01—Abstract
Summary
Summary of the 10-Q filed August 3, 2026. Cited figures are marked; the original filing is the authoritative source.
LPL Financial Holdings Inc. reported net income of $379.3 milliona, or $4.74 per diluted share, for the second quarter of 2026, compared with $273.2 million, or $3.40 per diluted share, for the second quarter of 2025.
Total revenue rose to $5,186.6 millionb from $3,835.0 million, and advisory and brokerage assets served reached $2.6 trillion at June 30, 2026, versus $1.9 trillion a year earlier. Total net new assets were $23.6 billion for the quarter, compared with $20.5 billion in the prior-year quarter, with net new advisory assets of $30.7 billion offset by a net outflow of $7.1 billion in brokerage assets. The company resumed share repurchases in the second quarter, buying back $309.5 million of stock, and the Board authorized a new $2.5 billion repurchase increase on July 23, 2026.
Management expects approximately $300 millionc of repurchases in the third quarter, and $134.3 million had been repurchased from July 1 through July 30, 2026. Corporate debt and other borrowings totaled $7,460.5 million at June 30, 2026, and the leverage ratio was 1.91 against a covenant maximum of 4.0, with interest coverage of 9.16 against a minimum of 3.0. Expense growth was significant: total expense rose to $4,671.1 million from $3,466.2 million, driven largely by advisory and commission expense and higher amortization of other intangibles, and acquisition costs and transition assistance loan amortization remained material.
The filing notes that the Commonwealth Financial Network acquisition's assets are expected to convert to the company's platform in the fourth quarter of 2026. Management also declared a $0.30d per share dividend payable August 28, 2026.
02—Key points
Key Highlights
- Net income of $379.3 million, or $4.74 per diluted share, for Q2 2026, versus $273.2 million, or $3.40 per diluted share, in Q2 2025.
- Total revenue of $5,186.6 million for Q2 2026, up from $3,835.0 million a year earlier; gross profit (non-GAAP) of $1,618.3 million versus $1,304.3 million.
- Advisory and brokerage assets of $2.6 trillion at June 30, 2026, versus $1.9 trillion at June 30, 2025; total net new assets of $23.6 billion for the quarter.
- Brokerage segment recorded a net outflow of $7.1 billion in Q2 2026, compared with a $2.6 billion outflow in Q2 2025, while net new advisory assets were $30.7 billion.
- Repurchased $309.5 million of common stock in Q2 2026 after no repurchases in the prior periods shown; a new $2.5 billion repurchase authorization was approved on July 23, 2026.
- Leverage ratio of 1.91 at June 30, 2026, within the 4.0 maximum covenant, and interest coverage of 9.16 against a 3.0 minimum; corporate debt and other borrowings totaled $7,460.5 million.
- Total expense rose to $4,671.1 million in Q2 2026 from $3,466.2 million, with advisory and commission expense of $3,507.2 million, and the Commonwealth asset conversion is expected in Q4 2026.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ2 FY2026filed August 3, 2026Financial Statements
Q2 FY2026 against Q2 FY2025
| Line item | Q2 FY2026Q2 FY2025 | Change |
|---|---|---|
| Revenue | $5.19B$3.84B | +35.2% |
| Operating Expenses | $4.67B$3.47B | +34.8% |
| Interest Expense | $101.50M$105.64M | −3.9% |
| Net Income | $379.26M$273.25M | +38.8% |
| EPS (Basic) | $4.75$3.42 | +38.9% |
| EPS (Diluted) | $4.74$3.40 | +39.4% |
| Shares Outstanding (Basic) | 79.79M79.98M | −0.2% |
| Shares Outstanding (Diluted) | 80.03M80.37M | −0.4% |
05—Questions
Frequently Asked Questions
How did LPL Financial perform in the second quarter of 2026?
The company reported net income of $379.3 million, or $4.74 per diluted share, for the three months ended June 30, 2026, up from $273.2 million, or $3.40 per diluted share, a year earlier. Total revenue was $5,186.6 million compared with $3,835.0 million in the prior-year quarter.
What is the company's asset growth profile?
Total advisory and brokerage assets served were $2.6 trillion at June 30, 2026, versus $1.9 trillion a year earlier. Net new assets were $23.6 billion for the quarter, driven by $30.7 billion of net new advisory assets, partly offset by a $7.1 billion net outflow from brokerage assets.
How much capital is the company returning to stockholders?
The company repurchased $309.5 million of stock in the second quarter and paid cash dividends of $24.0 million. From July 1 through July 30, 2026, it repurchased 420,464 shares for $134.3 million, and the Board authorized an additional $2.5 billion repurchase amount on July 23, 2026.
What is the company's debt and leverage position?
Corporate debt and other borrowings were $7,460.5 million at June 30, 2026. The leverage ratio was 1.91 against a covenant maximum of 4.0, and interest coverage was 9.16 against a minimum of 3.0, with the company stating it was in compliance with its Credit Agreement covenants.
What events could affect results going forward?
The filing notes that Commonwealth Financial Network advisors' assets are expected to transition to the company's platform in the fourth quarter of 2026, and that the company expects to withdraw the related registrations thereafter. The company also continues to incur acquisition costs of $49.0 million in Q2 2026 and transition assistance loan amortization of $142.3 million for the quarter.
06—Continue