Brookfield (BN) Q1 2026 earnings summary

Executive summary

• Distributable earnings reached $1.6 billion for Q1 2026, up 7% year-over-year, and $6 billion over the last 12 months, with strong performance across all business lines.

• Asset management and wealth solutions saw robust earnings growth, supported by continued fundraising momentum and the $40 billion Just Group acquisition.

• Operating businesses generated stable cash flows, and the Wealth Solutions segment scaled globally, highlighted by the acquisition of Just Group in the UK.

• Over $1 billion of shares repurchased year-to-date, including $470 million of BN shares and $575 million of BAM shares.

• Plans to combine the corporation and Wealth Solutions business for greater capital efficiency, following the successful conversion of BBUC.

Financial highlights

• Distributable earnings before realizations were $1.4 billion ($0.59/share), up 7% year-over-year; total DE including realizations was $1.6 billion ($0.66/share) for the quarter and $6.0 billion ($2.54/share) for the LTM.

• Asset management generated $765 million of DE for the quarter, with fee-bearing capital at $614 billion, up 12% year-over-year.

• Wealth Solutions delivered $430 million of DE in Q1, $1.7 billion over 12 months, and $4 billion in annuity sales, with a 15% return on equity.

• Operating businesses contributed $360 million of DE in Q1, with strong cash flows from infrastructure, energy, and private equity.

• Net income for the quarter was $1.0 billion, up from $215 million in the prior year quarter; LTM net income reached $4.1 billion.

Outlook and guidance

• Expectation for continued strong financial momentum through 2026, with record fundraising anticipated and the first close of the seventh vintage flagship private equity strategy in the coming months.

• Wealth Solutions targets writing $25 billion of new policies in 2026, maintaining disciplined growth and mid-teens return targets.

• Real estate fundamentals remain strong, with limited new supply and rising rents in core markets.

• Adoption of U.S. GAAP accounting from Q1 2027 to enhance comparability.