Raymond James Financial Reports Fiscal Fourth Quarter and Fiscal 2024 Results
Rhea-AI Summary
Raymond James Financial reported record financial results for fiscal 2024, with annual net revenues reaching $12.82 billion (up 10%) and net income available to common shareholders of $2.06 billion (up 19%). The fourth quarter saw record net revenues of $3.46 billion and net income of $601 million ($2.86 per diluted share). Client assets under administration reached a record $1.57 trillion, with Private Client Group assets in fee-based accounts at $875.2 billion. The company maintained strong capital ratios and returned approximately $1.3 billion to shareholders through share repurchases and dividends in fiscal 2024.
Positive
- Record annual net revenues of $12.82 billion, up 10% YoY
- Record net income of $2.06 billion, up 19% YoY
- Strong return on common equity of 18.9%
- Client assets under administration reached record $1.57 trillion
- Domestic Private Client Group net new assets of $60.7 billion for fiscal 2024
- Investment banking revenues up 58% YoY to $306 million in Q4
Negative
- Bank segment net interest margin declined 25 basis points YoY
- Criticized loans increased to 1.47% from 1.15% in previous quarter
News Market Reaction – RJF
In the trading session that priced this news, RJF gained 7.31%, reflecting a notable positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
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- Record annual net revenues of
$12.82 billion and record net income available to common shareholders of$2.06 billion for fiscal 2024, up10% and19% , respectively, over fiscal 2023 - Return on common equity of
18.9% and adjusted return on tangible common equity of23.3% (1) for fiscal 2024 - Record quarterly net revenues of
$3.46 billion , up13% over the prior year’s fiscal fourth quarter and7% over the preceding quarter - Record quarterly net income available to common shareholders of
$601 million , or$2.86 per diluted share; record quarterly adjusted net income available to common shareholders of$621 million (1), or$2.95 per diluted share(1) - Record client assets under administration of
$1.57 trillion and record Private Client Group assets in fee-based accounts of$875.2 billion , up25% and28% , respectively, over September 2023 - Domestic Private Client Group net new assets(2) of
$13.0 billion for the fiscal fourth quarter and$60.7 billion for fiscal 2024, annualized growth from beginning of period assets of4.0% and5.5% , respectively - Total clients’ domestic cash sweep and Enhanced Savings Program (“ESP”) balances of
$57.9 billion , up3% compared to both September 2023 and June 2024 - Returned approximately
$1.3 billion of capital to shareholders through the combination of share repurchases and dividends in fiscal 2024
Raymond James Financial, Inc. (NYSE: RJF) today reported record net revenues of
Record quarterly net revenues increased
For the fiscal year, record net revenues of
“We generated record net revenues and record net income for the fourth quarter and fiscal year 2024,” said Chair and CEO Paul Reilly. “Our record performance highlights the strength of our diverse and complementary businesses. We are well positioned entering fiscal 2025 with record client asset levels, healthy pipelines for growth across the business and ample funding to support balance sheet growth. We are focused on maintaining strong capital ratios and a flexible balance sheet to support our results in any market environment.”
Segment Results
Private Client Group
- Record quarterly net revenues of
$2.48 billion , up9% over the prior year’s fiscal fourth quarter and2% over the preceding quarter - Quarterly pre-tax income of
$461 million , down3% compared to the prior year’s fiscal fourth quarter and up5% over the preceding quarter - Record annual net revenues of
$9.46 billion and record annual pre-tax income of$1.79 billion , up9% and1% , respectively, over fiscal 2023 - Record Private Client Group assets under administration of
$1.51 trillion , up25% over September 2023 and6% over June 2024 - Record Private Client Group assets in fee-based accounts of
$875.2 billion , up28% over September 2023 and7% over June 2024 - Domestic Private Client Group net new assets(2) of
$13.0 billion for the fiscal fourth quarter, or annualized growth from beginning of period assets of4.0% ; Domestic Private Client Group net new assets(2) of$60.7 billion for fiscal 2024, or growth from beginning of year assets of5.5% - Total clients’ domestic cash sweep and ESP balances of
$57.9 billion , up3% over both the prior year’s fiscal fourth quarter and the preceding quarter
Record quarterly net revenues grew
“The Private Client Group achieved record results in fiscal 2024 as client assets exceeded
Capital Markets
- Quarterly net revenues of
$483 million , up42% over the prior year’s fiscal fourth quarter and46% over the preceding quarter - Quarterly pre-tax income of
$95 million - Quarterly investment banking revenues of
$306 million , up58% over the prior year’s fiscal fourth quarter and77% over the preceding quarter - Annual net revenues of
$1.47 billion , up21% over fiscal 2023; Annual pre-tax income of$67 million
Quarterly net revenues grew
“Investment banking results increased significantly driven by robust M&A and advisory revenues as the market environment became more constructive in support of transaction closings in the quarter,” said Reilly. “Our M&A pipeline remains healthy, and we are optimistic investments in our platform and people should drive growth in fiscal 2025.”
Asset Management
- Record quarterly net revenues of
$275 million , up17% over the prior year’s fiscal fourth quarter and4% over the preceding quarter - Record quarterly pre-tax income of
$116 million , up16% over the prior year’s fiscal fourth quarter and4% over the preceding quarter - Record annual net revenues of
$1.03 billion and record annual pre-tax income of$421 million , up16% and20% , respectively, over fiscal 2023 - Record financial assets under management of
$244.8 billion , up25% over September 2023 and7% over June 2024
Record quarterly net revenues grew
Bank
- Quarterly net revenues of
$433 million , down4% compared to the prior year’s fiscal fourth quarter and up4% over the preceding quarter - Quarterly pre-tax income of
$98 million , up26% over the prior year’s fiscal fourth quarter and down15% compared to the preceding quarter - Annual net revenues of
$1.72 billion and annual pre-tax income of$380 million , down15% and up2% compared to fiscal 2023, respectively - Bank segment net interest margin (“NIM”) of
2.62% for the quarter, down 25 basis points compared to the prior year’s fiscal fourth quarter and 2 basis points compared to the preceding quarter - Record net loans of
$46.0 billion , up5% over September 2023 and2% over June 2024
Quarterly pre-tax income increased
The credit quality of the loan portfolio remained solid. Criticized loans as a percent of total loans held for investment ended the quarter at
Other
The effective tax rate was
A conference call to discuss the results will take place today, Wednesday, October 23, at 5:00 p.m. ET. The live audio webcast, and the presentation which management will review on the call, will be available at www.raymondjames.com/investor-relations/financial-information/quarterly-earnings. An audio replay of the call will be available at the same location until January 22, 2025. For a listen-only connection to the conference call, please dial: 800-715-9871 (conference code: 3778589).
Click here to view full earnings results, earnings supplement, and earnings presentation.
About Raymond James Financial, Inc.
Raymond James Financial, Inc. (NYSE: RJF) is a leading diversified financial services company providing private client group, capital markets, asset management, banking and other services to individuals, corporations and municipalities. The company has approximately 8,800 financial advisors. Total client assets are
Forward-Looking Statements
Certain statements made in this press release may constitute “forward-looking statements” under the Private Securities Litigation Reform Act of 1995. Forward-looking statements include information concerning future strategic objectives, business prospects, anticipated savings, financial results (including expenses, earnings, liquidity, cash flow and capital expenditures), industry or market conditions (including changes in interest rates and inflation), demand for and pricing of our products (including cash sweep and deposit offerings), anticipated timing and benefits of our acquisitions, and our level of success integrating acquired businesses, anticipated results of litigation, regulatory developments, and general economic conditions. In addition, future or conditional verbs such as “will,” “may,” “could,” “should,” and “would,” as well as any other statement that necessarily depends on future events, are intended to identify forward-looking statements. Forward-looking statements are not guarantees, and they involve risks, uncertainties and assumptions. Although we make such statements based on assumptions that we believe to be reasonable, there can be no assurance that actual results will not differ materially from those expressed in the forward-looking statements. We caution investors not to rely unduly on any forward-looking statements and urge you to carefully consider the risks described in our filings with the Securities and Exchange Commission (the “SEC”) from time to time, including our most recent Annual Report on Form 10-K, and subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, which are available at www.raymondjames.com and the SEC’s website at www.sec.gov. We expressly disclaim any obligation to update any forward-looking statement in the event it later turns out to be inaccurate, whether as a result of new information, future events, or otherwise.
