BlackRock, the prominent investment management firm, recently announced an outstanding performance for the third quarter of 2025, exceeding financial forecasts. The company's revenue witnessed a substantial 25% increase compared to the previous year, reaching $6.51 billion, while adjusted operating income also saw a healthy 23% rise. A significant milestone was achieved as BlackRock's Assets Under Management (AUM) soared to an all-time high of $13.5 trillion. This remarkable growth was attributed to record inflows into iShares Exchange Traded Funds (ETFs) and strong contributions from private market investments. CEO Laurence Fink expressed optimism for the future, emphasizing the positive momentum heading into the final quarter, bolstered by strategic technological advancements and successful acquisitions.
During the third quarter of 2025, BlackRock's financial results showcased considerable strength across various segments. Revenue from investment advisory services, administration fees, and securities lending collectively increased to $5.05 billion, up from $4.03 billion in the corresponding period of the previous year. This impressive growth was primarily fueled by a 10% organic base fee growth, positive market beta effects on average AUM, and significant contributions from the GIP and HPS transactions, which added approximately $215 million and $225 million in fees, respectively. Furthermore, securities lending revenue experienced a boost, climbing to $203 million from $149 million in the third quarter of 2024, largely due to higher spreads and an increased average balance of loaned securities. Performance fees also saw a substantial rise, reaching $516 million compared to $388 million a year ago, primarily driven by strong returns from private markets.
The company's asset growth was particularly noteworthy, with total net inflows reaching $205 billion during the quarter. This was a testament to the robust performance of iShares ETFs, which recorded unprecedented inflows, alongside solid demand for private market and cash products. By the end of the quarter, BlackRock's total AUM had swelled to a record $13.5 trillion. Within this, the iShares ETF segment surpassed $5 trillion in AUM, and cash management products reached $1 trillion. In line with its capital allocation strategy, BlackRock also repurchased shares totaling $375 million during this period.
Laurence Fink, Chairman and CEO of BlackRock, provided insightful commentary on the company's strategic direction and future prospects. He underscored the critical role of BlackRock's long-term investments in key areas such as technology and data analytics, ETFs, private markets, and digital assets, all of which have enabled the firm to establish leading positions. Fink highlighted the successful integration of GIP, HPS, and Preqin, noting that these collaborations are already driving significant fundraising, deal flow, enhanced client engagement, and double-digit organic revenue growth over the past year. He concluded by expressing confidence in entering the traditionally strong fourth quarter with sustained momentum, emphasizing the strength of a unified platform that combines public and private investment models, powered by Aladdin technology, and underpinned by a shared commitment to performance and client service.
BlackRock's latest earnings report underscores its dominant position in the global asset management industry, characterized by strong revenue growth, record-breaking Assets Under Management, and strategic expansions. The firm's focus on innovation in technology, private markets, and digital assets, coupled with successful acquisitions, positions it for continued leadership. With positive market dynamics and a unified operational platform, BlackRock anticipates further strong performance, reinforcing its commitment to client value and market leadership.