BlackRock (BLK) Misses Q4 EPS by 5c

BlackRock (NYSE: BLK) reported Q4 EPS of $4.75, $0.05 worse than the analyst estimate of $4.80. Revenue for the quarter came in at $2.86 billion versus the consensus estimate of $2.84 billion.

AUM was $ 4,645,412 at the end of Q4, versus $ 4,651,895 in the same period last year.

“Our full year 2015 results once again demonstrate that in times of global macro-uncertainty and market volatility, BlackRock’s diverse business model can generate strong and consistent financial results,” commented Laurence D. Fink, Chairman and CEO of BlackRock.

“Annual long-term net inflows of $152 billion, representing 4% organic asset growth, drove year-over-year increases in revenue, operating income and earnings per share, and reflected positive flows across the breadth of our active and index & iShares platform, including flows of more than $1 billion into 65 distinct Retail and iShares funds.

“BlackRock is differentiated by its ability to provide active and index strategies, alternative investments, factor-based and hybrid client solutions through a single platform. These broad-based capabilities, supported by consistent investment performance and Aladdin risk management and technology, uniquely position BlackRock to help our clients solve their increasingly complex investment challenges and build upon our position as an industry thought leader.

“In 2015, consistent alpha generation at BlackRock drove both retail and institutional client engagement across our active platform, generating $61 billion of active net inflows. At December 31, 2015, 91% of our active taxable fixed income assets and 90% of our scientific active equity assets were above benchmark or peer median for the 3-year period and we continue to improve our fundamental active equity performance with 76% of fundamental active equity assets above benchmark or peer median for the 1-year period.

“BlackRock’s iShares franchise generated $130 billion of net inflows during the year and captured the #1 share of flows globally, in the US and in Europe in 2015. iShares led the industry with $50 billion in fixed income ETF flows, as clients increasingly recognize that the benefits of ETFs – including liquidity, low cost and tax efficiency – apply to fixed income products just as they do to equities.

“Anticipating change, and having the willingness and ability to adapt and invest for the future, is a crucial part of meeting our fiduciary commitment to our clients. Despite the volatile market environment, our financial resilience allowed us to make significant long-term investments in our business to position us for future growth. These investments included building out capabilities in alternatives, factor-based strategies, big data and retail technology, as well as in areas like infrastructure and impact investing, where we are working with our clients to create positive societal outcomes.

“BlackRock’s 2015 results reflect the strength of our differentiated business model and the ability of our team to execute in a challenging market environment. The leadership enhancements we announced earlier this week once again demonstrate the deliberate approach that BlackRock and its Board take to develop our talent – regularly evolving the organization to broaden the team’s experience, to anticipate the needs of clients and to position us for future growth. I want to thank all BlackRock employees for their unwavering dedication to creating better financial futures for our clients and continuing to create long-term value for our shareholders.”

For earnings history and earnings-related data on BlackRock (BLK) click here.

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