% of realized performance revenues [7] Group 4: Expense Considerations - Blackstone's expenses have been elevated due to increased general, administrative, and other costs, with expectations of further increases in Q4 as the company continues to invest in its franchises [9] Group 5: Earnings Surprise History - Blackstone has a history of earnings surprises, having surpassed the Zacks Consensus Estimate in two of the last four quarters, with an average surprise of 6.20% [3]

Group 1 - The Trump administration is actively influencing the Federal Reserve's strategies, indicating that rate cuts are likely in 2025, which may lead to a volatile trading environment [1] - Investors are preparing for potential market fluctuations as the Fed updates its policies, suggesting a cautious approach to trading [1] Group 2 - The article emphasizes the importance of understanding financial independence and investment strategies, as illustrated by the author's personal journey to financial independence at age 35 [1]

Company Overview - Blackstone Mortgage Trust (NYSE: BXMT) is a prominent mortgage REIT with a portfolio valued at $20 billion [1] - The portfolio consists of 149 senior loans secured by real estate assets, distributed as follows: 65% in the U.S., 30% in Europe, and 5% in Australia [1] Investment Community - The company is associated with a community called 'High Yield Landlord', which is noted as the largest and best-rated community of real estate investors on Seeking Alpha [1] - This community has over 2,500 members and boasts a rating of 4.9 out of 5 based on more than 500 reviews [1]

Asset Management Business Model - The asset management business model is consistently highlighted as attractive, regardless of whether the firm serves institutional clients, wealthy individuals, or retail investors [1] Investment Opportunities for Individual Investors - The company focuses on identifying high-yield investment opportunities for individual investors, leveraging expertise from professional proprietary trading to simplify complex concepts and provide actionable advice [2] - The analysis produced is designed to assist investors in making informed market decisions, supported by unique expert research [2]