10-KPeriod: FY2019

Blackstone Inc. Annual Report, Year Ended Dec 31, 2019

Filed February 28, 2020For Securities:BX

Summary

Blackstone Inc. (BX) reported robust financial performance for the fiscal year ending December 31, 2019. The company, a leading global investment firm, saw its total assets under management (AUM) grow to $571.1 billion. Revenues increased by 7% to $7.3 billion, primarily driven by strong performance in its Investment Income and Management and Advisory Fees segments. Net income attributable to The Blackstone Group Inc. saw a significant increase of 33% to $2.05 billion. The company benefited from growth across its four key segments: Real Estate, Private Equity, Hedge Fund Solutions, and Credit, with notable increases in Fee Related Earnings and Net Realizations. Blackstone's strong financial footing is supported by ample liquidity, with $2.2 billion in cash and cash equivalents and $2.4 billion in corporate treasury investments as of December 31, 2019. The company also continued its share repurchase program, demonstrating a commitment to returning value to shareholders.

Financial Highlights

41 data points
Beta

Revenue

$7.34B

Net Income

$2.05B

27.9% Net Margin

EPS (Diluted)

$3.03

Total Assets

$32.59B

Cash & Equivalents

$2.17B

Free Cash Flow

$1.90B

Financial Statements
Beta
Revenue$7.34B
Operating Expenses$3.96B
Interest Expense$199.65M
Net Income$2.05B
EPS (Basic)$3.03
EPS (Diluted)$3.03
Shares Outstanding (Basic)675.90M
Shares Outstanding (Diluted)676.17M

Key Highlights

  • 1Total Assets Under Management (AUM) grew to $571.1 billion by December 31, 2019.
  • 2Total Revenues increased by 7% to $7.3 billion in 2019, driven by growth in Investment Income and Management and Advisory Fees.
  • 3Net Income Attributable to The Blackstone Group Inc. rose by 33% to $2.05 billion.
  • 4Fee Related Earnings increased by 18% in the Real Estate segment and 50% in the Private Equity segment, demonstrating strong recurring revenue generation.
  • 5Net Realizations showed a 2% increase in Real Estate and a 229% increase in Hedge Fund Solutions, indicating successful investment exits.
  • 6Blackstone maintained a strong liquidity position with $2.2 billion in cash and cash equivalents and $2.4 billion in corporate treasury investments as of year-end 2019.
  • 7The company repurchased $561.9 million of Class A common stock during 2019, reflecting a commitment to shareholder value.

Frequently Asked Questions

As of December 31, 2019, Blackstone's total Assets Under Management (AUM) reached $571.1 billion.

Blackstone's total revenues increased by 7% from $6.8 billion in 2018 to $7.3 billion in 2019.

The increase in Investment Income was primarily driven by higher net appreciation of investment holdings in its Real Estate segment (BREP opportunistic funds), stronger returns in its Credit segment, and higher net appreciation of investments in its Hedge Fund Solutions segment.

Blackstone's intention is to pay a quarterly dividend representing approximately 85% of its share of Distributable Earnings, subject to adjustments by the board of directors for business needs, investments, legal compliance, debt instruments, future cash requirements, and other factors. The declaration and payment of dividends remain at the sole discretion of the board.