Blackstone Inc. (NYSE:BX) shares were trading lower Thursday after the firm reported first-quarter results that topped Wall Street expectations.

Details

Distributable earnings per share rose to $1.36, up 25% from a year earlier and above the analyst consensus estimate of $1.35. Total distributable earnings increased 25% year over year to $1.76 billion.

Segment revenue climbed 24% to $3.433 billion, exceeding estimates of $3.397 billion. Fee-related earnings rose 23% to $1.55 billion. Within segments, fee-related earnings increased 13% in real estate, declined 4% in credit and insurance, surged 59% in private equity and rose 28% in multi-asset investing.

Net accrued performance revenue increased to $7.0 billion from $6.4 billion a year earlier.

Assets under management grew 12% to $1.30 trillion, supported by inflows of $68.5 billion during the quarter.

Dividend & Buyback

The company declared a quarterly dividend of $1.16 per share, payable May 11 to shareholders of record as of May 4, 2026. Blackstone also repurchased 0.2 million shares during the period.

As of March 31, 2026, the firm held $11.4 billion in total cash, cash equivalents, corporate treasury and other investments.

Management Commentary

Chief Executive Officer Stephen A. Schwarzman said the company delivered “outstanding first-quarter results despite the turbulent environment,” citing nearly $70 billion of inflows and broad-based appreciation across flagship strategies. He added that the firm’s “all-weather model” positions it to navigate disruption while deploying capital into attractive opportunities.

Earnings Call Highlights

Blackstone's management highlighted strong underlying momentum heading into 2026, with management fees outside real estate rising 15% year over year and continued scaling across key platforms like infrastructure and perpetual strategies.

Growth is expected to accelerate in the second half of the year, driven by new flagship funds (including private equity, energy transition, and strategic partners funds) coming out of fee holidays, though near-term fee growth will remain moderate.

The firm acknowledged headwinds in real estate and some deceleration in credit, but expects these to stabilize mid-year and improve thereafter.

Management emphasized the resilience of its capital-light model, which provides flexibility, minimal balance sheet risk, and consistent capital returns.

In retail channels, redemption activity has been concentrated among larger investors, while smaller investors remain sticky, and the firm sees potential to gain market share as weaker competitors exit.

On macro and geopolitical risks, including the Middle East conflict, Blackstone reported continued fundraising resilience and ongoing investment activity, supported by its diversified global base.

The firm is also actively managing AI-related risks across portfolios, with relatively limited exposure to vulnerable sectors and increased focus on adapting portfolio companies.

Longer term, management sees significant growth opportunities in private markets, including expansion into retirement channels like 401(k)s, where regulatory changes could unlock new investor access.

BX Price Action: Blackstone shares are down 5.28% at $122.88 during premarket trading on Thursday, according to Benzinga Pro data.

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