BlackRock stock jumps 5% as Q2 earnings, AUM and inflows top estimates

BlackRock (BLK) shares climbed in premarket trading on Wednesday after the world's largest asset manager reported second-quarter earnings, revenue and assets under management that exceeded Wall Street expectations.

The company reported adjusted net income of US$2.3 billion (approx. $4 billion) for the quarter, up 22% from a year earlier, while assets under management (AUM) rose 22% year over year to a record US$15.3 trillion (approx. $26.8 trillion), marking the first time the firm has crossed the $15 trillion milestone.

Adjusted earnings per share came in at $13.91, well above analysts' estimates of about $12.65. 

Revenue increased 31% from the prior year to US$7.1 billion (approx. $12.4 billion), beating consensus expectations of roughly US$6.7 billion (approx. $11.8 billion).

BlackRock shares rose 5% in premarket trading following the results.

Earnings and revenue beat Wall Street expectations

BlackRock delivered stronger-than-expected financial results across its key metrics, extending the momentum seen earlier this year.

Revenue growth was supported by growth across the firm's investment businesses and contributions from its private markets platform. 

The company also reported adjusted net income of US$2.3 billion (approx. $4 billion), reflecting continued growth in profitability.

Chief Executive Officer Larry Fink said the firm's operating environment remains favorable.

“Market fundamentals are strong and well supported, with higher margins and earnings momentum catalyzed by new technology,” Fink said in a statement. “Flows in the first six months of 2026 more than doubled year-over-year.”

He added: “Our momentum is accelerating, and I’ve never been more optimistic about the growth ahead.”

Record inflows push assets above $15 trillion

Client inflows remained a major driver of BlackRock's growth during the quarter.

The firm attracted US$192 billion (approx. $336 billion) of net client inflows during the second quarter, while total long-term net inflows reached US$199 billion (approx. $348.3 billion), exceeding the US$170 billion (approx. $297.5 billion) average estimate compiled by Bloomberg.

BlackRock's exchange-traded fund business accounted for the majority of new client money, bringing in US$178 billion (approx. $311.5 billion) of net inflows.

Actively managed investment strategies also attracted strong demand, with investors adding US$53 billion (approx. $92.8 billion) on a net basis.

For the first half of 2026, BlackRock reported record net inflows of US$321 billion (approx. $561.8 billion).

The growth lifted total assets under management to US$15.3 trillion (approx. $26.8 trillion), up from US$13.9 trillion (approx. $24.3 trillion) at the end of the first quarter and US$12.5 trillion (approx. $21.9 trillion) a year earlier.

Private markets continue driving growth

BlackRock also continued expanding its higher-margin private markets and alternatives businesses.

The company reported 8% growth in organic base fees, marking the eighth consecutive quarter in which organic base fee growth exceeded 5%. 

Performance fees increased by US$211 million (approx. $369.3 million) compared with the prior-year period, primarily due to stronger revenue from alternative investment products.

Alternative and liquid private assets generated US$22 billion (approx. $38.5 billion) of inflows during the quarter, compared with US$14.6 billion (approx. $25.6 billion) in the previous quarter.

Private markets accounted for US$15.4 billion (approx. $27 billion) of those inflows.

BlackRock said revenue also benefited from fees associated with its acquisition of HPS Investment Partners, the private credit firm it agreed to acquire for US$12 billion (approx. $21 billion) in 2025.

Reflecting confidence in its growth outlook, the company increased its planned share repurchases for 2026 to US$2 billion (approx. $3.5 billion).