01—Abstract
Summary
Summary of the 10-Q filed August 5, 2026. Cited figures are marked; the original filing is the authoritative source.
Raymond James Financial, Inc. reported fiscal third-quarter 2026 results (quarter ended June 30, 2026) with net revenues of $3.93 billiona, up 16% from the prior-year quarter, and pre-tax income of $750 million, up 33%.
Net income available to common shareholders was $595 millionb, and diluted EPS was $3.01, up 42%. For the nine months, net revenues were $11.52 billion (up 11%), pre-tax income was $2.21 billion (up 12%), and diluted EPS was $8.52 (up 16%). Growth was driven mainly by higher asset management and related administrative fees from growth in PCG fee-based client assets, which reached $1,153.8 billion at June 30, 2026, as well as higher investment banking revenues.
Compensation expense rose 17% in the quarter, and the total compensation ratio increased to 65.7% from 64.8%. Total assets were $94.24 billionc at June 30, 2026, up from $88.23 billion at September 30, 2025, driven mainly by a $4.7 billion increase in bank loans, net. Bank deposits grew $4.42 billion to $63.32 billion.
During the quarter the firm acquired Clark Capital Management Group, Inc. (contributing approximately $36 billiond of financial assets under management at acquisition) and, earlier in fiscal 2026, a majority stake in GreensLedge Holdings LLC. Goodwill and intangible assets rose to $2.61 billion. The firm repurchased $400 million of common stock in the quarter and $1.2 billion year to date, leaving $1.1 billion under its authorization.
Regulatory capital ratios remained well above requirements, with a tier 1 leverage ratio of 11.7% and total capital ratio of 22.5%, though both declined from September 30, 2025 levels. The filing also discloses an ongoing SEC Division of Enforcement inquiry into cash sweep program practices and a pending putative class action on cash sweep rates, with two named plaintiffs remaining. The firm reported an estimated upper-end loss exposure for matters where it could estimate a range of approximately $10 million in excess of accruals.
02—Key points
Key Highlights
- Q3 FY2026 net revenues of $3.93 billion, up 16%; pre-tax income of $750 million, up 33%; diluted EPS of $3.01, up 42% from $2.12.
- Nine-month net revenues of $11.52 billion, up 11%; diluted EPS of $8.52, up 16%; annualized ROCE of 18.1% and ROTCE of 21.3% for the nine months.
- Asset management and related administrative fees rose to $2.08 billion in the quarter, up from $1.73 billion, driven by fee-based client asset growth and market appreciation.
- Total PCG AUA reached $1,856.5 billion at June 30, 2026, up 18% from June 30, 2025; domestic PCG net new assets were $21.69 billion in the quarter.
- Bank loans, net increased to $56.23 billion and bank deposits to $63.32 billion; the Bank segment net interest margin was 2.71% in the quarter.
- Acquired Clark Capital (quarter ended June 30, 2026) and GreensLedge (funded with cash on hand), adding $131 million and approximately $305 million of goodwill respectively; total compensation ratio rose to 65.7% from 64.8%.
- Capital remained strong with a tier 1 leverage ratio of 11.7% and total capital ratio of 22.5%, down from 13.1% and 24.1% at September 30, 2025; the firm repurchased $400 million of stock in the quarter.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ3 FY2026filed August 5, 2026Financial Statements
Q3 FY2026 against Q3 FY2025
| Line item | Q3 FY2026Q3 FY2025 | Change |
|---|---|---|
| Revenue | $4.36B$3.84B | +13.5% |
| Net Income | $595.00M$436.00M | +36.5% |
| EPS (Basic) | $3.06$2.16 | +41.7% |
| EPS (Diluted) | $3.01$2.12 | +42.0% |
| Shares Outstanding (Basic) | 194.00M201.20M | −3.6% |
| Shares Outstanding (Diluted) | 197.20M205.50M | −4.0% |
05—Questions
Frequently Asked Questions
How did Raymond James perform in the fiscal third quarter of 2026?
Net revenues were $3.93 billion, up 16% from $3.40 billion a year earlier. Pre-tax income rose 33% to $750 million, net income available to common shareholders rose 37% to $595 million, and diluted EPS was $3.01 compared with $2.12. Adjusted diluted EPS, a non-GAAP measure, was $3.14.
What drove revenue growth?
The filing attributes the increase mainly to higher asset management and related administrative fees, which rose to $2.08 billion from $1.73 billion, reflecting growth in PCG fee-based client assets from market appreciation and net new assets from financial advisor recruiting and retention. Investment banking revenues also rose to $291 million from $212 million, and brokerage revenues rose to $629 million from $559 million.
How did the Clark Capital and GreensLedge acquisitions affect the company?
Clark Capital, an asset management firm, was acquired in the quarter and contributed approximately $36 billion of financial assets under management at acquisition, with preliminary goodwill of about $305 million and identifiable intangibles of about $330 million. GreensLedge, a boutique investment bank, was acquired earlier in fiscal 2026 and added $131 million of goodwill and $31 million of identifiable intangibles. Both were funded with cash on hand, and contingent consideration liabilities totaled $180 million at June 30, 2026.
What is the status of the cash sweep regulatory inquiry and litigation?
The SEC's Division of Enforcement has requested information about the firm's cash sweep program practices since August 2024, and the firm is cooperating. In related putative class actions, the court dismissed some claims in March 2026, and as of July 16, 2026 the case remains pending with two named plaintiffs, whom the firm intends to vigorously defend against. The filing states that the upper end of the estimated reasonably possible aggregate loss for matters where a range could be estimated was approximately $10 million in excess of accruals.
06—Continue