EX-99.12blk-ex99_1.htmEX-99.1 EX-99.1
Exhibit 99.1
INVESTOR RELATIONS:
Caroline Rodda 212.810.3442
MEDIA RELATIONS:
Patrick Scanlan 212.810.3622
BlackRock Reports Third Quarter 2025 Diluted EPS of $8.43, or $11.55 as adjusted
New York, October 14, 2025 – BlackRock, Inc. (NYSE: BLK) today reported financial results for the three and nine months ended September 30, 2025.
$205 billion of quarterly total net inflows led by a record quarter for iShares® ETFs, alongside private markets and cash net inflows
10% annualized organic base fee growth in the quarter reflects broad-based strength across iShares ETFs, systematic active equities, private markets, outsourcing and cash
25% increase in revenue year-over-year reflects the positive impact of markets, 8% organic base fee growth over the last twelve months, fees related to the GIP and HPS Transactions, and higher technology services and subscription revenue
3% decrease in year-over-year GAAP operating income and 23% decrease in GAAP diluted EPS impacted by noncash acquisition-related expenses, which have been excluded from as-adjusted results
23% increase in year-over-year as adjusted operating income
1% increase in year-over-year as adjusted diluted EPS also reflects lower nonoperating income and a higher diluted share count, partially offset by a lower effective tax rate in the current quarter
$375 million worth of share repurchases in the current quarter
Closed acquisition of HPS Investment Partners ("HPS") on July 1st, adding $165 billion of client AUM and $118 billion of fee-paying AUM
Laurence D. Fink, Chairman and CEO:
“BlackRock delivered one of our strongest quarterly flows results, with net inflows of $205 billion, powering 10% organic base fee growth in the third quarter and 8% over the last twelve months. That growth is even more notable in its diversification. Top organic base fee growth contributors included our systematic franchise, private markets, digital assets, outsourcing, cash and iShares ETFs, which saw record demand. BlackRock’s multiple sources of growth differentiate us and are resonating through accelerating client activity across our platform. We believe our results are a powerful validation of our hyper-local client engagement model and forward-looking investments.
“BlackRock is always preparing for the future, investing ahead of client needs and in support of deepening capital markets. Technology and data analytics, ETFs, private markets, and digital assets are just a few examples where we invested and built leading positions. We’ve brought together the strengths of GIP, HPS, and Preqin, and together we’re already driving landmark fundraising and deal flow, accelerating client engagement, and double-digit organic revenue growth over the last year.
“Clients around the world are coming to BlackRock for deeper, more dynamic partnerships across public and private asset classes. AUM reached a new high of $13.5 trillion, and our iShares and cash franchises surpassed new AUM milestones of $5 trillion and $1 trillion, respectively.
“We’re executing on some of the largest and most multifaceted mandates in our history, as clients choose BlackRock for portfolio management and technology across the full range of capital markets.
“We’re entering our seasonally strongest fourth quarter with building momentum and a fully unified platform. One that’s anchored by a public-private investment model, backed by Aladdin technology, and united by a shared culture of performance and client service. I believe the scale of the opportunity ahead for BlackRock, our clients and shareholders far exceeds what we’ve ever seen before.”
FINANCIAL RESULTS
NET FLOW HIGHLIGHTS(1)
Q3
Q3
Q3
YTD
(in millions, except per share data)
2025
2024
(in billions)
2025
2025
AUM
$
13,463,625
$
11,475,362
Long-term net flows:
$
171
$
300
% change
17
%
Average AUM
$
12,960,773
$
11,070,964
% change
17
%
By region:
Total net flows
$
204,642
$
221,180
Americas
$
110
$
229
EMEA
64
129
GAAP basis:
APAC
(3
)
(58
)
Revenue
$
6,509
$
5,197
% change
25
%
Operating income
$
1,955
$
2,006
By client type:
% change
(3
)%
Operating margin
30.0
%
38.6
%
Retail:
$
10
$
25
Net income(1)
$
1,323
$
1,631
US
4
10
% change
(19
)%
International
6
15
Diluted EPS
$
8.43
$
10.90
% change
(23
)%
ETFs:
$
153
$
345
Weighted-average diluted
Active
21
41
common shares
156.9
149.6
Core equity
53
98
% change
5
%
Digital assets
17
34
Fixed income
41
111
As Adjusted(2):
Precision & other
21
61
Operating income
$
2,621
$
2,128
% change
23
%
Institutional:
$
8
$
(70
)
Operating margin
44.6
%
45.8
%
Active
22
37
Net income(3)
$
1,907
$
1,715
Index
(14
)
(108
)
% change
11
%
Diluted EPS(3)
$
11.55
$
11.46
% change
1
%
Cash management net flows
$
34
$
57
Weighted-average diluted
common shares(3)
165.2
149.6
% change
10
%
Total net flows
$
205
$
357
_________________________
_________________________
(1) Net income represents net income attributable to BlackRock, Inc.
(2) See pages 14 through 16 for the reconciliation to accounting principles generally accepted in
the United States ("GAAP") and notes (1) through (3) to the condensed consolidated
statements of income and supplemental information for more information on as adjusted items.
(3) Beginning in the third quarter of 2025, net income attributable to BlackRock, Inc., as adjusted,
and weighted-average diluted common shares, as adjusted, assumes all outstanding Class B-2
common units of BlackRock Saturn Subco, LLC ("Subco Units"), a consolidated subsidiary of
BlackRock, have been exchanged on a one-for-one basis into common stock of BlackRock.
Accordingly, the noncontrolling interest related to these Subco Units has been included as part
of net income attributable to BlackRock, Inc., as adjusted.
(1) Totals may not add due to rounding.
1
BUSINESS RESULTS
Q3 2025
Q3 2025
Base fees(1)
Base fees(1)
September 30, 2025
and securities
Q3 2025
September 30, 2025
and securities
AUM
lending revenue
(in millions), (unaudited)
Net flows
AUM
lending revenue
% of Total
% of Total
RESULTS BY PRODUCT TYPE
Equity
$
45,978
$
7,459,075
$
2,408
55
%
48
%
Fixed income
47,554
3,178,965
998
24
%
20
%
Multi-asset
33,598
1,161,957
353
9
%
6
%
Alternatives:
Private markets
13,163
320,886
653
2
%
13
%
Liquid alternatives
3,178
97,448
178
1
%
4
%
Alternatives subtotal
16,341
418,334
831
3
%
17
%
Digital assets
16,691
103,965
61
1
%
1
%
Currency and commodities(2)
10,384
136,600
77
1
%
2
%
Long-term
170,546
12,458,896
4,728
93
%
94
%
Cash management
34,096
1,004,729
318
7
%
6
%
Total
$
204,642
$
13,463,625
$
5,046
100
%
100
%
RESULTS BY CLIENT TYPE
Retail
$
9,724
$
1,173,568
$
1,177
9
%
23
%
ETFs
152,956
5,193,314
2,130
39
%
42
%
Institutional:
Active
22,267
2,475,614
1,149
18
%
23
%
Index
(14,401
)
3,616,400
272
27
%
6
%
Institutional subtotal
7,866
6,092,014
1,421
45
%
29
%
Long-term
170,546
12,458,896
4,728
93
%
94
%
Cash management
34,096
1,004,729
318
7
%
6
%
Total
$
204,642
$
13,463,625
$
5,046
100
%
100
%
RESULTS BY INVESTMENT STYLE
Active
$
26,640
$
3,294,619
$
2,245
24
%
44
%
ETFs
152,956
5,193,314
2,130
39
%
42
%
Non-ETF index
(9,050
)
3,970,963
353
30
%
8
%
Long-term
170,546
12,458,896
4,728
93
%
94
%
Cash management
34,096
1,004,729
318
7
%
6
%
Total
$
204,642
$
13,463,625
$
5,046
100
%
100
%
(1)
Base fees include investment advisory and administration fees.
(2)
Amounts include commodity exchange-traded funds ("ETFs") and exchange-traded products ("ETPs").
INVESTMENT PERFORMANCE AT September 30, 2025(1)
One-year period
Three-year period
Five-year period
Fixed income:
Actively managed AUM above benchmark or peer median
Taxable
80%
86%
84%
Tax-exempt
47%
67%
61%
Index AUM within or above applicable tolerance
97%
99%
100%
Equity:
Actively managed AUM above benchmark or peer median
Fundamental
48%
64%
50%
Systematic
90%
96%
94%
Index AUM within or above applicable tolerance
93%
98%
99%
(1)
Past performance is not indicative of future results. The performance information shown is based on preliminary available data. Please refer to page 18 for performance disclosure detail.
TELECONFERENCE, WEBCAST AND PRESENTATION INFORMATION
Chairman and Chief Executive Officer, Laurence D. Fink, President, Robert S. Kapito, and Chief Financial Officer, Martin S. Small, will host a teleconference call for investors and analysts on Tuesday, October 14, 2025 at 7:30 a.m. (Eastern Time). Members of the public who are interested in participating in the teleconference should dial, from the United States, (786) 460-7166, or from outside the United States, (877) 502-9276, shortly before 7:30 a.m. and reference the BlackRock Conference Call (ID Number 9613205). A live, listen-only webcast will also be available via the investor relations section of www.blackrock.com.
The webcast will be available for replay by 10:30 a.m. (Eastern Time) on Tuesday, October 14, 2025. To access the replay of the webcast, please visit the investor relations section of www.blackrock.com.
ABOUT BLACKROCK
BlackRock’s purpose is to help more and more people experience financial well-being. As a fiduciary to investors and a leading provider of financial technology, we help millions of people build savings that serve them throughout their lives by making investing easier and more affordable. For additional information on BlackRock, please visit www.blackrock.com/corporate.
2
CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND SUPPLEMENTAL INFORMATION
(in millions, except per share data), (unaudited)
Three Months
Three Months Ended
Ended
September 30,
June 30,
2025
2024
Change
2025
Change
Revenue
Investment advisory, administration fees and
securities lending revenue:
Investment advisory and administration fees
$
4,843
$
3,881
$
962
$
4,283
$
560
Securities lending revenue
203
149
54
171
32
Total investment advisory, administration fees
and securities lending revenue
5,046
4,030
1,016
4,454
592
Investment advisory performance fees
516
388
128
94
422
Technology services and subscription revenue
515
403
112
499
16
Distribution fees
355
323
32
320
35
Advisory and other revenue
77
53
24
56
21
Total revenue
6,509
5,197
1,312
5,423
1,086
Expense
Employee compensation and benefits
2,357
1,578
779
1,764
593
Sales, asset and account expense:
Distribution and servicing costs
638
549
89
576
62
Direct fund expense
464
379
85
441
23
Sub-advisory and other
60
34
26
46
14
Total sales, asset and account expense
1,162
962
200
1,063
99
General and administration expense
782
562
220
689
93
Restructuring charge
-
-
-
39
(39
)
Amortization and impairment of intangible assets
253
89
164
137
116
Total expense
4,554
3,191
1,363
3,692
862
Operating income
1,955
2,006
(51
)
1,731
224
Nonoperating income (expense)
Net gain (loss) on investments
64
177
(113
)
550
(486
)
Net interest income (expense)
(22
)
82
(104
)
(29
)
7
Total nonoperating income (expense)
42
259
(217
)
521
(479
)
Income before income taxes
1,997
2,265
(268
)
2,252
(255
)
Income tax expense
470
574
(104
)
587
(117
)
Net income
1,527
1,691
(164
)
1,665
(138
)
Less:
Net income (loss) attributable to noncontrolling
interests ("NCI") - consolidated sponsored
investment products ("CIPs")
134
60
74
72
62
Net income (loss) attributable to NCI - Subco Units
70
-
70
-
70
Net income attributable to BlackRock, Inc.
$
1,323
$
1,631
$
(308
)
$
1,593
$
(270
)
Weighted-average common shares outstanding
Basic
154.9
148.0
6.9
154.9
0.1
Diluted
156.9
149.6
7.3
156.3
0.7
Earnings per share attributable to BlackRock, Inc.
common stockholders
Basic
$
8.54
$
11.02
$
(2.48
)
$
10.29
$
(1.75
)
Diluted
$
8.43
$
10.90
$
(2.47
)
$
10.19
$
(1.76
)
Cash dividends declared and paid per share
$
5.21
$
5.10
$
0.11
$
5.21
$
-
Supplemental information:
AUM (end of period)
$
13,463,625
$
11,475,362
$
1,988,263
$
12,527,590
$
936,035
Shares outstanding including Subco Units
163.2
148.0
15.3
154.8
8.5
GAAP:
Operating margin
30.0
%
38.6
%
(860
)
bps
31.9
%
(190
)
bps
Effective tax rate
25.2
%
26.0
%
(80
)
bps
26.9
%
(170
)
bps
As adjusted:
Operating income (1)
$
2,621
$
2,128
$
493
$
2,099
$
522
Operating margin (1)
44.6
%
45.8
%
(120
)
bps
43.3
%
130
bps
Nonoperating income (expense), less net income
(loss) attributable to NCI - CIPs (2)
$
(106
)
$
190
$
(296
)
$
404
$
(510
)
Net income attributable to BlackRock, Inc. (3)
$
1,907
$
1,715
$
192
$
1,883
$
24
Diluted earnings attributable to BlackRock, Inc.
common stockholders per share (3)
$
11.55
$
11.46
$
0.09
$
12.05
$
(0.50
)
Diluted weighted-average common shares
outstanding (3)
165.2
149.6
15.6
156.3
8.9
Effective tax rate
24.2
%
26.0
%
(180
)
bps
24.8
%
(60
)
bps
See pages 14 through 16 for the reconciliation to GAAP and notes (1) through (3) to the condensed consolidated statements of income and supplemental information for more information on as adjusted items. Beginning in the third quarter of 2025, net income attributable to BlackRock, Inc., as adjusted, and weighted-average diluted common shares, as adjusted, assumes all Subco Units have been exchanged in accordance with their terms on a one-for-one basis into common stock of BlackRock. Accordingly, the noncontrolling interest related to these Subco Units has been included as part of net income attributable to BlackRock, Inc., as adjusted. As of September 30, 2025, there were 155.1 million shares of common stock and 8.1 million Subco Units outstanding.
3
CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND SUPPLEMENTAL INFORMATION
(in millions, except per share data), (unaudited)
Nine Months Ended
September 30,
2025
2024
Change
Revenue
Investment advisory, administration fees and
securities lending revenue:
Investment advisory and administration fees
$
13,370
$
11,229
$
2,141
Securities lending revenue
531
454
77
Total investment advisory, administration fees
and securities lending revenue
13,901
11,683
2,218
Investment advisory performance fees
670
756
(86
)
Technology services and subscription revenue
1,450
1,175
275
Distribution fees
996
951
45
Advisory and other revenue
191
165
26
Total revenue
17,208
14,730
2,478
Expense
Employee compensation and benefits
5,862
4,661
1,201
Sales, asset and account expense:
Distribution and servicing costs
1,784
1,606
178
Direct fund expense
1,297
1,075
222
Sub-advisory and other
153
98
55
Total sales, asset and account expense
3,234
2,779
455
General and administration expense
2,182
1,625
557
Restructuring charge
39
-
39
Amortization and impairment of intangible assets
507
166
341
Total expense
11,824
9,231
2,593
Operating income
5,384
5,499
(115
)
Nonoperating income (expense)
Net gain (loss) on investments
672
510
162
Net interest income (expense)
(44
)
183
(227
)
Total nonoperating income (expense)
628
693
(65
)
Income before income taxes
6,012
6,192
(180
)
Income tax expense
1,305
1,341
(36
)
Net income
4,707
4,851
(144
)
Less:
Net income (loss) attributable to NCI - CIPs
211
152
59
Net income (loss) attributable to NCI - Subco Units
70
-
70
Net income attributable to BlackRock, Inc.
$
4,426
$
4,699
$
(273
)
Weighted-average common shares outstanding
Basic
154.9
148.4
6.6
Diluted
156.6
149.8
6.8
Earnings per share attributable to BlackRock, Inc.
common stockholders
Basic
$
28.57
$
31.67
$
(3.10
)
Diluted
$
28.21
$
31.37
$
(3.16
)
Cash dividends declared and paid per share
$
15.63
$
15.30
$
0.33
Supplemental information:
AUM (end of period)
$
13,463,625
$
11,475,362
$
1,988,263
Shares outstanding including Subco Units
163.2
148.0
15.3
GAAP:
Operating margin
31.3
%
37.3
%
(600
)
bps
Effective tax rate
22.5
%
22.2
%
30
bps
As adjusted:
Operating income (1)
$
6,752
$
5,784
$
968
Operating margin (1)
43.8
%
44.1
%
(30
)
bps
Nonoperating income (expense), less net income
(loss) attributable to NCI - CIPs (2)
$
373
$
494
$
(121
)
Net income attributable to BlackRock, Inc. (3)
$
5,560
$
4,738
$
822
Diluted earnings attributable to BlackRock, Inc.
common stockholders per share (3)
$
34.89
$
31.63
$
3.26
Diluted weighted-average common shares outstanding (3)
159.4
149.8
9.6
Effective tax rate
22.0
%
24.5
%
(250
)
bps
See pages 14 through 16 for the reconciliation to GAAP and notes (1) through (3) to the condensed consolidated statements of income and supplemental information for more information on as adjusted items. Beginning in the third quarter of 2025, net income attributable to BlackRock, Inc., as adjusted, and weighted-average diluted common shares, as adjusted, assumes all Subco Units have been exchanged in accordance with their terms on a one-for-one basis into common stock of BlackRock. Accordingly, the noncontrolling interest related to these Subco Units has been included as part of net income attributable to BlackRock, Inc., as adjusted. As of September 30, 2025, there were 155.1 million shares of common stock and 8.1 million Subco Units outstanding.
4
ASSETS UNDER MANAGEMENT
(in millions), (unaudited)
Current Quarter Component Changes by Product Type
Net
June 30,
inflows
Market
FX
September 30,
Average
2025
(outflows)
Realizations(1)
Acquisitions(2)
change
impact(3)
2025
AUM(4)
Equity
$
6,905,438
$
45,978
$
-
$
-
$
519,260
$
(11,601
)
$
7,459,075
$
7,135,969
Fixed income
3,087,297
47,554
(1,265
)
13,567
40,100
(8,288
)
3,178,965
3,122,878
Multi-asset
1,076,709
33,598
-
-
55,276
(3,626
)
1,161,957
1,119,948
Alternatives:
Private markets
215,244
13,163
(5,996
)
101,017
(2,364
)
(178
)
320,886
291,901
Liquid alternatives
86,670
3,178
(30
)
6,377
1,237
16
97,448
93,382
Alternatives subtotal
301,914
16,341
(6,026
)
107,394
(1,127
)
(162
)
418,334
385,283
Digital assets
79,551
16,691
-
-
7,728
(5
)
103,965
94,980
Currency and
commodities(5)
106,980
10,384
-
-
19,323
(87
)
136,600
117,115
Long-term
11,557,889
170,546
(7,291
)
120,961
640,560
(23,769
)
12,458,896
11,976,173
Cash management
969,701
34,096
-
-
2,266
(1,334
)
1,004,729
984,600
Total
$
12,527,590
$
204,642
$
(7,291
)
$
120,961
$
642,826
$
(25,103
)
$
13,463,625
$
12,960,773
Current Quarter Component Changes by Client Type and Product Type (Long-Term)
Net
June 30,
inflows
Market
FX
September 30,
Average
2025
(outflows)
Realizations(1)
Acquisitions(2)
change
impact(3)
2025
AUM(4)
Retail:
Equity
$
557,833
$
2,094
$
-
$
-
$
38,693
$
(1,358
)
$
597,262
$
573,760
Fixed income
333,624
5,588
-
-
4,845
594
344,651
338,726
Multi-asset
162,852
(2,386
)
-
-
8,435
(18
)
168,883
165,225
Private markets
16,823
1,521
(163
)
11,674
(60
)
(25
)
29,770
26,274
Liquid alternatives
29,865
2,907
(3
)
-
265
(32
)
33,002
31,358
Retail subtotal
1,100,997
9,724
(166
)
11,674
52,178
(839
)
1,173,568
1,135,343
ETFs:
Equity
3,455,117
79,429
-
-
255,812
(1,927
)
3,788,431
3,593,742
Fixed income
1,101,224
46,018
-
-
10,926
(586
)
1,157,582
1,122,763
Multi-asset
11,926
599
-
-
673
(87
)
13,111
12,432
Digital assets
79,551
16,691
-
-
7,728
(5
)
103,965
94,980
Commodities
100,950
10,219
-
-
19,096
(40
)
130,225
111,087
ETFs subtotal
4,748,768
152,956
-
-
294,235
(2,645
)
5,193,314
4,935,004
Institutional:
Active:
Equity
242,098
(17,995
)
-
-
18,938
(1,039
)
242,002
238,071
Fixed income
881,932
(6,984
)
(1,265
)
13,567
15,914
(1,588
)
901,576
892,490
Multi-asset
898,621
35,333
-
-
46,033
(3,513
)
976,474
938,905
Private markets
198,421
11,642
(5,833
)
89,343
(2,304
)
(153
)
291,116
265,627
Liquid alternatives
56,805
271
(27
)
6,377
972
48
64,446
62,024
Active subtotal
2,277,877
22,267
(7,125
)
109,287
79,553
(6,245
)
2,475,614
2,397,117
Index
3,430,247
(14,401
)
-
-
214,594
(14,040
)
3,616,400
3,508,709
Institutional subtotal
5,708,124
7,866
(7,125
)
109,287
294,147
(20,285
)
6,092,014
5,905,826
Long-term
$
11,557,889
$
170,546
$
(7,291
)
$
120,961
$
640,560
$
(23,769
)
$
12,458,896
$
11,976,173
(1)
Realizations represent return of capital/return on investments.
(2)
Amounts include AUM attributable to the acquisitions of HPS in July 2025 (the "HPS Transaction") and ElmTree Funds ("ElmTree") in September 2025 (the "ElmTree Transaction").
(3)
Foreign exchange reflects the impact of translating non-US dollar denominated AUM into US dollars for reporting purposes.
(4)
Average AUM is calculated as the average of the month-end spot AUM amounts for the trailing four months.
(5)
Amounts include commodity ETFs and ETPs.
5
ASSETS UNDER MANAGEMENT
(in millions), (unaudited)
Current Quarter Component Changes by Investment Style and Product Type (Long-Term)
Net
June 30,
inflows
Market
FX
September 30,
Average
2025
(outflows)
Realizations(1)
Acquisitions(2)
change
impact(3)
2025
AUM(4)
Active:
Equity
$
504,554
$
(20,463
)
$
-
$
-
$
34,462
$
(1,377
)
$
517,176
$
504,575
Fixed income
1,183,948
(2,184
)
(1,265
)
13,567
20,430
(725
)
1,213,771
1,199,173
Multi-asset
1,061,457
32,946
-
-
54,468
(3,533
)
1,145,338
1,104,113
Private markets
215,244
13,163
(5,996
)
101,017
(2,364
)
(178
)
320,886
291,901
Liquid alternatives
86,670
3,178
(30
)
6,377
1,237
16
97,448
93,382
Active subtotal
3,051,873
26,640
(7,291
)
120,961
108,233
(5,797
)
3,294,619
3,193,144
ETFs:
Equity
3,455,117
79,429
-
-
255,812
(1,927
)
3,788,431
3,593,742
Fixed income
1,101,224
46,018
-
-
10,926
(586
)
1,157,582
1,122,763
Multi-asset
11,926
599
-
-
673
(87
)
13,111
12,432
Digital assets
79,551
16,691
-
-
7,728
(5
)
103,965
94,980
Commodities
100,950
10,219
-
-
19,096
(40
)
130,225
111,087
ETFs subtotal
4,748,768
152,956
-
-
294,235
(2,645
)
5,193,314
4,935,004
Non-ETF index
3,757,248
(9,050
)
-
-
238,092
(15,327
)
3,970,963
3,848,025
Long-term
$
11,557,889
$
170,546
$
(7,291
)
$
120,961
$
640,560
$
(23,769
)
$
12,458,896
$
11,976,173
Current Quarter Component Changes by Private Markets Product Type (Long-Term)
Net
June 30,
inflows
Market
FX
September 30,
Average
2025
(outflows)
Realizations(1)
Acquisitions(2)
change
impact(3)
2025
AUM(4)
Private markets:
Infrastructure
$
112,323
$
2,884
$
(2,337
)
$
-
$
(2,718
)
$
(51
)
$
110,101
$
111,319
Private equity
33,743
583
(610
)
-
313
4
34,033
33,889
Private credit
35,985
7,851
(2,588
)
101,017
(276
)
(15
)
141,974
112,505
Real estate
25,276
341
(275
)
-
272
(89
)
25,525
25,326
Multi-alternatives
7,917
1,504
(186
)
-
45
(27
)
9,253
8,862
Total private markets
$
215,244
$
13,163
$
(5,996
)
$
101,017
$
(2,364
)
$
(178
)
$
320,886
$
291,901
(1)
Realizations represent return of capital/return on investments.
(2)
Amounts include AUM attributable to the HPS Transaction and the ElmTree Transaction.
(3)
Foreign exchange reflects the impact of translating non-US dollar denominated AUM into US dollars for reporting purposes.
(4)
Average AUM is calculated as the average of the month-end spot AUM amounts for the trailing four months.
6
ASSETS UNDER MANAGEMENT
(in millions), (unaudited)
Year-to-Date Component Changes by Product Type(1)
Net
December 31,
inflows
Market
FX
September 30,
Average
2024
(outflows)
Realizations(2)
Acquisitions(3)
change
impact(4)
2025
AUM(5)
Equity
$
6,310,191
$
94,072
$
-
$
-
$
944,792
$
110,020
$
7,459,075
$
6,688,463
Fixed income
2,905,669
80,628
(2,526
)
13,567
104,153
77,474
3,178,965
3,035,408
Multi-asset
992,921
35,401
-
-
108,659
24,976
1,161,957
1,056,211
Alternatives:
Private markets
211,974
27,126
(19,472
)
101,017
(4,844
)
5,085
320,886
243,925
Liquid alternatives
76,390
8,281
(58
)
6,377
5,604
854
97,448
85,226
Alternatives subtotal
288,364
35,407
(19,530
)
107,394
760
5,939
418,334
329,151
Digital assets
55,306
34,185
-
-
14,473
1
103,965
73,321
Currency and
commodities(6)
78,137
19,996
-
-
38,055
412
136,600
101,863
Long-term
10,630,588
299,689
(22,056
)
120,961
1,210,892
218,822
12,458,896
11,284,417
Cash management
920,663
56,861
-
-
7,808
19,397
1,004,729
954,223
Total
$
11,551,251
$
356,550
$
(22,056
)
$
120,961
$
1,218,700
$
238,219
$
13,463,625
$
12,238,640
Year-to-Date Component Changes by Client Type and Product Type (Long-Term)(1)
Net
December 31,
inflows
Market
FX
September 30,
Average
2024
(outflows)
Realizations(2)
Acquisitions(3)
change
impact(4)
2025
AUM(5)
Retail:
Equity
$
505,118
$
10,236
$
-
$
-
$
70,090
$
11,818
$
597,262
$
539,347
Fixed income
318,641
6,947
-
-
10,572
8,491
344,651
329,805
Multi-asset
150,978
(1,381
)
-
-
18,105
1,181
168,883
158,518
Private markets
15,749
2,615
(818
)
11,674
(13
)
563
29,770
20,194
Liquid alternatives
24,735
6,382
(3
)
-
1,646
242
33,002
28,655
Retail subtotal
1,015,221
24,799
(821
)
11,674
100,400
22,295
1,173,568
1,076,519
ETFs:
Equity
3,106,398
166,494
-
-
485,902
29,637
3,788,431
3,341,638
Fixed income
985,652
123,408
-
-
33,357
15,165
1,157,582
1,067,883
Multi-asset
10,734
908
-
-
1,335
134
13,111
11,455
Digital assets
55,306
34,185
-
-
14,473
1
103,965
73,321
Commodities
72,285
20,233
-
-
37,486
221
130,225
95,876
ETFs subtotal
4,230,375
345,228
-
-
572,553
45,158
5,193,314
4,590,173
Institutional:
Active:
Equity
218,848
(16,317
)
-
-
32,428
7,043
242,002
229,587
Fixed income
840,328
(8,546
)
(2,526
)
13,567
43,400
15,353
901,576
869,568
Multi-asset
828,039
35,818
-
-
88,995
23,622
976,474
882,968
Private markets
196,225
24,511
(18,654
)
89,343
(4,831
)
4,522
291,116
223,731
Liquid alternatives
51,655
1,899
(55
)
6,377
3,958
612
64,446
56,571
Active subtotal
2,135,095
37,365
(21,235
)
109,287
163,950
51,152
2,475,614
2,262,425
Index
3,249,897
(107,703
)
-
-
373,989
100,217
3,616,400
3,355,300
Institutional subtotal
5,384,992
(70,338
)
(21,235
)
109,287
537,939
151,369
6,092,014
5,617,725
Long-term
$
10,630,588
$
299,689
$
(22,056
)
$
120,961
$
1,210,892
$
218,822
$
12,458,896
$
11,284,417
(1)
Beginning in the first quarter of 2025, BlackRock updated the presentation of the Company's AUM line items. Such line items have been reclassified for 2024 to conform to this new presentation.
(2)
Realizations represent return of capital/return on investments.
(3)
Amounts include AUM attributable to the HPS Transaction and the ElmTree Transaction.
(4)
Foreign exchange reflects the impact of translating non-US dollar denominated AUM into US dollars for reporting purposes.
(5)
Average AUM is calculated as the average of the month-end spot AUM amounts for the trailing ten months.
(6)
Amounts include commodity ETFs and ETPs.
7
ASSETS UNDER MANAGEMENT
(in millions), (unaudited)
Year-to-Date Component Changes by Investment Style and Product Type (Long-Term)(1)
Net
December 31,
inflows
Market
FX
September 30,
Average
2024
(outflows)
Realizations(2)
Acquisitions(3)
change
impact(4)
2025
AUM(5)
Active:
Equity
$
467,163
$
(25,421
)
$
-
$
-
$
62,859
$
12,575
$
517,176
$
485,644
Fixed income
1,133,874
(6,060
)
(2,526
)
13,567
53,070
21,846
1,213,771
1,170,209
Multi-asset
979,001
34,436
-
-
107,100
24,801
1,145,338
1,041,470
Private markets
211,974
27,126
(19,472
)
101,017
(4,844
)
5,085
320,886
243,925
Liquid alternatives
76,390
8,281
(58
)
6,377
5,604
854
97,448
85,226
Active subtotal
2,868,402
38,362
(22,056
)
120,961
223,789
65,161
3,294,619
3,026,474
ETFs:
Equity
3,106,398
166,494
-
-
485,902
29,637
3,788,431
3,341,638
Fixed income
985,652
123,408
-
-
33,357
15,165
1,157,582
1,067,883
Multi-asset
10,734
908
-
-
1,335
134
13,111
11,455
Digital assets
55,306
34,185
-
-
14,473
1
103,965
73,321
Commodities
72,285
20,233
-
-
37,486
221
130,225
95,876
ETFs subtotal
4,230,375
345,228
-
-
572,553
45,158
5,193,314
4,590,173
Non-ETF index
3,531,811
(83,901
)
-
-
414,550
108,503
3,970,963
3,667,770
Long-term
$
10,630,588
$
299,689
$
(22,056
)
$
120,961
$
1,210,892
$
218,822
$
12,458,896
$
11,284,417
Year-to-Date Component Changes by Private Markets Product Type (Long-Term)
Net
December 31,
inflows
Market
FX
September 30,
Average
2024
(outflows)
Realizations(2)
Acquisitions(3)
change
impact(4)
2025
AUM(5)
Private markets:
Infrastructure
$
109,606
$
10,771
$
(8,978
)
$
-
$
(3,145
)
$
1,847
$
110,101
$
109,550
Private equity
36,327
2,552
(4,967
)
-
(204
)
325
34,033
35,499
Private credit
32,425
11,433
(4,145
)
101,017
(440
)
1,684
141,974
65,074
Real estate
26,147
312
(926
)
-
(1,069
)
1,061
25,525
25,690
Multi-alternatives
7,469
2,058
(456
)
-
14
168
9,253
8,112
Total private markets
$
211,974
$
27,126
$
(19,472
)
$
101,017
$
(4,844
)
$
5,085
$
320,886
$
243,925
(1)
Beginning in the first quarter of 2025, BlackRock updated the presentation of the Company's AUM line items. Such line items have been reclassified for 2024 to conform to this new presentation.
(2)
Realizations represent return of capital/return on investments.
(3)
Amounts include AUM attributable to the HPS Transaction and the ElmTree Transaction.
(4)
Foreign exchange reflects the impact of translating non-US dollar denominated AUM into US dollars for reporting purposes.
(5)
Average AUM is calculated as the average of the month-end spot AUM amounts for the trailing ten months.
8
ASSETS UNDER MANAGEMENT
(in millions), (unaudited)
Year-over-Year Component Changes by Product Type(1)
Net
September 30,
inflows
Market
FX
September 30,
Average
2024
(outflows)(2)
Realizations(2)
Acquisitions(3)
change
impact(4)
2025
AUM(5)
Equity
$
6,280,999
$
220,638
$
-
$
-
$
943,333
$
14,105
$
7,459,075
$
6,604,454
Fixed income
3,023,694
104,412
(2,526
)
13,567
31,728
8,090
3,178,965
3,021,938
Multi-asset
1,001,515
59,707
-
-
98,455
2,280
1,161,957
1,044,197
Alternatives:
Private markets
141,409
31,856
(19,472
)
170,892
(5,590
)
1,791
320,886
230,865
Liquid alternatives
75,990
9,446
(58
)
6,377
5,844
(151
)
97,448
83,133
Alternatives subtotal
217,399
41,302
(19,530
)
177,269
254
1,640
418,334
313,998
Digital assets
24,238
52,317
-
-
27,408
2
103,965
64,622
Currency and
commodities(6)
78,130
21,981
-
-
36,415
74
136,600
96,947
Long-term
10,625,975
500,357
(22,056
)
190,836
1,137,593
26,191
12,458,896
11,146,156
Cash management
849,387
137,610
-
-
10,329
7,403
1,004,729
935,144
Total
$
11,475,362
$
637,967
$
(22,056
)
$
190,836
$
1,147,922
$
33,594
$
13,463,625
$
12,081,300
Year-over-Year Component Changes by Client Type and Product Type (Long-Term)(1)
Net
September 30,
inflows
Market
FX
September 30,
Average
2024
(outflows)(2)
Realizations(2)
Acquisitions(3)
change
impact(4)
2025
AUM(5)
Retail:
Equity
$
521,270
$
10,107
$
-
$
-
$
62,880
$
3,005
$
597,262
$
534,448
Fixed income
324,245
11,100
-
-
5,750
3,556
344,651
328,200
Multi-asset
154,078
(1,804
)
-
-
16,196
413
168,883
157,141
Private markets
16,216
2,787
(818
)
11,674
(293
)
204
29,770
19,234
Liquid alternatives
24,738
7,263
(3
)
-
959
45
33,002
27,724
Retail subtotal
1,040,547
29,453
(821
)
11,674
85,492
7,223
1,173,568
1,066,747
ETFs:
Equity
3,061,840
277,095
-
-
442,288
7,208
3,788,431
3,282,511
Fixed income
1,019,176
135,243
-
-
(1,599
)
4,762
1,157,582
1,054,908
Multi-asset
10,036
1,978
-
-
1,181
(84
)
13,111
11,149
Digital assets
24,238
52,317
-
-
27,408
2
103,965
64,622
Commodities
73,045
21,237
-
-
35,882
61
130,225
91,103
ETFs subtotal
4,188,335
487,870
-
-
505,160
11,949
5,193,314
4,504,293
Institutional:
Active:
Equity
225,361
(18,366
)
-
-
34,860
147
242,002
228,092
Fixed income
873,385
(10,054
)
(2,526
)
13,567
25,142
2,062
901,576
866,384
Multi-asset
833,975
59,662
-
-
80,854
1,983
976,474
872,612
Private markets
125,193
29,069
(18,654
)
159,218
(5,297
)
1,587
291,116
211,631
Liquid alternatives
51,252
2,183
(55
)
6,377
4,885
(196
)
64,446
55,409
Active subtotal
2,109,166
62,494
(21,235
)
179,162
140,444
5,583
2,475,614
2,234,128
Index
3,287,927
(79,460
)
-
-
406,497
1,436
3,616,400
3,340,988
Institutional subtotal
5,397,093
(16,966
)
(21,235
)
179,162
546,941
7,019
6,092,014
5,575,116
Long-term
$
10,625,975
$
500,357
$
(22,056
)
$
190,836
$
1,137,593
$
26,191
$
12,458,896
$
11,146,156
(1)
Beginning in the first quarter of 2025, BlackRock updated the presentation of the Company's AUM line items. Such line items have been reclassified for 2024 to conform to this new presentation.
(2)
Beginning in the first quarter of 2025, BlackRock updated the presentation of net flows to separately disclose realizations, which represent return of capital/return on investments. Realizations in 2024 have not been recast.
(3)
Amounts include AUM attributable to the HPS Transaction, the ElmTree Transaction and the acquisition of Global Infrastructure Management, LLC ("GIP") in October 2024 (the "GIP Transaction").
(4)
Foreign exchange reflects the impact of translating non-US dollar denominated AUM into US dollars for reporting purposes.
(5)
Average AUM is calculated as the average of the month-end spot AUM amounts for the trailing thirteen months.
(6)
Amounts include commodity ETFs and ETPs.
9
ASSETS UNDER MANAGEMENT
(in millions), (unaudited)
Year-over-Year Component Changes by Investment Style and Product Type (Long-Term)(1)
Net
September 30,
inflows
Market
FX
September 30,
Average
2024
(outflows)(2)
Realizations(2)
Acquisitions(3)
change
impact(4)
2025
AUM(5)
Active:
Equity
$
492,193
$
(33,478
)
$
-
$
-
$
56,661
$
1,800
$
517,176
$
485,407
Fixed income
1,171,739
(4,481
)
(2,526
)
13,567
30,448
5,024
1,213,771
1,166,258
Multi-asset
988,035
57,856
-
-
97,050
2,397
1,145,338
1,029,737
Private markets
141,409
31,856
(19,472
)
170,892
(5,590
)
1,791
320,886
230,865
Liquid alternatives
75,990
9,446
(58
)
6,377
5,844
(151
)
97,448
83,133
Active subtotal
2,869,366
61,199
(22,056
)
190,836
184,413
10,861
3,294,619
2,995,400
ETFs:
Equity
3,061,840
277,095
-
-
442,288
7,208
3,788,431
3,282,511
Fixed income
1,019,176
135,243
-
-
(1,599
)
4,762
1,157,582
1,054,908
Multi-asset
10,036
1,978
-
-
1,181
(84
)
13,111
11,149
Digital assets
24,238
52,317
-
-
27,408
2
103,965
64,622
Commodities
73,045
21,237
-
-
35,882
61
130,225
91,103
ETFs subtotal
4,188,335
487,870
-
-
505,160
11,949
5,193,314
4,504,293
Non-ETF index
3,568,274
(48,712
)
-
-
448,020
3,381
3,970,963
3,646,463
Long-term
$
10,625,975
$
500,357
$
(22,056
)
$
190,836
$
1,137,593
$
26,191
$
12,458,896
$
11,146,156
Year-over-Year Component Changes by Private Markets Product Type (Long-Term)
Net
September 30,
inflows
Market
FX
September 30,
Average
2024
(outflows)(2)
Realizations(2)
Acquisitions(3)
change
impact(4)
2025
AUM(5)
Private markets:
Infrastructure
$
38,871
$
13,359
$
(8,978
)
$
69,875
$
(3,676
)
$
650
$
110,101
$
103,931
Private equity
35,807
3,207
(4,967
)
-
(161
)
147
34,033
35,586
Private credit
32,222
12,615
(4,145
)
101,017
(487
)
752
141,974
57,499
Real estate
27,033
498
(926
)
-
(1,296
)
216
25,525
25,897
Multi-alternatives
7,476
2,177
(456
)
-
30
26
9,253
7,952
Total private markets
$
141,409
$
31,856
$
(19,472
)
$
170,892
$
(5,590
)
$
1,791
$
320,886
$
230,865
(1)
Beginning in the first quarter of 2025, BlackRock updated the presentation of the Company's AUM line items. Such line items have been reclassified for 2024 to conform to this new presentation.
(2)
Beginning in the first quarter of 2025, BlackRock updated the presentation of net flows to separately disclose realizations, which represent return of capital/return on investments. Realizations in 2024 have not been recast.
(3)
Amounts include AUM attributable to the HPS Transaction, the ElmTree Transaction and the GIP Transaction.
(4)
Foreign exchange reflects the impact of translating non-US dollar denominated AUM into US dollars for reporting purposes.
(5)
Average AUM is calculated as the average of the month-end spot AUM amounts for the trailing thirteen months.
10
SUMMARY OF REVENUE
Three Months
Three Months
Nine Months
Ended
Ended
Ended
September 30,
June 30,
September 30,
(in millions), (unaudited)
2025
2024
Change
2025
Change
2025
2024
Change
Revenue
Investment advisory, administration fees and
securities lending revenue(1):
Equity:
Active
$
557
$
553
$
4
$
507
$
50
$
1,582
$
1,608
$
(26
)
ETFs
1,597
1,309
288
1,401
196
4,347
3,749
598
Equity subtotal
2,154
1,862
292
1,908
246
5,929
5,357
572
Fixed income:
Active
513
493
20
487
26
1,492
1,458
34
ETFs
393
354
39
366
27
1,111
1,007
104
Fixed income subtotal
906
847
59
853
53
2,603
2,465
138
Active multi-asset
344
318
26
312
32
969
929
40
Alternatives:
Private markets
653
235
418
499
154
1,687
716
971
Liquid alternatives
178
143
35
157
21
485
422
63
Alternatives subtotal
831
378
453
656
175
2,172
1,138
1,034
Non-ETF index
353
298
55
313
40
973
871
102
Digital assets, commodities and multi-asset
ETFs(2)
140
63
77
108
32
340
167
173
Long-term
4,728
3,766
962
4,150
578
12,986
10,927
2,059
Cash management
318
264
54
304
14
915
756
159
Total investment advisory, administration
fees and securities lending revenue
5,046
4,030
1,016
4,454
592
13,901
11,683
2,218
Investment advisory performance fees:
Equity
14
13
1
12
2
36
49
(13
)
Fixed income
-
3
(3
)
2
(2
)
14
12
2
Multi-asset
2
1
1
6
(4
)
12
14
(2
)
Alternatives:
Private markets
298
7
291
39
259
361
200
161
Liquid alternatives
202
364
(162
)
35
167
247
481
(234
)
Alternatives subtotal
500
371
129
74
426
608
681
(73
)
Total investment advisory performance fees
516
388
128
94
422
670
756
(86
)
Technology services and subscription revenue
515
403
112
499
16
1,450
1,175
275
Distribution fees
355
323
32
320
35
996
951
45
Advisory and other revenue:
Advisory
12
11
1
13
(1
)
39
35
4
Other
65
42
23
43
22
152
130
22
Total advisory and other revenue
77
53
24
56
21
191
165
26
Total revenue
$
6,509
$
5,197
$
1,312
$
5,423
$
1,086
$
17,208
$
14,730
$
2,478
(1)
Beginning in the first quarter of 2025, BlackRock reclassified the presentation of the Company's investment advisory, administration fees and securities lending revenue line items to align with the updated presentation of the Company's AUM line items. Such line items have been reclassified for 2024 to conform to this new presentation. See page 11 of Exhibit 99.2 to the Current Report on Form 8-K furnished on April 11, 2025 for the reclassified presentation of the 2024 investment advisory, administration fees and securities lending revenue line items.
(2)
Amounts include commodity ETFs and ETPs.
Highlights
•
Investment advisory, administration fees and securities lending revenue increased $1.0 billion from the third quarter of 2024, primarily driven by organic base fee growth, the impact of market beta on average AUM, and approximately $215 million and $225 million of fees related to the GIP and HPS Transactions, respectively. Securities lending revenue of $203 million increased from $149 million in the third quarter of 2024, primarily reflecting higher spreads and average balances of securities on loan.
Investment advisory, administration fees and securities lending revenue increased $592 million from the second quarter of 2025, primarily driven by organic base fee growth, the impact of market beta on average AUM, approximately $225 million of fees related to the HPS Transaction and the effect of one additional day in the quarter. Securities lending revenue of $203 million increased from $171 million in the second quarter of 2025, primarily reflecting higher spreads.
•
Performance fees increased $128 million from the third quarter of 2024, primarily reflecting higher revenue from private markets, including the impact of the HPS Transaction, partially offset by lower revenue from liquid alternative products, largely related to the strong performance from a single hedge fund in the third quarter of 2024 with an annual performance measurement period that ends in the third quarter.
Performance fees increased $422 million from the second quarter of 2025, primarily reflecting higher revenue from private markets, including the impact of the HPS Transaction, and higher revenue from liquid alternative products.
•
Technology services and subscription revenue increased $112 million from the third quarter of 2024 and $16 million from the second quarter of 2025, reflecting the sustained demand for Aladdin® technology offerings and revenue from the acquisition of Preqin Holding Limited ("Preqin") in March 2025 (the "Preqin Transaction"), which added approximately $65 million to third quarter revenue. Technology services and subscription annual contract value (“ACV”)(1) increased 29% from the third quarter of 2024 including ACV related to Preqin, and increased 13% excluding ACV related to Preqin.
(1)
See note (4) to the condensed consolidated statements of income and supplemental information on page 16 for more information on ACV.
11
SUMMARY OF OPERATING EXPENSE
Three Months
Three Months
Nine Months
Ended
Ended
Ended
September 30,
June 30,
September 30,
(in millions), (unaudited)
2025
2024
Change
2025
Change
2025
2024
Change
Operating expense
Employee compensation and benefits
$
2,357
$
1,578
$
779
$
1,764
$
593
$
5,862
$
4,661
$
1,201
Sales, asset and account expense:
Distribution and servicing costs
638
549
89
576
62
1,784
1,606
178
Direct fund expense
464
379
85
441
23
1,297
1,075
222
Sub-advisory and other
60
34
26
46
14
153
98
55
Total sales, asset and account expense
1,162
962
200
1,063
99
3,234
2,779
455
General and administration expense:
Marketing and promotional
82
64
18
93
(11
)
272
222
50
Occupancy and office related
137
105
32
120
17
371
308
63
Portfolio services
69
65
4
62
7
195
194
1
Technology
213
175
38
198
15
600
492
108
Professional services
104
67
37
51
53
228
189
39
Communications
12
10
2
11
1
33
29
4
Foreign exchange remeasurement
(3
)
3
(6
)
4
(7
)
(7
)
7
(14
)
Contingent consideration fair value
adjustments
93
(2
)
95
76
17
265
(8
)
273
Other general and administration
75
75
-
74
1
225
192
33
Total general and administration expense
782
562
220
689
93
2,182
1,625
557
Restructuring charge
-
-
-
39
(39
)
39
-
39
Amortization and impairment of intangible
assets
253
89
164
137
116
507
166
341
Total operating expense
$
4,554
$
3,191
$
1,363
$
3,692
$
862
$
11,824
$
9,231
$
2,593
Highlights
•
Employee compensation and benefits expense increased $779 million from the third quarter of 2024 and $593 million from the second quarter of 2025, primarily reflecting the impact of the GIP and HPS Transactions, including nonrecurring retention-related deferred compensation expense(1) and the impact of higher operating income and performance fees.
•
Sales, asset and account expense increased $200 million from the third quarter of 2024 and $99 million from the second quarter of 2025, driven by higher distribution and servicing costs and direct fund expense, primarily reflecting higher average AUM.
•
General and administration expense increased $220 million from the third quarter of 2024 and $93 million from the second quarter of 2025, primarily associated with the impact of the GIP and HPS Transactions, including higher noncash contingent consideration fair value adjustments(1) and higher acquisition-related transaction costs(1) recorded in professional services expense, as well as higher technology expense, and occupancy and office related expense.
•
Amortization and impairment of intangible assets(1) increased $164 million from the third quarter of 2024 and $116 million from the second quarter of 2025, primarily reflecting amortization of intangible assets acquired in the HPS, GIP and Preqin Transactions. In addition, amortization and impairment of intangible assets in the third quarter of 2024 included the impact of a $50 million noncash impairment charge related to certain of the Company's indefinite-lived management contracts.
•
In the second quarter of 2025, a restructuring charge(1) of $39 million, comprised of severance and compensation expense for accelerated vesting of previously granted deferred compensation awards, was recorded in connection with an initiative to modify the Company's organization to fit more closely with strategic priorities.
(1)
These expenses have been excluded from the Company's "as adjusted" financial results under the expense adjustments for acquisition-related costs and a restructuring charge, as applicable. See pages 14 through 16 for the reconciliation to GAAP and notes (1) through (3) for more information on as adjusted items.
12
SUMMARY OF NONOPERATING INCOME (expense), less net income (loss) attributable TO noncontrolling interests - Consolidated sponsored investment products
Three Months
Three Months
Nine Months
Ended
Ended
Ended
September 30,
June 30,
September 30,
(in millions), (unaudited)
2025
2024
Change
2025
Change
2025
2024
Change
Nonoperating income (expense), GAAP basis
$
42
$
259
$
(217
)
$
521
$
(479
)
$
628
$
693
$
(65
)
Less: Net income (loss) attributable to
NCI - CIPs
134
60
74
72
62
211
152
59
Nonoperating income (expense), net of
NCI - CIPs
(92
)
199
(291
)
449
(541
)
417
541
(124
)
Less: Hedge gain (loss) on deferred cash
compensation plans(1)
14
9
5
45
(31
)
44
47
(3
)
Nonoperating income (expense), net of
NCI - CIPs, as adjusted(2)
$
(106
)
$
190
$
(296
)
$
404
$
(510
)
$
373
$
494
$
(121
)
Three Months
Three Months
Nine Months
Ended
Ended
Ended
September 30,
June 30,
September 30,
(in millions), (unaudited)
2025
2024
Change
2025
Change
2025
2024
Change
Net gain (loss) on investments, net of NCI - CIPs
Private equity
$
(14
)
$
9
$
(23
)
$
25
$
(39
)
$
59
$
32
$
27
Real assets
3
13
(10
)
1
2
2
19
(17
)
Other alternatives(3)
8
9
(1
)
3
5
20
33
(13
)
Other investments(4)
26
20
6
11
15
27
85
(58
)
Hedge gain (loss) on deferred cash
compensation plans(1)
14
9
5
45
(31
)
44
47
(3
)
Subtotal
37
60
(23
)
85
(48
)
152
216
(64
)
Other income/gain (expense/loss)(5)
(107
)
57
(164
)
393
(500
)
309
142
167
Total net gain (loss) on investments, net of
NCI - CIPs
(70
)
117
(187
)
478
(548
)
461
358
103
Interest and dividend income
113
236
(123
)
144
(31
)
430
555
(125
)
Interest expense
(135
)
(154
)
19
(173
)
38
(474
)
(372
)
(102
)
Net interest income (expense)
(22
)
82
(104
)
(29
)
7
(44
)
183
(227
)
Nonoperating income (expense), net of
NCI - CIPs
(92
)
199
(291
)
449
(541
)
417
541
(124
)
Less: Hedge gain (loss) on deferred cash
compensation plans(1)
14
9
5
45
(31
)
44
47
(3
)
Nonoperating income (expense), net of
NCI - CIPs, as adjusted(2)
$
(106
)
$
190
$
(296
)
$
404
$
(510
)
$
373
$
494
$
(121
)
(1)
Amounts relate to the gains (losses) from economically hedging certain BlackRock deferred cash compensation plans.
(2)
Management believes nonoperating income (expense), net of NCI - CIPs, as adjusted, is an effective measure for reviewing BlackRock’s nonoperating results, which ultimately impacts BlackRock’s book value. For more information on as adjusted items and the reconciliation to GAAP, see notes to the condensed consolidated statements of income and supplemental information on pages 14 through 16.
(3)
Amounts primarily include net gains (losses) related to credit funds, direct hedge fund strategies and hedge fund solutions.
(4)
Amounts primarily include net gains (losses) related to BlackRock's seed investment portfolio, net of impact of certain hedges.
(5)
Amounts for the three months ended September 30, 2025, include nonoperating noncash pre-tax loss in connection with the Company’s minority investment in Circle Internet Group, Inc. (“Circle”) of approximately $115 million and nonoperating noncash pre-tax gain in connection with the Company’s minority investment in iCapital Network, Inc. (“iCapital”) of approximately $24 million. Amounts for the nine months ended September 30, 2025, include nonoperating noncash pre-tax gains in connection with the Company’s minority investments in Circle of approximately $215 million, iCapital of approximately $89 million and Scalable Capital Limited of approximately $32 million. The amounts for the three and nine months ended September 30, 2024 included a pre-tax gain of approximately $66 million in connection with a transaction related to a minority investment in EquiLend Holdings, LLC. Additional amounts include earnings (losses) from certain equity method minority investments and noncash pre-tax gains (losses) related to the revaluation of certain other minority investments.
summary of INCOME TAX EXPENSE
Three Months
Three Months
Nine Months
Ended
Ended
Ended
September 30,
June 30,
September 30,
(in millions), (unaudited)
2025
2024
Change
2025
Change
2025
2024
Change
Income tax expense
$
470
$
574
$
(104
)
$
587
$
(117
)
$
1,305
$
1,341
$
(36
)
Effective tax rate
25.2
%
26.0
%
(80) bps
26.9
%
(170) bps
22.5
%
22.2
%
30 bps
13
RECONCILIATION OF GAAP OPERATING INCOME AND OPERATING MARGIN TO OPERATING INCOME AND OPERATING MARGIN, AS ADJUSTED
Three Months Ended
Nine Months Ended
September 30,
June 30,
September 30,
(in millions), (unaudited)
2025
2024
2025
2025
2024
Operating income, GAAP basis
$
1,955
$
2,006
$
1,731
$
5,384
$
5,499
Non-GAAP expense adjustments:
Compensation expense related to appreciation (depreciation)
on deferred cash compensation plans (a)
14
7
30
41
43
Amortization and impairment of intangible assets (b)
253
89
137
507
166
Acquisition-related compensation costs (b)
262
11
76
423
32
Acquisition-related transaction costs (b)(1)
44
17
10
93
52
Contingent consideration fair value adjustments (b)
93
(2
)
76
265
(8
)
Restructuring charge (c)
-
-
39
39
-
Operating income, as adjusted (1)
$
2,621
$
2,128
$
2,099
$
6,752
$
5,784
Revenue, GAAP basis
$
6,509
$
5,197
$
5,423
$
17,208
$
14,730
Non-GAAP adjustments:
Distribution fees
(355
)
(323
)
(320
)
(996
)
(951
)
Investment advisory fees
(283
)
(226
)
(256
)
(788
)
(655
)
Revenue used for operating margin measurement
$
5,871
$
4,648
$
4,847
$
15,424
$
13,124
Operating margin, GAAP basis
30.0
%
38.6
%
31.9
%
31.3
%
37.3
%
Operating margin, as adjusted (1)
44.6
%
45.8
%
43.3
%
43.8
%
44.1
%
(1)
Amounts included within general and administration expense.
See note (1) to the condensed consolidated statements of income and supplemental information on page 15 for more information on as adjusted items.
RECONCILIATION OF GAAP NONOPERATING INCOME (EXPENSE) TO NONOPERATING INCOME (EXPENSE), LESS NET INCOME (LOSS) ATTRIBUTABLE TO NCI - CIPs, AS ADJUSTED
Three Months Ended
Nine Months Ended
September 30,
June 30,
September 30,
(in millions), (unaudited)
2025
2024
2025
2025
2024
Nonoperating income (expense), GAAP basis
$
42
$
259
$
521
$
628
$
693
Less: Net income (loss) attributable to NCI - CIPs
134
60
72
211
152
Nonoperating income (expense), net of NCI - CIPs
(92
)
199
449
417
541
Less: Hedge gain (loss) on deferred cash compensation
plans (a)
14
9
45
44
47
Nonoperating income (expense), less net income (loss)
attributable to NCI - CIPs, as adjusted (2)
$
(106
)
$
190
$
404
$
373
$
494
See notes (1) and (2) to the condensed consolidated statements of income and supplemental information on pages 15 and 16 for more information on as adjusted items.
RECONCILIATION OF GAAP NET INCOME ATTRIBUTABLE TO BLACKROCK TO NET INCOME ATTRIBUTABLE TO BLACKROCK, AS ADJUSTED
Three Months Ended
Nine Months Ended
September 30,
June 30,
September 30,
(in millions, except per share data), (unaudited)
2025
2024
2025
2025
2024
Net income attributable to BlackRock, Inc., GAAP basis
$
1,323
$
1,631
$
1,593
$
4,426
$
4,699
Non-GAAP adjustments(1):
Net impact of hedged deferred cash compensation plans (a)
-
(2
)
(11
)
(2
)
(3
)
Amortization and impairment of intangible assets (b)
189
67
102
378
124
Acquisition-related compensation costs (b)
198
8
57
318
23
Acquisition-related transaction costs (b)
33
13
9
71
38
Contingent consideration fair value adjustments (b)
94
(2
)
97
263
(6
)
Restructuring charge (c)
-
-
29
29
-
Income tax matters
-
-
7
7
(137
)
Noncontrolling interest - Subco Units
70
-
-
70
-
Net income attributable to BlackRock, Inc., as adjusted (3)
$
1,907
$
1,715
$
1,883
$
5,560
$
4,738
Diluted weighted-average common shares outstanding
156.9
149.6
156.3
156.6
149.8
Weighted-average Subco Units
8.3
-
-
2.8
-
Diluted weighted-average common shares outstanding, as
adjusted (3)
165.2
149.6
156.3
159.4
149.8
Diluted earnings per common share, GAAP basis
$
8.43
$
10.90
$
10.19
$
28.21
$
31.37
Diluted earnings per common share, as adjusted (3)
$
11.55
$
11.46
$
12.05
$
34.89
$
31.63
(1)
Non-GAAP adjustments, excluding income tax matters, are net of tax.
See note (3) to the condensed consolidated statements of income and supplemental information on page 16 for more information on as adjusted items.
14
NOTES TO THE CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND SUPPLEMENTAL INFORMATION (unaudited)
BlackRock reports its financial results in accordance with GAAP; however, management believes evaluating the Company’s ongoing operating results may be enhanced if investors have additional non-GAAP financial measures. Adjustments to GAAP financial measures (“non-GAAP adjustments”) include certain items management deems nonrecurring or that occur infrequently, transactions that ultimately will not impact BlackRock’s book value or certain tax items that do not impact cash flow. Management reviews non-GAAP financial measures, in addition to GAAP financial measures, to assess ongoing operations and considers them to be helpful, for both management and investors, in evaluating BlackRock’s financial performance over time. Management also uses non-GAAP financial measures as a benchmark to compare its performance with other companies and to enhance comparability for the reporting periods presented.
Non-GAAP financial measures may pose limitations because they do not include all of BlackRock’s revenue and expense. BlackRock’s management does not advocate that investors consider such non-GAAP financial measures in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. Non-GAAP financial measures may not be comparable to other similarly titled measures of other companies.
Computations and reconciliations for all periods are derived from the condensed consolidated statements of income as follows:
(1) Operating income, as adjusted, and operating margin, as adjusted: Management believes operating income, as adjusted, and operating margin, as adjusted, are effective indicators of BlackRock’s financial performance over time, and, therefore, provide useful disclosure to investors. Management believes that operating margin, as adjusted, reflects the Company’s long-term ability to manage ongoing costs in relation to its revenues. The Company uses operating margin, as adjusted, to assess the Company’s financial performance, to determine the long-term and annual compensation of the Company’s senior-level employees and to evaluate the Company’s relative performance against industry peers. Furthermore, this metric eliminates margin variability arising from the accounting of revenues and expenses related to distributing different product structures in multiple distribution channels utilized by asset managers.
•
Operating income, as adjusted, includes the following non-GAAP expense adjustments:
(a)
Compensation expense related to appreciation (depreciation) on deferred cash compensation plans. The Company excludes compensation expense related to the market valuation changes on certain deferred cash compensation plans, which the Company hedges economically. For these deferred cash compensation plans, the final value of the deferred amount to be distributed to employees in cash upon vesting is determined based on the returns on specified investment funds. The Company recognizes compensation expense for the appreciation (depreciation) of the deferred cash compensation liability in proportion to the vested amount of the award during a respective period, while the net gain (loss) to economically hedge these plans is immediately recognized in nonoperating income (expense), which creates a timing difference impacting net income.
This timing difference will reverse and offset to zero over the life of the award at the end of the multi-year vesting period. Management believes excluding market valuation changes related to the deferred cash compensation plans in the calculation of operating income, as adjusted, provides useful disclosure to both management and investors of the Company’s financial performance over time as these amounts are economically hedged, while also increasing comparability with other companies.
(b)
Acquisition-related costs. Acquisition-related costs include adjustments related to amortization and noncash impairment of intangible assets, contingent consideration fair value adjustments (primarily associated with noncash contingent consideration) incurred in connection with certain acquisitions and other acquisition-related costs, including compensation costs for nonrecurring retention-related deferred compensation and general and administration expense primarily related to professional services. Management believes excluding the impact of these expenses when calculating operating income, as adjusted, provides a helpful indication of the Company’s financial performance over time, thereby providing helpful information for both management and investors while also increasing comparability with other companies.
(c)
Restructuring charge. In the second quarter of 2025, the Company recorded a restructuring charge, comprised of
severance and compensation expense for accelerated vesting of previously granted deferred compensation awards, in connection with an initiative to modify our organization to fit more closely with strategic priorities. Management believes excluding the impact of this restructuring charge when calculating operating income, as adjusted, is useful to assess the Company’s financial performance and ongoing operations, and enhances comparability among periods presented.
•
Revenue used for calculating operating margin, as adjusted, is reduced to exclude all of the Company’s distribution fees, which are recorded as a separate line item on the condensed consolidated statements of income, as well as a portion of investment advisory fees received that is used to pay distribution and servicing costs. For certain products, based on distinct arrangements, distribution fees are collected by the Company and then passed-through to third-party client intermediaries. For other products, investment advisory fees are collected by the Company and a portion is passed-through to third-party client intermediaries. However, in both structures, the third-party client intermediary similarly owns the relationship with the retail client and is responsible for distributing the product and servicing the client.
The amount of distribution and investment advisory fees fluctuates each period primarily based on a predetermined percentage of the value of AUM during the period. These fees also vary based on the type of investment product sold and the geographic location where it is sold. In addition, the Company may waive fees on certain products that could result in the reduction of payments to the third-party intermediaries.
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(2) Nonoperating income (expense), less net income (loss) attributable to NCI - CIPs, as adjusted: Management believes nonoperating income (expense), less net income (loss) attributable to NCI - CIPs, as adjusted, is an effective measure for reviewing BlackRock’s nonoperating contribution to its results and provides comparability of this information among reporting periods. Nonoperating income (expense), less net income (loss) attributable to NCI - CIPs, as adjusted, excludes the gain (loss) on the economic hedge of certain deferred cash compensation plans. As the gain (loss) on investments and derivatives used to hedge these compensation plans over time substantially offsets the compensation expense related to the market valuation changes on these deferred cash compensation plans, which is included in operating income, GAAP basis, management believes excluding the gain (loss) on the economic hedge of the deferred cash compensation plans when calculating nonoperating income (expense), less net income (loss) attributable to NCI - CIPs, as adjusted, provides a useful measure for both management and investors of BlackRock’s nonoperating results that impact book value.
(3) Net income attributable to BlackRock, Inc., as adjusted:
•
Management believes net income attributable to BlackRock, Inc., as adjusted, and diluted earnings per common share, as adjusted, are useful measures of BlackRock’s profitability and financial performance. Net income attributable to BlackRock, Inc., as adjusted, equals net income attributable to BlackRock, Inc., GAAP basis, adjusted for certain items management deems nonrecurring or that occur infrequently, transactions that ultimately will not impact BlackRock’s book value or certain tax items that do not impact cash flow.
For each period presented, the non-GAAP adjustments were tax effected at the respective blended rates applicable to the adjustments. In addition, the non-GAAP adjustment in the second quarter of 2025 related to contingent consideration fair value adjustments includes a tax impact associated with the deductibility of contingent consideration. In addition, the amount for income tax matters in 2024 included a discrete tax benefit of $137 million recognized in connection with the reorganization and establishment of a more efficient global intellectual property and technology platform and corporate structure. This discrete tax benefit has been excluded from as adjusted results due to the nonrecurring nature of the intellectual property reorganization.
•
In addition, beginning in the third quarter of 2025, in connection with the HPS Transaction, the Company updated its definition of net income attributable to BlackRock, Inc., as adjusted, diluted earnings per common share, as adjusted, and diluted weighted-average common shares outstanding, as adjusted, to assume all outstanding Subco Units issued as part of the consideration for the HPS Transaction have been exchanged in accordance with their terms on a one-for-one basis into common stock of BlackRock, as Subco Units will be exchangeable at the option of the holder when exchange rights begin. Accordingly, the noncontrolling interest related to these Subco Units has been included as part of net income attributable to BlackRock, Inc., as adjusted. Management believes that these updated non-GAAP measures are useful indicators of BlackRock’s profitability and enhance comparability among periods presented, and therefore are useful to investors.
•
Per share amounts reflect net income attributable to BlackRock, Inc., as adjusted, divided by diluted weighted-average common shares outstanding, as adjusted.
(4) ACV: Management believes ACV is an effective metric for reviewing BlackRock’s technology services and subscription's ongoing contribution to its operating results and provides comparability of this information among reporting periods while also providing a useful supplemental metric for both management and investors of BlackRock’s growth in technology services and subscription revenue over time, as it is linked to the net new business in technology and subscription services. ACV represents forward-looking, annualized estimated value of the recurring subscription fees under client contracts, assuming all client contracts that come up for renewal are renewed, unless we have received a notice of termination, even though such notice may not be effective until a later date.
ACV also includes the annualized estimated value of new sales, for existing and new clients, when we execute client contracts, even though the recurring fees may not be effective until a later date and excludes nonrecurring fees such as implementation and consulting fees.
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FORWARD-LOOKING STATEMENTS
This earnings release, and other statements that BlackRock may make, may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act, with respect to BlackRock’s future financial or business performance, strategies or expectations. Forward-looking statements are typically identified by words or phrases such as “trend,” “potential,” “opportunity,” “pipeline,” “believe,” “comfortable,” “expect,” “anticipate,” “current,” “intention,” “estimate,” “position,” “assume,” “outlook,” “continue,” “remain,” “maintain,” “sustain,” “seek,” “achieve,” and similar expressions, or future or conditional verbs such as “will,” “would,” “should,” “could,” “may” and similar expressions.
BlackRock cautions that forward-looking statements are subject to numerous assumptions, risks and uncertainties, which change over time and may contain information that is not purely historical in nature. Such information may include, among other things, projections and forecasts. There is no guarantee that any forecasts made will come to pass. Forward-looking statements speak only as of the date they are made, and BlackRock assumes no duty to and does not undertake to update forward-looking statements. Actual results could differ materially from those anticipated in forward-looking statements and future results could differ materially from historical performance.
BlackRock has previously disclosed risk factors in its Securities and Exchange Commission (“SEC”) reports. These risk factors and those identified elsewhere in this earnings release, among others, could cause actual results to differ materially from forward-looking statements or historical performance and include: (1) the introduction, withdrawal, success and timing of business initiatives and strategies; (2) changes and volatility in political, economic or industry conditions, the interest rate environment, foreign exchange rates or financial and capital markets, which could result in changes in demand for products or services or in the value of assets under management; (3) the relative and absolute investment performance of BlackRock’s investment products; (4) BlackRock’s ability to develop new products and services that address client preferences; (5) the impact of increased competition; (6) the impact of recent or future acquisitions or divestitures, including the acquisitions of GIP, Preqin and HPS (collectively, the “Transactions”); (7) BlackRock’s ability to integrate acquired businesses successfully, including the Transactions; (8) the unfavorable resolution of legal proceedings; (9) the extent and timing of any share repurchases; (10) the impact, extent and timing of technological changes and the adequacy of intellectual property, data, information and cybersecurity protection; (11) the failure to effectively manage the development and use of artificial intelligence; (12) attempts to circumvent BlackRock’s operational control environment or the potential for human error in connection with BlackRock’s operational systems; (13) the impact of legislative and regulatory actions and reforms, supervisory or enforcement actions of government agencies and governmental scrutiny relating to BlackRock; (14) changes in law and policy and uncertainty pending any such changes; (15) any failure to effectively manage conflicts of interest; (16) damage to BlackRock’s reputation; (17) increasing focus from stakeholders regarding environmental and social-related matters; (18) geopolitical unrest, terrorist activities, civil or international hostilities, and other events outside BlackRock’s control, including the Middle East conflicts, wars, global trade tensions, tariffs, natural disasters and health crises, which may adversely affect the general economy, domestic and local financial and capital markets, specific industries or BlackRock; (19) climate-related risks to BlackRock’s business, products, operations and clients; (20) the ability to attract, train and retain highly qualified professionals; (21) fluctuations in the carrying value of BlackRock’s economic investments; (22) the impact of changes to tax legislation, including income, payroll and transaction taxes, and taxation on products, which could affect the value proposition to clients and, generally, the tax position of BlackRock; (23) BlackRock’s success in negotiating distribution arrangements and maintaining distribution channels for its products; (24) the failure by key third-party providers to fulfill their obligations to BlackRock; (25) operational, technological and regulatory risks associated with BlackRock’s major technology partnerships; (26) any disruption to the operations of third parties whose functions are integral to BlackRock’s exchange-traded funds platform; (27) the impact of BlackRock electing to provide support to its products from time to time and any potential liabilities related to securities lending or other indemnification obligations; and (28) the impact of problems, instability or failure of other financial institutions or the failure or negative performance of products offered by other financial institutions.
BlackRock’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and BlackRock’s subsequent filings with the SEC, accessible on the SEC’s website at www.sec.gov and on BlackRock’s website at www.blackrock.com, discuss these factors in more detail and identify additional factors that can affect forward-looking statements. The information contained on the Company’s website is not a part of this earnings release.
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PERFORMANCE NOTES
Past performance is not indicative of future results. Except as specified, the performance information shown is as of September 30, 2025 and is based on preliminary data available at that time. The performance data shown reflects information for all actively and passively managed equity and fixed income accounts, including US registered investment companies, European-domiciled retail funds and separate accounts for which performance data is available, including performance data for high net worth accounts available as of August 31, 2025. The performance data does not include accounts terminated prior to September 30, 2025 and accounts for which data has not yet been verified. If such accounts had been included, the performance data provided may have substantially differed from that shown.
Performance comparisons shown are gross-of-fees for institutional and high net worth separate accounts, and net-of-fees for retail funds. The performance tracking shown for index accounts is based on gross-of-fees performance and includes all institutional accounts and all iShares funds globally using an index strategy. AUM information is based on AUM available as of September 30, 2025 for each account or fund in the asset class shown without adjustment for overlapping management of the same account or fund. Fund performance reflects the reinvestment of dividends and distributions.
Performance shown is derived from applicable benchmarks or peer median information, as selected by BlackRock, Inc. Peer medians are based in part on data either from Lipper, Inc. or Morningstar, Inc. for each included product.
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Mentions · how they’re counted
| Category | Underlined | Word counter | Model’s count |
|---|---|---|---|
| AI AI, artificial intelligence, generative AI, machine learning, large language model, LLM | 1 | — | — |
| Layoffs layoffs, RIF, headcount reduction, workforce optimization, restructuring | 10 | — | — |
| Recession recession, downturn, contraction, slowdown | 0 | — | — |
| Tariffs tariff, trade war, trade barriers, trade restrictions, trade policy | 1 | — | — |
| Buybacks share repurchase, buyback program | 2 | — | — |
Underlines use the same word lists the scores use. AI, recession and tariffs follow Palanor’s word counter, so those counts match it exactly on the same text. Layoffs and buybacks use the terms the model was given. The model’s count is an estimate by meaning, not by string, so it can differ from the underlines.
Source: SEC EDGAR · public domain · Highlights by Palanor