EX-99.12d876858dex991.htmEX-99.1 EX-99.1
Exhibit 99.1
Blackstone Reports Fourth Quarter and
Full Year 2024 Results
New York, January 30,
2025: Blackstone (NYSE:BX) today reported its fourth quarter and full year 2024 results.
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 issued a full detailed presentation of its fourth quarter and full year 2024 results, which can be viewed
at www.blackstone.com.
Dividend
Blackstone has declared a quarterly dividend of
$1.44 per share to record holders of common stock at the close of
business on February 10, 2025. This dividend will be paid on February 18,
2025.
Quarterly Investor Call Details
Blackstone will
host its fourth quarter and full year 2024 investor conference via public webcast on January 30,
2025 at 9:00 a.m. ET. To register, please use
the following link:
https://event.webcasts.com/starthere.jsp?ei=1703516&tp_key=a150fca554. For those unable to listen to the live
Blackstone
345 Park
Avenue, New York, NY 10154
T 212 583 5000
www.blackstone.com
broadcast, there will be a webcast replay on the Shareholders section of Blackstone’s website at
https://ir.blackstone.com/.
About Blackstone
Blackstone is the world’s largest
alternative asset manager. We seek to deliver compelling returns for institutional
and individual investors by strengthening the companies in which we
invest. Our more than $1.1 trillion in assets
under management include global investment strategies focused on real estate, private equity,
infrastructure, life
sciences, growth equity, credit, real assets, secondaries and hedge funds. Further information is available at
www.blackstone.com. Follow @blackstone
on LinkedIn, X (Twitter), and Instagram.
Forward-Looking Statements
This presentation may contain
forward-looking statements within the meaning of Section 27A of the Securities Act
of 1933, as amended, and Section 21E of the Securities Exchange
Act of 1934, as amended, which reflect our
current views with respect to, among other things, our operations, taxes, earnings and financial performance,
share
repurchases and dividends. You can identify these forward-looking statements by the use of words such as
“outlook,” “indicator,” “believes,” “expects,” “potential,” “continues,” “may,”
“will,” “should,” “seeks,”
“approximately,” “predicts,” “intends,” “plans,”
“scheduled,” “estimates,” “anticipates,” “opportunity,” “leads,”
“forecast” or the negative
version of these words or other comparable words. Such forward-looking statements are
subject to various risks and uncertainties. Accordingly, there are or
will be important factors that could cause
actual outcomes or results to differ materially from those indicated in these statements. We believe these factors
include but are not limited to those described under the section entitled “Risk Factors” in our Annual Report on
Form 10-K for the year ended December 31, 2023, as such factors may be updated from time to time in our periodic
filings with the United States Securities and Exchange Commission (“SEC”), which are accessible on the SEC’s
website at www.sec.gov. These factors should not be construed as exhaustive and should be read in conjunction
with the other cautionary statements that are included in this report and in our other periodic filings. The forward-
looking statements speak only as of the date of this report, and we undertake no obligation to publicly update or
review any forward-looking statement, whether as a result of new information, future developments or otherwise.
2
This presentation does not constitute an offer of any Blackstone Fund.
Investor and Media Relations Contacts
Weston Tucker
Blackstone
Tel: +1 (212) 583-5231
tucker@blackstone.com
Christine Anderson
Blackstone
Tel: +1 (212) 583-5182
christine.anderson@blackstone.com
3
Blackstone’s Fourth
Quarter and Full Year
2024 Earnings
JANUARY 30, 2025
BLACKSTONE’S FOURTH QUARTER AND FULL YEAR 2024 GAAP RESULTS
§
GAAP Net Income was $1.3 billion for the quarter and $5.4 billion for the year. GAAP Net Income Attributable to Blackstone Inc. was $704 million for the quarter and $2.8 billion for the year.
($ in thousands, except per share data) (unaudited)
4Q’23
4Q’24
FY’23
FY’24
Revenues
Management and Advisory Fees, Net
$
1,648,132
$
1,879,581
$
6,671,260
$
7,188,936
Incentive Fees
240,417
404,744
695,171
964,178
Performance Allocations
(362,474
)
507,150
532,173
3,829,153
Principal Investments
(298,549
)
36,989
(299,331
)
712,849
Interest and Dividend Revenue
168,374
98,547
516,497
411,159
Other
(110,880
)
155,554
(92,929
)
123,693
Total Revenues
$
1,285,020
$
3,082,565
$
8,022,841
$
13,229,968
Expenses
Compensation and Benefits
543,078
1,039,203
3,312,970
4,994,053
General, Administrative and Other
289,691
339,086
1,117,305
1,361,909
Interest Expense
108,732
115,532
431,868
443,688
Fund Expenses
69
6,296
118,987
19,676
Total Expenses
$
941,570
$
1,500,117
$
4,981,130
$
6,819,326
Other Income (Loss)
$
(188,370
)
$
(21,171
)
$
(83,997
)
$
48,838
Income Before Provision for
Taxes
$
155,080
$
1,561,277
$
2,957,714
$
6,459,480
Provision for Taxes
45,957
232,451
513,461
1,021,671
Net Income
$
109,123
$
1,328,826
$
2,444,253
$
5,437,809
Redeemable NCI in Consolidated
Entities
(163,929
)
306
(245,518
)
(61,289
)
Non-Redeemable NCI in Consolidated Entities
121,252
624,647
1,298,891
2,722,590
Net Income Attributable to
Blackstone Inc. (‘‘BX’’)
$
151,800
$
703,873
$
1,390,880
$
2,776,508
Net Income Per Share of Common Stock,
Basic
$
0.20
$
0.92
$
1.84
$
3.62
Net Income Per Share of Common
Stock, Diluted
$
0.20
$
0.92
$
1.84
$
3.62
Throughout this presentation, all current period amounts are preliminary and unaudited. Totals may not add due to rounding. See pages 36-38, Definitions and
Dividend Policy, for definitions of terms used throughout this presentation. NCI means non-controlling interests.
Blackstone | 1
BLACKSTONE’S FOURTH QUARTER AND FULL YEAR 2024 HIGHLIGHTS
Financial Measures
§ Fee Related Earnings (“FRE”) of $1.8 billion ($1.50/share) in the quarter
– FRE was $5.3 billion for the year ($4.32/share)
§ Distributable Earnings (“DE”) of $2.2 billion ($1.69/share) in the quarter
– DE was
$6.0 billion for the year ($4.64/share)
§ Net Accrued Performance Revenues of $6.3 billion ($5.14/share)
Capital Metrics
§ Total Assets Under Management (“AUM”) of $1,127.2 billion
– Fee-Earning AUM of $830.7 billion
– Perpetual
Capital AUM of $444.8 billion
§ Inflows of $57.5 billion in the quarter and $171.5 billion for the year
§ Deployment of $41.6 billion in the quarter and $133.9 billion for the year
§ Realizations of $25.9 billion in the quarter and $87.1 billion for the year
Capital Returned
to Shareholders
§ Dividend of $1.44 per common share payable on February 18, 2025
– Dividends of $3.95 per common share for the year
§ Repurchased 0.3 million common shares in the quarter and 4.0 million common shares
for the year
§ $1.9 billion to be distributed to shareholders with respect to the fourth quarter and
$5.6 billion for the year through dividends and share repurchases
Blackstone | 2
BLACKSTONE’S FOURTH QUARTER AND FULL YEAR 2024 SEGMENT EARNINGS
% Change
% Change
($ in thousands, except per share data)
4Q’23
4Q’24
vs. 4Q’23
FY’23
FY’24
vs. FY’23
Management and Advisory Fees, Net
$
1,653,831
$
1,859,291
12%
$
6,663,244
$
7,133,534
7%
Fee Related Performance
Revenues
168,994
1,399,276
728%
858,527
2,135,945
149%
Fee Related Compensation
(470,408
)
(1,077,477
)
129%
(2,088,110
)
(2,739,322
)
31%
Other Operating Expenses
(310,874
)
(345,169
)
11%
(1,084,333
)
(1,248,092
)
15%
Fee Related Earnings
$
1,041,543
$
1,835,921
76%
$
4,349,328
$
5,282,065
21%
Realized Performance
Revenues
693,213
865,080
25%
2,061,102
2,287,031
11%
Realized Performance Compensation
(287,628
)
(289,595
)
1%
(896,017
)
(951,246
)
6%
Realized Principal Investment
Income
19,202
25,613
33%
110,932
92,526
(17)%
Net Realizations
424,787
601,098
42%
1,276,017
1,428,311
12%
Total Segment Distributable
Earnings
$
1,466,330
$
2,437,019
66%
$
5,625,345
$
6,710,376
19%
Distributable Earnings
$
1,388,180
$
2,169,493
56%
$
5,060,955
$
5,966,742
18%
Additional Metrics:
Net Income Per Share of Common Stock, Basic
$
0.20
$
0.92
360%
$
1.84
$
3.62
97%
FRE per Share
$
0.86
$
1.50
74%
$
3.58
$
4.32
21%
DE per Common Share
$
1.11
$
1.69
52%
$
3.95
$
4.64
17%
Total Segment Revenues
$
2,535,240
$
4,149,260
64%
$
9,693,805
$
11,649,036
20%
Total Assets Under Management
$
1,040,192,447
$
1,127,179,996
8%
$
1,040,192,447
$
1,127,179,996
8%
Fee-Earning Assets Under Management
$
762,607,902
$
830,708,603
9%
$
762,607,902
$
830,708,603
9%
Fee Related Earnings per Share is based on end of period DE Shares Outstanding (see page 24, Share Summary). DE per Common Share is based on DE
Attributable
to Common Shareholders (see page 23, Shareholder Dividends) and end of period Participating Common Shares outstanding. Full year FRE per Share and
DE per
Common Share amounts represent the sum of the last four quarters. See pages 32-33 for the Reconciliation of GAAP
to Total Segment Measures.
Blackstone | 3
INVESTMENT PERFORMANCE AND NET ACCRUED PERFORMANCE REVENUES
§
Net Accrued Performance Revenues declined quarter-over-quarter to $6.3 billion ($5.14/share) primarily due to realized distributions across strategies.
Investment Performance
(appreciation / gross returns)
4Q’24
FY’24
Real Estate
Opportunistic
(5.1)%
(3.7)%
Core+
(0.8)%
0.1%
Private Equity
Corporate Private Equity
4.9%
16.6%
Tactical Opportunities
3.5%
10.1%
Secondaries
2.8%
7.8%
Infrastructure
4.8%
21.0%
Credit & Insurance
Private Credit
3.1%
15.7%
Liquid Credit
2.4%
9.5%
Multi-Asset Investing
Absolute Return Composite
3.7%
13.2%
Net Accrued Performance Revenues
($ in millions)
Investment Performance represents fund appreciation for Real Estate and Private Equity and gross returns for Credit & Insurance and
Multi-Asset Investing.
Secondaries appreciation excludes GP Stakes. Private Credit net returns were 2.2% and 11.6% for 4Q’24 and FY’24, respectively.
Liquid Credit net returns were
2.3% and 9.0% for 4Q’24 and FY’24, respectively. Absolute Return Composite net returns were 3.3% and 12.0% for
4Q’24 and FY’24, respectively. See notes on
page 34 for additional details on investment performance.
Blackstone | 4
CAPITAL METRICS – ADDITIONAL DETAIL
§
Inflows were $57.5 billion in the quarter, bringing full year inflows to $171.5 billion.
§
Deployed $41.6 billion in the quarter and $133.9 billion for the year.
–
Committed an additional $20.5 billion that was not yet deployed in the quarter.
§
Realizations were $25.9 billion in the quarter and $87.1 billion for the year.
Inflows
Capital Deployed
Realizations
($ in millions)
4Q’24
FY’24
4Q’24
FY’24
4Q’24
FY’24
Real Estate
$
8,094
$
27,941
$
7,015
$
25,280
$
5,457
$
22,164
Opportunistic
1,491
5,030
4,676
13,799
1,026
3,836
Core+
2,962
11,555
686
3,705
2,254
10,152
Debt Strategies
3,642
11,356
1,653
7,777
2,177
8,177
Private Equity
11,617
41,285
12,133
42,191
10,566
28,931
Corporate Private Equity
5,909
19,529
3,845
19,514
6,376
15,565
Tactical Opportunities
1,117
4,820
1,079
5,998
963
3,605
Secondaries
1,774
6,693
4,328
11,380
2,587
7,939
Infrastructure
2,818
10,243
2,880
5,299
640
1,821
Credit & Insurance
34,181
91,200
21,633
63,783
8,698
33,319
Multi-Asset Investing
3,607
11,032
793
2,609
1,179
2,729
Total Blackstone
$
57,500
$
171,459
$
41,574
$
133,863
$
25,900
$
87,142
Corporate Private Equity also includes Life Sciences, Growth, BTAS, and BXPE. AUM and related capital metrics are reported in the segment where
the assets are
managed.
Blackstone | 5
ASSETS UNDER MANAGEMENT
§
Total AUM increased to $1,127.2 billion, up 8% year-over-year, with $57.5 billion of inflows in the quarter and $171.5 billion for the year.
§
Fee-Earning AUM of $830.7 billion was up 9% year-over-year, with $39.2 billion of inflows in the quarter
and $155.4 billion for the year.
§
Perpetual Capital AUM reached $444.8 billion, up 12% year-over-year.
–
Fee-Earning Perpetual Capital AUM increased to $380.1 billion, representing 46% of Fee-Earning AUM.
Multi-Asset Investing had zero and $247 million of Perpetual Capital AUM as of 4Q’23 and 4Q’24, respectively.
Blackstone | 6
ADDITIONAL CAPITAL DETAIL
§
Invested Performance Eligible AUM reached $560.6 billion at quarter end.
§
Undrawn capital (“Total Dry Powder”) available for investment of $168.6 billion.
Invested Performance Eligible AUM represents the fair value of invested assets that are eligible to earn performance revenues.
Blackstone | 7
Segment Highlights
Blackstone | 8
SEGMENT DISTRIBUTABLE EARNINGS COMPOSITION
§
4Q’24 Total Segment Distributable Earnings were $2.4 billion.
§
Full year Total Segment Distributable Earnings were $6.7 billion.
Segment Distributable Earnings
($ in millions)
Blackstone | 9
REAL ESTATE
§
Total AUM: $315.4 billion with inflows of $8.1 billion in the quarter and $27.9 billion for the year.
–
Inflows in the quarter included $1.9 billion in the fifth real estate debt strategies fund, $1.0 billion in the
seventh European opportunistic fund, $905 million of capital raised in BREIT, and
$403 million in Blackstone
Americas Logistics within Core+.
§
Capital Deployed: $7.0 billion in the quarter, including the acquisition of AirTrunk in BREP, and $25.3 billion for the
year.
–
Committed an additional $2.7 billion in the quarter, including both the announced take private of Retail
Opportunity Investments in BREP, and the announced Tokyo Garden Terrace Kioicho acquisition in BREP, a
major
mixed-use complex in Tokyo.
§
Realizations: $5.5 billion in the quarter and $22.2 billion for the year.
§
Appreciation: Opportunistic funds declined (5.1)% in the quarter and (3.7)% for the year; Core+ funds declined
(0.8)% in the quarter and appreciated 0.1% for the year.
% Change
% Change
($ in thousands)
4Q’23
4Q’24
vs. 4Q’23
FY’23
FY’24
vs. FY’23
Management Fees, Net
$
698,500
$
701,835
0%
$
2,843,358
$
2,875,277
1%
Fee Related Performance Revenues
14,352
433
(97)%
294,240
203,425
(31)%
Fee Related Compensation
(139,880
)
(149,425
)
7%
(675,880
)
(674,965
)
(0)%
Other Operating Expenses
(95,846
)
(97,442
)
2%
(325,050
)
(380,321
)
17%
Fee Related Earnings
$
477,126
$
455,401
(5)%
$
2,136,668
$
2,023,416
(5)%
Realized Performance Revenues
96,122
19,513
(80)%
244,358
200,974
(18)%
Realized Performance Compensation
(42,728
)
(9,092
)
(79)%
(123,299
)
(101,011
)
(18)%
Realized Principal Investment Income (Loss)
3,909
(1,145
)
n/m
7,628
14,522
90%
Net Realizations
57,303
9,276
(84)%
128,687
114,485
(11)%
Segment Distributable Earnings
$
534,429
$
464,677
(13)%
$
2,265,355
$
2,137,901
(6)%
Segment Revenues
$
812,883
$
720,636
(11)%
$
3,389,584
$
3,294,198
(3)%
Total AUM
$
336,940,096
$
315,353,132
(6)%
$
336,940,096
$
315,353,132
(6)%
Fee-EarningAUM
$
298,889,475
$
278,914,938
(7)%
$
298,889,475
$
278,914,938
(7)%
Blackstone | 10
PRIVATE EQUITY
§
Total AUM: Increased 12% to $352.2 billion with inflows of $11.6 billion in the quarter and $41.3 billion for the year.
–
Inflows in the quarter included $2.8 billion in Infrastructure, $1.9 billion in Life Sciences, $1.8 billion in
Secondaries, $1.1 billion in Tactical Opportunities, and $931 million for our
energy transition fund.
–
$1.3 billion of capital raised in BXPE, including amounts allocated to other strategies.
–
On January 2, launched Blackstone Infrastructure Strategies (“BXINFRA”), a continuously offered infrastructure strategy which raised over $1.0 billion.
§
Capital Deployed: $12.1 billion in the quarter, including AirTrunk, Adevinta, and Sediver, and $42.2 billion for the
year; committed an additional $9.9 billion in the quarter, including Jersey
Mike’s and Inhabit.
§
Realizations: $10.6 billion in the quarter, including Alinamin, Cliff Swallow, and International Gemological Institute,
and $28.9 billion for the year.
§
Fee Related Performance Revenues: $1.2 billion in the quarter driven by the three-year crystallization in
Infrastructure and the first significant crystallization in BXPE.
% Change
% Change
($ in thousands)
4Q’23
4Q’24
vs. 4Q’23
FY’23
FY’24
vs. FY’23
Management and Advisory Fees, Net
$
500,303
$
629,402
26%
$
2,007,592
$
2,198,280
9%
Fee Related Performance Revenues
-
1,170,857
n/m
-
1,185,428
n/m
Fee Related Compensation
(137,082
)
(674,551
)
392%
(619,678
)
(1,164,237
)
88%
Other Operating Expenses
(90,309
)
(117,178
)
30%
(329,221
)
(391,309
)
19%
Fee Related Earnings
$
272,912
$
1,008,530
270%
$
1,058,693
$
1,828,162
73%
Realized Performance Revenues
322,701
344,133
7%
1,343,865
1,392,447
4%
Realized Performance Compensation
(146,184
)
(138,449
)
(5)%
(584,154
)
(633,491
)
8%
Realized Principal Investment Income
7,662
15,174
98%
76,220
52,356
(31)%
Net Realizations
184,179
220,858
20%
835,931
811,312
(3)%
Segment Distributable Earnings
$
457,091
$
1,229,388
169%
$
1,894,624
$
2,639,474
39%
Segment Revenues
$
830,666
$
2,159,566
160%
$
3,427,677
$
4,828,511
41%
Total AUM
$
314,391,397
$
352,168,635
12%
$
314,391,397
$
352,168,635
12%
Fee-EarningAUM
$
176,997,265
$
212,182,896
20%
$
176,997,265
$
212,182,896
20%
BXPE represents the aggregate BXPE fund platform, which comprises both U.S. and non-U.S. vehicles.
Blackstone | 11
CREDIT & INSURANCE
§
Total AUM: Increased 20% to $375.5 billion with inflows of $34.2 billion in the quarter and $91.2 billion for the year.
–
Inflows in the quarter included $14.5 billion for the global direct lending strategy, inclusive of $3.1 billion of
equity raised for BCRED, and $9.9 billion for infrastructure and asset based credit
strategies.
–
The fifth opportunistic private credit strategy had $1.2 billion of inflows in the quarter, bringing total investable
capital to $4.2 billion.
–
Closed 5 new U.S. CLOs for $2.5 billion.
§
Capital Deployed: $21.6 billion in the quarter and $63.8 billion for the year driven by U.S. direct lending as well as
infrastructure and asset based credit strategies.
–
Committed an additional $7.2 billion that was not yet deployed in the quarter.
§
Realizations: $8.7 billion in the quarter and $33.3 billion for the year.
§
Returns: Private Credit gross return of 3.1% (2.2% net) and Liquid Credit gross return of 2.4% (2.3% net) in the
quarter.
–
Private Credit gross return of 15.7% (11.6% net) and Liquid Credit gross return of 9.5% (9.0% net) for the year.
% Change
% Change
($ in thousands)
4Q’23
4Q’24
vs. 4Q’23
FY’23
FY’24
vs. FY’23
Management Fees, Net
$
339,829
$
403,743
19%
$
1,338,041
$
1,581,807
18%
Fee Related Performance Revenues
154,642
227,986
47%
564,287
747,092
32%
Fee Related Compensation
(156,819
)
(222,962
)
42%
(628,064
)
(755,620
)
20%
Other Operating Expenses
(94,538
)
(100,674
)
6%
(323,773
)
(371,354
)
15%
Fee Related Earnings
$
243,114
$
308,093
27%
$
950,491
$
1,201,925
26%
Realized Performance Revenues
135,746
163,799
21%
317,620
313,092
(1)%
Realized Performance Compensation
(60,694
)
(70,266
)
16%
(140,210
)
(129,814
)
(7)%
Realized Principal Investment Income
5,999
8,544
42%
21,752
39,855
83%
Net Realizations
81,051
102,077
26%
199,162
223,133
12%
Segment Distributable Earnings
$
324,165
$
410,170
27%
$
1,149,653
$
1,425,058
24%
Segment Revenues
$
636,216
$
804,072
26%
$
2,241,700
$
2,681,846
20%
Total AUM
$
312,674,037
$
375,507,818
20%
$
312,674,037
$
375,507,818
20%
Fee-EarningAUM
$
218,188,936
$
264,617,560
21%
$
218,188,936
$
264,617,560
21%
Blackstone | 12
MULTI-ASSET INVESTING
§
Total AUM: Increased 10% to $84.2 billion with inflows of $3.6 billion in the quarter and $11.0 billion for the year.
§
Returns: Absolute Return Composite gross return of 3.7% in the quarter (3.3% net), outperforming the HFRX Global
Hedge Fund Index, which was 0.2%.
–
Absolute Return benefited from performance across strategies, including quantitative, macro, and equities
during the quarter.
–
Gross returns of 13.2% for the year (12.0% net), with significantly less volatility than the broader markets,
compared to 5.3% return for the HFRX Global Hedge Fund Index.
% Change
% Change
($ in thousands)
4Q’23
4Q’24
vs. 4Q’23
FY’23
FY’24
vs. FY’23
Management Fees, Net
$
115,199
$
124,311
8%
$
474,253
$
478,170
1%
Fee Related Compensation
(36,627
)
(30,539
)
(17)%
(164,488
)
(144,500
)
(12)%
Other Operating Expenses
(30,181
)
(29,875
)
(1)%
(106,289
)
(105,108
)
(1)%
Fee Related Earnings
$
48,391
$
63,897
32%
$
203,476
$
228,562
12%
Realized Performance Revenues
138,644
337,635
144%
155,259
380,518
145%
Realized Performance Compensation
(38,022
)
(71,788
)
89%
(48,354
)
(86,930
)
80%
Realized Principal Investment Income (Loss)
1,632
3,040
86%
5,332
(14,207
)
n/m
Net Realizations
102,254
268,887
163%
112,237
279,381
149%
Segment Distributable Earnings
$
150,645
$
332,784
121%
$
315,713
$
507,943
61%
Segment Revenues
$
255,475
$
464,986
82%
$
634,844
$
844,481
33%
Total AUM
$
76,186,917
$
84,150,411
10%
$
76,186,917
$
84,150,411
10%
Fee-EarningAUM
$
68,532,226
$
74,993,209
9%
$
68,532,226
$
74,993,209
9%
Blackstone | 13
Supplemental Details
Blackstone | 14
TOTAL SEGMENTS
($ in thousands)
4Q’23
1Q’24
2Q’24
3Q’24
4Q’24
FY’23
FY’24
Base Management Fees
$
1,605,948
$
1,644,730
$
1,651,566
$
1,710,941
$
1,773,645
$
6,465,847
$
6,780,882
Transaction, Advisory and Other Fees, Net
52,836
66,938
132,536
82,506
117,708
235,892
399,688
Management Fee Offsets
(4,953
)
(4,097
)
(4,164
)
(6,713
)
(32,062
)
(38,495
)
(47,036
)
Total Management and Advisory Fees, Net
1,653,831
1,707,571
1,779,938
1,786,734
1,859,291
6,663,244
7,133,534
Fee Related Performance Revenues
168,994
295,501
177,067
264,101
1,399,276
858,527
2,135,945
Fee Related Compensation
(470,408
)
(554,077
)
(552,913
)
(554,855
)
(1,077,477
)
(2,088,110
)
(2,739,322
)
Other Operating Expenses
(310,874
)
(288,978
)
(293,122
)
(320,823
)
(345,169
)
(1,084,333
)
(1,248,092
)
Fee Related Earnings
$
1,041,543
$
1,160,017
$
1,110,970
$
1,175,157
$
1,835,921
$
4,349,328
$
5,282,065
Realized Performance Revenues
693,213
536,393
542,889
342,669
865,080
2,061,102
2,287,031
Realized Performance Compensation
(287,628
)
(253,024
)
(251,057
)
(157,570
)
(289,595
)
(896,017
)
(951,246
)
Realized Principal Investment Income
19,202
9,938
16,572
40,403
25,613
110,932
92,526
Total Net Realizations
$
424,787
$
293,307
$
308,404
$
225,502
$
601,098
$
1,276,017
$
1,428,311
Total Segment Distributable Earnings
$
1,466,330
$
1,453,324
$
1,419,374
$
1,400,659
$
2,437,019
$
5,625,345
$
6,710,376
Distributable Earnings
$
1,388,180
$
1,266,378
$
1,252,221
$
1,278,650
$
2,169,493
$
5,060,955
$
5,966,742
Additional Metrics:
Total Segment Revenues
$
2,535,240
$
2,549,403
$
2,516,466
$
2,433,907
$
4,149,260
$
9,693,805
$
11,649,036
Total Assets Under Management
$
1,040,192,447
$
1,061,262,748
$
1,076,371,811
$
1,107,628,362
$
1,127,179,996
$
1,040,192,447
$
1,127,179,996
Fee-Earning Assets Under
Management
$
762,607,902
$
781,397,555
$
808,656,801
$
820,457,203
$
830,708,603
$
762,607,902
$
830,708,603
Blackstone | 15
ASSETS UNDER MANAGEMENT – ROLLFORWARD
Total AUM Rollforward
($ in millions)
Three Months Ended December 31, 2024
Twelve Months Ended December 31, 2024
Real
Estate
Private
Equity
Credit &
Insurance
Multi-Asset
Investing
Total
Real
Estate
Private
Equity
Credit &
Insurance
Multi-Asset
Investing
Total
Beginning Balance
$
325,076
$
344,710
$
354,742
$
83,101
$
1,107,628
$
336,940
$
314,391
$
312,674
$
76,187
$
1,040,192
Inflows
8,094
11,617
34,181
3,607
57,500
27,941
41,285
91,200
11,032
171,459
Outflows
(3,047
)
(2,735
)
(3,907
)
(3,856
)
(13,545
)
(24,543
)
(7,226
)
(6,348
)
(9,688
)
(47,805
)
Net Flows
5,047
8,882
30,274
(248
)
43,955
3,398
34,059
84,853
1,344
123,654
Realizations
(5,457
)
(10,566
)
(8,698
)
(1,179
)
(25,900
)
(22,164
)
(28,931
)
(33,319
)
(2,729
)
(87,142
)
Market Activity
(9,312
)
9,142
(810
)
2,477
1,497
(2,820
)
32,648
11,300
9,348
50,476
Ending Balance
$
315,353
$
352,169
$
375,508
$
84,150
$
1,127,180
$
315,353
$
352,169
$
375,508
$
84,150
$
1,127,180
% Change
(3)%
2%
6%
1%
2%
(6)%
12%
20%
10%
8%
Fee-Earning AUM Rollforward
($ in millions)
Three Months Ended December 31, 2024
Twelve Months Ended December 31, 2024
Real
Estate
Private
Equity
Credit &
Insurance
Multi-Asset
Investing
Total
Real
Estate
Private
Equity
Credit &
Insurance
Multi-Asset
Investing
Total
Beginning Balance
$
285,488
$
208,682
$
251,567
$
74,720
$
820,457
$
298,889
$
176,997
$
218,189
$
68,532
$
762,608
Inflows
6,565
7,086
22,872
2,685
39,208
28,674
46,270
71,530
8,958
155,432
Outflows
(1,691
)
(1,729
)
(3,150
)
(3,615
)
(10,184
)
(23,207
)
(7,998
)
(6,392
)
(8,769
)
(46,365
)
Net Flows
4,874
5,358
19,722
(930
)
29,024
5,467
38,272
65,138
189
109,067
Realizations
(6,038
)
(3,791
)
(4,947
)
(1,102
)
(15,879
)
(23,409
)
(9,409
)
(23,840
)
(2,505
)
(59,163
)
Market Activity
(5,409
)
1,935
(1,725
)
2,305
(2,894
)
(2,033
)
6,322
5,131
8,777
18,197
Ending Balance
$
278,915
$
212,183
$
264,618
$
74,993
$
830,709
$
278,915
$
212,183
$
264,618
$
74,993
$
830,709
% Change
(2)%
2%
5%
0%
1%
(7)%
20%
21%
9%
9%
Inflows include contributions, capital raised, other increases in available capital (recallable capital and increased side-by-side commitments), purchases, inter-segment allocations and
acquisitions.
Outflows represent redemptions, client withdrawals and decreases in available capital (expired capital, expense drawdowns and decreased side-by-side commitments).
Realizations represent realization proceeds from the disposition or other monetization of assets, current income or capital returned to investors from CLOs. Market
Activity includes
realized and unrealized gains (losses) on portfolio investments and the impact of foreign exchange rate fluctuations. AUM is reported in the
segment where the assets are managed.
Blackstone | 16
DECONSOLIDATED BALANCE SHEET HIGHLIGHTS
§
At December 31, 2024, Blackstone had $9.7 billion in total cash, cash equivalents, corporate treasury, and other investments and $19.1 billion of cash and net investments, or $15.61 per share.
§
Blackstone has a $4.3 billion credit revolver and maintains A+/A+ ratings.
–
On December 6, 2024, Blackstone issued $750 million of 10-year notes at a 5.00% coupon.
($in millions)
4Q’24
Cash and Cash Equivalents
$
1,972
Corporate Treasury and
Other Investments
7,743
GP/Fund Investments
3,064
Net Accrued Performance Revenues
6,281
Cash and Net Investments
$
19,060
Outstanding Debt (at par)
11,361
Cash and Net Investments
(per share)
A+ / A+
rated by S&P and Fitch
$4.3B
credit revolver with
December 2028 maturity
$9.7B
total cash, corporate
treasury and other
Balance Sheet Highlights exclude the consolidated Blackstone Funds. Other Investments was $5.8 billion as of December 31, 2024, which was comprised of $5.3 billion of liquid investments and $495 million of illiquid investments.
See notes on pages 31 and 34 for additional details on non-GAAP balance sheet measures.
Blackstone | 17
NET ACCRUED PERFORMANCE REVENUES – ADDITIONAL DETAIL
($ in millions, except per share data)
4Q’23
3Q’24
4Q’24
4Q’24
Per Share
Real Estate
BREP Global
$
1,323
$
1,313
$
873
$
0.71
BREP Europe
109
130
126
0.10
BREP Asia
92
97
98
0.08
BPP
129
32
42
0.03
BREDS
32
18
27
0.02
BTAS
2
18
19
0.02
Real Estate
$
1,687
$
1,608
$
1,186
$
0.97
Private Equity
BCP Global
1,562
1,708
1,733
1.42
BCP Asia
182
260
334
0.27
Energy/Energy Transition
306
533
568
0.47
Core Private Equity
234
244
247
0.20
Tactical Opportunities
229
181
201
0.16
Secondaries
731
951
1,072
0.88
Infrastructure
333
568
84
0.07
Life Sciences
82
145
197
0.16
BTAS/BXPE
185
240
229
0.19
Private Equity
$
3,844
$
4,829
$
4,665
$
3.82
Credit & Insurance
$
286
$
450
$
401
$
0.33
Multi-Asset Investing
$
17
$
105
$
30
$
0.02
Net Accrued Performance
Revenues
$
5,835
$
6,992
$
6,281
$
5.14
4Q’24 QoQ Rollforward
($ in millions)
Net
Net
Performance
Realized
3Q’24
Revenues
Distributions
4Q’24
Real Estate
$
1,608
$
(412
)
$
(10
)
$
1,186
Private Equity
4,829
727
(891
)
4,665
Credit &
Insurance
450
170
(220
)
401
Multi-Asset
Investing
105
191
(266
)
30
Total
$
6,992
$
675
$
(1,386
)
$
6,281
QoQ Change
(10)%
FY’24 Rollforward
($ in
millions)
Net
Net
Performance
Realized
4Q’23
Revenues
Distributions
4Q’24
Real Estate
$
1,687
$
(212
)
$
(289
)
$
1,186
Private Equity
3,844
2,273
(1,453
)
4,665
Credit &
Insurance
286
734
(619
)
401
Multi-Asset Investing
17
306
(294
)
30
Total
$
5,835
$
3,101
$
(2,655
)
$
6,281
YoY Change
8%
Net Accrued Performance Revenues (“NAPR”) are presented net of performance compensation and excludes Performance Revenues realized but not yet distributed as of the reporting date
and clawback amounts, if any, which are disclosed in the 10-K/Q. Real Estate and Private Equity include co-investments, as applicable. Per Share calculations are based
on end of period DE Shares Outstanding (see page 24, Share Summary).
Blackstone | 18
INVESTMENT RECORDS AS OF DECEMBER 31, 2024(a)
($/€ in thousands, except
where noted)
Fund (Investment Period Beginning Date / Ending Date)
Committed
Capital
Available
Capital (b)
Unrealized Investments
Realized Investments
Total Investments
Net IRRs (d)
Value
MOIC (c)
Value
MOIC (c)
Value
MOIC (c)
Realized
Total
Real Estate
Pre-BREP - BREP IV
(Jan 1992 / Dec 2005)
$
5,441,163
$
-
$
-
n/a
$
12,219,526
2.0x
$
12,219,526
2.0x
24%
24%
BREP V (Dec 2005 / Feb 2007)
5,539,418
-
6,711
n/a
13,463,448
2.3x
13,470,159
2.3x
11%
11%
BREP VI (Feb 2007 / Aug 2011)
11,060,122
-
5,033
n/a
27,761,681
2.5x
27,766,714
2.5x
13%
13%
BREP VII (Aug 2011 / Apr 2015)
13,505,657
1,016,699
1,515,050
0.5x
28,733,571
2.2x
30,248,621
1.9x
18%
14%
BREP VIII (Apr 2015 / Jun 2019)
16,626,351
1,673,758
10,625,834
1.3x
22,891,220
2.3x
33,517,054
1.8x
23%
13%
BREP IX (Jun 2019 / Aug 2022)
21,349,948
3,313,697
22,447,870
1.3x
9,136,965
2.2x
31,584,835
1.4x
54%
10%
*BREP X (Aug 2022 / Feb 2028)
30,644,637
20,405,498
11,567,610
1.1x
632,157
1.2x
12,199,767
1.1x
7%
8%
Total Global BREP
$
104,167,296
$
26,409,652
$
46,168,108
1.2x
$
114,838,568
2.3x
$
161,006,676
1.8x
17%
15%
BREP Int’l I-II (Jan 2001 / Jun 2008) (e)
€
2,453,920
€
-
€
-
n/a
€
3,956,202
1.9x
€
3,956,202
1.9x
12%
12%
BREP Europe III (Jun 2008 / Sep 2013)
3,205,420
400,061
96,634
0.5x
5,896,568
2.1x
5,993,202
2.0x
15%
13%
BREP Europe IV (Sep 2013 / Dec 2016)
6,676,577
1,124,309
1,016,101
0.8x
10,170,138
1.9x
11,186,239
1.7x
17%
12%
BREP Europe V (Dec 2016 / Oct 2019)
7,997,397
814,656
4,251,304
0.8x
6,762,819
3.8x
11,014,123
1.5x
41%
7%
BREP Europe VI (Oct 2019 / Sep 2023)
9,934,901
3,037,326
8,529,750
1.2x
3,449,052
2.6x
11,978,802
1.4x
73%
11%
*BREP Europe VII (Sep 2023 / Mar 2029)
8,681,767
6,566,084
2,440,509
1.2x
-
n/a
2,440,509
1.2x
n/a
n/m
Total BREP Europe
€
38,949,982
€
11,942,436
€
16,334,298
1.0x
€
30,234,779
2.3x
€
46,569,077
1.6x
16%
11%
BREP Asia I (Jun 2013 / Dec 2017)
$
4,262,075
$
898,555
$
1,551,149
1.7x
$
7,250,832
1.9x
$
8,801,981
1.9x
16%
12%
BREP Asia II (Dec 2017 / Mar 2022)
7,356,455
1,274,879
6,161,561
1.2x
2,221,602
1.8x
8,383,163
1.3x
24%
4%
*BREP Asia III (Mar 2022 / Sep 2027)
8,226,453
5,475,691
2,721,116
1.0x
7,244
1.6x
2,728,360
1.0x
n/a
(14)%
Total BREP Asia
$
19,844,983
$
7,649,125
$
10,433,826
1.2x
$
9,479,678
1.9x
$
19,913,504
1.4x
16%
7%
BREP Co-Investment (f)
7,597,969
102,615
1,012,900
1.5x
15,268,392
2.2x
16,281,292
2.2x
16%
16%
Total BREP
$
177,144,079
$
46,965,122
$
75,840,496
1.1x
$
176,549,262
2.2x
$
252,389,758
1.7x
17%
14%
*BREDS High-Yield (Various) (g)
27,086,612
9,974,424
5,319,868
1.1x
21,728,008
1.3x
27,047,876
1.3x
10%
9%
Private Equity
Corporate Private Equity
BCP I-III (Oct 1987 / Nov 2002)
$
6,187,603
$
-
$
-
n/a
$
14,239,072
2.4x
$
14,239,072
2.4x
19%
19%
BCOM (Jun 2000 / Jun 2006)
2,137,330
24,575
195
n/a
2,995,106
1.4x
2,995,301
1.4x
6%
6%
BCP IV (Nov 2002 / Dec 2005)
6,773,182
195,824
374
n/a
21,720,334
2.9x
21,720,708
2.9x
36%
36%
BCP V (Dec 2005 / Jan 2011)
21,009,112
1,035,259
66,016
n/a
38,806,330
1.9x
38,872,346
1.9x
8%
8%
BCP VI (Jan 2011 / May 2016)
15,195,360
1,341,143
4,138,595
2.1x
28,966,019
2.3x
33,104,614
2.2x
14%
12%
BCP VII (May 2016 / Feb 2020)
18,870,216
1,462,359
17,565,769
1.6x
19,772,664
2.6x
37,338,433
2.0x
25%
13%
BCP VIII (Feb 2020 / Apr 2024)
25,909,120
8,773,377
24,105,211
1.4x
4,260,890
2.2x
28,366,101
1.5x
n/m
11%
*BCP IX (Apr 2024 / Apr 2029)
20,930,930
20,775,172
133,941
n/a
-
n/a
133,941
n/a
n/a
n/a
Energy I (Aug 2011 / Feb 2015)
2,441,558
174,492
543,965
1.7x
4,194,257
2.0x
4,738,222
2.0x
14%
11%
Energy II (Feb 2015 / Feb 2020)
4,920,591
867,138
4,549,724
2.2x
4,625,923
1.8x
9,175,647
2.0x
12%
9%
Energy III (Feb 2020 / Jun 2024)
4,356,820
1,739,292
5,001,338
2.0x
2,108,325
2.7x
7,109,663
2.2x
45%
28%
*Energy Transition IV (Jun 2024 / Jun 2029)
5,233,885
5,166,812
138,706
n/a
-
n/a
138,706
n/a
n/a
n/a
BCP Asia I (Dec 2017 / Sep 2021)
2,437,080
417,510
2,667,487
2.1x
2,847,272
3.2x
5,514,759
2.5x
46%
25%
*BCP Asia II (Sep 2021 / Sep 2027)
6,778,630
4,298,290
4,252,246
2.4x
352,291
4.0x
4,604,537
2.5x
n/m
51%
Core Private Equity I (Jan 2017 / Mar 2021) (h)
4,760,130
1,178,572
7,669,957
2.0x
2,918,512
5.2x
10,588,469
2.4x
59%
17%
*Core Private Equity II (Mar 2021 / Mar 2026) (h)
8,450,662
5,295,462
4,617,109
1.3x
502,247
n/a
5,119,356
1.5x
n/a
14%
Total Corporate Private Equity
$
156,392,209
$
52,745,277
$
75,450,633
1.7x
$
148,309,242
2.3x
$
223,759,875
2.0x
16%
15%
Tactical Opportunities
*Tactical Opportunities (Various)
31,012,258
12,380,961
15,895,619
1.3x
25,163,336
1.8x
41,058,955
1.6x
15%
10%
*Tactical Opportunities Co-Investmentand Other (Various)
12,561,612
2,132,801
5,978,820
1.3x
10,746,563
1.8x
16,725,383
1.5x
19%
16%
Total Tactical Opportunities
$
43,573,870
$
14,513,762
$
21,874,439
1.3x
$
35,909,899
1.8x
$
57,784,338
1.5x
16%
12%
The returns presented herein represent those of the applicable Blackstone Funds and not those of Blackstone Inc. n/m represents “not
meaningful” generally due to the limited time since initial investment. n/a represents “not applicable”. Notes on pages 21-22. BREP – Blackstone Real Estate Partners, BREDS –
Blackstone Real Estate Debt Strategies, BCP – Blackstone Capital Partners, BCOM – Blackstone Communications.
* Represents funds that are currently in
their investment period.
Blackstone | 19
INVESTMENT RECORDS AS OF DECEMBER 31, 2024(a) –
(CONT’D)
($/€ in thousands, except
where noted)
Fund (Investment Period Beginning Date / Ending Date)
Committed
Capital
Available
Capital (b)
Unrealized Investments
Realized Investments
Total Investments
Net IRRs (d)
Value
MOIC (c)
Value
MOIC (c)
Value
MOIC (c)
Realized
Total
Private Equity (continued)
Growth
*BXG I (Jul 2020 / Jul 2025)
$
5,008,477
$
922,294
$
3,801,964
1.0x
$
526,827
2.6x
$
4,328,791
1.1x
n/m
(2)%
BXG II (TBD)
4,204,439
4,204,439
-
n/a
-
n/a
-
n/a
n/a
n/a
Total Growth
$
9,212,916
$
5,126,733
$
3,801,964
1.0x
$
526,827
2.6x
$
4,328,791
1.1x
n/m
(2)%
Strategic Partners (Secondaries)
Strategic PartnersI-V (Various) (i)
11,035,527
9,759
7,741
n/a
16,782,783
n/a
16,790,524
1.7x
n/a
13%
Strategic Partners VI (Apr 2014 / Apr 2016) (i)
4,362,772
597,770
625,434
n/a
4,445,551
n/a
5,070,985
1.7x
n/a
13%
Strategic Partners VII (May 2016 / Mar 2019) (i)
7,489,970
1,659,369
2,937,628
n/a
7,765,917
n/a
10,703,545
1.9x
n/a
16%
Strategic Partners Real Assets II (May 2017 / Jun 2020) (i)
1,749,807
523,693
1,312,353
n/a
1,173,420
n/a
2,485,773
1.8x
n/a
15%
Strategic Partners VIII (Mar 2019 / Oct 2021) (i)
10,763,600
3,770,674
7,841,009
n/a
6,876,095
n/a
14,717,104
1.8x
n/a
23%
*Strategic Partners Real Estate, SMA and Other (Various) (i)
7,455,591
2,136,862
2,541,983
n/a
2,525,494
n/a
5,067,477
1.5x
n/a
12%
Strategic Partners Infrastructure III (Jun 2020 / Jun 2024)
(i)
3,250,100
834,943
2,724,436
n/a
274,616
n/a
2,999,052
1.5x
n/a
20%
*Strategic Partners IX (Oct 2021 / Jan 2027) (i)
19,692,625
6,648,493
10,794,906
n/a
907,344
n/a
11,702,250
1.3x
n/a
18%
*Strategic Partners GP Solutions (Jun 2021 / Dec 2026)
(i)
2,095,211
690,975
936,543
n/a
3,947
n/a
940,490
1.0x
n/a
(3)%
*Strategic Partners Infrastructure IV (Jul 2024 / Jun 2029) (i)
2,432,184
1,878,879
-
n/a
-
n/a
-
n/a
n/a
n/a
Total Strategic Partners (Secondaries)
$
70,327,387
$
18,751,417
$
29,722,033
n/a
$
40,755,167
n/a
$
70,477,200
1.6x
n/a
14%
Life Sciences
Clarus IV (Jan 2018 / Jan 2020)
910,000
56,714
739,540
2.2x
566,712
1.4x
1,306,252
1.7x
6%
10%
*BXLS V (Jan 2020 / Jan 2025)
5,039,842
2,358,846
4,435,679
2.0x
491,187
1.3x
4,926,866
1.8x
n/m
19%
Credit
Mezzanine / Opportunistic I (Jul 2007 / Oct 2011)
$
2,000,000
$
97,114
$
-
n/a
$
4,809,113
1.6x
$
4,809,113
1.6x
n/a
17%
Mezzanine / Opportunistic II (Nov 2011 / Nov 2016)
4,120,000
993,260
71,353
0.2x
6,678,087
1.4x
6,749,440
1.4x
n/a
9%
Mezzanine / Opportunistic III (Sep 2016 / Jan 2021)
6,639,133
1,105,632
2,078,013
1.2x
8,543,763
1.6x
10,621,776
1.5x
n/a
12%
*Mezzanine / Opportunistic IV (Jan 2021 / Jan 2026)
5,016,771
1,527,819
4,400,942
1.2x
1,778,323
1.6x
6,179,265
1.3x
n/a
14%
Mezzanine / Opportunistic V (TBD)
3,225,846
3,225,846
-
n/a
-
n/a
-
n/a
n/a
n/a
Stressed / Distressed I (Sep 2009 / May 2013)
3,253,143
-
-
n/a
5,777,098
1.3x
5,777,098
1.3x
n/a
9%
Stressed / Distressed II (Jun 2013 / Jun 2018)
5,125,000
547,430
115,300
0.2x
5,471,571
1.2x
5,586,871
1.1x
n/a
1%
Stressed / Distressed III (Dec 2017 / Dec 2022)
7,356,380
1,023,698
2,033,182
1.0x
4,850,806
1.5x
6,883,988
1.3x
n/a
10%
Energy I (Nov 2015 / Nov 2018)
2,856,867
1,154,819
246,914
0.8x
3,335,250
1.6x
3,582,164
1.5x
n/a
10%
Energy II (Feb 2019 / Jun 2023)
3,616,081
1,475,543
1,023,478
1.1x
2,766,095
1.4x
3,789,573
1.3x
n/a
16%
*Green Energy III (May 2023 / May 2028)
6,477,000
3,627,742
3,010,359
1.0x
202,453
n/a
3,212,812
1.1x
n/a
15%
European Senior Debt I (Feb 2015 / Feb 2019)
€
1,964,689
€
147,189
€
175,127
0.4x
€
2,981,872
1.3x
€
3,156,999
1.1x
n/a
1%
European Senior Debt II (Jun 2019 / Jun 2023) (j)
€
4,088,344
€
842,963
€
3,902,298
0.9x
€
3,017,599
2.6x
€
6,919,897
1.3x
n/a
10%
Total Credit Drawdown Funds (k)
$
56,591,880
$
15,804,206
$
17,201,715
0.9x
$
51,068,185
1.5x
$
68,269,900
1.3x
n/a
10%
The returns presented herein represent those of the applicable Blackstone Funds and not those of Blackstone Inc. n/m represents “not
meaningful” generally due to the limited time since initial investment. n/a represents “not applicable”. Notes on pages 21-22. BXG – Blackstone Growth, BXLS – Blackstone Life
Sciences.
* Represents funds that are currently in their investment period.
Blackstone | 20
INVESTMENT RECORDS AS OF DECEMBER 31, 2024(a) –
(CONT’D)
Selected Perpetual Capital
Strategies(l)
($ in thousands, except where noted)
Investment
Total
Total Net
Strategy (Inception Year)
Strategy
AUM
Return (m)
Real Estate
BPP - Blackstone Property Partners Platform (2013) (n)
Core+ Real Estate
$
61,401,469
5%
BREIT - Blackstone Real Estate Income Trust (2017) (o)
Core+ Real Estate
53,966,819
9%
BREIT - Class I (p)
Core+ Real Estate
9%
BXMT - Blackstone Mortgage Trust (2013) (q)
Real Estate Debt
5,814,824
6%
Private Equity
BSCH - Blackstone Strategic Capital Holdings (2014) (r)
Secondaries - GP Stakes
10,999,962
13%
BIP - Blackstone Infrastructure Partners (2019) (s)
Infrastructure
43,370,836
17%
BXPE - Blackstone Private Equity Strategies Fund Program (2024)
(t)
Private Equity
7,329,314
13%
BXPE - Class I (u)
Private Equity
14%
Credit
BXSL - Blackstone Secured Lending Fund (2018) (v)
U.S. Direct Lending
13,277,747
11%
BCRED - Blackstone Private Credit Fund (2021) (w)
U.S. Direct Lending
75,799,683
10%
BCRED - Class I (x)
U.S. Direct Lending
10%
Investment Records as of December 31, 2024 - Notes
(a)
Excludes investment vehicles where Blackstone does not earn fees.
(b)
Available Capital represents total investable capital commitments, including side-by-side, adjusted for certain expenses and expired or recallable capital and may include
leverage, less invested capital. This amount is not reduced by outstanding commitments to investments.
(c)
Multiple of Invested Capital (“MOIC”) represents carrying value, before management fees, expenses and
Performance Revenues, divided by invested capital.
(d)
Unless otherwise indicated, Net Internal Rate of Return (“IRR”) represents the annualized inception to
December 31, 2024 IRR on total invested capital based on realized
proceeds and unrealized value, as applicable, after management fees, expenses and Performance Revenues. IRRs are calculated using actual timing of limited partner
cash
flows. Initial inception date of cash flows may differ from the Investment Period Beginning Date.
(e)
The 12% Realized Net IRR and 12% Total Net IRR exclude investors that opted out of the Hilton investment
opportunity. Overall BREP International I-II performance
reflects a 10% Realized Net IRR and a 10% Total Net IRR.
(f)
BREP Co-Investment representsco-investment capital raised for various BREP investments. The Net IRR reflected is calculated by aggregating each co-investment’s
realized proceeds and
unrealized value, as applicable, after management fees, expenses and Performance Revenues.
(g)
BREDS High-Yield represents the flagship real estate debt drawdown funds only.
(h)
Blackstone Core Equity Partners is a core private equity strategy which invests with a more modest risk profile and
longer hold period than traditional private equity.
(i)
Strategic Partners’ Unrealized Investment Value, Realized Investment Value, Total Investment Value, Total MOIC
and Total Net IRRs are reported on a three-month lag
and therefore do not include the impact of economic and market activities in the current quarter. Realizations are treated as returns of capital until fully recovered and
therefore
Unrealized and Realized MOICs and Realized Net IRRs are not applicable. Committed Capital and Available Capital are presented as of the current quarter.
(j)
European Senior Debt II Levered has a net return of 15%, European Senior Debt II Unlevered has a net return of 8%.
(k)
Funds presented represent the flagship credit drawdown funds only. The Total Credit Net IRR is the combined IRR of
the credit drawdown funds presented.
(l)
Represents the performance for select Perpetual Capital Strategies; strategies excluded consist primarily of
(1) investment strategies that have been investing for less
than one year, (2) perpetual capital assets managed for certain insurance clients, and (3) investment vehicles where Blackstone does not earn fees.
The returns presented herein represent those of the applicable Blackstone Funds and not those of Blackstone Inc. n/m represents “not
meaningful” generally due to the limited time
since initial investment. n/a represents “not applicable”. Notes continue on page 22.
Blackstone | 21
INVESTMENT RECORDS AS OF DECEMBER 31, 2024(a) –
(CONT’D)
(m)
Unless otherwise indicated, Total Net Return represents the annualized inception to December 31, 2024 IRR on
total invested capital based on realized proceeds and
unrealized value, as applicable, after management fees, expenses and Performance Revenues. IRRs are calculated using actual timing of investor cash flows. Initial
inception date of cash
flows occurred during the Inception Year.
(n)
BPP represents the aggregate Total AUM and Total Net Return of the BPP Platform, which comprises over 30 funds, co-investment and separately managed account
vehicles. It includes certain vehicles managed as part of the BPP Platform but not classified as Perpetual Capital. As of December 31, 2024, these vehicles
represented
$2.8 billion of Total AUM.
(o)
The BREIT Total Net Return reflects a per share blended return, assuming BREIT had a single share class,
reinvestment of all dividends received during the period, and no
upfront selling commission, net of all fees and expenses incurred by BREIT. This return is not representative of the return experienced by any particular investor or share
class. Total Net Return is presented on an annualized basis and is from January 1, 2017.
(p)
Represents the Total Net Return for BREIT’s Class I shares, its largest share class. Performance varies
by share class. Class I Total Net Return assumes reinvestment of all
dividends received during the period, and no upfront selling commission, net of all fees and expenses incurred by BREIT. Class I Total Net Return is presented on
an
annualized basis and is from January 1, 2017.
(q)
The BXMT Total Net Return reflects annualized market return of a shareholder invested in BXMT since inception,
May 22, 2013, assuming reinvestment of all dividends
received during the period.
(r)
BSCH represents the aggregate Total AUM and Total Net Return of BSCH I and BSCH II funds that invest as part of the
Secondaries - GP Stakes strategy, which targets
minority investments in the general partners of private equity and other private-market alternative asset management firms globally. Including co-investmentvehicles
that do not pay fees, BSCH Total AUM is $12.3 billion.
(s)
BIP represents the aggregate Total AUM and Total Net Return of infrastructure-focused funds for institutional
investors with a primary focus on the U.S. and Europe.
Including co-investment vehicles, BIP Total AUM is $54.8 billion.
(t)
The BXPE Total Net Return reflects a per share blended return, assuming the BXPE Fund Program had a single vehicle
and a single share class, reinvestment of any
dividends received during the period, and no upfront selling commission, net of all fees and expenses incurred by BXPE. This return is not representative of the return
experienced by any
particular vehicle, investor or share class. Total Net Return is presented on an annualized basis and is from January 2, 2024. BXPE Total AUM reflects
net asset value as of December 31, 2024. For purposes of segment AUM reporting, BXPE AUM is
reported by the business managing the assets.
(u)
Represents the blended Total Net Return for BXPE Fund Program Class I shares, the Program’s largest share
class across vehicles. Performance varies by vehicle and share
class. Class I Total Net Return assumes reinvestment of any dividends received during the period, and no upfront selling commission, net of all fees and expenses incurred
by the
Class I shares. Class I Total Net Return is presented on an annualized basis and is from January 2, 2024.
(v)
The BXSL Total AUM and Total Net Return are presented as of September 30, 2024. BXSL Total Net Return reflects
the change in NAV per share, plus distributions per
share (assuming dividends and distributions are reinvested in accordance with BXSL’s dividend reinvestment plan) divided by the beginning NAV per share. Total Net
Returns are presented
on an annualized basis and are from November 20, 2018.
(w)
The BCRED Total Net Return reflects a per share blended return, assuming BCRED had a single share class,
reinvestment of all dividends received during the period, and
no upfront selling commission, net of all fees and expenses incurred by BCRED. This return is not representative of the return experienced by any particular investor or
share
class. Total Net Return is presented on an annualized basis and is from January 7, 2021. Total AUM reflects gross asset value plus amounts borrowed or available to
be borrowed under certain credit facilities. BCRED net asset value as of
December 31, 2024 was $38.9 billion.
(x)
Represents the Total Net Return for BCRED’s Class I shares, its largest share class. Performance varies
by share class. Class I Total Net Return assumes reinvestment of all
dividends received during the period, and no upfront selling commission, net of all fees and expenses incurred by BCRED. Class I Total Net Return is presented on
an
annualized basis and is from January 7, 2021.
Blackstone | 22
SHAREHOLDER DIVIDENDS
§
Generated $1.69 of Distributable Earnings per common share during the quarter, bringing the full year amount to
$4.64 per common share.
§
Blackstone declared a quarterly dividend of $1.44 per common share to record holders as of February 10, 2025;
payable on February 18, 2025.
% Change
% Change
($ in thousands, except per share data)
4Q’23
1Q’24
2Q’24
3Q’24
4Q’24
vs. 4Q’23
FY’23
FY’24
vs. FY’23
Distributable Earnings
$
1,388,180
$
1,266,378
$
1,252,221
$
1,278,650
$
2,169,493
56%
$
5,060,955
$
5,966,742
18
%
Add: Other Payables Attributable to
Common
Shareholders
57,810
130,920
124,280
73,491
185,782
221%
438,080
514,473
17
%
DE Before Certain Payables
1,445,990
1,397,298
1,376,501
1,352,141
2,355,275
63%
5,499,035
6,481,215
18
%
Percent to Common Shareholders
62%
62%
63%
63%
63%
62%
63%
DE Before Certain Payables Attributable to
Common
Shareholders
900,980
871,887
864,033
849,966
1,482,636
65%
3,415,854
4,068,522
19
%
Less: Other Payables Attributable to
Common
Shareholders
(57,810
)
(130,920
)
(124,280
)
(73,491
)
(185,782
)
221%
(438,080
)
(514,473
)
17
%
DE Attributable to Common Shareholders
843,170
740,967
739,753
776,475
1,296,854
54%
2,977,774
3,554,049
19
%
DE per Common Share
$
1.11
$
0.98
$
0.96
$
1.01
$
1.69
52%
$
3.95
$
4.64
17
%
Less: Retained Capital per Common Share
$
(0.17
)
$
(0.15)
$
(0.14)
$
(0.15)
$
(0.25)
47%
$
(0.60)
$
(0.69)
15
%
Actual Dividend per Common Share
$
0.94
$
0.83
$
0.82
$
0.86
$
1.44
53%
$
3.35
$
3.95
18
%
Record Date
Feb 10, 2025
Payable Date
Feb 18, 2025
A detailed description of Blackstone’s dividend policy and the definition of Distributable Earnings can be found on pages 36-38, Definitions and Dividend Policy.
See additional notes on page 35.
Blackstone | 23
SHARE SUMMARY
§
Distributable Earnings Shares Outstanding as of quarter end of 1,221 million shares.
–
Repurchased 0.3 million common shares in the quarter and 4.0 million common shares for the year.
–
Available authorization remaining was $1.8 billion at December 31, 2024.
4Q’23
1Q’24
2Q’24
3Q’24
4Q’24
Participating Common Shares
758,039,099
759,176,426
768,224,405
767,895,244
768,722,241
Participating Partnership Units
458,544,363
457,490,143
455,642,926
453,685,697
452,448,896
Distributable Earnings Shares Outstanding
1,216,583,462
1,216,666,569
1,223,867,331
1,221,580,941
1,221,171,137
Participating Common Shares and Participating Partnership Units include
both issued and outstanding shares and unvested shares that participate in dividends.
Blackstone | 24
Reconciliations and
Disclosures
Blackstone | 25
BLACKSTONE’S FOURTH QUARTER AND FULL YEAR 2024 GAAP CONSOLIDATED STATEMENTS OF OPERATIONS
($ in thousands, except per share data) (unaudited)
4Q’23
4Q’24
FY’23
FY’24
Revenues
Management and
Advisory Fees, Net
$
1,648,132
$
1,879,581
$
6,671,260
$
7,188,936
Incentive Fees
240,417
404,744
695,171
964,178
Investment Income
(Loss)
Performance Allocations
Realized
621,173
1,858,833
2,223,841
3,457,746
Unrealized
(983,647
)
(1,351,683
)
(1,691,668
)
371,407
Principal
Investments
Realized
46,617
84,381
303,823
332,258
Unrealized
(345,166
)
(47,392
)
(603,154
)
380,591
Total Investment Income
(Loss)
(661,023
)
544,139
232,842
4,542,002
Interest and
Dividend Revenue
168,374
98,547
516,497
411,159
Other
(110,880
)
155,554
(92,929
)
123,693
Total
Revenues
$
1,285,020
$
3,082,565
$
8,022,841
$
13,229,968
Expenses
Compensation and
Benefits
Compensation
631,877
754,738
2,785,447
3,048,229
Incentive Fee
Compensation
88,127
149,276
281,067
373,586
Performance Allocations
Compensation
Realized
230,249
742,847
900,859
1,432,217
Unrealized
(407,175
)
(607,658
)
(654,403
)
140,021
Total Compensation
and Benefits
543,078
1,039,203
3,312,970
4,994,053
General, Administrative and
Other
289,691
339,086
1,117,305
1,361,909
Interest
Expense
108,732
115,532
431,868
443,688
Fund Expenses
69
6,296
118,987
19,676
Total
Expenses
$
941,570
$
1,500,117
$
4,981,130
$
6,819,326
Other Income (Loss)
Change in Tax
Receivable Agreement Liability
(29,083
)
(41,246
)
(27,196
)
(41,246
)
Net Gains (Losses) from Fund
Investment Activities
(159,287
)
20,075
(56,801
)
90,084
Total Other
Income (Loss)
$
(188,370
)
$
(21,171
)
$
(83,997
)
$
48,838
Income Before
Provision for Taxes
$
155,080
$
1,561,277
$
2,957,714
$
6,459,480
Provision for
Taxes
45,957
232,451
513,461
1,021,671
Net
Income
$
109,123
$
1,328,826
$
2,444,253
$
5,437,809
Net Income (Loss)
Attributable to Redeemable Non-Controlling
Interests in Consolidated Entities
(163,929
)
306
(245,518
)
(61,289
)
Net Income Attributable to Non-Controlling
Interests in Consolidated Entities
39,134
67,487
224,155
473,826
Net Income Attributable to Non-Controlling
Interests in Blackstone Holdings
82,118
557,160
1,074,736
2,248,764
Net Income
Attributable to Blackstone Inc. (“BX”)
$
151,800
$
703,873
$
1,390,880
$
2,776,508
Net Income Per Share of
Common Stock, Basic
$
0.20
$
0.92
$
1.84
$
3.62
Net Income Per Share of Common Stock,
Diluted
$
0.20
$
0.92
$
1.84
$
3.62
Blackstone | 26
RECONCILIATION OF GAAP TO NON-GAAP MEASURES
QTD
FY
($ in thousands)
4Q’23
1Q’24
2Q’24
3Q’24
4Q’24
FY’23
FY’24
Net Income Attributable to Blackstone Inc.
$
151,800
$
847,386
$
444,414
$
780,835
$
703,873
$
1,390,880
$
2,776,508
Net Income Attributable to Non-Controlling
Interests in Blackstone Holdings
82,118
685,439
403,108
603,057
557,160
1,074,736
2,248,764
Net Income Attributable toNon-Controlling
Interests in Consolidated Entities
39,134
102,827
100,583
202,929
67,487
224,155
473,826
Net Income (Loss) Attributable to Redeemable
Non-Controlling Interests in Consolidated Entities
(163,929
)
(39,669
)
258
(22,184
)
306
(245,518
)
(61,289
)
Net Income
$
109,123
$
1,595,983
$
948,363
$
1,564,637
$
1,328,826
$
2,444,253
$
5,437,809
Provision for Taxes
45,957
283,671
260,246
245,303
232,451
513,461
1,021,671
Income Before Provision for Taxes
$
155,080
$
1,879,654
$
1,208,609
$
1,809,940
$
1,561,277
$
2,957,714
$
6,459,480
Transaction-Related and Non-Recurring Items (a)
8,882
52,197
4,962
(394
)
(393
)
25,981
56,372
Amortization of Intangibles (b)
7,347
7,333
7,333
7,333
7,333
33,457
29,332
Impact of Consolidation (c)
124,795
(63,158
)
(100,841
)
(180,745
)
(67,793
)
21,363
(412,537
)
Unrealized Performance Revenues (d)
983,642
(445,936
)
(122,239
)
(1,154,905
)
1,351,673
1,691,788
(371,407
)
Unrealized Performance Allocations Compensation
(e)
(407,175
)
180,900
101,680
465,099
(607,658
)
(654,403
)
140,021
Unrealized Principal Investment (Income) Loss (f)
359,663
(442,976
)
38,125
90,254
42,729
593,301
(271,868
)
Other Revenues (g)
110,933
(44,747
)
(19,541
)
96,329
(155,207
)
93,083
(123,166
)
Equity-Based Compensation (h)
185,969
317,779
295,396
262,798
283,149
959,474
1,159,122
Administrative Fee Adjustment (i)
2,422
2,477
2,465
3,219
3,429
9,707
11,590
Taxes and Related Payables (j)
(143,378
)
(177,145
)
(163,728
)
(120,278
)
(249,046
)
(670,510
)
(710,197
)
Distributable Earnings
$
1,388,180
$
1,266,378
$
1,252,221
$
1,278,650
$
2,169,493
$
5,060,955
$
5,966,742
Taxes and Related Payables (j)
143,378
177,145
163,728
120,278
249,046
670,510
710,197
Net Interest and Dividend (Income) Loss
(k)
(65,228
)
9,801
3,425
1,731
18,480
(106,120
)
33,437
Total Segment Distributable
Earnings
$
1,466,330
$
1,453,324
$
1,419,374
$
1,400,659
$
2,437,019
$
5,625,345
$
6,710,376
Realized Performance Revenues (l)
(693,213
)
(536,393
)
(542,889
)
(342,669
)
(865,080
)
(2,061,102
)
(2,287,031
)
Realized Performance Compensation (m)
287,628
253,024
251,057
157,570
289,595
896,017
951,246
Realized Principal Investment (Income) Loss
(n)
(19,202
)
(9,938
)
(16,572
)
(40,403
)
(25,613
)
(110,932
)
(92,526
)
Fee Related Earnings
$
1,041,543
$
1,160,017
$
1,110,970
$
1,175,157
$
1,835,921
$
4,349,328
$
5,282,065
Adjusted EBITDA Reconciliation
Distributable Earnings
$
1,388,180
$
1,266,378
$
1,252,221
$
1,278,650
$
2,169,493
$
5,060,955
$
5,966,742
Interest Expense (o)
108,168
107,640
108,424
111,326
117,027
429,521
444,417
Taxes and Related Payables (j)
143,378
177,145
163,728
120,278
249,046
670,510
710,197
Depreciation and Amortization (p)
25,251
26,053
25,336
24,685
22,682
94,124
98,756
Adjusted EBITDA
$
1,664,977
$
1,577,216
$
1,549,709
$
1,534,939
$
2,558,248
$
6,255,110
$
7,220,112
Notes on pages 28-29.
Blackstone | 27
RECONCILIATION OF GAAP TO NON-GAAP MEASURES – NOTES
Note: See pages 36-38, Definitions and Dividend Policy.
(a)
This adjustment removes Transaction-Related andNon-Recurring Items, which are excluded from Blackstone’s segment presentation. Transaction-Related
and Non-Recurring Items arise from corporate actions
including acquisitions, divestitures, Blackstone’s initial public offering, and non-recurring gains,
losses, or other charges, if any. They consist primarily of equity-based compensation charges,
gains and losses on contingent consideration arrangements,
changes in the balance of the Tax Receivable Agreement resulting from a change in tax law or similar event, transaction costs, gains or losses associated
with these corporate
actions, and non-recurring gains, losses or other charges that affect period-to-period comparability and are not reflective
of
Blackstone’s operational performance.
(b)
This adjustment removes the amortization of transaction-related intangibles, which are excluded from
Blackstone’s segment presentation.
(c)
This adjustment reverses the effect of consolidating Blackstone Funds, which are excluded from
Blackstone’s segment presentation. This adjustment
includes the elimination of Blackstone’s interest in these funds and the removal of amounts associated with the ownership of Blackstone consolidated
operating partnerships held by non-controlling interests.
(d)
This adjustment removes Unrealized Performance Revenues on a segment basis. The Segment Adjustment
represents the add back of performance
revenues earned from consolidated Blackstone Funds which have been eliminated in consolidation.
QTD
FY
($ in thousands)
4Q’23
1Q’24
2Q’24
3Q’24
4Q’24
FY’23
FY’24
GAAP Unrealized Performance Allocations
$
(983,647
)
$
445,943
$
122,229
$
1,154,918
$
(1,351,683
)
$
(1,691,668
)
$ 371,407
Segment Adjustment
5
(7
)
10
(13
)
10
(120
)
-
Unrealized Performance Revenues
$
(983,642
)
$
445,936
$
122,239
$
1,154,905
$
(1,351,673
)
$
(1,691,788
)
$ 371,407
(e) This adjustment removes Unrealized Performance Allocations Compensation.
(f) This adjustment removes Unrealized Principal Investment Income on a segment basis. The Segment Adjustment
represents (1) the add back of Principal Investment Income, including general partner income, earned from consolidated Blackstone Funds which have been eliminated in consolidation, and (2)
the removal of amounts associated with the ownership
of Blackstone consolidated operating partnerships held by non-controlling interests.
QTD
FY
($ in thousands)
4Q’23
1Q’24
2Q’24
3Q’24
4Q’24
FY’23
FY’24
GAAP Unrealized Principal Investment Income (Loss)
$
(345,166
)
$
461,623
$
(31,776
)
$
(1,864
)
$
(47,392
)
$
(603,154
)
$ 380,591
Segment Adjustment
(14,497
)
(18,647
)
(6,349
)
(88,390
)
4,663
9,853
(108,723)
Unrealized Principal Investment Income (Loss)
$
(359,663
)
$
442,976
$
(38,125
)
$
(90,254
)
$
(42,729
)
$
(593,301
)
$ 271,868
(g) This adjustment removes Other Revenues on a segment basis. The Segment Adjustment represents the
removal of certain Transaction-Related and Non-
Recurring Items.
QTD
FY
($ in thousands)
4Q’23
1Q’24
2Q’24
3Q’24
4Q’24
FY’23
FY’24
GAAP Other Revenue
$
(110,880
)
$
44,820
$
19,631
$
(96,312
)
$
155,554
$
(92,929
)
$ 123,693
Segment Adjustment
(53
)
(73
)
(90
)
(17
)
(347
)
(154
)
(527)
Other Revenues
$
(110,933
)
$
44,747
$
19,541
$
(96,329
)
$
155,207
$
(93,083
)
$ 123,166
(h) This adjustment removes Equity-Based Compensation on a segment
basis.
(i) This adjustment adds an amount equal to an administrative fee collected on a quarterly basis
from certain holders of Blackstone Holdings Partnership
Units. The administrative fee is accounted for as a capital contribution under GAAP, but is reflected as a reduction of Other Operating Expenses in Blackstone’s segment
presentation.
Blackstone | 28
RECONCILIATION OF GAAP TO NON-GAAP MEASURES – NOTES (CONT’D)
(j)
Taxes represent the total GAAP tax provision adjusted to include only the current tax provision
(benefit) calculated on Income (Loss) Before Provision
(Benefit) for Taxes and adjusted to exclude the tax impact of any divestitures. For interim periods, taxes are calculated using the preferred annualized
effective tax rate approach.
Related Payables represent tax-related payables including the amount payable under the Tax Receivable Agreement. Please
refer to page 36 for the full definition of Taxes and Related Payables.
QTD
FY
($ in thousands)
4Q’23
1Q’24
2Q’24
3Q’24
4Q’24
FY’23
FY’24
Taxes
$
121,155
$
155,873
$
141,656
$
95,483
$
211,496
$
580,925
$
604,508
Related Payables
22,223
21,272
22,072
24,795
37,550
89,585
105,689
Taxes and Related Payables
$
143,378
$
177,145
$
163,728
$
120,278
$
249,046
$
670,510
$
710,197
(k) This adjustment removes Interest and Dividend Revenue less Interest Expense on a segment basis.
The Segment Adjustment represents (1) the add back of
Interest and Dividend Revenue earned from consolidated Blackstone Funds which have been eliminated in consolidation, and (2) the removal of interest
expense associated with the
Tax Receivable Agreement.
QTD
FY
($ in thousands)
4Q’23
1Q’24
2Q’24
3Q’24
4Q’24
FY’23
FY’24
GAAP Interest and Dividend Revenue
$
168,374
$
97,839
$
104,999
$
109,774
$
98,547
$
516,497
$
411,159
Segment Adjustment
5,022
-
-
(179
)
-
19,144
(179
)
Interest and Dividend Revenue
$
173,396
$
97,839
$
104,999
$
109,595
$
98,547
$
535,641
$
410,980
GAAP Interest Expense
$
108,732
$
108,203
$
108,616
$
111,337
$
115,532
$
431,868
$
443,688
Segment Adjustment
(564
)
(563
)
(192
)
(11
)
1,495
(2,347
)
729
Interest Expense
$
108,168
$
107,640
$
108,424
$
111,326
$
117,027
$
429,521
$
444,417
Net Interest and Dividend Income
(Loss)
$
65,228
$
(9,801
)
$
(3,425
)
$
(1,731
)
$
(18,480
)
$
106,120
$
(33,437
)
(l) This adjustment removes the total segment amount of Realized Performance Revenues.
(m) This adjustment removes the total segment amount of Realized Performance Compensation.
(n) This adjustment removes the total segment amount of Realized Principal Investment Income.
(o) This adjustment adds back Interest Expense on a segment basis, excluding interest expense related to the Tax Receivable
Agreement.
(p) This adjustment adds back Depreciation and Amortization on a segment basis.
Reconciliation of GAAP Shares of Common Stock Outstanding to Distributable Earnings
Shares Outstanding
QTD
4Q’23
1Q’24
2Q’24
3Q’24
4Q’24
GAAP Shares of Common Stock Outstanding
719,358,114
722,263,433
722,540,712
730,699,964
731,925,965
Unvested Participating Common
Shares
38,680,985
36,912,993
45,683,693
37,195,280
36,796,276
Total Participating Common Shares
758,039,099
759,176,426
768,224,405
767,895,244
768,722,241
Participating Partnership
Units
458,544,363
457,490,143
455,642,926
453,685,697
452,448,896
Distributable Earnings Shares
Outstanding
1,216,583,462
1,216,666,569
1,223,867,331
1,221,580,941
1,221,171,137
Disclosure of
Weighted-Average Shares Common Stock Outstanding
QTD
FY
4Q’23
1Q’24
2Q’24
3Q’24
4Q’24
FY’23
FY’24
Total GAAP Weighted-Average Shares of Common
Stock
Outstanding - Basic
758,151,673
759,798,537
769,187,351
768,230,595
768,689,957
755,204,556
766,487,450
Weighted-Average Shares of
Unvested Deferred Restricted
Common Stock
126,712
459,107
47,326
49,771
80,028
215,380
159,058
Total GAAP Weighted-Average Shares of Common Stock
Outstanding -
Diluted
758,278,385
760,257,644
769,234,677
768,280,366
768,769,985
755,419,936
766,646,508
Blackstone | 29
BLACKSTONE’S FOURTH QUARTER 2024 GAAP CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
($ in thousands) (unaudited)
4Q’23
1Q’24
2Q’24
3Q’24
4Q’24
Assets
Cash and Cash Equivalents
$
2,955,866
$
2,504,471
$
2,381,436
$
2,353,332
$
1,972,140
Cash Held by Blackstone Funds and Other
316,197
167,711
219,393
180,545
204,052
Investments
26,146,622
25,922,290
26,426,289
28,322,715
29,800,566
Accounts Receivable
193,365
199,302
247,538
300,004
237,930
Due from Affiliates
4,466,521
4,695,224
4,868,069
5,163,883
5,409,315
Intangible Assets, Net
201,208
192,227
183,246
174,265
165,243
Goodwill
1,890,202
1,890,202
1,890,202
1,890,202
1,890,202
Other Assets
944,848
1,072,627
1,083,400
933,990
947,859
Right-of-Use Assets
841,307
805,454
995,524
978,699
838,620
Deferred Tax Assets
2,331,394
2,256,794
2,289,932
2,277,807
2,003,948
Total Assets
$
40,287,530
$
39,706,302
$
40,585,029
$
42,575,442
$
43,469,875
Liabilities and Equity
Loans Payable
$
11,304,059
$
10,740,171
$
10,688,193
$
10,752,246
$
11,320,956
Due to Affiliates
2,393,410
2,135,478
2,364,099
2,620,530
2,808,148
Accrued Compensation and
Benefits
5,247,766
5,378,212
5,703,156
6,398,365
6,087,700
Operating Lease Liabilities
989,823
951,648
1,142,317
1,136,671
965,742
Accounts Payable, Accrued Expenses
and Other Liabilities
2,277,258
2,023,359
2,012,969
2,202,689
2,792,314
Total Liabilities
22,212,316
21,228,868
21,910,734
23,110,501
23,974,860
RedeemableNon-Controlling Interests in Consolidated Entities
1,179,073
935,005
888,868
892,846
801,399
Equity
Common Stock, $0.00001 par value
(731,925,965 shares issued
and outstanding as of December 31, 2024)
7
7
7
7
7
Series I Preferred Stock, $0.00001 par value
(1 share issued
and outstanding as of December 31, 2024)
-
-
-
-
-
Series II Preferred Stock, $0.00001
par value (1 share issued
and outstanding as of December 31, 2024)
-
-
-
-
-
Additional Paid-in-Capital
6,175,190
6,190,142
6,260,619
6,257,788
7,444,561
Retained Earnings
660,734
796,201
607,564
760,471
808,079
Accumulated Other Comprehensive Loss
(19,133
)
(31,282
)
(34,617
)
(10,609
)
(40,326
)
Non-Controlling Interests in Consolidated Entities
5,177,255
5,381,678
5,682,606
6,015,967
6,154,943
Non-Controlling Interests in Blackstone Holdings
4,902,088
5,205,683
5,269,248
5,548,471
4,326,352
Total Equity
16,896,141
17,542,429
17,785,427
18,572,095
18,693,616
Total Liabilities and Equity
$
40,287,530
$
39,706,302
$
40,585,029
$
42,575,442
$
43,469,875
See page 31, Reconciliation of GAAP to Non-GAAP Balance Sheet Measures.
Blackstone | 30
RECONCILIATION OF GAAP TO NON-GAAP BALANCE SHEET MEASURES
($ in thousands)
4Q’23
1Q’24
2Q’24
3Q’24
4Q’24
Investments of Consolidated Blackstone Funds
$
4,319,483
$
3,458,911
$
3,621,676
$
3,873,027
$
3,890,732
Equity Method Investments
Partnership Investments
5,924,275
6,100,640
6,107,429
6,295,704
6,546,728
Accrued Performance Allocations
10,775,355
11,163,116
11,132,801
12,411,485
12,397,366
Corporate Treasury Investments
803,870
197,976
176,330
147,642
1,147,328
Other Investments
4,323,639
5,001,647
5,388,053
5,594,857
5,818,412
Total GAAP Investments
26,146,622
25,922,290
26,426,289
28,322,715
29,800,566
Accrued Performance Allocations - GAAP
$
10,775,355
$
11,163,116
$
11,132,801
$
12,411,485
$
12,397,366
Impact of Consolidation (a)
-
-
-
-
-
Due from Affiliates - GAAP (b)
313,838
249,968
235,767
253,490
489,086
Less: Net Realized Performance Revenues (c)
(552,249
)
(448,811
)
(146,832
)
(141,896
)
(1,050,026
)
Less: Accrued Performance Compensation - GAAP (d)
(4,702,363
)
(4,880,191
)
(5,007,547
)
(5,531,520
)
(5,555,870
)
Net Accrued Performance Revenues
$
5,834,581
$
6,084,082
$
6,214,189
$
6,991,559
$
6,280,556
Corporate Treasury and Other Investments - GAAP
$
5,127,509
$
5,199,623
$
5,564,383
$
5,742,499
$
6,965,740
Impact of Consolidation (a)
500,046
484,521
590,551
580,076
622,411
Other Assets (e)
127,167
228,702
218,728
250,996
159,011
Other Liabilities (f)
(299,368
)
(6,651
)
(6,874
)
(6,584
)
(4,024
)
Corporate Treasury and Other Investments - Deconsolidated
(g)
$
5,455,354
$
5,906,195
$
6,366,788
$
6,566,987
$
7,743,138
Partnership Investments - GAAP
$
5,924,275
$
6,100,640
$
6,107,429
$
6,295,704
$
6,546,728
Impact of Consolidation (h)
(3,223,580
)
(3,308,117
)
(3,401,589
)
(3,482,920
)
(3,482,497
)
GP/Fund Investments - Deconsolidated
$
2,700,695
$
2,792,523
$
2,705,840
$
2,812,784
$
3,064,231
Loans Payable - GAAP
$
11,304,059
$
10,740,171
$
10,688,193
$
10,752,246
$
11,320,956
Impact of Consolidation (i)
(687,121
)
(169,836
)
(130,321
)
(107,715
)
(87,488
)
Outstanding Debt - Carrying Value
10,616,938
10,570,335
10,557,872
10,644,531
11,233,468
Unamortized Discount
130,811
127,614
124,677
122,418
127,281
Outstanding Debt (at par) - Deconsolidated
$
10,747,749
$
10,697,949
$
10,682,549
$
10,766,949
$
11,360,749
(a)
This adjustment adds back investments in consolidated Blackstone Funds which have been eliminated
in consolidation.
(b)
Represents GAAP accrued performance revenue recorded within Due from Affiliates.
(c)
Represents Performance Revenues realized but not yet distributed as of the reporting date and are
included in Distributable Earnings in the period they are realized.
(d)
Represents GAAP accrued performance compensation associated with Accrued Performance Allocations
and is recorded within Accrued Compensation and Benefits and
Due to Affiliates.
(e)
This adjustment adds other assets related to Treasury Operations that are recorded within Accounts
Receivable, reverse repurchase agreements and Due from Affiliates.
(f)
This adjustment adds other liabilities related to Treasury Operations that are recorded within
Accounts Payable, Accrued Expenses and Other Liabilities, Repurchase Agreements and securities sold short, not yet purchased.
(g)
Deconsolidated Other Investments was $5.8 billion as of December 31, 2024, which was
comprised of $5.3 billion of liquid investments and $495 million of illiquid investments. The liquid portion of Other Investments relates to public equity securities and other investments held by Blackstone that can be easily converted to
cash and may include securities and investments subject to lock-up periods.
(h)
This adjustment removes amounts associated with the ownership of Blackstone consolidated operating
partnerships held by non-controlling interests and adds back investments in consolidated Blackstone Funds which have been eliminated in consolidation.
(i)
This adjustment removes amounts related to consolidated Blackstone Funds.
Blackstone | 31
RECONCILIATION OF GAAP TO TOTAL SEGMENTS
QTD
FY
($ in thousands)
4Q’23
1Q’24
2Q’24
3Q’24
4Q’24
FY’23
FY’24
Management and Advisory Fees, Net
GAAP
$
1,648,132
$
1,727,148
$
1,787,313
$
1,794,894
$
1,879,581
$
6,671,260
$
7,188,936
Segment Adjustment (a)
5,699
(19,577
)
(7,375
)
(8,160
)
(20,290
)
(8,016
)
(55,402
)
Total Segment
$
1,653,831
$
1,707,571
$
1,779,938
$
1,786,734
$
1,859,291
$
6,663,244
$
7,133,534
GAAP Realized Performance Revenues to Total
Segment Fee Related Performance Revenues
GAAP
Incentive Fees
240,417
179,341
188,299
191,794
404,744
695,171
964,178
Investment Income - Realized Performance
Allocations
621,173
652,517
531,641
414,755
1,858,833
2,223,841
3,457,746
GAAP
$
861,590
$
831,858
$
719,940
$
606,549
$
2,263,577
$
2,919,012
$
4,421,924
Total Segment
Less: Realized Performance Revenues
(693,213
)
(536,393
)
(542,889
)
(342,669
)
(865,080
)
(2,061,102
)
(2,287,031
)
Segment Adjustment (b)
617
36
16
221
779
617
1,052
Total Segment
$
168,994
$
295,501
$
177,067
$
264,101
$
1,399,276
$
858,527
$
2,135,945
GAAP Compensation to Total Segment Fee Related
Compensation
GAAP
Compensation
631,877
794,803
766,647
732,041
754,738
2,785,447
3,048,229
Incentive Fees Compensation
88,127
73,707
77,139
73,464
149,276
281,067
373,586
Realized Performance Allocations Compensation
230,249
258,894
260,736
169,740
742,847
900,859
1,432,217
GAAP
$
950,253
$
1,127,404
$
1,104,522
$
975,245
$
1,646,861
$
3,967,373
$
4,854,032
Total Segment
Less: Realized Performance Compensation
(287,628
)
(253,024
)
(251,057
)
(157,570
)
(289,595
)
(896,017
)
(951,246
)
Less: Equity-Based Compensation - Fee Related Compensation
(182,048
)
(313,400
)
(291,540
)
(259,265
)
(278,849
)
(946,575
)
(1,143,054
)
Less: Equity-Based Compensation - Performance
Compensation
(3,921
)
(4,379
)
(3,856
)
(3,533
)
(4,300
)
(12,899
)
(16,068
)
Segment Adjustment (c)
(6,248
)
(2,524
)
(5,156
)
(22
)
3,360
(23,772
)
(4,342
)
Total Segment
$
470,408
$
554,077
$
552,913
$
554,855
$
1,077,477
$
2,088,110
$
2,739,322
GAAP General, Administrative and Other to
Total Segment Other Operating Expenses
GAAP
$
289,691
$
369,950
$
311,928
$
340,945
$
339,086
$
1,117,305
$
1,361,909
Segment Adjustment (d)
21,183
(80,972
)
(18,806
)
(20,122
)
6,083
(32,972
)
(113,817
)
Total Segment
$
310,874
$
288,978
$
293,122
$
320,823
$
345,169
$
1,084,333
$
1,248,092
Realized Performance Revenues
GAAP
Incentive Fees
240,417
179,341
188,299
191,794
404,744
695,171
964,178
Investment Income - Realized Performance
Allocations
621,173
652,517
531,641
414,755
1,858,833
2,223,841
3,457,746
GAAP
$
861,590
$
831,858
$
719,940
$
606,549
$
2,263,577
$
2,919,012
$
4,421,924
Total Segment
Less: Fee Related Performance Revenues
(168,994
)
(295,501
)
(177,067
)
(264,101
)
(1,399,276
)
(858,527
)
(2,135,945
)
Segment Adjustment (b)
617
36
16
221
779
617
1,052
Total Segment
$
693,213
$
536,393
$
542,889
$
342,669
$
865,080
$
2,061,102
$
2,287,031
Blackstone | 32
RECONCILIATION OF GAAP TO TOTAL SEGMENTS – (CONT’D)
QTD
FY
($ in thousands)
4Q’23
1Q’24
2Q’24
3Q’24
4Q’24
FY’23
FY’24
Realized Performance Compensation
GAAP
Incentive Fee Compensation
$
88,127
$
73,707
$
77,139
$
73,464
$
149,276
$
281,067
$
373,586
Realized Performance Allocations
Compensation
230,249
258,894
260,736
169,740
742,847
900,859
1,432,217
GAAP
$
318,376
$
332,601
$
337,875
$
243,204
$
892,123
$
1,181,926
$
1,805,803
Total Segment
Less: Fee Related Performance Compensation
(e)
(26,827
)
(75,198
)
(82,962
)
(82,101
)
(598,228
)
(273,010
)
(838,489
)
Less: Equity-Based Compensation - Performance Compensation
(3,921
)
(4,379
)
(3,856
)
(3,533
)
(4,300
)
(12,899
)
(16,068
)
Total Segment
$
287,628
$
253,024
$
251,057
$
157,570
$
289,595
$
896,017
$
951,246
Realized Principal Investment Income
(Loss)
GAAP
$
46,617
$
78,597
$
74,045
$
95,235
$
84,381
$
303,823
$
332,258
Segment Adjustment (f)
(27,415
)
(68,659
)
(57,473
)
(54,832
)
(58,768
)
(192,891
)
(239,732
)
Total Segment
$
19,202
$
9,938
$
16,572
$
40,403
$
25,613
$
110,932
$
92,526
GAAP Interest and Dividend Revenue net of
Interest Expense to Total Segment Net Interest and Dividend Income (Loss)
GAAP
Interest and Dividend Revenue
168,374
97,839
104,999
109,774
98,547
516,497
411,159
Interest Expense
(108,732
)
(108,203
)
(108,616
)
(111,337
)
(115,532
)
(431,868
)
(443,688
)
GAAP
$
59,642
$
(10,364
)
$
(3,617
)
$
(1,563
)
$
(16,985
)
$
84,629
$
(32,529
)
Segment Adjustment (g)
5,586
563
192
(168
)
(1,495
)
21,491
(908
)
Total Segment
$
65,228
$
(9,801
)
$
(3,425
)
$
(1,731
)
$
(18,480
)
$
106,120
$
(33,437
)
This
analysis reconciles the components of Total Segment Distributable Earnings (page 3) to their equivalent GAAP measures, reported on the Consolidated
Statement of Operations (page 26). Segment basis presents revenues and expenses on a basis that
deconsolidates the investment funds Blackstone manages and excludes the amortization of intangibles, the expense of equity-based awards and Transaction-Related and Non-Recurring Items.
(a)
Represents (1) the add back of net management fees earned from consolidated Blackstone Funds
which have been eliminated in consolidation, and (2) the
removal of amounts attributable to the reimbursement of certain expenses by the Blackstone Funds and certain NAV-based fee arrangements, which are presented on a gross basis
under GAAP but as a reduction of Management and Advisory Fees, Net in the Total Segment measures.
(b)
Represents the add back of Performance Revenues earned from consolidated Blackstone Funds which
have been eliminated in consolidation.
(c)
Represents the removal of Transaction-Related andNon-Recurring Items that are not recorded in the Total Segment measures.
(d)
Represents the (1) removal of Transaction-Related andNon-Recurring Items that are not recorded in the Total Segment Measures, (2) removal of amounts attributable to certain expenses that are reimbursed by the Blackstone Funds and certain NAV-based fee
arrangements, which are presented on a gross basis under GAAP but as a reduction of Management and Advisory Fees, Net in the Total Segment measures, and (3) a reduction equal to an administrative fee
collected on a quarterly basis from
certain holders of Blackstone Holdings Partnership Units which is accounted for as a capital contribution under GAAP, but is
reflected as a reduction of Other Operating Expenses in Blackstone’s segment presentation.
(e)
Fee related performance compensation may include equity based compensation based on fee related
performance revenues.
(f)
Represents (1) the add back of Principal Investment Income, including general partner
income, earned from consolidated Blackstone Funds which have been eliminated in consolidation, and (2) the removal of amounts associated with the ownership of Blackstone consolidated operating partnerships held bynon-controlling interests.
(g)
Represents (1) the add back of Interest and Dividend Revenue earned from consolidated
Blackstone Funds which have been eliminated in consolidation, and (2)
the removal of interest expense associated with the Tax Receivable Agreement.
Blackstone | 33
NOTES
Notes to page 4 - Investment Performance and
Net Accrued Performance Revenues
§
The changes in carrying value, fund returns and composite returns presented throughout this presentation represent those of the applicable Blackstone Funds and not those of Blackstone.
§
Core+ appreciation represents a weighted average of BREIT’s per share appreciation, BEPIF’s per share appreciation, and BPP’s appreciation for the period. The returns are weighted based on the average of
BREIT’s monthly net asset values, BEPIF’s monthly net asset values, and the
average of BPP’s quarterly adjusted beginning period market values for the period.
§
Throughout this presentation, Secondaries reflects Strategic Partners and GP Stakes unless otherwise indicated. Results for the Secondaries business refer to the appreciation of the Strategic Partners funds and do not
include results for GP Stakes. Strategic Partners results are reported on a three-month lag from fund financial statements, which generally report underlying investments on a same-quarter basis, if available. As a result, the appreciation presented
herein does not include the impact of economic and market activity in the current quarter. Current market activity is expected to affect reported results in upcoming quarters.
§
Private Credit returns include mezzanine lending funds and middle market direct lending funds (including BXSL and BCRED), stressed/distressed strategies (including stressed/distressed funds and credit alpha strategies)
and energy strategies. Liquid Credit returns include CLOs, closed-ended funds, open-ended funds and separately managed accounts. Only fee-earning funds exceeding $100 million of fair value at the
beginning of each respective quarter-end are included. Funds in liquidation, funds investing primarily in investment grade corporate credit and asset-based finance are excluded. Blackstone Funds that were
contributed to Blackstone Credit as part of Blackstone’s acquisition of Blackstone Credit, formerly known as GSO, in March 2008 and the pre-acquisition date performance for funds and vehicles acquired by
Blackstone Credit subsequent to March 2008, are also excluded.
§
The Absolute Return Composite gross and net returns are based on the Multi-Asset Investing (“BXMA”) Absolute Return Composite, which includes only BXMA-managed commingled and customized multi-manager funds and
accounts and does not include BXMA’s liquid solutions group, seeding, multi-strategy, and advisory (non-discretionary) platforms, except for investments by Absolute Return funds directly into those
platforms. BXMA-managed funds in liquidation and, in the case of net returns, non fee-paying assets are also excluded. The funds/accounts that comprise the Absolute Return Composite are not managed within a
single fund or account and are managed with different mandates. There is no guarantee that BXMA would have made the same mix of investments in a stand-alone fund/account. The Absolute Return Composite is not an investible product and, as such, the
performance of the Absolute Return Composite does not represent the performance of an actual fund or account.
Notes to page 17
– Deconsolidated Balance Sheet Highlights
§
GP/Fund Investments include Blackstone investments in Real Estate, Private Equity, Credit & Insurance, and Multi-Asset Investing, which were $578 million, $1.4 billion, $976 million, and
$112 million, respectively, as of December 31, 2024. Cash and Net Investments per share amounts
are calculated using period end DE Shares Outstanding (see page 24, Share Summary).
Blackstone | 34
NOTES – (CONT’D)
Notes to page 23 – Shareholder
Dividends
§
DE before Certain Payables represents Distributable Earnings before the deduction for the Payable Under Tax Receivable Agreement and tax expense (benefit) of wholly owned subsidiaries. Common shareholders receive tax
benefits from deductions taken by Blackstone’s corporate tax paying subsidiaries and bear responsibility for the deduction from Distributable Earnings of the Payable Under Tax Receivable Agreement and certain other tax-related payables.
§
Per Share calculations are based on end of period Participating Common Shares (page 24, Share Summary); actual dividends are paid to shareholders as of the applicable record date.
§
Retained capital is withheld pro rata from common shareholders and Blackstone Holdings Partnership unitholders. Common shareholders’ share was $192 million for 4Q’24 and $529 million for FY’24.
Blackstone | 35
DEFINITIONS AND DIVIDEND POLICY
Blackstone discloses the following operating metrics
and financial measures that are calculated and presented on the basis of methodologies other than in accordance with generally accepted accounting principles in the United States of America(“non-GAAP”) in this presentation:
§
Segment Distributable Earnings, or “Segment DE”, is Blackstone’s segment profitability measure used to make operating decisions and assess performance across Blackstone’s
four segments. Segment DE represents the net realized earnings of Blackstone’s segments and is the sum of Fee Related Earnings and Net Realizations for each segment. Blackstone’s segments are presented on a basis that deconsolidates
Blackstone Funds, eliminates non-controlling ownership interests in Blackstone’s consolidated operating partnerships, removes the amortization of intangible assets and removes Transaction-Related and Non-Recurring Items. Segment DE excludes unrealized activity and is derived from and reconciled to, but not equivalent to, its most directly comparable GAAP measure of Income (Loss) Before Provision (Benefit) for
Taxes.
–
Net Realizations is presented on a segment basis and is the sum of Realized Principal Investment Income and Realized Performance
Revenues (which refers to Realized Performance Revenues excluding Fee
Related Performance Revenues), less Realized Performance Compensation (which refers to Realized Performance Compensation excluding Fee Related Performance Compensation and Equity-Based Performance Compensation).
–
Segment Revenues represent Net Management and Advisory Fees, Fee Related Performance Revenues, Realized Performance Revenues and Realized Principal Investment Income.
§
Distributable Earnings, or “DE”, is derived from Blackstone’s segment reported results. DE is used to assess performance and amounts available for dividends to Blackstone
shareholders, including Blackstone personnel and others who are limited partners of the Blackstone Holdings Partnerships. DE is the sum of Segment DE plus Net Interest and Dividend Income (Loss) less Taxes and Related Payables. DE excludes
unrealized activity and is derived from and reconciled to, but not equivalent to, its most directly comparable GAAP measure of Income (Loss) Before Provision (Benefit) for Taxes.
–
Net Interest and Dividend Income (Loss) is presented on a segment basis and is equal to Interest and Dividend Revenue less Interest Expense, adjusted for the impact of consolidation of Blackstone Funds,
and interest expense associated with the Tax Receivable Agreement.
–
Taxes and Related Payables represent the total GAAP tax provision adjusted to include only the current tax provision (benefit) calculated on Income (Loss) Before Provision (Benefit) for Taxes and including
the Payable under the Tax Receivable Agreement. Further, the current tax provision utilized when calculating Taxes and Related Payables and DE reflects the benefit of deductions available to the company on certain expense items that are excluded
from the underlying calculation of Segment DE and Total Segment Distributable Earnings, such as equity-based compensation charges and certain Transaction-Related and Non-Recurring Items where there is a
current tax provision or benefit. The
economic assumptions and methodologies that impact the implied income tax provision are the same as those methodologies and
assumptions used in calculating the current income tax provision for
Blackstone’s consolidated statements of operations under U.S. GAAP, excluding the impact of divestitures and accrued tax contingencies and refunds which are reflected when paid or received. Management believes that including the amount payable
under the tax receivable agreement and utilizing the current income tax provision adjusted as described above when calculating DE is meaningful as it increases comparability between periods and more accurately reflects earnings that are available
for distribution to shareholders.
§
Fee Related Earnings, or “FRE”, is a performance measure used to assess Blackstone’s ability to generate profits from revenues that are measured and received on a recurring
basis and not subject to future realization events. FRE equals management and advisory fees (net of management fee reductions and offsets) plus Fee Related Performance Revenues, less (a) Fee Related Compensation on a segment basis, and
(b) Other Operating Expenses. FRE is derived from and reconciled to, but not equivalent to, its most directly comparable GAAP measure of Income (Loss) Before Provision (Benefit) for Taxes.
Blackstone | 36
DEFINITIONS AND DIVIDEND POLICY – (CONT’D)
–
Fee Related Compensation is presented on a segment basis and refers to the compensation expense, excluding Equity-Based Compensation,
directly related to (a) Management and Advisory Fees, Net and
(b) Fee Related Performance Revenues, referred to as Fee Related
Performance Compensation.
–
Fee Related Performance Revenues refers to the realized portion of Performance Revenues from Perpetual Capital that are (a) measured
and received on a recurring basis, and (b) not dependent
on realization events from the underlying investments.
–
Other Operating Expenses is presented on a segment basis and is equal to General, Administrative and Other Expenses, adjusted to
(a) remove the Transaction-Related and Non-Recurring Items that are not recorded in the Total Segment Measures, (b) remove certain
expenses reimbursed by the Blackstone Funds which are netted against Management and Advisory Fees, Net in
Blackstone’s segment
presentation, and (c) give effect to an administrative fee collected on a quarterly basis from certain holders of Blackstone Holdings
Partnership Units. The administrative fee is accounted for as a capital
contribution under GAAP, but is reflected as a reduction of Other
Operating Expenses in Blackstone’s segment presentation.
–
Perpetual Capital refers to the component of assets under management with an indefinite term, that is not in liquidation, and for which
there is no requirement to return capital to investors through
redemption requests in the ordinary course of business, except where funded
by new capital inflows or where required redemption requests are limited in quantum. Includes co-investment capital with an
investor right
to convert into Perpetual Capital.
–
FRE Margin is calculated by dividing Fee Related Earnings by Fee Related Revenues (defined as the sum of Total Segment Management and
Advisory Fees, Net and Fee Related Performance Revenues).
§
Adjusted Earnings Before Interest, Taxes and Depreciation and Amortization, or “Adjusted EBITDA”, is a supplemental measure used to
assess performance derived from
Blackstone’s segment results and may be used to assess its ability to service its borrowings. Adjusted EBITDA
represents Distributable Earnings plus the addition of (a) Interest Expense on a segment basis, (b) Taxes and Related
Payables, and
(c) Depreciation and Amortization. Adjusted EBITDA is derived from and reconciled to, but not equivalent to, its most directly comparable GAAP
measure of Income (Loss) Before Provision (Benefit) for Taxes.
§
Performance Revenues collectively refers to: (a) Incentive Fees, and (b) Performance Allocations.
§
Performance Compensation collectively refers to: (a) Incentive Fee Compensation, and (b) Performance Allocations Compensation.
–
Performance Compensation reflects an increase in the aggregate Realized Performance Compensation paid to certain of our professionals
above the amounts allocable to them based upon the percentage participation in
the relevant performance plans previously awarded to
them as a result of a compensation program that commenced in 2Q’21. For the full year 2024, Fee Related Compensation was decreased by
the total amount of additional Performance
Compensation awarded for the year resulting in no impact to Distributable Earnings for the full
year. In 4Q’24 the increase to Realized Performance Compensation was less than the decrease to Fee Related Compensation, which
favorably
impacted Distributable Earnings for the quarter. These changes typically have an impact on individual quarters but do not impact
Income Before Provision (Benefit) for Taxes and Distributable Earnings for the full year.
§
Transaction-Related and Non-Recurring Items arise from corporate actions including acquisitions, divestitures, Blackstone’s initial public
offering, and non-recurring gains, losses, or other charges, if any. They consist primarily of equity-based compensation charges, gains and losses
on contingent consideration arrangements, changes in the balance of the Tax
Receivable Agreement resulting from a change in tax law or similar
event, transaction costs, gains or losses associated with these corporate actions, and non-recurring gains, losses or other charges that
affect period-to-period comparability and are not reflective of Blackstone’s operational performance.
Blackstone | 37
DEFINITIONS AND DIVIDEND POLICY – (CONT’D)
Dividend Policy. Blackstone’s intention is to pay
to holders of common stock a quarterly dividend representing approximately 85% of Blackstone Inc.’s share of Distributable Earnings, subject to adjustment by amounts determined by Blackstone’s board of directors to be necessary or
appropriate to provide for the conduct of its business, to make appropriate investments in its business and funds, to comply with applicable law, any of its debt instruments or other agreements, or to provide for future cash requirements such as tax-related payments, clawback obligations and dividends to shareholders for any ensuing quarter. The dividend amount could also be adjusted upward in any one quarter. All of the foregoing is subject to the
qualification that the declaration and payment of any dividends are at the sole discretion of Blackstone’s board of directors and our board of
directors may change our dividend policy at any time, including, without limitation, to reduce
such quarterly dividends or even to eliminate such dividends entirely.
Blackstone | 38
FORWARD-LOOKING STATEMENTS
This presentation may contain forward-looking
statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which reflect our current views with respect to, among other things, our operations,
taxes, earnings and financial performance, share repurchases and dividends. You can identify these forward-looking statements by the use of words such as “outlook,” “indicator,” “believes,” “expects,”
“potential,” “continues,” “may,” “will,” “should,” “seeks,” “approximately,” “predicts,” “intends,” “plans,” “scheduled,”
“estimates,” “anticipates,” “opportunity,” “leads,” “forecast” or the negative version of these words or other comparable words. Such forward-looking statements are subject to various risks and
uncertainties. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. We believe these factors include but are not limited
to those described
under the section entitled “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2023, as such
factors may be updated from time to time in our periodic filings
with the United States Securities and Exchange Commission (“SEC”), which are accessible on the SEC’s website at www.sec.gov. These factors should not be construed as exhaustive and should be read in conjunction with the
other
cautionary statements that are included in this report and in our other periodic filings. The forward-looking statements speak only as of the
date of this report, and we undertake no obligation to publicly update or review any forward-looking
statement, whether as a result of new
information, future developments or otherwise.
This presentation does not constitute an offer of any Blackstone
Fund.
Blackstone | 39
Mentions · how they’re counted
| Category | Underlined | Word counter | Model’s count |
|---|---|---|---|
| AI AI, artificial intelligence, generative AI, machine learning, large language model, LLM | 0 | — | — |
| Layoffs layoffs, RIF, headcount reduction, workforce optimization, restructuring | 0 | — | — |
| Recession recession, downturn, contraction, slowdown | 0 | — | — |
| Tariffs tariff, trade war, trade barriers, trade restrictions, trade policy | 0 | — | — |
| 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