01—Abstract
Summary
Summary of the 8-K filed January 30, 2025. Cited figures are marked; the original filing is the authoritative source.
Blackstone (BX) reported fourth quarter and full year 2024 results on January 30, 2025, with management describing 4Q24 as one of the best quarters in the firm's history.
GAAP net income attributable to Blackstone Inc. was $704 milliona for the quarter ($0.92 per share) and $2.8 billion for the full year ($3.62 per share), up from $1.39 billion in FY23. The headline driver was performance revenue: GAAP performance allocations were $3.8 billion for FY24 versus $532 million in FY23, reflecting strong realizations and a large fourth-quarter fee-related performance revenue event of $1.4 billion in Total Segments, most notably in Private Equity ($1.2 billion, driven by the Infrastructure three-year crystallization and the first significant BXPE crystallization). The more recurring earnings picture also improved.
Fee Related Earnings (FRE) was $1.8 billionb ($1.50 per share) in 4Q24 and $5.3 billion ($4.32 per share) for the year, up 21%. Distributable Earnings (DE) rose to $2.2 billion ($1.69 per share) in the quarter and $6.0 billion ($4.64 per share) for FY24, up 18%. Capital activity also accelerated: inflows of $57.5 billion in the quarter and $171.5 billion for the year, deployment of $133.9 billion for the year, and realizations of $87.1 billion.
Total AUM reached $1.127 trillionc, up 8%, and fee-earning AUM reached $830.7 billion, up 9%. Investors should weigh the offsetting signals. Net accrued performance revenues declined 10% quarter-over-quarter to $6.3 billion ($5.14 per share) as realized distributions ($1.4 billion in the quarter) outpaced new accruals, and real estate returns were weak, with Opportunistic funds down 3.7% and Core+ up only 0.1% for the year.
The board declared a $1.44d per share dividend payable February 18, 2025, and total capital returned to shareholders for FY24 was $5.6 billion, including $3.95 in dividends per share. The results are preliminary and unaudited, and the company's balance sheet remains strong, with A+/A+ ratings and $9.7 billion in total cash and corporate treasury investments.
02—Key points
Key Highlights
- GAAP net income attributable to Blackstone Inc. was $704 million ($0.92/share) in 4Q24 and $2.8 billion ($3.62/share) for FY24, versus $1.39 billion for FY23.
- Fee Related Earnings reached $1.8 billion ($1.50/share) in 4Q24, up 76% year over year, and $5.3 billion ($4.32/share) for FY24, up 21%.
- Distributable Earnings were $2.2 billion ($1.69/share) in 4Q24, up 56%, and $6.0 billion ($4.64/share) for FY24, up 18%.
- Fee-related performance revenues were $1.4 billion in 4Q24, driven mainly by Private Equity crystallizations in Infrastructure and BXPE, compared with $169 million in 4Q23.
- Capital flows were strong: FY24 inflows of $171.5 billion, deployment of $133.9 billion, and realizations of $87.1 billion, with 4Q24 inflows at a 2.5-year high.
- Total AUM rose 8% to $1.127 trillion and fee-earning AUM rose 9% to $830.7 billion; perpetual capital AUM reached $444.8 billion, up 12%.
- Net accrued performance revenues fell 10% quarter over quarter to $6.3 billion ($5.14/share), and the quarterly dividend is $1.44/share payable February 18, 2025.
03—Questions
Frequently Asked Questions
What drove the large jump in GAAP earnings and performance revenues in 4Q24?
GAAP performance allocations were $1.9 billion in 4Q24 (realized $1.86 billion, unrealized negative $1.35 billion) and $3.8 billion for the full year, versus $532 million in FY23. The increase reflects strong realizations and a fourth-quarter fee-related performance revenue event of $1.4 billion, led by Private Equity crystallizations in Infrastructure and the first significant BXPE crystallization. Because these items are lumpy, investors should focus on FRE and DE for recurring trends.
How did Blackstone's dividend and capital return change?
The board declared a 4Q24 dividend of $1.44 per share, up from $0.94 a year earlier, payable February 18, 2025 to holders of record on February 10, 2025. The company paid $3.95 per share in dividends for FY24, up 18%, and total shareholder distributions for the quarter and year were $1.9 billion and $5.6 billion, respectively. The dividend is set at roughly 85% of DE attributable to common shareholders, subject to board discretion.
Is the performance revenue pipeline still healthy after the quarter?
Net accrued performance revenues were $6.3 billion ($5.14/share), down 10% from $7.0 billion in 3Q24, as $1.4 billion of realized distributions exceeded $675 million of new net accruals. Fund performance was mixed: Corporate Private Equity gained 16.6% and Infrastructure 21.0% for FY24, while Opportunistic Real Estate fell 3.7% and Core+ rose 0.1%. Investors should watch whether real estate weakness persists and whether accruals rebuild in 2025.
What is Blackstone's balance sheet and liquidity position?
At December 31, 2024, Blackstone had $9.7 billion of total cash, cash equivalents, and corporate treasury and other investments, and $19.1 billion of cash and net investments, or $15.61 per share. Outstanding debt at par was $11.4 billion, the company has a $4.3 billion revolver maturing in December 2028, and it holds A+/A+ ratings from S&P and Fitch. In December 2024 it issued $750 million of 10-year notes at a 5.00% coupon.
Are these results final and audited?
No. The company states that all current-period amounts in the presentation are preliminary and unaudited, and totals may not add due to rounding. The information in the press release is furnished under Item 2.02 and not filed. Investors should expect final figures in the Form 10-K for the year ended December 31, 2024.
04—Continue