BlackRock Inc. beat earnings estimates in its third quarter as money continued flowing into its low-cost exchange-traded funds and risk management revenue rose.
The investment manager reported adjusted earnings per share of $5.92, more than the $5.56 analysts polled by Thomson Reuters expected.
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BlackRock's net inflows rose 38% from a year ago but dropped slightly from last quarter, when the firm set a record of net new money from investors. More than half of the $96 billion it brought in during the quarter went to its fast-growing iShares exchange-traded fund unit.
The firm's revenue of $3.2 billion was up 14% from a year ago. Technology and risk management revenue, powered by the firm's Aladdin technology, grew 15% from a year ago to $175 million.
Chief Executive Laurence Fink said continued investments in technology boosted the company's results.
"Our ability to create investment solutions from a broad range of products -- spanning index to illiquid alternatives -- combined with industry leading technology and risk management, is resonating with clients and driving more impactful interactions than ever before," he said in prepared remarks.
In all, BlackRock posted second-quarter net income of $947 million and adjusted net income of $969 million. Analysts were expecting net income of $899 million.
BlackRock shares rose 0.77% on low premarket trading volume Wednesday.
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(END) Dow Jones Newswires
October 11, 2017 07:10 ET (11:10 GMT)