10-QPeriod: Q1 FY2026

Brookfield Asset Management Ltd. Quarterly Report for Q1 Ended Mar 31, 2026

Filed May 8, 2026For Securities:BAM

Summary

Brookfield Asset Management Ltd. (BAM) reported a strong first quarter for 2026, with total revenues increasing by 24% year-over-year to $1.34 billion. This growth was primarily driven by a significant increase in "Other Revenues," largely due to higher recoveries of compensation costs from BN, and a notable rise in investment income, particularly from unrealized carried interest allocations. Net income attributable to common stockholders reached $617 million, a 6% increase from the prior year's quarter, reflecting improved operational performance. The company's Fee-Bearing Capital also saw a healthy increase to $613.8 billion, up 2% from the previous quarter, indicating continued growth in assets under management across its diverse strategies. The Credit segment remains the largest contributor to Fee-Bearing Capital, followed by Real Estate and Infrastructure. Despite increased expenses, particularly in compensation and benefits, BAM demonstrated robust profitability and maintained a strong liquidity position with $2.5 billion in deployable capital at quarter-end.

Financial Highlights

28 data points
Beta

Revenue

$990.00M

Net Income

$586.00M

59.2% Net Margin

Total Assets

$17.94B

Cash & Equivalents

$1.04B

Free Cash Flow

$338.00M

Financial Statements
Beta
Revenue$990.00M
Operating Expenses$733.00M
Net Income$586.00M

Key Highlights

  • 1Total revenues increased by 24% to $1.34 billion for the three months ended March 31, 2026, compared to $1.08 billion in the prior year.
  • 2Net income attributable to common stockholders rose by 6% to $617 million, compared to $581 million in the prior year's period.
  • 3Fee-Bearing Capital grew by 2% to $613.8 billion as of March 31, 2026, from $602.7 billion as of December 31, 2025.
  • 4Other Revenues surged by 97% to $207 million, primarily driven by higher recoveries related to share and performance-based compensation.
  • 5Unrealized carried interest allocations significantly increased to $96 million, up from $2 million in the prior year's period, reflecting improved fund valuations.
  • 6Corporate liquidity stood strong at $2.5 billion as of March 31, 2026, providing ample resources for strategic initiatives.
  • 7Expenses increased by 46% to $733 million, largely due to higher compensation and benefits and interest expenses.

Frequently Asked Questions

Other Revenues increased by 97% to $207 million primarily due to higher recoveries of $79 million related to share and performance-based compensation from BN, as well as newly issued share-based compensation awards and modifications to BN DSU awards.

Carried interest allocations, a key performance metric, saw a substantial increase in unrealized gains, reaching $96 million compared to $2 million in the prior year's period. This was driven by improved fund valuations across various strategies, particularly in global transition, private equity, and real estate funds. Realized carried interest was $16 million.

BAM maintains a strong liquidity position. As of March 31, 2026, corporate liquidity was $2.5 billion, comprising $1.2 billion in cash and short-term financial assets and $1.4 billion in undrawn credit facilities. This provides ample resources for strategic initiatives and new product seeding.

Investments of consolidated funds increased significantly by $1.9 billion compared to December 31, 2025. This substantial growth was primarily driven by the consolidation of BPE and BMEP during the period, where BAM holds sufficient interest to require consolidation.