10-QPeriod: Q3 FY2025

Brookfield Asset Management Ltd. Quarterly Report for Q3 Ended Sep 30, 2025

Filed November 10, 2025For Securities:BAM

Summary

Brookfield Asset Management Ltd. (BAM) reported solid financial performance for the nine months ended September 30, 2025. Total revenues reached $3.4 billion, up 17% year-over-year, driven by strong growth in base management and advisory fees across all segments, particularly in infrastructure and credit. Net income attributable to common stockholders was $1.9 billion, a significant increase from $1.5 billion in the prior year period, reflecting successful capital deployment and growing fee-bearing assets. The company's Fee-Bearing Capital also saw substantial growth, reaching $581 billion, up 8% year-to-date, highlighting continued investor confidence and the expansion of its asset management platform. Operationally, BAM completed the significant 2025 Arrangement in February 2025, which has been accounted for as a reverse asset acquisition. The company also executed several strategic initiatives, including investments in Castlelake and Primary Wave, and announced its intention to acquire the remaining common equity interests in Oaktree, expected to close in the first half of 2026. These activities underscore BAM's commitment to strategic growth and enhancing its market position in the alternative asset management sector.

Financial Highlights

24 data points
Beta

Revenue

$1.25B

Net Income

$692.00M

55.3% Net Margin

Total Assets

$16.52B

Cash & Equivalents

$1.06B

Free Cash Flow

$745.00M

Financial Statements
Beta
Revenue$1.25B
Operating Expenses$495.00M
Net Income$692.00M

Key Highlights

  • 1Total revenues increased by 17% to $3.4 billion for the nine months ended September 30, 2025, compared to the prior year period.
  • 2Net income attributable to common stockholders rose to $1.9 billion for the nine months ended September 30, 2025, up from $1.5 billion in the same period last year.
  • 3Fee-Bearing Capital grew by 8% year-to-date to $581 billion as of September 30, 2025, indicating strong fundraising and investor inflows.
  • 4The company completed the 2025 Arrangement in February 2025, a significant corporate restructuring that has been accounted for as a reverse asset acquisition.
  • 5BAM made strategic investments in Castlelake and Primary Wave, and announced a proposed transaction to acquire the remaining interests in Oaktree, expected to close in H1 2026.
  • 6Base management and advisory fees saw a 15% increase year-over-year for the nine-month period, reflecting growth in assets under management.
  • 7Corporate liquidity stood at $2.6 billion as of September 30, 2025, comprising cash, financial assets, and undrawn credit facilities, providing ample financial flexibility.

Frequently Asked Questions

Revenue growth was primarily driven by a 15% increase in base management and advisory fees, totaling $2.5 billion, reflecting strong fundraising across multiple fund vintages and increased fee-bearing capital in the infrastructure, credit, and renewable power segments. Additionally, higher incentive fees, particularly from Brookfield Infrastructure Partners (BIP) and Brookfield Renewable Partners (BEP), contributed to the overall revenue increase.

The 2025 Arrangement, completed in February 2025, was accounted for as a reverse asset acquisition. This means that the historical financial statements of Brookfield Asset Management ULC (the 'Predecessor') are treated as the historical financial statements of BAM. Following the arrangement, BAM owns 100% of the Asset Management Company, and Brookfield Corporation (BN) holds a significant ownership stake in BAM. This transaction has been reflected in the equity section and related disclosures of the condensed consolidated financial statements.

As of September 30, 2025, BAM reported corporate liquidity of $2.6 billion. This consists of $1.2 billion in cash and short-term financial assets, and $1.4 billion in undrawn credit facilities. This liquidity is available to fund strategic transactions and seed new investment products.

Subsequent to the period end, BAM acquired a stake in Angel Oak on October 1, 2025, which will be accounted for as an equity method investment. Furthermore, BAM and BN announced a proposed transaction to acquire the remaining common equity interests in Oaktree, expected to close in the first half of 2026, which will result in Oaktree being fully consolidated within BAM's financial statements.