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Last Update: 16-Apr-13 07:46 ET
Blackrock shares little changed following beat on eaernings
BlackRock (BLK $255.) reported first quarter earnings of $3.65 per share, ex items, $0.05 better than the Capital IQ Consensus Estimate of $3.60, while revenues rose 8.9% year/year to $2.45 billion versus the $2.44 billion consensus. "Our strong first quarter financial results, with revenue up 9% and EPS up 16% year-over-year, once again demonstrate the strength of our diversified business model...Our $39.4 bln in long-dated net new business for the quarter is indicative of positive momentum across all client channels and was driven by the strategic themes we continue to focus on: ETFs, retirement, income, multi-asset class products, and alternatives." AUM totaled a record $3.936 trln at March 31, 2013, up 4% from December 31, 2012 and up 7% from a year ago. For the quarter, net inflows in long-term products totaled $39.4 bln, reflecting positive net new business across all client types. Equity, multi-asset class and core alternatives net inflows of $33.7 bln, $9.0 bln and $1.5 bln, respectively, were slightly offset by fixed income and alternatives currency and commodities net outflows of $2.6 bln and $2.2 bln, respectively. Total net inflows of $40.5 bln also included advisory and cash management net inflows of $0.9 bln and $0.2 bln, respectively. iShares AUM of $802.8 bln included net long-term inflows of $25.6 bln, which were dominated by net long-term inflows of $26.3 bln into equity funds with early net inflows into emerging markets products reverting to broad market and large cap equities toward the latter part of the quarter as investor sentiment toward the domestic market proved resilient. Segments: Investment advisory, administration fees and securities lending revenue of $2.1 bln in first quarter 2013 increased $152 mln from $2.0 bln in first quarter 2012. Performance fees were $108 mln in first quarter 2013 compared with $80 mln in first quarter 2012. BlackRock Solutions and advisory revenue totaled $126 mln in first quarter 2013 compared with $123 mln in first quarter 2012.
