BLK · Q1 2026 Earnings

Bullish

BlackRock

Reported April 14, 2026

30-second summary

30-second take: BlackRock printed Q1 FY2026 revenue of $6.70B (+27% YoY, -4.4% QoQ) and non-GAAP EPS of $12.53 on record AUM of $13.89T, with Q1 organic base fee growth annualizing at 8% — management's "highest first quarter in five years" — and 10% on an LTM basis, the seventh consecutive quarter above 5%. iShares delivered a record Q1 with $132B of net inflows and net base fees double the prior-year level; as-adjusted operating margin expanded 130bps YoY to 44.5% (recurring FRE margin +180bps YoY to 45.6%); and management reaffirmed the buyback cadence at "at least $450M per quarter" consistent with January guidance. Fink's tone is the most structurally bullish of the past five quarters — framing macro dislocation as a competitive tailwind rather than a headwind — and the print broadly supports that posture.

Headline numbers

EPS

Q1 FY2026

$12.53

Revenue

Q1 FY2026

$6.70B

+27.0% YoY

Operating margin

Q1 FY2026

42.0%

Key financials

Q1 FY2026

Metric	Q1 FY2026	YoY	Q4 FY2025	QoQ
Revenue	$6.70B	+27.0%	$7.01B	-4.4%
EPS	$12.53	—	$13.16	-4.8%
Operating margin	42.0%	—	23.7%	+1830bps

Guidance

BlackRock reaffirms core FY2026 guidance on strong Q1 execution (27% YoY revenue growth, +37% ETF fees), shifts share buyback to quarterly cadence floor ($450M minimum/quarter vs. $1.8B annual lump-sum), and withdraws G&A and headcount guidance.

Guidance is issued for the full year only, refreshed each quarter. Prior and new below are the same FY updated this quarter.

New guidance

Metric	Period	Guide	YoY
ACV growth (long-term)	FY 2026	Low to mid-teens	—
Active ETF revenue target (2030)	FY 2030	$500 million or greater	—

Changes to prior guidance

Metric	Period	Prior guide	New guide	Δ	Result
Share repurchase target (FY2026)	FY 2026	$1.8 billion	$1.8 billion+ (at least $450 million per quarter)	+$400-600 million implied (quarterly cadence increase)	Raised
G&A expense growth guidance (FY2026)	FY 2026	Mid-single-digit percentage increase after annualizing for HPS and Prequin impact	Withdrawn — no replacement	—	Withdrawn
Headcount guidance (FY2026)	FY 2026	Broadly flat	Withdrawn — no replacement	—	Withdrawn

Reaffirmed unchanged this quarter: Base fees entry run rate (FY2026 vs FY2024) (Approximately 35% higher than FY2024 base fees), Base fees entry run rate (FY2026 vs FY2023) (Approximately 50% higher than FY2023 base fees), Projected tax run rate (FY2026) (Approximately 25%)

Segment performance

Q1 FY2026

Segment	Q1 FY2026	YoY
Equity - Investment Advisory, Administration & Securities Lending	$2.386B	+27.8%
Fixed Income - Investment Advisory, Administration & Securities Lending	$0.965B	+14.3%
Alternatives - Investment Advisory, Administration & Securities Lending	$0.855B	+24.8%
ETFs - Long-term Base Fees	$2.227B	+37.0%
Technology Services and Subscription Revenue	$0.53B	+21.6%
Private Markets - Base Fees	$0.658B	+23.0%
Cash Management	$0.34B	+16.0%

Capital & returns

Q1 FY2026

Segment	Q1 FY2026
Quarterly Cash Dividend per Share	$5.73

Other KPIs

Q1 FY2026

Segment	Q1 FY2026
Assets Under Management (AUM)	$13.89 trillion
Total Net Inflows (Q1)	$130 billion
Long-term Net Inflows (Q1)	$136 billion
ETF Net Inflows (Q1)	$132 billion
Net Inflows Last Twelve Months	$744 billion
Organic Base Fee Growth (LTM)	10%
Operating Margin (as adjusted)	44.5%

Management tone

Q1 FY2025 private markets pipeline → Q2 FY2025 HPS as P&L inflection → Q3 FY2025 convergence as operating model → Q4 FY2025 platform leverage with dollar targets → Q1 FY2026 dislocation as competitive tailwind.

Private credit framing has compressed across five quarters from "tactical opportunity" to "structural beneficiary of dispersion." Three quarters ago Martin was defending HPS direct lending against syndicated/CLO bankruptcy headlines by citing default rates; this quarter management inverted the entire posture: "Periods of market allocation are when private credit investment opportunities are most compelling... as the overall market environment becomes more complex, we expect to see much more dispersion in performance among private credit managers. That's an environment we like to compete in." The pivot from defending credit quality to welcoming manager dispersion is the most aggressive private credit framing this team has issued.

The whole-portfolio thesis has moved from "emerging institutional advantage" to "industry paradigm shift." Last quarter Fink framed scale as an output of performance; this quarter he made the consolidation argument explicit: "A decade ago, fiduciaries' best practice often meant diversifying across a number of managers... Our clients are actually increasingly choosing to work with fewer strategic partners, many times just one." The Goldman Sachs Q&A added the supporting data — top 5 asset managers consolidating 80%+ of flows — which converts narrative into a measurable share-gain thesis.

Macro framing has shifted decisively from cyclical caution to structural realignment. Across 2025 Fink leaned on "income-driven" and "geopolitical uncertainty"; this quarter he chose different words: "The world feels different, not just uncertain, but different. The world is reorganizing around self-reliance." That reframes capital markets volatility — including the March stocks-down-7-to-10%, bonds-down-2-to-3% drawdown — as a tailwind to BlackRock's diversified platform rather than a headwind to base fees.

iShares has been re-narrated from "strong ETF franchise" to "differentiated global indexing utility." Q4's pitch was scale + active ETF leadership; this quarter Martin sharpened the moat language with a specific data point: "iShares is differentiated in that it indexes virtually every slice of global equities and bond markets... with net base fees double what they were compared to this time last year." Doubled net base fees year-over-year is the cleanest organic-leverage data point on the print.

Aladdin's narrative has stepped up from "internal operating system" to "industry standard for private credit transparency." Two quarters ago Aladdin was framed as an enabling layer; this quarter Fink positioned it as the language of the asset class: "We're positioning BlackRock and Aladdin to be the language of private credit portfolios for transparency and for risk analytics... Aladdin's value as an enterprise-wide operating system is only amplified in a world with more need for real-time verified data on one single platform." The implicit claim — that BlackRock's data infrastructure becomes the regulatory and risk-management standard as private credit scales — is a meaningful escalation.

Recurring themes management leaned on this quarter:

Whole portfolio consolidation and client provider relationship re-evaluationGlobal expansion and geopolitical/governmental partnerships in retirement systemsPrivate credit as structural opportunity in dispersion-driven environmentiShares international and precision exposures capturing premium demandAladdin as industry standard for private credit risk and data infrastructureActive ETFs and systematic strategies scaling as growth engines

Risks management surfaced:

Geopolitical uncertainty impacting capital marketsArtificial intelligence adoption uncertainty and business model disruptionMarket volatility and heightened sensitivity to economic dataPrivate credit risk management infrastructure lag across industryConcentration risk if clients consolidate to fewer strategic partners

Q&A highlights

Michael Cypress · Morgan Stanley

Update on wealth channel penetration progress in U.S. and international markets, particularly for alternative products. What milestones to track over 12-24 months and impact from Evergreen private credit redemptions?

Management highlighted $1 trillion in wealth assets under management, record $13B Appirio inflows, $3B in liquid alternatives, and nine consecutive quarters of retail net inflows. Discussed direct indexing growth ($9B long-only, $4B long-short), model portfolio expansion (40%+ of iShares flows), and Evergreen vehicle pipeline (HREAL, HNET, HLEND-E launching in 2026).

$1 trillion in wealth assets under managementRecord $13 billion Appirio flows (fifth consecutive year)$3 billion into liquid alternative strategiesNine consecutive quarters of retail net inflows

Craig Siegenthaler · Bank of America

Thoughts on Department of Labor proposal to support DC plan sponsors selecting private markets in the $14 trillion 401k market. Can BlackRock launch new target date strategies or use existing strategies with private allocations?

Management expressed strong support for DOL proposal, calling it 'better than expected.' Highlighted BlackRock's position as #1 DCIO firm with $600B+ in target date funds and top-5 private markets manager. Plan to launch Life Path with privates this year to build track record ahead of DOL rule taking hold in back half of year and ramping in 2027.

#1 DCIO firm with $600+ billion in target date fundsTop-5 private markets manager globallyMore than half of BlackRock assets relate to retirementLaunching Life Path with privates this year

Alex Blastein · Goldman Sachs

In prior dislocations, BlackRock gains share. Will this happen again? Which specific products and asset classes are best positioned for share gains? What are the implications for 12-18 month organic base fee growth?

Management identified positioning in retirement, infrastructure, privates, high-yield, and ETFs as key share-gain drivers. Noted March 2026 market dislocation (stocks down 7-10%, bonds down 2-3%) and emphasized two organic growth vectors: (1) structural growers with all-weather growth (ETFs, private markets, models, tax-aware strategies), and (2) whole portfolio consolidation. Committed to 6-7% organic growth from structural segments.

Top 5 asset managers consolidating 80%+ of flows6-7% organic growth target from structural growth segmentsMarch 2026: stocks down 7-10%, bonds down 2-3%Structural grower categories: ETFs, private markets, models, Appirio, SpiderRock, systematic equities

Brian Bedell · Deutsche Bank

Can BlackRock scale organic base fee growth faster? Are margins a limiting factor? What is exit base fee rate for the quarter? Is demand for non-U.S. products continuing?

Management reported 8% annualized organic base fee growth in Q1, 10% over last 12 months, seven consecutive quarters above 5%. Operating margin 44.5%, recurring FRE margin 45.6%, both up 100+ bps. Target 45%+ adjusted operating margin with path to 46-47% as private markets scale. Base fee entry rate at end of March approximately 2% lower than Q1 average but recovered in April.

8% annualized organic base fee growth Q1, 10% over 12 monthsSeven consecutive quarters above 5% organic growthOperating margin 44.5%, recurring FRE margin 45.6%Both margins expanded 100+ basis points

Dan Fannin · Jefferies

Expand on trends at HPS and private credit broadly. Distinguish between institutional and retail conversations. Comment on deployment in current market environment.

Management noted HLEND is best-performing non-traded BDC with 10.4% annualized total return since inception, $840M Q1 subscriptions including DRIP, ~$150M April window. BlackRock's business is 85-90% institutional/10% retail, seeing strong institutional demand and fundraising despite retail pullback. Spreads in direct lending and asset-based finance currently attractive; institutional deployment strong.

HLEND: 10.4% annualized total return since inceptionHLEND: $840 million Q1 subscriptions including DRIPHLEND: ~$150 million April windowBlackRock private markets: 85-90% institutional, 10% retail

Answers to last quarter's watch list

Q1 organic base fee growth holding in double-digits without Q4 seasonal tailwind — Q1 annualized at 8%, LTM at 10%. Three consecutive quarters at double-digit LTM and seven consecutive above 5% establishes the >5% floor as durable, but the quarterly figure cooled from Q4's 12% annualized. The "10%+ as the new normal" thesis is partially validated on LTM but not yet on standalone quarterly prints.

Continue monitoring

Q1 as-adjusted operating margin sustaining at or above 45% — 44.5% on as-adjusted basis (-50bps QoQ from Q4's 45.0%), recurring FRE margin 45.6%. Both margins expanded 100+bps YoY per Q&A. Management reaffirmed 45%+ as the through-cycle target and laid out a 46–47% pathway as private markets scale. Below the Q4 watermark but management is framing 44.5% as on-target rather than a miss.

Continue monitoring

Concrete tokenization deliverables — No named tokenized ETF wrapper launch, no named digital wallet partnership disclosed this quarter. Aladdin framing as "the language of private credit" took the strategic spotlight instead. Tokenization went unmentioned in the disclosed Q&A exchanges. After three quarters of flagged "coming announcements," the absence is now itself a signal.

Resolved negatively

Insurance private-credit SMA pipeline conversion — No specific SMA conversion data or named insurance mandate wins disclosed on this print. The 20+ active conversations targeting ~$70B referenced in Q4 was not refreshed.

Not resolved

HPS HLEND redemption rate trajectory — Management did not disclose a Q1 HLEND redemption rate. They did disclose $840M Q1 subscriptions including DRIP and ~$150M April window — gross flow data but no redemption ratio. The Q4 framing of 4.1% redemptions as elevated-but-stable was not addressed.

Continue monitoring

LifePath-with-private-allocations launch timing and DC mandate wins — Management confirmed launch this year to build track record ahead of the DOL rule taking hold in H2 2026 and ramping in 2027. No specific mandate wins disclosed yet, but the regulatory pathway sharpened materially with the "better than expected" DOL proposal.

Continue monitoring

$400B cumulative private markets fundraising target progress — Not specifically broken out this quarter with a year-one actual vs the implied ~$60B/year pace. Private Markets base fees of $658M (+23% YoY) confirm ongoing momentum but the cumulative tracking metric was not disclosed.

Not resolved

What to watch into next quarter

Whether Q2 organic base fee growth re-accelerates back above 10% annualized — Q1's 8% standalone vs Q4's 12% raises the question of whether double-digit quarterly prints are durable or seasonally driven

Whether FY2026 G&A growth and headcount commentary returns to the prepared remarks — if management does not refresh these guides by Q2, the operating leverage narrative will rely more heavily on the recurring FRE margin trajectory

Adjusted operating margin trajectory toward the 46–47% pathway Bedell pulled out in Q&A — Q2 print at or above 45% with continued 100bps+ YoY expansion would validate the structural leverage thesis

Specific LifePath-with-private-allocations launch milestones — actual launch date, named DC plan sponsor mandate, or AUM seeding figure would convert the regulatory tailwind into hard P&L

HLEND Q2 redemption rate specifically — gross subscription data is being disclosed; redemption ratio is not. If Q2 redemptions exceed 5% the "credit conditions stable" framing materially weakens

First insurance private-credit SMA conversion mandate naming — the $70B 20+ conversation pipeline cited two quarters ago needs at least one named deployment to remain credible

Active ETF revenue progress toward the new $500M+ by 2030 disclosure — Q2 active ETF revenue contribution and AUM growth would establish year-one pace against the multi-year target

Any update on the cumulative private markets fundraising tracker toward the $400B 2030 goal — silence on this metric for a second consecutive quarter would itself be informative

Sources

BlackRock Q1 2026 press release (Exhibit 99.1, Form 8-K), filed 2026-04-14 — https://www.sec.gov/Archives/edgar/data/2012383/000119312526153768/blk-ex99_1.htm
BlackRock Q1 2026 earnings call commentary (management prepared remarks and Q&A)

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