Blackstone Q1 Earnings Beat, AUM Touches Record High on Solid Inflows

Core Viewpoint - Blackstone's first-quarter 2024 distributable earnings exceeded expectations, driven by increased segment revenues and a rise in assets under management, despite facing higher GAAP expenses [1][2]. Financial Performance - Distributable earnings were $1.09 per share, surpassing the Zacks Consensus Estimate of $1.04, reflecting an 11% increase from the prior year [1]. - Total segment revenues reached $2.76 billion, an 8% year-over-year growth, beating the Zacks Consensus Estimate of $2.64 billion [2]. - On a GAAP basis, revenues were $3.29 billion, down 11% from the previous year [2]. - Net income attributable to Blackstone was $614.9 million, a decrease of 27.1% from the year-ago quarter [1]. Assets Under Management (AUM) - Fee-earning AUM grew 10% year over year to $860.1 billion as of March 31, 2025 [4]. - Total AUM amounted to $1.17 trillion, also up 10%, primarily driven by $61.6 billion in inflows during the reported quarter [4]. - The undrawn capital available for investment was $177.2 billion as of March 31, 2025 [4]. Cash and Investments - As of March 31, 2025, Blackstone had $9.8 billion in total cash, cash equivalents, and corporate treasury investments, along with $19.4 billion in cash and net investments [3]. - The company has a $3.4 billion undrawn credit revolver [3]. Share Repurchase - During the reported quarter, Blackstone repurchased 0.2 million shares, with $1.6 billion worth of buyback authorization remaining available as of March 31, 2025 [5]. Market Position and Outlook - Blackstone is positioned for top-line growth due to the continuous rise in AUM and strong fundraising capabilities, although high expenses and a challenging operating environment may impact the bottom line in the near term [6].