SEI Investments (SEIC) investor relations material

Executive summary

• Achieved record quarterly results with revenue up 15% year-over-year to $641.6 million, adjusted operating profit up 36%, and adjusted EPS up 38%, reflecting multi-year strategic changes and disciplined capital allocation.

• Net income attributable to shareholders declined 14% year-over-year, while diluted EPS fell 11%, impacted by prior-year gains on sale.

• Sales events totaled $43 million in Q2, with strong contributions from IMS and Private Banking, and a robust pipeline for future growth.

• Investments in private markets, asset management, technology, and AI are gaining traction, positioning the company for future growth.

• The Stratos acquisition contributed $21 million in revenue and $2 million in operating profit in Q2, and $40.1 million in revenue and $6.1 million in operating profit in the first half of 2026.

Financial highlights

• Revenue increased by $82 million year-over-year, reaching $641.6 million, with expenses up $34 million, driving significant margin expansion.

• Adjusted operating margins expanded by 500 basis points year-over-year and 30 basis points sequentially, reaching 32%.

• LSV hedge fund co-investment generated $7.5 million in gains for the quarter; other co-investments added nearly $4 million.

• Stratos contributed $21 million in revenue and $2 million in operating profit in Q2; EBITDA exceeded $9 million excluding amortization.

• Operating income for the first half of 2026 was $386.5 million, up 26% year-over-year.

Outlook and guidance

• Strong sales pipeline and high activity levels across all segments support confidence in continued revenue growth in the second half of the year.

• No formal guidance provided, but management is encouraged by momentum in asset management, IMS, and Private Banking.

• Sufficient liquidity and cash flow are anticipated to fund operations, M&A, and the stock repurchase program for at least the next 12 months.