Raymond James Financial unveiled its financial results for the quarter ending March 31, reporting a net income of $474 million, or $2.22 per diluted share. The wealth management firm announced these figures in a recent statement.
When adjusted for one-time expenses totaling $26 million, the adjusted net income reached $494 million, or $2.31 per diluted share. The company enjoyed a 9% increase in net revenue year-over-year, totaling $3.1 billion.
These figures closely align with analyst expectations. According to FactSet, analysts anticipated an adjusted earnings per share of $2.30 and revenue projections matching the $3.1 billion reported.
In the aftermath of this announcement, Raymond James shares remained stable during after-hours trading, showing a modest daily gain of 0.31%. Over the current year, the company's shares have appreciated by 14.37%, outperforming the S&P 500's 6.33% rise.
The firm highlighted a notable achievement with a record $1.45 trillion in client assets under administration, marking an 18% increase from the previous year. This growth was attributed to both market gains and positive net inflows.
Despite these strong results, the Private Client Group saw a decrease in net new assets, garnering $9.6 billion this quarter, a drop from $21.5 billion year-over-year and slightly less than the preceding quarter's $21.6 billion.
Raymond James' CEO, Paul Reilly, expressed confidence in the company's trajectory. "As we move into the latter half of our fiscal year, we are in an excellent position with record-level client assets and a robust capital reserve to fuel further growth," he remarked.
The company stands among the elite in U.S. wealth management, operating extensive independent and employee broker-dealer services, as well as a custody business for registered investment advisors (RIAs). As of the end of March, Raymond James supported 8,761 advisors, an increase from the end of the previous year.
In a significant leadership update, the firm announced the appointment of CFO Paul Shoukry as the upcoming CEO, set to take over from Reilly by October 2025. This strategic move is poised to steer Raymond James through its next phase of growth and client service enhancement.
Comparable wealth management giants, including Morgan Stanley and Charles Schwab, have also reported achieving record client asset levels, underscoring a robust industry trend.
