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Mar 31
LPL Financial Q1 2025 Earnings Report
LPL Financial announced its first quarter 2025 results
Key Takeaways
LPL Financial reported a strong start to 2025 with significant increases in net income, adjusted EPS, and gross profit compared to the prior year. Total advisory and brokerage assets also saw substantial growth, driven by both organic net new assets and acquisitions.
Net Income was $319 million, up 11% year-over-year.
Adjusted EPS increased 22% year-over-year to $5.15.
Gross profit increased 19% year-over-year to $1,273 million.
Total advisory and brokerage assets increased 25% year-over-year to $1.8 trillion.
LPL Financial
LPL Financial
LPL Financial Revenue by Segment
Revenue by Segment
Advisory Revenue
CapyFin.comSales-based Commissions Revenue
CapyFin.comTrailing Commissions Revenue
CapyFin.comClient Cash Revenue
CapyFin.comOther Asset-based Revenue
CapyFin.comService and Fee Revenue
CapyFin.comInterest Income, Net Revenue
CapyFin.comTransaction Revenue
CapyFin.comOther Revenue
CapyFin.com Forward Guidance
The company expects to close the acquisition of Commonwealth in the second half of 2025 and onboard First Horizon later in the year. They also lowered the upper end of their 2025 Core G&A outlook range.
Positive Outlook
- Expected closing of the Commonwealth acquisition in the second half of 2025.
- On track to complete the Atria conversion in mid-2025.
- Strategic relationship with First Horizon to transition support to LPL's Institution Services platform.
- Lowered the upper end of the 2025 Core G&A outlook range by $15 million.
- Strong business momentum and financial strength position the company well to continue delivering shareholder value.
Challenges Ahead
- Potential difficulties and delays in onboarding acquired, recruited, or transitioned advisor assets.
- Disruptions in the businesses of the company and Commonwealth that could make it more difficult to maintain relationships with advisors and their clients.
- The choice by clients of acquired or recruited advisors not to open accounts at the company.
- Changes in general economic and financial market conditions, including retail investor sentiment.
- The cost of defending, settling, and remediating issues related to regulatory matters or legal proceedings.
Revenue & Expenses
Visualization of income flow from segment revenue to net income