Blackstone Profit Up 58%

Apr 21 2011 | 10:08am ET

Private equity giant the Blackstone Group said its first-quarter profit soared 58%.

The New York-based firm posted a profit—excluding some costs tied to its 2007 initial public offering—of $568.1 million, up from $360.4 million. The number topped analysts' estimates by 10 cents per share.

"Blackstone reported our strongest quarterly earnings since becoming a public company four years ago, as the values of all of our funds continued to increase," CEO Stephen Schwarzman said. "Every one of our investing businesses grew sharply year-over-year."

The results mark a milestone for Blackstone: its first profit under generally accepted accounting principles since its IPO. The firm's net income swung to $42.7 million from a net loss of $121.4 million a year earlier.

Blackstone credited the boost to its real-estate and private equity investments. The former saw an almost four-fold increase in revenue to $555.6 million, while the latter saw revenue drop slightly but valuation rise some 5%.

Blackstone's hedge fund revenue also rose, to $105.4 million.


In Depth

Creating An Offshore Hedge Fund Dream Team: The Seven Key Players

Jun 26 2015 | 6:47am ET

If you want to set up an offshore hedge fund, like any great team, you’re only...

Lifestyle

Hedgies Set to Compete in Wall Street Decathlon

Jun 8 2015 | 12:37am ET

The Wall Street Decathlon — a 10-event physical challenge that will crown “Wall...

Guest Contributor

6 Essential Principles To Balance Your Investment Risk

Jun 26 2015 | 10:07am ET

In this article, financial expert Greg Silberman explores how to hedge a private...

 

Editor's Note