[10-Q] Blackrock, Inc. Quarterly Earnings Report
On 4 Aug 2025 American Water Works (AWK) executed three forward sale agreements with Wells Fargo, JPMorgan and Mizuho covering 7,042,254 borrowed shares of common stock that were sold to underwriters on 6 Aug 2025. AWK may settle any time up to 31 Dec 2026. Initial forward sale price: $139.657 per share, subject to daily adjustment for the overnight bank-funding rate minus a spread and for expected dividends. Default settlement is physical share issuance, but the company can elect cash or net-share settlement.
If physically settled in full (and without the underwriters鈥� 30-day option for up to 1,056,338 additional shares), AWK estimates net proceeds of 鈮� $983.5 million before expenses, intended for general corporate purposes. Forward purchasers may accelerate settlement upon stock-loan constraints, large dividends, M&A events, regulatory changes or default events. The transaction increases capital flexibility but creates potential dilution and pricing risk tied to future market levels and interest-rate adjustments.
Il 4 agosto 2025 American Water Works (AWK) ha stipulato tre accordi di vendita a termine con Wells Fargo, JPMorgan e Mizuho relativi a 7.042.254 azioni prese in prestito di azioni ordinarie, vendute agli underwriter il 6 agosto 2025. AWK pu貌 effettuare il regolamento in qualsiasi momento fino al 31 dicembre 2026. Prezzo iniziale della vendita a termine: 139,657 $ per azione, soggetto ad aggiustamenti giornalieri basati sul tasso overnight di finanziamento bancario meno uno spread e sui dividendi previsti. Il regolamento predefinito 猫 l鈥檈missione fisica delle azioni, ma la societ脿 pu貌 scegliere un regolamento in contanti o con azioni nette.
Se il regolamento avviene completamente in forma fisica (e senza l'opzione degli underwriter di 30 giorni per fino a 1.056.338 azioni aggiuntive), AWK stima proventi netti di circa 983,5 milioni di dollari prima delle spese, destinati a scopi aziendali generali. Gli acquirenti a termine possono accelerare il regolamento in caso di vincoli sul prestito azionario, dividendi elevati, operazioni di fusione e acquisizione, cambiamenti normativi o eventi di inadempienza. L鈥檕perazione aumenta la flessibilit脿 del capitale ma comporta rischi di diluizione e di prezzo legati ai livelli di mercato futuri e alle variazioni dei tassi di interesse.
El 4 de agosto de 2025, American Water Works (AWK) firm贸 tres acuerdos de venta a plazo con Wells Fargo, JPMorgan y Mizuho, que cubren 7.042.254 acciones prestadas de acciones comunes que se vendieron a los suscriptores el 6 de agosto de 2025. AWK puede liquidar en cualquier momento hasta el 31 de diciembre de 2026. Precio inicial de venta a plazo: 139,657 $ por acci贸n, sujeto a ajustes diarios basados en la tasa bancaria overnight menos un diferencial y los dividendos esperados. La liquidaci贸n predeterminada es la emisi贸n f铆sica de acciones, pero la compa帽铆a puede optar por liquidaci贸n en efectivo o con acciones netas.
Si se liquida completamente de forma f铆sica (y sin la opci贸n de 30 d铆as de los suscriptores para hasta 1.056.338 acciones adicionales), AWK estima ingresos netos de aproximadamente 983,5 millones de d贸lares antes de gastos, destinados a prop贸sitos corporativos generales. Los compradores a plazo pueden acelerar la liquidaci贸n ante restricciones del pr茅stamo de acciones, dividendos altos, eventos de fusiones y adquisiciones, cambios regulatorios o eventos de incumplimiento. La transacci贸n aumenta la flexibilidad de capital pero genera riesgos potenciales de diluci贸n y de precio vinculados a los niveles futuros del mercado y ajustes en las tasas de inter茅s.
2025雲� 8鞗� 4鞚�, American Water Works(AWK)電� Wells Fargo, JPMorgan, Mizuho鞕� 頃粯 7,042,254欤� 雽�鞐� 欤检嫕鞐� 雽�頃� 靹� 瓯挫潣 靹犽弰 毵る弰 瓿勳暯鞚� 觳搓舶頄堨溂氅�, 鞚� 欤检嫕霌れ潃 2025雲� 8鞗� 6鞚� 鞚胳垬鞚鸽摛鞐愱矊 韺愲Г霅橃棃鞀惦媹雼�. AWK電� 2026雲� 12鞗� 31鞚缄箤歆� 鞏胳牅霌犾 瓴办牅毳� 頃� 靾� 鞛堨姷雼堧嫟. 齑堦赴 靹犽弰 毵る弰 臧�瓴╈潃 欤茧嫻 139.657雼煬鞚措┌, 鞚措姅 鞚奠澕 鞚�頄� 鞛愱笀 臁半嫭 旮堧Μ鞐愳劀 鞀ろ攧霠堧摐毳� 彀皭頃橁碃 鞓堨儊 氚半嫻旮堨潉 氚橃榿頃橃棳 鞚检澕 臁办爼霅╇媹雼�. 旮半掣 瓴办牅 氚╈嫕鞚� 氍茧Μ鞝� 欤检嫕 氚滍枆鞚挫毵�, 須岇偓電� 順勱笀 霕愲姅 靾滌＜鞁� 瓴办牅毳� 靹犿儩頃� 靾� 鞛堨姷雼堧嫟.
毵岇暯 鞝勳暋 氍茧Μ鞝� 瓴办牅(氚� 鞚胳垬鞚鸽摛鞚� 30鞚� 鞓奠厴鞙茧 斓滊寑 1,056,338欤� 於旉皜 毵る弰 鞝滌櫢) 鞁�, AWK電� 牍勳毄 彀皭 鞝� 鞎� 9鞏� 8,350毵� 雼煬鞚� 靾滌垬鞚�鞚� 鞓堨儊頃橂┌, 鞚� 鞛愱笀鞚� 鞚茧皹 旮办梾 氇╈爜鞐� 靷毄霅� 鞓堨爼鞛呺媹雼�. 靹犽弰 毵れ垬鞛愲姅 欤检嫕 雽�鞐� 鞝滍暅, 瓿犽鞍雼�, 鞚胳垬頃╇硲 鞚措菠韸�, 攴滌牅 氤�瓴� 霕愲姅 霐旐彺韸� 鞚措菠韸� 氚滌儩 鞁� 瓴办牅 臁瓣赴 歆勴枆鞚� 鞖旉惮頃� 靾� 鞛堨姷雼堧嫟. 鞚� 瓯半灅電� 鞛愲掣 鞙犾棸靹膘潉 雴掛澊歆�毵�, 氙鸽灅 鞁滌灔 靾橃瓿� 旮堧Μ 氤�霃欖棎 霐半ジ 頋劃 氚� 臧�瓴� 鞙勴棙鞚� 雮错彫頃╇媹雼�.
Le 4 ao没t 2025, American Water Works (AWK) a conclu trois accords de vente 脿 terme avec Wells Fargo, JPMorgan et Mizuho portant sur 7 042 254 actions emprunt茅es d鈥檃ctions ordinaires, vendues aux souscripteurs le 6 ao没t 2025. AWK peut r茅gler 脿 tout moment jusqu鈥檃u 31 d茅cembre 2026. Prix initial de la vente 脿 terme : 139,657 $ par action, soumis 脿 un ajustement quotidien bas茅 sur le taux de financement bancaire overnight moins une marge et les dividendes attendus. Le r猫glement par d茅faut est une 茅mission physique d鈥檃ctions, mais la soci茅t茅 peut choisir un r猫glement en esp猫ces ou par actions nettes.
Si le r猫glement est effectu茅 int茅gralement en actions physiques (et sans l鈥檕ption de 30 jours des souscripteurs pour jusqu鈥櫭� 1 056 338 actions suppl茅mentaires), AWK estime des produits nets d鈥檈nviron 983,5 millions de dollars avant frais, destin茅s 脿 des usages g茅n茅raux d鈥檈ntreprise. Les acheteurs 脿 terme peuvent acc茅l茅rer le r猫glement en cas de contraintes sur le pr锚t d鈥檃ctions, de dividendes importants, d鈥檕p茅rations de fusion-acquisition, de changements r茅glementaires ou d鈥櫭﹙茅nements de d茅faut. Cette op茅ration augmente la flexibilit茅 du capital mais engendre des risques potentiels de dilution et de prix li茅s aux niveaux futurs du march茅 et aux ajustements des taux d鈥檌nt茅r锚t.
Am 4. August 2025 schloss American Water Works (AWK) drei 罢别谤尘颈苍办补耻蹿惫别谤迟谤盲驳别 mit Wells Fargo, JPMorgan und Mizuho ab, die 7.042.254 geliehene Stammaktien abdecken, welche am 6. August 2025 an Underwriter verkauft wurden. AWK kann jederzeit bis zum 31. Dezember 2026 abrechnen. Der anf盲ngliche Terminkaufpreis betr盲gt 139,657 $ pro Aktie, vorbehaltlich t盲glicher Anpassungen basierend auf dem Overnight-Bankfinanzierungssatz abz眉glich eines Spreads und erwarteter Dividenden. Die Standardabrechnung erfolgt durch physische Aktienausgabe, das Unternehmen kann jedoch eine Barausgleichs- oder Nettoaktienabrechnung w盲hlen.
Bei vollst盲ndiger physischer Abwicklung (und ohne die 30-t盲gige Option der Underwriter f眉r bis zu 1.056.338 zus盲tzliche Aktien) sch盲tzt AWK Nettoerl枚se von ca. 983,5 Millionen US-Dollar vor Kosten, die f眉r allgemeine Unternehmenszwecke vorgesehen sind. Termink盲ufer k枚nnen die Abwicklung bei Aktienleihe-Beschr盲nkungen, hohen Dividenden, M&A-Ereignissen, regulatorischen 脛nderungen oder Ausfallereignissen beschleunigen. Die Transaktion erh枚ht die Kapitalflexibilit盲t, birgt jedoch potenzielle Verw盲sserungs- und Preisrisiken, die mit zuk眉nftigen Marktniveaus und Zinsanpassungen verbunden sind.
- Secures up to $983.5 million in potential equity capital to fund future projects without immediate dilution or leverage increase.
- Flexible settlement window through 31 Dec 2026 allows alignment of equity issuance with investment timetable and market conditions.
- Potential issuance of 7.0鈥�8.1 million new shares could dilute existing shareholders by roughly 4 % once settled.
- Forward sale price adjusts downward for dividends and negative rate spreads, possibly reducing net proceeds.
- Acceleration clauses tied to stock-loan availability, large dividends or corporate events add counter-party and timing risk.
Insights
TL;DR: $983 m capital raise via forward sale; dilution risk balanced by funding flexibility鈥攐verall neutral.
The agreement lets AWK lock in a $139.657 issue price while delaying share issuance up to 17 months, supplying up to $983 m for regulated-utility investment. Because proceeds arrive only on physical settlement, leverage remains unchanged short-term, yet future share count could rise 鈮� 4.0% (7.0 m-8.1 m shares). Adjustments tied to rates and dividends add modest pricing uncertainty. Acceleration and extraordinary-event clauses introduce limited counter-party risk. Net: financing optionality is positive, but dilution tempers valuation鈥攊mpact viewed as neutral.
TL;DR: Structured equity raises sizable low-cost funds; shareholder dilution and market-price exposure are key trade-offs.
Forward sales shift execution risk to banks, minimizing immediate EPS drag and allowing AWK to match equity issuance with capital-spending cadence. The $139.657 strike approximates current market less underwriting fees, indicating solid demand. Flexibility to cash-settle offers downside hedging but could drain cash if shares rally. Green-shoe adds 15% capacity. Given the utility鈥檚 predictable rate-base growth, equity infusion aligns with regulatory capital structures. Still, eventual issuance at today鈥檚 price caps upside to existing holders. I assign neutral-to-slightly negative share-price impact pending deployment specifics.
Il 4 agosto 2025 American Water Works (AWK) ha stipulato tre accordi di vendita a termine con Wells Fargo, JPMorgan e Mizuho relativi a 7.042.254 azioni prese in prestito di azioni ordinarie, vendute agli underwriter il 6 agosto 2025. AWK pu貌 effettuare il regolamento in qualsiasi momento fino al 31 dicembre 2026. Prezzo iniziale della vendita a termine: 139,657 $ per azione, soggetto ad aggiustamenti giornalieri basati sul tasso overnight di finanziamento bancario meno uno spread e sui dividendi previsti. Il regolamento predefinito 猫 l鈥檈missione fisica delle azioni, ma la societ脿 pu貌 scegliere un regolamento in contanti o con azioni nette.
Se il regolamento avviene completamente in forma fisica (e senza l'opzione degli underwriter di 30 giorni per fino a 1.056.338 azioni aggiuntive), AWK stima proventi netti di circa 983,5 milioni di dollari prima delle spese, destinati a scopi aziendali generali. Gli acquirenti a termine possono accelerare il regolamento in caso di vincoli sul prestito azionario, dividendi elevati, operazioni di fusione e acquisizione, cambiamenti normativi o eventi di inadempienza. L鈥檕perazione aumenta la flessibilit脿 del capitale ma comporta rischi di diluizione e di prezzo legati ai livelli di mercato futuri e alle variazioni dei tassi di interesse.
El 4 de agosto de 2025, American Water Works (AWK) firm贸 tres acuerdos de venta a plazo con Wells Fargo, JPMorgan y Mizuho, que cubren 7.042.254 acciones prestadas de acciones comunes que se vendieron a los suscriptores el 6 de agosto de 2025. AWK puede liquidar en cualquier momento hasta el 31 de diciembre de 2026. Precio inicial de venta a plazo: 139,657 $ por acci贸n, sujeto a ajustes diarios basados en la tasa bancaria overnight menos un diferencial y los dividendos esperados. La liquidaci贸n predeterminada es la emisi贸n f铆sica de acciones, pero la compa帽铆a puede optar por liquidaci贸n en efectivo o con acciones netas.
Si se liquida completamente de forma f铆sica (y sin la opci贸n de 30 d铆as de los suscriptores para hasta 1.056.338 acciones adicionales), AWK estima ingresos netos de aproximadamente 983,5 millones de d贸lares antes de gastos, destinados a prop贸sitos corporativos generales. Los compradores a plazo pueden acelerar la liquidaci贸n ante restricciones del pr茅stamo de acciones, dividendos altos, eventos de fusiones y adquisiciones, cambios regulatorios o eventos de incumplimiento. La transacci贸n aumenta la flexibilidad de capital pero genera riesgos potenciales de diluci贸n y de precio vinculados a los niveles futuros del mercado y ajustes en las tasas de inter茅s.
2025雲� 8鞗� 4鞚�, American Water Works(AWK)電� Wells Fargo, JPMorgan, Mizuho鞕� 頃粯 7,042,254欤� 雽�鞐� 欤检嫕鞐� 雽�頃� 靹� 瓯挫潣 靹犽弰 毵る弰 瓿勳暯鞚� 觳搓舶頄堨溂氅�, 鞚� 欤检嫕霌れ潃 2025雲� 8鞗� 6鞚� 鞚胳垬鞚鸽摛鞐愱矊 韺愲Г霅橃棃鞀惦媹雼�. AWK電� 2026雲� 12鞗� 31鞚缄箤歆� 鞏胳牅霌犾 瓴办牅毳� 頃� 靾� 鞛堨姷雼堧嫟. 齑堦赴 靹犽弰 毵る弰 臧�瓴╈潃 欤茧嫻 139.657雼煬鞚措┌, 鞚措姅 鞚奠澕 鞚�頄� 鞛愱笀 臁半嫭 旮堧Μ鞐愳劀 鞀ろ攧霠堧摐毳� 彀皭頃橁碃 鞓堨儊 氚半嫻旮堨潉 氚橃榿頃橃棳 鞚检澕 臁办爼霅╇媹雼�. 旮半掣 瓴办牅 氚╈嫕鞚� 氍茧Μ鞝� 欤检嫕 氚滍枆鞚挫毵�, 須岇偓電� 順勱笀 霕愲姅 靾滌＜鞁� 瓴办牅毳� 靹犿儩頃� 靾� 鞛堨姷雼堧嫟.
毵岇暯 鞝勳暋 氍茧Μ鞝� 瓴办牅(氚� 鞚胳垬鞚鸽摛鞚� 30鞚� 鞓奠厴鞙茧 斓滊寑 1,056,338欤� 於旉皜 毵る弰 鞝滌櫢) 鞁�, AWK電� 牍勳毄 彀皭 鞝� 鞎� 9鞏� 8,350毵� 雼煬鞚� 靾滌垬鞚�鞚� 鞓堨儊頃橂┌, 鞚� 鞛愱笀鞚� 鞚茧皹 旮办梾 氇╈爜鞐� 靷毄霅� 鞓堨爼鞛呺媹雼�. 靹犽弰 毵れ垬鞛愲姅 欤检嫕 雽�鞐� 鞝滍暅, 瓿犽鞍雼�, 鞚胳垬頃╇硲 鞚措菠韸�, 攴滌牅 氤�瓴� 霕愲姅 霐旐彺韸� 鞚措菠韸� 氚滌儩 鞁� 瓴办牅 臁瓣赴 歆勴枆鞚� 鞖旉惮頃� 靾� 鞛堨姷雼堧嫟. 鞚� 瓯半灅電� 鞛愲掣 鞙犾棸靹膘潉 雴掛澊歆�毵�, 氙鸽灅 鞁滌灔 靾橃瓿� 旮堧Μ 氤�霃欖棎 霐半ジ 頋劃 氚� 臧�瓴� 鞙勴棙鞚� 雮错彫頃╇媹雼�.
Le 4 ao没t 2025, American Water Works (AWK) a conclu trois accords de vente 脿 terme avec Wells Fargo, JPMorgan et Mizuho portant sur 7 042 254 actions emprunt茅es d鈥檃ctions ordinaires, vendues aux souscripteurs le 6 ao没t 2025. AWK peut r茅gler 脿 tout moment jusqu鈥檃u 31 d茅cembre 2026. Prix initial de la vente 脿 terme : 139,657 $ par action, soumis 脿 un ajustement quotidien bas茅 sur le taux de financement bancaire overnight moins une marge et les dividendes attendus. Le r猫glement par d茅faut est une 茅mission physique d鈥檃ctions, mais la soci茅t茅 peut choisir un r猫glement en esp猫ces ou par actions nettes.
Si le r猫glement est effectu茅 int茅gralement en actions physiques (et sans l鈥檕ption de 30 jours des souscripteurs pour jusqu鈥櫭� 1 056 338 actions suppl茅mentaires), AWK estime des produits nets d鈥檈nviron 983,5 millions de dollars avant frais, destin茅s 脿 des usages g茅n茅raux d鈥檈ntreprise. Les acheteurs 脿 terme peuvent acc茅l茅rer le r猫glement en cas de contraintes sur le pr锚t d鈥檃ctions, de dividendes importants, d鈥檕p茅rations de fusion-acquisition, de changements r茅glementaires ou d鈥櫭﹙茅nements de d茅faut. Cette op茅ration augmente la flexibilit茅 du capital mais engendre des risques potentiels de dilution et de prix li茅s aux niveaux futurs du march茅 et aux ajustements des taux d鈥檌nt茅r锚t.
Am 4. August 2025 schloss American Water Works (AWK) drei 罢别谤尘颈苍办补耻蹿惫别谤迟谤盲驳别 mit Wells Fargo, JPMorgan und Mizuho ab, die 7.042.254 geliehene Stammaktien abdecken, welche am 6. August 2025 an Underwriter verkauft wurden. AWK kann jederzeit bis zum 31. Dezember 2026 abrechnen. Der anf盲ngliche Terminkaufpreis betr盲gt 139,657 $ pro Aktie, vorbehaltlich t盲glicher Anpassungen basierend auf dem Overnight-Bankfinanzierungssatz abz眉glich eines Spreads und erwarteter Dividenden. Die Standardabrechnung erfolgt durch physische Aktienausgabe, das Unternehmen kann jedoch eine Barausgleichs- oder Nettoaktienabrechnung w盲hlen.
Bei vollst盲ndiger physischer Abwicklung (und ohne die 30-t盲gige Option der Underwriter f眉r bis zu 1.056.338 zus盲tzliche Aktien) sch盲tzt AWK Nettoerl枚se von ca. 983,5 Millionen US-Dollar vor Kosten, die f眉r allgemeine Unternehmenszwecke vorgesehen sind. Termink盲ufer k枚nnen die Abwicklung bei Aktienleihe-Beschr盲nkungen, hohen Dividenden, M&A-Ereignissen, regulatorischen 脛nderungen oder Ausfallereignissen beschleunigen. Die Transaktion erh枚ht die Kapitalflexibilit盲t, birgt jedoch potenzielle Verw盲sserungs- und Preisrisiken, die mit zuk眉nftigen Marktniveaus und Zinsanpassungen verbunden sind.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM
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Indicate by check mark whether the registrant has submitted electronically, every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).
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Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
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If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
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BlackRock, Inc.
Index to Form 10-Q
PART I
FINANCIAL INFORMATION
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Item 1. |
Financial Statements (unaudited) |
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Condensed Consolidated Statements of Financial Condition |
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Condensed Consolidated Statements of Income |
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Condensed Consolidated Statements of Comprehensive Income |
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Condensed Consolidated Statements of Cash Flows |
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Item 2. |
Management’s Discussion and Analysis of Financial Condition and Results of Operations |
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Item 3. |
Quantitative and Qualitative Disclosures About Market Risk |
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Item 4. |
Controls and Procedures |
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PART II
OTHER INFORMATION
Item 1. |
Legal Proceedings |
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Risk Factors |
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Unregistered Sales of Equity Securities and Use of Proceeds |
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Item 6. |
Exhibits |
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Signatures |
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PART I – FINANCIAL INFORMATION
Item 1. Financial Statements
BlackRock, Inc.
Condensed Consolidated Statements of Financial Condition
(unaudited)
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||
(in millions, except shares and per share data) |
|
2025 |
|
|
2024 |
|
||
Assets |
|
|
|
|
|
|
||
Cash and cash equivalents(1) |
|
$ |
|
|
$ |
|
||
Accounts receivable |
|
|
|
|
|
|
||
Investments(1) |
|
|
|
|
|
|
||
Separate account assets |
|
|
|
|
|
|
||
Separate account collateral held under securities lending agreements |
|
|
|
|
|
|
||
Property and equipment (net of accumulated depreciation and amortization of $ |
|
|
|
|
|
|
||
Intangible assets (net of accumulated amortization of $ |
|
|
|
|
|
|
||
Goodwill |
|
|
|
|
|
|
||
Operating lease right-of-use assets |
|
|
|
|
|
|
||
Other assets(1) |
|
|
|
|
|
|
||
Total assets |
|
$ |
|
|
$ |
|
||
Liabilities |
|
|
|
|
|
|
||
Accrued compensation and benefits |
|
$ |
|
|
$ |
|
||
Accounts payable and accrued liabilities |
|
|
|
|
|
|
||
Borrowings |
|
|
|
|
|
|
||
Separate account liabilities |
|
|
|
|
|
|
||
Separate account collateral liabilities under securities lending agreements |
|
|
|
|
|
|
||
Contingent consideration liabilities |
|
|
|
|
|
|
||
Deferred income tax liabilities |
|
|
|
|
|
|
||
Operating lease liabilities |
|
|
|
|
|
|
||
Other liabilities(1) |
|
|
|
|
|
|
||
Total liabilities |
|
|
|
|
|
|
||
(Note 15) |
|
|
|
|
|
|
||
Temporary equity |
|
|
|
|
|
|
||
Redeemable noncontrolling interests |
|
|
|
|
|
|
||
Permanent equity |
|
|
|
|
|
|
||
BlackRock, Inc. stockholders’ equity |
|
|
|
|
|
|
||
Common stock, $ |
|
|
|
|
|
|
||
Shares authorized: |
|
|
|
|
|
|
||
Additional paid-in capital |
|
|
|
|
|
|
||
Retained earnings |
|
|
|
|
|
|
||
Accumulated other comprehensive loss |
|
|
( |
) |
|
|
( |
) |
Treasury stock, common, at cost ( |
|
|
( |
) |
|
|
( |
) |
Total BlackRock, Inc. stockholders’ equity |
|
|
|
|
|
|
||
Nonredeemable noncontrolling interests |
|
|
|
|
|
|
||
Total permanent equity |
|
|
|
|
|
|
||
Total liabilities, temporary equity and permanent equity |
|
$ |
|
|
$ |
|
||
See accompanying notes to condensed consolidated financial statements.
1
BlackRock, Inc.
Condensed Consolidated Statements of Income
(unaudited)
|
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions, except per share data) |
|
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
Revenue |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Investment advisory, administration fees |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Investment advisory and administration fees |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Securities lending revenue |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Total investment advisory, administration fees |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Investment advisory performance fees |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Technology services and subscription revenue |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Distribution fees |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Advisory and other revenue |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Total revenue |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Expense |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Employee compensation and benefits |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Sales, asset and account expense: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Distribution and servicing costs |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Direct fund expense |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Sub-advisory and other |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Total sales, asset and account expense |
|
|
|
|
|
|
|
|
|
|
|
|
||||
General and administration expense |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Restructuring charge |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Amortization of intangible assets |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Total expense |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Operating income |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Nonoperating income (expense) |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Net gain (loss) on investments |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Interest and dividend income |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Interest expense |
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
Total nonoperating income (expense) |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Income before income taxes |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Income tax expense |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Net income |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Less: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Net income (loss) attributable to |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Net income attributable to BlackRock, Inc. |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Earnings per share attributable to BlackRock, Inc. |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Basic |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Diluted |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Weighted-average common shares |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Basic |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Diluted |
|
|
|
|
|
|
|
|
|
|
|
|
||||
See accompanying notes to condensed consolidated financial statements.
2
BlackRock, Inc.
Condensed Consolidated Statements of Comprehensive Income
(unaudited)
|
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions) |
|
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
Net income |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Other comprehensive income (loss): |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Foreign currency translation adjustments(1) |
|
|
|
|
|
( |
) |
|
|
|
|
|
( |
) |
||
Comprehensive income (loss) |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Less: Comprehensive income (loss) attributable to |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Comprehensive income attributable to |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
See accompanying notes to condensed consolidated financial statements.
3
BlackRock, Inc.
Condensed Consolidated Statements of Changes in Equity
(unaudited)
For the Six Months Ended June 30, 2025
(in millions, except per share data) |
Additional |
|
|
Retained |
|
|
Accumulated |
|
|
Treasury |
|
|
Total |
|
|
Nonredeemable |
|
|
Total |
|
|
Redeemable |
|
||||||||
December 31, 2024 |
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
Net income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|||||||
Dividends declared ($ |
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|||||
Stock-based compensation |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Issuance of common shares related to |
|
( |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Employee tax withholdings related to |
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|||||
Shares repurchased |
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|||||
Subscriptions (redemptions/distributions) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
( |
) |
|
|
|
||||||
Net consolidations (deconsolidations) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|||||||
Other comprehensive income (loss) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
June 30, 2025 |
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
For the Three Months Ended June 30, 2025
(in millions, except per share data) |
Additional |
|
|
Retained |
|
|
Accumulated |
|
|
Treasury |
|
|
Total |
|
|
Nonredeemable |
|
|
Total |
|
|
Redeemable |
|
||||||||
March 31, 2025 |
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
Net income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|||||||
Dividends declared ($ |
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|||||
Stock-based compensation |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Issuance of common shares related to |
|
( |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Employee tax withholdings related to |
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|||||
Shares repurchased |
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|||||
Subscriptions (redemptions/distributions) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
( |
) |
|
|
|
||||||
Net consolidations (deconsolidations) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|||||||
Other comprehensive income (loss) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
June 30, 2025 |
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
See accompanying notes to condensed consolidated financial statements.
4
BlackRock, Inc.
Condensed Consolidated Statements of Changes in Equity
(unaudited)
For the Six Months Ended June 30, 2024
(in millions, except per share data) |
Additional |
|
|
Retained |
|
|
Accumulated |
|
|
Treasury |
|
|
Total |
|
|
Nonredeemable |
|
|
Total |
|
|
Redeemable |
|
||||||||
December 31, 2023 |
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
Net income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|||||||
Dividends declared ($ |
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|||||
Stock-based compensation |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Issuance of common shares related to |
|
( |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Employee tax withholdings related to |
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|||||
Shares repurchased |
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|||||
Subscriptions (redemptions/distributions) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Net consolidations (deconsolidations) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|||||||
Other comprehensive income (loss) |
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|||||
June 30, 2024 |
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
For the Three Months Ended June 30, 2024
(in millions, except per share data) |
Additional |
|
|
Retained |
|
|
Accumulated |
|
|
Treasury |
|
|
Total |
|
|
Nonredeemable |
|
|
Total |
|
|
Redeemable |
|
||||||||
March 31, 2024 |
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
Net income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Dividends declared ($ |
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|||||
Stock-based compensation |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Issuance of common shares related to |
|
( |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Employee tax withholdings related to |
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|||||
Shares repurchased |
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|||||
Subscriptions (redemptions/distributions) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
( |
) |
|
|
|
||||||
Net consolidations (deconsolidations) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|||||||
Other comprehensive income (loss) |
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|||||
June 30, 2024 |
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
See accompanying notes to condensed consolidated financial statements.
5
BlackRock, Inc.
Condensed Consolidated Statements of Cash Flows
(unaudited)
|
|
Six Months Ended |
|
|||||
|
|
June 30, |
|
|||||
(in millions) |
|
2025 |
|
|
2024 |
|
||
Operating activities |
|
|
|
|
|
|
||
Net income |
|
$ |
|
|
$ |
|
||
Adjustments to reconcile net income to net cash provided by/(used in) operating activities: |
|
|
|
|
|
|
||
Depreciation and amortization |
|
|
|
|
|
|
||
Noncash lease expense |
|
|
|
|
|
|
||
Stock-based compensation |
|
|
|
|
|
|
||
Deferred income tax expense (benefit) |
|
|
( |
) |
|
|
( |
) |
Contingent consideration fair value adjustments |
|
|
|
|
|
( |
) |
|
Other investment (gains) |
|
|
( |
) |
|
|
( |
) |
Net (gains) losses within CIPs |
|
|
( |
) |
|
|
( |
) |
Net (purchases) proceeds within CIPs |
|
|
( |
) |
|
|
( |
) |
(Earnings) losses from equity method investees |
|
|
( |
) |
|
|
( |
) |
Distributions of earnings from equity method investees |
|
|
|
|
|
|
||
Changes in operating assets and liabilities: |
|
|
|
|
|
|
||
Accounts receivable |
|
|
|
|
|
( |
) |
|
Investments, trading |
|
|
|
|
|
( |
) |
|
Other assets |
|
|
( |
) |
|
|
( |
) |
Accrued compensation and benefits |
|
|
( |
) |
|
|
( |
) |
Accounts payable and accrued liabilities |
|
|
|
|
|
|
||
Other liabilities |
|
|
|
|
|
|
||
Net cash provided by/(used in) operating activities |
|
|
|
|
|
|
||
Investing activities |
|
|
|
|
|
|
||
Purchases of investments |
|
|
( |
) |
|
|
( |
) |
Proceeds from sales and maturities of investments |
|
|
|
|
|
|
||
Distributions of capital from equity method investees |
|
|
|
|
|
|
||
Net consolidations (deconsolidations) of sponsored investment funds |
|
|
( |
) |
|
|
( |
) |
Acquisition, net of cash acquired |
|
|
( |
) |
|
|
( |
) |
Purchases of property and equipment |
|
|
( |
) |
|
|
( |
) |
Net cash provided by/(used in) investing activities |
|
|
( |
) |
|
|
|
|
Financing activities |
|
|
|
|
|
|
||
Repayments of long-term borrowings |
|
|
( |
) |
|
|
( |
) |
Proceeds from long-term borrowings |
|
|
|
|
|
|
||
Cash dividends paid |
|
|
( |
) |
|
|
( |
) |
Proceeds from stock options exercised |
|
|
|
|
|
|
||
Repurchases of common stock |
|
|
( |
) |
|
|
( |
) |
Net proceeds from (repayments of) borrowings by CIPs |
|
|
( |
) |
|
|
|
|
Net subscriptions received/(redemptions/distributions paid) from noncontrolling interest holders |
|
|
|
|
|
|
||
Other financing activities |
|
|
( |
) |
|
|
( |
) |
Net cash provided by/(used in) financing activities |
|
|
( |
) |
|
|
|
|
Effect of exchange rate changes on cash, cash equivalents and restricted cash |
|
|
|
|
|
( |
) |
|
Net increase/(decrease) in cash, cash equivalents and restricted cash |
|
|
( |
) |
|
|
|
|
Cash, cash equivalents and restricted cash, beginning of period |
|
|
|
|
|
|
||
Cash, cash equivalents and restricted cash, end of period |
|
$ |
|
|
$ |
|
||
Supplemental schedule of noncash investing and financing transactions: |
|
|
|
|
|
|
||
Issuance of common stock |
|
$ |
|
|
$ |
|
||
Increase (decrease) in noncontrolling interests due to net consolidation (deconsolidation) of |
|
$ |
( |
) |
|
$ |
( |
) |
See accompanying notes to condensed consolidated financial statements.
6
BlackRock, Inc.
Notes to the Condensed Consolidated Financial Statements
(unaudited)
1. Business Overview
BlackRock, Inc. (together, with its subsidiaries, unless the context otherwise indicates, “BlackRock” or the “Company”) is a leading publicly traded investment management firm providing a broad range of investment management and technology services to institutional and retail clients worldwide.
BlackRock’s diverse platform of alpha-seeking active, private markets, index and cash management investment strategies across asset classes enables the Company to offer choice and tailor investment and asset allocation solutions for clients. Product offerings include single- and multi-asset portfolios investing in equities, fixed income, private markets, liquid alternatives and money market instruments. Products are offered directly and through intermediaries in a variety of vehicles, including open-end and closed-end mutual funds, iShares® exchange-traded funds (“ETFs”), separate accounts, collective trust funds and other pooled investment vehicles. BlackRock also offers technology and subscription services, including the investment and risk management technology platform, Aladdin®, Aladdin WealthTM, eFront®, Preqin and Cachematrix®, as well as advisory services and solutions to a broad base of institutional and wealth management clients.
2. Significant Accounting Policies
Basis of Presentation
These condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and include the accounts of the Company and its controlled subsidiaries. Noncontrolling interests (“NCI”) on the condensed consolidated statements of financial condition represent the portion of consolidated sponsored investment products (“CIPs”) and a consolidated affiliate in which the Company does not have direct equity ownership. Intercompany balances and transactions have been eliminated upon consolidation.
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expense during the reporting periods. Actual results could differ from those estimates.
Certain financial information that normally is included in annual financial statements, including certain financial statement footnotes, is not required for interim reporting purposes and has been condensed or omitted herein. These condensed consolidated financial statements should be read in conjunction with the Company’s consolidated financial statements and footnotes related thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024, which was filed with the Securities and Exchange Commission (“SEC”) on February 25, 2025 (“2024 Form 10-K”).
The interim financial information at June 30, 2025 and for the three and six months ended June 30, 2025 and 2024 is unaudited. However, in the opinion of management, the interim information includes all normal recurring adjustments necessary for the fair presentation of the Company’s results for the periods presented. The results of operations for interim periods are not necessarily indicative of results to be expected for the full year.
Certain prior period presentations were reclassified to ensure comparability with current period classifications.
Recent Accounting Pronouncements Not Yet Adopted
Income Tax Disclosure Requirements. In December 2023, the FASB issued ASU 2023-09, Improvements to Income Tax Disclosures (“ASU 2023-09”), which enhances annual income tax disclosures. The two primary enhancements disaggregate existing income tax disclosures related to the effective tax rate reconciliation and income taxes paid. The Company will include the required ASU 2023-09 disclosures within BlackRock's 2025 Annual Report on Form 10-K.
7
Disaggregation of Income Statement Expenses. In November 2024, the FASB issued ASU 2024-03, Disaggregation of Income Statement Expenses ("ASU 2024-03"), which requires entities to disaggregate in a tabular presentation disclosures about specific types of expenses included in the expense captions presented on the face of the income statement, as well as disclosures about selling expenses. Specifically, ASU 2024-03 requires disaggregation of expense captions that include any of the following natural expenses: (1) purchases of inventory, (2) employee compensation, (3) depreciation, (4) intangible asset amortization, and (5) depreciation, depletion, and amortization recognized as part of oil- and gas-producing activities or other types of depletion expenses. The requirements are effective for fiscal years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027 and are required to be applied prospectively with the option for retrospective application. Early adoption is permitted. The Company does not expect the additional disclosure requirements under ASU 2024-03 to have a material impact on the condensed consolidated financial statements.
Fair Value Measurements
Hierarchy of Fair Value Inputs. The Company uses a fair value hierarchy that prioritizes inputs to valuation approaches used to measure fair value. The fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. Assets and liabilities measured and reported at fair value are classified and disclosed in one of the following categories:
Level 1 Inputs:
Quoted prices (unadjusted) in active markets for identical assets or liabilities at the reporting date.
Level 2 Inputs:
Quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities that are not active; quotes from pricing services or brokers for which the Company can determine that orderly transactions took place at the quoted price or that the inputs used to arrive at the price are observable; and inputs other than quoted prices that are observable, such as models or other valuation methodologies.
Level 3 Inputs:
Unobservable inputs for the valuation of the asset or liability, which may include nonbinding broker quotes. Level 3 assets include investments for which there is little, if any, market activity. These inputs require significant management judgment or estimation.
Significance of Inputs. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the financial instrument.
Valuation Approaches. The fair values of certain Level 3 assets and liabilities were determined using various valuation approaches as appropriate, including third-party pricing vendors, broker quotes and market and income approaches.
A significant number of inputs used to value equity, debt securities, and loans held within CLOs and CIPs are sourced from third-party pricing vendors. Generally, prices obtained from pricing vendors are categorized as Level 1 inputs for identical securities traded in active markets and as Level 2 for other similar securities if the vendor uses observable inputs in determining the price.
In addition, quotes obtained from brokers generally are nonbinding and categorized as Level 3 inputs. However, if the Company is able to determine that market participants have transacted for the asset in an orderly manner near the quoted price or if the Company can determine that the inputs used by the broker are observable, the quote is classified as a Level 2 input.
8
Investments Measured at Net Asset Value. As a practical expedient, the Company uses net asset value (“NAV”) as the fair value for certain investments. The inputs to value these investments may include the Company’s capital accounts for its partnership interests in various alternative investments, including hedge funds, real assets and private equity funds. The various partnerships are investment companies, which record their underlying investments at fair value based on fair value policies established by management of the underlying fund. Fair value policies at the underlying fund generally require the fund to utilize pricing/valuation information from third-party sources, including independent appraisals. However, in some instances, current valuation information for illiquid securities or securities in markets that are not active may not be available from any third-party source or fund management may conclude that the valuations that are available from third-party sources are not reliable. In these instances, fund management may perform model-based analytical valuations that could be used as an input to value these investments.
Fair Value Assets and Liabilities of Consolidated CLO. The Company applies the fair value option provisions for eligible assets, including loans, held by a consolidated CLO. As the fair value of the financial assets of the consolidated CLO is more observable than the fair value of the borrowings of the consolidated CLO, the Company measures the fair value of the borrowings of the consolidated CLO equal to the fair value of the assets of the consolidated CLO less the fair value of the Company’s economic interest in the CLO.
Derivatives and Hedging Activities. The Company does not use derivative financial instruments for trading or speculative purposes. The Company uses derivative financial instruments primarily for purposes of hedging exposures to fluctuations in foreign currency exchange rates of certain assets and liabilities, and market price and interest rate exposures with respect to its total portfolio of seed investments in sponsored investment products. In addition, certain CIPs also utilize derivatives as a part of their investment strategies.
In addition, the Company uses derivatives and makes investments to economically hedge market valuation changes on certain deferred cash compensation plans, for which the final value of the deferred amount distributed to employees in cash upon vesting is determined based on the returns of specified investment funds. The Company recognizes compensation expense for the appreciation (depreciation) of the deferred cash compensation liability in proportion to the vested amount of the award during a respective period, while the gain (loss) to economically hedge these plans is immediately recognized in nonoperating income (expense). See Note 5, Investments, and Note 9, Derivatives and Hedging, for further information on the Company’s investments and derivatives, respectively, used to economically hedge these deferred cash compensation plans.
The Company records all derivative financial instruments as either assets or liabilities at fair value on a gross basis in the condensed consolidated statements of financial condition. Credit risks are managed through master netting and collateral support agreements. The amounts related to the right to reclaim or the obligation to return cash collateral may not be used to offset amounts due under the derivative instruments in the normal course of settlement. Therefore, such amounts are not offset against fair value amounts recognized for derivative instruments with the same counterparty and are included in other assets and other liabilities. Changes in the fair value of the Company’s derivative financial instruments are recognized in earnings and, where applicable, are offset by the corresponding gain or loss on the related foreign-denominated or hedged assets or liabilities, on the condensed consolidated statements of income.
Separate Account Assets and Liabilities. Separate account assets are maintained by BlackRock Life Limited, a wholly owned subsidiary of the Company, which is a registered life insurance company in the United Kingdom (“UK”), and represent segregated assets held for purposes of funding individual and group pension contracts. The life insurance company does not underwrite any insurance contracts that involve any insurance risk transfer from the insured to the life insurance company. The separate account assets primarily include equity securities, debt securities, money market funds and derivatives. The separate account assets are not subject to general claims of the creditors of BlackRock. These separate account assets and the related equal and offsetting liabilities are recorded as separate account assets and separate account liabilities on the condensed consolidated statements of financial condition.
9
Separate Account Collateral Assets Held and Liabilities Under Securities Lending Agreements. The Company facilitates securities lending arrangements whereby securities held by separate accounts maintained by BlackRock Life Limited are lent to third parties under global master securities lending agreements. In exchange, the Company obtains either (1) the legal title, or (2) a first ranking priority security interest, in the collateral. The minimum collateral values generally range from approximately
In situations where the Company obtains the legal title to collateral under these securities lending arrangements, the Company records an asset on the condensed consolidated statements of financial condition in addition to an equal collateral liability for the obligation to return the collateral. Additionally, in situations where the Company obtains a first ranking priority security interest in the collateral, the Company does not have the ability to pledge or resell the collateral and therefore does not record the collateral on the condensed consolidated statements of financial condition. At June 30, 2025 and December 31, 2024, the fair value of loaned securities held by separate accounts was approximately $
Goodwill and Intangible Assets. Goodwill represents the cost of a business acquisition in excess of the fair value of the net assets acquired. The Company has determined that it has one reporting unit for goodwill impairment testing purposes, the consolidated BlackRock single operating segment, which is consistent with internal management reporting and management's oversight of operations. The Company performs an impairment assessment of its goodwill at least annually, as of July 31. In its assessment of goodwill for impairment, the Company considers such factors as the book value and market capitalization of the Company as well as other qualitative factors. See Note 10, Goodwill, for further information on the Company's goodwill.
Intangible assets are comprised of indefinite-lived intangible assets and finite-lived intangible assets acquired in a business acquisition. The value of contracts to manage assets in proprietary open-end funds and collective trust funds and certain other commingled products without a specified termination date is generally classified as indefinite-lived intangible assets. In addition, trade names/trademarks are considered indefinite-lived intangible assets when they are expected to generate cash flows indefinitely.
Indefinite-lived intangible assets and goodwill are not amortized. Finite-lived investor/customer relationships, technology-related assets, and management contracts, which relate to acquired separate accounts and funds, that are expected to contribute to the future cash flows of the Company for a specified period of time, are amortized over their estimated useful lives. On a quarterly basis, the Company considers whether the indefinite-lived and finite-lived classifications are still appropriate.
The Company performs assessments to determine if any intangible assets are potentially impaired at least annually, as of July 31. The carrying value of finite-lived assets and their remaining useful lives are reviewed to determine if circumstances exist which may indicate a potential impairment or revisions to the amortization period.
In evaluating whether it is more likely than not that the fair value of indefinite-lived intangibles is less than its carrying value, BlackRock assesses various significant quantitative factors, including assets under management (“AUM”), revenue basis points, projected AUM growth rates, operating margins, tax rates and discount rates. If an indefinite-lived intangible is determined to be more likely than not impaired, then the fair value of the asset is compared with its carrying value and any excess of the carrying value over the fair value would be recognized as an expense in the period in which the impairment occurs. See Note 11, Intangible Assets, for further information on the Company’s intangible assets.
10
For finite-lived intangible assets, if potential impairment circumstances are considered to exist, the Company will perform a recoverability test using an undiscounted cash flow analysis. If the carrying value of the asset is determined not to be recoverable based on the undiscounted cash flow test, the excess of the carrying value of the asset over its fair value would be recognized as an expense in the period in which the impairment occurs.
3. Acquisitions
Preqin Holding Limited
The purchase price for the Preqin Transaction was allocated to the assets acquired and liabilities assumed based upon their estimated fair values at the date of the transaction. The goodwill recognized in connection with the acquisition is non-deductible for tax purposes and includes anticipated synergies from incorporating Preqin data, insight and analytics into BlackRock’s investment technology, presenting an opportunity for Aladdin to bridge a transparency gap between public and private markets.
The following table summarizes the consideration paid for Preqin and the fair values of the assets acquired and liabilities assumed recognized at the acquisition date:
(in millions) |
|
Fair Value Estimate |
|
|
Finite-lived intangible assets: |
|
|
|
|
Customer relationships(1) |
|
$ |
|
|
Technology-related(2) |
|
|
|
|
Trade name |
|
|
|
|
Goodwill |
|
|
|
|
Other assets(3) |
|
|
|
|
Deferred revenue(3) |
|
|
( |
) |
Deferred income tax liabilities |
|
|
( |
) |
Other liabilities assumed(3) |
|
|
( |
) |
Total consideration, net of cash acquired |
|
$ |
|
|
|
|
|
|
|
Summary of consideration, net of cash acquired: |
|
|
|
|
Cash paid |
|
$ |
|
|
Cash acquired |
|
|
( |
) |
Total cash consideration, net of cash acquired |
|
$ |
|
|
At this time, the Company does not expect material changes to the value of the assets acquired or liabilities assumed in conjunction with the Preqin Transaction.
11
Finite-lived intangible assets are amortized over their estimated useful lives, which range from
(in millions) |
|
|
|
|
Year |
|
Amount |
|
|
2025 (excluding the six months ended June 30, 2025) |
|
$ |
|
|
2026 |
|
|
|
|
2027 |
|
|
|
|
2028 |
|
|
|
|
2029 |
|
|
|
|
2030 |
|
|
|
|
Thereafter |
|
|
|
|
Total |
|
$ |
|
|
Pro forma financial information for Preqin has not been presented, as the effects were not material to the Company's historical consolidated financial statements. See Note 10, Goodwill, Note 11, Intangible Assets, and Note 16, Revenue for further information regarding goodwill, intangible assets, and deferred revenue acquired, respectively.
Global Infrastructure Management, LLC
The GIP Transaction was accounted for as a business combination under the acquisition method of accounting. Accordingly, the purchase price was allocated to the assets acquired and liabilities assumed based upon their estimated fair values at the date of the transaction. The goodwill recognized in connection with the acquisition includes future benefits for BlackRock as a result of scale and anticipated synergies from a combined global infrastructure franchise. The amount of goodwill expected to be deductible for tax purposes is approximately $
12
The following table summarizes the consideration paid for GIP and the fair values of the assets acquired and liabilities assumed recognized at the acquisition date:
(in millions) |
|
Fair Value Estimate |
|
|
Finite-lived intangible assets: |
|
|
|
|
Management contracts(1) |
|
$ |
|
|
Investor relationships(1) |
|
|
|
|
Trade name(2) |
|
|
|
|
Goodwill |
|
|
|
|
Operating lease ROU assets(3) |
|
|
|
|
Other assets(3) |
|
|
|
|
Accrued compensation and benefits(3) |
|
|
( |
) |
Operating lease liabilities(3) |
|
|
( |
) |
Other liabilities assumed(3) |
|
|
( |
) |
Total consideration, net of cash acquired |
|
$ |
|
|
|
|
|
|
|
Summary of consideration, net of cash acquired: |
|
|
|
|
Cash paid |
|
$ |
|
|
Cash acquired |
|
|
( |
) |
Closing stock consideration at fair value |
|
|
|
|
Deferred stock consideration at fair value |
|
|
|
|
Total stock and cash consideration, net of cash acquired |
|
$ |
|
|
At this time, the Company does not expect material changes to the value of the assets acquired or liabilities assumed in conjunction with the GIP Transaction.
The following unaudited pro forma information presents combined results of operations of the Company as if the GIP Transaction and related $
|
|
Three Months Ended |
|
|
Six Months Ended |
|
||
(Unaudited) (in millions) |
|
June 30, 2024 |
|
|
June 30, 2024 |
|
||
Total revenue |
|
$ |
|
|
$ |
|
||
Net income attributable to BlackRock, Inc. |
|
$ |
|
|
$ |
|
||
For purposes of the pro forma financial information above, pro forma adjustments, including compensation expense for retention-related deferred compensation awards, amortization of finite-lived intangible assets, interest expense for the $
13
4. Cash, Cash Equivalents, and Restricted Cash
The following table provides a reconciliation of cash and cash equivalents reported within the condensed consolidated statements of financial condition to the cash, cash equivalents, and restricted cash reported within the condensed consolidated statements of cash flows.
|
|
June 30, |
|
|
December 31, |
|
||
(in millions) |
|
2025 |
|
|
2024 |
|
||
Cash and cash equivalents |
|
$ |
|
|
$ |
|
||
|
|
|
|
|
|
|||
Total cash, cash equivalents and restricted cash |
|
$ |
|
|
$ |
|
||
5. Investments
A summary of the carrying value of total investments is as follows:
|
June 30, |
|
|
December 31, |
|
||
(in millions) |
2025 |
|
|
2024 |
|
||
Debt securities: |
|
|
|
|
|
||
Trading securities (including $ |
$ |
|
|
$ |
|
||
Held-to-maturity investments |
|
|
|
|
|
||
Total debt securities |
|
|
|
|
|
||
Equity securities at FVTNI (including $ |
|
|
|
|
|
||
Equity method investments: |
|
|
|
|
|
||
Equity method investments(2) |
|
|
|
|
|
||
Investments related to deferred cash compensation plans(1) |
|
|
|
|
|
||
Total equity method investments |
|
|
|
|
|
||
Loans held by CIPs |
|
|
|
|
|
||
Federal Reserve Bank stock(3) |
|
|
|
|
|
||
Carried interest(4) |
|
|
|
|
|
||
Other investments(5) |
|
|
|
|
|
||
Total investments |
$ |
|
|
$ |
|
||
Held-to-Maturity Investments
Held-to-maturity investments included certain investments in BlackRock sponsored CLOs. The amortized cost (carrying value) of these investments approximated fair value (primarily a Level 2 input). At June 30, 2025, $
14
Trading Debt Securities and Equity Securities at FVTNI
A summary of the cost and carrying value of trading debt securities and equity securities at FVTNI is as follows:
|
|
|
|
|
|
|
|
|
|||||||
|
June 30, 2025 |
|
|
December 31, 2024 |
|
||||||||||
(in millions) |
Cost |
|
|
Carrying |
|
|
Cost |
|
|
Carrying |
|
||||
Trading debt securities: |
|
|
|
|
|
|
|
|
|
|
|
||||
Corporate debt |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Government debt |
|
|
|
|
|
|
|
|
|
|
|
||||
Asset/mortgage-backed debt |
|
|
|
|
|
|
|
|
|
|
|
||||
Total trading debt securities |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Equity securities at FVTNI: |
|
|
|
|
|
|
|
|
|
|
|
||||
Equity securities/mutual funds |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
6. Consolidated Sponsored Investment Products
In the normal course of business, the Company is the manager of various types of sponsored investment products, which may be considered VIEs or voting rights entities ("VREs"). The Company consolidates certain sponsored investment funds accounted for as VREs because it is deemed to control such funds. In addition, the Company may from time to time own equity or debt securities issued by vehicles or enter into derivatives or loan arrangements with the vehicles, each of which are considered variable interests. The Company’s involvement in financing the operations of the VIEs is generally limited to its economic interest in the entity. The Company’s consolidated VIEs include certain sponsored investment products in which BlackRock has an economic interest and as the investment manager, is deemed to have both the power to direct the most significant activities of the products and the right to receive benefits (or the obligation to absorb losses) that could potentially be significant to these sponsored investment products. The assets of these VIEs are not available to creditors of the Company. In addition, the investors in these VIEs have no recourse to the credit of the Company.
The following table presents the balances related to these CIPs accounted for as VIEs and VREs that were recorded on the condensed consolidated statements of financial condition, including BlackRock’s net interest in these products:
|
|
June 30, 2025 |
|
|
December 31, 2024 |
|
||||||||||||||||||
(in millions) |
|
VIEs |
|
|
VREs |
|
|
Total |
|
|
VIEs |
|
|
VREs |
|
|
Total |
|
||||||
Cash and cash equivalents(1) |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
Investments: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Trading debt securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Equity securities at FVTNI |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Loans |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Other investments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Carried interest |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total investments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Other assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Other liabilities(2) |
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
Noncontrolling interest - CIPs |
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
BlackRock's net interest in CIPs |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
15
BlackRock’s total exposure to CIPs represents the value of its economic interest in these CIPs. Valuation changes associated with financial instruments held at fair value by these CIPs are reflected in nonoperating income (expense) and partially offset in net income (loss) attributable to NCI for the portion not attributable to BlackRock.
Net gain (loss) related to consolidated VIEs is presented in the following table:
|
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions) |
|
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
Nonoperating net gain (loss) on consolidated VIEs |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Net income (loss) attributable to NCI on consolidated VIEs |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
7. Variable Interest Entities
Nonconsolidated VIEs.
|
|
|
|
Advisory Fee |
|
|
Other Net Assets |
|
|
Maximum |
|
||||
(in millions) |
Investments |
|
|
Receivables |
|
|
(Liabilities) |
|
|
Risk of Loss(1) |
|
||||
June 30, 2025 |
|
|
|
|
|
|
|
|
|
|
|
||||
Sponsored investment |
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
|
|||
December 31, 2024 |
|
|
|
|
|
|
|
|
|
|
|
||||
Sponsored investment |
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
|
|||
The net assets of sponsored investment products that are nonconsolidated VIEs approximated $
16
8. Fair Value Disclosures
Fair Value Hierarchy
Assets and liabilities measured at fair value on a recurring basis
June 30, 2025 |
Quoted Prices |
|
|
Significant |
|
|
Significant |
|
|
Investments |
|
|
Other(2) |
|
|
June 30, |
|
||||||
Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Investments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Debt securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Trading securities |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
Held-to-maturity investments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total debt securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Equity securities at FVTNI: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Equity securities/mutual funds |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Equity method: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Equity, fixed income, and multi-asset |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Hedge funds/funds of hedge |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Private equity funds |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
AG真人官方 assets funds |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Investments related to deferred |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total equity method |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Loans held by CIPs |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Federal Reserve Bank stock |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Carried interest |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Other investments(3) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total investments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Other assets(4) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Separate account assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Separate account collateral held under |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Equity securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Debt securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total separate account collateral held |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Separate account collateral |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
Contingent consideration liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Other liabilities(5) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
17
December 31, 2024 |
Quoted Prices |
|
|
Significant |
|
|
Significant |
|
|
Investments |
|
|
Other(2) |
|
|
December 31, |
|
||||||
Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Investments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Debt securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Trading securities |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
Held-to-maturity investments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total debt securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Equity securities at FVTNI: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Equity securities/mutual funds |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Equity method: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Equity, fixed income, and multi-asset |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Hedge funds/funds of hedge |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Private equity funds |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
AG真人官方 assets funds |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Investments related to deferred |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total equity method |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Loans held by CIPs |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Federal Reserve Bank stock |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Carried interest |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Other investments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total investments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Other assets(3) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Separate account assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Separate account collateral held under |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Equity securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Debt securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total separate account collateral held |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Separate account collateral |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
Contingent consideration liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Other liabilities(4) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
Level 3 Assets. Level 3 assets predominantly include investments in nonconsolidated CLOs, loans of consolidated CIPs, and corporate minority private debt investments. Investments in CLOs and loans were valued based on single-broker nonbinding quotes or quotes from pricing services which use significant unobservable inputs. BlackRock's corporate minority private debt investments were primarily valued using the income approach by discounting the expected cash flows to a single present value. For investments utilizing a discounted cashflow valuation technique, an increase (decrease) in the discount rate or risk premium in isolation could have resulted in a significantly lower (higher) fair value measurement as of June 30, 2025 and December 31, 2024.
Level 3 Liabilities. Level 3 liabilities primarily include borrowings of a consolidated CLO, which were valued based on the fair value of the assets of the consolidated CLO less the fair value of the Company’s economic interest in the CLO, as well as contingent consideration liabilities related to certain acquisitions, which were valued based upon discounted cash flow analyses using unobservable market data inputs or other valuation techniques.
18
At June 30, 2025 and December 31, 2024, the contingent consideration liability related to the GIP Transaction was estimated using the income approach, with certain significant inputs including risk-free discount rates of approximately
Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis for the Three Months Ended June 30, 2025
(in millions) |
|
March 31, |
|
|
AG真人官方ized |
|
|
Purchases |
|
|
Sales and |
|
|
Issuances and |
|
|
Transfers |
|
|
Transfers |
|
|
June 30, |
|
|
Total Net |
|
|||||||||
Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Investments: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
$ |
|
|
$ |
( |
) |
|
$ |
|
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
|
|
$ |
( |
) |
||||||
Loans |
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Total investments |
|
|
|
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
||||||
Other assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Total assets |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
(in millions) |
|
March 31, |
|
|
AG真人官方ized |
|
|
Purchases |
|
|
Sales and |
|
|
Issuances and |
|
|
Transfers |
|
|
Transfers |
|
|
June 30, |
|
|
Total Net |
|
|||||||||
Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Total liabilities |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||||
Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis for the Six Months Ended June 30, 2025
(in millions) |
|
December 31, |
|
|
AG真人官方ized |
|
|
Purchases |
|
|
Sales and |
|
|
Issuances and |
|
|
Transfers |
|
|
Transfers |
|
|
June 30, |
|
|
Total Net |
|
|||||||||
Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Investments: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
$ |
|
|
$ |
( |
) |
|
$ |
|
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
|
|
$ |
( |
) |
||||||
Loans |
|
|
|
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
||||||
Total investments |
|
|
|
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
||||||
Other assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Total assets |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
(in millions) |
|
December 31, |
|
|
AG真人官方ized |
|
|
Purchases |
|
|
Sales and |
|
|
Issuances and |
|
|
Transfers |
|
|
Transfers |
|
|
June 30, |
|
|
Total Net |
|
|||||||||
Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||||
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|||||||
Total liabilities |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||||
19
Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis for the Three Months Ended June 30, 2024
(in millions) |
|
March 31, |
|
|
AG真人官方ized |
|
|
Purchases |
|
|
Sales and |
|
|
Issuances and |
|
|
Transfers |
|
|
Transfers |
|
|
June 30, |
|
|
Total Net |
|
|||||||||
Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Investments: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||||||
Loans |
|
|
|
|
|
( |
) |
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
||||||
Total investments |
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Other assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Total assets |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
(in millions) |
|
March 31, |
|
|
AG真人官方ized |
|
|
Purchases |
|
|
Sales and |
|
|
Issuances and |
|
|
Transfers |
|
|
Transfers |
|
|
June 30, |
|
|
Total Net |
|
|||||||||
Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||||||
Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis for the Six Months Ended June 30, 2024
(in millions) |
|
December 31, |
|
|
AG真人官方ized |
|
|
Purchases |
|
|
Sales and |
|
|
Issuances and |
|
|
Transfers |
|
|
Transfers |
|
|
June 30, |
|
|
Total Net |
|
|||||||||
Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Investments: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||||||
Loans |
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|||||||
Total investments |
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|||||||
Other assets |
|
|
|
|
|
( |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
( |
) |
|||||||
Total assets |
|
$ |
|
|
$ |
( |
) |
|
$ |
|
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
( |
) |
|
$ |
|
|
$ |
( |
) |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
(in millions) |
|
December 31, |
|
|
AG真人官方ized |
|
|
Purchases |
|
|
Sales and |
|
|
Issuances and |
|
|
Transfers |
|
|
Transfers |
|
|
June 30, |
|
|
Total Net |
|
|||||||||
Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
$ |
|
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
( |
) |
||||||||
AG真人官方ized and Unrealized Gains (Losses) for Level 3 Assets and Liabilities. AG真人官方ized and unrealized gains (losses) recorded for Level 3 assets and liabilities are reported in nonoperating income (expense) or AOCI for corporate minority private debt investments. A portion of net income (loss) related to securities held by CIPs is allocated to NCI to reflect net income (loss) not attributable to the Company.
Transfers in and/or out of Levels. Transfers in and/or out of levels are reflected when significant inputs, including market inputs or performance attributes, used for the fair value measurement become observable/unobservable.
20
Disclosures of Fair Value for Financial Instruments Not Held at Fair Value. At June 30, 2025 and December 31, 2024, the fair value of the Company’s financial instruments not held at fair value are categorized in the table below:
|
June 30, 2025 |
|
|
December 31, 2024 |
|
|
|
|
||||||||||
(in millions) |
Carrying |
|
|
Estimated |
|
|
Carrying |
|
|
Estimated |
|
|
Fair Value |
|
||||
Financial assets(1): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Cash and cash equivalents |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
Level 1 |
(2)(3) |
||||
Other assets |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
Level 1 |
(2)(4) |
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Financial liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Long-term borrowings |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
Level 2 |
(5) |
||||
21
Investments in Certain Entities that Calculate NAV Per Share
As a practical expedient to value certain investments that do not have a readily determinable fair value and have attributes of an investment company, the Company uses NAV as the fair value.
June 30, 2025 |
|
|
|
|
|
|
|
|
|
|
|
|
||
(in millions) |
|
Ref |
|
Fair Value |
|
|
Total |
|
|
Redemption |
|
Redemption |
||
Equity method(1): |
|
|
|
|
|
|
|
|
|
|
|
|
||
Hedge funds/funds of hedge |
|
(a) |
|
$ |
|
|
$ |
|
|
Daily/Monthly ( |
|
|||
Private equity funds |
|
(b) |
|
|
|
|
|
|
|
N/R |
|
N/R |
||
AG真人官方 assets funds |
|
(c) |
|
|
|
|
|
|
|
Quarterly ( |
|
|||
Investments related to deferred |
|
(d) |
|
|
|
|
|
|
|
Monthly |
|
|||
Other investments: |
|
|
|
|
|
|
|
|
|
|
|
|
||
Private credit fund |
|
(a) |
|
|
|
|
|
|
|
Quarterly |
|
|||
Consolidated sponsored |
|
|
|
|
|
|
|
|
|
|
|
|
||
AG真人官方 assets funds |
|
(c) |
|
|
|
|
|
|
|
N/R |
|
N/R |
||
Private equity funds |
|
(e) |
|
|
|
|
|
|
|
N/R |
|
N/R |
||
Hedge funds/other |
|
(a) |
|
|
|
|
|
|
|
Quarterly ( |
|
|||
Total |
|
|
|
$ |
|
|
$ |
|
|
|
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
||
December 31, 2024 |
|
|
|
|
|
|
|
|
|
|
|
|
||
(in millions) |
|
Ref |
|
Fair Value |
|
|
Total |
|
|
Redemption |
|
Redemption |
||
Equity method(1): |
|
|
|
|
|
|
|
|
|
|
|
|
||
Hedge funds/funds of hedge |
|
(a) |
|
$ |
|
|
$ |
|
|
Daily/Monthly ( |
|
|||
Private equity funds |
|
(b) |
|
|
|
|
|
|
|
N/R |
|
N/R |
||
AG真人官方 assets funds |
|
(c) |
|
|
|
|
|
|
|
Quarterly ( |
|
|||
Investments related to deferred |
|
(d) |
|
|
|
|
|
|
|
Monthly |
|
|||
Consolidated sponsored |
|
|
|
|
|
|
|
|
|
|
|
|
||
AG真人官方 assets funds |
|
(c) |
|
|
|
|
|
|
|
N/R |
|
N/R |
||
Private equity funds |
|
(e) |
|
|
|
|
|
|
|
N/R |
|
N/R |
||
Hedge funds/other |
|
(a) |
|
|
|
|
|
|
|
Quarterly ( |
|
|||
Total |
|
|
|
$ |
|
|
$ |
|
|
|
|
|
||
N/R – Not Redeemable
22
Fair Value Option
At June 30, 2025 and December 31, 2024, the Company elected the fair value option for certain investments in CLOs of approximately $
In addition, the Company elected the fair value option for bank loans and borrowings of a consolidated CLO, recorded within investments and other liabilities, respectively. The following table summarizes the information related to these bank loans and borrowings at June 30, 2025 and December 31, 2024:
|
|
June 30, |
|
|
December 31, |
|
||
(in millions) |
|
2025 |
|
|
2024 |
|
||
CLO loans: |
|
|
|
|
|
|
||
Aggregate principal amounts outstanding |
|
$ |
|
|
$ |
|
||
Fair value |
|
|
|
|
|
|
||
Aggregate unpaid principal balance in excess of (less than) fair value |
|
$ |
|
|
$ |
|
||
|
|
|
|
|
|
|
||
CLO borrowings: |
|
|
|
|
|
|
||
Aggregate principal amounts outstanding |
|
$ |
|
|
$ |
|
||
Fair value |
|
|
|
|
|
|
||
Aggregate unpaid principal balance in excess of (less than) fair value |
|
$ |
|
|
$ |
|
||
At June 30, 2025, the principal amounts outstanding of the borrowings issued by the consolidated CLO mature in
During the three and six months ended June 30, 2025 and 2024, the net gains (losses) from the change in fair value of the bank loans and borrowings held by the consolidated CLO were not material and were recorded in net gain (loss) on the condensed consolidated statements of income. The change in fair value of the assets and liabilities included interest income and expense, respectively.
9. Derivatives and Hedging
The Company maintains a program to enter into exchange traded futures as a macro hedging strategy to hedge market price and interest rate exposures with respect to its total portfolio of seed investments in sponsored investment products. The Company had outstanding exchange traded futures related to this macro hedging strategy with aggregate notional values of approximately $
In addition, the Company enters into exchange traded futures to economically hedge the exposure to market movements on certain deferred cash compensation plans. At June 30, 2025 and December 31, 2024, the Company had outstanding exchange traded futures with aggregate notional values related to its deferred cash compensation hedging program of approximately $
Changes in the value of the futures contracts are recognized as gains or losses within nonoperating income (expense). Variation margin payments, which represent settlements of profit/loss, are generally received or made daily, and are reflected in other assets and other liabilities on the condensed consolidated statements of financial condition. These amounts were not material as of June 30, 2025 and December 31, 2024.
23
The Company executes forward foreign currency exchange contracts to mitigate the risk of certain foreign exchange movements. At June 30, 2025 and December 31, 2024, the Company had outstanding forward foreign currency exchange contracts with aggregate notional values of approximately $
At both June 30, 2025 and December 31, 2024, the Company had a derivative providing credit protection with a notional amount of approximately $
The following table presents the fair values of derivative instruments recognized in the condensed consolidated statements of financial condition at June 30, 2025 and December 31, 2024:
|
Assets |
|
|
Liabilities |
|
||||||||||||||
(in millions) |
Statement of |
|
June 30, 2025 |
|
|
December 31, 2024 |
|
|
Statement of |
|
June 30, 2025 |
|
|
December 31, 2024 |
|
||||
Derivative instruments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Forward foreign currency |
Other assets |
|
$ |
|
|
$ |
|
|
Other liabilities |
|
$ |
|
|
$ |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
The following table presents realized and unrealized gains (losses) recognized in the condensed consolidated statements of income on derivative instruments:
|
|
|
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
|
|
|
June 30, |
|
|
June 30, |
|
||||||||||
|
|
Statement of Income |
|
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
(in millions) |
|
Classification |
|
Gains (Losses) |
|
|
Gains (Losses) |
|
||||||||||
Derivative instruments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Exchange traded futures(1) |
|
|
$ |
( |
) |
|
$ |
( |
) |
|
$ |
( |
) |
|
$ |
( |
) |
|
Forward foreign currency |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Total gain (loss) from derivative |
|
|
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|
$ |
( |
) |
||
The Company's CIPs may utilize derivative instruments as a part of the funds' investment strategies. The change in fair value of such derivatives, which is recorded in nonoperating income (expense), was not material for the three and six months ended June 30, 2025 and 2024.
See Note 14, Borrowings in this filing and Note 15, Borrowings, in the 2024 Form 10-K, for more information on the Company’s net investment hedge.
10. Goodwill
Goodwill activity during the six months ended June 30, 2025 was as follows:
(in millions) |
|
|
|
December 31, 2024 |
$ |
|
|
Acquisition(1) |
|
|
|
Other |
|
|
|
June 30, 2025 |
$ |
|
|
24
11. Intangible Assets
The carrying amounts of identifiable intangible assets are summarized as follows:
(in millions) |
Indefinite-lived |
|
|
Finite-lived |
|
|
Total |
|
|||
December 31, 2024 |
$ |
|
|
$ |
|
|
$ |
|
|||
Acquisition(1) |
|
|
|
|
|
|
|
|
|||
Amortization expense |
|
|
|
|
( |
) |
|
|
( |
) |
|
Other |
|
|
|
|
|
|
|
|
|||
June 30, 2025 |
$ |
|
|
$ |
|
|
$ |
|
|||
12. Leases
The following table presents components of lease cost included in general and administration expense on the condensed consolidated statements of income:
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions) |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
Lease cost: |
|
|
|
|
|
|
|
|
|
|
|
||||
Operating lease cost(1) |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Variable lease cost(2) |
|
|
|
|
|
|
|
|
|
|
|
||||
Total lease cost |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Supplemental information related to operating leases is summarized below:
|
|
Six Months Ended |
|
|||||
|
|
June 30, |
|
|||||
(in millions) |
|
2025 |
|
|
2024 |
|
||
Supplemental cash flow information: |
|
|
|
|
|
|
||
Operating cash flows from operating leases included in the measurement |
|
$ |
|
|
$ |
|
||
|
|
|
|
|
|
|
||
Supplemental noncash information: |
|
|
|
|
|
|
||
ROU assets in exchange for operating lease liabilities |
|
$ |
|
|
$ |
|
||
|
June 30, |
|
December 31, |
||||||
|
2025 |
|
2024 |
||||||
Lease term and discount rate: |
|
|
|
|
|
|
|
||
Weighted-average remaining lease term |
|
|
years |
|
|
|
years |
||
Weighted-average discount rate |
|
|
% |
|
|
|
% |
||
13. Other Assets
The Company records certain corporate investments, which exclude seed and co-investments in the Company's sponsored investment products, within other assets on the condensed consolidated statements of financial condition.
At June 30, 2025 and December 31, 2024, the Company had $
25
At June 30, 2025 and December 31, 2024, the Company had $
14. Borrowings
Short-Term Borrowings
2025 Revolving Credit Facility. The Company maintains an unsecured revolving credit facility, which is available for working capital and general corporate purposes (the “2025 Credit Facility”). In April 2025, the 2025 Credit Facility was amended to, among other things, (1) increase the aggregate commitment amount by $
Commercial Paper Program. The Company may issue short-term unsecured commercial paper notes (the “CP Notes”) on a private-placement basis up to a maximum aggregate amount outstanding at any time of $
Subsidiary Credit Facility. BlackRock Investment Management (UK) Limited ("BIM UK"), a wholly owned subsidiary of the Company, maintains a revolving credit facility (the “Subsidiary Credit Facility”) in the amount of £
26
Long-Term Borrowings
2035 Notes. In April 2025, the Company issued €
The carrying value and fair value of long-term borrowings determined using market prices and EUR/USD foreign exchange rate at June 30, 2025 included the following:
(in millions) |
Maturity |
|
|
Unamortized |
|
|
Carrying Value |
|
|
Fair Value |
|
||||
3.20% Notes due 2027(2) |
$ |
|
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|||
4.60% Notes due 2027 |
|
|
|
|
( |
) |
|
|
|
|
|
|
|||
3.25% Notes due 2029(2) |
|
|
|
|
( |
) |
|
|
|
|
|
|
|||
4.70% Notes due 2029 |
|
|
|
|
( |
) |
|
|
|
|
|
|
|||
2.40% Notes due 2030(2) |
|
|
|
|
( |
) |
|
|
|
|
|
|
|||
1.90% Notes due 2031(2) |
|
|
|
|
( |
) |
|
|
|
|
|
|
|||
2.10% Notes due 2032(2) |
|
|
|
|
( |
) |
|
|
|
|
|
|
|||
4.75% Notes due 2033(2) |
|
|
|
|
( |
) |
|
|
|
|
|
|
|||
5.00% Notes due 2034 |
|
|
|
|
( |
) |
|
|
|
|
|
|
|||
3.75% Notes due 2035 |
|
|
|
|
( |
) |
|
|
|
|
|
|
|||
4.90% Notes due 2035 |
|
|
|
|
( |
) |
|
|
|
|
|
|
|||
5.25% Notes due 2054 |
|
|
|
|
( |
) |
|
|
|
|
|
|
|||
5.35% Notes due 2055 |
|
|
|
|
( |
) |
|
|
|
|
|
|
|||
Total long-term borrowings |
$ |
|
|
$ |
( |
) |
|
$ |
|
|
$ |
|
|||
Long-term borrowings at December 31, 2024 had a carrying value of $
See Note 15, Borrowings, in the 2024 Form 10-K for more information regarding the Company’s borrowings.
27
15. Commitments and Contingencies
Investment Commitments. At June 30, 2025, the Company had $
Contingencies
Contingent Consideration Liabilities. In connection with certain acquisitions, BlackRock is required to make contingent payments, subject to the achievement of specified performance targets or satisfaction of certain post-closing events. The fair value of any contingent consideration is estimated at the time of acquisition closing and is included in contingent consideration liabilities on the condensed consolidated statements of financial condition. The fair value of the remaining aggregate contingent payments at June 30, 2025 totaled $
Legal Proceedings. From time to time, BlackRock receives subpoenas or other requests for information from various US federal and state governmental and regulatory authorities and international governmental and regulatory authorities in connection with industry-wide or other investigations or proceedings. It is BlackRock’s policy to cooperate fully with such matters. In 2023, BlackRock responded to requests from the SEC in connection with a publicly reported, industry-wide investigation of investment advisers’ compliance with record retention requirements relating to certain types of electronic communications.
The Company, certain of its subsidiaries and employees have been named as defendants in various legal actions, including arbitrations and other litigation arising in connection with BlackRock’s activities. Additionally, BlackRock-advised investment portfolios may be subject to lawsuits, any of which potentially could harm the investment returns of the applicable portfolio or result in the Company being liable to the portfolios for any resulting damages.
Management, after consultation with legal counsel, currently does not anticipate that the aggregate liability arising out of regulatory matters or lawsuits will have a material effect on BlackRock’s results of operations, financial position, or cash flows. However, there is no assurance as to whether any such pending or threatened matters will have a material effect on BlackRock’s results of operations, financial position or cash flows in any future reporting period. Due to uncertainties surrounding the outcome of these matters, management cannot reasonably estimate the possible loss or range of loss that may arise from these matters.
Indemnifications. In the ordinary course of business or in connection with certain acquisition agreements, BlackRock enters into contracts pursuant to which it may agree to indemnify third parties in certain circumstances. The terms of these indemnities vary from contract to contract and the amount of indemnification liability, if any, cannot be determined or the likelihood of any liability is considered remote. Consequently, no liability has been recorded on the condensed consolidated statements of financial condition.
In connection with securities lending transactions, BlackRock has agreed to indemnify certain securities lending clients against potential loss resulting from a borrower’s failure to fulfill its obligations under the securities lending agreement should the value of the collateral pledged by the borrower at the time of default be insufficient to cover the borrower’s obligation under the securities lending agreement. The amount of securities on loan as of June 30, 2025 and subject to this type of indemnification was approximately $
28
16. Revenue
The table below presents detail of revenue for the three and six months ended June 30, 2025 and 2024 and includes the product type mix of investment advisory, administration fees and securities lending revenue, and performance fees.
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions) |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
Revenue |
|
|
|
|
|
|
|
|
|
|
|
||||
Investment advisory, administration fees and |
|
|
|
|
|
|
|
|
|
|
|
||||
Equity: |
|
|
|
|
|
|
|
|
|
|
|
||||
Active |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
ETFs |
|
|
|
|
|
|
|
|
|
|
|
||||
Equity subtotal |
|
|
|
|
|
|
|
|
|
|
|
||||
Fixed income: |
|
|
|
|
|
|
|
|
|
|
|
||||
Active |
|
|
|
|
|
|
|
|
|
|
|
||||
ETFs |
|
|
|
|
|
|
|
|
|
|
|
||||
Fixed income subtotal |
|
|
|
|
|
|
|
|
|
|
|
||||
Active multi-asset |
|
|
|
|
|
|
|
|
|
|
|
||||
Alternatives: |
|
|
|
|
|
|
|
|
|
|
|
||||
Private markets |
|
|
|
|
|
|
|
|
|
|
|
||||
Liquid alternatives |
|
|
|
|
|
|
|
|
|
|
|
||||
Alternatives subtotal |
|
|
|
|
|
|
|
|
|
|
|
||||
Non-ETF index |
|
|
|
|
|
|
|
|
|
|
|
||||
Digital assets, commodities and multi-asset ETFs(2) |
|
|
|
|
|
|
|
|
|
|
|
||||
Long-term |
|
|
|
|
|
|
|
|
|
|
|
||||
Cash management |
|
|
|
|
|
|
|
|
|
|
|
||||
Total investment advisory, administration fees |
|
|
|
|
|
|
|
|
|
|
|
||||
Investment advisory performance fees: |
|
|
|
|
|
|
|
|
|
|
|
||||
Equity |
|
|
|
|
|
|
|
|
|
|
|
||||
Fixed income |
|
|
|
|
|
|
|
|
|
|
|
||||
Multi-asset |
|
|
|
|
|
|
|
|
|
|
|
||||
Alternatives: |
|
|
|
|
|
|
|
|
|
|
|
||||
Private markets |
|
|
|
|
|
|
|
|
|
|
|
||||
Liquid alternatives |
|
|
|
|
|
|
|
|
|
|
|
||||
Alternatives subtotal |
|
|
|
|
|
|
|
|
|
|
|
||||
Total investment advisory performance fees |
|
|
|
|
|
|
|
|
|
|
|
||||
Technology services and subscription revenue |
|
|
|
|
|
|
|
|
|
|
|
||||
Distribution fees |
|
|
|
|
|
|
|
|
|
|
|
||||
Advisory and other revenue: |
|
|
|
|
|
|
|
|
|
|
|
||||
Advisory |
|
|
|
|
|
|
|
|
|
|
|
||||
Other |
|
|
|
|
|
|
|
|
|
|
|
||||
Total advisory and other revenue |
|
|
|
|
|
|
|
|
|
|
|
||||
Total revenue |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
29
The tables below present the investment advisory, administration fees and securities lending revenue by client type and investment style:
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions) |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
By client type(1): |
|
|
|
|
|
|
|
|
|
|
|
||||
Retail |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
ETFs |
|
|
|
|
|
|
|
|
|
|
|
||||
Institutional: |
|
|
|
|
|
|
|
|
|
|
|
||||
Active |
|
|
|
|
|
|
|
|
|
|
|
||||
Index |
|
|
|
|
|
|
|
|
|
|
|
||||
Institutional subtotal |
|
|
|
|
|
|
|
|
|
|
|
||||
Long-term |
|
|
|
|
|
|
|
|
|
|
|
||||
Cash management |
|
|
|
|
|
|
|
|
|
|
|
||||
Total |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
||||
By investment style(1): |
|
|
|
|
|
|
|
|
|
|
|
||||
Active |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
ETFs |
|
|
|
|
|
|
|
|
|
|
|
||||
Non-ETF index |
|
|
|
|
|
|
|
|
|
|
|
||||
Long-term |
|
|
|
|
|
|
|
|
|
|
|
||||
Cash management |
|
|
|
|
|
|
|
|
|
|
|
||||
Total |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Investment Advisory and Administration Fees – Remaining Performance Obligation
The tables below present estimated investment advisory and administration fees expected to be recognized in the future related to the unsatisfied portion of the performance obligations at June 30, 2025 and 2024:
June 30, 2025
|
Remainder of |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
(in millions) |
|
|
|
|
|
|
|
|
|
|
Total |
|
|||||||||||
Investment advisory and |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Alternatives(1)(2) |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
June 30, 2024
|
Remainder of |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
(in millions) |
|
|
|
|
|
|
|
|
|
|
Total |
|
|||||||||||
Investment advisory and |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Alternatives(1)(2) |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
30
Change in Deferred Carried Interest Liability
The table below presents changes in the deferred carried interest liability, which is included in other liabilities on the condensed consolidated statements of financial condition, for the three and six months ended June 30, 2025 and 2024:
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions) |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
Beginning balance |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Net increase (decrease) in unrealized allocations |
|
|
|
|
|
|
|
|
|
|
|
||||
Performance fee revenue recognized |
|
( |
) |
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
Ending balance |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Technology Services and Subscription Revenue – Remaining Performance Obligation
The tables below present estimated technology services and subscription revenue expected to be recognized in the future related to the unsatisfied portion of the performance obligations at June 30, 2025 and 2024:
June 30, 2025
|
Remainder of |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
(in millions) |
|
|
|
|
|
|
|
|
|
|
Total |
|
|||||||||||
Technology services and |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
June 30, 2024
|
Remainder of |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
(in millions) |
|
|
|
|
|
|
|
|
|
|
Total |
|
|||||||||||
Technology services and |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||||
In addition to amounts disclosed in the tables above, certain technology services and subscription contracts require fixed minimum fees, which are billed on a monthly or quarterly basis in arrears. The Company recognizes such revenue as services are performed. As of June 30, 2025, the estimated fixed minimum fees for the remainder of the year approximated $
31
The table below presents changes in the technology services and subscription deferred revenue liability for the three and six months ended June 30, 2025 and 2024, which is included in other liabilities on the condensed consolidated statements of financial condition:
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions) |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
Beginning balance |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Acquisition(1) |
|
|
|
|
|
|
|
|
|
|
|
||||
Additions(2) |
|
|
|
|
|
|
|
|
|
|
|
||||
Revenue recognized that was included |
|
( |
) |
|
|
( |
) |
|
|
( |
) |
|
|
( |
) |
Ending balance |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
17. Stock-Based Compensation
Restricted Stock Units ("RSUs")
Time-Based RSUs
RSU activity for the six months ended June 30, 2025 is summarized below.
Outstanding at |
RSUs |
|
|
Weighted- |
|
||
December 31, 2024 |
|
|
|
$ |
|
||
Granted |
|
|
|
$ |
|
||
Converted |
|
( |
) |
|
$ |
|
|
Forfeited |
|
( |
) |
|
$ |
|
|
June 30, 2025 |
|
|
|
$ |
|
||
In January 2025, pursuant to the BlackRock, Inc. Third Amended and Restated 1999 Stock Award and Incentive Plan (the "Award Plan"), the Company granted as part of the 2024 annual incentive compensation approximately
At June 30, 2025, the intrinsic value of outstanding RSUs was $
At June 30, 2025, total unrecognized stock-based compensation expense related to unvested RSUs was $
In July 2025, in connection with the HPS Transaction, the Company granted incentive retention awards to certain employees of approximately
32
Performance-Based RSUs
Performance-based RSU activity for the six months ended June 30, 2025 is summarized below.
Outstanding at |
Performance- |
|
|
Weighted- |
|
|
Performance- |
|
|
Weighted- |
|
|
Total Performance- |
|
|
Weighted- |
|
||||||
December 31, 2024 |
|
|
|
$ |
|
|
|
|
|
$ |
|
|
|
|
|
$ |
|
||||||
Granted |
|
|
|
$ |
|
|
|
|
|
$ |
|
|
|
|
|
$ |
|
||||||
Reduction of shares due to |
|
( |
) |
|
$ |
|
|
|
|
|
$ |
|
|
|
( |
) |
|
$ |
|
||||
Converted |
|
( |
) |
|
$ |
|
|
|
|
|
$ |
|
|
|
( |
) |
|
$ |
|
||||
Forfeited |
|
( |
) |
|
$ |
|
|
|
( |
) |
|
$ |
|
|
|
( |
) |
|
$ |
|
|||
June 30, 2025 |
|
|
|
$ |
|
|
|
|
|
$ |
|
|
|
|
|
$ |
|
||||||
In January 2025, the Company granted approximately
The Company values performance-based RSUs at their grant-date fair value as measured by BlackRock’s common stock price. The incentive retention performance-based RSUs granted in connection with the GIP Transaction in October 2024 mentioned above, are not entitled to participate in dividends until they vest, hence the grant-date fair value of the awards are reduced by the present value of the dividends expected to be paid on the common shares during the vesting period (present value was determined using a risk-free interest rate). The total grant-date fair market value of performance-based RSUs granted (including impact due to performance measures) to employees during the six months ended June 30, 2025 was $
At June 30, 2025, the intrinsic value of outstanding performance-based RSUs was $
At June 30, 2025, total unrecognized stock-based compensation expense related to unvested performance-based awards was $
Stock Options
Stock option activity and ending balance for the six months ended June 30, 2025 is summarized below.
|
2017 Performance-based |
|
|
2023 Performance-based |
|
|
2023 Time-based |
|
|||||||||||||||
|
Shares |
|
|
Weighted |
|
|
Shares |
|
|
Weighted |
|
|
Shares |
|
|
Weighted |
|
||||||
Outstanding at December 31, 2024 |
|
|
|
$ |
|
|
|
|
|
$ |
|
|
|
|
|
$ |
|
||||||
Exercised |
|
( |
) |
|
$ |
|
|
|
|
|
$ |
|
|
|
|
|
$ |
|
|||||
Forfeited |
|
|
|
$ |
|
|
|
( |
) |
|
$ |
|
|
|
|
|
$ |
|
|||||
Outstanding at June 30, 2025 |
|
|
|
$ |
|
|
|
|
|
$ |
|
|
|
|
|
$ |
|
||||||
|
|
Options Outstanding |
|
|
Options Exercisable |
|
||||||||||||||||||||||||||
Option Type |
|
Exercise Prices |
|
|
Options Outstanding |
|
|
Weighted Average Remaining Life (years) |
|
|
Aggregate |
|
|
Exercise Prices |
|
|
Options |
|
|
Weighted Average Remaining Life (years) |
|
|
Aggregate |
|
||||||||
2017 Performance-based |
|
$ |
|
|
|
|
|
|
|
|
$ |
|
|
$ |
|
|
|
|
|
|
|
|
$ |
|
||||||||
2023 Performance-based |
|
$ |
|
|
|
|
|
|
|
|
|
|
|
$ |
|
|
|
|
|
|
|
|
|
|
||||||||
2023 Time-based |
|
$ |
|
|
|
|
|
|
|
|
|
|
|
$ |
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
$ |
|
|
|
|
|
|
|
|
|
|
|
$ |
|
||||||||
At June 30, 2025, total unrecognized stock-based compensation expense related to unvested performance-based and time-based stock options was $
33
Performance-Based Stock Options
In 2017, pursuant to the Award Plan, the Company awarded performance-based stock option grants to certain employees ("2017 Performance-based Options"). Vesting of 2017 Performance-based Options was contingent upon the achievement of obtaining
On May 30, 2023, pursuant to the Award Plan, the Company awarded performance-based options to purchase
Time-Based Stock Options
On May 30, 2023, pursuant to the Award Plan, the Company awarded time-based stock options to purchase
See Note 18, Stock-Based Compensation, in the 2024 Form 10-K for more information on RSUs, performance-based RSUs and stock options.
18. Related Party Transactions
The Company derives a significant portion of its investment advisory, administration fees and investment advisory performance fees from investment products that it manages. In addition, equity method investments are considered related parties, due to the Company’s influence over the financial and operating policies of the investee. As a result, a substantial majority of BlackRock's investment advisory, administration fees and investment advisory performance fees as well as accounts receivable related to such revenue are from related parties.
Due from Related Parties
Due from related parties, which is included within other assets on the condensed consolidated statements of financial condition, was $
19. Net Capital Requirements
The Company is required to maintain net capital in certain regulated subsidiaries within a number of jurisdictions, which is partially maintained by retaining cash and cash equivalent investments in those subsidiaries or jurisdictions. As a result, such subsidiaries of the Company may be restricted in their ability to transfer cash between different jurisdictions and to their parents. Additionally, transfers of cash between international jurisdictions may have adverse tax consequences that could discourage such transfers.
At June 30, 2025, the Company was required to maintain approximately $
34
20. Accumulated Other Comprehensive Income (Loss)
The following table presents changes in AOCI for the three and six months ended June 30, 2025 and 2024:
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions) |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
Beginning balance |
$ |
( |
) |
|
$ |
( |
) |
|
$ |
( |
) |
|
$ |
( |
) |
Foreign currency translation adjustments(1) |
|
|
|
|
( |
) |
|
|
|
|
|
( |
) |
||
Ending balance |
$ |
( |
) |
|
$ |
( |
) |
|
$ |
( |
) |
|
$ |
( |
) |
21. Capital Stock
Share Repurchases. During the six months ended June 30, 2025, the Company repurchased
22. Restructuring Charge
A restructuring charge of $
The table below presents a rollforward of the Company's restructuring liability for the six months ended June 30, 2025, which is included in other liabilities on the condensed consolidated statements of financial condition.
(in millions) |
Six Months Ended June 30, 2025 |
|
|
Liability as of December 31, 2024 |
$ |
|
|
Additions |
|
|
|
Accelerated amortization expense of equity-based awards |
|
( |
) |
Liability as of June 30, 2025 |
$ |
|
|
23. Income Taxes
Income tax expense for the six months ended June 30, 2025 includes a $
Income tax expense for the six months ended June 30, 2024 included a discrete tax benefit of $
35
24. Earnings Per Share
The following table sets forth the computation of basic and diluted earnings per share (“EPS”) for the three and six months ended June 30, 2025 and 2024 under the treasury stock method:
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions, except shares and per share data) |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
Net income attributable to BlackRock, Inc. |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Basic weighted-average shares outstanding |
|
|
|
|
|
|
|
|
|
|
|
||||
Dilutive effect of: |
|
|
|
|
|
|
|
|
|
|
|
||||
Nonparticipating RSUs |
|
|
|
|
|
|
|
|
|
|
|
||||
Stock options |
|
|
|
|
|
|
|
|
|
|
|
||||
Total diluted weighted-average shares |
|
|
|
|
|
|
|
|
|
|
|
||||
Basic earnings per share |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Diluted earnings per share |
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
The amount of anti-dilutive shares was for the three and six months ended June 30, 2025. For the three and six months ended June 30, 2024,
25. Segment Information
The Company’s management directs BlackRock’s operations as
The following table illustrates total revenue for the three and six months ended June 30, 2025 and 2024 by geographic region. These amounts are aggregated on a legal entity basis and do not necessarily reflect where the customer resides, or affiliated services are provided.
|
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions) |
|
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
Revenue |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Americas |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
Europe |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Asia-Pacific |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Total revenue |
|
$ |
|
|
$ |
|
|
$ |
|
|
$ |
|
||||
See Note 16, Revenue, for further information on the Company’s sources of revenue.
36
The following table illustrates long-lived assets that consist of goodwill and property and equipment at June 30, 2025 and December 31, 2024 by geographic region. These amounts are aggregated on a legal entity basis and do not necessarily reflect where the asset is physically located.
|
|
June 30, |
|
|
December 31, |
|
||
(in millions) |
|
2025 |
|
|
2024 |
|
||
Long-lived Assets |
|
|
|
|
|
|
||
Americas |
|
$ |
|
|
$ |
|
||
Europe |
|
|
|
|
|
|
||
Asia-Pacific |
|
|
|
|
|
|
||
Total long-lived assets |
|
$ |
|
|
$ |
|
||
Americas is primarily comprised of the US, and also includes Latin America and Canada. Europe is primarily comprised of the UK, Luxembourg and the Netherlands, and also includes Switzerland, Ireland and France. Asia-Pacific is primarily comprised of Hong Kong, Japan, Singapore and Australia.
26. Subsequent Events
On
In , BlackRock announced that it entered into a definitive agreement to acquire ElmTree Funds (“ElmTree”), a net-lease real estate investment firm with $
The Company conducted a review for additional subsequent events and determined that no other subsequent events had occurred that would require accrual or additional disclosures.
37
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations
FORWARD-LOOKING STATEMENTS
This report, and other statements that BlackRock may make, may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act, with respect to BlackRock’s future financial or business performance, strategies or expectations. Forward-looking statements are typically identified by words or phrases such as “trend,” “potential,” “opportunity,” “pipeline,” “believe,” “comfortable,” “expect,” “anticipate,” “current,” “intention,” “estimate,” “position,” “assume,” “outlook,” “continue,” “remain,” “maintain,” “sustain,” “seek,” “achieve,” and similar expressions, or future or conditional verbs such as “will,” “would,” “should,” “could,” “may” and similar expressions.
BlackRock cautions that forward-looking statements are subject to numerous assumptions, risks and uncertainties, which change over time and may contain information that is not purely historical in nature. Such information may include, among other things, projections and forecasts. There is no guarantee that any forecasts made will come to pass. Forward-looking statements speak only as of the date they are made, and BlackRock assumes no duty to and does not undertake to update forward-looking statements. Actual results could differ materially from those anticipated in forward-looking statements and future results could differ materially from historical performance.
BlackRock has previously disclosed risk factors in its Securities and Exchange Commission reports. These risk factors and those identified elsewhere in this report, among others, could cause actual results to differ materially from forward-looking statements or historical performance and include: (1) the introduction, withdrawal, success and timing of business initiatives and strategies; (2) changes and volatility in political, economic or industry conditions, the interest rate environment, foreign exchange rates or financial and capital markets, which could result in changes in demand for products or services or in the value of assets under management (“AUM”); (3) the relative and absolute investment performance of BlackRock’s investment products; (4) BlackRock’s ability to develop new products and services that address client preferences; (5) the impact of increased competition; (6) the impact of recent or future acquisitions or divestitures, including the acquisitions of Global Infrastructure Management, LLC (“GIP” or the “GIP Transaction”), Preqin Holding Limited (“Preqin” or the “Preqin Transaction”) and HPS Investment Partners (“HPS” or the “HPS Transaction” and together with the GIP Transaction and the Preqin Transaction, the “Transactions”); (7) BlackRock’s ability to integrate acquired businesses successfully, including the Transactions; (8) the unfavorable resolution of legal proceedings; (9) the extent and timing of any share repurchases; (10) the impact, extent and timing of technological changes and the adequacy of intellectual property, data, information and cybersecurity protection; (11) the failure to effectively manage the development and use of artificial intelligence; (12) attempts to circumvent BlackRock’s operational control environment or the potential for human error in connection with BlackRock’s operational systems; (13) the impact of legislative and regulatory actions and reforms, regulatory, supervisory or enforcement actions of government agencies and governmental scrutiny relating to BlackRock; (14) changes in law and policy and uncertainty pending any such changes; (15) any failure to effectively manage conflicts of interest; (16) damage to BlackRock’s reputation; (17) increasing focus from stakeholders regarding environmental and social-related matters; (18) geopolitical unrest, terrorist activities, civil or international hostilities, and other events outside BlackRock’s control, including the Middle East conflicts, wars, global trade tensions, tariffs, natural disasters and health crises, which may adversely affect the general economy, domestic and local financial and capital markets, specific industries or BlackRock; (19) climate-related risks to BlackRock’s business, products, operations and clients; (20) the ability to attract, train and retain highly qualified professionals; (21) fluctuations in the carrying value of BlackRock’s economic investments; (22) the impact of changes to tax legislation, including income, payroll and transaction taxes, and taxation on products, which could affect the value proposition to clients and, generally, the tax position of BlackRock; (23) BlackRock’s success in negotiating distribution arrangements and maintaining distribution channels for its products; (24) the failure by key third-party providers to fulfill their obligations to BlackRock; (25) operational, technological and regulatory risks associated with BlackRock’s major technology partnerships; (26) any disruption to the operations of third parties whose functions are integral to BlackRock’s exchange-traded funds (“ETFs”) platform; (27) the impact of BlackRock electing to provide support to its products from time to time and any potential liabilities related to securities lending or other indemnification obligations; and (28) the impact of problems, instability or failure of other financial institutions or the failure or negative performance of products offered by other financial institutions.
38
OVERVIEW
BlackRock, Inc. (together, with its subsidiaries, unless the context otherwise indicates, “BlackRock” or the “Company”) is a leading publicly traded investment management firm with $12.5 trillion of AUM at June 30, 2025. With approximately 22,700 employees in more than 30 countries, BlackRock provides a broad range of investment management and technology services to institutional and retail clients in more than 100 countries across the globe.
BlackRock’s diverse platform of alpha-seeking active, private markets, index and cash management investment strategies across asset classes enables the Company to offer choice and tailor investment and asset allocation solutions for clients. Product offerings include single- and multi-asset portfolios investing in equities, fixed income, private markets, liquid alternatives and money market instruments. Products are offered directly and through intermediaries in a variety of vehicles, including open-end and closed-end mutual funds, iShares® ETFs, separate accounts, collective trust funds and other pooled investment vehicles. BlackRock also offers technology and subscription services, including the investment and risk management technology platform, Aladdin®, Aladdin WealthTM, eFront®, Preqin and Cachematrix®, as well as advisory services and solutions to a broad base of institutional and wealth management clients. The Company is highly regulated and manages its clients’ assets as a fiduciary. The Company does not engage in proprietary trading activities that could conflict with the interests of its clients.
BlackRock serves a diverse mix of institutional and retail clients across the globe. Clients include tax-exempt institutions, such as defined benefit and defined contribution pension plans, charities, foundations and endowments; official institutions, such as central banks, sovereign wealth funds, supranationals and other government entities; taxable institutions, including insurance companies, financial institutions, corporations and third-party fund sponsors, and retail intermediaries.
BlackRock maintains a significant global sales and marketing presence that is focused on establishing and maintaining retail and institutional investment management and technology service relationships by marketing its services to investors directly and through third-party distribution relationships, including financial professionals and pension consultants.
Certain prior period presentations were reclassified to ensure comparability with current period classifications.
Acquisitions
On July 1, 2025, BlackRock completed the previously announced acquisition of 100% of the business and assets of HPS, a leading global credit investment manager with 100% of the consideration paid in BlackRock equity. The Company expects the addition of HPS will create an integrated private credit platform to provide both public and private income solutions for clients across their whole portfolios. At close, approximately 8.5 million units of BlackRock Saturn Subco, LLC, a consolidated subsidiary of the Company (“Subco Units”), were delivered to former equityholders of HPS and valued at $8.5 billion, based on the price of BlackRock's common stock on June 30, 2025 of approximately $1,049 and discounted for a one-year lack of marketability before exchange rights begin. Such Subco Units are exchangeable on a one-for-one basis (subject to certain adjustments) into BlackRock common stock (accordingly, the value of each unit delivered was based on the price of a share of BlackRock’s common stock and the specific terms of the SubCo Units). In addition, at the time of close, approximately 1 million restricted stock units (“RSUs”) relating to shares of the Company’s common stock were issued to HPS employees, subject to certain vesting conditions. Furthermore, deferred consideration, which is to be delivered all in SubCo Units of approximately 2.8 million and 1.6 million may be paid in approximately five years, subject to achievement of certain post-closing conditions and financial performance milestones, respectively. The transaction agreement for the HPS Acquisition also contains a customary purchase price adjustment which may be satisfied by the issuance of additional Subco Units. In general, subject to the purchase price adjustment, if (i) all contingent consideration is achieved, (ii) all Subco Units are exchanged for shares of the Company’s common stock (including those issued on the closing date), and (iii) all RSUs vest and are settled in the form of shares of the Company’s common stock, the Company does not expect to issue more than approximately 13.8 million additional shares of common stock in the aggregate (with approximately 1 million common shares issuable in respect of RSUs). The initial accounting for the business combination is incomplete as a result of the timing of the acquisition. Therefore, it is impractical for the Company to provide the full disclosure of required financial information as of the date of this filing.
On March 3, 2025, BlackRock completed the acquisition of 100% of the shares of Preqin, a leading provider of private markets data, for £2.5 billion (or approximately $3.2 billion) in cash. The Company believes bringing together Preqin's data and research tools with the complementary workflows of Aladdin and eFront in a unified platform will create a preeminent private markets technology and data provider.
39
In July 2025, BlackRock announced that it entered into a definitive agreement to acquire ElmTree Funds (“ElmTree”), a net-lease real estate investment firm with $7.3 billion in total assets under management as of March 31, 2025. Upfront consideration will be paid primarily in stock, with the potential for additional consideration subject to ElmTree's performance over the next five years. The acquisition of ElmTree is expected to position the Company to scale its real estate offerings, while expanding into new markets as an owner-operator. The transaction is expected to close in the third quarter of 2025, subject to customary closing conditions.
EXECUTIVE SUMMARY
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions, except per share data) |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
GAAP basis(1): |
|
|
|
|
|
|
|
|
|
|
|
||||
Total revenue |
$ |
5,423 |
|
|
$ |
4,805 |
|
|
$ |
10,699 |
|
|
$ |
9,533 |
|
Total expense |
|
3,692 |
|
|
|
3,005 |
|
|
|
7,270 |
|
|
|
6,040 |
|
Operating income |
$ |
1,731 |
|
|
$ |
1,800 |
|
|
$ |
3,429 |
|
|
$ |
3,493 |
|
Operating margin |
|
31.9 |
% |
|
|
37.5 |
% |
|
|
32.0 |
% |
|
|
36.6 |
% |
Nonoperating income (expense), less net income |
|
449 |
|
|
|
172 |
|
|
|
509 |
|
|
|
342 |
|
Income tax expense |
|
587 |
|
|
|
477 |
|
|
|
835 |
|
|
|
767 |
|
Net income attributable to BlackRock |
$ |
1,593 |
|
|
$ |
1,495 |
|
|
$ |
3,103 |
|
|
$ |
3,068 |
|
Diluted earnings per common share |
$ |
10.19 |
|
|
$ |
9.99 |
|
|
$ |
19.83 |
|
|
$ |
20.47 |
|
Effective tax rate |
|
26.9 |
% |
|
|
24.2 |
% |
|
|
21.2 |
% |
|
|
20.0 |
% |
As adjusted(2): |
|
|
|
|
|
|
|
|
|
|
|
||||
Operating income |
$ |
2,099 |
|
|
$ |
1,881 |
|
|
$ |
4,131 |
|
|
$ |
3,656 |
|
Operating margin |
|
43.3 |
% |
|
|
44.1 |
% |
|
|
43.2 |
% |
|
|
43.1 |
% |
Nonoperating income (expense), less net income |
$ |
404 |
|
|
$ |
165 |
|
|
$ |
479 |
|
|
$ |
304 |
|
Net income attributable to BlackRock |
$ |
1,883 |
|
|
$ |
1,550 |
|
|
$ |
3,653 |
|
|
$ |
3,023 |
|
Diluted earnings per common share |
$ |
12.05 |
|
|
$ |
10.36 |
|
|
$ |
23.35 |
|
|
$ |
20.17 |
|
Effective tax rate |
|
24.8 |
% |
|
|
24.2 |
% |
|
|
20.8 |
% |
|
|
23.7 |
% |
Other: |
|
|
|
|
|
|
|
|
|
|
|
||||
Assets under management (end of period) |
$ |
12,527,590 |
|
|
$ |
10,645,721 |
|
|
$ |
12,527,590 |
|
|
$ |
10,645,721 |
|
Diluted weighted-average common shares |
|
156.3 |
|
|
|
149.7 |
|
|
|
156.4 |
|
|
|
149.9 |
|
Shares outstanding (end of period) |
|
154.8 |
|
|
|
148.2 |
|
|
|
154.8 |
|
|
|
148.2 |
|
Book value per share(3) |
$ |
317.55 |
|
|
$ |
270.61 |
|
|
$ |
317.55 |
|
|
$ |
270.61 |
|
Cash dividends declared and paid per share |
$ |
5.21 |
|
|
$ |
5.10 |
|
|
$ |
10.42 |
|
|
$ |
10.20 |
|
Three Months Ended June 30, 2025 Compared with Three Months Ended June 30, 2024
GAAP. Operating income of $1.7 billion decreased $69 million, while operating margin of 31.9% decreased 560 bps from the three months ended June 30, 2024. Operating income and operating margin reflected higher revenue, including higher investment advisory and administration fees (collectively "base fees"), driven by positive impact of markets, organic base fee growth and fees related to the GIP Transaction, as well as higher technology services and subscription revenue, partially offset by lower performance fees. The increase in revenue was more than offset by higher expense, primarily resulting from noncash acquisition-related costs and nonrecurring retention-related deferred compensation expense in connection with the GIP and Preqin Transactions. In addition, during the second quarter of 2025, BlackRock recorded a $39 million restructuring charge, comprised of severance and compensation expense for accelerated vesting of previously granted deferred compensation awards, in connection with an initiative to modify the Company's organization to fit more closely with strategic priorities.
Nonoperating income (expense) less net income (loss) attributable to noncontrolling interests (“NCI”) increased $277 million from the three months ended June 30, 2024, driven by higher noncash mark-to-market net gain (loss) on revaluation of investments including a $330 million noncash pre-tax gain related to Circle Internet Group, Inc. ("Circle"), partially offset by higher interest expense.
40
Earnings per diluted common share increased $0.20, or 2%, from the three months ended June 30, 2024, reflecting higher nonoperating income, partially offset by lower operating income, driven by higher noncash acquisition-related costs, as well as a higher effective tax rate and a higher diluted share count in the current quarter.
As Adjusted. Operating income of $2.1 billion increased $218 million and operating margin of 43.3% decreased 80 bps from the three months ended June 30, 2024. The acquisition-related expenses and restructuring charge described above have been excluded from as adjusted results. Earnings per diluted common share increased $1.69, or 16%, from the three months ended June 30, 2024, primarily reflecting higher operating and nonoperating income, partially offset by a higher effective tax rate and a higher diluted share count in the current quarter.
Six Months Ended June 30, 2025 Compared with Six Months Ended June 30, 2024
GAAP. Operating income of $3.4 billion decreased $64 million, while operating margin of 32.0% decreased 460 bps from the six months ended June 30, 2024. Operating income and operating margin reflected higher revenue, including higher base fees, driven by positive impact of markets, organic base fee growth and fees related to the GIP Transaction, as well as higher technology services and subscription revenue, partially offset by lower performance fees. The increase in revenue was more than offset by higher expense, primarily resulting from noncash acquisition-related costs and nonrecurring retention-related deferred compensation expense in connection with the GIP and Preqin Transactions. Operating income and operating margin for the six months ended June 30, 2025 also included the impact of the $39 million restructuring charge previously described above.
Nonoperating income (expense) less net income (loss) attributable to NCI increased $167 million from the six months ended June 30, 2024, driven by higher noncash mark-to-market net gain (loss) on revaluation of investments, including the previously mentioned $330 million noncash pre-tax gain related to Circle, partially offset by higher interest expense.
Income tax expense for the six months ended June 30, 2025, included a $149 million discrete tax benefit related to the realization of capital losses from changes in the Company's organizational structure and a $50 million discrete tax benefit related to stock-based compensation awards that vested in 2025. Income tax expense for the six months ended June 30, 2024 included a discrete tax benefit of $137 million recognized in connection with the reorganization and establishment of a more efficient global intellectual property and technology platform and corporate structure.
Earnings per diluted common share decreased $0.64, or 3%, from the six months ended June 30, 2024, primarily driven by the impact of higher acquisition-related costs, a higher effective tax rate, and a higher diluted share count in the current quarter, partially offset by higher nonoperating income.
As Adjusted. Operating income of $4.1 billion increased $475 million and operating margin of 43.2% increased 10 bps from the six months ended June 30, 2024. The acquisition-related expenses and restructuring charge described above have been excluded from as adjusted results. Earnings per diluted common share increased $3.18, or 16%, from the six months ended June 30, 2024, reflecting higher operating and nonoperating income, and a lower effective tax rate, partially offset by a higher diluted share count in the current quarter. Income tax expense, as adjusted, for the six months ended June 30, 2024 excluded the $137 million of benefit described above.
See Non-GAAP Financial Measures for further information on as adjusted items and the reconciliation to GAAP.
For further discussion of BlackRock’s revenue, expense, nonoperating results and income tax expense, see Discussion of Financial Results herein.
NON-GAAP FINANCIAL MEASURES
BlackRock reports its financial results in accordance with GAAP; however, management believes evaluating the Company’s ongoing operating results may be enhanced if investors have additional non-GAAP financial measures. Adjustments to GAAP financial measures (“non-GAAP adjustments”) include certain items management deems nonrecurring or that occur infrequently, transactions that ultimately will not impact BlackRock’s book value or certain tax items that do not impact cash flow. Management reviews non-GAAP financial measures, in addition to GAAP financial measures, to assess ongoing operations and considers them to be helpful, for both management and investors, in evaluating BlackRock’s financial performance over time. Management also uses non-GAAP financial measures as a benchmark to compare its performance with other companies and to enhance comparability for the reporting periods presented. Non-GAAP financial measures may pose limitations because they do not include all of BlackRock’s revenue and expense. BlackRock’s management does not advocate that investors consider such non-GAAP financial measures in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. Non-GAAP financial measures may not be comparable to other similarly titled measures of other companies.
Computations and reconciliations for all periods are derived from the condensed consolidated statements of income as follows:
41
(1) Operating income, as adjusted, and operating margin, as adjusted:
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions) |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
Operating income, GAAP basis |
$ |
1,731 |
|
|
$ |
1,800 |
|
|
$ |
3,429 |
|
|
$ |
3,493 |
|
Non-GAAP expense adjustments: |
|
|
|
|
|
|
|
|
|
|
|
||||
Compensation expense related to appreciation |
|
30 |
|
|
|
9 |
|
|
|
27 |
|
|
|
36 |
|
Amortization of intangible assets (b) |
|
137 |
|
|
|
39 |
|
|
|
254 |
|
|
|
77 |
|
Acquisition-related compensation costs (b) |
|
76 |
|
|
|
19 |
|
|
|
161 |
|
|
|
21 |
|
Acquisition-related transaction costs (b)(1) |
|
10 |
|
|
|
13 |
|
|
|
49 |
|
|
|
35 |
|
Contingent consideration fair value adjustments (b) |
|
76 |
|
|
|
1 |
|
|
|
172 |
|
|
|
(6 |
) |
Restructuring charge (c) |
|
39 |
|
|
|
— |
|
|
|
39 |
|
|
|
— |
|
Operating income, as adjusted |
$ |
2,099 |
|
|
$ |
1,881 |
|
|
$ |
4,131 |
|
|
$ |
3,656 |
|
Revenue, GAAP basis |
$ |
5,423 |
|
|
$ |
4,805 |
|
|
$ |
10,699 |
|
|
$ |
9,533 |
|
Non-GAAP adjustments: |
|
|
|
|
|
|
|
|
|
|
|
||||
Distribution fees |
|
(320 |
) |
|
|
(318 |
) |
|
|
(641 |
) |
|
|
(628 |
) |
Investment advisory fees |
|
(256 |
) |
|
|
(221 |
) |
|
|
(505 |
) |
|
|
(429 |
) |
Revenue used for operating margin measurement |
$ |
4,847 |
|
|
$ |
4,266 |
|
|
$ |
9,553 |
|
|
$ |
8,476 |
|
Operating margin, GAAP basis |
|
31.9 |
% |
|
|
37.5 |
% |
|
|
32.0 |
% |
|
|
36.6 |
% |
Operating margin, as adjusted |
|
43.3 |
% |
|
|
44.1 |
% |
|
|
43.2 |
% |
|
|
43.1 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
||||
(2) Nonoperating income (expense), less net income (loss) attributable to NCI, as adjusted:
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions) |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
Nonoperating income (expense), GAAP basis |
$ |
521 |
|
|
$ |
214 |
|
|
$ |
586 |
|
|
$ |
434 |
|
Less: Net income (loss) attributable to NCI |
|
72 |
|
|
|
42 |
|
|
|
77 |
|
|
|
92 |
|
Nonoperating income (expense), net of NCI |
|
449 |
|
|
|
172 |
|
|
|
509 |
|
|
|
342 |
|
Less: Hedge gain (loss) on deferred cash compensation |
|
45 |
|
|
|
7 |
|
|
|
30 |
|
|
|
38 |
|
Nonoperating income (expense), less net income (loss) |
$ |
404 |
|
|
$ |
165 |
|
|
$ |
479 |
|
|
$ |
304 |
|
(3) Net income attributable to BlackRock, Inc., as adjusted:
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions, except per share data) |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
Net income attributable to BlackRock, Inc., GAAP basis |
$ |
1,593 |
|
|
$ |
1,495 |
|
|
$ |
3,103 |
|
|
$ |
3,068 |
|
Non-GAAP adjustments(1): |
|
|
|
|
|
|
|
|
|
|
|
||||
Net impact of hedged deferred cash compensation plans (a) |
|
(11 |
) |
|
|
2 |
|
|
|
(2 |
) |
|
|
(1 |
) |
Amortization of intangible assets (b) |
|
102 |
|
|
|
29 |
|
|
|
189 |
|
|
|
57 |
|
Acquisition-related compensation costs (b) |
|
57 |
|
|
|
13 |
|
|
|
120 |
|
|
|
15 |
|
Acquisition-related transaction costs (b) |
|
9 |
|
|
|
10 |
|
|
|
38 |
|
|
|
25 |
|
Contingent consideration fair value adjustments (b) |
|
97 |
|
|
|
1 |
|
|
|
169 |
|
|
|
(4 |
) |
Restructuring charge (c) |
|
29 |
|
|
|
— |
|
|
|
29 |
|
|
|
— |
|
Income tax matters |
|
7 |
|
|
|
— |
|
|
|
7 |
|
|
|
(137 |
) |
Net income attributable to BlackRock, Inc., as adjusted |
$ |
1,883 |
|
|
$ |
1,550 |
|
|
$ |
3,653 |
|
|
$ |
3,023 |
|
Diluted weighted-average common shares outstanding |
|
156.3 |
|
|
|
149.7 |
|
|
|
156.4 |
|
|
|
149.9 |
|
Diluted earnings per common share, GAAP basis |
$ |
10.19 |
|
|
$ |
9.99 |
|
|
$ |
19.83 |
|
|
$ |
20.47 |
|
Diluted earnings per common share, as adjusted |
$ |
12.05 |
|
|
$ |
10.36 |
|
|
$ |
23.35 |
|
|
$ |
20.17 |
|
42
(1) Operating income, as adjusted, and operating margin, as adjusted: Management believes operating income, as adjusted, and operating margin, as adjusted, are effective indicators of BlackRock’s financial performance over time, and, therefore, provide useful disclosure to investors. Management believes that operating margin, as adjusted, reflects the Company’s long-term ability to manage ongoing costs in relation to its revenues. The Company uses operating margin, as adjusted, to assess the Company’s financial performance, to determine the long-term and annual compensation of the Company’s senior-level employees and to evaluate the Company’s relative performance against industry peers. Furthermore, this metric eliminates margin variability arising from the accounting of revenues and expenses related to distributing different product structures in multiple distribution channels utilized by asset managers.
43
(2) Nonoperating income (expense), less net income (loss) attributable to NCI, as adjusted: Management believes nonoperating income (expense), less net income (loss) attributable to NCI, as adjusted, is an effective measure for reviewing BlackRock’s nonoperating contribution to its results and provides comparability of this information among reporting periods. Nonoperating income (expense), less net income (loss) attributable to NCI, as adjusted, excludes the gain (loss) on the economic hedge of certain deferred cash compensation plans. As the gain (loss) on investments and derivatives used to hedge these compensation plans over time substantially offsets the compensation expense related to the market valuation changes on these deferred cash compensation plans, which is included in operating income, GAAP basis, management believes excluding the gain (loss) on the economic hedge of the deferred cash compensation plans when calculating nonoperating income (expense), less net income (loss) attributable to NCI, as adjusted, provides a useful measure for both management and investors of BlackRock’s nonoperating results that impact book value.
(3) Net income attributable to BlackRock, Inc., as adjusted: Management believes net income attributable to BlackRock, Inc., as adjusted, and diluted earnings per common share, as adjusted, are useful measures of BlackRock’s profitability and financial performance. Net income attributable to BlackRock, Inc., as adjusted, equals net income attributable to BlackRock, Inc., GAAP basis, adjusted for certain items management deems nonrecurring or that occur infrequently, transactions that ultimately will not impact BlackRock’s book value or certain tax items that do not impact cash flow.
For each period presented, the non-GAAP adjustments were tax effected at the respective blended rates applicable to the adjustments. In addition, the non-GAAP adjustment in the second quarter of 2025 related to contingent consideration fair value adjustments includes a tax impact associated with the deductibility of contingent consideration. In addition, the amount for income tax matters in 2024 included a discrete tax benefit of $137 million recognized in connection with the reorganization and establishment of a more efficient global intellectual property and technology platform and corporate structure. This discrete tax benefit has been excluded from as adjusted results due to the nonrecurring nature of the intellectual property reorganization.
Per share amounts reflect net income attributable to BlackRock, Inc., as adjusted, divided by diluted weighted-average common shares outstanding.
44
ASSETS UNDER MANAGEMENT
AUM for reporting purposes generally is based upon how investment advisory and administration fees are calculated for each portfolio. Net asset values, total assets, committed assets or other measures may be used to determine portfolio AUM.
AUM and Net Inflows (Outflows) by Product Type(1) |
|
||||||||||||||||||||||||||
|
AUM |
|
|
Net inflows (outflows) |
|
||||||||||||||||||||||
|
June 30, |
|
|
March 31, |
|
|
December 31, |
|
|
June 30, |
|
|
Three Months |
|
|
Six Months |
|
|
Twelve Months |
|
|||||||
(in millions) |
2025 |
|
|
2025 |
|
|
2024 |
|
|
2024 |
|
|
2025 |
|
|
2025 |
|
|
2025 |
|
|||||||
Equity |
$ |
6,905,438 |
|
|
$ |
6,204,549 |
|
|
$ |
6,310,191 |
|
|
$ |
5,827,135 |
|
|
$ |
28,781 |
|
|
$ |
48,096 |
|
|
$ |
248,804 |
|
Fixed income |
|
3,087,297 |
|
|
|
3,006,670 |
|
|
|
2,905,669 |
|
|
|
2,815,884 |
|
|
|
(4,664 |
) |
|
|
33,073 |
|
|
|
119,598 |
|
Multi-asset |
|
1,076,709 |
|
|
|
1,002,681 |
|
|
|
992,921 |
|
|
|
921,412 |
|
|
|
(6,743 |
) |
|
|
1,802 |
|
|
|
43,923 |
|
Alternatives: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Private markets |
|
215,244 |
|
|
|
212,354 |
|
|
|
211,974 |
|
|
|
137,868 |
|
|
|
6,819 |
|
|
|
13,964 |
|
|
|
20,220 |
|
Liquid alternatives |
|
86,670 |
|
|
|
79,356 |
|
|
|
76,390 |
|
|
|
75,483 |
|
|
|
2,948 |
|
|
|
5,102 |
|
|
|
5,417 |
|
Alternatives subtotal |
|
301,914 |
|
|
|
291,710 |
|
|
|
288,364 |
|
|
|
213,351 |
|
|
|
9,767 |
|
|
|
19,066 |
|
|
|
25,637 |
|
Digital assets |
|
79,551 |
|
|
|
50,329 |
|
|
|
55,306 |
|
|
|
18,531 |
|
|
|
14,139 |
|
|
|
17,493 |
|
|
|
40,563 |
|
Currency and commodities(2) |
|
106,980 |
|
|
|
97,355 |
|
|
|
78,137 |
|
|
|
71,366 |
|
|
|
4,509 |
|
|
|
9,612 |
|
|
|
11,458 |
|
Long-term |
|
11,557,889 |
|
|
|
10,653,294 |
|
|
|
10,630,588 |
|
|
|
9,867,679 |
|
|
|
45,789 |
|
|
|
129,142 |
|
|
|
489,983 |
|
Cash management |
|
969,701 |
|
|
|
930,634 |
|
|
|
920,663 |
|
|
|
778,042 |
|
|
|
21,948 |
|
|
|
22,765 |
|
|
|
164,521 |
|
Total |
$ |
12,527,590 |
|
|
$ |
11,583,928 |
|
|
$ |
11,551,251 |
|
|
$ |
10,645,721 |
|
|
$ |
67,737 |
|
|
$ |
151,907 |
|
|
$ |
654,504 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
AUM and Net Inflows (Outflows) by Client Type and Product Type(1) |
|
||||||||||||||||||||||||||
|
AUM |
|
|
Net inflows (outflows) |
|
||||||||||||||||||||||
|
June 30, |
|
|
March 31, |
|
|
December 31, |
|
|
June 30, |
|
|
Three Months |
|
|
Six Months |
|
|
Twelve Months |
|
|||||||
(in millions) |
2025 |
|
|
2025 |
|
|
2024 |
|
|
2024 |
|
|
2025 |
|
|
2025 |
|
|
2025 |
|
|||||||
Retail |
$ |
1,100,997 |
|
|
$ |
1,022,880 |
|
|
$ |
1,015,221 |
|
|
$ |
991,496 |
|
|
$ |
1,957 |
|
|
$ |
15,074 |
|
|
$ |
26,613 |
|
ETFs |
|
4,748,768 |
|
|
|
4,302,761 |
|
|
|
4,230,375 |
|
|
|
3,855,774 |
|
|
|
84,860 |
|
|
|
192,269 |
|
|
|
432,319 |
|
Institutional: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Active |
|
2,277,877 |
|
|
|
2,155,178 |
|
|
|
2,135,095 |
|
|
|
1,966,720 |
|
|
|
6,727 |
|
|
|
15,099 |
|
|
|
66,780 |
|
Index |
|
3,430,247 |
|
|
|
3,172,475 |
|
|
|
3,249,897 |
|
|
|
3,053,689 |
|
|
|
(47,755 |
) |
|
|
(93,300 |
) |
|
|
(35,729 |
) |
Institutional subtotal |
|
5,708,124 |
|
|
|
5,327,653 |
|
|
|
5,384,992 |
|
|
|
5,020,409 |
|
|
|
(41,028 |
) |
|
|
(78,201 |
) |
|
|
31,051 |
|
Long-term |
|
11,557,889 |
|
|
|
10,653,294 |
|
|
|
10,630,588 |
|
|
|
9,867,679 |
|
|
|
45,789 |
|
|
|
129,142 |
|
|
|
489,983 |
|
Cash management |
|
969,701 |
|
|
|
930,634 |
|
|
|
920,663 |
|
|
|
778,042 |
|
|
|
21,948 |
|
|
|
22,765 |
|
|
|
164,521 |
|
Total |
$ |
12,527,590 |
|
|
$ |
11,583,928 |
|
|
$ |
11,551,251 |
|
|
$ |
10,645,721 |
|
|
$ |
67,737 |
|
|
$ |
151,907 |
|
|
$ |
654,504 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
AUM and Net Inflows (Outflows) by Investment Style and Product Type(1) |
|
||||||||||||||||||||||||||
|
AUM |
|
|
Net inflows (outflows) |
|
||||||||||||||||||||||
|
June 30, |
|
|
March 31, |
|
|
December 31, |
|
|
June 30, |
|
|
Three Months |
|
|
Six Months |
|
|
Twelve Months |
|
|||||||
(in millions) |
2025 |
|
|
2025 |
|
|
2024 |
|
|
2024 |
|
|
2025 |
|
|
2025 |
|
|
2025 |
|
|||||||
Active |
$ |
3,051,873 |
|
|
$ |
2,889,141 |
|
|
$ |
2,868,402 |
|
|
$ |
2,701,344 |
|
|
$ |
1,413 |
|
|
$ |
11,722 |
|
|
$ |
62,483 |
|
ETFs |
|
4,748,768 |
|
|
|
4,302,761 |
|
|
|
4,230,375 |
|
|
|
3,855,774 |
|
|
|
84,860 |
|
|
|
192,269 |
|
|
|
432,319 |
|
Non-ETF index |
|
3,757,248 |
|
|
|
3,461,392 |
|
|
|
3,531,811 |
|
|
|
3,310,561 |
|
|
|
(40,484 |
) |
|
|
(74,849 |
) |
|
|
(4,819 |
) |
Long-term |
|
11,557,889 |
|
|
|
10,653,294 |
|
|
|
10,630,588 |
|
|
|
9,867,679 |
|
|
|
45,789 |
|
|
|
129,142 |
|
|
|
489,983 |
|
Cash management |
|
969,701 |
|
|
|
930,634 |
|
|
|
920,663 |
|
|
|
778,042 |
|
|
|
21,948 |
|
|
|
22,765 |
|
|
|
164,521 |
|
Total |
$ |
12,527,590 |
|
|
$ |
11,583,928 |
|
|
$ |
11,551,251 |
|
|
$ |
10,645,721 |
|
|
$ |
67,737 |
|
|
$ |
151,907 |
|
|
$ |
654,504 |
|
45
Component Changes in AUM for the Three Months Ended June 30, 2025
The following table presents the component changes in AUM by product type for the three months ended June 30, 2025.
|
March 31, |
|
|
Net |
|
|
|
|
|
Market |
|
|
FX |
|
|
June 30, |
|
|
Average |
|
|||||||
(in millions) |
2025 |
|
|
(outflows) |
|
|
AG真人官方izations(1) |
|
|
change |
|
|
impact(2) |
|
|
2025 |
|
|
AUM(3) |
|
|||||||
Equity |
$ |
6,204,549 |
|
|
$ |
28,781 |
|
|
$ |
— |
|
|
$ |
594,781 |
|
|
$ |
77,327 |
|
|
$ |
6,905,438 |
|
|
$ |
6,497,393 |
|
Fixed income |
|
3,006,670 |
|
|
|
(4,664 |
) |
|
|
(543 |
) |
|
|
30,932 |
|
|
|
54,902 |
|
|
|
3,087,297 |
|
|
|
3,024,167 |
|
Multi-asset |
|
1,002,681 |
|
|
|
(6,743 |
) |
|
|
— |
|
|
|
60,155 |
|
|
|
20,616 |
|
|
|
1,076,709 |
|
|
|
1,033,261 |
|
Alternatives: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Private markets |
|
212,354 |
|
|
|
6,819 |
|
|
|
(6,474 |
) |
|
|
(1,068 |
) |
|
|
3,613 |
|
|
|
215,244 |
|
|
|
214,708 |
|
Liquid alternatives |
|
79,356 |
|
|
|
2,948 |
|
|
|
(29 |
) |
|
|
3,769 |
|
|
|
626 |
|
|
|
86,670 |
|
|
|
82,849 |
|
Alternatives subtotal |
|
291,710 |
|
|
|
9,767 |
|
|
|
(6,503 |
) |
|
|
2,701 |
|
|
|
4,239 |
|
|
|
301,914 |
|
|
|
297,557 |
|
Digital assets |
|
50,329 |
|
|
|
14,139 |
|
|
|
— |
|
|
|
15,077 |
|
|
|
6 |
|
|
|
79,551 |
|
|
|
65,710 |
|
Currency and commodities(4) |
|
97,355 |
|
|
|
4,509 |
|
|
|
— |
|
|
|
4,771 |
|
|
|
345 |
|
|
|
106,980 |
|
|
|
101,838 |
|
Long-term |
|
10,653,294 |
|
|
|
45,789 |
|
|
|
(7,046 |
) |
|
|
708,417 |
|
|
|
157,435 |
|
|
|
11,557,889 |
|
|
|
11,019,926 |
|
Cash management |
|
930,634 |
|
|
|
21,948 |
|
|
|
— |
|
|
|
3,031 |
|
|
|
14,088 |
|
|
|
969,701 |
|
|
|
954,903 |
|
Total |
$ |
11,583,928 |
|
|
$ |
67,737 |
|
|
$ |
(7,046 |
) |
|
$ |
711,448 |
|
|
$ |
171,523 |
|
|
$ |
12,527,590 |
|
|
$ |
11,974,829 |
|
The following table presents the component changes in AUM by client type and product type for the three months ended June 30, 2025.
|
March 31, |
|
|
Net |
|
|
|
|
|
Market |
|
|
FX |
|
|
June 30, |
|
|
Average |
|
|||||||
(in millions) |
2025 |
|
|
(outflows) |
|
|
AG真人官方izations(1) |
|
|
change |
|
|
impact(2) |
|
|
2025 |
|
|
AUM(3) |
|
|||||||
Retail: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Equity |
$ |
502,678 |
|
|
$ |
797 |
|
|
$ |
— |
|
|
$ |
45,593 |
|
|
$ |
8,765 |
|
|
$ |
557,833 |
|
|
$ |
525,736 |
|
Fixed income |
|
323,508 |
|
|
|
569 |
|
|
|
— |
|
|
|
3,825 |
|
|
|
5,722 |
|
|
|
333,624 |
|
|
|
327,191 |
|
Multi-asset |
|
153,420 |
|
|
|
(1,845 |
) |
|
|
— |
|
|
|
10,444 |
|
|
|
833 |
|
|
|
162,852 |
|
|
|
156,711 |
|
Private markets |
|
16,017 |
|
|
|
767 |
|
|
|
(476 |
) |
|
|
117 |
|
|
|
398 |
|
|
|
16,823 |
|
|
|
16,571 |
|
Liquid alternatives |
|
27,257 |
|
|
|
1,669 |
|
|
|
— |
|
|
|
760 |
|
|
|
179 |
|
|
|
29,865 |
|
|
|
28,556 |
|
Retail subtotal |
|
1,022,880 |
|
|
|
1,957 |
|
|
|
(476 |
) |
|
|
60,739 |
|
|
|
15,897 |
|
|
|
1,100,997 |
|
|
|
1,054,765 |
|
ETFs: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Equity |
|
3,111,438 |
|
|
|
22,066 |
|
|
|
— |
|
|
|
298,889 |
|
|
|
22,724 |
|
|
|
3,455,117 |
|
|
|
3,245,785 |
|
Fixed income |
|
1,039,115 |
|
|
|
43,617 |
|
|
|
— |
|
|
|
7,451 |
|
|
|
11,041 |
|
|
|
1,101,224 |
|
|
|
1,065,853 |
|
Multi-asset |
|
10,603 |
|
|
|
475 |
|
|
|
— |
|
|
|
633 |
|
|
|
215 |
|
|
|
11,926 |
|
|
|
11,210 |
|
Digital assets |
|
50,329 |
|
|
|
14,139 |
|
|
|
— |
|
|
|
15,077 |
|
|
|
6 |
|
|
|
79,551 |
|
|
|
65,710 |
|
Commodities |
|
91,276 |
|
|
|
4,563 |
|
|
|
— |
|
|
|
4,891 |
|
|
|
220 |
|
|
|
100,950 |
|
|
|
95,843 |
|
ETFs subtotal |
|
4,302,761 |
|
|
|
84,860 |
|
|
|
— |
|
|
|
326,941 |
|
|
|
34,206 |
|
|
|
4,748,768 |
|
|
|
4,484,401 |
|
Institutional: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Active: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Equity |
|
217,390 |
|
|
|
(217 |
) |
|
|
— |
|
|
|
19,634 |
|
|
|
5,291 |
|
|
|
242,098 |
|
|
|
228,535 |
|
Fixed income |
|
853,873 |
|
|
|
4,995 |
|
|
|
(543 |
) |
|
|
12,286 |
|
|
|
11,321 |
|
|
|
881,932 |
|
|
|
866,013 |
|
Multi-asset |
|
835,479 |
|
|
|
(5,382 |
) |
|
|
— |
|
|
|
48,983 |
|
|
|
19,541 |
|
|
|
898,621 |
|
|
|
862,105 |
|
Private markets |
|
196,337 |
|
|
|
6,052 |
|
|
|
(5,998 |
) |
|
|
(1,185 |
) |
|
|
3,215 |
|
|
|
198,421 |
|
|
|
198,137 |
|
Liquid alternatives |
|
52,099 |
|
|
|
1,279 |
|
|
|
(29 |
) |
|
|
3,009 |
|
|
|
447 |
|
|
|
56,805 |
|
|
|
54,293 |
|
Active subtotal |
|
2,155,178 |
|
|
|
6,727 |
|
|
|
(6,570 |
) |
|
|
82,727 |
|
|
|
39,815 |
|
|
|
2,277,877 |
|
|
|
2,209,083 |
|
Index |
|
3,172,475 |
|
|
|
(47,755 |
) |
|
|
— |
|
|
|
238,010 |
|
|
|
67,517 |
|
|
|
3,430,247 |
|
|
|
3,271,677 |
|
Institutional subtotal |
|
5,327,653 |
|
|
|
(41,028 |
) |
|
|
(6,570 |
) |
|
|
320,737 |
|
|
|
107,332 |
|
|
|
5,708,124 |
|
|
|
5,480,760 |
|
Long-term |
|
10,653,294 |
|
|
|
45,789 |
|
|
|
(7,046 |
) |
|
|
708,417 |
|
|
|
157,435 |
|
|
|
11,557,889 |
|
|
|
11,019,926 |
|
Cash management |
|
930,634 |
|
|
|
21,948 |
|
|
|
— |
|
|
|
3,031 |
|
|
|
14,088 |
|
|
|
969,701 |
|
|
|
954,903 |
|
Total |
$ |
11,583,928 |
|
|
$ |
67,737 |
|
|
$ |
(7,046 |
) |
|
$ |
711,448 |
|
|
$ |
171,523 |
|
|
$ |
12,527,590 |
|
|
$ |
11,974,829 |
|
46
The following table presents the component changes in AUM by investment style and product type for the three months ended June 30, 2025.
|
March 31, |
|
|
Net |
|
|
|
|
|
Market |
|
|
FX |
|
|
June 30, |
|
|
Average |
|
|||||||
(in millions) |
2025 |
|
|
(outflows) |
|
|
AG真人官方izations(1) |
|
|
change |
|
|
impact(2) |
|
|
2025 |
|
|
AUM(3) |
|
|||||||
Active: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Equity |
$ |
458,656 |
|
|
$ |
(4,581 |
) |
|
$ |
— |
|
|
$ |
41,315 |
|
|
$ |
9,164 |
|
|
$ |
504,554 |
|
|
$ |
477,538 |
|
Fixed income |
|
1,149,891 |
|
|
|
3,454 |
|
|
|
(543 |
) |
|
|
15,697 |
|
|
|
15,449 |
|
|
|
1,183,948 |
|
|
|
1,163,331 |
|
Multi-asset |
|
988,884 |
|
|
|
(7,227 |
) |
|
|
— |
|
|
|
59,426 |
|
|
|
20,374 |
|
|
|
1,061,457 |
|
|
|
1,018,800 |
|
Private markets |
|
212,354 |
|
|
|
6,819 |
|
|
|
(6,474 |
) |
|
|
(1,068 |
) |
|
|
3,613 |
|
|
|
215,244 |
|
|
|
214,708 |
|
Liquid alternatives |
|
79,356 |
|
|
|
2,948 |
|
|
|
(29 |
) |
|
|
3,769 |
|
|
|
626 |
|
|
|
86,670 |
|
|
|
82,849 |
|
Active subtotal |
|
2,889,141 |
|
|
|
1,413 |
|
|
|
(7,046 |
) |
|
|
119,139 |
|
|
|
49,226 |
|
|
|
3,051,873 |
|
|
|
2,957,226 |
|
ETFs: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Equity |
|
3,111,438 |
|
|
|
22,066 |
|
|
|
— |
|
|
|
298,889 |
|
|
|
22,724 |
|
|
|
3,455,117 |
|
|
|
3,245,785 |
|
Fixed income |
|
1,039,115 |
|
|
|
43,617 |
|
|
|
— |
|
|
|
7,451 |
|
|
|
11,041 |
|
|
|
1,101,224 |
|
|
|
1,065,853 |
|
Multi-asset |
|
10,603 |
|
|
|
475 |
|
|
|
— |
|
|
|
633 |
|
|
|
215 |
|
|
|
11,926 |
|
|
|
11,210 |
|
Digital assets |
|
50,329 |
|
|
|
14,139 |
|
|
|
— |
|
|
|
15,077 |
|
|
|
6 |
|
|
|
79,551 |
|
|
|
65,710 |
|
Commodities |
|
91,276 |
|
|
|
4,563 |
|
|
|
— |
|
|
|
4,891 |
|
|
|
220 |
|
|
|
100,950 |
|
|
|
95,843 |
|
ETFs subtotal |
|
4,302,761 |
|
|
|
84,860 |
|
|
|
— |
|
|
|
326,941 |
|
|
|
34,206 |
|
|
|
4,748,768 |
|
|
|
4,484,401 |
|
Non-ETF index |
|
3,461,392 |
|
|
|
(40,484 |
) |
|
|
— |
|
|
|
262,337 |
|
|
|
74,003 |
|
|
|
3,757,248 |
|
|
|
3,578,299 |
|
Long-term |
|
10,653,294 |
|
|
|
45,789 |
|
|
|
(7,046 |
) |
|
|
708,417 |
|
|
|
157,435 |
|
|
|
11,557,889 |
|
|
|
11,019,926 |
|
Cash management |
|
930,634 |
|
|
|
21,948 |
|
|
|
— |
|
|
|
3,031 |
|
|
|
14,088 |
|
|
|
969,701 |
|
|
|
954,903 |
|
Total |
$ |
11,583,928 |
|
|
$ |
67,737 |
|
|
$ |
(7,046 |
) |
|
$ |
711,448 |
|
|
$ |
171,523 |
|
|
$ |
12,527,590 |
|
|
$ |
11,974,829 |
|
The following table presents the component changes in AUM by private markets product type for the three months ended June 30, 2025.
|
March 31, |
|
|
Net |
|
|
|
|
|
Market |
|
|
FX |
|
|
June 30, |
|
|
Average |
|
|||||||
(in millions) |
2025 |
|
|
(outflows) |
|
|
AG真人官方izations(1) |
|
|
change |
|
|
impact(2) |
|
|
2025 |
|
|
AUM(3) |
|
|||||||
Private markets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Infrastructure |
$ |
108,371 |
|
|
$ |
3,383 |
|
|
$ |
(774 |
) |
|
$ |
43 |
|
|
$ |
1,300 |
|
|
$ |
112,323 |
|
|
$ |
110,365 |
|
Private equity |
|
36,562 |
|
|
|
1,045 |
|
|
|
(4,186 |
) |
|
|
103 |
|
|
|
219 |
|
|
|
33,743 |
|
|
|
36,173 |
|
Private credit |
|
33,686 |
|
|
|
2,264 |
|
|
|
(1,096 |
) |
|
|
(30 |
) |
|
|
1,161 |
|
|
|
35,985 |
|
|
|
34,675 |
|
AG真人官方 estate |
|
26,076 |
|
|
|
(65 |
) |
|
|
(366 |
) |
|
|
(1,171 |
) |
|
|
802 |
|
|
|
25,276 |
|
|
|
25,701 |
|
Multi-alternatives |
|
7,659 |
|
|
|
192 |
|
|
|
(52 |
) |
|
|
(13 |
) |
|
|
131 |
|
|
|
7,917 |
|
|
|
7,794 |
|
Total private markets |
$ |
212,354 |
|
|
$ |
6,819 |
|
|
$ |
(6,474 |
) |
|
$ |
(1,068 |
) |
|
$ |
3,613 |
|
|
$ |
215,244 |
|
|
$ |
214,708 |
|
47
AUM increased $944 billion to $12.5 trillion at June 30, 2025 from $11.6 trillion at March 31, 2025, driven by market appreciation, the positive impact of foreign exchange movements and net inflows.
Long-term net inflows of $46 billion were comprised of net inflows of $85 billion and $2 billion from ETFs and retail clients, respectively, partially offset by net outflows of $41 billion from institutional clients. Net flows in long-term products are described below.
Cash management net inflows of $22 billion were primarily due to net inflows into US government and international money market funds.
Net market appreciation of $711 billion was primarily driven by US and global equity market appreciation.
AUM increased $172 billion due to the impact of foreign exchange movements, primarily due to the weakening of the US dollar, largely against the euro and the British pound.
48
Component Changes in AUM for the Six Months Ended June 30, 2025
The following table presents the component changes in AUM by product type for the six months ended June 30, 2025(1).
|
December 31, |
|
|
Net |
|
|
|
|
|
Market |
|
|
FX |
|
|
June 30, |
|
|
Average |
|
|||||||
(in millions) |
2024 |
|
|
(outflows) |
|
|
AG真人官方izations(2) |
|
|
change |
|
|
impact(3) |
|
|
2025 |
|
|
AUM(4) |
|
|||||||
Equity |
$ |
6,310,191 |
|
|
$ |
48,096 |
|
|
$ |
— |
|
|
$ |
425,528 |
|
|
$ |
121,623 |
|
|
$ |
6,905,438 |
|
|
$ |
6,463,741 |
|
Fixed income |
|
2,905,669 |
|
|
|
33,073 |
|
|
|
(1,261 |
) |
|
|
64,053 |
|
|
|
85,763 |
|
|
|
3,087,297 |
|
|
|
2,992,838 |
|
Multi-asset |
|
992,921 |
|
|
|
1,802 |
|
|
|
— |
|
|
|
53,385 |
|
|
|
28,601 |
|
|
|
1,076,709 |
|
|
|
1,022,719 |
|
Alternatives: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Private markets |
|
211,974 |
|
|
|
13,964 |
|
|
|
(13,475 |
) |
|
|
(2,481 |
) |
|
|
5,262 |
|
|
|
215,244 |
|
|
|
212,414 |
|
Liquid alternatives |
|
76,390 |
|
|
|
5,102 |
|
|
|
(29 |
) |
|
|
4,369 |
|
|
|
838 |
|
|
|
86,670 |
|
|
|
80,773 |
|
Alternatives subtotal |
|
288,364 |
|
|
|
19,066 |
|
|
|
(13,504 |
) |
|
|
1,888 |
|
|
|
6,100 |
|
|
|
301,914 |
|
|
|
293,187 |
|
Digital assets |
|
55,306 |
|
|
|
17,493 |
|
|
|
— |
|
|
|
6,746 |
|
|
|
6 |
|
|
|
79,551 |
|
|
|
61,834 |
|
Currency and commodities(5) |
|
78,137 |
|
|
|
9,612 |
|
|
|
— |
|
|
|
18,733 |
|
|
|
498 |
|
|
|
106,980 |
|
|
|
93,879 |
|
Long-term |
|
10,630,588 |
|
|
|
129,142 |
|
|
|
(14,765 |
) |
|
|
570,333 |
|
|
|
242,591 |
|
|
|
11,557,889 |
|
|
|
10,928,198 |
|
Cash management |
|
920,663 |
|
|
|
22,765 |
|
|
|
— |
|
|
|
5,542 |
|
|
|
20,731 |
|
|
|
969,701 |
|
|
|
939,075 |
|
Total |
$ |
11,551,251 |
|
|
$ |
151,907 |
|
|
$ |
(14,765 |
) |
|
$ |
575,875 |
|
|
$ |
263,322 |
|
|
$ |
12,527,590 |
|
|
$ |
11,867,273 |
|
The following table presents the component changes in AUM by client type and product type for the six months ended June 30, 2025(1).
|
December 31, |
|
|
Net |
|
|
|
|
|
Market |
|
|
FX |
|
|
June 30, |
|
|
Average |
|
|||||||
(in millions) |
2024 |
|
|
(outflows) |
|
|
AG真人官方izations(2) |
|
|
change |
|
|
impact(3) |
|
|
2025 |
|
|
AUM(4) |
|
|||||||
Retail: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Equity |
$ |
505,118 |
|
|
$ |
8,141 |
|
|
$ |
— |
|
|
$ |
31,396 |
|
|
$ |
13,178 |
|
|
$ |
557,833 |
|
|
$ |
522,323 |
|
Fixed income |
|
318,641 |
|
|
|
1,360 |
|
|
|
— |
|
|
|
5,726 |
|
|
|
7,897 |
|
|
|
333,624 |
|
|
|
325,253 |
|
Multi-asset |
|
150,978 |
|
|
|
1,005 |
|
|
|
— |
|
|
|
9,670 |
|
|
|
1,199 |
|
|
|
162,852 |
|
|
|
155,305 |
|
Private markets |
|
15,749 |
|
|
|
1,094 |
|
|
|
(655 |
) |
|
|
47 |
|
|
|
588 |
|
|
|
16,823 |
|
|
|
16,238 |
|
Liquid alternatives |
|
24,735 |
|
|
|
3,474 |
|
|
|
— |
|
|
|
1,383 |
|
|
|
273 |
|
|
|
29,865 |
|
|
|
27,285 |
|
Retail subtotal |
|
1,015,221 |
|
|
|
15,074 |
|
|
|
(655 |
) |
|
|
48,222 |
|
|
|
23,135 |
|
|
|
1,100,997 |
|
|
|
1,046,404 |
|
ETFs: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Equity |
|
3,106,398 |
|
|
|
87,064 |
|
|
|
— |
|
|
|
230,091 |
|
|
|
31,564 |
|
|
|
3,455,117 |
|
|
|
3,213,790 |
|
Fixed income |
|
985,652 |
|
|
|
77,390 |
|
|
|
— |
|
|
|
22,432 |
|
|
|
15,750 |
|
|
|
1,101,224 |
|
|
|
1,041,285 |
|
Multi-asset |
|
10,734 |
|
|
|
308 |
|
|
|
— |
|
|
|
665 |
|
|
|
219 |
|
|
|
11,926 |
|
|
|
10,964 |
|
Digital assets |
|
55,306 |
|
|
|
17,493 |
|
|
|
— |
|
|
|
6,746 |
|
|
|
6 |
|
|
|
79,551 |
|
|
|
61,834 |
|
Commodities |
|
72,285 |
|
|
|
10,014 |
|
|
|
— |
|
|
|
18,390 |
|
|
|
261 |
|
|
|
100,950 |
|
|
|
87,909 |
|
ETFs subtotal |
|
4,230,375 |
|
|
|
192,269 |
|
|
|
— |
|
|
|
278,324 |
|
|
|
47,800 |
|
|
|
4,748,768 |
|
|
|
4,415,782 |
|
Institutional: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Active: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Equity |
|
218,848 |
|
|
|
1,678 |
|
|
|
— |
|
|
|
13,491 |
|
|
|
8,081 |
|
|
|
242,098 |
|
|
|
226,527 |
|
Fixed income |
|
840,328 |
|
|
|
(1,562 |
) |
|
|
(1,261 |
) |
|
|
27,486 |
|
|
|
16,941 |
|
|
|
881,932 |
|
|
|
858,235 |
|
Multi-asset |
|
828,039 |
|
|
|
485 |
|
|
|
— |
|
|
|
42,961 |
|
|
|
27,136 |
|
|
|
898,621 |
|
|
|
853,240 |
|
Private markets |
|
196,225 |
|
|
|
12,870 |
|
|
|
(12,820 |
) |
|
|
(2,528 |
) |
|
|
4,674 |
|
|
|
198,421 |
|
|
|
196,176 |
|
Liquid alternatives |
|
51,655 |
|
|
|
1,628 |
|
|
|
(29 |
) |
|
|
2,986 |
|
|
|
565 |
|
|
|
56,805 |
|
|
|
53,488 |
|
Active subtotal |
|
2,135,095 |
|
|
|
15,099 |
|
|
|
(14,110 |
) |
|
|
84,396 |
|
|
|
57,397 |
|
|
|
2,277,877 |
|
|
|
2,187,666 |
|
Index |
|
3,249,897 |
|
|
|
(93,300 |
) |
|
|
— |
|
|
|
159,391 |
|
|
|
114,259 |
|
|
|
3,430,247 |
|
|
|
3,278,346 |
|
Institutional subtotal |
|
5,384,992 |
|
|
|
(78,201 |
) |
|
|
(14,110 |
) |
|
|
243,787 |
|
|
|
171,656 |
|
|
|
5,708,124 |
|
|
|
5,466,012 |
|
Long-term |
|
10,630,588 |
|
|
|
129,142 |
|
|
|
(14,765 |
) |
|
|
570,333 |
|
|
|
242,591 |
|
|
|
11,557,889 |
|
|
|
10,928,198 |
|
Cash management |
|
920,663 |
|
|
|
22,765 |
|
|
|
— |
|
|
|
5,542 |
|
|
|
20,731 |
|
|
|
969,701 |
|
|
|
939,075 |
|
Total |
$ |
11,551,251 |
|
|
$ |
151,907 |
|
|
$ |
(14,765 |
) |
|
$ |
575,875 |
|
|
$ |
263,322 |
|
|
$ |
12,527,590 |
|
|
$ |
11,867,273 |
|
49
The following table presents the component changes in AUM by investment style and product type for the six months ended June 30, 2025(1).
|
December 31, |
|
|
Net |
|
|
|
|
|
Market |
|
|
FX |
|
|
June 30, |
|
|
Average |
|
|||||||
(in millions) |
2024 |
|
|
(outflows) |
|
|
AG真人官方izations(2) |
|
|
change |
|
|
impact(3) |
|
|
2025 |
|
|
AUM(4) |
|
|||||||
Active: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Equity |
$ |
467,163 |
|
|
$ |
(4,958 |
) |
|
$ |
— |
|
|
$ |
28,395 |
|
|
$ |
13,954 |
|
|
$ |
504,554 |
|
|
$ |
477,528 |
|
Fixed income |
|
1,133,874 |
|
|
|
(3,876 |
) |
|
|
(1,261 |
) |
|
|
32,638 |
|
|
|
22,573 |
|
|
|
1,183,948 |
|
|
|
1,155,622 |
|
Multi-asset |
|
979,001 |
|
|
|
1,490 |
|
|
|
— |
|
|
|
52,632 |
|
|
|
28,334 |
|
|
|
1,061,457 |
|
|
|
1,008,530 |
|
Private markets |
|
211,974 |
|
|
|
13,964 |
|
|
|
(13,475 |
) |
|
|
(2,481 |
) |
|
|
5,262 |
|
|
|
215,244 |
|
|
|
212,414 |
|
Liquid alternatives |
|
76,390 |
|
|
|
5,102 |
|
|
|
(29 |
) |
|
|
4,369 |
|
|
|
838 |
|
|
|
86,670 |
|
|
|
80,773 |
|
Active subtotal |
|
2,868,402 |
|
|
|
11,722 |
|
|
|
(14,765 |
) |
|
|
115,553 |
|
|
|
70,961 |
|
|
|
3,051,873 |
|
|
|
2,934,867 |
|
ETFs: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Equity |
|
3,106,398 |
|
|
|
87,064 |
|
|
|
— |
|
|
|
230,091 |
|
|
|
31,564 |
|
|
|
3,455,117 |
|
|
|
3,213,790 |
|
Fixed income |
|
985,652 |
|
|
|
77,390 |
|
|
|
— |
|
|
|
22,432 |
|
|
|
15,750 |
|
|
|
1,101,224 |
|
|
|
1,041,285 |
|
Multi-asset |
|
10,734 |
|
|
|
308 |
|
|
|
— |
|
|
|
665 |
|
|
|
219 |
|
|
|
11,926 |
|
|
|
10,964 |
|
Digital assets |
|
55,306 |
|
|
|
17,493 |
|
|
|
— |
|
|
|
6,746 |
|
|
|
6 |
|
|
|
79,551 |
|
|
|
61,834 |
|
Commodities |
|
72,285 |
|
|
|
10,014 |
|
|
|
— |
|
|
|
18,390 |
|
|
|
261 |
|
|
|
100,950 |
|
|
|
87,909 |
|
ETFs subtotal |
|
4,230,375 |
|
|
|
192,269 |
|
|
|
— |
|
|
|
278,324 |
|
|
|
47,800 |
|
|
|
4,748,768 |
|
|
|
4,415,782 |
|
Non-ETF index |
|
3,531,811 |
|
|
|
(74,849 |
) |
|
|
— |
|
|
|
176,456 |
|
|
|
123,830 |
|
|
|
3,757,248 |
|
|
|
3,577,549 |
|
Long-term |
|
10,630,588 |
|
|
|
129,142 |
|
|
|
(14,765 |
) |
|
|
570,333 |
|
|
|
242,591 |
|
|
|
11,557,889 |
|
|
|
10,928,198 |
|
Cash management |
|
920,663 |
|
|
|
22,765 |
|
|
|
— |
|
|
|
5,542 |
|
|
|
20,731 |
|
|
|
969,701 |
|
|
|
939,075 |
|
Total |
$ |
11,551,251 |
|
|
$ |
151,907 |
|
|
$ |
(14,765 |
) |
|
$ |
575,875 |
|
|
$ |
263,322 |
|
|
$ |
12,527,590 |
|
|
$ |
11,867,273 |
|
The following table presents the component changes in AUM by private markets product type for the six months ended June 30, 2025.
|
December 31, |
|
|
Net |
|
|
|
|
|
Market |
|
|
FX |
|
|
June 30, |
|
|
Average |
|
|||||||
(in millions) |
2024 |
|
|
(outflows) |
|
|
AG真人官方izations(2) |
|
|
change |
|
|
impact(3) |
|
|
2025 |
|
|
AUM(4) |
|
|||||||
Private markets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Infrastructure |
$ |
109,606 |
|
|
$ |
7,888 |
|
|
$ |
(6,639 |
) |
|
$ |
(428 |
) |
|
$ |
1,896 |
|
|
$ |
112,323 |
|
|
$ |
108,936 |
|
Private equity |
|
36,327 |
|
|
|
1,969 |
|
|
|
(4,357 |
) |
|
|
(518 |
) |
|
|
322 |
|
|
|
33,743 |
|
|
|
36,169 |
|
Private credit |
|
32,425 |
|
|
|
3,581 |
|
|
|
(1,557 |
) |
|
|
(165 |
) |
|
|
1,701 |
|
|
|
35,985 |
|
|
|
33,815 |
|
AG真人官方 estate |
|
26,147 |
|
|
|
(28 |
) |
|
|
(651 |
) |
|
|
(1,340 |
) |
|
|
1,148 |
|
|
|
25,276 |
|
|
|
25,839 |
|
Multi-alternatives |
|
7,469 |
|
|
|
554 |
|
|
|
(271 |
) |
|
|
(30 |
) |
|
|
195 |
|
|
|
7,917 |
|
|
|
7,655 |
|
Total private markets |
$ |
211,974 |
|
|
$ |
13,964 |
|
|
$ |
(13,475 |
) |
|
$ |
(2,481 |
) |
|
$ |
5,262 |
|
|
$ |
215,244 |
|
|
$ |
212,414 |
|
50
AUM increased $976 billion to $12.5 trillion at June 30, 2025 from $11.6 trillion at December 31, 2024, driven by net market appreciation, the positive impact of foreign exchange movements and net inflows.
Long-term net inflows of $129 billion were comprised of net inflows of $192 billion and $15 billion from ETFs and retail clients, respectively, partially offset by net outflows of $78 billion from institutional clients. Net flows in long-term products are described below.
Cash management net inflows of $23 billion were led by net inflows into US government, international and prime money market funds.
Net market appreciation of $576 billion was primarily driven by US and global equity market appreciation.
AUM increased $263 billion due to the impact of foreign exchange movements, primarily due to the weakening of the US dollar, largely against the euro, the British pound, and the Japanese yen.
51
Component Changes in AUM for the Twelve Months Ended June 30, 2025
The following table presents the component changes in AUM by product type for the twelve months ended June 30, 2025(1).
|
June 30, |
|
|
Net |
|
|
|
|
|
|
|
|
Market |
|
|
FX |
|
|
June 30, |
|
|
Average |
|
||||||||
(in millions) |
2024 |
|
|
(outflows)(2) |
|
|
AG真人官方izations(2) |
|
|
Acquisitions(3) |
|
|
change |
|
|
impact(4) |
|
|
2025 |
|
|
AUM(5) |
|
||||||||
Equity |
$ |
5,827,135 |
|
|
$ |
248,804 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
735,141 |
|
|
$ |
94,358 |
|
|
$ |
6,905,438 |
|
|
$ |
6,322,151 |
|
Fixed income |
|
2,815,884 |
|
|
|
119,598 |
|
|
|
(1,261 |
) |
|
|
— |
|
|
|
82,630 |
|
|
|
70,446 |
|
|
|
3,087,297 |
|
|
|
2,966,961 |
|
Multi-asset |
|
921,412 |
|
|
|
43,923 |
|
|
|
— |
|
|
|
— |
|
|
|
93,861 |
|
|
|
17,513 |
|
|
|
1,076,709 |
|
|
|
999,938 |
|
Alternatives: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Private markets |
|
137,868 |
|
|
|
20,220 |
|
|
|
(13,475 |
) |
|
|
69,875 |
|
|
|
(3,001 |
) |
|
|
3,757 |
|
|
|
215,244 |
|
|
|
189,552 |
|
Liquid alternatives |
|
75,483 |
|
|
|
5,417 |
|
|
|
(29 |
) |
|
|
— |
|
|
|
5,429 |
|
|
|
370 |
|
|
|
86,670 |
|
|
|
78,462 |
|
Alternatives subtotal |
|
213,351 |
|
|
|
25,637 |
|
|
|
(13,504 |
) |
|
|
69,875 |
|
|
|
2,428 |
|
|
|
4,127 |
|
|
|
301,914 |
|
|
|
268,014 |
|
Digital assets |
|
18,531 |
|
|
|
40,563 |
|
|
|
— |
|
|
|
— |
|
|
|
20,451 |
|
|
|
6 |
|
|
|
79,551 |
|
|
|
46,412 |
|
Currency and |
|
71,366 |
|
|
|
11,458 |
|
|
|
— |
|
|
|
— |
|
|
|
23,750 |
|
|
|
406 |
|
|
|
106,980 |
|
|
|
86,004 |
|
Long-term |
|
9,867,679 |
|
|
|
489,983 |
|
|
|
(14,765 |
) |
|
|
69,875 |
|
|
|
958,261 |
|
|
|
186,856 |
|
|
|
11,557,889 |
|
|
|
10,689,480 |
|
Cash management |
|
778,042 |
|
|
|
164,521 |
|
|
|
— |
|
|
|
— |
|
|
|
11,154 |
|
|
|
15,984 |
|
|
|
969,701 |
|
|
|
891,281 |
|
Total |
$ |
10,645,721 |
|
|
$ |
654,504 |
|
|
$ |
(14,765 |
) |
|
$ |
69,875 |
|
|
$ |
969,415 |
|
|
$ |
202,840 |
|
|
$ |
12,527,590 |
|
|
$ |
11,580,761 |
|
The following table presents the component changes in AUM by client type and product type for the twelve months ended June 30, 2025(1).
|
June 30, |
|
|
Net |
|
|
|
|
|
|
|
|
Market |
|
|
FX |
|
|
June 30, |
|
|
Average |
|
||||||||
(in millions) |
2024 |
|
|
(outflows)(2) |
|
|
AG真人官方izations(2) |
|
|
Acquisitions(3) |
|
|
change |
|
|
impact(4) |
|
|
2025 |
|
|
AUM(5) |
|
||||||||
Retail: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Equity |
$ |
490,427 |
|
|
$ |
13,248 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
43,194 |
|
|
$ |
10,964 |
|
|
$ |
557,833 |
|
|
$ |
516,634 |
|
Fixed income |
|
313,632 |
|
|
|
8,232 |
|
|
|
— |
|
|
|
— |
|
|
|
8,031 |
|
|
|
3,729 |
|
|
|
333,624 |
|
|
|
322,632 |
|
Multi-asset |
|
147,719 |
|
|
|
(723 |
) |
|
|
— |
|
|
|
— |
|
|
|
14,970 |
|
|
|
886 |
|
|
|
162,852 |
|
|
|
153,373 |
|
Private markets |
|
15,848 |
|
|
|
1,388 |
|
|
|
(655 |
) |
|
|
— |
|
|
|
(217 |
) |
|
|
459 |
|
|
|
16,823 |
|
|
|
16,114 |
|
Liquid alternatives |
|
23,870 |
|
|
|
4,468 |
|
|
|
— |
|
|
|
— |
|
|
|
1,298 |
|
|
|
229 |
|
|
|
29,865 |
|
|
|
25,942 |
|
Retail subtotal |
|
991,496 |
|
|
|
26,613 |
|
|
|
(655 |
) |
|
|
— |
|
|
|
67,276 |
|
|
|
16,267 |
|
|
|
1,100,997 |
|
|
|
1,034,695 |
|
ETFs: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Equity |
|
2,830,268 |
|
|
|
242,214 |
|
|
|
— |
|
|
|
— |
|
|
|
361,224 |
|
|
|
21,411 |
|
|
|
3,455,117 |
|
|
|
3,115,075 |
|
Fixed income |
|
931,217 |
|
|
|
137,034 |
|
|
|
— |
|
|
|
— |
|
|
|
21,917 |
|
|
|
11,056 |
|
|
|
1,101,224 |
|
|
|
1,017,002 |
|
Multi-asset |
|
9,204 |
|
|
|
1,692 |
|
|
|
— |
|
|
|
— |
|
|
|
983 |
|
|
|
47 |
|
|
|
11,926 |
|
|
|
10,424 |
|
Digital assets |
|
18,531 |
|
|
|
40,563 |
|
|
|
— |
|
|
|
— |
|
|
|
20,451 |
|
|
|
6 |
|
|
|
79,551 |
|
|
|
46,412 |
|
Commodities |
|
66,554 |
|
|
|
10,816 |
|
|
|
— |
|
|
|
— |
|
|
|
23,411 |
|
|
|
169 |
|
|
|
100,950 |
|
|
|
80,443 |
|
ETFs subtotal |
|
3,855,774 |
|
|
|
432,319 |
|
|
|
— |
|
|
|
— |
|
|
|
427,986 |
|
|
|
32,689 |
|
|
|
4,748,768 |
|
|
|
4,269,356 |
|
Institutional: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Active: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Equity |
|
208,177 |
|
|
|
3,371 |
|
|
|
— |
|
|
|
— |
|
|
|
24,095 |
|
|
|
6,455 |
|
|
|
242,098 |
|
|
|
222,821 |
|
Fixed income |
|
823,716 |
|
|
|
434 |
|
|
|
(1,261 |
) |
|
|
— |
|
|
|
45,887 |
|
|
|
13,156 |
|
|
|
881,932 |
|
|
|
854,758 |
|
Multi-asset |
|
761,194 |
|
|
|
43,194 |
|
|
|
— |
|
|
|
— |
|
|
|
77,691 |
|
|
|
16,542 |
|
|
|
898,621 |
|
|
|
832,866 |
|
Private markets |
|
122,020 |
|
|
|
18,832 |
|
|
|
(12,820 |
) |
|
|
69,875 |
|
|
|
(2,784 |
) |
|
|
3,298 |
|
|
|
198,421 |
|
|
|
173,438 |
|
Liquid alternatives |
|
51,613 |
|
|
|
949 |
|
|
|
(29 |
) |
|
|
— |
|
|
|
4,131 |
|
|
|
141 |
|
|
|
56,805 |
|
|
|
52,520 |
|
Active subtotal |
|
1,966,720 |
|
|
|
66,780 |
|
|
|
(14,110 |
) |
|
|
69,875 |
|
|
|
149,020 |
|
|
|
39,592 |
|
|
|
2,277,877 |
|
|
|
2,136,403 |
|
Index |
|
3,053,689 |
|
|
|
(35,729 |
) |
|
|
— |
|
|
|
— |
|
|
|
313,979 |
|
|
|
98,308 |
|
|
|
3,430,247 |
|
|
|
3,249,026 |
|
Institutional subtotal |
|
5,020,409 |
|
|
|
31,051 |
|
|
|
(14,110 |
) |
|
|
69,875 |
|
|
|
462,999 |
|
|
|
137,900 |
|
|
|
5,708,124 |
|
|
|
5,385,429 |
|
Long-term |
|
9,867,679 |
|
|
|
489,983 |
|
|
|
(14,765 |
) |
|
|
69,875 |
|
|
|
958,261 |
|
|
|
186,856 |
|
|
|
11,557,889 |
|
|
|
10,689,480 |
|
Cash management |
|
778,042 |
|
|
|
164,521 |
|
|
|
— |
|
|
|
— |
|
|
|
11,154 |
|
|
|
15,984 |
|
|
|
969,701 |
|
|
|
891,281 |
|
Total |
$ |
10,645,721 |
|
|
$ |
654,504 |
|
|
$ |
(14,765 |
) |
|
$ |
69,875 |
|
|
$ |
969,415 |
|
|
$ |
202,840 |
|
|
$ |
12,527,590 |
|
|
$ |
11,580,761 |
|
52
The following table presents the component changes in AUM by investment style and product type for the twelve months ended June 30, 2025(1).
|
June 30, |
|
|
Net |
|
|
|
|
|
|
|
|
Market |
|
|
FX |
|
|
June 30, |
|
|
Average |
|
||||||||
(in millions) |
2024 |
|
|
(outflows)(2) |
|
|
AG真人官方izations(2) |
|
|
Acquisitions(3) |
|
|
change |
|
|
impact(4) |
|
|
2025 |
|
|
AUM(5) |
|
||||||||
Active: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Equity |
$ |
466,518 |
|
|
$ |
(10,283 |
) |
|
$ |
— |
|
|
$ |
— |
|
|
$ |
37,115 |
|
|
$ |
11,204 |
|
|
$ |
504,554 |
|
|
$ |
478,604 |
|
Fixed income |
|
1,112,578 |
|
|
|
4,658 |
|
|
|
(1,261 |
) |
|
|
— |
|
|
|
53,069 |
|
|
|
14,904 |
|
|
|
1,183,948 |
|
|
|
1,150,632 |
|
Multi-asset |
|
908,897 |
|
|
|
42,471 |
|
|
|
— |
|
|
|
— |
|
|
|
92,661 |
|
|
|
17,428 |
|
|
|
1,061,457 |
|
|
|
986,223 |
|
Private markets |
|
137,868 |
|
|
|
20,220 |
|
|
|
(13,475 |
) |
|
|
69,875 |
|
|
|
(3,001 |
) |
|
|
3,757 |
|
|
|
215,244 |
|
|
|
189,552 |
|
Liquid alternatives |
|
75,483 |
|
|
|
5,417 |
|
|
|
(29 |
) |
|
|
— |
|
|
|
5,429 |
|
|
|
370 |
|
|
|
86,670 |
|
|
|
78,462 |
|
Active subtotal |
|
2,701,344 |
|
|
|
62,483 |
|
|
|
(14,765 |
) |
|
|
69,875 |
|
|
|
185,273 |
|
|
|
47,663 |
|
|
|
3,051,873 |
|
|
|
2,883,473 |
|
ETFs: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Equity |
|
2,830,268 |
|
|
|
242,214 |
|
|
|
— |
|
|
|
— |
|
|
|
361,224 |
|
|
|
21,411 |
|
|
|
3,455,117 |
|
|
|
3,115,075 |
|
Fixed income |
|
931,217 |
|
|
|
137,034 |
|
|
|
— |
|
|
|
— |
|
|
|
21,917 |
|
|
|
11,056 |
|
|
|
1,101,224 |
|
|
|
1,017,002 |
|
Multi-asset |
|
9,204 |
|
|
|
1,692 |
|
|
|
— |
|
|
|
— |
|
|
|
983 |
|
|
|
47 |
|
|
|
11,926 |
|
|
|
10,424 |
|
Digital assets |
|
18,531 |
|
|
|
40,563 |
|
|
|
— |
|
|
|
— |
|
|
|
20,451 |
|
|
|
6 |
|
|
|
79,551 |
|
|
|
46,412 |
|
Commodities |
|
66,554 |
|
|
|
10,816 |
|
|
|
— |
|
|
|
— |
|
|
|
23,411 |
|
|
|
169 |
|
|
|
100,950 |
|
|
|
80,443 |
|
ETFs subtotal |
|
3,855,774 |
|
|
|
432,319 |
|
|
|
— |
|
|
|
— |
|
|
|
427,986 |
|
|
|
32,689 |
|
|
|
4,748,768 |
|
|
|
4,269,356 |
|
Non-ETF index |
|
3,310,561 |
|
|
|
(4,819 |
) |
|
|
— |
|
|
|
— |
|
|
|
345,002 |
|
|
|
106,504 |
|
|
|
3,757,248 |
|
|
|
3,536,651 |
|
Long-term |
|
9,867,679 |
|
|
|
489,983 |
|
|
|
(14,765 |
) |
|
|
69,875 |
|
|
|
958,261 |
|
|
|
186,856 |
|
|
|
11,557,889 |
|
|
|
10,689,480 |
|
Cash management |
|
778,042 |
|
|
|
164,521 |
|
|
|
— |
|
|
|
— |
|
|
|
11,154 |
|
|
|
15,984 |
|
|
|
969,701 |
|
|
|
891,281 |
|
Total |
$ |
10,645,721 |
|
|
$ |
654,504 |
|
|
$ |
(14,765 |
) |
|
$ |
69,875 |
|
|
$ |
969,415 |
|
|
$ |
202,840 |
|
|
$ |
12,527,590 |
|
|
$ |
11,580,761 |
|
The following table presents the component changes in AUM by private markets product type for the twelve months ended June 30, 2025.
|
June 30, |
|
|
Net |
|
|
|
|
|
|
|
|
Market |
|
|
FX |
|
|
June 30, |
|
|
Average |
|
||||||||
(in millions) |
2024 |
|
|
(outflows)(2) |
|
|
AG真人官方izations(2) |
|
|
Acquisitions(3) |
|
|
change |
|
|
impact(4) |
|
|
2025 |
|
|
AUM(5) |
|
||||||||
Private markets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Infrastructure |
$ |
37,294 |
|
|
$ |
11,675 |
|
|
$ |
(6,639 |
) |
|
$ |
69,875 |
|
|
$ |
(1,030 |
) |
|
$ |
1,148 |
|
|
$ |
112,323 |
|
|
$ |
87,054 |
|
Private equity |
|
36,117 |
|
|
|
1,971 |
|
|
|
(4,357 |
) |
|
|
— |
|
|
|
(230 |
) |
|
|
242 |
|
|
|
33,743 |
|
|
|
35,998 |
|
Private credit |
|
30,877 |
|
|
|
5,811 |
|
|
|
(1,557 |
) |
|
|
— |
|
|
|
(445 |
) |
|
|
1,299 |
|
|
|
35,985 |
|
|
|
32,812 |
|
AG真人官方 estate |
|
26,147 |
|
|
|
130 |
|
|
|
(651 |
) |
|
|
— |
|
|
|
(1,252 |
) |
|
|
902 |
|
|
|
25,276 |
|
|
|
26,136 |
|
Multi-alternatives |
|
7,433 |
|
|
|
633 |
|
|
|
(271 |
) |
|
|
— |
|
|
|
(44 |
) |
|
|
166 |
|
|
|
7,917 |
|
|
|
7,552 |
|
Total private markets |
$ |
137,868 |
|
|
$ |
20,220 |
|
|
$ |
(13,475 |
) |
|
$ |
69,875 |
|
|
$ |
(3,001 |
) |
|
$ |
3,757 |
|
|
$ |
215,244 |
|
|
$ |
189,552 |
|
53
AUM increased $1.9 trillion to $12.5 trillion at June 30, 2025 from $10.6 trillion at June 30, 2024, driven by net market appreciation, net inflows, the positive impact of foreign exchange movements and AUM added from the GIP Transaction.
Long-term net inflows of $490 billion were comprised of net inflows of $432 billion, $31 billion and $27 billion from ETFs, institutional and retail clients, respectively. Net flows in long-term products are described below.
Cash management net inflows of $165 billion were primarily due to net inflows into US government and international money market funds.
Net market appreciation of $969 billion was primarily driven by US and global equity market appreciation.
AUM increased $203 billion due to the impact of foreign exchange movements, primarily resulting from the weakening of the US dollar, largely against the euro, the British pound and the Japanese yen.
54
DISCUSSION OF FINANCIAL RESULTS
The Company’s results of operations for the three and six months ended June 30, 2025 and 2024 are discussed below. For a further description of the Company’s revenue and expense, see the Company's Annual Report on Form 10-K for the year ended December 31, 2024, which was filed with the Securities and Exchange Commission on February 25, 2025 ("2024 Form 10-K").
Revenue
The table below presents detail of revenue for the three and six months ended June 30, 2025 and 2024 and includes the product type mix of base fees and securities lending revenue and performance fees.
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions) |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
Revenue |
|
|
|
|
|
|
|
|
|
|
|
||||
Investment advisory, administration fees and |
|
|
|
|
|
|
|
|
|
|
|
||||
Equity: |
|
|
|
|
|
|
|
|
|
|
|
||||
Active |
$ |
507 |
|
|
$ |
539 |
|
|
$ |
1,025 |
|
|
$ |
1,055 |
|
ETFs |
|
1,401 |
|
|
|
1,250 |
|
|
|
2,750 |
|
|
|
2,440 |
|
Equity subtotal |
|
1,908 |
|
|
|
1,789 |
|
|
|
3,775 |
|
|
|
3,495 |
|
Fixed income: |
|
|
|
|
|
|
|
|
|
|
|
||||
Active |
|
487 |
|
|
|
481 |
|
|
|
979 |
|
|
|
965 |
|
ETFs |
|
366 |
|
|
|
326 |
|
|
|
718 |
|
|
|
653 |
|
Fixed income subtotal |
|
853 |
|
|
|
807 |
|
|
|
1,697 |
|
|
|
1,618 |
|
Active multi-asset |
|
312 |
|
|
|
306 |
|
|
|
625 |
|
|
|
611 |
|
Alternatives: |
|
|
|
|
|
|
|
|
|
|
|
||||
Private markets |
|
499 |
|
|
|
241 |
|
|
|
1,034 |
|
|
|
481 |
|
Liquid alternatives |
|
157 |
|
|
|
141 |
|
|
|
307 |
|
|
|
279 |
|
Alternatives subtotal |
|
656 |
|
|
|
382 |
|
|
|
1,341 |
|
|
|
760 |
|
Non-ETF index |
|
313 |
|
|
|
285 |
|
|
|
620 |
|
|
|
573 |
|
Digital assets, commodities and multi-asset ETFs(2) |
|
108 |
|
|
|
59 |
|
|
|
200 |
|
|
|
104 |
|
Long-term |
|
4,150 |
|
|
|
3,628 |
|
|
|
8,258 |
|
|
|
7,161 |
|
Cash management |
|
304 |
|
|
|
247 |
|
|
|
597 |
|
|
|
492 |
|
Total investment advisory, administration fees |
|
4,454 |
|
|
|
3,875 |
|
|
|
8,855 |
|
|
|
7,653 |
|
Investment advisory performance fees: |
|
|
|
|
|
|
|
|
|
|
|
||||
Equity |
|
12 |
|
|
|
28 |
|
|
|
22 |
|
|
|
36 |
|
Fixed income |
|
2 |
|
|
|
5 |
|
|
|
14 |
|
|
|
9 |
|
Multi-asset |
|
6 |
|
|
|
11 |
|
|
|
10 |
|
|
|
13 |
|
Alternatives: |
|
|
|
|
|
|
|
|
|
|
|
||||
Private markets |
|
39 |
|
|
|
68 |
|
|
|
63 |
|
|
|
193 |
|
Liquid alternatives |
|
35 |
|
|
|
52 |
|
|
|
45 |
|
|
|
117 |
|
Alternatives subtotal |
|
74 |
|
|
|
120 |
|
|
|
108 |
|
|
|
310 |
|
Total investment advisory performance fees |
|
94 |
|
|
|
164 |
|
|
|
154 |
|
|
|
368 |
|
Technology services and subscription revenue |
|
499 |
|
|
|
395 |
|
|
|
935 |
|
|
|
772 |
|
Distribution fees |
|
320 |
|
|
|
318 |
|
|
|
641 |
|
|
|
628 |
|
Advisory and other revenue: |
|
|
|
|
|
|
|
|
|
|
|
||||
Advisory |
|
13 |
|
|
|
11 |
|
|
|
27 |
|
|
|
24 |
|
Other |
|
43 |
|
|
|
42 |
|
|
|
87 |
|
|
|
88 |
|
Total advisory and other revenue |
|
56 |
|
|
|
53 |
|
|
|
114 |
|
|
|
112 |
|
Total revenue |
$ |
5,423 |
|
|
$ |
4,805 |
|
|
$ |
10,699 |
|
|
$ |
9,533 |
|
55
The table below lists a percentage breakdown of base fees and securities lending revenue and average AUM by product type:
|
Three Months Ended June 30, |
|
|
Six Months Ended June 30, |
|
||||||||||||||||||||||||||||
|
Percentage of Base |
|
|
|
Percentage |
|
|
Percentage of Base |
|
|
|
Percentage |
|
||||||||||||||||||||
|
2025 |
|
|
2024 |
|
|
|
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
|
|
2025 |
|
|
2024 |
|
||||||||
Equity: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Active |
|
11 |
% |
|
|
14 |
% |
|
|
|
4 |
% |
|
|
4 |
% |
|
|
12 |
% |
|
|
14 |
% |
|
|
|
4 |
% |
|
|
4 |
% |
ETFs |
|
31 |
% |
|
|
32 |
% |
|
|
|
28 |
% |
|
|
26 |
% |
|
|
31 |
% |
|
|
32 |
% |
|
|
|
28 |
% |
|
|
26 |
% |
Equity subtotal |
|
42 |
% |
|
|
46 |
% |
|
|
|
32 |
% |
|
|
30 |
% |
|
|
43 |
% |
|
|
46 |
% |
|
|
|
32 |
% |
|
|
30 |
% |
Fixed income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Active |
|
11 |
% |
|
|
13 |
% |
|
|
|
10 |
% |
|
|
11 |
% |
|
|
11 |
% |
|
|
12 |
% |
|
|
|
10 |
% |
|
|
11 |
% |
ETFs |
|
8 |
% |
|
|
8 |
% |
|
|
|
8 |
% |
|
|
9 |
% |
|
|
8 |
% |
|
|
9 |
% |
|
|
|
9 |
% |
|
|
9 |
% |
Fixed income subtotal |
|
19 |
% |
|
|
21 |
% |
|
|
|
18 |
% |
|
|
20 |
% |
|
|
19 |
% |
|
|
21 |
% |
|
|
|
19 |
% |
|
|
20 |
% |
Active multi-asset |
|
7 |
% |
|
|
8 |
% |
|
|
|
8 |
% |
|
|
9 |
% |
|
|
7 |
% |
|
|
8 |
% |
|
|
|
7 |
% |
|
|
9 |
% |
Alternatives: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Private markets |
|
11 |
% |
|
|
6 |
% |
|
|
|
2 |
% |
|
|
1 |
% |
|
|
12 |
% |
|
|
6 |
% |
|
|
|
2 |
% |
|
|
1 |
% |
Liquid alternatives |
|
4 |
% |
|
|
4 |
% |
|
|
|
1 |
% |
|
|
1 |
% |
|
|
3 |
% |
|
|
4 |
% |
|
|
|
1 |
% |
|
|
1 |
% |
Alternatives subtotal |
|
15 |
% |
|
|
10 |
% |
|
|
|
3 |
% |
|
|
2 |
% |
|
|
15 |
% |
|
|
10 |
% |
|
|
|
3 |
% |
|
|
2 |
% |
Non-ETF index |
|
7 |
% |
|
|
7 |
% |
|
|
|
30 |
% |
|
|
31 |
% |
|
|
7 |
% |
|
|
7 |
% |
|
|
|
30 |
% |
|
|
31 |
% |
Digital assets, commodities |
|
3 |
% |
|
|
2 |
% |
|
|
|
1 |
% |
|
|
1 |
% |
|
|
2 |
% |
|
|
1 |
% |
|
|
|
1 |
% |
|
|
1 |
% |
Long-term |
|
93 |
% |
|
|
94 |
% |
|
|
|
92 |
% |
|
|
93 |
% |
|
|
93 |
% |
|
|
93 |
% |
|
|
|
92 |
% |
|
|
93 |
% |
Cash management |
|
7 |
% |
|
|
6 |
% |
|
|
|
8 |
% |
|
|
7 |
% |
|
|
7 |
% |
|
|
7 |
% |
|
|
|
8 |
% |
|
|
7 |
% |
Total AUM |
|
100 |
% |
|
|
100 |
% |
|
|
|
100 |
% |
|
|
100 |
% |
|
|
100 |
% |
|
|
100 |
% |
|
|
|
100 |
% |
|
|
100 |
% |
Three Months Ended June 30, 2025 Compared with Three Months Ended June 30, 2024
Revenue increased $618 million, or 13%, from the three months ended June 30, 2024, primarily driven by organic base fee growth, the impact of market beta and foreign exchange movements on average AUM, fees related to the GIP Transaction and higher technology services and subscription revenue, including the impact of the Preqin Transaction, partially offset by lower performance fees.
Investment advisory, administration fees and securities lending revenue of $4.5 billion increased $579 million from $3.9 billion for the three months ended June 30, 2024, primarily driven by organic base fee growth, the impact of market beta and foreign exchange movements on average AUM and approximately $240 million of fees related to the GIP Transaction. Securities lending revenue of $171 million increased from $154 million for the three months ended June 30, 2024, primarily reflecting higher average balances of securities on loan.
Investment advisory performance fees of $94 million decreased $70 million from $164 million for the three months ended June 30, 2024, primarily reflecting lower revenue from private markets, liquid alternative and long-only products.
Technology services and subscription revenue of $499 million increased $104 million from $395 million for the three months ended June 30, 2024, reflecting the sustained demand for Aladdin technology offerings and approximately $60 million of revenue related to the Preqin Transaction.
56
Six Months Ended June 30, 2025 Compared with Six Months Ended June 30, 2024
Revenue increased $1.2 billion, or 12%, from the six months ended June 30, 2024, primarily driven by organic base fee growth, the impact of market beta and foreign exchange movements on average AUM, fees related to the GIP Transaction and higher technology services and subscription revenue, including the impact of the Preqin Transaction, partially offset by lower performance fees.
Investment advisory, administration fees and securities lending revenue of $8.9 billion increased $1.2 billion from $7.7 billion for the six months ended June 30, 2024, primarily driven by organic base fee growth, the impact of market beta and foreign exchange movements on average AUM and approximately $525 million of fees related to the GIP Transaction. Securities lending revenue of $328 million increased from $305 million for the six months ended June 30, 2024, primarily reflecting higher average balances of securities on loan.
Investment advisory performance fees of $154 million decreased $214 million from $368 million for the six months ended June 30, 2024, primarily reflecting lower revenue from private markets and liquid alternative products.
Technology services and subscription revenue of $935 million increased $163 million from $772 million for the six months ended June 30, 2024, reflecting the sustained demand for Aladdin technology offerings and approximately $80 million of revenue related to the Preqin Transaction.
Expense
The following table presents expense for the three and six months ended June 30, 2025 and 2024.
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions) |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
Expense |
|
|
|
|
|
|
|
|
|
|
|
||||
Employee compensation and benefits |
$ |
1,764 |
|
|
$ |
1,503 |
|
|
$ |
3,505 |
|
|
$ |
3,083 |
|
Sales, asset and account expense: |
|
|
|
|
|
|
|
|
|
|
|
||||
Distribution and servicing costs |
|
576 |
|
|
|
539 |
|
|
|
1,146 |
|
|
|
1,057 |
|
Direct fund expense |
|
441 |
|
|
|
358 |
|
|
|
833 |
|
|
|
696 |
|
Sub-advisory and other |
|
46 |
|
|
|
32 |
|
|
|
93 |
|
|
|
64 |
|
Total sales, asset and account expense |
|
1,063 |
|
|
|
929 |
|
|
|
2,072 |
|
|
|
1,817 |
|
General and administration expense: |
|
|
|
|
|
|
|
|
|
|
|
||||
Marketing and promotional |
|
93 |
|
|
|
76 |
|
|
|
190 |
|
|
|
158 |
|
Occupancy and office related |
|
120 |
|
|
|
102 |
|
|
|
234 |
|
|
|
203 |
|
Portfolio services |
|
62 |
|
|
|
63 |
|
|
|
126 |
|
|
|
129 |
|
Technology |
|
198 |
|
|
|
157 |
|
|
|
387 |
|
|
|
317 |
|
Professional services |
|
51 |
|
|
|
64 |
|
|
|
124 |
|
|
|
122 |
|
Communications |
|
11 |
|
|
|
9 |
|
|
|
21 |
|
|
|
19 |
|
Foreign exchange remeasurement |
|
4 |
|
|
|
2 |
|
|
|
(4 |
) |
|
|
4 |
|
Contingent consideration fair value adjustments |
|
76 |
|
|
|
1 |
|
|
|
172 |
|
|
|
(6 |
) |
Other general and administration |
|
74 |
|
|
|
60 |
|
|
|
150 |
|
|
|
117 |
|
Total general and administration expense |
|
689 |
|
|
|
534 |
|
|
|
1,400 |
|
|
|
1,063 |
|
Restructuring charge |
|
39 |
|
|
|
— |
|
|
|
39 |
|
|
|
— |
|
Amortization of intangible assets |
|
137 |
|
|
|
39 |
|
|
|
254 |
|
|
|
77 |
|
Total expense |
$ |
3,692 |
|
|
$ |
3,005 |
|
|
$ |
7,270 |
|
|
$ |
6,040 |
|
57
Three Months Ended June 30, 2025 Compared with Three Months Ended June 30, 2024
Expense increased $687 million, or 23%, from the three months ended June 30, 2024, reflecting higher employee compensation and benefits expense, general and administration expense, sales, asset and account expense and amortization of intangible assets. Expense for the three months ended June 30, 2025 was impacted by the previously described acquisition-related expenses incurred in connection with the GIP and Preqin Transactions(1) and a restructuring charge(1) of $39 million.
Employee compensation and benefits expense of $1.8 billion increased $261 million from $1.5 billion for the three months ended June 30, 2024, primarily reflecting the impact of the GIP and Preqin Transactions, including nonrecurring retention-related deferred compensation expense(1), partially offset by the impact of lower performance fees.
Sales, asset and account expense of $1.1 billion increased $134 million from $929 million for the three months ended June 30, 2024, driven by higher direct fund expense and distribution and servicing costs, primarily reflecting higher average AUM.
General and administration expense of $689 million increased $155 million from $534 million for the three months ended June 30, 2024, primarily associated with a higher noncash contingent consideration fair value adjustment(1) in connection with the GIP Transaction and higher technology expense.
Restructuring charge(1) of $39 million, comprised of severance and compensation expense for accelerated vesting of previously granted deferred compensation awards, was recorded in the second quarter of 2025 in connection with an initiative to modify the Company's organization to fit more closely with strategic priorities.
Amortization of intangible assets(1) of $137 million increased $98 million from $39 million for the three months ended June 30, 2024, primarily reflecting amortization of intangible assets acquired in the GIP and Preqin Transactions.
Six Months Ended June 30, 2025 Compared with Six Months Ended June 30, 2024
Expense increased $1.2 billion, or 20%, from the six months ended June 30, 2024, reflecting higher employee compensation and benefits expense, general and administration expense, sales, asset and account expense and amortization of intangible assets. Expense for the six months ended June 30, 2025 was impacted by the previously described acquisition-related expenses incurred in connection with the GIP and Preqin Transactions(1) and a restructuring charge(1) of $39 million.
Employee compensation and benefits expense of $3.5 billion increased $422 million from $3.1 billion for the six months ended June 30, 2024, primarily reflecting the impact of the GIP and Preqin Transactions, including nonrecurring retention-related deferred compensation expense(1), partially offset by the impact of lower performance fees.
Sales, asset and account expense of $2.1 billion increased $255 million from $1.8 billion for the six months ended June 30, 2024, driven by higher direct fund expense and distribution and servicing costs, primarily reflecting higher average AUM.
General and administration expense of $1.4 billion increased $337 million from $1.1 billion for the six months ended June 30, 2024, primarily associated with a higher noncash contingent consideration fair value adjustment(1) in connection with the GIP Transaction, higher technology expense, marketing and promotional expense, including the impact from higher travel and entertainment expense, and higher occupancy and office related expense.
Amortization of intangible assets(1) of $254 million increased $177 million from $77 million for the six months ended June 30, 2024, primarily reflecting amortization of intangible assets acquired in the GIP and Preqin Transactions.
58
Nonoperating Results
The summary of nonoperating income (expense), less net income (loss) attributable to NCI for the three and six months ended June 30, 2025 and 2024 was as follows:
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions) |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
Nonoperating income (expense), GAAP basis |
$ |
521 |
|
|
$ |
214 |
|
|
$ |
586 |
|
|
$ |
434 |
|
Less: Net income (loss) attributable to NCI |
|
72 |
|
|
|
42 |
|
|
|
77 |
|
|
|
92 |
|
Nonoperating income (expense), net of NCI |
|
449 |
|
|
|
172 |
|
|
|
509 |
|
|
|
342 |
|
Less: Hedge gain (loss) on deferred cash |
|
45 |
|
|
|
7 |
|
|
|
30 |
|
|
|
38 |
|
Nonoperating income (expense), net of NCI, as |
$ |
404 |
|
|
$ |
165 |
|
|
$ |
479 |
|
|
$ |
304 |
|
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||
|
June 30, |
|
|
June 30, |
|
||||||||||
(in millions) |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
Net gain (loss) on investments, net of NCI |
|
|
|
|
|
|
|
|
|
|
|
||||
Private equity |
$ |
25 |
|
|
$ |
15 |
|
|
$ |
73 |
|
|
$ |
23 |
|
AG真人官方 assets |
|
1 |
|
|
|
9 |
|
|
|
(1 |
) |
|
|
6 |
|
Other alternatives(3) |
|
3 |
|
|
|
10 |
|
|
|
12 |
|
|
|
24 |
|
Other investments(4) |
|
11 |
|
|
|
34 |
|
|
|
1 |
|
|
|
65 |
|
Hedge gain (loss) on deferred cash |
|
45 |
|
|
|
7 |
|
|
|
30 |
|
|
|
38 |
|
Subtotal |
|
85 |
|
|
|
75 |
|
|
|
115 |
|
|
|
156 |
|
Other income/gain (expense/loss)(5) |
|
393 |
|
|
|
45 |
|
|
|
416 |
|
|
|
85 |
|
Total net gain (loss) on investments, net of NCI |
|
478 |
|
|
|
120 |
|
|
|
531 |
|
|
|
241 |
|
Interest and dividend income |
|
144 |
|
|
|
178 |
|
|
|
317 |
|
|
|
319 |
|
Interest expense |
|
(173 |
) |
|
|
(126 |
) |
|
|
(339 |
) |
|
|
(218 |
) |
Net interest income (expense) |
|
(29 |
) |
|
|
52 |
|
|
|
(22 |
) |
|
|
101 |
|
Nonoperating income (expense), net of NCI |
|
449 |
|
|
|
172 |
|
|
|
509 |
|
|
|
342 |
|
Less: Hedge gain (loss) on deferred cash |
|
45 |
|
|
|
7 |
|
|
|
30 |
|
|
|
38 |
|
Nonoperating income (expense), net of NCI, as |
$ |
404 |
|
|
$ |
165 |
|
|
$ |
479 |
|
|
$ |
304 |
|
59
Income Tax Expense
|
GAAP |
|
|
As Adjusted(1) |
|
||||||||||||||||||||||||||
|
Three Months Ended |
|
|
Six Months Ended |
|
|
Three Months Ended |
|
|
Six Months Ended |
|
||||||||||||||||||||
|
June 30, |
|
|
June 30, |
|
|
June 30, |
|
|
June 30, |
|
||||||||||||||||||||
(in millions) |
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||||||
Operating income |
$ |
1,731 |
|
|
$ |
1,800 |
|
|
$ |
3,429 |
|
|
$ |
3,493 |
|
|
$ |
2,099 |
|
|
$ |
1,881 |
|
|
$ |
4,131 |
|
|
$ |
3,656 |
|
Total nonoperating |
$ |
449 |
|
|
$ |
172 |
|
|
$ |
509 |
|
|
$ |
342 |
|
|
$ |
404 |
|
|
$ |
165 |
|
|
$ |
479 |
|
|
$ |
304 |
|
Income before income |
$ |
2,180 |
|
|
$ |
1,972 |
|
|
$ |
3,938 |
|
|
$ |
3,835 |
|
|
$ |
2,503 |
|
|
$ |
2,046 |
|
|
$ |
4,610 |
|
|
$ |
3,960 |
|
Income tax expense |
$ |
587 |
|
|
$ |
477 |
|
|
$ |
835 |
|
|
$ |
767 |
|
|
$ |
620 |
|
|
$ |
496 |
|
|
$ |
957 |
|
|
$ |
937 |
|
Effective tax rate |
|
26.9 |
% |
|
|
24.2 |
% |
|
|
21.2 |
% |
|
|
20.0 |
% |
|
|
24.8 |
% |
|
|
24.2 |
% |
|
|
20.8 |
% |
|
|
23.7 |
% |
2025. Income tax expense for the six months ended June 30, 2025 includes a $149 million discrete tax benefit related to the realization of capital losses from changes in the Company's organizational structure and a $50 million discrete tax benefit related to stock-based compensation awards that vested in 2025.
On July 4, 2025, the One Big Beautiful Bill Act was enacted into law, which includes permanently extending key tax provisions from the Tax Cuts and Jobs Act and modifications to the international tax framework. The Company is evaluating the impact of these provisions on the Company's condensed consolidated financial statements.
2024. Income tax expense for the six months ended June 30, 2024 included a discrete tax benefit of $137 million recognized in connection with the reorganization and establishment of a more efficient global intellectual property and technology platform and corporate structure. This discrete tax benefit has been excluded from as adjusted results due to the nonrecurring nature of the reorganization. In addition, for the six months ended June 30, 2024 income tax expense included $37 million of discrete tax benefits primarily related to stock-based compensation awards that vested in 2024.
60
STATEMENT OF FINANCIAL CONDITION OVERVIEW
As Adjusted Statement of Financial Condition
The following table presents a reconciliation of the condensed consolidated statement of financial condition presented on a GAAP basis to the condensed consolidated statement of financial condition, excluding the impact of separate account assets and separate account collateral held under securities lending agreements (directly related to lending separate account securities) and separate account liabilities and separate account collateral liabilities under securities lending agreements and consolidated sponsored investment products ("CIPs").
The Company presents the as adjusted statement of financial condition as additional information to enable investors to exclude certain assets that have equal and offsetting liabilities or NCI that ultimately do not have an impact on stockholders’ equity or cash flows. Management views the as adjusted statement of financial condition, which contains non-GAAP financial measures, as an economic presentation of the Company’s total assets and liabilities; however, it does not advocate that investors consider such non-GAAP financial measures in isolation from, or as a substitute for, financial information prepared in accordance with GAAP.
Separate Account Assets and Liabilities and Separate Account Collateral Held under Securities Lending Agreements
Separate account assets are maintained by BlackRock Life Limited, a wholly owned subsidiary of the Company that is a registered life insurance company in the UK, and represent segregated assets held for purposes of funding individual and group pension contracts. The Company records equal and offsetting separate account liabilities. The separate account assets are not available to creditors of the Company and the holders of the pension contracts have no recourse to the Company’s assets. The net investment income attributable to separate account assets accrues directly to the contract owners and is not reported on the condensed consolidated statements of income. While BlackRock has no economic interest in these assets or liabilities, BlackRock earns an investment advisory fee for the service of managing these assets on behalf of its clients.
In addition, the Company records on its condensed consolidated statements of financial condition the separate account collateral obtained under BlackRock Life Limited securities lending arrangements for which it has legal title as its own asset in addition to an equal and offsetting separate account collateral liability for the obligation to return the collateral. The collateral is not available to creditors of the Company, and the borrowers under the securities lending arrangements have no recourse to the Company’s assets.
Consolidated Sponsored Investment Products
The Company consolidates certain sponsored investment products accounted for as variable interest entities (“VIEs”) and voting rights entities (“VREs”). See Note 2, Significant Accounting Policies, in the notes to the consolidated financial statements contained in the 2024 Form 10-K for more information on the Company’s consolidation policy.
61
The Company cannot readily access cash and cash equivalents, or other assets held by CIPs to use in its operating activities. In addition, the Company cannot readily sell investments held by CIPs in order to obtain cash for use in the Company’s operations.
|
|
June 30, 2025 |
|
|||||||||||||
(in millions) |
|
GAAP |
|
|
Separate |
|
|
CIPs(2) |
|
|
As |
|
||||
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Cash and cash equivalents |
|
$ |
9,478 |
|
|
$ |
— |
|
|
$ |
235 |
|
|
$ |
9,243 |
|
Accounts receivable |
|
|
4,351 |
|
|
|
— |
|
|
|
— |
|
|
|
4,351 |
|
Investments |
|
|
10,874 |
|
|
|
— |
|
|
|
2,338 |
|
|
|
8,536 |
|
Separate account assets and collateral held |
|
|
62,402 |
|
|
|
62,402 |
|
|
|
— |
|
|
|
— |
|
Operating lease right-of-use assets |
|
|
1,553 |
|
|
|
— |
|
|
|
— |
|
|
|
1,553 |
|
Other assets(3) |
|
|
7,807 |
|
|
|
— |
|
|
|
246 |
|
|
|
7,561 |
|
Subtotal |
|
|
96,465 |
|
|
|
62,402 |
|
|
|
2,819 |
|
|
|
31,244 |
|
Goodwill and intangible assets, net |
|
|
50,005 |
|
|
|
— |
|
|
|
— |
|
|
|
50,005 |
|
Total assets |
|
$ |
146,470 |
|
|
$ |
62,402 |
|
|
$ |
2,819 |
|
|
$ |
81,249 |
|
Liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Accrued compensation and benefits |
|
$ |
1,737 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
1,737 |
|
Accounts payable and accrued liabilities |
|
|
1,686 |
|
|
|
— |
|
|
|
— |
|
|
|
1,686 |
|
Borrowings |
|
|
12,762 |
|
|
|
— |
|
|
|
— |
|
|
|
12,762 |
|
Separate account liabilities and collateral |
|
|
62,402 |
|
|
|
62,402 |
|
|
|
— |
|
|
|
— |
|
Contingent consideration liabilities |
|
|
4,472 |
|
|
|
— |
|
|
|
— |
|
|
|
4,472 |
|
Deferred income tax liabilities(4) |
|
|
3,578 |
|
|
|
— |
|
|
|
— |
|
|
|
3,578 |
|
Operating lease liabilities |
|
|
1,948 |
|
|
|
— |
|
|
|
— |
|
|
|
1,948 |
|
Other liabilities |
|
|
6,283 |
|
|
|
— |
|
|
|
413 |
|
|
|
5,870 |
|
Total liabilities |
|
|
94,868 |
|
|
|
62,402 |
|
|
|
413 |
|
|
|
32,053 |
|
Equity |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Total BlackRock, Inc. stockholders’ equity |
|
|
49,141 |
|
|
|
— |
|
|
|
— |
|
|
|
49,141 |
|
Noncontrolling interests |
|
|
2,461 |
|
|
|
— |
|
|
|
2,406 |
|
|
|
55 |
|
Total equity |
|
|
51,602 |
|
|
|
— |
|
|
|
2,406 |
|
|
|
49,196 |
|
Total liabilities and equity |
|
$ |
146,470 |
|
|
$ |
62,402 |
|
|
$ |
2,819 |
|
|
$ |
81,249 |
|
The following discussion summarizes the significant changes in assets and liabilities on a GAAP basis. Please see the condensed consolidated statements of financial condition as of June 30, 2025 and December 31, 2024 contained in Part I, Item 1 of this filing. The discussion does not include changes related to assets and liabilities that are equal and offsetting and have no impact on BlackRock’s stockholders’ equity.
Assets. Cash and cash equivalents at June 30, 2025 included $235 million of cash held by CIPs (see Liquidity and Capital Resources for details on the change in cash and cash equivalents during the six months ended June 30, 2025). Investments at June 30, 2025 increased $1.1 billion from December 31, 2024 (for more information see Investments herein). Goodwill and intangible assets at June 30, 2025 increased $3.3 billion from December 31, 2024, primarily due to the Preqin Transaction, partially offset by amortization of intangible assets. Other assets at June 30, 2025 increased $3.1 billion from December 31, 2024, primarily related to an increase in unit trust receivables (substantially offset by an increase in unit trust payables recorded within other liabilities) and an increase in certain minority investments.
62
Liabilities. Accrued compensation and benefits at June 30, 2025 decreased $1.2 billion from December 31, 2024, primarily due to 2024 incentive compensation cash payments in the first quarter of 2025, partially offset by 2025 incentive compensation accruals. Contingent consideration liabilities at June 30, 2025 increased $170 million from December 31, 2024, primarily due to a contingent consideration fair value adjustment in connection with the GIP Transaction, largely related to changes in discount rate and passage of time. Other liabilities at June 30, 2025 increased $2.3 billion from December 31, 2024, primarily due to higher unit trust payables (substantially offset by an increase in unit trust receivables recorded within other assets). Net deferred income tax liabilities at June 30, 2025 increased $244 million from December 31, 2024, primarily due to the effects of temporary differences associated with the stock-based compensation and the Preqin Transaction, partially offset by realization of capital losses from changes in the Company's organizational structure.
Investments
The Company’s investments were $10.9 billion and $9.8 billion at June 30, 2025 and December 31, 2024, respectively. Investments include CIPs accounted for as VIEs and VREs. Management reviews BlackRock’s investments on an “economic” basis, which eliminates the NCI portion of investments that does not impact BlackRock’s book value or net income attributable to BlackRock. BlackRock’s management does not advocate that investors consider such non-GAAP financial measures in isolation from, or as a substitute for, financial information prepared in accordance with GAAP.
The Company presents investments, as adjusted, to enable investors to understand the economic portion of investments that is owned by the Company as a gauge to measure the impact of changes in net nonoperating income (expense) on investments to net income (loss) attributable to BlackRock.
The Company further presents net “economic” investment exposure, net of deferred cash compensation investments and hedged exposures, to reflect another helpful measure for investors. The economic impact of investments held pursuant to deferred cash compensation plans is substantially offset by a change in associated compensation expense, and the impact of the portfolio of seed investments is mitigated by futures entered into as part of the Company's macro hedging strategy. Carried interest capital allocations are excluded as there is no impact to BlackRock’s stockholders’ equity until such amounts are realized as performance fees. Finally, the Company’s regulatory investment in Federal Reserve Bank stock, which is not subject to market or interest rate risk, is excluded from the Company’s net economic investment exposure.
|
|
June 30, |
|
|
December 31, |
|
||
(in millions) |
|
2025 |
|
|
2024 |
|
||
Investments, GAAP |
|
$ |
10,874 |
|
|
$ |
9,769 |
|
Investments held by CIPs |
|
|
(6,886 |
) |
|
|
(5,752 |
) |
Net interest in CIPs(1) |
|
|
4,548 |
|
|
|
3,877 |
|
Investments, as adjusted |
|
|
8,536 |
|
|
|
7,894 |
|
Investments related to deferred cash compensation plans |
|
|
(297 |
) |
|
|
(185 |
) |
Hedged exposures |
|
|
(1,858 |
) |
|
|
(1,757 |
) |
Federal Reserve Bank stock |
|
|
(94 |
) |
|
|
(93 |
) |
Carried interest |
|
|
(2,143 |
) |
|
|
(1,983 |
) |
Total “economic” investment exposure(2) |
|
$ |
4,144 |
|
|
$ |
3,876 |
|
63
The following table represents the carrying value of the Company’s economic investment exposure, by asset type, at June 30, 2025 and December 31, 2024:
|
|
June 30, |
|
|
December 31, |
|
||
(in millions) |
|
2025 |
|
|
2024 |
|
||
Equity/Fixed income/Multi-asset(1) |
|
$ |
3,420 |
|
|
$ |
3,025 |
|
Alternatives: |
|
|
|
|
|
|
||
Private equity |
|
|
987 |
|
|
|
1,199 |
|
AG真人官方 assets |
|
|
687 |
|
|
|
629 |
|
Other alternatives(2) |
|
|
908 |
|
|
|
780 |
|
Alternatives subtotal |
|
|
2,582 |
|
|
|
2,608 |
|
Hedged exposures |
|
|
(1,858 |
) |
|
|
(1,757 |
) |
Total “economic” investment exposure |
|
$ |
4,144 |
|
|
$ |
3,876 |
|
As adjusted investment activity for the six months ended June 30, 2025 was as follows:
(in millions) |
Six Months |
|
|
Investments, as adjusted, beginning balance |
$ |
7,894 |
|
Purchases/capital contributions |
|
1,122 |
|
Sales/maturities |
|
(521 |
) |
Distributions(1) |
|
(478 |
) |
Market appreciation(depreciation)/earnings from equity method investments |
|
201 |
|
Carried interest capital allocations/(distributions) |
|
160 |
|
Other(2) |
|
158 |
|
Investments, as adjusted, ending balance |
$ |
8,536 |
|
64
LIQUIDITY AND CAPITAL RESOURCES
BlackRock Cash Flows Excluding the Impact of CIPs
The condensed consolidated statements of cash flows include the cash flows of the CIPs. The Company uses an adjusted cash flow statement, which excludes the impact of CIPs, as a supplemental non-GAAP measure to assess liquidity and capital requirements. The Company believes that its cash flows, excluding the impact of the CIPs, provide investors with useful information on the cash flows of BlackRock relating to its ability to fund additional operating, investing and financing activities. BlackRock’s management does not advocate that investors consider such non-GAAP measures in isolation from, or as a substitute for, its cash flows presented in accordance with GAAP.
The following table presents a reconciliation of the condensed consolidated statements of cash flows presented on a GAAP basis to the condensed consolidated statements of cash flows, excluding the impact of the cash flows of CIPs:
(in millions) |
GAAP |
|
|
Impact on |
|
|
Cash Flows |
|
|||
Cash, cash equivalents and restricted cash, December 31, 2024 |
$ |
12,779 |
|
|
$ |
169 |
|
|
$ |
12,610 |
|
Net cash provided by/(used in) operating activities |
|
236 |
|
|
|
(1,743 |
) |
|
|
1,979 |
|
Net cash provided by/(used in) investing activities |
|
(3,283 |
) |
|
|
122 |
|
|
|
(3,405 |
) |
Net cash provided by/(used in) financing activities |
|
(635 |
) |
|
|
1,687 |
|
|
|
(2,322 |
) |
Effect of exchange rate changes on cash, cash equivalents |
|
398 |
|
|
|
— |
|
|
|
398 |
|
Net increase/(decrease) in cash, cash equivalents and restricted |
|
(3,284 |
) |
|
|
66 |
|
|
|
(3,350 |
) |
Cash, cash equivalents and restricted cash, June 30, 2025 |
$ |
9,495 |
|
|
$ |
235 |
|
|
$ |
9,260 |
|
Sources of BlackRock’s operating cash primarily include base fees and securities lending revenue, performance fees, technology services and subscription revenue, advisory and other revenue and distribution fees. BlackRock uses its cash to pay all operating expenses, interest and principal on borrowings, income taxes, dividends and repurchases of the Company’s stock, acquisitions, capital expenditures and purchases of co-investments and seed investments.
For details of the Company’s GAAP cash flows from operating, investing and financing activities, see the condensed consolidated statements of cash flows contained in Part I, Item 1 of this filing.
Cash flows provided by/(used in) operating activities, excluding the impact of CIPs, primarily include the receipt of base fees, securities lending revenue, performance fees and technology services and subscription revenue, offset by the payment of operating expenses incurred in the normal course of business, including year-end incentive and deferred cash compensation accrued during prior years, and income tax payments.
Cash flows used in investing activities, excluding the impact of CIPs, for the six months ended June 30, 2025 were $3.4 billion, primarily reflecting $3.1 billion related to the Preqin Transaction, $394 million of net purchases of investments and $167 million of purchases of property and equipment, partially offset by $262 million of distributions of capital from equity method investees.
Cash flows used in financing activities, excluding the impact of CIPs, for the six months ended June 30, 2025 were $2.3 billion, primarily resulting from $1.6 billion of cash dividend payments, $1.1 billion of share repurchases, including $750 million in open market transactions and $303 million of employee tax withholdings related to employee stock transactions, and repayment of €700 million (or approximately $822 million based on the EUR/USD foreign exchange rate at June 30, 2025) of long-term borrowings, partially offset by €1.0 billion (or approximately $1.2 billion based on the EUR/USD foreign exchange rate at June 30, 2025) of proceeds from long-term borrowings.
65
The Company manages its financial condition and funding to maintain appropriate liquidity for the business. Management believes that the Company’s liquid assets, continuing cash flows from operations, borrowing capacity under the Company’s existing revolving credit facility and uncommitted commercial paper private placement program, provide sufficient resources to meet the Company’s short-term and long-term cash needs, including operating, debt and other obligations as they come due and anticipated future capital requirements. Liquidity resources at June 30, 2025 and December 31, 2024 were as follows:
|
June 30, |
|
|
December 31, |
|
||
(in millions) |
2025 |
|
|
2024 |
|
||
Cash and cash equivalents(1) |
$ |
9,478 |
|
|
$ |
12,762 |
|
Cash and cash equivalents held by CIPs(2) |
|
(235 |
) |
|
|
(169 |
) |
Subtotal(3) |
|
9,243 |
|
|
|
12,593 |
|
Credit facility – undrawn |
|
5,900 |
|
|
|
5,400 |
|
Total liquidity resources |
$ |
15,143 |
|
|
$ |
17,993 |
|
Total liquidity resources decreased $2.9 billion during the six months ended June 30, 2025, primarily reflecting $3.1 billion related to the Preqin Transaction, cash dividend payments of $1.6 billion, share repurchases of $1.1 billion, partially offset by a $500 million increase in the aggregate commitment amount under the credit facility, approximately $285 million of net proceeds from long-term borrowings and cash flows from operating activities.
A significant portion of the Company’s $8.5 billion of investments, as adjusted, is illiquid in nature and, as such, cannot be readily convertible to cash.
Share Repurchases. During the six months ended June 30, 2025, the Company repurchased 0.8 million common shares under the Company’s existing share repurchase program for approximately $750 million. At June 30, 2025, there were approximately 3.0 million shares still authorized to be repurchased under the program. The timing and actual number of shares repurchased will depend on a variety of factors, including legal limitations, price and market conditions.
Net Capital Requirements. The Company is required to maintain net capital in certain regulated subsidiaries within a number of jurisdictions, which is partially maintained by retaining cash and cash equivalent investments in those subsidiaries or jurisdictions. As a result, such subsidiaries of the Company may be restricted in their ability to transfer cash between different jurisdictions and to their parents. Additionally, transfers of cash between international jurisdictions may have adverse tax consequences that could discourage such transfers.
BlackRock Institutional Trust Company, N.A. (“BTC”) is chartered as a national bank that does not accept deposits or make commercial loans and whose powers are limited to trust and other fiduciary activities. BTC provides investment management and other fiduciary services, including investment advisory and securities lending agency services, to institutional clients. BTC is subject to regulatory capital and liquid asset requirements administered by the US Office of the Comptroller of the Currency.
At June 30, 2025 and December 31, 2024, the Company was required to maintain approximately $2.1 billion and $1.8 billion, respectively, in net capital in certain regulated subsidiaries, including BTC, entities regulated by the Financial Conduct Authority and Prudential Regulation Authority in the UK, and the Company’s broker-dealers. The Company was in compliance with all applicable regulatory net capital requirements.
66
Short-Term Borrowings
2025 Revolving Credit Facility. The Company maintains an unsecured revolving credit facility, which is available for working capital and general corporate purposes (the “2025 Credit Facility”). In April 2025, the 2025 Credit Facility was amended to, among other things, (1) increase the aggregate commitment amount by $500 million to $5.9 billion, (2) extend the maturity date to March 2030 for lenders (other than one non-extending lender) pursuant to the Company's option to request extensions of the maturity date available under the 2025 Credit Facility (with the commitment of the non-extending lender maturing in March 2028) and (3) change the threshold for the maximum consolidated leverage ratio covenant to 3.5 to 1. The amended 2025 Credit Facility permits the Company to request up to an additional $1.4 billion of borrowing capacity, subject to lender credit approval, which could increase the overall size of the 2025 Credit Facility to an aggregate principal amount of up to $7.3 billion. Interest on outstanding borrowings accrues at an applicable benchmark rate for the denominated currency of the loan, plus a spread. The 2025 Credit Facility requires the Company not to exceed a maximum consolidated leverage ratio (ratio of net debt to earnings before interest, taxes, depreciation and amortization, where net debt equals total debt less unrestricted cash) of 3.5 to 1, which was satisfied with a ratio of less than 1 to 1 at June 30, 2025. At June 30, 2025, the Company had no amount outstanding under the 2025 Credit Facility.
Commercial Paper Program. The Company may issue short-term unsecured commercial paper notes (the “CP Notes”) on a private-placement basis up to a maximum aggregate amount outstanding at any time of $5 billion. The payments of the CP Notes have been unconditionally guaranteed by BlackRock Finance, Inc. (formerly known as BlackRock, Inc.) ("Old BlackRock") (the "CP Notes Guarantee"). The CP Notes will rank equal in right of payment with all of BlackRock's other unsubordinated indebtedness, and the obligations of Old BlackRock under the CP Notes Guarantee will rank equal in right of payment with all of Old BlackRock's other unsubordinated indebtedness. Net proceeds of issuances of the CP Notes are expected to be used for general corporate purposes. The commercial paper program is currently supported by the 2025 Credit Facility. At June 30, 2025, BlackRock had no CP Notes outstanding.
Subsidiary Credit Facility. BlackRock Investment Management (UK) Limited ("BIM UK"), a wholly owned subsidiary of the Company, maintains a revolving credit facility (the “Subsidiary Credit Facility”) in the amount of £25 million (or approximately $34 million based on the GBP/USD foreign exchange rate at June 30, 2025) with a rolling 364-day term structure. The Subsidiary Credit Facility is available for BIM UK's general corporate and working capital purposes. At June 30, 2025, there was no amount outstanding under the Subsidiary Credit Facility.
Long-Term Borrowings
2035 Notes. In April 2025, the Company issued €1.0 billion (or approximately $1.2 billion based on the EUR/USD foreign exchange rate at June 30, 2025) in aggregate principal amount of 3.75% senior unsecured and unsubordinated notes maturing July 18, 2035 (the "2035 Notes"). The 2035 Notes are listed on the New York Stock Exchange. Net proceeds are being used for general corporate purposes, which included the repayment of the €700 million (or approximately $822 million based on the EUR/USD foreign exchange rate at June 30, 2025) 1.25% Notes in May 2025 at maturity. Interest of approximately €38 million (or approximately $44 million based on the EUR/USD foreign exchange rate at June 30, 2025) per year is payable annually on July 18 of each year which commenced on July 18, 2025. The 2035 Notes are fully and unconditionally guaranteed (the "Guarantee") on a senior unsecured basis by Old BlackRock. The 2035 Notes and the Guarantee rank equally in right of payment with all of the Company and Old BlackRock's other unsubordinated indebtedness, respectively. The 2035 Notes may be redeemed at the option of the Company, in whole or in part, at any time prior to April 18, 2035 at a "make-whole" redemption price, or thereafter at 100% of the principal amount of the 2035 Notes, in each case plus accrued but unpaid interest. The unamortized discount and debt issuance costs are being amortized over the remaining term of the 2035 Notes.
At June 30, 2025, the principal amount of long-term notes outstanding was $12.9 billion. See Note 15, Borrowings, in the 2024 Form 10-K for more information on overall borrowings outstanding as of December 31, 2024.
67
During the six months ended June 30, 2025, the Company paid approximately $236 million of interest on long-term notes. Future principal repayments and interest requirements at June 30, 2025 were as follows:
(in millions) |
|
|
|
|
|
|
|
|
|
|||
Year |
|
Principal |
|
|
Interest(1) |
|
|
Total |
|
|||
Remainder of 2025 |
|
$ |
— |
|
|
$ |
243 |
|
|
$ |
243 |
|
2026 |
|
|
— |
|
|
|
505 |
|
|
|
505 |
|
2027 |
|
|
1,500 |
|
|
|
494 |
|
|
|
1,994 |
|
2028 |
|
|
— |
|
|
|
446 |
|
|
|
446 |
|
2029 |
|
|
1,500 |
|
|
|
418 |
|
|
|
1,918 |
|
2030 |
|
|
1,000 |
|
|
|
378 |
|
|
|
1,378 |
|
Thereafter(1) |
|
|
8,874 |
|
|
|
4,121 |
|
|
|
12,995 |
|
Total |
|
$ |
12,874 |
|
|
$ |
6,605 |
|
|
$ |
19,479 |
|
Supplemental Guarantor Information
BlackRock, Inc. (“New BlackRock”) is the issuer of 4.6% Notes due 2027, 4.7% Notes due 2029, 5.0% Notes due 2034, 4.9% Notes due 2035, 3.75% Notes due 2035, 5.25% Notes due 2054 and 5.35% Notes due 2055 (collectively the "New BlackRock Notes"), which are fully and unconditionally guaranteed on a senior unsecured basis by Old BlackRock ("Notes Guarantees"). The New BlackRock Notes and the Notes Guarantees rank equally in right of payment with all of BlackRock's and Old BlackRock's other unsubordinated indebtedness, respectively. No other subsidiary of New BlackRock or Old BlackRock guarantees the New BlackRock Notes. The Notes Guarantees will be automatically and unconditionally released and discharged, and Old BlackRock will be released from all obligations under the indenture in its capacity as guarantor, in certain circumstances as described in the separate indentures governing the New BlackRock Notes. See Note 14, Borrowings, in the notes to the condensed consolidated financial statements and Note 15, Borrowings, in the 2024 Form 10-K for further information on New BlackRock Notes.
In October 2024, in connection with the closing of the GIP Transaction, New BlackRock also entered into a guarantee (the “New BlackRock Guarantee”) pursuant to which New BlackRock fully and unconditionally guaranteed, on a senior unsecured basis, the remaining obligations of Old BlackRock with respect to its previously issued senior unsecured notes. The New BlackRock Guarantee ranks equally in right of payment with all of New BlackRock's other unsubordinated indebtedness. In certain circumstances as described in the New BlackRock Guarantee, the New BlackRock Guarantee will be automatically and unconditionally released and discharged, and New BlackRock will be released from all obligations under the New BlackRock Guarantee.
The following presents unaudited summarized financial information of New BlackRock and Old BlackRock (together with New BlackRock, the "Obligor Group") on a combined basis as of June 30, 2025 and December 31, 2024 and for the three and six months ended June 30, 2025. Intercompany balances and transactions between New BlackRock and Old BlackRock have been eliminated, and balances and transactions with subsidiaries, which are not part of the Obligor Group, have been separately presented, and investments in and equity in earnings related to subsidiaries of New BlackRock and Old BlackRock, which are not members of the Obligor Group, have been excluded.
Summarized Balance Sheet (unaudited)
|
June 30, |
|
|
December 31, |
|
||
(in millions) |
2025 |
|
|
2024 |
|
||
Assets |
|
|
|
|
|
||
Receivables from non-guarantor subsidiaries |
$ |
7,865 |
|
|
$ |
7,681 |
|
Goodwill and intangible assets |
|
27,117 |
|
|
|
27,273 |
|
Other assets |
|
767 |
|
|
|
362 |
|
Total assets |
$ |
35,749 |
|
|
$ |
35,316 |
|
Liabilities |
|
|
|
|
|
||
Borrowings |
$ |
12,762 |
|
|
$ |
12,314 |
|
Payable to non-guarantor subsidiaries |
|
9,883 |
|
|
|
10,206 |
|
Other liabilities |
|
3,117 |
|
|
|
3,278 |
|
Total liabilities |
$ |
25,762 |
|
|
$ |
25,798 |
|
68
Summarized Income Statement (unaudited)
For the three months ended June 30, 2025, net loss of the Obligor Group was $231 million, primarily comprised of $71 million amortization expense, a loss of $79 million primarily related to a contingent consideration fair value adjustment, and $130 million of interest expense, partially offset by a tax benefit. Revenue during this period was not material.
For the six months ended June 30, 2025, net loss of the Obligor Group was $466 million, primarily comprised of $141 million amortization expense, a loss of $167 million primarily related to a contingent consideration fair value adjustment, and $252 million of interest expense, partially offset by a tax benefit. Revenue during this period was not material.
Commitments and Contingencies
Contingent Consideration Liabilities. In connection with certain acquisitions, BlackRock is required to make contingent payments, subject to the achievement of specified performance targets or satisfaction of certain post-closing events. The fair value of any contingent consideration is estimated at the time of acquisition closing and is included in contingent consideration liabilities on the condensed consolidated statements of financial condition. The fair value of the remaining aggregate contingent payments at June 30, 2025 totaled $4.5 billion, including $4.3 billion related to the GIP Transaction, which, if any, will be settled all in stock, for a number of shares ranging from 4.0 million to 5.2 million shares, subject to achieving certain performance targets. See Note 3, Acquisitions, in the notes to the condensed consolidated financial statements for more information.
Investment Commitments. At June 30, 2025, the Company had $1.2 billion of various capital commitments to fund sponsored investment products, including CIPs. These products include various private market products, including private equity funds, real assets funds and opportunistic funds. This amount excludes additional commitments made by consolidated funds of funds to underlying third-party funds as third-party noncontrolling interest holders have the legal obligation to fund the respective commitments of such funds of funds. Generally, the timing of the funding of these commitments is unknown and the commitments are callable on demand at any time prior to the expiration of the commitment. These unfunded commitments are not recorded on the condensed consolidated statements of financial condition. These commitments do not include potential future commitments approved by the Company that are not yet legally binding. The Company intends to make additional capital commitments from time to time to fund additional investment products for, and with, its clients.
Critical Accounting Policies and Estimates
The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenue and expense during the reporting periods. Actual results could differ significantly from those estimates. These estimates, judgments and assumptions are affected by the Company’s application of accounting policies. Management considers the following accounting policies and estimates critical to understanding the condensed consolidated financial statements. These policies and estimates are considered critical because they had a material impact, or are reasonably likely to have a material impact on the Company’s condensed consolidated financial statements and because they require management to make significant judgments, assumptions or estimates. For a summary of these and additional accounting policies as well as recent accounting developments, see Note 2, Significant Accounting Policies, in the notes to the condensed consolidated financial statements. In addition, see Critical Accounting Policies and Estimates in Management’s Discussion and Analysis of Financial Condition and Results of Operations and Note 2, Significant Accounting Policies, in the 2024 Form 10-K for further information.
69
Consolidation. The Company consolidates entities in which the Company has a controlling financial interest. The Company has a controlling financial interest when it owns a majority of the VRE or is a primary beneficiary (“PB”) of a VIE. Assessing whether an entity is a VIE or a VRE involves judgment and analysis on a structure-by-structure basis. Factors considered in this assessment include the entity’s legal organization, the entity’s capital structure, the rights of equity investment holders, the Company’s contractual involvement with and economic interest in the entity and any related party or de facto agent implications of the Company’s involvement with the entity. Entities that are determined to be VREs are consolidated if the Company can exert absolute control over the financial and operating policies of the investee, which generally exists if there is greater than 50% voting interest. Entities that are determined to be VIEs are consolidated if the Company is the PB of the entity. BlackRock is deemed to be the PB of a VIE if it (1) has the power to direct the activities that most significantly impact the entities’ economic performance and (2) has the obligation to absorb losses or the right to receive benefits that potentially could be significant to the VIE. There is judgment involved in assessing whether the Company is the PB of a VIE. In addition, the Company’s ownership interest in VIEs is subject to variability and is impacted by actions of other investors such as ongoing redemptions and contributions. The Company generally consolidates VIEs in which it holds an economic interest of 10% or greater and deconsolidates such VIEs once its economic interest falls below 10%. As of June 30, 2025, the Company was deemed to be the PB of approximately 115 VIEs, which are BlackRock sponsored investment products. See Note 6, Consolidated Sponsored Investment Products, in the notes to the condensed consolidated financial statements for more information.
Fair Value Measurements. The Company’s assessment of the significance of a particular input to the fair value measurement according to the fair value hierarchy (i.e., Level 1, 2 and 3 inputs, as defined) in its entirety requires judgment and considers factors specific to the financial instrument. See Note 2, Significant Accounting Policies, and Note 8, Fair Value Disclosures, in the notes to the condensed consolidated financial statements for more information on fair value measurements.
Goodwill and Intangible Assets
The Company accounts for business combinations using the acquisition method of accounting, where the purchase price is allocated to the assets acquired and liabilities assumed based on their fair values at the date of the transaction. Any excess purchase consideration over the fair value of net assets acquired is recorded as goodwill.
The Company determines fair value of identifiable intangible assets acquired using the best available information which incorporates various estimates and assumptions, including, but not limited to, future expected cash flows, fundraising assumptions, useful lives, and discount rates. These estimates are based on historical data, internal estimates, or external sources. Unanticipated events may affect these assumptions. During the six months ended June 30, 2025, BlackRock recorded finite-lived customer relationships and technology-related intangible assets in connection with the Preqin Transaction of approximately $1.1 billion and $125 million, respectively. The acquisition date fair value of customer relationships and technology-related intangible assets were determined using an income approach and a replacement cost approach, respectively, all of which applied certain significant assumptions, which are inherently uncertain and unpredictable. The assumptions used in the income approach primarily included discount rates ranging from 11.0%-11.5%, as well as estimated revenue projections, operating profits and tax rates. The assumptions used in the replacement cost approach primarily included a discount rate of 10.5% as well as estimated reproduction costs and third-party developer's profit and opportunity cost of capital invested. While the Company believes these assumptions to be reasonable and appropriate, changes in these estimates could produce different fair value amounts.
Contingent Consideration Liabilities
In connection with certain acquisitions, BlackRock is required to make contingent payments, subject to the achievement of specified performance targets or satisfaction of certain post-closing events. The fair value of this contingent consideration is estimated at the time of acquisition closing and is included in contingent consideration liabilities on the condensed consolidated statements of financial condition. The fair value of the remaining aggregate contingent payments at June 30, 2025 totaled $4.5 billion, including $4.3 billion related to the GIP Transaction, which, if any, will be settled all in stock, ranging from 4.0 million to 5.2 million shares, subject to achieving certain performance targets. The fair value of the GIP Transaction contingent consideration is estimated using the income approach, which included certain significant inputs such as a risk-free discount rate of approximately 3.7% as well as current estimates of the timing and amounts of fundraising forecasts, stock and AUM volatility, and correlation between stock price and AUM (Level 3 inputs). As the estimated fair value of the contingent consideration subsequently changes, contingent consideration liabilities are adjusted, resulting in contingent consideration fair value adjustments recorded within general and administration expense of the condensed consolidated statements of income until the contingency is resolved. Accordingly, changes in the key inputs and assumptions described will impact the amount of contingent consideration expense recorded in a reporting period.
Investment Advisory Performance Fees / Carried Interest
70
The Company receives investment advisory performance fees, including incentive allocations (carried interest) from certain actively managed investment funds and certain separately managed accounts ("SMAs"). These performance fees are dependent upon exceeding specified relative or absolute investment return thresholds, which vary by product or account, and include monthly, quarterly, annual or longer measurement periods.
Performance fees, including carried interest, are generated on certain management contracts when performance hurdles are achieved. Such performance fees are recognized when the contractual performance criteria have been met and when it is determined that they are no longer probable of significant reversal. Given the unique nature of each fee arrangement, contracts with customers are evaluated on an individual basis to determine the timing of revenue recognition. Significant judgment is involved in making such determination. Performance fees typically arise from investment management services that began in prior reporting periods. Consequently, a portion of the fees the Company recognizes may be partially related to the services performed in prior periods that meet the recognition criteria in the current period. At each reporting date, the Company considers various factors in estimating performance fees to be recognized, including carried interest. These factors include but are not limited to whether: (1) the amounts are dependent on the financial markets and, thus, are highly susceptible to factors outside the Company’s influence; (2) the ultimate payments have a large number and a broad range of possible amounts; and (3) the funds or SMAs have the ability to (a) invest or reinvest their sales proceeds or (b) distribute their sales proceeds and determine the timing of such distributions.
The Company is allocated/distributed carried interest from certain alternative investment products upon exceeding performance thresholds. The Company may be required to reverse/return all, or part, of such carried interest allocations/distributions depending upon future performance of these products. Carried interest subject to such clawback provisions is recorded in investments or cash and cash equivalents to the extent that it is distributed, on its condensed consolidated statements of financial condition. The Company records a liability for deferred carried interest to the extent it receives cash or capital allocations related to carried interest prior to meeting the revenue recognition criteria. At June 30, 2025 and December 31, 2024, the Company had $2.1 billion and $1.9 billion, respectfully, of deferred carried interest recorded in other liabilities on the condensed consolidated statements of financial condition. A portion of the deferred carried interest may also be paid to certain employees and other third parties. The ultimate timing of the recognition of performance fee revenue and related compensation expense, if any, is unknown. See Note 16, Revenue, in the notes to the condensed consolidated financial statements for detailed changes in the deferred carried interest liability balance for the three and six months ended June 30, 2025 and 2024.
71
Item 3. Quantitative and Qualitative Disclosures About Market Risk
AUM Market Price Risk. BlackRock’s investment advisory and administration fees are primarily comprised of fees based on a percentage of the value of AUM and, in some cases, performance fees expressed as a percentage of the returns realized on AUM. At June 30, 2025, the majority of the Company’s investment advisory and administration fees were based on average or period end AUM of the applicable investment funds or separate accounts. Movements in equity market prices, interest rates/credit spreads, foreign exchange rates or all three could cause the value of AUM to decline, which would result in lower investment advisory and administration fees.
Corporate Investments Portfolio Risks. As a leading investment management firm, BlackRock devotes significant resources across all of its operations to identifying, measuring, monitoring, managing and analyzing market and operating risks, including the management and oversight of its own investment portfolio. The Board of Directors of the Company has adopted guidelines for the review of investments (or commitments to invest) to be made by the Company, requiring, among other things, that certain investments be referred to the Board of Directors, depending on the circumstances, for notification or approval.
In the normal course of its business, BlackRock is exposed to equity market price risk, interest rate/credit spread risk and foreign exchange rate risk associated with its corporate investments.
BlackRock has investments primarily in sponsored investment products that invest in a variety of asset classes, including real assets, private equity and hedge funds. Investments generally are made for co-investment purposes, to establish a performance track record, to hedge exposure to certain deferred cash compensation plans or for regulatory purposes. The Company has a seed capital hedging program in which it enters into futures to hedge market and interest rate exposure with respect to its total portfolio of seed investments in sponsored investment products. The Company had outstanding futures related to its seed capital hedging program with an aggregate notional value of approximately $1.9 billion and $1.8 billion at June 30, 2025 and December 31, 2024, respectively.
At June 30, 2025, approximately $6.9 billion of BlackRock’s investments were held in consolidated sponsored investment products accounted for as variable interest entities or voting rights entities. Excluding the impact of the Federal Reserve Bank stock, carried interest, investments made to hedge exposure to certain deferred cash compensation plans and certain investments that are hedged via the seed capital hedging program, the Company’s economic exposure to its investment portfolio is $4.1 billion. See Statement of Financial Condition Overview-Investments in Item 2, Management’s Discussion and Analysis of Financial Condition and Results of Operations for further information on the Company’s investments.
Equity Market Price Risk. At June 30, 2025, the Company’s net exposure to equity market price risk in its investment portfolio was approximately $1.5 billion of the Company’s total economic investment exposure. Investments subject to market price risk include public and private equity and real assets investments, hedge funds and funds of funds as well as mutual funds. The Company estimates that a hypothetical exposure to a 10% adverse change in market prices would result in a decrease of approximately $149 million in the carrying value of such investments.
Interest Rate/Credit Spread Risk. At June 30, 2025, the Company was exposed to interest rate risk and credit spread risk as a result of approximately $2.6 billion of investments in debt securities and sponsored investment products that invest primarily in debt securities. Management considered a hypothetical exposure to an adverse 100 basis point fluctuation in interest rates or credit spreads and estimates that the impact of such a fluctuation on these investments, in the aggregate, would result in a decrease, or increase, of approximately $67 million in the carrying value of such investments.
Foreign Exchange Rate Risk. As discussed above, the Company invests in sponsored investment products that invest in a variety of asset classes. The carrying value of the total economic investment exposure denominated in foreign currencies, primarily based in the British pound and euro, was approximately $1.5 billion at June 30, 2025. A hypothetical exposure to a 10% adverse change in the applicable foreign exchange rates would result in approximately a $151 million decline in the carrying value of such investments.
Other Market Risks. The Company executes forward foreign currency exchange contracts to mitigate the risk of certain foreign exchange risk movements. At June 30, 2025, the Company had outstanding forward foreign currency exchange contracts with an aggregate notional value of approximately $2.4 billion, with expiration dates primarily in July 2025. In addition, the Company entered into futures to hedge economically the exposure to market movements on certain deferred cash compensation plans. At June 30, 2025, the Company had outstanding exchange traded futures with aggregate notional values related to its deferred cash compensation hedging program of approximately $221 million, with expiration dates during the third quarter of 2025.
72
Item 4. Controls and Procedures
Disclosure Controls and Procedures. Under the direction of BlackRock’s Chief Executive Officer and Chief Financial Officer, BlackRock evaluated the effectiveness of its disclosure controls and procedures (as such term is defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act) as of the end of the period covered by this quarterly report on Form 10-Q. Based on this evaluation, BlackRock’s Chief Executive Officer and Chief Financial Officer have concluded that BlackRock’s disclosure controls and procedures were effective.
Internal Control over Financial Reporting. There were no changes in our internal control over financial reporting that occurred during the quarter ended June 30, 2025 that have materially affected or are reasonably likely to materially affect our internal control over financial reporting.
73
PART II – OTHER INFORMATION
Item 1. Legal Proceedings
For a discussion of the Company’s legal proceedings, see Note 15, Commitments and Contingencies, in the notes to the condensed consolidated financial statements of this Form 10-Q.
74
Item 1A. Risk Factors
In addition to the other information set forth in this report, the risks discussed in BlackRock's Annual Report on Form 10-K for the year ended December 31, 2024 could materially affect our business, financial condition, operating results and nonoperating results.
75
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
During the three months ended June 30, 2025, the Company made the following purchases of its common stock, which is registered pursuant to Section 12(b) of the Exchange Act.
|
|
Total Number |
|
|
Average |
|
|
Total Number |
|
|
Maximum |
|
||||
April 1, 2025 April 30, 2025 |
|
|
153,826 |
|
|
$ |
897.00 |
|
|
|
143,886 |
|
|
|
3,302,159 |
|
May 1, 2025 through May 31, 2025 |
|
|
239,438 |
|
|
$ |
957.75 |
|
|
|
234,725 |
|
|
|
3,067,434 |
|
June 1, 2025 through June 30, 2025 |
|
|
27,914 |
|
|
$ |
977.31 |
|
|
|
21,959 |
|
|
|
3,045,475 |
|
Total |
|
|
421,178 |
|
|
$ |
936.86 |
|
|
|
400,570 |
|
|
|
|
|
76
Item 6. Exhibits
Exhibit No. |
|
Description |
|
|
|
4.1(1) |
|
Indenture, dated April 3, 2025, among BlackRock, Inc., BlackRock Finance, Inc. and The Bank of New York Mellon, as trustee |
|
|
|
4.2(1) |
|
First Supplemental Indenture, dated April 3, 2025, among BlackRock, Inc., BlackRock Finance, Inc., The Bank of New York Mellon, as trustee, and The Bank of New York Mellon, London Branch, as paying agent |
|
|
|
4.3(1) |
|
Form of Note for the 3.750% Notes due 2035 (included in Exhibit 4.2) |
|
|
|
10.1(2) |
|
Amendment No. 16, dated as of April 4, 2025, by and among BlackRock, Inc., certain of its subsidiaries, Wells Fargo Bank, National Association, as administrative agent, a swingline lender, an issuing lender, L/C agent and a lender, and the banks and other financial institutions referred to therein |
|
|
|
10.2 |
|
Form of Carry Incentive Award Letter for Laurence D. Fink+* |
|
|
|
31.1 |
|
Section 302 Certification of Chief Executive Officer |
|
|
|
31.2 |
|
Section 302 Certification of Chief Financial Officer |
|
|
|
32.1 |
|
Section 906 Certification of Chief Executive Officer and Chief Financial Officer |
|
|
|
101.INS |
|
Inline XBRL Instance Document – the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document |
|
|
|
101.SCH |
|
Inline XBRL Taxonomy Extension Schema with Embedded Linkbases Document |
|
|
|
104 |
|
Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) |
|
|
|
+ Denotes compensatory plans or arrangements.
* Portions of this exhibit have been omitted pursuant to Item 601(b)(10)(iv) of Regulation S-K.
77
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
|
|
BLACKROCK, INC. |
|
|
|
(Registrant) |
|
|
|
|
|
|
|
By: |
/s/ Martin S. Small |
Date: August 6, 2025 |
|
|
Martin S. Small |
|
|
|
Senior Managing Director & Chief Financial Officer (Principal Financial Officer) |
78
Source:
FAQ
How many American Water (AWK) shares are covered by the forward sale agreements?
What is the initial forward sale price for AWK shares?
When can AWK settle the forward sale agreements?
How much cash could AWK receive upon full physical settlement?
What will AWK use the proceeds for?
Who are the forward purchasers in this transaction?
