Raymond James Financial (RJF) investor relations material

Executive summary

• Achieved record quarterly net revenues of $3.93 billion, up 16% year-over-year and 2% sequentially, with record pre-tax income and EPS for the first nine months of the fiscal year.

• Net income available to common shareholders reached $595 million ($3.01 per diluted share), up 42% year-over-year and 11% sequentially; adjusted net income was $620 million ($3.14 per diluted share).

• Client assets under administration hit a record $1.92 trillion, up 17% year-over-year and 9% sequentially, with $1.15 trillion in fee-based accounts.

• Strong advisor retention and recruiting drove net new assets of $21.7 billion in Q3 and $75 billion year-to-date, up 119% from last year.

• Completed the acquisition of Clark Capital, adding $36 billion in assets and expanding wealth-focused solutions.

Financial highlights

• Net income available to common shareholders was $595 million; adjusted net income was $620 million, with record adjusted EPS of $3.14.

• Pre-tax margin was 19.1%, adjusted pre-tax margin 19.9%; annualized ROE was 18.8%, and adjusted return on tangible common equity was 23.5%.

• Private Client Group generated pre-tax income of $423 million on record net revenues of $2.84 billion, up 14% year-over-year.

• Asset Management segment posted pre-tax income of $143 million on record net revenues of $362 million, benefiting from higher AUM and Clark Capital acquisition.

• Bank segment loans reached a record $56.2 billion, up 13% year-over-year, with net revenues of $488 million and pre-tax income of $206 million.

Outlook and guidance

• Expect Q4 Asset Management and related administrative fees to increase approximately 11% from Q3, driven by higher PCG fee-based assets.

• Aggregate net interest income and RJBDP fees from third-party banks expected to be flat in Q4, assuming static rates and balances.

• Non-compensation expenses for the fiscal year are on track to meet the $2.3 billion target, despite additional acquisition costs.

• Management expects continued growth, citing strong business drivers, advisor recruiting, and investment banking pipelines.

• Forward-looking statements highlight expectations for continued growth in client assets, integration of acquisitions, and monitoring of market and regulatory conditions.