BlackRock, a prominent investor in Bitcoin (BTC), continues to make strides in its financial performance, achieving another successful quarter in terms of income and managed assets. On April 12, the company released its financial results for the first quarter of 2024, revealing a record-breaking $10.5 trillion in assets under management (AUM), which is an increase of $1.4 trillion from the previous year. Diluted earnings per share also experienced a significant surge, rising from $7.9 million in Q1 2023 to $9.81 million in Q1 2024. This increase can be attributed to higher non-operating income and a lower effective tax rate during the current quarter. Net income also saw growth, increasing from $1.2 billion in Q1 2023 to approximately $1.5 billion in Q1 2024.
BlackRock’s financial report also disclosed that the company issued $3 billion in debt in order to partially fund the cash consideration for the planned acquisition of Global Infrastructure Partners (GIP), an infrastructure investment fund that focuses on equity and selected debt investments. This acquisition was previously announced in BlackRock’s Q4 2023 report, with the aim of establishing a new infrastructure investment platform.
The remarkable growth in AUM for BlackRock coincided with the company handling $76 billion in quarterly long-term net inflows, which accounts for nearly 40% of the total inflows for the entire year of 2023. BlackRock CEO Larry Fink expressed satisfaction with the company’s progress, noting the increasing client activity and the potential for significant wealth, institutional, and Aladdin mandates. Fink also highlighted the growth opportunities in infrastructure, technology, retirement, and whole portfolio solutions.
In addition to its success in traditional investments, BlackRock is also a major player in the cryptocurrency industry. The company operates the iShares Bitcoin Trust (IBIT), one of the largest Bitcoin exchange-traded funds in the world. Since its launch in January 2024, IBIT has accumulated 266,580 BTC, equivalent to $18.5 billion as of April 10.
Fink, who is well-known within the crypto community as a strong supporter of Bitcoin, reiterated his bullish stance on the cryptocurrency in March 2024. He emphasized the long-term potential of Bitcoin’s success, particularly in light of the rapid growth of IBIT. Fink stated that IBIT is the fastest-growing ETF in the history of ETFs, surpassing all others in terms of asset accumulation.
Overall, BlackRock’s financial performance showcases its continued progress and solidifies its position as a major player in both traditional and digital investments.