BlackRock(US:BLK) ZACKS·2025-10-14 17:55Core Insights - BlackRock's third-quarter 2025 adjusted earnings per share (EPS) reached $11.55, exceeding the Zacks Consensus Estimate of $11.25, reflecting a slight increase from the previous year [1][8] - The company's assets under management (AUM) grew to a record $13.46 trillion, marking a 17.3% year-over-year increase, driven by long-term net inflows of $171 billion [5][8] - Despite revenue growth, higher expenses posed challenges, with total expenses rising 42.7% year-over-year to $4.55 billion [3][4] Financial Performance - BlackRock's net income on a GAAP basis was $1.32 billion, down 18.9% from the prior year, falling short of the projected $1.59 billion [2] - Revenues on a GAAP basis were $6.51 billion, surpassing the Zacks Consensus Estimate of $6.20 billion, and reflecting a 25.2% increase year-over-year [3][8] - Non-operating income decreased to $42 million from $259 million in the prior-year quarter, while adjusted operating income rose 23.2% to $2.62 billion [4] Assets Under Management - As of September 30, 2025, AUM totaled $13.46 trillion, significantly above the estimated $12.59 trillion, with an average AUM of $12.96 trillion, up 17.1% year-over-year [5] - The acquisition of HPS Investment Partners added $165 billion in client AUM and $118 billion in fee-paying AUM [2] Shareholder Actions - BlackRock repurchased shares worth $375 million during the reported quarter [6] Strategic Outlook - The company's diversification efforts and acquisitions, including Global Infrastructure Partners, Preqin, and HPS Investment Partners, are expected to strengthen its position as a global asset manager [7] - Elevated expenses remain a significant challenge for the company [7]