LPL Financial (LPLA) Q4 2024 earnings summary

Executive summary

• Ended 2024 with $1.74 trillion in advisory and brokerage assets, nearly double since 2019, and served about 28,900 advisors.

• Achieved industry-leading organic asset growth of 10% in 2024, with record recruiting and expansion in both independent and institutional channels.

• Closed the acquisition of Atria Wealth Solutions, adding about $110 billion in assets and 2,200 advisors; onboarding expected mid-2025.

• Onboarded Prudential Advisors and Wintrust Financial's wealth management business, enhancing institutional capabilities.

• Delivered record adjusted EPS of $16.51 for 2024 and $4.25 for Q4; full-year net income reached $1.1 billion.

Financial highlights

• Total assets reached $1.74 trillion, up 29% year-over-year, with $141 billion in full-year organic net new assets (10% growth rate).

• Q4 gross profit was $1,228 million, up 22% year-over-year; full-year gross profit reached $4.5 billion.

• Adjusted EBITDA for 2024 was $2.22 billion, up 7% year-over-year.

• Client cash balances ended Q4 at $55 billion, up $9 billion sequentially.

• Q4 total revenue was $3.51 billion, up 33% year-over-year; full-year revenue reached $12.39 billion.

Outlook and guidance

• 2025 Core G&A expense outlook (excluding Prudential and Atria) is $1.56–$1.6 billion (6–8% growth); including acquisitions, $1.73–$1.78 billion.

• Expect full-year impact of Prudential and Atria to add $170–$180 million to Core G&A in 2025.

• Atria onboarding and integration costs estimated at $300–$350 million; run-rate EBITDA benefit expected to reach about $150 million when fully ramped.

• Q1 organic growth projected in the mid-teens, driven by onboarding of Prudential and Wintrust assets.

• Dividend of $0.30 per share declared, payable March 25, 2025.