BlackRock Reports Second Quarter Diluted EPS
of $2.21 ($2.37 as adjusted)
Assets Under Management of $3.151 Trillion at June 30, 2010
July 21, 2010 07:03 AM Eastern Daylight Time
NEW YORK--(EON: Enhanced Online News)--BlackRock, Inc. (NYSE:BLK) today reported second quarter
2010 net income1 of $432 million, up $214 million from a year ago and up $9 million compared to first quarter.
Operating income was $697 million and non-operating expense, net of non-controlling interests, was $32 million.
The operating margin was 34.3%, which included the effect of $32 million of pre-tax integration costs associated
with the acquisition of Barclays Global Investors (“BGI”) on December 1, 2009.
Second quarter net income, as adjusted2, was $2.37 per diluted common share, or $463 million, up 35% compared
to second quarter 2009 diluted EPS of $1.75 and down $0.03 compared to first quarter 2010. Second quarter
2010 included operating income, as adjusted2, of $2.46 per diluted share and net non-operating expense, as
adjusted2, of $0.09 per diluted share. Operating income, as adjusted2, of $741 million improved $439 million, or
145%, compared to second quarter 2009 and $14 million, or 2%, compared to first quarter 2010. Compared to a
year ago, operating results reflect the benefits of the BGI acquisition and improved markets. The operating income
improvement in second quarter compared to first quarter reflects the revenue benefits of our diversified business
model while expenses include continued investments in the business. The operating margin, as adjusted2, for second
quarter 2010 remained strong at 38.8%.
Assets under management (“AUM”) totaled $3.151 trillion at June 30, 2010, down 6% or $213.3 billion since
March 31, 2010. Equity markets suffered sharp declines in the second quarter, with the major market indices down
as much as 13%. The combination of adverse equity markets and foreign exchange movements contributed $194.1
billion or 91% of the total decrease in AUM. In addition, net new busines