0000720005false00007200052025-01-292025-01-290000720005us-gaap:CommonStockMember2025-01-292025-01-290000720005rjf:DepositarySharesSeriesBMember2025-01-292025-01-29
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
January 29, 2025
Date of Report (date of earliest event reported)
RAYMOND JAMES FINANCIAL, INC.
(Exact name of registrant as specified in its charter)
| | | | | | | | | | | | | | |
Florida | 1-9109 | 59-1517485 | |
(State or other jurisdiction of incorporation) | (Commission File Number) | (I.R.S. Employer Identification No.) | |
| |
880 Carillon Parkway | St. Petersburg | Florida | 33716 | |
(Address of principal executive offices) | | (Zip Code) | |
(727) 567-1000
(Registrant’s telephone number, including area code)
None
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Exchange Act:
| | | | | | | | |
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
| Common Stock, $.01 par value | RJF | New York Stock Exchange |
| Depositary Shares, Each Representing a 1/40th Interest in a Share of 6.375% Fixed-to-Floating Rate Series B Non-Cumulative Perpetual Preferred Stock | RJF PrB | New York Stock Exchange |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act (17 CFR 230.405) or Rule 12b-2 of the Exchange Act (17 CFR 240.12b-2).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
☐
Item 2.02 Results of Operations and Financial Condition
On January 29, 2025, Raymond James Financial, Inc. (the “Company”) issued a press release disclosing its results for the fiscal first quarter ended December 31, 2024. A copy of this press release is attached to this Current Report as Exhibit 99.1 and incorporated by reference herein. In addition, a copy of the Company’s Financial Supplement and Earnings Presentation for the fiscal first quarter ended December 31, 2024 are attached as Exhibits 99.2 and 99.3, respectively, to this Current Report and are incorporated by reference herein.
The information in this Current Report, including any exhibits hereto, is being “furnished” and shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference into any filing of the Company with the Securities and Exchange Commission, whether made before or after the date hereof, regardless of any general incorporation language in such filings (unless the Company specifically states that the information or exhibit in this particular report is incorporated by reference).
Item 9.01 Financial Statements and Exhibits
(d) Exhibits. The following are filed as exhibits to this report:
Exhibit No.
104 Cover Page Interactive Data File (embedded within the Inline XBRL document).
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| | | | | | | | |
| RAYMOND JAMES FINANCIAL, INC. |
| |
| |
Date: January 29, 2025 | By: | /s/ Jonathan W. Oorlog, Jr. |
| | Jonathan W. Oorlog, Jr. |
| | Chief Financial Officer |
| | | | | | | | |
| January 29, 2025 | | FOR IMMEDIATE RELEASE |
| | Media Contact: Steve Hollister, 727.567.2824 |
| | Investor Contact: Kristina Waugh, 727.567.7654 |
| | raymondjames.com/news-and-media/press-releases |
RAYMOND JAMES FINANCIAL REPORTS FISCAL FIRST QUARTER OF
2025 RESULTS
•Record quarterly net revenues of $3.54 billion, up 17% over the prior year’s fiscal first quarter and 2% over the preceding quarter
•Quarterly net income available to common shareholders of $599 million, or $2.86 per diluted share; quarterly adjusted net income available to common shareholders of $614 million(1), or $2.93 per diluted share(1)
•Client assets under administration of $1.56 trillion and record quarter-end Private Client Group assets in fee-based accounts of $876.6 billion, up 14% and 17%, respectively, over December 2023
•Domestic Private Client Group net new assets(2) of $14.0 billion for the fiscal first quarter, annualized growth from beginning of period assets of 4.0%
•Total clients’ domestic cash sweep and Enhanced Savings Program (“ESP”) balances of $59.7 billion, up 3% compared to both December 2023 and September 2024
•Increased quarterly cash dividend on common shares 11% to $0.50 per share and authorized common stock repurchases of up to $1.5 billion
ST. PETERSBURG, Fla – Raymond James Financial, Inc. (NYSE: RJF) today reported net revenues of $3.54 billion and net income available to common shareholders of $599 million, or $2.86 per diluted share, for the fiscal first quarter ended December 31, 2024. Excluding $20 million of expenses related to acquisitions, quarterly adjusted net income available to common shareholders was $614 million(1), or $2.93 per diluted share(1).
Compared to the prior-year quarter, record quarterly net revenues increased 17% and net income available to common shareholders increased 21% primarily driven by higher asset management and related administrative fees and investment banking revenues. Sequentially, quarterly net revenues increased 2% primarily driven by higher asset management and related administrative fees partially offset by lower affordable housing investments business revenues. Quarterly net income available to common shareholders nearly matched the record level from the preceding quarter. For the fiscal first quarter, annualized return on common equity and annualized adjusted return on tangible common equity were 20.4% and 24.6%(1), respectively.
“Fiscal 2025 started strong with year-over-year revenue growth of 17% and net income growth of 21% in the fiscal first quarter, driven by record asset management and related administrative fees and robust investment banking revenues,” said Chair and CEO Paul Reilly. “Despite some seasonal headwinds, we are optimistic entering the fiscal second quarter with strong client asset levels, solid loan growth and healthy activity levels for both financial advisor recruiting and investment banking.”
Please refer to the footnotes at the end of this press release for additional information.
1
Segment Results
Private Client Group
•Record quarterly net revenues of $2.55 billion, up 14% over the prior year’s fiscal first quarter and 3% over the preceding quarter
•Quarterly pre-tax income of $462 million, up 5% over the prior year’s fiscal first quarter and slightly higher than the preceding quarter
•Private Client Group assets under administration of $1.49 trillion, up 14% over December 2023 and down 1% compared to September 2024
•Record quarter-end Private Client Group assets in fee-based accounts of $876.6 billion, up 17% over December 2023 and up slightly over September 2024
•Domestic Private Client Group net new assets(2) of $14.0 billion for the fiscal first quarter, or annualized growth from beginning of period assets of 4.0%
•Total clients’ domestic cash sweep and ESP balances of $59.7 billion, up 3% over both the prior year’s fiscal first quarter and the preceding quarter
Record quarterly net revenues grew 14% year-over-year and 3% sequentially primarily driven by higher asset management and related administrative fees.
“The Private Client Group achieved record revenues in the fiscal first quarter largely driven by client asset growth over the prior-year quarter,” said Reilly. “Our client-first values, multiple affiliation model, and robust technology capabilities continue to support strong retention and fuel the strength and quality of the recruiting pipeline. In the fiscal quarter, we generated domestic net new assets of $14.0 billion(2), an annualized growth rate of 4.0%, a solid result despite the impact of the previously-announced departure of one large independent branch on the end-of-period asset levels.”
Capital Markets
•Quarterly net revenues of $480 million, up 42% over the prior year’s fiscal first quarter and down 1% compared to the preceding quarter
•Quarterly investment banking revenues of $317 million, up 86% over the prior year’s fiscal first quarter and 4% over the preceding quarter
•Quarterly pre-tax income of $74 million, up $71 million over the prior year’s fiscal first quarter and down $21 million compared to the preceding quarter
Quarterly net revenues grew 42% year-over-year primarily driven by robust investment banking growth. Sequentially, quarterly net revenues declined 1% mostly due to seasonally lower affordable housing investments business revenues. M&A and advisory revenues of $226 million grew 92% over the prior year’s fiscal first quarter and 10% over the preceding quarter.
“The robust M&A results this quarter reflect a second consecutive quarter of realization of the pipeline and the investments we’ve made in our platform and people over the years,” said Reilly. “We remain optimistic for the rest of the fiscal year as the market environment is more conducive to transaction closings and our platform and capabilities are well positioned.”
Please refer to the footnotes at the end of this press release for additional information.
2
Asset Management
•Record quarterly net revenues of $294 million, up 25% over the prior year’s fiscal first quarter and 7% over the preceding quarter
•Record quarterly pre-tax income of $125 million, up 34% over the prior year’s fiscal first quarter and 8% over the preceding quarter
•Financial assets under management of $243.9 billion, up 13% over December 2023 and just under the September 2024 levels
The increase in quarterly net revenues and pre-tax income over the prior year’s fiscal first quarter is largely attributable to higher financial assets under management due to higher equity markets and net inflows into fee-based accounts in the Private Client Group.
Bank
•Quarterly net revenues of $425 million, down 4% compared to the prior year’s fiscal first quarter and 2% compared to the preceding quarter
•Quarterly pre-tax income of $118 million, up 28% over the prior year’s fiscal first quarter and 20% over the preceding quarter
•Record net loans of $47.2 billion, up 7% over December 2023 and 3% over September 2024
•Bank segment net interest margin (“NIM”) of 2.60% for the quarter, down 14 basis points compared to the prior year’s fiscal first quarter and 2 basis points compared to the preceding quarter
•Bank loan provision for credit losses was nominal in the fiscal first quarter, $12 million lower than the prior year’s fiscal first quarter and $22 million lower than the preceding quarter
Quarterly pre-tax income increased 20% over the preceding quarter predominantly driven by a lower bank loan provision for credit losses, which offset a decline in net revenues. Net loans grew over the prior year’s fiscal first quarter and preceding quarter largely driven by continued growth of securities-based loans and residential mortgages.
The credit quality of the loan portfolio remains solid. Criticized loans as a percent of total loans held for investment ended the quarter at 1.26%, down from 1.47% in the preceding quarter. Bank loan allowance for credit losses as a percent of total loans held for investment was 0.95%, and bank loan allowance for credit losses on corporate loans as a percent of corporate loans held for investment was 1.93%.
Other
The effective tax rate was 19.9% for the quarter, reflecting a tax benefit recognized for share-based compensation that vested during the quarter.
In December, the Board of Directors increased the quarterly cash dividend on common shares 11% to $0.50 per share and authorized common stock repurchases of up to $1.5 billion, replacing the previous authorization. During the fiscal first quarter, the firm repurchased 310 thousand shares of common stock for $50 million at an average price of $161 per share. As of January 24, 2025, approximately $1.45 billion remained available under the Board’s approved common stock repurchase authorization. At the end of the quarter, the total capital ratio was 25.0%(3) and the tier 1 leverage ratio was 13.0%(3), both well above regulatory requirements.
A conference call to discuss the results will take place today, Wednesday, January 29, 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 April 29, 2025. For a listen-only connection to the conference call, please dial: 888-596-4144 (conference code: 3778589).
Please refer to the footnotes at the end of this press release for additional information.
3
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. Total client assets are $1.56 trillion. Public since 1983, the firm is listed on the New York Stock Exchange under the symbol RJF. Additional information is available at www.raymondjames.com.
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.
Please refer to the footnotes at the end of this press release for additional information.
4
| | | | | |
RAYMOND JAMES FINANCIAL, INC. Fiscal First Quarter of 2025 | Selected Financial Highlights
(Unaudited) |
Summary results of operations
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Three months ended | | | % change from |
$ in millions, except per share amounts | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | | December 31,
2023 | | September 30,
2024 |
| Net revenues | | $ | 3,537 | | | $ | 3,013 | |
| $ | 3,462 | | | | 17% | | 2% |
| Pre-tax income | | $ | 749 | | | $ | 630 | | | $ | 760 | | | | 19% | | (1)% |
| Net income available to common shareholders | | $ | 599 | | | $ | 497 | | | $ | 601 | | | | 21% | | —% |
| | | | | | | | | | | |
Earnings per common share: (4) | | | | | | | | | | | |
| Basic | | $ | 2.94 | | | $ | 2.38 | | | $ | 2.93 | | | | 24% | | —% |
| Diluted | | $ | 2.86 | | | $ | 2.32 | | | $ | 2.86 | | | | 23% | | —% |
| | | | | | | | | | | |
| | | | | | | | | | | |
Non-GAAP measures: (1) | | | | | | | | | | | |
Adjusted pre-tax income | | $ | 769 | | | $ | 653 | | | $ | 785 | | | | 18% | | (2)% |
| Adjusted net income available to common shareholders | | $ | 614 | | | $ | 514 | | | $ | 621 | | | | 19% | | (1)% |
Adjusted earnings per common share – basic (4) | | $ | 3.01 | | | $ | 2.46 | | | $ | 3.03 | | | | 22% | | (1)% |
Adjusted earnings per common share – diluted (4) | | $ | 2.93 | | | $ | 2.40 | | | $ | 2.95 | | | | 22% | | (1)% |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Other selected financial highlights | | Three months ended | | | |
| | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | | | | |
Return on common equity (5) | | 20.4 | % | | 19.1 | % | | 21.2 | % | | | | | |
Adjusted return on common equity (1) (5) | | 20.9 | % | | 19.7 | % | | 21.9 | % | | | | | |
| | | | | | | | | | | |
Adjusted return on tangible common equity (1) (5) | | 24.6 | % | | 23.8 | % | | 25.8 | % | | | | | |
Pre-tax margin (6) | | 21.2 | % | | 20.9 | % | | 22.0 | % | | | | | |
Adjusted pre-tax margin (1) (6) | | 21.7 | % | | 21.7 | % | | 22.7 | % | | | | | |
Total compensation ratio (7) | | 64.2 | % | | 63.8 | % | | 62.4 | % | | | | | |
Adjusted total compensation ratio (1) (7) | | 64.0 | % | | 63.4 | % | | 62.1 | % | | | | | |
| Effective tax rate | | 19.9 | % | | 21.0 | % | | 20.8 | % | | | | | |
Please refer to the footnotes at the end of this press release for additional information.
5
RAYMOND JAMES FINANCIAL, INC.
Fiscal First Quarter of 2025
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Consolidated Statements of Income
(Unaudited) |
| | | | | | |
| | Three months ended | | % change from |
| in millions, except per share amounts | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | December 31,
2023 | | September 30,
2024 |
| Revenues: | | | | | | | | | | |
| Asset management and related administrative fees | | $ | 1,743 | | | $ | 1,407 | | | $ | 1,662 | | | 24% | | 5% |
| Brokerage revenues: | | | | | | | | | | |
| Securities commissions | | 440 | | | 383 | | | 438 | | | 15% | | —% |
| Principal transactions | | 119 | | | 139 | | | 123 | | | (14)% | | (3)% |
| Total brokerage revenues | | 559 | | | 522 | | | 561 | | | 7% | | —% |
| Account and service fees | | 342 | | | 319 | | | 332 | | | 7% | | 3% |
| Investment banking | | 325 | | | 181 | | | 315 | | | 80% | | 3% |
| Interest income | | 1,027 | | | 1,053 | | | 1,073 | | | (2)% | | (4)% |
| Other | | 39 | | | 38 | | | 60 | | | 3% | | (35)% |
| Total revenues | | 4,035 | | | 3,520 | | | 4,003 | | | 15% | | 1% |
| Interest expense | | (498) | | | (507) | | | (541) | | | (2)% | | (8)% |
| Net revenues | | 3,537 | | | 3,013 | | | 3,462 | | | 17% | | 2% |
| Non-interest expenses: | | | | | | | | | | |
Compensation, commissions and benefits | | 2,272 | | | 1,921 | | | 2,159 | | | 18% | | 5% |
| Non-compensation expenses: | | | | | | | | | | |
| Communications and information processing | | 178 | | | 150 | | | 181 | | | 19% | | (2)% |
| Occupancy and equipment | | 73 | | | 72 | | | 76 | | | 1% | | (4)% |
| Business development | | 68 | | | 61 | | | 64 | | | 11% | | 6% |
| Investment sub-advisory fees | | 53 | | | 40 | | | 50 | | | 33% | | 6% |
| Professional fees | | 34 | | | 32 | | | 47 | | | 6% | | (28)% |
| Bank loan provision for credit losses | | — | | | 12 | | | 22 | | | NM | | NM |
| | | | | | | | | | |
| Other | | 110 | | | 95 | | | 103 | | | 16% | | 7% |
| Total non-compensation expenses | | 516 | | | 462 | | | 543 | | | 12% | | (5)% |
| Total non-interest expenses | | 2,788 | | | 2,383 | | | 2,702 | | | 17% | | 3% |
Pre-tax income | | 749 | | | 630 | | | 760 | | | 19% | | (1)% |
| Provision for income taxes | | 149 | | | 132 | | | 158 | | | 13% | | (6)% |
| Net income | | 600 | | | 498 | | | 602 | | | 20% | | —% |
| Preferred stock dividends | | 1 | | | 1 | | | 1 | | | —% | | —% |
| Net income available to common shareholders | | $ | 599 | | | $ | 497 | | | $ | 601 | | | 21% | | —% |
| | | | | | | | | | |
Earnings per common share – basic (4) | | $ | 2.94 | | | $ | 2.38 | | | $ | 2.93 | | | 24% | | —% |
Earnings per common share – diluted (4) | | $ | 2.86 | | | $ | 2.32 | | | $ | 2.86 | | | 23% | | —% |
| Weighted-average common shares outstanding – basic | | 203.7 | | | 208.6 | | | 204.7 | | | (2)% | | —% |
| Weighted-average common and common equivalent shares outstanding – diluted | | 209.2 | | | 213.8 | | | 210.1 | | | (2)% | | —% |
Please refer to the footnotes at the end of this press release for additional information.
6
| | | | | |
| RAYMOND JAMES FINANCIAL, INC. | Consolidated Selected Key Metrics |
Fiscal First Quarter of 2025 | (Unaudited) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | As of | | | % change from |
$ in millions, except per share amounts | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | | December 31,
2023 | | September 30,
2024 |
| Total assets | | $ | 82,282 | | | $ | 80,130 | | | $ | 82,992 | | | | 3% | | (1)% |
| Total common equity attributable to Raymond James Financial, Inc. | | $ | 11,844 | | | $ | 10,711 | | | $ | 11,594 | | | | 11% | | 2% |
Book value per share (8) | | $ | 57.89 | | | $ | 51.32 | | | $ | 57.03 | | | | 13% | | 2% |
Tangible book value per share (1) (8) | | $ | 49.49 | | | $ | 42.81 | | | $ | 48.43 | | | | 16% | | 2% |
| | | | | | | | | | | |
Capital ratios: | | | | | | | | | | | |
| Tier 1 leverage | | 13.0 | % | (3) | 12.1 | % | | 12.8 | % | | | | | |
| Tier 1 capital | | 23.7 | % | (3) | 21.6 | % | | 22.8 | % | | | | | |
| Common equity tier 1 | | 23.5 | % | (3) | 21.5 | % | | 22.6 | % | | | | | |
| Total capital | | 25.0 | % | (3) | 23.0 | % | | 24.1 | % | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | As of | | | % change from |
Client asset metrics ($ in billions) | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | | December 31,
2023 | | September 30,
2024 |
| Client assets under administration | | $ | 1,557.5 | | | $ | 1,370.6 | | | $ | 1,571.1 | | | | 14% | | (1)% |
| Private Client Group assets under administration | | $ | 1,491.8 | | | $ | 1,310.5 | | | $ | 1,507.0 | | | | 14% | | (1)% |
| Private Client Group assets in fee-based accounts | | $ | 876.6 | | | $ | 746.6 | | | $ | 875.2 | | | | 17% | | —% |
| Financial assets under management | | $ | 243.9 | | | $ | 215.0 | | | $ | 244.8 | | | | 13% | | —% |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | Three months ended | | | |
Net new assets metrics ($ in millions) | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | | | | |
Domestic Private Client Group net new assets (2) | | $ | 14,020 | | | $ | 21,575 | | | $ | 12,969 | | | | | | |
Domestic Private Client Group net new assets growth — annualized (2) | | 4.0 | % | | 7.8 | % | | 4.0 | % | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | As of | | | % change from |
Clients’ domestic cash sweep and Enhanced Savings Program balances ($ in millions) | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | | December 31,
2023 | | September 30,
2024 |
Raymond James Bank Deposit Program (“RJBDP”): (9) | | | | | | | | | | | |
| Bank segment | | $ | 23,946 | | | $ | 23,912 | | | $ | 23,978 | | | | —% | | —% |
| Third-party banks | | 20,341 | | | 17,820 | | | 18,226 | | | | 14% | | 12% |
| Subtotal RJBDP | | 44,287 | | | 41,732 | | | 42,204 | | | | 6% | | 5% |
| Client Interest Program | | 1,664 | | | 1,765 | | | 1,653 | | | | (6)% | | 1% |
Total clients’ domestic cash sweep balances | | 45,951 | | | 43,497 | | | 43,857 | | | | 6% | | 5% |
| | | | | | | | | | | |
| | | | | | | | | | | |
| | | | | | | | | | | |
Enhanced Savings Program (“ESP”) (10) | | 13,785 | | | 14,476 | | | 14,018 | | | | (5)% | | (2)% |
| Total clients’ domestic cash sweep and ESP balances | | $ | 59,736 | | | $ | 57,973 | | | $ | 57,875 | | | | 3% | | 3% |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net interest income and RJBDP fees ($ in millions) | | Three months ended | | % change from | | |
| December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | December 31,
2023 | | September 30,
2024 | | | | | | |
| Net interest income and RJBDP fees (third-party banks) | | $ | 673 | | | $ | 698 | | | $ | 678 | | | (4)% | | (1)% | | | | | | |
Average yield on RJBDP - third-party banks (11) | | 3.12 | % | | 3.66 | % | | 3.34 | % | | | | | | | | | | |
Please refer to the footnotes at the end of this press release for additional information.
7
| | | | | |
| RAYMOND JAMES FINANCIAL, INC. | Consolidated Net Interest |
Fiscal First Quarter of 2025 | (Unaudited) |
The following tables present our consolidated average interest-earning asset and interest-bearing liability balances, interest income and expense and the related rates.
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | Three months ended |
| | | December 31, 2024 | | | December 31, 2023 | | | September 30, 2024 |
| $ in millions | | Average
balance | | Interest | | Annualized
average
rate | | | Average
balance | | Interest | | Annualized
average
rate | | | Average
balance | | Interest | | Annualized
average
rate |
| | INTEREST-EARNING ASSETS |
| Bank segment | | | | | | | | | | | | | | | | | | | | |
| Cash and cash equivalents | | $ | 6,453 | | | $ | 76 | | | 4.65 | % | | | $ | 5,760 | | | $ | 79 | | | 5.41 | % | | | $ | 5,680 | | | $ | 75 | | | 5.29 | % |
| Available-for-sale securities | | 8,753 | | | 49 | | | 2.26 | % | | | 10,333 | | | 56 | | | 2.16 | % | | | 9,208 | | | 53 | | | 2.27 | % |
Loans held for sale and investment: (12) | | | | | | | | | | | | | | | | | | | | |
| Loans held for investment: | | | | | | | | | | | | | | | | | | | | |
Securities-based loans (“SBL”) (13) | | 16,485 | | | 270 | | | 6.40 | % | | | 14,587 | | | 266 | | | 7.16 | % | | | 15,832 | | | 283 | | | 7.01 | % |
| Commercial and industrial (“C&I”) loans | | 10,128 | | | 178 | | | 6.88 | % | | | 10,472 | | | 203 | | | 7.60 | % | | | 9,877 | | | 187 | | | 7.45 | % |
| Commercial real estate (“CRE”) loans | | 7,641 | | | 135 | | | 6.92 | % | | | 7,245 | | | 141 | | | 7.61 | % | | | 7,607 | | | 145 | | | 7.47 | % |
| Real estate investment trust (“REIT”) loans | | 1,653 | | | 31 | | | 7.35 | % | | | 1,694 | | | 34 | | | 7.76 | % | | | 1,800 | | | 36 | | | 7.73 | % |
| Residential mortgage loans | | 9,536 | | | 91 | | | 3.82 | % | | | 8,799 | | | 77 | | | 3.48 | % | | | 9,355 | | | 89 | | | 3.76 | % |
Tax-exempt loans (14) | | 1,305 | | | 9 | | | 3.36 | % | | | 1,481 | | | 10 | | | 3.27 | % | | | 1,381 | | | 9 | | | 3.35 | % |
| | | | | | | | | | | | | | | | | | | | |
| Loans held for sale | | 212 | | | 4 | | | 7.22 | % | | | 140 | | | 3 | | | 8.86 | % | | | 237 | | | 6 | | | 8.52 | % |
| Total loans held for sale and investment | | 46,960 | | | 718 | | | 6.02 | % | | | 44,418 | | | 734 | | | 6.51 | % | | | 46,089 | | | 755 | | | 6.45 | % |
| All other interest-earning assets | | 243 | | | 4 | | | 5.81 | % | | | 237 | | | 3 | | | 5.98 | % | | | 252 | | | 4 | | | 5.97 | % |
| Interest-earning assets — Bank segment | | $ | 62,409 | | | $ | 847 | | | 5.35 | % | | | $ | 60,748 | | | $ | 872 | | | 5.66 | % | | | $ | 61,229 | | | $ | 887 | | | 5.71 | % |
| All other segments | | | | | | | | | | | | | | | | | | | | |
| Cash and cash equivalents | | $ | 4,056 | | | $ | 48 | | | 4.72 | % | | | $ | 3,469 | | | $ | 53 | | | 6.07 | % | | | $ | 3,579 | | | $ | 53 | | | 5.85 | % |
| Assets segregated for regulatory purposes and restricted cash | | 3,648 | | | 42 | | | 4.55 | % | | | 3,623 | | | 47 | | | 5.13 | % | | | 3,423 | | | 43 | | | 4.96 | % |
| Trading assets — debt securities | | 1,395 | | | 19 | | | 5.41 | % | | | 1,100 | | | 15 | | | 5.57 | % | | | 1,344 | | | 19 | | | 5.49 | % |
| Brokerage client receivables | | 2,407 | | | 45 | | | 7.35 | % | | | 2,138 | | | 45 | | | 8.39 | % | | | 2,351 | | | 47 | | | 8.03 | % |
| All other interest-earning assets | | 2,579 | | | 26 | | | 3.93 | % | | | 1,936 | | | 21 | | | 3.92 | % | | | 2,421 | | | 24 | | | 4.21 | % |
| Interest-earning assets — all other segments | | $ | 14,085 | | | $ | 180 | | | 5.05 | % | | | $ | 12,266 | | | $ | 181 | | | 5.81 | % | | | $ | 13,118 | | | $ | 186 | | | 5.67 | % |
| Total interest-earning assets | | $ | 76,494 | | | $ | 1,027 | | | 5.29 | % | | | $ | 73,014 | | | $ | 1,053 | | | 5.69 | % | | | $ | 74,347 | | | $ | 1,073 | | | 5.70 | % |
| | | | | | | | | | | | | | | | | | | | |
| | INTEREST-BEARING LIABILITIES |
| Bank Segment | | | | | | | | | | | | | | | | | | | | |
| Bank deposits: | | | | | | | | | | | | | | | | | | | | |
Money market and savings accounts (9) | | $ | 32,548 | | | $ | 168 | | | 2.05 | % | | | $ | 32,001 | | | $ | 160 | | | 1.99 | % | | | $ | 31,697 | | | $ | 184 | | | 2.31 | % |
Interest-bearing demand deposits (10) | | 20,921 | | | 229 | | | 4.34 | % | | | 19,565 | | | 244 | | | 4.97 | % | | | 20,559 | | | 254 | | | 4.91 | % |
| Certificates of deposit | | 2,452 | | | 28 | | | 4.59 | % | | | 2,757 | | | 32 | | | 4.56 | % | | | 2,606 | | | 31 | | | 4.74 | % |
Total bank deposits (15) | | 55,921 | | | 425 | | | 3.02 | % | | | 54,323 | | | 436 | | | 3.19 | % | | | 54,862 | | | 469 | | | 3.40 | % |
| Federal Home Loan Bank (“FHLB”) advances and all other interest-bearing liabilities | | 1,091 | | | 8 | | | 2.69 | % | | | 1,231 | | | 10 | | | 3.03 | % | | | 1,071 | | | 7 | | | 2.40 | % |
| Interest-bearing liabilities — Bank segment | | $ | 57,012 | | | $ | 433 | | | 3.01 | % | | | $ | 55,554 | | | $ | 446 | | | 3.19 | % | | | $ | 55,933 | | | $ | 476 | | | 3.38 | % |
| All other segments | | | | | | | | | | | | | | | | | | | | |
| Trading liabilities — debt securities | | $ | 859 | | | $ | 11 | | | 5.07 | % | | | $ | 756 | | | $ | 11 | | | 5.66 | % | | | $ | 879 | | | $ | 11 | | | 5.01 | % |
| Brokerage client payables | | 4,771 | | | 20 | | | 1.65 | % | | | 4,668 | | | 20 | | | 1.72 | % | | | 4,573 | | | 20 | | | 1.77 | % |
| Senior notes payable | | 2,040 | | | 23 | | | 4.50 | % | | | 2,039 | | | 23 | | | 4.51 | % | | | 2,040 | | | 23 | | | 4.48 | % |
All other interest-bearing liabilities (15) | | 1,132 | | | 11 | | | 3.78 | % | | | 980 | | | 7 | | | 2.96 | % | | | 1,232 | | | 11 | | | 4.14 | % |
| Interest-bearing liabilities — all other segments | | $ | 8,802 | | | $ | 65 | | | 2.92 | % | | | $ | 8,443 | | | $ | 61 | | | 2.89 | % | | | $ | 8,724 | | | $ | 65 | | | 3.06 | % |
| Total interest-bearing liabilities | | $ | 65,814 | | | $ | 498 | | | 3.00 | % | | | $ | 63,997 | | | $ | 507 | | | 3.15 | % | | | $ | 64,657 | | | $ | 541 | | | 3.34 | % |
| Firmwide net interest income | | | | $ | 529 | | | | | | | | $ | 546 | | | | | | | | $ | 532 | | | |
| Net interest margin (net yield on interest-earning assets) | | | | | | | | | | | | | | | | | | | | |
| Bank segment | | | | | | 2.60 | % | | | | | | | 2.74 | % | | | | | | | 2.62 | % |
| Firmwide | | | | | | 2.74 | % | | | | | | | 2.97 | % | | | | | | | 2.85 | % |
Please refer to the footnotes at the end of this press release for additional information.
8
| | | | | |
| RAYMOND JAMES FINANCIAL, INC. | Segment Results |
Fiscal First Quarter of 2025 | (Unaudited) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Three months ended | | % change from |
| $ in millions | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | December 31,
2023 | | September 30,
2024 |
| Net revenues: | | | | | | | | | | |
| Private Client Group | | $ | 2,548 | | | $ | 2,226 | | | $ | 2,476 | | | 14% | | 3% |
| Capital Markets | | 480 | | | 338 | | | 483 | | | 42% | | (1)% |
| Asset Management | | 294 | | | 235 | | | 275 | | | 25% | | 7% |
| Bank | | 425 | | | 441 | | | 433 | | | (4)% | | (2)% |
Other (16) | | 12 | | | 26 | | | 28 | | | (54)% | | (57)% |
| Intersegment eliminations | | (222) | | | (253) | | | (233) | | | (12)% | | (5)% |
Total net revenues | | $ | 3,537 | | | $ | 3,013 | | | $ | 3,462 | | | 17% | | 2% |
| | | | | | | | | | |
Pre-tax income/(loss): | | | | | | | | | | |
| Private Client Group | | $ | 462 | | | $ | 439 | | | $ | 461 | | | 5% | | —% |
| Capital Markets | | 74 | | | 3 | | | 95 | | | 2,367% | | (22)% |
| Asset Management | | 125 | | | 93 | | | 116 | | | 34% | | 8% |
| Bank | | 118 | | | 92 | | | 98 | | | 28% | | 20% |
Other (16) | | (30) | | | 3 | | | (10) | | | NM | | (200)% |
Pre-tax income | | $ | 749 | | | $ | 630 | | | $ | 760 | | | 19% | | (1)% |
Please refer to the footnotes at the end of this press release for additional information.
9
| | | | | |
| RAYMOND JAMES FINANCIAL, INC. | Segment Results |
Fiscal First Quarter of 2025 | (Unaudited) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Private Client Group |
| | | | |
| | Three months ended | | % change from |
| $ in millions | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | December 31,
2023 | | September 30,
2024 |
| Revenues: | | | | | | | | | | |
| Asset management and related administrative fees | | $ | 1,476 | | | $ | 1,191 | | | $ | 1,408 | | | 24% | | 5% |
| Brokerage revenues: | | | | | | | | | | |
| Mutual and other fund products | | 152 | | | 136 | | | 148 | | | 12% | | 3% |
| Insurance and annuity products | | 118 | | | 125 | | | 137 | | | (6)% | | (14)% |
| Equities, exchange-traded funds (“ETFs”) and fixed income products | | 163 | | | 121 | | | 148 | | | 35% | | 10% |
| Total brokerage revenues | | 433 | | | 382 | | | 433 | | | 13% | | —% |
| Account and service fees: | | | | | | | | | | |
| Mutual fund and annuity service fees | | 126 | | | 106 | | | 122 | | | 19% | | 3% |
RJBDP fees: (9) | | | | | | | | | | |
| Bank segment | | 187 | | | 223 | | | 197 | | | (16)% | | (5)% |
| Third-party banks | | 144 | | | 152 | | | 146 | | | (5)% | | (1)% |
| Client account and other fees | | 70 | | | 65 | | | 69 | | | 8% | | 1% |
| Total account and service fees | | 527 | | | 546 | | | 534 | | | (3)% | | (1)% |
| Investment banking | | 8 | | | 11 | | | 9 | | | (27)% | | (11)% |
Interest income (17) | | 126 | | | 118 | | | 119 | | | 7% | | 6% |
| All other | | 5 | | | 4 | | | 4 | | | 25% | | 25% |
| Total revenues | | 2,575 | | | 2,252 | | | 2,507 | | | 14% | | 3% |
| Interest expense | | (27) | | | (26) | | | (31) | | | 4% | | (13)% |
| Net revenues | | 2,548 | | | 2,226 | | | 2,476 | | | 14% | | 3% |
| Non-interest expenses: | | | | | | | | | | |
| Financial advisor compensation and benefits | | 1,413 | | | 1,190 | | | 1,364 | | | 19% | | 4% |
| Administrative compensation and benefits | | 418 | | | 379 | | | 387 | | | 10% | | 8% |
| Total compensation, commissions and benefits | | 1,831 | | | 1,569 | | | 1,751 | | | 17% | | 5% |
| Non-compensation expenses | | 255 | | | 218 | | | 264 | | | 17% | | (3)% |
| Total non-interest expenses | | 2,086 | | | 1,787 | | | 2,015 | | | 17% | | 4% |
| Pre-tax income | | $ | 462 | | | $ | 439 | | | $ | 461 | | | 5% | | —% |
Please refer to the footnotes at the end of this press release for additional information.
10
| | | | | |
| RAYMOND JAMES FINANCIAL, INC. | Segment Results |
Fiscal First Quarter of 2025 | (Unaudited) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Capital Markets |
| | | | |
| | Three months ended | | % change from |
| $ in millions | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | December 31,
2023 | | September 30,
2024 |
| Revenues: | | | | | | | | | | |
| Brokerage revenues: | | | | | | | | | | |
| Fixed income | | $ | 85 | | | $ | 102 | | | $ | 91 | | | (17)% | | (7)% |
| Equity | | 41 | | | 38 | | | 36 | | | 8% | | 14% |
| Total brokerage revenues | | 126 | | | 140 | | | 127 | | | (10)% | | (1)% |
| Investment banking: | | | | | | | | | | |
| Merger & acquisition and advisory | | 226 | | | 118 | | | 205 | | | 92% | | 10% |
| Equity underwriting | | 35 | | | 26 | | | 49 | | | 35% | | (29)% |
| Debt underwriting | | 56 | | | 26 | | | 52 | | | 115% | | 8% |
| Total investment banking | | 317 | | | 170 | | | 306 | | | 86% | | 4% |
| Interest income | | 29 | | | 23 | | | 28 | | | 26% | | 4% |
| Affordable housing investments business revenues | | 29 | | | 23 | | | 43 | | | 26% | | (33)% |
| All other | | 5 | | | 4 | | | 6 | | | 25% | | (17)% |
| Total revenues | | 506 | | | 360 | | | 510 | | | 41% | | (1)% |
| Interest expense | | (26) | | | (22) | | | (27) | | | 18% | | (4)% |
| Net revenues | | 480 | | | 338 | | | 483 | | | 42% | | (1)% |
| Non-interest expenses: | | | | | | | | | | |
Compensation, commissions and benefits | | 301 | | | 238 | | | 281 | | | 26% | | 7% |
| Non-compensation expenses | | 105 | | | 97 | | | 107 | | | 8% | | (2)% |
| Total non-interest expenses | | 406 | | | 335 | | | 388 | | | 21% | | 5% |
| Pre-tax income | | $ | 74 | | | $ | 3 | | | $ | 95 | | | 2,367% | | (22)% |
Please refer to the footnotes at the end of this press release for additional information.
11
| | | | | |
| RAYMOND JAMES FINANCIAL, INC. | Segment Results |
Fiscal First Quarter of 2025 | (Unaudited) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Asset Management |
| | | | | | | | | | |
| | Three months ended | | % change from |
| $ in millions | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | December 31,
2023 | | September 30,
2024 |
| Revenues: | | | | | | | | | | |
Asset management and related administrative fees: | | | | | | | | | | |
| Managed programs | | $ | 189 | | | $ | 150 | | | $ | 176 | | | 26% | | 7% |
| Administration and other | | 93 | | | 74 | | | 87 | | | 26% | | 7% |
Total asset management and related administrative fees | | 282 | | | 224 | | | 263 | | | 26% | | 7% |
| Account and service fees | | 6 | | | 6 | | | 6 | | | —% | | —% |
| All other | | 6 | | | 5 | | | 6 | | | 20% | | —% |
| Net revenues | | 294 | | | 235 | | | 275 | | | 25% | | 7% |
| Non-interest expenses: | | | | | | | | | | |
Compensation, commissions and benefits | | 58 | | | 53 | | | 56 | | | 9% | | 4% |
| Non-compensation expenses | | 111 | | | 89 | | | 103 | | | 25% | | 8% |
| Total non-interest expenses | | 169 | | | 142 | | | 159 | | | 19% | | 6% |
Pre-tax income | | $ | 125 | | | $ | 93 | | | $ | 116 | | | 34% | | 8% |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| Bank |
| | | | |
| | Three months ended | | % change from |
| $ in millions | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | December 31,
2023 | | September 30,
2024 |
| Revenues: | | | | | | | | | | |
| Interest income | | $ | 847 | | | $ | 872 | | | $ | 887 | | | (3)% | | (5)% |
| Interest expense | | (433) | | | (446) | | | (476) | | | (3)% | | (9)% |
| Net interest income | | 414 | | | 426 | | | 411 | | | (3)% | | 1% |
| All other | | 11 | | | 15 | | | 22 | | | (27)% | | (50)% |
| Net revenues | | 425 | | | 441 | | | 433 | | | (4)% | | (2)% |
| Non-interest expenses: | | | | | | | | | | |
| Compensation and benefits | | 46 | | | 43 | | | 44 | | | 7% | | 5% |
| Non-compensation expenses: | | | | | | | | | | |
| Bank loan provision for credit losses | | — | | | 12 | | | 22 | | | NM | | NM |
RJBDP fees to Private Client Group (9) | | 187 | | | 223 | | | 197 | | | (16)% | | (5)% |
| All other | | 74 | | | 71 | | | 72 | | | 4% | | 3% |
| Total non-compensation expenses | | 261 | | | 306 | | | 291 | | | (15)% | | (10)% |
| Total non-interest expenses | | 307 | | | 349 | | | 335 | | | (12)% | | (8)% |
| Pre-tax income | | $ | 118 | | | $ | 92 | | | $ | 98 | | | 28% | | 20% |
Please refer to the footnotes at the end of this press release for additional information.
12
| | | | | |
| RAYMOND JAMES FINANCIAL, INC. | Segment Results |
Fiscal First Quarter of 2025 | (Unaudited) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Other (16) |
| | | | | | | | | | |
| | Three months ended | | % change from |
| $ in millions | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | December 31,
2023 | | September 30,
2024 |
| Revenues: | | | | | | | | | | |
Interest income (17) | | $ | 34 | | | $ | 49 | | | $ | 53 | | | (31)% | | (36)% |
| All other | | 3 | | | 2 | | | — | | | 50% | | NM |
| Total revenues | | 37 | | | 51 | | | 53 | | | (27)% | | (30)% |
| Interest expense | | (25) | | | (25) | | | (25) | | | —% | | —% |
| Net revenues | | 12 | | | 26 | | | 28 | | | (54)% | | (57)% |
| Non-interest expenses: | | | | | | | | | | |
| Compensation and benefits | | 36 | | | 17 | | | 26 | | | 112% | | 38% |
| | | | | | | | | | |
| All other | | 6 | | | 6 | | | 12 | | | —% | | (50)% |
| Total non-interest expenses | | 42 | | | 23 | | | 38 | | | 83% | | 11% |
| Pre-tax income/(loss) | | $ | (30) | | | $ | 3 | | | $ | (10) | | | NM | | (200)% |
Please refer to the footnotes at the end of this press release for additional information.
13
| | | | | |
| RAYMOND JAMES FINANCIAL, INC. | Bank Segment Selected Key Metrics |
Fiscal First Quarter of 2025 | (Unaudited) |
Bank Segment
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | As of | | % change from |
$ in millions | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | December 31,
2023 | | September 30,
2024 |
| Total assets | | $ | 62,278 | | | $ | 61,517 | | | $ | 62,367 | | | 1% | | —% |
| | | | | | | | | | |
| Bank loans, net | | $ | 47,164 | | | $ | 44,182 | | | $ | 45,994 | | | 7% | | 3% |
| | | | | | | | | | |
| Bank loan allowance for credit losses | | $ | 452 | | | $ | 479 | | | $ | 457 | | | (6)% | | (1)% |
| Bank loan allowance for credit losses as a % of total loans held for investment | | 0.95 | % | | 1.08 | % | | 0.99 | % | | | | |
Bank loan allowance for credit losses on corporate loans as a % of corporate loans held for investment (18) | | 1.93 | % | | 2.06 | % | | 1.99 | % | | | | |
| | | | | | | | | | |
| Total nonperforming assets | | $ | 161 | | | $ | 164 | | | $ | 175 | | | (2)% | | (8)% |
| Nonperforming assets as a % of total assets | | 0.26 | % | | 0.27 | % | | 0.28 | % | | | | |
| | | | | | | | | | |
| Total criticized loans | | $ | 599 | | | $ | 472 | | | $ | 679 | | | 27% | | (12)% |
| Criticized loans as a % of total loans held for investment | | 1.26 | % | | 1.06 | % | | 1.47 | % | | | | |
| | | | | | | | | | |
| Total bank deposits | | $ | 55,850 | | | $ | 55,393 | | | $ | 56,010 | | | 1% | | —% |
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| | Three months ended | | % change from | | |
| $ in millions | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | December 31,
2023 | | September 30,
2024 | | | | | | |
| Net interest margin (net yield on interest-earning assets) | | 2.60 | % | | 2.74 | % | | 2.62 | % | | | | | | | | | | |
| | | | | | | | | | | | | | | | |
| Bank loan provision for credit losses | | $ | — | | | $ | 12 | | | $ | 22 | | | NM | | NM | | | | | | |
| Net charge-offs | | $ | 4 | | | $ | 8 | | | $ | 20 | | | (50)% | | (80)% | | | | | | |
Please refer to the footnotes at the end of this press release for additional information.
14
| | | | | |
| RAYMOND JAMES FINANCIAL, INC. | Non-GAAP Financial Measures |
Fiscal First Quarter of 2025 | (Unaudited) |
Reconciliation of non-GAAP financial measures to GAAP financial measures
We utilize certain non-GAAP financial measures as additional measures to aid in, and enhance, the understanding of our financial results and related measures. These non-GAAP financial measures have been separately identified in this document. We believe certain of these non-GAAP financial measures provide useful information to management and investors by excluding certain material items that may not be indicative of our core operating results. We utilize these non-GAAP financial measures in assessing the financial performance of the business, as they facilitate a comparison of current- and prior-period results. We believe that return on tangible common equity and tangible book value per share are meaningful to investors as they facilitate comparisons of our results to the results of other companies. In the following tables, the tax effect of non-GAAP adjustments reflects the statutory rate associated with each non-GAAP item. These non-GAAP financial measures should be considered in addition to, and not as a substitute for, measures of financial performance prepared in accordance with GAAP. In addition, our non-GAAP financial measures may not be comparable to similarly titled non-GAAP financial measures of other companies. The following tables provide a reconciliation of non-GAAP financial measures to the most directly comparable GAAP measures.
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | Three months ended | | | |
| $ in millions | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | | | | |
| Net income available to common shareholders | | $ | 599 | | | $ | 497 | | | $ | 601 | | | | | | |
Non-GAAP adjustments: | | | | | | | | | | | |
| Expenses related to acquisitions: | | | | | | | | | | | |
| | | | | | | | | | | |
Compensation, commissions and benefits (19) | | 8 | | | 11 | | | 9 | | | | | | |
| | | | | | | | | | | |
| | | | | | | | | | | |
| Communications and information processing | | — | | | — | | | 1 | | | | | | |
| Professional fees | | 1 | | | 1 | | | 1 | | | | | | |
| | | | | | | | | | | |
| Other: | | | | | | | | | | | |
Amortization of identifiable intangible assets (20) | | 11 | | | 11 | | | 11 | | | | | | |
| | | | | | | | | | | |
| All other acquisition-related expenses | | — | | | — | | | 3 | | | | | | |
| Total “Other” expense | | 11 | | | 11 | | | 14 | | | | | | |
| Total pre-tax impact of non-GAAP adjustments related to acquisitions | | 20 | | | 23 | | | 25 | | | | | | |
| | | | | | | | | | | |
| | | | | | | | | | | |
Tax effect of non-GAAP adjustments | | (5) | | | (6) | | | (5) | | | | | | |
Total non-GAAP adjustments, net of tax | | 15 | | | 17 | | | 20 | | | | | | |
Adjusted net income available to common shareholders (1) | | $ | 614 | | | $ | 514 | | | $ | 621 | | | | | | |
| | | | | | | | | | | |
Pre-tax income | | $ | 749 | | | $ | 630 | | | $ | 760 | | | | | | |
Pre-tax impact of non-GAAP adjustments (as detailed above) | | 20 | | | 23 | | | 25 | | | | | | |
Adjusted pre-tax income (1) | | $ | 769 | | | $ | 653 | | | $ | 785 | | | | | | |
| | | | | | | | | | | |
| Compensation, commissions and benefits expense | | $ | 2,272 | | | $ | 1,921 | | | $ | 2,159 | | | | | | |
Less: Acquisition-related retention (19) | | 8 | | | 11 | | | 9 | | | | | | |
Adjusted “Compensation, commissions and benefits” expense (1) | | $ | 2,264 | | | $ | 1,910 | | | $ | 2,150 | | | | | | |
| | | | | | | | | | | |
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| | | | | | | | | | | |
Please refer to the footnotes at the end of this press release for additional information.
15
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| RAYMOND JAMES FINANCIAL, INC. | Non-GAAP Financial Measures |
Fiscal First Quarter of 2025 | (Unaudited) |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Reconciliation of non-GAAP financial measures to GAAP financial measures |
| (Continued from previous page) |
| | | | | | | | | | | |
| | Three months ended | | | |
| | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | | | | |
Pre-tax margin (6) | | 21.2 | % | | 20.9 | % | | 22.0 | % | | | | | |
Impact of non-GAAP adjustments on pre-tax margin: | | | | | | | | | | | |
| Expenses related to acquisitions: | | | | | | | | | | | |
| | | | | | | | | | | |
Compensation, commissions and benefits (19) | | 0.2 | % | | 0.4 | % | | 0.3 | % | | | | | |
| | | | | | | | | | | |
| | | | | | | | | | | |
| Communications and information processing | | — | % | | — | % | | — | % | | | | | |
| Professional fees | | — | % | | — | % | | — | % | | | | | |
| | | | | | | | | | | |
| Other: | | | | | | | | | | | |
Amortization of identifiable intangible assets (20) | | 0.3 | % | | 0.4 | % | | 0.3 | % | | | | | |
| | | | | | | | | | | |
| All other acquisition-related expenses | | — | % | | — | % | | 0.1 | % | | | | | |
| Total “Other” expense | | 0.3 | % | | 0.4 | % | | 0.4 | % | | | | | |
| Total pre-tax impact of non-GAAP adjustments related to acquisitions | | 0.5 | % | | 0.8 | % | | 0.7 | % | | | | | |
| | | | | | | | | | | |
| | | | | | | | | | | |
Adjusted pre-tax margin (1) (6) | | 21.7 | % | | 21.7 | % | | 22.7 | % | | | | | |
| | | | | | | | | | | |
Total compensation ratio (7) | | 64.2 | % | | 63.8 | % | | 62.4 | % | | | | | |
Less the impact of non-GAAP adjustments on compensation ratio: | | | | | | | | | | | |
Acquisition-related retention (19) | | 0.2 | % | | 0.4 | % | | 0.3 | % | | | | | |
| | | | | | | | | | | |
| | | | | | | | | | | |
Adjusted total compensation ratio (1) (7) | | 64.0 | % | | 63.4 | % | | 62.1 | % | | | | | |
| | | | | | | | | | | |
| | | | | | | | | | | |
| | | | | | | | | | | |
Please refer to the footnotes at the end of this press release for additional information.
16
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| RAYMOND JAMES FINANCIAL, INC. | Non-GAAP Financial Measures |
Fiscal First Quarter of 2025 | (Unaudited) |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Reconciliation of non-GAAP financial measures to GAAP financial measures |
| (Continued from previous page) |
| | | | | | | | | | | |
| | Three months ended | | | |
Earnings per common share (4) | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | | | | |
| Basic | | $ | 2.94 | | | $ | 2.38 | | | $ | 2.93 | | | | | | |
Impact of non-GAAP adjustments on basic earnings per common share: | | | | | | | | | | | |
| Expenses related to acquisitions: | | | | | | | | | | | |
| | | | | | | | | | | |
Compensation, commissions and benefits (19) | | 0.04 | | | 0.05 | | | 0.04 | | | | | | |
| | | | | | | | | | | |
| | | | | | | | | | | |
| Communications and information processing | | — | | | — | | | — | | | | | | |
| Professional fees | | — | | | 0.01 | | | 0.01 | | | | | | |
| | | | | | | | | | | |
| Other: | | | | | | | | | | | |
Amortization of identifiable intangible assets (20) | | 0.05 | | | 0.05 | | | 0.05 | | | | | | |
| | | | | | | | | | | |
| All other acquisition-related expenses | | — | | | — | | | 0.02 | | | | | | |
| Total “Other” expense | | 0.05 | | | 0.05 | | | 0.07 | | | | | | |
| Total pre-tax impact of non-GAAP adjustments related to acquisitions | | 0.09 | | | 0.11 | | | 0.12 | | | | | | |
| | | | | | | | | | | |
Tax effect of non-GAAP adjustments | | (0.02) | | | (0.03) | | | (0.02) | | | | | | |
| Total non-GAAP adjustments, net of tax | | 0.07 | | | 0.08 | | | 0.10 | | | | | | |
Adjusted basic (1) | | $ | 3.01 | | | $ | 2.46 | | | $ | 3.03 | | | | | | |
| | | | | | | | | | | |
| Diluted | | $ | 2.86 | | | $ | 2.32 | | | $ | 2.86 | | | | | | |
| Impact of non-GAAP adjustments on diluted earnings per common share: | | | | | | | | | | | |
| Expenses related to acquisitions: | | | | | | | | | | | |
| | | | | | | | | | | |
Compensation, commissions and benefits (19) | | 0.04 | | | 0.05 | | | 0.04 | | | | | | |
| | | | | | | | | | | |
| | | | | | | | | | | |
| Communications and information processing | | — | | | — | | | — | | | | | | |
| Professional fees | | — | | | 0.01 | | | — | | | | | | |
| | | | | | | | | | | |
| Other: | | | | | | | | | | | |
Amortization of identifiable intangible assets (20) | | 0.05 | | | 0.05 | | | 0.05 | | | | | | |
| | | | | | | | | | | |
| All other acquisition-related expenses | | — | | | — | | | 0.02 | | | | | | |
| Total “Other” expense | | 0.05 | | | 0.05 | | | 0.07 | | | | | | |
| Total pre-tax impact of non-GAAP adjustments related to acquisitions | | 0.09 | | | 0.11 | | | 0.11 | | | | | | |
| | | | | | | | | | | |
Tax effect of non-GAAP adjustments | | (0.02) | | | (0.03) | | | (0.02) | | | | | | |
| Total non-GAAP adjustments, net of tax | | 0.07 | | | 0.08 | | | 0.09 | | | | | | |
Adjusted diluted (1) | | $ | 2.93 | | | $ | 2.40 | | | $ | 2.95 | | | | | | |
Please refer to the footnotes at the end of this press release for additional information.
17
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| RAYMOND JAMES FINANCIAL, INC. | Non-GAAP Financial Measures |
Fiscal First Quarter of 2025 | (Unaudited) |
Reconciliation of non-GAAP financial measures to GAAP financial measures
(Continued from previous page)
| | | | | | | | | | | | | | | | | | | | |
| Book value per share | | As of |
| $ in millions, except per share amounts | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 |
| Total common equity attributable to Raymond James Financial, Inc. | | $ | 11,844 | | | $ | 10,711 | | | $ | 11,594 | |
Less non-GAAP adjustments: | | | | | | |
Goodwill and identifiable intangible assets, net | | 1,858 | | | 1,908 | | | 1,886 | |
| Deferred tax liabilities related to goodwill and identifiable intangible assets, net | | (139) | | | (132) | | | (138) | |
Tangible common equity attributable to Raymond James Financial, Inc. (1) | | $ | 10,125 | | | $ | 8,935 | | | $ | 9,846 | |
| Common shares outstanding | | 204.6 | | | 208.7 | | | 203.3 | |
Book value per share (8) | | $ | 57.89 | | | $ | 51.32 | | | $ | 57.03 | |
Tangible book value per share (1) (8) | | $ | 49.49 | | | $ | 42.81 | | | $ | 48.43 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Return on common equity | | Three months ended | | | |
| $ in millions | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | | | | |
Average common equity (21) | | $ | 11,719 | | | $ | 10,423 | | | $ | 11,356 | | | | | | |
Impact of non-GAAP adjustments on average common equity: | | | | | | | | | | | |
| Expenses related to acquisitions: | | | | | | | | | | | |
| | | | | | | | | | | |
Compensation, commissions and benefits (19) | | 4 | | | 6 | | | 5 | | | | | | |
| | | | | | | | | | | |
| | | | | | | | | | | |
| Communications and information processing | | — | | | — | | | — | | | | | | |
| Professional fees | | 1 | | | — | | | 1 | | | | | | |
| | | | | | | | | | | |
| Other: | | | | | | | | | | | |
Amortization of identifiable intangible assets (20) | | 6 | | | 6 | | | 6 | | | | | | |
| | | | | | | | | | | |
| All other acquisition-related expenses | | — | | | — | | | 1 | | | | | | |
| Total “Other” expense | | 6 | | | 6 | | | 7 | | | | | | |
| Total pre-tax impact of non-GAAP adjustments related to acquisitions | | 11 | | | 12 | | | 13 | | | | | | |
| | | | | | | | | | | |
Tax effect of non-GAAP adjustments | | (3) | | | (3) | | | (3) | | | | | | |
| Total non-GAAP adjustments, net of tax | | 8 | | | 9 | | | 10 | | | | | | |
Adjusted average common equity (1) (21) | | $ | 11,727 | | | $ | 10,432 | | | $ | 11,366 | | | | | | |
Please refer to the footnotes at the end of this press release for additional information.
18
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| RAYMOND JAMES FINANCIAL, INC. | Non-GAAP Financial Measures |
Fiscal First Quarter of 2025 | (Unaudited) |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Reconciliation of non-GAAP financial measures to GAAP financial measures |
| (Continued from previous page) |
| | | | | | | | | | | |
| | Three months ended | | | |
| $ in millions | | December 31,
2024 | | December 31,
2023 | | September 30,
2024 | | | | | |
Average common equity (21) | | $ | 11,719 | | | $ | 10,423 | | | $ | 11,356 | | | | | | |
Less: | | | | | | | | | | | |
| Average goodwill and identifiable intangible assets, net | | 1,872 | | | 1,908 | | | 1,885 | | | | | | |
| Average deferred tax liabilities related to goodwill and identifiable intangible assets, net | | (139) | | | (132) | | | (137) | | | | | | |
Average tangible common equity (1) (21) | | $ | 9,986 | | | $ | 8,647 | | | $ | 9,608 | | | | | | |
| Impact of non-GAAP adjustments on average tangible common equity: | | | | | | | | | | | |
| Expenses related to acquisitions: | | | | | | | | | | | |
| | | | | | | | | | | |
Compensation, commissions and benefits (19) | | 4 | | | 6 | | | 5 | | | | | | |
| | | | | | | | | | | |
| | | | | | | | | | | |
| Communications and information processing | | — | | | — | | | — | | | | | | |
| Professional fees | | 1 | | | — | | | 1 | | | | | | |
| | | | | | | | | | | |
| Other: | | | | | | | | | | | |
Amortization of identifiable intangible assets (20) | | 6 | | | 6 | | | 6 | | | | | | |
| | | | | | | | | | | |
| All other acquisition-related expenses | | — | | | — | | | 1 | | | | | | |
| Total “Other” expense | | 6 | | | 6 | | | 7 | | | | | | |
| Total pre-tax impact of non-GAAP adjustments related to acquisitions | | 11 | | | 12 | | | 13 | | | | | | |
| | | | | | | | | | | |
Tax effect of non-GAAP adjustments | | (3) | | | (3) | | | (3) | | | | | | |
| Total non-GAAP adjustments, net of tax | | 8 | | | 9 | | | 10 | | | | | | |
Adjusted average tangible common equity (1) (21) | | $ | 9,994 | | | $ | 8,656 | | | $ | 9,618 | | | | | | |
| | | | | | | | | | | |
Return on common equity (5) | | 20.4 | % | | 19.1 | % | | 21.2 | % | | | | | |
Adjusted return on common equity (1) (5) | | 20.9 | % | | 19.7 | % | | 21.9 | % | | | | | |
Return on tangible common equity (1) (5) | | 24.0 | % | | 23.0 | % | | 25.0 | % | | | | | |
Adjusted return on tangible common equity (1) (5) | | 24.6 | % | | 23.8 | % | | 25.8 | % | | | | | |
Please refer to the footnotes at the end of this press release for additional information.
19
RAYMOND JAMES FINANCIAL, INC.
Fiscal First Quarter of 2025 Footnotes
| | | | | | | | |
| (1) | | These are non-GAAP financial measures. See the schedules on the previous pages for a reconciliation of non-GAAP financial measures to the most directly comparable GAAP measures and for more information on these measures. |
| | |
| (2) | | Domestic Private Client Group net new assets represents domestic Private Client Group client inflows, including dividends and interest, less domestic Private Client Group client outflows, including commissions, advisory fees, and other fees. The domestic Private Client Group net new asset growth — annualized percentage is based on the beginning domestic Private Client Group assets under administration balance for the indicated period. |
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| (3) | | Estimated. |
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| (4) | | Earnings per common share is computed by dividing net income available to common shareholders (less allocation of earnings and dividends to participating securities) by weighted-average common shares outstanding (basic or diluted as applicable) for each respective period or, in the case of adjusted earnings per common share, computed by dividing adjusted net income available to common shareholders (less allocation of earnings and dividends to participating securities) by weighted-average common shares outstanding (basic or diluted as applicable) for each respective period. The allocations of earnings and dividends to participating securities were $1 million for each of the three months ended December 31, 2024, December 31, 2023, and September 30, 2024. |
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| (5) | | Return on common equity is computed by dividing annualized net income available to common shareholders by average common equity for each respective period or, in the case of return on tangible common equity, computed by dividing annualized net income available to common shareholders by average tangible common equity for each respective period. Adjusted return on common equity is computed by dividing annualized adjusted net income available to common shareholders by adjusted average common equity for each respective period, or in the case of adjusted return on tangible common equity, computed by dividing annualized adjusted net income available to common shareholders by adjusted average tangible common equity for each respective period. Tangible common equity is defined as total common equity attributable to Raymond James Financial, Inc. less goodwill and identifiable intangible assets, net of related deferred taxes. |
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| (6) | | Pre-tax margin is computed by dividing pre-tax income by net revenues for each respective period or, in the case of adjusted pre-tax margin, computed by dividing adjusted pre-tax income by net revenues for each respective period. |
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| (7) | | Total compensation ratio is computed by dividing compensation, commissions and benefits expense by net revenues for each respective period or, in the case of adjusted total compensation ratio, computed by dividing adjusted compensation, commissions and benefits expense by net revenues for each respective period. |
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| (8) | | Book value per share is computed by dividing total common equity attributable to Raymond James Financial, Inc. by the number of common shares outstanding at the end of each respective period or, in the case of tangible book value per share, computed by dividing tangible common equity by the number of common shares outstanding at the end of each respective period. |
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| (9) | | We earn fees from the RJBDP, a multi-bank sweep program in which clients’ cash deposits in their brokerage accounts are swept into interest-bearing deposit accounts at our Bank segment, as well as various third-party banks. RJBDP balances swept to our Bank segment are reflected in Bank deposits on our Consolidated Statement of Financial Condition and within money market and other savings accounts in our net interest disclosures in this release. RJBDP balances swept to third-party banks are not included in our Bank deposits on our Consolidated Statement of Financial Condition given those deposits are held by third-party banks. Fees earned from the RJBDP are included in “Account and service fees” on our Consolidated Statements of Income, and those fees earned by the Private Client Group segment on deposits held by our Bank segment are eliminated in consolidation. |
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| (10) | | Our Enhanced Savings Program is a deposit offering in which Private Client Group clients may deposit cash in a high-yield Raymond James Bank account. ESP balances held at Raymond James Bank as of the respective period end are reflected in Bank deposits on our Consolidated Statement of Financial Condition and the vast majority are included within interest-bearing demand deposits in our net interest disclosures in this release. |
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| (11) | | Average yield on RJBDP - third-party banks is computed by dividing annualized RJBDP fees - third-party banks, which are net of the interest expense paid to clients by the third-party banks, by the average daily RJBDP balances at third-party banks. |
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| (12) | | Loans are presented net of unamortized purchase discounts or premiums, unearned income, deferred origination fees and costs, and charge-offs. |
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| (13) | | Securities-based loans included loans collateralized by the borrower’s marketable securities at advance rates consistent with industry standards and, to a lesser extent, the cash surrender value of life insurance policies. An insignificant portion of our securities-based loans portfolio is collateralized by private securities or other financial instruments with a limited trading market. |
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| (14) | | The average rate on tax-exempt loans is presented on a taxable-equivalent basis utilizing the applicable federal statutory rates for each respective period. |
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| (15) | | The average balance, interest expense, and average rate for “Total bank deposits” included amounts associated with affiliate deposits. Such amounts are eliminated in consolidation and are offset in “All other interest-bearing liabilities” under “All other segments.” |
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| (16) | | The Other segment includes interest income on certain corporate cash balances, the results of our private equity investments, which predominantly consist of investments in third-party funds, certain other corporate investing activity, and certain corporate overhead costs of RJF that are not allocated to other segments including the interest costs on our public debt, certain provisions for legal and regulatory matters, and certain acquisition-related expenses. |
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| (17) | | Effective October 1, 2024, we updated our methodology for allocating interest income on certain cash balances, resulting in a reduction in interest income in the Other segment and an increase in interest income in the PCG segment. Prior period segment results are unchanged. |
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| (18) | | Corporate loans included commercial and industrial loans, commercial real estate loans, and real estate investment trust loans. |
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RAYMOND JAMES FINANCIAL, INC.
Fiscal First Quarter of 2025 Footnotes
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| (19) | | Includes acquisition-related compensation expenses primarily arising from equity and cash-based retention awards issued in conjunction with acquisitions in prior years. Such retention awards are generally contingent upon the post-closing continuation of service of certain associates who joined the firm as part of such acquisitions and are expensed over the requisite service period. |
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| (20) | | Amortization of identifiable intangible assets, which was included in “Other” expense, includes amortization of identifiable intangible assets arising from our acquisitions. |
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| (21) | | Average common equity is computed by adding the total common equity attributable to Raymond James Financial, Inc. as of the date indicated to the prior quarter-end total, and dividing by two, or in the case of average tangible common equity, computed by adding tangible common equity as of the date indicated to the prior quarter-end total, and dividing by two. Adjusted average common equity is computed by adjusting for the impact on average common equity of the non-GAAP adjustments, as applicable for each respective period. Adjusted average tangible common equity is computed by adjusting for the impact on average tangible common equity of the non-GAAP adjustments, as applicable for each respective period. |
5 Quarterly Financial Supplement Fiscal first quarter of 2025 results
TABLE OF CONTENTS PAGE Consolidated Statements of Income (Unaudited) 3 Consolidated Selected Key Metrics (Unaudited) 4 Segment Results Private Client Group (Unaudited) 6 Capital Markets (Unaudited) 7 Asset Management (Unaudited) 8 Bank (Unaudited) 9 Other (Unaudited) 10 Bank Segment Selected Key Metrics (Unaudited) 11 Reconciliation of non-GAAP financial measures to GAAP financial measures (Unaudited) 12 Footnotes 18 RAYMOND JAMES FINANCIAL, INC.
Three months ended % change from in millions, except per share amounts December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 December 31, 2023 September 30, 2024 Revenues: Asset management and related administrative fees $ 1,407 $ 1,516 $ 1,611 $ 1,662 $ 1,743 24 % 5 % Brokerage revenues: Securities commissions 383 414 416 438 440 15 % — % Principal transactions 139 114 116 123 119 (14) % (3) % Total brokerage revenues 522 528 532 561 559 7 % — % Account and service fees 319 335 328 332 342 7 % 3 % Investment banking 181 179 183 315 325 80 % 3 % Interest income 1,053 1,049 1,057 1,073 1,027 (2) % (4) % Other 38 31 51 60 39 3 % (35) % Total revenues 3,520 3,638 3,762 4,003 4,035 15 % 1 % Interest expense (507) (520) (534) (541) (498) (2) % (8) % Net revenues 3,013 3,118 3,228 3,462 3,537 17 % 2 % Non-interest expenses: Compensation, commissions and benefits 1,921 2,043 2,090 2,159 2,272 18 % 5 % Non-compensation expenses: Communications and information processing 150 165 166 181 178 19 % (2) % Occupancy and equipment 72 73 75 76 73 1 % (4) % Business development 61 60 72 64 68 11 % 6 % Investment sub-advisory fees 40 44 48 50 53 33 % 6 % Professional fees 32 33 38 47 34 6 % (28) % Bank loan provision/(benefit) for credit losses 12 21 (10) 22 — NM NM Other 95 70 105 103 110 16 % 7 % Total non-compensation expenses 462 466 494 543 516 12 % (5) % Total non-interest expenses 2,383 2,509 2,584 2,702 2,788 17 % 3 % Pre-tax income 630 609 644 760 749 19 % (1) % Provision for income taxes 132 133 152 158 149 13 % (6) % Net income 498 476 492 602 600 20 % — % Preferred stock dividends 1 2 1 1 1 — % — % Net income available to common shareholders $ 497 $ 474 $ 491 $ 601 $ 599 21 % — % Earnings per common share – basic (1) $ 2.38 $ 2.27 $ 2.37 $ 2.93 $ 2.94 24 % — % Earnings per common share – diluted (1) $ 2.32 $ 2.22 $ 2.31 $ 2.86 $ 2.86 23 % — % Weighted-average common shares outstanding – basic 208.6 208.3 206.8 204.7 203.7 (2) % — % Weighted-average common and common equivalent shares outstanding – diluted 213.8 213.4 212.3 210.1 209.2 (2) % — % RAYMOND JAMES FINANCIAL, INC. Consolidated Statements of Income (Unaudited) Please refer to the footnotes at the end of this supplement for additional information. 3
As of % change from $ in millions, except per share amounts December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 December 31, 2023 September 30, 2024 Total assets $ 80,130 $ 81,232 $ 80,628 $ 82,992 $ 82,282 3 % (1) % Total common equity attributable to Raymond James Financial, Inc. $ 10,711 $ 10,905 $ 11,118 $ 11,594 $ 11,844 11 % 2 % Book value per share (2) $ 51.32 $ 52.60 $ 54.08 $ 57.03 $ 57.89 13 % 2 % Tangible book value per share (2) (3) $ 42.81 $ 44.11 $ 45.57 $ 48.43 $ 49.49 16 % 2 % Capital ratios: Tier 1 leverage 12.1 % 12.3 % 12.7 % 12.8 % 13.0 % (4) Tier 1 capital 21.6 % 21.9 % 22.2 % 22.8 % 23.7 % (4) Common equity tier 1 21.5 % 21.8 % 22.0 % 22.6 % 23.5 % (4) Total capital 23.0 % 23.3 % 23.6 % 24.1 % 25.0 % (4) $ in millions December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 December 31, 2023 September 30, 2024 Adjusted pre-tax income (3) $ 653 $ 635 $ 667 $ 785 $ 769 18 % (2) % Adjusted net income available to common shareholders (3) $ 514 $ 494 $ 508 $ 621 $ 614 19 % (1) % Adjusted earnings per common share – basic (1) (3) $ 2.46 $ 2.37 $ 2.45 $ 3.03 $ 3.01 22 % (1) % Adjusted earnings per common share – diluted (1) (3) $ 2.40 $ 2.31 $ 2.39 $ 2.95 $ 2.93 22 % (1) % Return on common equity (5) 19.1 % 17.5 % 17.8 % 21.2 % 20.4 % Adjusted return on common equity (3) (5) 19.7 % 18.3 % 18.4 % 21.9 % 20.9 % Adjusted return on tangible common equity (3) (5) 23.8 % 21.8 % 21.9 % 25.8 % 24.6 % Pre-tax margin (6) 20.9 % 19.5 % 20.0 % 22.0 % 21.2 % Adjusted pre-tax margin (3) (6) 21.7 % 20.4 % 20.7 % 22.7 % 21.7 % Total compensation ratio (7) 63.8 % 65.5 % 64.7 % 62.4 % 64.2 % Adjusted total compensation ratio (3) (7) 63.4 % 65.2 % 64.4 % 62.1 % 64.0 % Effective tax rate 21.0 % 21.8 % 23.6 % 20.8 % 19.9 % Three months ended % change from RAYMOND JAMES FINANCIAL, INC. Consolidated Selected Key Metrics (Unaudited) Please refer to the footnotes at the end of this supplement for additional information. 4
As of % change from Client asset metrics ($ in billions) December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 December 31, 2023 September 30, 2024 Client assets under administration $ 1,370.6 $ 1,449.1 $ 1,476.2 $ 1,571.1 $ 1,557.5 14 % (1) % Private Client Group assets under administration $ 1,310.5 $ 1,388.8 $ 1,415.7 $ 1,507.0 $ 1,491.8 14 % (1) % Private Client Group assets in fee-based accounts $ 746.6 $ 798.8 $ 820.6 $ 875.2 $ 876.6 17 % — % Financial assets under management $ 215.0 $ 226.8 $ 229.3 $ 244.8 $ 243.9 13 % — % Three months ended Net new assets metrics (8) ($ in millions) December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 Domestic Private Client Group net new assets $ 21,575 $ 9,648 $ 16,517 $ 12,969 $ 14,020 Domestic Private Client Group net new assets growth — annualized 7.8 % 3.2 % 5.2 % 4.0 % 4.0 % As of % change from Clients' domestic cash sweep and Enhanced Savings Program balances ($ in millions) December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 December 31, 2023 September 30, 2024 Raymond James Bank Deposit Program (“RJBDP”): (9) Bank segment (9) $ 23,912 $ 23,405 $ 23,371 $ 23,978 $ 23,946 — % — % Third-party banks 17,820 18,234 17,325 18,226 20,341 14 % 12 % Subtotal RJBDP 41,732 41,639 40,696 42,204 44,287 6 % 5 % Client Interest Program 1,765 1,715 1,713 1,653 1,664 (6) % 1 % Total clients’ domestic cash sweep balances 43,497 43,354 42,409 43,857 45,951 6 % 5 % Enhanced Savings Program ("ESP") (10) 14,476 14,863 14,039 14,018 13,785 (5) % (2) % Total clients’ domestic cash sweep and ESP balances $ 57,973 $ 58,217 $ 56,448 $ 57,875 $ 59,736 3 % 3 % Three months ended % change from Net interest income and RJBDP fees ($ in millions) December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 December 31, 2023 September 30, 2024 Net interest income and RJBDP fees (third-party banks) $ 698 $ 689 $ 672 $ 678 $ 673 (4) % (1) % Average yield on RJBDP - third-party banks (11) 3.66 % 3.59 % 3.41 % 3.34 % 3.12 % RAYMOND JAMES FINANCIAL, INC. Consolidated Selected Key Metrics (Unaudited) Please refer to the footnotes at the end of this supplement for additional information. 5
Three months ended % change from $ in millions December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 December 31, 2023 September 30, 2024 Revenues: Asset management and related administrative fees $ 1,191 $ 1,283 $ 1,364 $ 1,408 $ 1,476 24 % 5 % Brokerage revenues: Mutual and other fund products 136 141 142 148 152 12 % 3 % Insurance and annuity products 125 127 130 137 118 (6) % (14) % Equities, ETFs, and fixed income products 121 139 137 148 163 35 % 10 % Total brokerage revenues 382 407 409 433 433 13 % — % Account and service fees: Mutual fund and annuity service fees 106 115 118 122 126 19 % 3 % RJBDP fees: (9) Bank segment 223 206 198 197 187 (16) % (5) % Third-party banks 152 160 149 146 144 (5) % (1) % Client account and other fees 65 64 66 69 70 8 % 1 % Total account and service fees 546 545 531 534 527 (3) % (1) % Investment banking 11 8 10 9 8 (27) % (11) % Interest income (12) 118 122 121 119 126 7 % 6 % All other 4 6 13 4 5 25 % 25 % Total revenues 2,252 2,371 2,448 2,507 2,575 14 % 3 % Interest expense (26) (30) (32) (31) (27) 4 % (13) % Net revenues 2,226 2,341 2,416 2,476 2,548 14 % 3 % Non-interest expenses: Financial advisor compensation and benefits 1,190 1,273 1,327 1,364 1,413 19 % 4 % Administrative compensation and benefits 379 391 389 387 418 10 % 8 % Total compensation, commissions and benefits 1,569 1,664 1,716 1,751 1,831 17 % 5 % Non-compensation expenses 218 233 259 264 255 17 % (3) % Total non-interest expenses 1,787 1,897 1,975 2,015 2,086 17 % 4 % Pre-tax income $ 439 $ 444 $ 441 $ 461 $ 462 5 % — % RAYMOND JAMES FINANCIAL, INC. Segment Results - Private Client Group (Unaudited) Please refer to the footnotes at the end of this supplement for additional information. 6
Three months ended % change from $ in millions December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 December 31, 2023 September 30, 2024 Revenues: Brokerage revenues: Fixed income $ 102 $ 88 $ 86 $ 91 $ 85 (17) % (7) % Equity 38 34 35 36 41 8 % 14 % Total brokerage revenues 140 122 121 127 126 (10) % (1) % Investment banking: Merger & acquisition and advisory 118 107 91 205 226 92 % 10 % Equity underwriting 26 23 33 49 35 35 % (29) % Debt underwriting 26 41 49 52 56 115 % 8 % Total investment banking 170 171 173 306 317 86 % 4 % Interest income 23 26 32 28 29 26 % 4 % Affordable housing investments business revenues 23 22 30 43 29 26 % (33) % All other 4 4 4 6 5 25 % (17) % Total revenues 360 345 360 510 506 41 % (1) % Interest expense (22) (24) (30) (27) (26) 18 % (4) % Net revenues 338 321 330 483 480 42 % (1) % Non-interest expenses: Compensation, commissions and benefits 238 240 243 281 301 26 % 7 % Non-compensation expenses 97 98 101 107 105 8 % (2) % Total non-interest expenses 335 338 344 388 406 21 % 5 % Pre-tax income/(loss) $ 3 $ (17) $ (14) $ 95 $ 74 2,367 % (22) % RAYMOND JAMES FINANCIAL, INC. Segment Results - Capital Markets (Unaudited) Please refer to the footnotes at the end of this supplement for additional information. 7
Three months ended % change from $ in millions December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 December 31, 2023 September 30, 2024 Revenues: Asset management and related administrative fees: Managed programs $ 150 $ 163 $ 171 $ 176 $ 189 26 % 7 % Administration and other 74 79 83 87 93 26 % 7 % Total asset management and related administrative fees 224 242 254 263 282 26 % 7 % Account and service fees 6 5 5 6 6 — % — % All other 5 5 6 6 6 20 % — % Net revenues 235 252 265 275 294 25 % 7 % Non-interest expenses: Compensation, commissions and benefits 53 58 56 56 58 9 % 4 % Non-compensation expenses 89 94 97 103 111 25 % 8 % Total non-interest expenses 142 152 153 159 169 19 % 6 % Pre-tax income $ 93 $ 100 $ 112 $ 116 $ 125 34 % 8 % RAYMOND JAMES FINANCIAL, INC. Segment Results - Asset Management (Unaudited) Please refer to the footnotes at the end of this supplement for additional information. 8
Three months ended % change from $ in millions December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 December 31, 2023 September 30, 2024 Revenues: Interest income $ 872 $ 868 $ 867 $ 887 $ 847 (3) % (5) % Interest expense (446) (455) (461) (476) (433) (3) % (9) % Net interest income 426 413 406 411 414 (3) % 1 % All other 15 11 12 22 11 (27) % (50) % Net revenues 441 424 418 433 425 (4) % (2) % Non-interest expenses: Compensation and benefits 43 48 45 44 46 7 % 5 % Non-compensation expenses: Bank loan provision/(benefit) for credit losses 12 21 (10) 22 — NM NM RJBDP fees to Private Client Group (9) 223 206 198 197 187 (16) % (5) % All other 71 74 70 72 74 4 % 3 % Total non-compensation expenses 306 301 258 291 261 (15) % (10) % Total non-interest expenses 349 349 303 335 307 (12) % (8) % Pre-tax income $ 92 $ 75 $ 115 $ 98 $ 118 28 % 20 % RAYMOND JAMES FINANCIAL, INC. Segment Results - Bank (Unaudited) Please refer to the footnotes at the end of this supplement for additional information. 9
Three months ended % change from $ in millions December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 December 31, 2023 September 30, 2024 Revenues: Interest income (12) $ 49 $ 44 $ 47 $ 53 $ 34 (31) % (36) % All other 2 (2) 6 — 3 50 % NM Total revenues 51 42 53 53 37 (27) % (30) % Interest expense (25) (25) (25) (25) (25) — % — % Net revenues 26 17 28 28 12 (54) % (57) % Non-interest expenses: Compensation and benefits 17 32 29 26 36 112 % 38 % All other 6 (22) 9 12 6 — % (50) % Total non-interest expenses 23 10 38 38 42 83 % 11 % Pre-tax income/(loss) $ 3 $ 7 $ (10) $ (10) $ (30) NM (200) % RAYMOND JAMES FINANCIAL, INC. Segment Results - Other (13) (Unaudited) Please refer to the footnotes at the end of this supplement for additional information. 10
Bank Segment As of % change from $ in millions December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 December 31, 2023 September 30, 2024 Total assets $ 61,517 $ 61,038 $ 60,574 $ 62,367 $ 62,278 1 % — % Bank loans, net $ 44,182 $ 44,099 $ 45,149 $ 45,994 $ 47,164 7 % 3 % Bank loan allowance for credit losses $ 479 $ 471 $ 456 $ 457 $ 452 (6) % (1) % Bank loan allowance for credit losses as a % of total loans held for investment 1.08 % 1.06 % 1.00 % 0.99 % 0.95 % Bank loan allowance for credit losses on corporate loans as a % of corporate loans held for investment (14) 2.06 % 2.05 % 2.00 % 1.99 % 1.93 % Total nonperforming assets $ 164 $ 187 $ 160 $ 175 $ 161 (2) % (8) % Nonperforming assets as a % of total assets 0.27 % 0.31 % 0.26 % 0.28 % 0.26 % Total criticized loans $ 472 $ 538 $ 523 $ 679 $ 599 27 % (12) % Criticized loans as a % of total loans held for investment 1.06 % 1.21 % 1.15 % 1.47 % 1.26 % Total bank deposits $ 55,393 $ 54,843 $ 54,401 $ 56,010 $ 55,850 1 % — % As of % change from $ in millions December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 December 31, 2023 September 30, 2024 Securities-based loans (15) $ 14,647 $ 14,610 $ 15,429 $ 16,233 $ 16,869 15 % 4 % Commercial and industrial loans 10,503 10,190 9,956 9,953 10,390 (1) % 4 % Commercial real estate loans 7,331 7,462 7,619 7,615 7,586 3 % — % Real estate investment trust loans 1,697 1,701 1,755 1,716 1,683 (1) % (2) % Residential mortgage loans 8,861 9,016 9,245 9,412 9,602 8 % 2 % Tax-exempt loans 1,411 1,445 1,431 1,338 1,294 (8) % (3) % Total loans held for investment 44,450 44,424 45,435 46,267 47,424 7 % 3 % Held for sale loans 211 146 170 184 192 (9) % 4 % Total loans held for sale and investment 44,661 44,570 45,605 46,451 47,616 7 % 3 % Allowance for credit losses (479) (471) (456) (457) (452) (6) % (1) % Bank loans, net $ 44,182 $ 44,099 $ 45,149 $ 45,994 $ 47,164 7 % 3 % Three months ended % change from $ in millions December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 December 31, 2023 September 30, 2024 Net interest margin (net yield on interest-earning assets) 2.74 % 2.66 % 2.64 % 2.62 % 2.60 % Bank loan provision/(benefit) for credit losses $ 12 $ 21 $ (10) $ 22 $ — NM NM Net charge-offs $ 8 $ 28 $ 6 $ 20 $ 4 (50) % (80) % RAYMOND JAMES FINANCIAL, INC. Bank Segment Selected Key Metrics (Unaudited) Please refer to the footnotes at the end of this supplement for additional information. 11
Reconciliation of non-GAAP financial measures to GAAP financial measures (Unaudited) We utilize certain non-GAAP financial measures as additional measures to aid in, and enhance, the understanding of our financial results and related measures. These non-GAAP financial measures have been separately identified in this document. We believe a certain of these non-GAAP financial measures provide useful information to management and investors by excluding certain material items that may not be indicative of our core operating results. We utilize these non-GAAP financial measures in assessing the financial performance of the business, as they facilitate a comparison of current- and prior-period results. We believe that return on tangible common equity and tangible book value per share are meaningful to investors as they facilitate comparisons of our results to the results of other companies. In the following tables, the tax effect of non-GAAP adjustments reflects the statutory rate associated with each non-GAAP item. These non-GAAP financial measures should be considered in addition to, and not as a substitute for, measures of financial performance prepared in accordance with GAAP. In addition, our non-GAAP financial measures may not be comparable to similarly titled non- GAAP financial measures of other companies. The following tables provide a reconciliation of non-GAAP financial measures to the most directly comparable GAAP measures for those periods which include non-GAAP adjustments. Three months ended $ in millions December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 Net income available to common shareholders $ 497 $ 474 $ 491 $ 601 $ 599 Non-GAAP adjustments: Expenses related to acquisitions: Compensation, commissions and benefits (16) 11 11 11 9 8 Communication and information processing — 1 — 1 — Professional fees 1 1 1 1 1 Other: Amortization of identifiable intangible assets (17) 11 11 11 11 11 All other acquisition-related expenses — 2 — 3 — Total “Other” expense 11 13 11 14 11 Total pre-tax impact of non-GAAP adjustments related to acquisitions 23 26 23 25 20 Tax effect of non-GAAP adjustments (6) (6) (6) (5) (5) Total non-GAAP adjustments, net of tax 17 20 17 20 15 Adjusted net income available to common shareholders (3) $ 514 $ 494 $ 508 $ 621 $ 614 Pre-tax income $ 630 $ 609 $ 644 $ 760 $ 749 Pre-tax impact of non-GAAP adjustments (as detailed above) 23 26 23 25 20 Adjusted pre-tax income (3) $ 653 $ 635 $ 667 $ 785 $ 769 Compensation, commissions and benefits expense $ 1,921 $ 2,043 $ 2,090 $ 2,159 $ 2,272 Less: Acquisition-related retention (16) 11 11 11 9 8 Adjusted “Compensation, commissions and benefits” expense (3) $ 1,910 $ 2,032 $ 2,079 $ 2,150 $ 2,264 RAYMOND JAMES FINANCIAL, INC. Please refer to the footnotes at the end of this supplement for additional information. 12
Reconciliation of non-GAAP financial measures to GAAP financial measures (Unaudited) (Continued from previous page) Three months ended December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 Pre-tax margin (6) 20.9 % 19.5 % 20.0 % 22.0 % 21.2 % Impact of non-GAAP adjustments on pre-tax margin: Expenses related to acquisitions: Compensation, commissions and benefits (16) 0.4 % 0.3 % 0.3 % 0.3 % 0.2 % Communications and information processing — % — % — % — % — % Professional fees — % 0.1 % — % — % — % Other: Amortization of identifiable intangible assets (17) 0.4 % 0.4 % 0.4 % 0.3 % 0.3 % All other acquisition-related expenses — % 0.1 % — % 0.1 % — % Total “Other” expense 0.4 % 0.5 % 0.4 % 0.4 % 0.3 % Total pre-tax impact of non-GAAP adjustments related to acquisitions 0.8 % 0.9 % 0.7 % 0.7 % 0.5 % Adjusted pre-tax margin (3) (6) 21.7 % 20.4 % 20.7 % 22.7 % 21.7 % Total compensation ratio (7) 63.8 % 65.5 % 64.7 % 62.4 % 64.2 % Less the impact of non-GAAP adjustments on compensation ratio: Acquisition-related retention (16) 0.4 % 0.3 % 0.3 % 0.3 % 0.2 % Adjusted total compensation ratio (3) (7) 63.4 % 65.2 % 64.4 % 62.1 % 64.0 % RAYMOND JAMES FINANCIAL, INC. Please refer to the footnotes at the end of this supplement for additional information. 13
Reconciliation of non-GAAP financial measures to GAAP financial measures (Unaudited) (Continued from previous page) Three months ended Earnings per common share (1) December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 Basic $ 2.38 $ 2.27 $ 2.37 $ 2.93 $ 2.94 Impact of non-GAAP adjustments on basic earnings per common share: Expenses related to acquisitions: Compensation, commissions and benefits (16) 0.05 0.05 0.05 0.04 0.04 Communication and information processing — 0.01 — — — Professional fees 0.01 0.01 0.01 0.01 — Other: Amortization of identifiable intangible assets (17) 0.05 0.05 0.05 0.05 0.05 All other acquisition-related expenses — 0.01 — 0.02 — Total “Other” expense 0.05 0.06 0.05 0.07 0.05 Total pre-tax impact of non-GAAP adjustments related to acquisitions 0.11 0.13 0.11 0.12 0.09 Tax effect of non-GAAP adjustments (0.03) (0.03) (0.03) (0.02) (0.02) Total non-GAAP adjustments, net of tax 0.08 0.10 0.08 0.10 0.07 Adjusted basic (3) $ 2.46 $ 2.37 $ 2.45 $ 3.03 $ 3.01 RAYMOND JAMES FINANCIAL, INC. Please refer to the footnotes at the end of this supplement for additional information. 14
Reconciliation of non-GAAP financial measures to GAAP financial measures (Unaudited) (Continued from previous page) Three months ended Earnings per common share (1) December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 Diluted $ 2.32 $ 2.22 $ 2.31 $ 2.86 $ 2.86 Impact of non-GAAP adjustments on diluted earnings per common share: Expenses related to acquisitions: Compensation, commissions and benefits (16) 0.05 0.05 0.05 0.04 0.04 Communications and information processing — — — — — Professional fees 0.01 0.01 0.01 — — Other: Amortization of identifiable intangible assets (17) 0.05 0.05 0.05 0.05 0.05 All other acquisition-related expenses — 0.01 — 0.02 — Total “Other” expense 0.05 0.06 0.05 0.07 0.05 Total pre-tax impact of non-GAAP adjustments related to acquisitions 0.11 0.12 0.11 0.11 0.09 Tax effect of non-GAAP adjustments (0.03) (0.03) (0.03) (0.02) (0.02) Total non-GAAP adjustments, net of tax 0.08 0.09 0.08 0.09 0.07 Adjusted diluted (3) $ 2.40 $ 2.31 $ 2.39 $ 2.95 $ 2.93 Book value per share As of $ in millions, except per share amounts December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 Total common equity attributable to Raymond James Financial, Inc. $ 10,711 $ 10,905 $ 11,118 $ 11,594 $ 11,844 Less non-GAAP adjustments: Goodwill and identifiable intangible assets, net 1,908 1,894 1,884 1,886 1,858 Deferred tax liabilities related to goodwill and identifiable intangible assets, net (132) (134) (136) (138) (139) Tangible common equity attributable to Raymond James Financial, Inc. (3) $ 8,935 $ 9,145 $ 9,370 $ 9,846 $ 10,125 Common shares outstanding 208.7 207.3 205.6 203.3 204.6 Book value per share (2) $ 51.32 $ 52.60 $ 54.08 $ 57.03 $ 57.89 Tangible book value per share (2) (3) $ 42.81 $ 44.11 $ 45.57 $ 48.43 $ 49.49 RAYMOND JAMES FINANCIAL, INC. Please refer to the footnotes at the end of this supplement for additional information. 15
Reconciliation of non-GAAP financial measures to GAAP financial measures (Unaudited) (Continued from previous page) Return on common equity Three months ended $ in millions December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 Average common equity (18) $ 10,423 $ 10,808 $ 11,012 $ 11,356 $ 11,719 Impact of non-GAAP adjustments on average common equity: Expenses related to acquisitions: Compensation, commissions and benefits (16) 6 6 5 5 4 Communications and information processing — — — — — Professional fees — — 1 1 1 Other: Amortization of identifiable intangible assets (17) 6 6 5 6 6 All other acquisition-related expenses — 1 — 1 — Total “Other” expense 6 7 5 7 6 Total pre-tax impact of non-GAAP adjustments related to acquisitions 12 13 11 13 11 Tax effect of non-GAAP adjustments (3) (3) (3) (3) (3) Total non-GAAP adjustments, net of tax 9 10 8 10 8 Adjusted average common equity (3) (18) $ 10,432 $ 10,818 $ 11,020 $ 11,366 $ 11,727 RAYMOND JAMES FINANCIAL, INC. Please refer to the footnotes at the end of this supplement for additional information. 16
Reconciliation of non-GAAP financial measures to GAAP financial measures (Unaudited) (Continued from previous page) Return on tangible common equity Three months ended $ in millions December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 Average common equity (18) $ 10,423 $ 10,808 $ 11,012 $ 11,356 $ 11,719 Less: Average goodwill and identifiable intangible assets, net 1,908 1,901 1,889 1,885 1,872 Average deferred tax liabilities related to goodwill and identifiable intangible assets, net (132) (133) (135) (137) (139) Average tangible common equity (3) (18) $ 8,647 $ 9,040 $ 9,258 $ 9,608 $ 9,986 Impact of non-GAAP adjustments on average tangible common equity: Expenses related to acquisitions: Compensation, commissions and benefits (16) 6 6 5 5 4 Communications and information processing — — — — — Professional fees — — 1 1 1 Other: Amortization of identifiable intangible assets (17) 6 6 5 6 6 All other acquisition-related expenses — 1 — 1 — Total “Other” expense 6 7 5 7 6 Total pre-tax impact of non-GAAP adjustments related to acquisitions 12 13 11 13 11 Tax effect of non-GAAP adjustments (3) (3) (3) (3) (3) Total non-GAAP adjustments, net of tax 9 10 8 10 8 Adjusted average tangible common equity (3) (18) $ 8,656 $ 9,050 $ 9,266 $ 9,618 $ 9,994 Return on common equity (5) 19.1 % 17.5 % 17.8 % 21.2 % 20.4 % Adjusted return on common equity (3) (5) 19.7 % 18.3 % 18.4 % 21.9 % 20.9 % Return on tangible common equity (3) (5) 23.0 % 21.0 % 21.2 % 25.0 % 24.0 % Adjusted return on tangible common equity (3) (5) 23.8 % 21.8 % 21.9 % 25.8 % 24.6 % RAYMOND JAMES FINANCIAL, INC. Please refer to the footnotes at the end of this supplement for additional information. 17
Footnotes (1) Earnings per common share is computed by dividing net income available to common shareholders (less allocation of earnings and dividends to participating securities) by weighted-average common shares outstanding (basic or diluted as applicable) for each respective period or, in the case of adjusted earnings per common share, computed by dividing adjusted net income available to common shareholders (less allocation of earnings and dividends to participating securities) by weighted-average common shares outstanding (basic or diluted as applicable) for each respective period. The allocations of earnings and dividends to participating securities were $1 million for each of the three months ended December 31, 2023, March 31, 2024, June 30, 2024, September 30, 2024, and December 31, 2024. (2) Book value per share is computed by dividing total common equity attributable to Raymond James Financial, Inc. by the number of common shares outstanding at the end of each respective period or, in the case of tangible book value per share, computed by dividing tangible common equity by the number of common shares outstanding at the end of each respective period. (3) These are non-GAAP financial measures. See the schedules on the previous pages for a reconciliation of non-GAAP financial measures to the most directly comparable GAAP measures and for more information on these measures. (4) Estimated. (5) Return on common equity is computed by dividing annualized net income available to common shareholders by average common equity for each respective period or, in the case of return on tangible common equity, computed by dividing annualized net income available to common shareholders by average tangible common equity for each respective period. Adjusted return on common equity is computed by dividing annualized adjusted net income available to common shareholders by adjusted average common equity for each respective period, or in the case of adjusted return on tangible common equity, computed by dividing annualized adjusted net income available to common shareholders by adjusted average tangible common equity for each respective period. Tangible common equity is defined as total common equity attributable to Raymond James Financial, Inc. less goodwill and identifiable intangible assets, net of related deferred taxes. (6) Pre-tax margin is computed by dividing pre-tax income by net revenues for each respective period or, in the case of adjusted pre-tax margin, computed by dividing adjusted pre-tax income by net revenues for each respective period. (7) Total compensation ratio is computed by dividing compensation, commissions and benefits expense by net revenues for each respective period or, in the case of adjusted total compensation ratio, computed by dividing adjusted compensation, commissions and benefits expense by net revenues for each respective period. (8) Domestic Private Client Group net new assets represents domestic Private Client Group client inflows, including dividends and interest, less domestic Private Client Group client outflows, including commissions, advisory fees, and other fees. The domestic Private Client Group net new asset growth — annualized percentage is based on the beginning domestic Private Client Group assets under administration balance for the indicated period. (9) We earn fees from the RJBDP, a multi-bank sweep program in which clients’ cash deposits in their brokerage accounts are swept into interest-bearing deposit accounts at our Bank segment, as well as various third-party banks. RJBDP balances swept to our Bank segment are reflected in Bank deposits on our Consolidated Statement of Financial Condition. RJBDP balances swept to third-party banks are not included in our Bank deposits reflected on our Consolidated Statement of Financial Condition given those deposits are held by third-party banks. Fees earned from the RJBDP are included in “Account and service fees” on our Consolidated Statements of Income, and those fees earned by the Private Client Group segment on deposits held by our Bank segment are eliminated in consolidation. (10) Our Enhanced Savings Program is a deposit offering in which Private Client Group clients may deposit cash in a high-yield Raymond James Bank account. ESP balances held at Raymond James Bank as of the respective period end are reflected in Bank deposits on our Consolidated Statement of Financial Condition. (11) Average yield on RJBDP - third-party banks is computed by dividing annualized RJBDP fees - third-party banks, which are net of the interest expense paid to clients by the third-party banks, by the average daily RJBDP balances at third-party banks. (12) Effective October 1, 2024, we updated our methodology for allocating interest income on certain cash balances, resulting in a reduction in interest income in the Other segment and an increase in interest income in the PCG segment. Prior period segment results are unchanged. (13) The Other segment includes interest income on certain corporate cash balances, the results of our private equity investments, which predominantly consist of investments in third-party funds, certain other corporate investing activity, and certain corporate overhead costs of RJF that are not allocated to other segments including the interest costs on our public debt, certain provisions for legal and regulatory matters, and certain acquisition-related expenses. (14) Corporate loans included commercial and industrial loans, commercial real estate loans, and real estate investment trust loans. (15) Securities-based loans included loans collateralized by the borrower’s marketable securities at advance rates consistent with industry standards and, to a lesser extent, the cash surrender value of life insurance policies. An insignificant portion of our securities-based loans portfolio is collateralized by private securities or other financial instruments with a limited trading market. (16) Includes acquisition-related compensation expenses primarily arising from equity and cash-based retention awards issued in conjunction with acquisitions in prior years. Such retention awards are generally contingent upon the post-closing continuation of service of certain associates who joined the firm as part of such acquisitions and are expensed over the requisite service period. (17) Amortization of identifiable intangible assets, which was included in “Other” expense, includes amortization of identifiable intangible assets arising from our acquisitions. (18) Average common equity is computed by adding the total common equity attributable to Raymond James Financial, Inc. as of the date indicated to the prior quarter-end total, and dividing by two, or in the case of average tangible common equity, computed by adding tangible common equity as of the date indicated to the prior quarter-end total, and dividing by two. Adjusted average common equity is computed by adjusting for the impact on average common equity of the non-GAAP adjustments, as applicable for each respective period. Adjusted average tangible common equity is computed by adjusting for the impact on average tangible common equity of the non-GAAP adjustments, as applicable for each respective period. RAYMOND JAMES FINANCIAL, INC. 18
Fiscal 1Q25 Results January 29, 2025
Forward-looking statements Certain statements made in this presentation and the associated conference call 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 or divestitures, and our level of success in integrating acquired businesses, anticipated results of litigation, regulatory developments, and general economic conditions. In addition, words such as “believes,” “expects,” “anticipates,” “intends,” “plans,” “estimates,” “projects,” “forecasts,” and 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. 2
Overview of Results Paul Reilly Chair & CEO, Raymond James Financial 3
4 *These are non-GAAP measures. See the schedules in the Appendix of this presentation for a reconciliation of our non-GAAP measures to the most directly comparable GAAP measures and for more information on these measures. $ in millions, except per share amounts 1Q25 vs. 1Q24 vs. 4Q24 As reported: Net revenues RECORD $ 3,537 17% 2% Net income available to common shareholders $ 599 21% —% Earnings per common share — diluted RECORD $ 2.86 23% —% 1Q24 4Q24 Return on common equity — annualized 20.4 % 19.1% 21.2% vs. 1Q24 vs. 4Q24 Non-GAAP measures*: Adjusted net income available to common shareholders $ 614 19% (1)% Adjusted earnings per common share — diluted $ 2.93 22% (1)% 1Q24 4Q24 Adjusted return on common equity — annualized 20.9 % 19.7% 21.9% Adjusted return on tangible common equity — annualized 24.6 % 23.8% 25.8% Fiscal 1Q25 highlights
Fiscal 1Q25 key metrics 5 $ in billions 1Q25 vs. 1Q24 vs. 4Q24 Client assets under administration $ 1,557.5 14% (1)% Private Client Group (PCG) assets under administration $ 1,491.8 14% (1)% PCG assets in fee-based accounts* RECORD $ 876.6 17% —% Financial assets under management $ 243.9 13% —% Total clients’ domestic cash sweep and Enhanced Savings Program balances $ 59.7 3% 3% Bank loans, net RECORD $ 47.2 7% 3% 1Q24 4Q24 Domestic PCG net new assets** $ 14.0 $ 21.6 $ 13.0 Domestic PCG net new assets growth — annualized** 4.0 % 7.8 % 4.0 % *Record indicated as of quarter-end date and does not reflect monthly reported data. **Domestic PCG net new assets represents domestic PCG client inflows, including dividends and interest, less domestic PCG client outflows, including commissions, advisory fees and other fees. The domestic PCG net new asset growth — annualized percentage is based on the beginning domestic PCG assets under administration balance for the indicated period.
Note: Segments do not total consolidated results because of the Other segment and intersegment eliminations not shown. Effective October 1, 2024, we updated our methodology for allocating interest income on certain cash balances, resulting in a reduction in interest income in the Other segment and an increase in interest income in the PCG segment. Prior period segment results are unchanged. Fiscal 1Q25 segment results 6 $ in millions 1Q25 vs. 1Q24 vs. 4Q24 Net revenues: Private Client Group RECORD $ 2,548 14% 3% Capital Markets $ 480 42% (1)% Asset Management RECORD $ 294 25% 7% Bank $ 425 (4)% (2)% Consolidated net revenues RECORD $ 3,537 17% 2% Pre-tax income: Private Client Group $ 462 5% —% Capital Markets $ 74 2,367% (22)% Asset Management RECORD $ 125 34% 8% Bank $ 118 28% 20% Consolidated pre-tax income $ 749 19% (1)%
Financial Review Butch Oorlog Chief Financial Officer, Raymond James Financial 7
Consolidated net revenues 8 $ in millions 1Q25 vs. 1Q24 vs. 4Q24 Asset management and related administrative fees $ 1,743 24% 5% Brokerage revenues 559 7% —% Account and service fees 342 7% 3% Investment banking 325 80% 3% Interest income 1,027 (2)% (4)% Other 39 3% (35)% Total revenues 4,035 15% 1% Interest expense (498) (2)% (8)% Net revenues $ 3,537 17% 2%
Domestic cash sweep and ESP balances 9 C lie nt s' D om es tic C as h S w ee p & E S P B al an ce s ($ B ) C ash S w eep & E S P B alances as a % of D om estic P C G A U A CLIENTS' DOMESTIC CASH SWEEP & ENHANCED SAVINGS PROGRAM (ESP)* BALANCES AS A % OF DOMESTIC PCG ASSETS UNDER ADMINISTRATION (AUA) 23.9 23.4 23.4 24.0 23.9 17.8 18.2 17.3 18.2 20.3 1.8 1.7 1.7 1.7 1.7 14.5 14.9 14.0 14.0 13.8 58.0 58.2 56.4 57.9 59.7 4.8% 4.6% 4.3% 4.2% 4.3% RJBDP - Bank Segment** RJBDP - Third-Party Banks** Client Interest Program ESP* 1Q24 2Q24 3Q24 4Q24 1Q25 Note: May not total due to rounding. *Our Enhanced Savings Program is a deposit offering in which Private Client Group clients may deposit cash in a high-yield Raymond James Bank account. **We earn fees from the Raymond James Bank Deposit Program (RJBDP), a multi-bank sweep program in which clients’ cash deposits in their brokerage accounts are swept into interest-bearing deposit accounts at our Bank segment, as well as various third-party banks. Year-over-year change: 3% Sequential change: 3%
Net interest income & RJBDP fees (third-party banks) 10 *As reported in "Account and service fees" in the PCG segment. **Computed by dividing annualized RJBDP Fees (Third-Party Banks), which are net of the interest expense paid to clients by the third-party banks, by the average daily RJBDP balances at third-party banks. $ IN MILLIONS 698 689 672 678 673 546 529 523 532 529 152 160 149 146 144 Firmwide Net Interest Income RJBDP Fees (Third-Party Banks)* 1Q24 2Q24 3Q24 4Q24 1Q25 NET INTEREST MARGIN (NIM) 2.74% 2.66% 2.64% 2.62% 2.60% 2.97% 2.91% 2.86% 2.85% 2.74% Firmwide NIM Bank Segment NIM 1Q24 2Q24 3Q24 4Q24 1Q25 AVERAGE YIELD ON RJBDP (THIRD-PARTY BANKS)** 3.66% 3.59% 3.41% 3.34% 3.12% 1Q24 2Q24 3Q24 4Q24 1Q25 Year-over-year change: (4)% Sequential change: (1)%
Consolidated expenses 11 $ in millions 1Q25 vs. 1Q24 vs. 4Q24 Compensation, commissions and benefits $ 2,272 18% 5% Non-compensation expenses: Communications and information processing 178 19% (2)% Occupancy and equipment 73 1% (4)% Business development 68 11% 6% Investment sub-advisory fees 53 33% 6% Professional fees 34 6% (28)% Bank loan provision for credit losses — NM NM Other 110 16% 7% Total non-compensation expenses 516 12% (5)% Total non-interest expenses $ 2,788 17% 3% *Total compensation ratio is computed by dividing compensation, commissions and benefits expense by net revenues for each respective period. Adjusted total compensation ratio is computed by dividing adjusted compensation, commissions and benefits expense by net revenues for each respective period. **This is a non-GAAP financial measure. See the schedules in the Appendix of this presentation for a reconciliation of our non-GAAP measures to the most directly comparable GAAP measures and for more information on these measures. TOTAL NON-COMPENSATION EXPENSES $ IN MILLIONS 462 466 494 543 516 1Q24 2Q24 3Q24 4Q24 1Q25 TOTAL COMPENSATION RATIO* 63.8% 65.5% 64.7% 62.4% 64.2% 63.4% 65.2% 64.4% 62.1% 64.0% Total Compensation Ratio Adjusted Total Compensation Ratio** 1Q24 2Q24 3Q24 4Q24 1Q25
*This is a non-GAAP measure. See the schedules in the Appendix of this presentation for a reconciliation of our non-GAAP measures to the most directly comparable GAAP measures and for more information on these measures. Consolidated pre-tax margin 12 20.9% 19.5% 20.0% 22.0% 21.2% 21.7% 20.4% 20.7% 22.7% 21.7% Pre-Tax Margin (GAAP) Adjusted Pre-Tax Margin* 1Q24 2Q24 3Q24 4Q24 1Q25
Other financial information 13 *This amount includes cash on hand at the parent, as well as parent cash loaned to Raymond James & Associates ("RJ&A"), which RJ&A has invested on behalf of RJF in cash and cash equivalents or otherwise deployed in its normal business activities. **This is a non-GAAP measure. See the schedules in the Appendix of this presentation for a reconciliation of our non- GAAP measures to the most directly comparable GAAP measures and for more information on these measures. ***Estimated. $ in millions, except per share amounts 1Q25 vs. 1Q24 vs. 4Q24 Total assets $ 82,282 3% (1)% RJF corporate cash* $ 2,339 12% 8% Total common equity attributable to RJF $ 11,844 11% 2% Book value per share $ 57.89 13% 2% Tangible book value per share** $ 49.49 16% 2% Weighted-average common and common equivalent shares outstanding — diluted 209.2 (2)% —% 1Q24 4Q24 Tier 1 leverage ratio*** 13.0 % 12.1% 12.8% Tier 1 capital ratio*** 23.7 % 21.6% 22.8% Common equity tier 1 ratio*** 23.5 % 21.5% 22.6% Total capital ratio*** 25.0 % 23.0% 24.1% Effective tax rate 19.9 % 21.0% 20.8%
$1.4B of dividends paid and share repurchases over the past 5 quarters Capital management 14 DIVIDENDS PAID AND SHARE REPURCHASES $ IN MILLIONS 245 302 337 394 154 150 207 243 300 50 95 95 94 94 104 Share Repurchases* Dividends Paid** 1Q24 2Q24 3Q24 4Q24 1Q25 Number of Shares Repurchased* (thousands) 1,408 1,695 1,994 2,598 310 Average Share Price of Shares Repurchased* $106.51 $121.99 $121.98 $115.49 $161.13 *Under the Board of Directors' common stock repurchase authorization. **Reflects dividends paid to holders of common shares. ***Indicates amount remaining as of December 31, 2024 under the Board of Directors' $1.5 billion common stock repurchase authorization approved on December 3, 2024. $1.45B remains under current common stock repurchase authorization***
Bank segment key credit trends 15 $ in millions 1Q25 vs. 1Q24 vs. 4Q24 Bank loan provision for credit losses $ — NM NM Net charge-offs $ 4 (50)% (80)% 1Q24 4Q24 Nonperforming assets as a % of total assets 0.26 % 0.27% 0.28% Bank loan allowance for credit losses as a % of loans held for investment 0.95 % 1.08% 0.99% Bank loan allowance for credit losses on corporate loans as a % of corporate loans held for investment* 1.93 % 2.06% 1.99% Criticized loans as a % of total loans held for investment 1.26 % 1.06% 1.47% *Corporate loans include commercial and industrial loans, commercial real estate loans, and real estate investment trust loans.
Outlook 16
Appendix 17
Reconciliation of non-GAAP financial measures to GAAP financial measures (unaudited) 18 We utilize certain non-GAAP financial measures as additional measures to aid in, and enhance, the understanding of our financial results and related measures. These non- GAAP financial measures have been separately identified in this document. We believe certain of these non-GAAP financial measures provide useful information to management and investors by excluding certain material items that may not be indicative of our core operating results. We utilize these non-GAAP financial measures in assessing the financial performance of the business, as they facilitate a comparison of current- and prior-period results. We believe that return on tangible common equity and tangible book value per share are meaningful to investors as they facilitate comparisons of our results to the results of other companies. In the following tables, the tax effect of non-GAAP adjustments reflects the statutory rate associated with each non-GAAP item. These non-GAAP financial measures should be considered in addition to, and not as a substitute for, measures of financial performance prepared in accordance with GAAP. In addition, our non-GAAP financial measures may not be comparable to similarly titled non-GAAP financial measures of other companies. The following tables provide a reconciliation of non-GAAP financial measures to the most directly comparable GAAP measures for those periods which include non-GAAP adjustments. Note: Please refer to the footnotes on slide 27 for additional information. continued on next slide
Reconciliation of non-GAAP financial measures to GAAP financial measures (unaudited) Note: Please refer to the footnotes on slide 27 for additional information. continued on next slide Three months ended $ in millions December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 Net income available to common shareholders $ 497 $ 474 $ 491 $ 601 $ 599 Non-GAAP adjustments: Expenses related to acquisitions: Compensation, commissions and benefits (1) 11 11 11 9 8 Communication and information processing — 1 — 1 — Professional fees 1 1 1 1 1 Other Amortization of identifiable intangible assets (2) 11 11 11 11 11 All other acquisition-related expenses — 2 — 3 — Total “Other” expense 11 13 11 14 11 Total pre-tax impact of non-GAAP adjustments related to acquisitions 23 26 23 25 20 Tax effect of non-GAAP adjustments (6) (6) (6) (5) (5) Total non-GAAP adjustments, net of tax 17 20 17 20 15 Adjusted net income available to common shareholders $ 514 $ 494 $ 508 $ 621 $ 614 Pre-tax income $ 630 $ 609 $ 644 $ 760 $ 749 Pre-tax impact of non-GAAP adjustments (as detailed above) 23 26 23 25 20 Adjusted pre-tax income $ 653 $ 635 $ 667 $ 785 $ 769 19
Reconciliation of non-GAAP financial measures to GAAP financial measures (unaudited) Three months ended December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 Pre-tax margin (3) 20.9 % 19.5 % 20.0 % 22.0 % 21.2 % Impact of non-GAAP adjustments on pre-tax margin: Expenses related to acquisitions: Compensation, commissions and benefits (1) 0.4 % 0.3 % 0.3 % 0.3 % 0.2 % Communication and information processing — % — % — % — % — % Professional fees — % 0.1 % — % — % — % Other: Amortization of identifiable intangible assets (2) 0.4 % 0.4 % 0.4 % 0.3 % 0.3 % All other acquisition-related expenses — % 0.1 % — % 0.1 % — % Total “Other” expense 0.4 % 0.5 % 0.4 % 0.4 % 0.3 % Total pre-tax impact of non-GAAP adjustments related to acquisitions 0.8 % 0.9 % 0.7 % 0.7 % 0.5 % Adjusted pre-tax margin (3) 21.7 % 20.4 % 20.7 % 22.7 % 21.7 % Note: Please refer to the footnotes on slide 27 for additional information. continued on next slide20
Reconciliation of non-GAAP financial measures to GAAP financial measures (unaudited) 21 Note: Please refer to the footnotes on slide 27 for additional information. continued on next slide Three months ended $ in millions December 31, 2023 March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 Compensation, commissions and benefits expense $ 1,921 $ 2,043 $ 2,090 $ 2,159 $ 2,272 Less: Acquisition-related retention (1) 11 11 11 9 8 Adjusted compensation, commissions and benefits expense $ 1,910 $ 2,032 $ 2,079 $ 2,150 $ 2,264 Total compensation ratio (4) 63.8 % 65.5 % 64.7 % 62.4 % 64.2 % Less the impact of non-GAAP adjustments on compensation ratio: Acquisition-related retention (1) 0.4 % 0.3 % 0.3 % 0.3 % 0.2 % Adjusted total compensation ratio (4) 63.4 % 65.2 % 64.4 % 62.1 % 64.0 %
Reconciliation of non-GAAP financial measures to GAAP financial measures (unaudited) 22 Note: Please refer to the footnotes on slide 27 for additional information. Three months ended Earnings per common share (5) December 31, 2023 September 30, 2024 December 31, 2024 Basic $ 2.38 $ 2.93 $ 2.94 Impact of non-GAAP adjustments on basic earnings per common share: Expenses related to acquisitions: Compensation, commissions and benefits (1) 0.05 0.04 0.04 Communication and information processing — — — Professional fees 0.01 0.01 — Other: Amortization of identifiable intangible assets (2) 0.05 0.05 0.05 All other acquisition-related expenses — 0.02 — Total “Other” expense 0.05 0.07 0.05 Total pre-tax impact of non-GAAP adjustments related to acquisitions 0.11 0.12 0.09 Tax effect of non-GAAP adjustments (0.03) (0.02) (0.02) Total non-GAAP adjustments, net of tax 0.08 0.10 0.07 Adjusted basic $ 2.46 $ 3.03 $ 3.01 continued on next slide
Reconciliation of non-GAAP financial measures to GAAP financial measures (unaudited) 23 Note: Please refer to the footnotes on slide 27 for additional information. Three months ended Earnings per common share (5) December 31, 2023 September 30, 2024 December 31, 2024 Diluted $ 2.32 $ 2.86 $ 2.86 Impact of non-GAAP adjustments on diluted earnings per common share: Expenses related to acquisitions: Compensation, commissions and benefits (1) 0.05 0.04 0.04 Communication and information processing — — — Professional fees 0.01 — — Other: Amortization of identifiable intangible assets (2) 0.05 0.05 0.05 All other acquisition-related expenses — 0.02 — Total “Other” expense 0.05 0.07 0.05 Total pre-tax impact of non-GAAP adjustments related to acquisitions 0.11 0.11 0.09 Tax effect of non-GAAP adjustments (0.03) (0.02) (0.02) Total non-GAAP adjustments, net of tax 0.08 0.09 0.07 Adjusted diluted $ 2.40 $ 2.95 $ 2.93 continued on next slide
Reconciliation of non-GAAP financial measures to GAAP financial measures (unaudited) 24 Note: Please refer to the footnotes on slide 27 for additional information. Book value per share As of $ in millions, except per share amounts December 31, 2023 September 30, 2024 December 31, 2024 Total common equity attributable to Raymond James Financial, Inc. $ 10,711 $ 11,594 $ 11,844 Less non-GAAP adjustments: Goodwill and identifiable intangible assets, net 1,908 1,886 1,858 Deferred tax liabilities related to goodwill and identifiable intangible assets, net (132) (138) (139) Tangible common equity attributable to Raymond James Financial, Inc. $ 8,935 $ 9,846 $ 10,125 Common shares outstanding 208.7 203.3 204.6 Book value per share (6) $ 51.32 $ 57.03 $ 57.89 Tangible book value per share (6) $ 42.81 $ 48.43 $ 49.49 continued on next slide
Reconciliation of non-GAAP financial measures to GAAP financial measures (unaudited) 25 Note: Please refer to the footnotes on slide 27 for additional information. Return on common equity Three months ended $ in millions December 31, 2023 September 30, 2024 December 31, 2024 Average common equity (7) $ 10,423 $ 11,356 $ 11,719 Impact of non-GAAP adjustments on average common equity: Expenses related to acquisitions: Compensation, commissions and benefits (1) 6 5 4 Communication and information processing — — — Professional fees — 1 1 Other: Amortization of identifiable intangible assets (2) 6 6 6 All other acquisition-related expenses — 1 — Total “Other” expense 6 7 6 Total pre-tax impact of non-GAAP adjustments related to acquisitions 12 13 11 Tax effect of non-GAAP adjustments (3) (3) (3) Total non-GAAP adjustments, net of tax 9 10 8 Adjusted average common equity (7) $ 10,432 $ 11,366 $ 11,727 continued on next slide
Reconciliation of non-GAAP financial measures to GAAP financial measures (unaudited) 26 Return on tangible common equity Three months ended $ in millions December 31, 2023 September 30, 2024 December 31, 2024 Average common equity (7) $ 10,423 $ 11,356 $ 11,719 Less: Average goodwill and identifiable intangible assets, net 1,908 1,885 1,872 Average deferred tax liabilities related to goodwill and identifiable intangible assets, net (132) (137) (139) Average tangible common equity (7) $ 8,647 $ 9,608 $ 9,986 Impact of non-GAAP adjustments on average tangible common equity: Expenses related to acquisitons: Compensation, commissions and benefits (1) 6 5 4 Communication and information processing — — — Professional fees — 1 1 Other: Amortization of identifiable intangible assets (2) 6 6 6 All other acquisition-related expenses — 1 — Total “Other” expense 6 7 6 Total pre-tax impact of non-GAAP adjustments related to acquisitions 12 13 11 Tax effect of non-GAAP adjustments (3) (3) (3) Total non-GAAP adjustments, net of tax 9 10 8 Adjusted average tangible common equity (7) $ 8,656 $ 9,618 $ 9,994 Return on common equity (8) 19.1 % 21.2 % 20.4 % Adjusted return on common equity (8) 19.7 % 21.9 % 20.9 % Return on tangible common equity (8) 23.0 % 25.0 % 24.0 % Adjusted return on tangible common equity (8) 23.8 % 25.8 % 24.6 % Note: Please refer to the footnotes on slide 27 for additional information.
Footnotes 27 (1) Includes acquisition-related compensation expenses primarily arising from equity and cash-based retention awards issued in conjunction with acquisitions in prior years. Such retention awards are generally contingent upon the post-closing continuation of service of certain associates who joined the firm as part of such acquisitions and are expensed over the requisite service period. (2) Amortization of identifiable intangible assets, which was included in “Other” expense, includes amortization of identifiable intangible assets arising from our acquisitions. (3) Pre-tax margin is computed by dividing pre-tax income by net revenues for each respective period or, in the case of adjusted pre-tax margin, computed by dividing adjusted pre-tax income by net revenues for each respective period. (4) Total compensation ratio is computed by dividing compensation, commissions and benefits expense by net revenues for each respective period or, in the case of adjusted total compensation ratio, computed by dividing adjusted compensation, commissions and benefits expense by net revenues for each respective period. (5) Earnings per common share is computed by dividing net income available to common shareholders (less allocation of earnings and dividends to participating securities) by weighted-average common shares outstanding (basic or diluted as applicable) for each respective period or, in the case of adjusted earnings per common share, computed by dividing adjusted net income available to common shareholders (less allocation of earnings and dividends to participating securities) by weighted-average common shares outstanding (basic or diluted as applicable) for each respective period. The allocations of earnings and dividends to participating securities were $1 million for each of the three months ended December 31, 2024, September 30, 2024, and December 31, 2023. (6) Book value per share is computed by dividing total common equity attributable to Raymond James Financial, Inc. by the number of common shares outstanding at the end of each respective period or, in the case of tangible book value per share, computed by dividing tangible common equity by the number of common shares outstanding at the end of each respective period. (7) Average common equity is computed by adding the total common equity attributable to Raymond James Financial, Inc. as of the date indicated to the prior quarter-end total, and dividing by two, or in the case of average tangible common equity, computed by adding tangible common equity as of the date indicated to the prior quarter-end total, and dividing by two. Adjusted average common equity is computed by adjusting for the impact on average common equity of the non-GAAP adjustments, as applicable for each respective period. Adjusted average tangible common equity is computed by adjusting for the impact on average tangible common equity of the non-GAAP adjustments, as applicable for each respective period. (8) Return on common equity is computed by dividing annualized net income available to common shareholders by average common equity for each respective period or, in the case of return on tangible common equity, computed by dividing annualized net income available to common shareholders by average tangible common equity for each respective period. Adjusted return on common equity is computed by dividing annualized adjusted net income available to common shareholders by adjusted average common equity for each respective period, or in the case of adjusted return on tangible common equity, computed by dividing annualized adjusted net income available to common shareholders by adjusted average tangible common equity for each respective period. Tangible common equity is defined as total common equity attributable to Raymond James Financial, Inc. less goodwill and identifiable intangible assets, net of related deferred taxes.
v3.24.4
Cover Page
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Jan. 29, 2025 |
| Document Information [Line Items] |
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| Document Type |
8-K
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| Document Period End Date |
Jan. 29, 2025
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| Entity Registrant Name |
RAYMOND JAMES FINANCIAL, INC.
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| Entity Incorporation, State or Country Code |
FL
|
| Entity File Number |
1-9109
|
| Entity Tax Identification Number |
59-1517485
|
| Entity Address, Address Line One |
880 Carillon Parkway
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| Entity Address, City or Town |
St. Petersburg
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| Entity Address, State or Province |
FL
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| Entity Address, Postal Zip Code |
33716
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| City Area Code |
727
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| Local Phone Number |
567-1000
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| Common Stock, $.01 par value |
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| Document Information [Line Items] |
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| Title of 12(b) Security |
Common Stock, $.01 par value
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RJF
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| Security Exchange Name |
NYSE
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| Depositary Shares, Each Representing a 1/40th Interest in a Share of 6.375% Fixed-to-Floating Rate Series B Non-Cumulative Perpetual Preferred Stock |
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| Document Information [Line Items] |
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| Title of 12(b) Security |
Depositary Shares, Each Representing a 1/40th Interest in a Share of 6.375% Fixed-to-Floating Rate Series B Non-Cumulative Perpetual Preferred Stock
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RJF PrB
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| X |
- DefinitionBoolean flag that is true when the XBRL content amends previously-filed or accepted submission.
| Name: |
dei_AmendmentFlag |
| Namespace Prefix: |
dei_ |
| Data Type: |
xbrli:booleanItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionFor the EDGAR submission types of Form 8-K: the date of the report, the date of the earliest event reported; for the EDGAR submission types of Form N-1A: the filing date; for all other submission types: the end of the reporting or transition period. The format of the date is YYYY-MM-DD.
| Name: |
dei_DocumentPeriodEndDate |
| Namespace Prefix: |
dei_ |
| Data Type: |
xbrli:dateItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionThe type of document being provided (such as 10-K, 10-Q, 485BPOS, etc). The document type is limited to the same value as the supporting SEC submission type, or the word 'Other'.
| Name: |
dei_DocumentType |
| Namespace Prefix: |
dei_ |
| Data Type: |
dei:submissionTypeItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionAddress Line 1 such as Attn, Building Name, Street Name
| Name: |
dei_EntityAddressAddressLine1 |
| Namespace Prefix: |
dei_ |
| Data Type: |
xbrli:normalizedStringItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- Definition
+ References
+ Details
| Name: |
dei_EntityAddressCityOrTown |
| Namespace Prefix: |
dei_ |
| Data Type: |
xbrli:normalizedStringItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionCode for the postal or zip code
| Name: |
dei_EntityAddressPostalZipCode |
| Namespace Prefix: |
dei_ |
| Data Type: |
xbrli:normalizedStringItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionName of the state or province.
| Name: |
dei_EntityAddressStateOrProvince |
| Namespace Prefix: |
dei_ |
| Data Type: |
dei:stateOrProvinceItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionA unique 10-digit SEC-issued value to identify entities that have filed disclosures with the SEC. It is commonly abbreviated as CIK. Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Exchange Act
-Number 240
-Section 12
-Subsection b-2
| Name: |
dei_EntityCentralIndexKey |
| Namespace Prefix: |
dei_ |
| Data Type: |
dei:centralIndexKeyItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionIndicate if registrant meets the emerging growth company criteria. Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Exchange Act
-Number 240
-Section 12
-Subsection b-2
| Name: |
dei_EntityEmergingGrowthCompany |
| Namespace Prefix: |
dei_ |
| Data Type: |
xbrli:booleanItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionCommission file number. The field allows up to 17 characters. The prefix may contain 1-3 digits, the sequence number may contain 1-8 digits, the optional suffix may contain 1-4 characters, and the fields are separated with a hyphen.
| Name: |
dei_EntityFileNumber |
| Namespace Prefix: |
dei_ |
| Data Type: |
dei:fileNumberItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionTwo-character EDGAR code representing the state or country of incorporation.
| Name: |
dei_EntityIncorporationStateCountryCode |
| Namespace Prefix: |
dei_ |
| Data Type: |
dei:edgarStateCountryItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionThe exact name of the entity filing the report as specified in its charter, which is required by forms filed with the SEC. Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Exchange Act
-Number 240
-Section 12
-Subsection b-2
| Name: |
dei_EntityRegistrantName |
| Namespace Prefix: |
dei_ |
| Data Type: |
xbrli:normalizedStringItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionThe Tax Identification Number (TIN), also known as an Employer Identification Number (EIN), is a unique 9-digit value assigned by the IRS. Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Exchange Act
-Number 240
-Section 12
-Subsection b-2
| Name: |
dei_EntityTaxIdentificationNumber |
| Namespace Prefix: |
dei_ |
| Data Type: |
dei:employerIdItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionLocal phone number for entity.
| Name: |
dei_LocalPhoneNumber |
| Namespace Prefix: |
dei_ |
| Data Type: |
xbrli:normalizedStringItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionBoolean flag that is true when the Form 8-K filing is intended to satisfy the filing obligation of the registrant as pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act. Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Exchange Act
-Number 240
-Section 13e
-Subsection 4c
| Name: |
dei_PreCommencementIssuerTenderOffer |
| Namespace Prefix: |
dei_ |
| Data Type: |
xbrli:booleanItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionBoolean flag that is true when the Form 8-K filing is intended to satisfy the filing obligation of the registrant as pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act. Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Exchange Act
-Number 240
-Section 14d
-Subsection 2b
| Name: |
dei_PreCommencementTenderOffer |
| Namespace Prefix: |
dei_ |
| Data Type: |
xbrli:booleanItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionTitle of a 12(b) registered security. Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Exchange Act
-Number 240
-Section 12
-Subsection b
| Name: |
dei_Security12bTitle |
| Namespace Prefix: |
dei_ |
| Data Type: |
dei:securityTitleItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionName of the Exchange on which a security is registered. Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Exchange Act
-Number 240
-Section 12
-Subsection d1-1
| Name: |
dei_SecurityExchangeName |
| Namespace Prefix: |
dei_ |
| Data Type: |
dei:edgarExchangeCodeItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionBoolean flag that is true when the Form 8-K filing is intended to satisfy the filing obligation of the registrant as soliciting material pursuant to Rule 14a-12 under the Exchange Act. Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Exchange Act
-Number 240
-Section 14a
-Subsection 12
| Name: |
dei_SolicitingMaterial |
| Namespace Prefix: |
dei_ |
| Data Type: |
xbrli:booleanItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionTrading symbol of an instrument as listed on an exchange.
| Name: |
dei_TradingSymbol |
| Namespace Prefix: |
dei_ |
| Data Type: |
dei:tradingSymbolItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- DefinitionBoolean flag that is true when the Form 8-K filing is intended to satisfy the filing obligation of the registrant as written communications pursuant to Rule 425 under the Securities Act. Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Securities Act
-Number 230
-Section 425
| Name: |
dei_WrittenCommunications |
| Namespace Prefix: |
dei_ |
| Data Type: |
xbrli:booleanItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
| X |
- Details
| Name: |
us-gaap_StatementClassOfStockAxis=us-gaap_CommonStockMember |
| Namespace Prefix: |
|
| Data Type: |
na |
| Balance Type: |
|
| Period Type: |
|
|
| X |
- Details
| Name: |
us-gaap_StatementClassOfStockAxis=rjf_DepositarySharesSeriesBMember |
| Namespace Prefix: |
|
| Data Type: |
na |
| Balance Type: |
|
| Period Type: |
|
|
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