Blackrock, Inc. · NYSE:BLK
Blackrock — Debt Investor Presentation (April 2015)
25 slides from Blackrock's debt investor presentation, Apr 21, 2015
Slide 1: Fixed Income Investor Presentation April 2015
Exhibit 99.1 Fixed Income Investor Presentation April 2015 BlackRock
Slide 2: Forward-looking statements
Forward-looking financial “expect,” “will,” looking In actual political, assets divestitures; information enforcement affect clients time other BlackRock’s in This theforward-looking more addition appendix and presentation, presentation financial the under results and, “would,” statements detail any
Slide 3: BlackRock Overview
Established Listed 2014 AUM long-term BlackRock’s Active Products Equities Strategic BlackRock 3As ofAUM December and on &Fixed Americas Institutional Index/ETFs the base 35% Overview is Solutions: of inDifferentiated NYSE one $4.7tn, 1988 Income fees of31, of long-term EMEA More 2014 under the Reta
Slide 4: Differentiated in the Asset Management Industry
Investment performance Differentiated in the Asset Management Industry Global reach Active and Aladdin: Risk index management across asset andclasses technology Differentiated client relationships
Slide 5: A Broadly Diversified AUM and Revenue Base
A Broadly Q1 Long-term Product 30% Institutional Equity 56% Retail 25% Fixed 32% Index Multi-asset 13% 9% Alternatives AUM Note: 2015 Index Active 55% Retail 36% Revenue EMEA Income Base iShares Equity Type Long-term Institutional EMEA Diversified Assets 36% 24% Fees 34% 7% 29% Client iShares Active
Slide 6: Drivers of Double-Digit EPS Growth
BlackRock Organic Operating 6•Double-Digit 5% annualized Organic Investing Scale 17% 15% indriving CAGR Growth +2014 revenue Leverage +back Value =EPS 2010-2014 margin into long-term Drivers growth Growth Capital the expansion business exceeding organic Management •• 20% AUM $1bn organic 5-year of g
Slide 7: Diverse Platform Continues to Deliver Consistent Earnings Growth
Diverse Organic ($ LTM 0% $88 $39 $25 4Q12 Adjusted 39.3% 40.4% 41.4% 42.9% Consistent Dividends 17% Share Avg Repurchase $1.0b 2013 EPS, 15% CAGR $10.94 $13.68 $16.58 2010 Blackrock in1% $70 $41 $27 BLK $19.34 billions) as 2014 2011 organic 1Q13 $1.0b Repurchase 39.7% $11.85 17% 2% adjusted Global
Slide 8: Driving Consistent Growth Compared to Peers
Driving 68% Mean(1) (1.8%) (0.2%) 19.3% 22.9% 15.7% 10.5% 29.3% 14.0% 17.4% 11.7% BLK Represents (1) organic Blackrock Mean .A11.7% 17.5% 16.0% 10.6% 28.6% 12.6% (0.8%) Bgrowth Strong Standard and CFor the D8.6% standard 17.1% E BLK further average and from F Deviation(1) GConsistent A2Q12 informati
Slide 9: Organic AUM Growth
Organic AUM Growth Retail 4% 14% 1% 3% Firm (1) (0%) (2) 3% 1% 5% 14% Total 10% digits 2% 5% BLACKROCK 1% 11% Includes Please see 5.0% 911% page High thissingle- the2 impact of of two clientfor presentation low-fee institutional Statements Forward-looking index fixedand income Institutional 1Q15 9%i
Slide 10: Growth Strategies
Growth Retail iShares Institutional ?BlackRock BLACKROCK Aladdin Strengthen Global Lead Differentiate Deliberately Financial with Strategies market – Markets Solutions Sophisticated our position invest ourselves 10 investment share byAdvisory in Business ingrowth areas market asrisk our strengths of
Slide 11: Active Investment Performance
b—year % Active median Scientific peer 100% enchmark/ Fundamental 391% %ofets above 0ass of Note: 11 95% Assets returns. Taxable Performance Active Data over 23% period above as 50%ofEquity Fixed Active Benchmark 52% Update March Income Equity 31, or Peer 2015. Size Median forrepresents of bubbles 3
Slide 12: Proven Ability to Drive Operating Margin
360bps Proven Adjusted ($ 39.7% 41.4% 42.9% per $10.94 $13.68 $16.58 $19.34 39.3% 2010 Scale Index share, PlatformAbility 40.4% Technology 2011EPS unless and $11.85 Infrastructure Brand For 12 further Drivers Business to2013 Aladdin 2012 Leverage Operating otherwise information Investments Operating
Slide 13: Asset-Lite Balance Sheet
Asset-Lite ($bn) GAAP Cash Investments Goodwill Assets Accounts Long-term Liabilities Deferred Other Total Separate Adjustments assets economic For 13 further Assets and Liabilities Equity Balance 1.2(0.0) 0.9(0.0) or of Adjustments Acct Account collateral Income Accts Consolidated Payable & interes
Slide 14: Steady EBITDA and Credit Metrics
1.34x Steady EBITDA(1) $5,294 $4,763 $4,188 $2,656 2011 $711 $876 Total 1.14x 0.61x 1.04x 0.93x 0.42x $5,787 $4,790 2011 $754 0.14x Total For 1. 2. 2012 Debt Tangible 4. 5. 14 Cash $2,763 $3,485 $4,320 $2,574 EBITDA Cash Net 0.57x 2013 ($m) ($m) Flows $6,990 $2,559 Liquidity further 2012 Debt debt $
Slide 15: Resilient Debt Structure and Liquidity
BlackRock Leading Resilient Agency Strong Total Transparent Investment Tactical Conservative $8bn debt Sound $4.95bn Debt $1b $0.75b Jun… (1) (2) 15 Free Reflects $1b structure Maturities liquidity Debt Sep… debt credit $0.7b model, inorganic cash debt market business /in Fixed structure the and EBI
Slide 16: Appendix
Appendix
Slide 17: Retail: Growth Strategies and Snapshot
Retail: BlackRock’s including ?Broad $488 $374 2010 Retail 12% of 12/31/14 AUM: Growth Strengthen Deepen Deliver “Deep Build 17 Asset Consultative, LT35% $534 $363 2011 AUM the AUM Snapshot range expertise, A $534bn allocation, the strategic Strategies Significant Long-Term BlackRock broker-dealers,
Slide 18: iShares: Growth Strategies and Snapshot
iShares: BlackRock’s segments 24% of 12/31/14 iShares $914 $590 2010 Growth share Core investments Client Self-reinforcing brand Operating 18 footprint Global scale LT35% Precision $1,024 $593 2011 growth AUM Segments Two market AUM($bn) Snapshot Strategies Growth Long-Term include product 2012 $753
Slide 19: Institutional: Growth Strategies and Snapshot
Institutional: BlackRock’s plans ?We institutional $2,167 2010 Institutional 64% of 12/31/14 Growth Lead Differentiate Deliberately 19Leveraging LT “deliver 30% with 2011 (DB AUM $2,181 Strategies Long-Term our & 2012 of AUM industry? the Snapshot invest ourselves Institutional Focused DC), BlackRoc
Slide 20: BlackRock Solutions and Aladdin
120 BlackRock BlackRock’s requirements management, insurance Financial Markets 3Advisory Combines decision-making, 2Aladdin® Investment Disposition set Client •Solutions Note: BRS $510 $577 $635 2010 $460 Aladdin Solutions platformBRS /are: •2012 Risk Provides Aladdin®, aplatform • •companies, Outso
Slide 21: Reconciliation: GAAP to As Adjusted
Reconciliation ($mm, 2010 As Closed-end GAAP Revenue Operating Non-GAAP Net Allocation Diluted (1) indemnification (2) (3) funding For previously 21 Adjusted Non-GAAP further Income income 2011 except $2,998 8,612 weighted-average earnings LTIP used income margin, 2012 of filed information fund attr
Slide 22: Balance Sheet Reconciliation
Reconciliation ($bn) Account GAAP Cash Investments Goodwill Assets Accounts Long-term Separate Liabilities Deferred Other Total (1) For 22 Investment further Assets and Equity Liabilities Balance 1.2 0.9 of / Collateral Assets Acct DTL Income Accts Consolidated (0.0) Payable &of Borrowings informati
Slide 23: EBITDA Reconciliation
As Adjusted GAAP Purchase Adjustments: Proceeds Assets Change Net Earnings/losses Distributions Adjusted Operating Depreciation, Stock-based EBITDA Reconciliation ($mm) Shareholder’s Goodwill Deferred Appropriated Tangible 23 (gains) (purchase) and Cash 2011 inEquity Tax of from $4,188 Cash & Income
Slide 24: Important Notes
Important This circumstances The BlackRock, There purely alooking accounting, photocopying, A © and 24material securities 2015 elsewhere. opinions document ishistorical BlackRock, information noNotes impact guarantee legal rating Inc. expressed and recording All contains and/or inor on is considerat
Slide 25: BlackRock
25 BLACKROCK®