Latest news with #clientassets
Yahoo
4 days ago
- Business
- Yahoo
Canaccord Genuity Group Inc (CCORF) Q1 2026 Earnings Call Highlights: Record Wealth Management ...
Release Date: August 07, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points Consolidated revenue improved by 5% year over year to $448 million, driven by a 17% increase in commissions and fees revenue. The wealth management division achieved record client assets of $125 billion, supported by rising market values and organic inflows. The UK and Australian wealth businesses reported new quarterly revenue records, with the UK business seeing a 170% year-over-year increase. The company completed 93 transactions during the quarter, raising over $16 billion for growth clients, with an 80% increase in the average transaction size. Efforts to contain non-compensation expenses are ongoing, with expectations for further margin improvements as organic growth initiatives continue. Negative Points Revenue in the capital markets division declined modestly, with a significant 27% year-over-year and 46% sequential drop in advisory segment revenue. First quarter profitability fell below expectations due to a shift in revenue mix and increased trading costs. Non-compensation expenses increased by 4% year over year, driven by foreign exchange and higher premises and equipment costs. The US operations faced challenges with elevated trading costs and lower advisory revenue impacting overall profitability. The ongoing regulatory matter in the US resulted in a $2.5 million legal provision, with no significant update on resolution. Q & A Highlights Warning! GuruFocus has detected 4 Warning Signs with CCORF. Q: Can you explain the factors affecting the incentive plan for the UK wealth management? A: The incentive plan is primarily influenced by the valuation of the UK wealth management. We accrue into that valuation, so as the value of UK wealth management increases, the accruals into the incentive plan also increase. (Respondent: CFO) Q: What is your view on the wealth market consolidation in Canada, and what role will Canaccord play in it? A: We have grown our Canadian wealth business significantly over the past nine years. There are few independent competitors, and we are well-positioned as a full-service offering attached to a capital markets business. We continue to have an active pipeline of recruits and believe our model of organic growth and competitive recruitment is effective. (Respondent: CEO) Q: Revenue in the Canadian wealth segment was lighter than expected. What caused this? A: The lighter revenue was due to a significant market downturn in April, which affected assets under administration (AUA) and subsequently fee income. However, we expect improvement as markets have rebounded, and AUA has increased to $45 billion by the end of the quarter. (Respondent: CFO) Q: Can you provide an update on the $2.5 million legal provision related to the ongoing US regulatory matter? A: The provision is for the ongoing regulatory matter in the US. There is no significant update as the timeline is unpredictable due to changes in US regulatory personnel. We continue to have constructive dialogue but have no substantive update on reaching a settlement. (Respondent: CEO) Q: What is the outlook for M&A advisory in the US, given the softer performance this quarter? A: We expect significant improvement in M&A revenue over the next couple of quarters. It appears that deals were delayed rather than canceled, and we have strong visibility on upcoming activity. (Respondent: CEO) For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Bloomberg
18-07-2025
- Business
- Bloomberg
Schwab Earnings Top Estimates on Trading Boost, Client Assets
Charles Schwab Corp. reported earnings per share that topped estimates as the firm said client assets hit a new record and trading revenue rose. Schwab posted adjusted earnings per share of $1.14 while total client assets climbed 14% to $10.76 trillion compared to the same period last year, according to a statement. Revenue from client trades jumped 23% to $952 million.
Yahoo
29-06-2025
- Business
- Yahoo
Stifel Reports Y/Y Rise in Client & Fee-Based Assets for May 2025
Stifel Financial Corp. SF reported key operating results as of May 31, 2025, highlighting year-over-year increases in client and fee-based assets, despite volatility in equity markets. The company's total client assets increased 8% year over year and 3% from the prior month's level in May 2025, reaching $501.4 million. This is driven by market appreciation and the successful recruitment of financial advisors. Fee-based client assets rose 13% year over year and 4% sequentially in May to $199.1 million. Private Client Group's fee-based client assets were $173.6 million as of May 31, 2025, up 12% from the year-ago quarter and 5% from the previous month's level. Bank loans, net (including loans held for sale), were $21.2 million as of May 2025, up 7% year over year but down 2% sequentially. Client money market and insured product balances decreased 2% on a year-over-year basis and nearly 1% on a sequential basis in May due to a lower Smart rate balance, as the Sweep deposit balance also witnessed a slight decline. SF's May total client assets and fee-based assets increased, indicating strong growth in client engagement and portfolio value. Further, a rise in bank loans, net, implies a positive trend in lending activities and revenue growth from this segment. However, declining client money market and insured product balances suggest a decline in liquidity and possibly a negative market perception. In April, the investment banking activity was negatively affected by the market volatility. However, as the market stabilized, its momentum increased, and the investment banking pipeline strengthened throughout the quarter. Though IB revenue is expected to decrease in the second quarter of 2025, management remains cautiously optimistic for the full year 2025. In the past year, Stifel shares have risen 25.5% underperforming the industry's rise of 40.6%. Image Source: Zacks Investment Research Currently, SF carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. LPL Financial LPLA witnessed a rise in total brokerage and advisory assets in May 2025. The metric was $1.85 trillion, which grew 3.7% from the prior month and 26.5% year over year. LPLA reported a total client cash balance of $49.2 billion in May, down 5% from the prior month but up 10.6% from May 2024. Of the total balance, $33.4 billion was insured cash, $10.6 billion was deposit cash, and the remainder consisted of money-market sweep and client cash balances. Charles Schwab SCHW also released its monthly activity report for May 2025. The company's total client assets were $10.35 trillion, up 12.4% from May 2024 and 4.6% from April 2025. SCHW's Client assets receiving ongoing advisory services were $5.24 trillion, growing 12.6% from the year-ago period and 3.9% from the prior month. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report The Charles Schwab Corporation (SCHW) : Free Stock Analysis Report Stifel Financial Corporation (SF) : Free Stock Analysis Report LPL Financial Holdings Inc. (LPLA) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Globe and Mail
27-06-2025
- Business
- Globe and Mail
Stifel Reports Y/Y Rise in Client & Fee-Based Assets for May 2025
Stifel Financial Corp. SF reported key operating results as of May 31, 2025, highlighting year-over-year increases in client and fee-based assets, despite volatility in equity markets. Breakdown of SF's May Operating Results The company's total client assets increased 8% year over year and 3% from the prior month's level in May 2025, reaching $501.4 million. This is driven by market appreciation and the successful recruitment of financial advisors. Fee-based client assets rose 13% year over year and 4% sequentially in May to $199.1 million. Private Client Group's fee-based client assets were $173.6 million as of May 31, 2025, up 12% from the year-ago quarter and 5% from the previous month's level. Bank loans, net (including loans held for sale), were $21.2 million as of May 2025, up 7% year over year but down 2% sequentially. Client money market and insured product balances decreased 2% on a year-over-year basis and nearly 1% on a sequential basis in May due to a lower Smart rate balance, as the Sweep deposit balance also witnessed a slight decline. Final Words on Stifel SF's May total client assets and fee-based assets increased, indicating strong growth in client engagement and portfolio value. Further, a rise in bank loans, net, implies a positive trend in lending activities and revenue growth from this segment. However, declining client money market and insured product balances suggest a decline in liquidity and possibly a negative market perception. In April, the investment banking activity was negatively affected by the market volatility. However, as the market stabilized, its momentum increased, and the investment banking pipeline strengthened throughout the quarter. Though IB revenue is expected to decrease in the second quarter of 2025, management remains cautiously optimistic for the full year 2025. SF's Zacks Rank & Price Performance In the past year, Stifel shares have risen 25.5% underperforming the industry 's rise of 40.6%. Currently, SF carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Performance of Other Finance Stocks in May LPL Financial LPLA witnessed a rise in total brokerage and advisory assets in May 2025. The metric was $1.85 trillion, which grew 3.7% from the prior month and 26.5% year over year. LPLA reported a total client cash balance of $49.2 billion in May, down 5% from the prior month but up 10.6% from May 2024. Of the total balance, $33.4 billion was insured cash, $10.6 billion was deposit cash, and the remainder consisted of money-market sweep and client cash balances. Charles Schwab SCHW also released its monthly activity report for May 2025. The company's total client assets were $10.35 trillion, up 12.4% from May 2024 and 4.6% from April 2025. SCHW's Client assets receiving ongoing advisory services were $5.24 trillion, growing 12.6% from the year-ago period and 3.9% from the prior month. Zacks' Research Chief Picks Stock Most Likely to "At Least Double" Our experts have revealed their Top 5 recommendations with money-doubling potential – and Director of Research Sheraz Mian believes one is superior to the others. Of course, all our picks aren't winners but this one could far surpass earlier recommendations like Hims & Hers Health, which shot up +209%. See Our Top Stock to Double (Plus 4 Runners Up) >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report The Charles Schwab Corporation (SCHW): Free Stock Analysis Report Stifel Financial Corporation (SF): Free Stock Analysis Report LPL Financial Holdings Inc. (LPLA): Free Stock Analysis Report
