BlackRock Inc shares jumped almost 7% after it unveiled a record second-quarter (Q2) performance on the back of a surge in assets under management, strong client inflows and continued momentum in exchange-traded funds.
The world’s largest asset manager said net income was US$1.91 billion (A$2.27 billion) in the three months ended 30 June 2026, 20% higher than in the previous corresponding period (pcp).
Diluted earnings per share (EPS) also increased 20% to 12.19 cents on revenue which rose 31% to $7.08 billion as assets under management surged 22% to a record $15.34 trillion in the June quarter.
BlackRock reported record first half net inflows of $321 billion, including $192 billion in the second quarter, which were broadly-based and driven by exchange traded funds (ETFs), private markets, active fixed income and systematic equity strategies.
Chairman and chief executive Larry Fink said the company was benefiting from strong market fundamentals and deeper relationships with clients around the world.
“Market fundamentals are strong and well supported, with higher margins and earnings momentum catalysed by new technology. The scale and depth of our client relationships globally have never been greater,” he said in an earnings release.
Adjusted EPS in Q2 of $13.91 beat market expectations of $12.59, according to estimates compiled by LSEG and reported by Reuters in this article.
Fink said BlackRock’s performance was being powered by the scale and depth of its relationships around the world as clients turned to the firm for insights and opportunities.
“BlackRock is simultaneously a leading public markets manager, a scaled private markets platform, and a global technology company,” he said.
The second quarter adjusted operating margin was 45.9%, the highest in almost five years.
BlackRock shares (NYSE: BLK) shares closed $67.96 (6.63%) higher at $1,093.40 on Wednesday, capitalising the company at $178.05 billion.
