(By Balachander) BlackRock Inc. (NYSE: BLK), an investment management firm, reported better-than-expected quarterly earnings, as strength in base fees and higher performance fees drove a 14 percent rise in revenue.
On an adjusted basis, earnings per share (EPS) increased 29 percent to $3.96 versus market expectations of $3.73 for the fourth quarter.
Net earnings grew 24 percent to $690 million.
Revenue was $2.54 billion, beating consensus estimate of $2.49 billion. Total base fees increased nearly 12 percent and performance fees jumped 63 percent.
Adjusted operating margin expanded 260 basis points to 42.6 percent.
Assets under management (AUM) totaled $3.792 trillion at Dec. 31, up 8 percent from the year-ago quarter and 3 percent from the prior quarter.
New York-based BlackRock has declared a quarterly cash dividend of $1.68 per share, payable March 25, 2013 to shareholders of record at the close of business on March 7, 2013.
The stock, which has been trading in the 52-week range of $160.25 to $224.47, ended at $222.24 on Wednesday.