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Free Research Report as BlackRock’s Q4 Results Outshone Forecasts

LONDON, UK / ACCESSWIRE / January 19, 2018 / Active-Investors.com has just released a free earnings report on BlackRock, Inc. (NYSE: BLK). If you want access to this report all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=BLK. The Company posted its financial results on January 12, 2018, for the fourth quarter fiscal 2017 (Q4 FY17) and for the full fiscal year 2017 (FY17). The New York-based Company's revenues and adjusted diluted EPS grew 20% and 21% y-o-y, respectively; outperforming market consensus forecasts. Register today and get access to over 1000 Free Research Reports by joining our site below:

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Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, BlackRock most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:

www.active-investors.com/registration-sg/?symbol=BLK

Earnings Highlights and Summary

During Q4 FY17, BlackRock's total revenue was $3.47 billion compared to $2.89 billion in Q4 FY16, topping market consensus estimates of $3.35 billion. The Company's y-o-y revenue growth was attributed to rises in base fees, performance fees, and technology and risk management revenue. Meanwhile, the Company's revenue used for operating margin measurement rose to $3.33 billion for Q4 FY17, from $2.77 billion in the prior year's same quarter.

The investment Company reported a GAAP net income of $2.30 billion, or $14.07 per diluted share, in Q4 FY17 compared to $851 million, or $5.13 per diluted share, in Q4 FY16. Furthermore, the Company's adjusted net income increased to $1.02 billion, or $6.24 per diluted share, during the reported quarter from $852 million, or $5.14 per diluted share, in Q4 FY16. Wall Street had expected the Company to report an adjusted net income of $6.08 per diluted share.

BlackRock's total revenue was $12.49 billion for the year ended December 31, 2017, up 12% from $11.16 billion in the prior year. The Company's GAAP net income increased to $4.97 billion, or $30.23 per diluted share, during FY17 from $3.17 billion, or $19.04 per diluted share, in the last year. Additionally, the Company's adjusted net income was $3.72 billion, or $22.60 per diluted share, for FY17 which came in above the $3.21 billion, or $19.29 per diluted share, posted in FY16.

Earnings Metrics

During the reported quarter, the Company reported total expenses of $1.98 billion compared to $1.67 billion in Q4 FY16. The Company reported an increase in employee compensation and benefits of $119 million y-o-y in Q4 FY17, primarily reflecting higher incentive compensation, driven by higher performance fees, higher operating income, and higher headcount. BlackRock's general and administration (G&A) expenses also grew $93 million y-o-y in Q4 FY17, due to higher technology and occupancy expenses and professional services, as well as professional services fees. Meanwhile, the Company's adjusted operating income grew to $1.49 billion, or 44.8% of total revenues, in Q4 FY17 from $1.23 billion, or 44.4% of total revenues, in the year ago comparable quarter.

BlackRock had assets under management amounting to $6.29 trillion as on December 31, 2017, compared to $5.15 trillion at the end on Q4 FY16. The Company reported total net flows of $102.93 billion in Q4 FY17 compared to $98.05 billion in Q4 FY16.

Business by Client Type

Retail - The long-term net inflows from Retail were $11.39 billion in Q4 FY17, which included net inflows of $7.40 billion from the United States and $4.0 billion internationally. The fixed income net inflows came in at $8.01 billion, led by net inflows into unconstrained, short duration, and municipals categories. Furthermore, multi-asset net inflows of $1.99 billion largely constituted of Multi-Asset Income fund family, paced by flows into international equities.

iShares ETFs - In Q4 FY17, iShares ETFs long-term net inflows stood at $54.80 billion, primarily attributable to strength in iShares Core, precision exposure, and financial instrument ETFs. The equity net inflows were $44.89 billion, whereas fixed income net inflows came in $8.67 billion. Furthermore, Commodities iShares generated $1.0 billion of net inflows during the reported quarter.

Institutional Active - Institutional Active long-term net inflows of $2.19 billion during Q4 FY17 were led by multi-asset net inflows of $2.91 billion and fixed income net inflows of $2.31 billion. However, there was equity net outflows of $1.24 billion in Q4 FY17 primarily because of fundamental active equities. Moreover, alternatives also reported net outflows of $1.80 billion, which consisted of $3.9 billion due to return of capital.

Institutional Index - BlackRock's Institutional Index long-term net inflows were $12.20 billion in Q4 FY17, which included fixed income net inflows of $23.96 billion, driven by demand for liability-driven solutions. Meanwhile, the long-term net inflows were partially offset by equity net outflows of $9.01 billion.

Stock Performance Snapshot

January 18, 2018 - At Thursday's closing bell, BlackRock's stock slightly rose 0.47%, ending the trading session at $579.22.

Volume traded for the day: 819.78 thousand shares, which was above the 3-month average volume of 473.72 thousand shares.

Stock performance in the last month – up 13.16%; previous three-month period – up 21.80%; past twelve-month period – up 53.23%; and year-to-date – up 12.75%

After yesterday's close, BlackRock's market cap was at $92.08 billion.

Price to Earnings (P/E) ratio was at 27.12.

The stock has a dividend yield of 1.73%.

The stock is part of the Financial sector, categorized under the Asset Management industry.

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