Blackstone (BX) Lags on Q1 Earnings, Revenues & Costs Rise

Zacks Equity Research

Have you been eager to see how Blackstone BX performed in Q1 in comparison with the market expectations? Let’s quickly scan through the key facts from this New York-based premier global investment and advisory firm’s earnings release this morning:

An Earnings Miss

Blackstone came out with distributable earnings of 44 cents per share, which missed the Zacks Consensus Estimate of 52 cents.

Rise in expenses hurt results.

How Was the Estimate Revision Trend?

You should note that the earnings estimate revisions for Blackstone depicted pessimistic stance prior to the earnings release. The Zacks Consensus Estimate has revised 7.1% lower over the last seven days.

However, Blackstone has an impressive earnings surprise history. Before posting the earnings lag in Q1, the company delivered positive surprises in three of the four trailing quarters.

The Blackstone Group L.P. Price and Consensus

The Blackstone Group L.P. Price and Consensus | The Blackstone Group L.P. Quote

Revenue Came In Better Than Expected

Blackstone posted total revenues (on a GAAP basis) of $2.02 billion, which outpaced the Zacks Consensus Estimate of $1.63 billion. Also, the figure increased 14% from the prior-year quarter.

Key Stats to Note:

  • Total assets under management stood at $511.8 billion as of Mar 31, 2019.

  • Inflows were $42.9 billion in the quarter.

  • Total Dry Powder was $132.6 billion.

  • The company announced that it will convert itself from a publicly traded partnership to a corporation, effective Jul 1, 2019.


What Zacks Rank Says

Blackstone currently carries a Zacks Rank #5 (Strong Sell). However, since the latest earnings performance is yet to be reflected in the estimate revisions, the rank is subject to change. While things apparently look unfavorable, it all depends on what sense the just-released report makes to the analysts.

(You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.)

Check back later for our full write up on this Blackstone earnings report!

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