Brookfield Asset Management Announces Strong Second Quarter Results

Executive Summary

• Brookfield Asset Management Ltd. (BAM) reported financial results for the quarter ended June 30, 2025, showing strong growth in fee-related earnings and distributable earnings year-over-year.
• The company announced significant capital raising activities, totaling $22 billion in the quarter and $97 billion over the trailing twelve months, driven largely by credit and renewable power strategies.
• BAM executed substantial asset monetization, selling approximately $36 billion of assets in the quarter and over $55 billion year-to-date in 2025, while also deploying $28 billion in equity capital.

Key Details

• Fee-Related Earnings (FRE): Increased 16% to $676 million ($0.42 per share) for the quarter ended June 30, 2025, compared to $583 million ($0.36 per share) in the prior year period. FRE for the trailing twelve months was $2.7 billion ($1.65 per share), up 18%.
• Distributable Earnings (DE): Increased 12% to $613 million ($0.38 per share) for the quarter, compared to $548 million ($0.34 per share) in the prior year. DE for the trailing twelve months was $2.5 billion ($1.56 per share), up 13%.
• Net Income: Net income attributable to BAM totaled $620 million for the quarter, up 25% from the prior year period.
• Fee-Bearing Capital: Reached $563 billion at the end of Q2 2025, an increase of 10% ($49 billion) over the last twelve months.
• Fundraising:
  • Raised $22 billion in Q2 2025.
  • Raised $97 billion over the trailing twelve months.
  • Renewable Power & Transition: Raised $1.5 billion in Q2, including over $800 million for the second vintage of the global transition flagship fund (total raised to date over $15 billion).
  • Infrastructure: Raised $1.7 billion in Q2, including over $1.0 billion in the supercore infrastructure strategy.
  • Private Equity: Raised $1.3 billion in Q2, including over $500 million in the special investments strategy.
  • Real Estate: Raised $1.8 billion in Q2, including $500 million for the fifth vintage of the flagship fund strategy.
  • Credit: Raised $16 billion in Q2, including over $10 billion from partner managers and $4.4 billion from insurance accounts.
• Asset Monetization:
  • Monetized approximately $36 billion of assets in Q2 2025.
  • Total asset sales announced in 2025 to date exceed $55 billion.
  • Real Estate Sales: Sold $12 billion, including Aveo Group ($2.4 billion), Fundamental Income ($2.2 billion), Livensa Living ($1.4 billion), and Mare Nostrum ($500 million).
  • Infrastructure Sales: Sold $9.5 billion, including a portfolio of stabilized data center assets ($3.6 billion), a stake in Patrick Terminals ($2.0 billion), and Natural Gas Pipeline of America (~$1.4 billion).
  • Renewable Power & Transition Sales: Sold $5.8 billion, including a U.S. hydropower portfolio and an additional 25% stake in a U.S. wind project.
• Capital Deployment: Deployed $28 billion of equity capital in Q2 2025.
  • Infrastructure: Deployed nearly $10 billion, including Colonial Enterprises ($9.0 billion equity value $3.4 billion), Hotwire Communications (~$7.0 billion equity value $4.0 billion), and Wells Fargo Rail (> $5.0 billion equity value $1.2 billion).
  • Credit: Deployed $11.8 billion, including $1.7 billion in opportunistic credit and $1.2 billion in infrastructure mezzanine debt.
  • Renewable Power & Transition: Deployed $1.3 billion, including over $900 million for the acquisition of the U.S. renewables business of National Grid.
• Dividend Declaration: The Board of Directors declared a quarterly dividend of $0.4375 per share, payable on September 29, 2025, to shareholders of record as of August 29, 2025.
• Liquidity and Commitments:
  • Total uncalled fund commitments: $128 billion as of June 30, 2025.
  • Corporate liquidity: $1.5 billion (cash, short-term financial assets, and undrawn revolving credit capacity).
• Recent Transactions & Corporate Announcements:
  • Increased ownership in Primary Wave by 9% to 44% for approximately $80 million.
  • Participated in the Castlelake-led acquisition of Concora for approximately $200 million.
  • Added to the FTSE Russell 1000 Index, effective July 1, 2025.
  • Entered into an agreement to acquire Just Group (UK retirement services provider); BAM will manage a portion of Just Group’s $36 billion portfolio but is not contributing capital or assuming insurance liabilities.
  • Agreed with Google on a Hydro Framework Agreement to deliver up to 3,000 MW of carbon-free hydroelectric capacity in the U.S.
  • Announced an agreement in Sweden to invest up to $10 billion in next-generation digital infrastructure for AI and advanced computing.

Notable Quotes

• "Our second quarter results highlight the continued momentum and strength of our business. Fee-related earnings were up 16%, with distributable earnings up 12%. We have announced sales of over $55 billion of assets to date in 2025, demonstrating the robust demand for great businesses in sectors where we hold leadership positions." — Connor Teskey, President of Brookfield Asset Management
• "As the secular trends of decarbonization, deglobalization, and digitalization continue to accelerate, we are extending our leadership by forming large-scale, proprietary investment partnerships with governments, corporates and institutions. These themes are driving significant investment activity and fundraising momentum, positioning us to deliver strong long-term value for both our clients and our shareholders." — Connor Teskey, President of Brookfield Asset Management