BlackRock posted stronger-than-expected results for the third quarter as assets under management hit an all-time high of $13.46 trillion, underscoring the company’s momentum across both public and private markets.
The world’s largest asset manager reported earnings of $11.55 per share, beating Wall Street estimates of $11.31. Revenue jumped 25% year over year to $6.51 billion, surpassing expectations of $6.29 billion, boosted by stronger markets, higher performance fees, and income from the firm’s Global Infrastructure Partners (GIP) and HPS transactions.
Net inflows totaled $205 billion for the quarter, supported by record activity in iShares ETFs, which delivered double-digit organic growth. The surge helped drive a 10% annualized increase in base fee revenue, with additional contributions from private markets, systematic strategies, outsourcing mandates, and cash products.
Expanding Growth Engines
CEO Laurence Fink said the results reflect BlackRock’s “multiple sources of growth” and its ability to attract capital across asset classes and geographies. “Our expansion into technology and data analytics, combined with our public-private investment platform, is already driving landmark fundraising and deal flow,” Fink said.
The firm’s adjusted operating income rose 23% to $2.61 billion, while operating margins remained strong despite higher integration and technology costs tied to recent acquisitions. Fink added that clients are increasingly seeking “deeper, more dynamic partnerships” that span both public and private assets – a sign that institutional demand is evolving toward full-service investment platforms.
Record Inflows and Diversified Momentum
BlackRock’s iShares ETF business and cash strategies continued to lead growth, with AUM in those segments exceeding $5 trillion and $1 trillion, respectively. Analysts said those results demonstrate the firm’s dominance in both liquidity management and long-term passive investing.
The firm’s diversification also continues to pay off. Alongside record ETF inflows, BlackRock reported higher subscription and technology revenues from its Aladdin platform, which remains a key driver of recurring income and client engagement.
“We’re entering our seasonally strongest fourth quarter with building momentum and a fully unified platform,” Fink said, pointing to a robust pipeline of new mandates and sustained appetite for infrastructure and private credit investments.
As previously covered, BlackRock’s broad exposure – spanning ETFs, private markets, and digital infrastructure – positions it to benefit from easing monetary policy and a rebound in global capital markets. The firm’s Q3 results reaffirm its standing as the anchor of the modern investment ecosystem, managing more assets than any competitor in history.
