Blackstone returns to profitability in Q2

by Richard Kilner

Story link: Blackstone returns to profitability in Q2

The Blackstone Group has reported net income of $173m for the second quarter of 2009, a rise of $73m compared to the corresponding period last year.

The latest quarterly results marks a welcome return to the black for the firm, which had suffered a loss of $93m in the first quarter of the year.

Adjusted cash flows from operations also improved, increasing from last quarter’s $75m to $102m.

However, net fee-related earnings declined marginally from Q1, down from $90m to $87m for the most recent quarter.

Chairman and CEO Stephen A. Schwarzman has said that the firm remains committed to delivering lasting value, adding that Blackstone intended to shy away from investments that could be expected to decline in the short term and preferring longer term investments.

Schwarzman went on to say that the firm has the greatest capital strength it had ever enjoyed.