SEI Investments (SEIC) Q2 2025 earnings summary

Executive summary

• Q2 2025 delivered strong financial results, with revenue up 8% year-over-year to $559.6M, net income up 63% to $227.1M, and EPS up 70% to $1.78, driven by higher assets and a $94.4M gain from the Family Office Services sale.

• Strategic investments in Stratos Wealth Holdings and ongoing investments in talent and technology are expected to enhance future growth and capabilities.

• Two new independent directors joined the board, strengthening leadership with deep industry experience.

• All major business units reported year-over-year operating profit growth, with notable contributions from Investment Managers and Private Banking.

• Margins improved year-over-year but declined sequentially due to targeted investments and one-time expenses.

Financial highlights

• Q2 2025 revenue: $559.6M (up 8% YoY); net income: $227.1M (up 63% YoY); diluted EPS: $1.78 (up 70% YoY), including $0.60 from non-recurring gains.

• Operating income for Q2: $148.6M (up 9% YoY); operating margin at 26.6%–27%, up year-over-year but down sequentially.

• Assets under management at $517.5B (up 10% YoY), assets under administration/advisement at $1.7T (up 11% YoY).

• Net sales events in Q2 totaled $29.2M, with a record $160M in trailing twelve-month net sales events.

• Dividend per share was $0.49 in Q2 2025; 2.2M shares repurchased for $180.8M in Q2.

Outlook and guidance

• Management expects continued growth, supported by strong sales pipelines and ongoing investments in talent and technology.

• Stratos Wealth Holdings acquisition is expected to close in H2 2025, funded primarily with balance sheet cash.

• New platform for Investment Managers segment to be placed into service in H2 2025.

• Margins anticipated to remain at Q2 levels as investments continue ahead of expected growth.

• No material impact to future effective tax rates is expected from new tax legislation.