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Mar 31, 2020

Raymond James Q2 2020 Earnings Report

Raymond James reported a decrease in net income and earnings per share due to a bank loan loss provision, but achieved record net revenues and pre-tax income in the Private Client Group segment.

Key Takeaways

Raymond James Financial reported record quarterly net revenues of $2.07 billion, up 11% year-over-year, but net income decreased by 35% to $169 million, or $1.20 per diluted share, due to a $109 million bank loan loss provision. The Private Client Group segment saw record net revenues and pre-tax income.

Record quarterly net revenues of $2.07 billion, up 11% year-over-year.

Net income of $169 million, or $1.20 per diluted share, down 35% year-over-year due to a bank loan loss provision of $109 million.

Record quarterly net revenues and pre-tax income in the Private Client Group segment.

Record clients’ domestic cash sweep balances of $52.9 billion, up 27% year-over-year.

Total Revenue
$2.07B
Previous year: $1.86B
+11.2%
EPS
$0.8
Previous year: $1.21
-33.9%
PCG Assets Under Admin
$734B
Previous year: $760B
-3.4%
PCG Assets Fee Based
$384B
Previous year: $378B
+1.3%
Gross Profit
$2.04B
Previous year: $1.84B
+11.2%
Cash and Equivalents
$10.6B
Previous year: $3.83B
+177.9%
Free Cash Flow
$2.36B
Previous year: -$237M
-1096.6%
Total Assets
$49.8B
Previous year: $38.2B
+30.5%

Raymond James

Raymond James

Raymond James Revenue by Segment

Forward Guidance

Raymond James expects economic deterioration, declines in the equity markets, and lower short-term interest rates to negatively impact financial results, but the company is well-positioned for the long term with strong capital and liquidity.

Revenue & Expenses

Visualization of income flow from segment revenue to net income