Early Access

10-QPeriod: Q1 FY2016

Blackstone Inc. Quarterly Report for Q1 Ended Mar 31, 2016

Filed May 5, 2016For Securities:BX

Summary

Blackstone Inc. (BX) reported its first quarter 2016 results, showing a significant decrease in total revenues to $932.4 million from $2.5 billion in the prior year's quarter. This decline was primarily driven by a substantial drop in Performance Fees, down 81% to $314.5 million, largely due to lower unrealized carried interest across its Private Equity and Real Estate segments. Consequently, Net Income Attributable to The Blackstone Group L.P. fell sharply by 76% to $150.0 million, or $0.23 per diluted common unit. Despite the lower revenue and net income, Blackstone's Fee Related Earnings (FRE) remained robust, indicating the stability of its management fee-based business. Fee-earning assets under management saw a slight decrease to $244.5 billion from $246.1 billion, impacted by realizations and outflows, though partially offset by inflows and market appreciation in certain segments like Real Estate. The company maintained a strong liquidity position with $1.4 billion in cash and cash equivalents, underscoring its financial resilience amidst market volatility.

Financial Highlights

33 data points
Beta

Revenue

$932.35M

Net Income

$159.75M

0.2% Net Margin

EPS (Diluted)

$0.23

Total Assets

$22.05B

Cash & Equivalents

$1.37B

Free Cash Flow

$210.29M

Financial Statements
Beta
Revenue$932.35M
Operating Expenses-$617.71M
Interest Expense$37.36M
Net Income$159.75M
EPS (Basic)$0.23
EPS (Diluted)$0.23
Shares Outstanding (Basic)644.90M
Shares Outstanding (Diluted)1.19B

Key Highlights

  • 1Total Revenues decreased by 63% year-over-year to $932.4 million, primarily due to a significant reduction in Performance Fees.
  • 2Performance Fees declined by 81% to $314.5 million, reflecting lower appreciation in investment holdings across Private Equity and Real Estate segments.
  • 3Net Income Attributable to The Blackstone Group L.P. decreased by 76% to $150.0 million, or $0.23 per diluted common unit.
  • 4Fee-Earning Assets Under Management decreased slightly to $244.5 billion from $246.1 billion, impacted by realizations and outflows.
  • 5Total Assets Under Management increased by 11% to $343.7 billion, driven by inflows and market appreciation, particularly in Real Estate.
  • 6The company maintained a strong liquidity position with $1.4 billion in cash and cash equivalents and $2.0 billion in Treasury Cash Management Strategies.
  • 7Operating expenses decreased by 46% to $617.7 million, largely due to lower Performance Fee Compensation, reflecting the lower Performance Fees.

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