Earnings
Home›Earnings›Results›Blackstone profit jumps 26% on AI bets, but stock lags…
Blackstone profit jumps 26% on AI bets, but stock lags this year
Profit available to shareholders rose to $1.52 a share, but base management fees were lighter than expected and private credit profit fell 6% to $373 million.
Blackstone Inc. posted a sharp earnings beat as profit available to shareholders rose 26% to $1.52 a share, ahead of estimates clustered around $1.33 to $1.35, according to Yahoo Finance.
The firm also reported assets under management increasing 11% to $1.35 trillion, while revenue jumped 36% to $5.04 billion, with its strongest investments largely tied to artificial intelligence.
Despite the results, Blackstone shares were down about 20% year to date as of July 23, with analysts pointing to softer areas including base management fees and a private credit segment that posted its second straight quarter of falling profit, down 6% to $373 million.
Yahoo Finance also reported that the private credit business saw a flagship retail fund pull in $1 billion from wealthy individual investors this quarter, down from $1.9 billion last quarter and $3.7 billion a year ago. Blackstone President Jon Gray said withdrawal requests have slowed materially so far this quarter, and the firm highlighted higher transaction fees tied to infrastructure, including a record $321 million in the quarter.