BlackRock, Inc. has released its financial results for the first quarter of 2025, noting a diluted earnings per share (EPS) of $9.64, or $11.30 when adjusted. The company experienced $84 billion in total net inflows for the quarter, marking a 3% annualized organic asset growth. This growth was largely driven by iShares ETFs, private markets, and active net inflows.
BlackRock saw higher annualized organic base fee growth within the quarter, supported by private markets, ETFs, and systematic active strategies. Revenue for the quarter increased by 12% year-over-year. This was attributed to positive market impacts, organic base fee growth, fees associated with the Global Investment Performance Standards (GIP) transaction, and increased technology services and subscription revenue. However, this was partially offset by lower performance fees.
The company's technology services and subscription revenue rose by 16% year-over-year. This increase was largely due to continuous momentum in Aladdin's performance and the partial effects of the Preqin transaction, finalized on March 3, 2025.
Operating income under generally accepted accounting principles (GAAP) saw a slight increase of 0.3% year-over-year, but there was an 8% decrease in GAAP diluted EPS. This decrease was due to acquisition-related costs, which were excluded from the adjusted results. BlackRock's adjusted operating income grew by 14% year-over-year.
The firm also reported a 15% increase in year-over-year as adjusted EPS, aided by a lower effective tax rate. However, this was slightly offset by decreased non-operating income and a higher diluted share count within the current quarter.
In terms of shareholder returns, BlackRock executed $375 million in share repurchases and implemented a 2% increase in its quarterly cash dividend, raising it to $5.21 per share.