Brookfield (BN) Q2 2024 earnings summary

Executive summary

• Distributable earnings rose 80% year-over-year to $2.1 billion for Q2 2024 ($1.35/share), with distributable earnings before realizations up 11% per share to $1.1 billion ($0.71/share); all business segments contributed to strong cash flow growth, supported by robust transaction activity and improving capital markets.

• Deployable capital reached $150 billion, including $62 billion in cash and liquid assets as of June 30, 2024.

• Over $800 million in share buybacks were completed year-to-date, adding $0.55 of value per remaining share and reducing shares outstanding by 20 million.

• Major transactions included the acquisition of American Equity Life (AEL) and a majority stake in Neoen, expanding insurance and renewables platforms.

• Investment strategy focuses on compounding capital, adapting to evolving asset classes, and leveraging opportunities in AI-driven renewables and data centers.

Financial highlights

• Distributable earnings before realizations: $1.1 billion ($0.71/share) for Q2; $4.4 billion ($2.77/share) over the last 12 months.

• Total distributable earnings: $2.1 billion ($1.35/share) for Q2; $5.8 billion ($3.67/share) over 12 months.

• Net income attributable to shareholders: $43 million for Q2; $1.1 billion for the last twelve months.

• Assets under management: approximately $1 trillion; fee-bearing capital at $514 billion, up 17% year-over-year.

• Quarterly revenues: $23.1 billion; diluted EPS: $0.03 for Q2.

Outlook and guidance

• Fundraising and transaction activity are expected to accelerate in the second half of 2024, with new flagship fund closes and increased monetizations anticipated to drive further earnings growth.

• Annualized earnings from wealth solutions projected to grow from $1.4 billion to $2 billion as the AEL portfolio is repositioned.

• Carry realizations expected to accelerate into 2025 as more assets are monetized.