Q2 FY2026
Filed Aug 13, 2026Brookfield Corporation Reports 15% Increase in Earnings; Record Fundraising Increases Deployable Capital to $210 Billion
Distributable earnings before realizations per share increased by 15% over the prior-year quarter, Asset Management fee-related earnings increased by 20%, Wealth Solutions earnings increased by 23%, fundraising reached a record $77 billion, and deployable capital reached $210 billion.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Revenues, three months ended June 30, 2026other | $19,406 million | – | – |
| Revenues, six months ended June 30, 2026other | $37,986 million | – | – |
| Direct costs, three months ended June 30, 2026other | $(12,228) million | – | – |
| Other income and gains, three months ended June 30, 2026other | $375 million | – | – |
| Equity accounted income, three months ended June 30, 2026other | $723 million | – | – |
| Interest expense - Corporate borrowings, three months ended June 30, 2026other | $(189) million | – | – |
| Interest expense - Non-recourse borrowings, same-store, three months ended June 30, 2026other | $(4,113) million | – | – |
| Interest expense - Non-recourse borrowings, acquisitions, net of dispositions, three months ended June 30, 2026other | $(69) million | – | – |
| Interest expense - Non-recourse borrowings, upfinancings, three months ended June 30, 2026other | $(106) million | – | – |
| Corporate costs, three months ended June 30, 2026other | $(22) million | – | – |
| Fair value changes, three months ended June 30, 2026other | $(27) million | – | – |
| Depreciation and amortization, three months ended June 30, 2026other | $(2,711) million | – | – |
| Income tax, three months ended June 30, 2026other | $(336) million | – | – |
| Net income, three months ended June 30, 2026other | $703 million | – | – |
| Net income attributable to Brookfield shareholders, three months ended June 30, 2026other | $364 million | – | – |
| Diluted net income per share, three months ended June 30, 2026other | $0.14 | – | – |
| Basic net income per share, three months ended June 30, 2026other | $0.14 | – | – |
| Net income, six months ended June 30, 2026other | $1,745 million | – | – |
| Net income attributable to Brookfield shareholders, six months ended June 30, 2026other | $466 million | – | – |
| Diluted net income per share, six months ended June 30, 2026other | $0.16 | – | – |
| Distributable earnings before realizations, three months ended June 30, 2026non-GAAP | $1,427 million | – | – |
| Distributable earnings before realizations per Brookfield share, three months ended June 30, 2026non-GAAP | $0.61 | – | 15% |
| Distributable earnings, three months ended June 30, 2026non-GAAP | $1,548 million | – | – |
| Distributable earnings per Brookfield share, three months ended June 30, 2026non-GAAP | $0.66 | – | – |
| Distributable earnings before realizations, last twelve months ended June 30, 2026non-GAAP | $5,652 million | – | – |
| Distributable earnings before realizations per Brookfield share, last twelve months ended June 30, 2026non-GAAP | $2.39 | – | 7% |
| Distributable earnings, last twelve months ended June 30, 2026non-GAAP | $6,172 million | – | – |
| Distributable earnings per Brookfield share, last twelve months ended June 30, 2026non-GAAP | $2.61 | – | – |
| Realized carried interest, net, three months ended June 30, 2026non-GAAP | $121 million | – | – |
| Realized carried interest, net, last twelve months ended June 30, 2026non-GAAP | $520 million | – | – |
| Disposition gains from principal investments, three months ended June 30, 2026non-GAAP | — | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Asset Management DEFee-related earnings increased by 20% compared to the prior year quarter, driven by a 19% increase in fee-bearing capital to $672 billion at quarter end and record inflows of $77 billion. | $740 million | – | – |
| Wealth Solutions DEStrong organic inflows, growth in net investment income, and the first full-quarter contribution from Just Group supported earnings. | $480 million | – | 23% |
| BIP DECash distributions were supported by strong underlying fundamentals and resilient operating earnings. | $94 million | – | – |
| BEP DECash distributions were supported by strong underlying fundamentals and resilient operating earnings. | $121 million | – | – |
| BBUC DECash distributions were supported by strong underlying fundamentals and resilient operating earnings. | $6 million | – | – |
| BPG DEThe real estate business was supported by strong operating fundamentals; office and retail leasing totaled 6 million square feet. | $136 million | – | – |
| Other DENo segment-specific driver was provided. | $4 million | – | – |
| Operating Businesses DEContracted, inflation-linked revenues and long-term secular trends supported resilient and stable cash flows. | $361 million | – | – |
Capital returns
- During the quarter, we acquired $111 million of shares in the open market.
- Year-to-date, we repurchased approximately $580 million of BN Class A shares in the open market at an average price per share of $42.
- The Board declared a quarterly dividend of $0.07 per share, payable on September 29, 2026 to shareholders of record as at the close of business on September 14, 2026.
What drove it
- Record fundraising of $77 billion reflected broad-based demand across strategies, including $5 billion from retail and wealth clients.
- The seventh vintage of the private equity flagship raised $7 billion and the sixth vintage of the infrastructure flagship raised $9 billion.
- Fee-bearing capital increased by 19% to $672 billion at quarter end.
- Insurance assets increased to $191 billion, including $5 billion of annuity sales and $45 billion of insurance assets added through the Just Group acquisition.
- North American Wealth Solutions invested over $5 billion into real asset strategies during the quarter, producing an average net investment income yield of 5.7%.
- The North American P&C business recorded a 99% combined ratio and a gross spread of 2.2%.
- Brookfield completed the acquisition of Oaktree in July and completed the Just Group acquisition.
- Year-to-date sales were $40 billion, including $10 billion in infrastructure, $10 billion in real estate, $7 billion of energy assets, $9 billion of credit investments, and $4 billion of private equity businesses.
- Accumulated unrealized carried interest was $12.5 billion at quarter end.
Concerns
- IFRS net income was $703 million for the quarter, compared with $1,055 million in the prior-year quarter.
- Fair value changes were $(27) million for the quarter, compared with $797 million in the prior-year quarter.
- Income tax was $(336) million for the quarter, compared with $(134) million in the prior-year quarter.
- Interest expense from non-recourse borrowings related to acquisitions, net of dispositions, was $(69) million and interest expense from upfinancings was $(106) million for the quarter.
- Realized carried interest, net was $121 million for the quarter, compared with $129 million in the prior-year quarter.
- No quantitative financial outlook was issued.
What to watch
- Fundraising conversion into deployment from the $210 billion of available capital.
- Growth in fee-bearing capital following the completed acquisition of Oaktree.
- The contribution of Just Group following its first full quarter within Wealth Solutions.
- Progress in asset monetizations and the conversion of $12.5 billion of accumulated unrealized carried interest into income.
- The trajectory of net investment income yield, the P&C combined ratio, and gross spread in the North American insurance business.
- Execution of the corporate simplification transaction approved by shareholders on July 16.
Balance sheet and cash flow
- Cash and cash equivalents were $14,885 million at June 30, 2026, compared with $16,242 million at December 31, 2025.
- Other financial assets were $32,519 million at June 30, 2026, compared with $30,033 million at December 31, 2025.
- Total Assets were $525,515 million at June 30, 2026, compared with $518,971 million at December 31, 2025.
- Corporate borrowings were $14,711 million at June 30, 2026, compared with $14,301 million at December 31, 2025.
- Non-recourse borrowings of managed entities were $250,271 million at June 30, 2026, compared with $245,311 million at December 31, 2025.
- Total Equity was $166,636 million at June 30, 2026, compared with $166,194 million at December 31, 2025.
- Deployable capital was $210 billion at quarter end, including $96 billion of cash, financial assets, and undrawn credit lines and $114 billion of uncalled private fund commitments.
- The Corporation completed $130 billion of financings across the franchise year-to-date.
- The Corporation issued C$750 million of 10-year and 30-year notes.
- Corporate debt at the Corporation carried a weighted-average term of 15 years and had no maturities in 2026.
- Operating cash flow was not reported.
- Free cash flow was not reported.
Analysis
Brookfield reported a strong second quarter on its core distributable-earnings measures. Distributable earnings before realizations were $1,427 million, or $0.61 per Brookfield share, versus $1,253 million and $0.53 per share in the prior-year quarter. The company stated that the per-share measure increased by 15%. Total distributable earnings were $1,548 million, or $0.66 per share, including $121 million of realized carried interest, net. IFRS net income moved in the opposite direction, declining to $703 million from $1,055 million, while net income attributable to Brookfield shareholders increased to $364 million from $272 million.
Asset Management was the principal earnings contributor, producing DE of $740 million. Record fundraising of $77 billion, including $5 billion from retail and wealth clients, and a 19% increase in fee-bearing capital to $672 billion underpinned a 20% increase in fee-related earnings. Brookfield also completed the Oaktree acquisition in July, adding a major credit franchise to the organization. The reported fundraising and capital base provide evidence of continued client demand across the flagship and complementary strategies.
Wealth Solutions DE was $480 million and grew 23% versus the prior-year quarter. The company attributed the result to organic inflows, net investment income growth, and the first full-quarter contribution from Just Group. Insurance assets reached $191 billion after $5 billion of quarterly annuity sales and the addition of $45 billion of insurance assets from Just Group. North American investment activity exceeded $5 billion during the quarter, with an average net investment income yield of 5.7%, while the P&C combined ratio was 99% and gross spread was 2.2%.
Operating Businesses DE was $361 million, supported by contracted, inflation-linked revenues and resilient operating earnings. Real estate operating indicators included 6 million square feet of office and retail leasing, office net rents 19% above expiring levels, and occupancy above 95% in super-core and core-plus portfolios. Brookfield also executed $40 billion of year-to-date asset sales. Quarterly monetization earnings were $121 million, and accumulated unrealized carried interest was $12.5 billion at quarter end.
Capital availability and shareholder distributions remain central features of the release. Deployable capital reached a record $210 billion, consisting of $96 billion of cash, financial assets, and undrawn credit lines and $114 billion of uncalled private fund commitments. The company repurchased $111 million of shares during the quarter and approximately $580 million year-to-date, while declaring a $0.07 per-share quarterly dividend. The release did not provide quantitative financial guidance, leaving fundraising conversion, investment deployment, acquisition integration, monetization activity, and insurance operating metrics as the principal reported items to monitor.
Management, verbatim
Our business performed well in the second quarter, with continued momentum driving 15% growth in earnings per share. We were active through the first six months of the year—raising $98 billion of capital, deploying $100 billion into large-scale opportunities, and monetizing $40 billion of assets at attractive returns.
Nick Goodman, President of Brookfield Corporation
We also advanced several strategic initiatives. We expanded our global insurance platform through the acquisition of Just Group in the U.K., completed the acquisition of Oaktree, and shareholders approved our simplification transaction. These initiatives set us up for our next phase of growth, and with over $200 billion of deployable capital we are well positioned to invest at scale in the opportunities ahead.
Nick Goodman, President of Brookfield Corporation
Not in the filing
stated, not guessed- Quantitative financial guidance for a future period
- Prior outlook for comparison
- Gross margin
- Operating income
- Operating margin
- Operating expenses as a consolidated line item
- Operating cash flow
- Free cash flow
- Net debt
- Quarter-over-quarter comparisons for reported metrics
- Segment revenue by Asset Management, Wealth Solutions, infrastructure, energy, private equity, and real estate
AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.