Blackstone's (BX) Q4 2024 earnings report highlights its position as the world's largest alternative asset manager, with operations segmented into Real Estate, Private Equity, Credit & Insurance, and Multi-Asset Investing. These segments generate revenue primarily through management fees, investment returns, and performance-based allocations. The firm's revenue composition is influenced by market conditions and the cyclicality of its business lines.

Blackstone reported total revenues of $13.2 billion for the year ended December 31, 2024, marking a significant increase of $5.2 billion (65%) compared to $8.0 billion in 2023. This growth was primarily driven by a $4.3 billion increase in investment income, which included $3.0 billion in unrealized investment income and $1.3 billion in realized investment income. Management and advisory fees also grew by 8% year-over-year, reaching $7.19 billion in 2024.

Net income attributable to Blackstone Inc. surged to $2.78 billion in 2024, a 100% increase from $1.39 billion in 2023. This growth reflects the firm's strong operational performance and higher investment income. The diluted earnings per share also doubled, rising from $1.84 in 2023 to $3.62 in 2024.

Segment Distributable Earnings (SDE), a key profitability measure for Blackstone, reflects the firm's operational efficiency and performance across its four segments. SDE is calculated by summing Fee Related Earnings and Net Realizations, while excluding unrealized activity and non-recurring items. This metric provides a clearer view of Blackstone's recurring profitability and operational health.

Blackstone's Real Estate segment remains a cornerstone of its business, managing opportunistic real estate funds, Core+ real estate funds, and real estate debt strategies. The Private Equity segment includes flagship funds, sector-focused funds, and growth equity platforms, while the Credit & Insurance segment focuses on private corporate credit, liquid corporate credit, and infrastructure-based credit. Multi-Asset Investing includes absolute return and multi-strategy platforms, as well as energy infrastructure investments.

Geographically, Blackstone's revenue generation is predominantly U.S.-based, with 76% of total GAAP revenues in 2024 coming from the Americas, followed by 16% from Europe, the Middle East, and Africa, and 8% from the Asia-Pacific region. This distribution underscores the firm's strong presence in the U.S. market while highlighting its growing international footprint.

Total expenses for 2024 amounted to $6.82 billion, up 37% from $4.98 billion in 2023. This increase was driven by higher compensation and benefits expenses, which rose by 51% to $4.99 billion, reflecting the firm's strong performance and incentive structures. General, administrative, and other expenses also grew by 22% to $1.36 billion.

Blackstone's effective income tax rate for 2024 was 15.8%, down from 17.4% in 2023. This reduction was influenced by income passed through to non-controlling interest holders and other tax adjustments. The provision for taxes increased to $1.02 billion in 2024, up from $513 million in 2023, reflecting higher pre-tax income.

Comprehensive income attributable to Blackstone Inc. reached $2.76 billion in 2024, compared to $1.40 billion in 2023. This metric includes net income and other comprehensive income, such as currency translation adjustments, providing a holistic view of the firm's financial performance.