Brookfield (BN) Q2 2024 earnings summary

Executive summary

• Distributable earnings before realizations were $1.1 billion ($0.71/share), up 11% per share year-over-year; total distributable earnings rose 80% to $2.1 billion ($1.35/share).

• Completed $75 billion in financings and $15 billion in asset monetizations year-to-date as transaction activity and market conditions improved.

• More than $800 million in share repurchases year-to-date added $0.55 of value per remaining share.

Financial highlights

• Q2 revenue was $23.1 billion, down 3% year-over-year, reflecting net dispositions partly offset by organic growth in Infrastructure and Real Estate.

• Q2 net income attributable to shareholders was $43 million; consolidated net loss was $285 million.

• Assets under management reached ~$1 trillion; fee-bearing capital was $514 billion, up 17% year-over-year.

• Q2 distributable earnings before realizations were $1.1 billion ($0.71/share); total distributable earnings were $2.1 billion ($1.35/share).

Outlook and guidance

• Fundraising expected to ramp up in H2 2024, with flagship fund closes anticipated to support further earnings growth.

• Transaction activity and monetizations expected to increase as capital markets improve and interest rates decline.

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

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