Stifel Financial : 2025 1st Quarter Earnings (Supplement)

Published: 2025-04-23 07:15:52 ET SF

Stifel Financial Corp. (SF)

1st Quarter

Financial Results

2025

Quarterly Financial Supplement

Consolidated Financial Highlights

Three Months Ended

(Unaudited, 000s, except per share information)

3/31/2025

3/31/2024

% Change

12/31/2024

% Change

Net revenues

$

1,255,469

$

1,163,038

7.9

%

$

1,364,682

(8.0

%)

Net income

$

52,992

$

163,575

(67.6%)

$

244,005

(78.3%)

Preferred dividends

9,320

9,320

0.0

%

9,320

0.0

%

Net income available to common shareholders

$

43,672

$

154,255

(71.7%)

$

234,685

(81.4%)

Earnings per diluted common share

$

0.47

$

1.48

(68.2

%)

$

2.18

(78.4

%)

Earnings per diluted common share available to common

shareholders

$

0.39

$

1.40

(72.1%)

$

2.09

(81.3%)

Non-GAAP financial summary (1):

Net revenues

$

1,255,455

$

1,163,038

7.9

%

$

1,364,721

(8.0

%)

Net income

$

63,556

$

172,666

(63.2

%)

$

259,030

(75.5

%)

Preferred dividends

9,320

9,320

0.0%

9,320

0.0%

Net income available to common shareholders

$

54,236

163,346

(66.8

%)

249,710

(78.3

%)

Earnings per diluted common share

$

0.57

$

1.57

(63.7%)

$

2.32

(75.4%)

Earnings per diluted common share available to common

shareholders

$

0.49

$

1.49

(67.1

%)

$

2.23

(78.0

%)

Weighted average number of common shares outstanding:

Basic

104,764

104,275

0.5%

103,856

0.9%

Diluted

110,635

109,985

0.6

%

112,089

(1.3

%)

Period end common shares outstanding

103,078

102,649

0.4

%

102,171

0.9

%

Cash dividends declared per common share

$

0.46

$

0.42

9.5

%

$

0.42

9.5

%

Stifel Financial Corp. Quarterly Financial Supplement | First Quarter 2025 Earnings Release

Page 2 of 19

GAAP Consolidated Results of Operations

Three Months Ended

(Unaudited, 000s, except per share information)

3/31/2025

3/31/2024

% Change

12/31/2024

% Change

Revenues:

Commissions

$

193,670

$

185,476

4.4

%

$

203,786

(5.0

%)

Principal transactions

141,660

139,014

1.9

%

174,887

(19.0

%)

Transactional revenues

335,330

324,490

3.3%

378,673

(11.4%)

Capital raising

100,472

94,697

6.1

%

114,507

(12.3

%)

Advisory

137,470

119,252

15.3%

189,912

(27.6%)

Investment banking

237,942

213,949

11.2

%

304,419

(21.8

%)

Asset management

409,541

367,476

11.4

%

405,825

0.9

%

Other income

10,581

4,950

113.8

%

3,294

221.2

%

Operating revenues

993,394

910,865

9.1%

1,092,211

(9.0%)

Interest revenue

475,632

506,828

(6.2

%)

500,661

(5.0

%)

Total revenues

1,469,026

1,417,693

3.6%

1,592,872

(7.8%)

Interest expense

213,557

254,655

(16.1

%)

228,190

(6.4

%)

Net revenues

1,255,469

1,163,038

7.9%

1,364,682

(8.0%)

Non-interest expenses:

Compensation and benefits

732,220

679,695

7.7%

795,750

(8.0%)

Occupancy and equipment rental

90,766

88,712

2.3

%

94,213

(3.7

%)

Communication and office supplies

49,513

47,367

4.5%

49,965

(0.9%)

Commissions and floor brokerage

16,806

15,767

6.6

%

16,434

2.3

%

Provision for credit losses

12,020

5,268

128.2

%

11,893

1.1

%

Investment banking expenses

8,547

7,729

10.6

%

8,822

(3.1

%)

Other operating expenses

282,233

99,809

182.8

%

121,404

132.5

%

Total non-interest expenses

1,192,105

944,347

26.2

%

1,098,481

8.5

%

Income before income taxes

63,364

218,691

(71.0%)

266,201

(76.2%)

Provision for income taxes

10,372

55,116

(81.2

%)

22,196

(53.3

%)

Net income

52,992

163,575

(67.6%)

244,005

(78.3%)

Preferred dividends

9,320

9,320

0.0

%

9,320

0.0

%

Net income available to common shareholders

$

43,672

$

154,255

(71.7%)

$

234,685

(81.4%)

Earnings per common share:

Basic

$

0.42

$

1.48

(71.6%)

$

2.26

(81.4%)

Diluted

$

0.39

$

1.40

(72.1

%)

$

2.09

(81.3

%)

Weighted average number of common shares outstanding:

Basic

104,764

104,275

0.5

%

103,856

0.9

%

Diluted

110,635

109,985

0.6

%

112,089

(1.3

%)

Cash dividends declared per common share

$

0.46

$

0.42

9.5

%

$

0.42

9.5

%

Stifel Financial Corp. Quarterly Financial Supplement | First Quarter 2025 Earnings Release

Page 3 of 19

Non-GAAP Consolidated Results of Operations (1)

Three Months Ended

(Unaudited, 000s, except per share information)

3/31/2025

3/31/2024

% Change

12/31/2024

% Change

Revenues:

Commissions

$

193,670

$

185,476

4.4

%

$

203,786

(5.0

%)

Principal transactions

141,660

139,014

1.9

%

174,887

(19.0

%)

Transactional revenues

335,330

324,490

3.3%

378,673

(11.4%)

Capital raising

100,472

94,697

6.1

%

114,507

(12.3

%)

Advisory

137,470

119,252

15.3%

189,912

(27.6%)

Investment banking

237,942

213,949

11.2

%

304,419

(21.8

%)

Asset management

409,541

367,476

11.4

%

405,825

0.9

%

Other income

10,567

4,950

113.5

%

3,333

217.0

%

Operating revenues

993,380

910,865

9.1%

1,092,250

(9.1%)

Interest revenue

475,632

506,828

(6.2

%)

500,661

(5.0

%)

Total revenues

1,469,012

1,417,693

3.6%

1,592,911

(7.8%)

Interest expense

213,557

254,655

(16.1

%)

228,190

(6.4

%)

Net revenues

1,255,455

1,163,038

7.9%

1,364,721

(8.0%)

Non-interest expenses:

Compensation and benefits

728,164

674,162

8.0%

791,539

(8.0%)

Occupancy and equipment rental

90,535

88,665

2.1

%

94,168

(3.9

%)

Communication and office supplies

49,336

47,364

4.2%

49,880

(1.1%)

Commissions and floor brokerage

16,806

15,767

6.6

%

16,434

2.3

%

Provision for credit losses

12,020

5,268

128.2

%

11,893

1.1

%

Investment banking expenses

8,547

7,729

10.6

%

8,822

(3.1

%)

Other operating expenses

274,022

93,238

193.9

%

109,394

150.5

%

Total non-interest expenses

1,179,430

932,193

26.5

%

1,082,130

9.0

%

Income before income taxes

76,025

230,845

(67.1%)

282,591

(73.1%)

Provision for income taxes

12,469

58,179

(78.6

%)

23,561

(47.1

%)

Net income

63,556

172,666

(63.2%)

259,030

(75.5%)

Preferred dividends

9,320

9,320

0.0

%

9,320

0.0

%

Net income available to common shareholders

$

54,236

$

163,346

(66.8%)

$

249,710

(78.3%)

Earnings per common share:

Basic

$

0.52

$

1.57

(66.9%)

$

2.40

(78.3%)

Diluted

$

0.49

$

1.49

(67.1

%)

$

2.23

(78.0

%)

Weighted average number of common shares outstanding:

Basic

104,764

104,275

0.5

%

103,856

0.9

%

Diluted

110,635

109,985

0.6

%

112,089

(1.3

%)

Cash dividends declared per common share

$

0.46

$

0.42

9.5

%

$

0.42

9.5

%

Stifel Financial Corp. Quarterly Financial Supplement | First Quarter 2025 Earnings Release

Page 4 of 19

Consolidated Financial Summary

Three Months Ended

(Unaudited, 000s)

3/31/2025

3/31/2024

% Change

12/31/2024

% Change

Net revenues:

Global Wealth Management

$

850,559

$

790,500

7.6

%

$

865,209

(1.7

%)

Institutional Group

384,929

351,376

9.5

%

478,335

(19.5

%)

Other

19,981

21,162

(5.6

%)

21,138

(5.5

%)

Total net revenues

$

1,255,469

$

1,163,038

7.9

%

$

1,364,682

(8.0

%)

Operating expenses:

Global Wealth Management

$

724,154

$

499,752

44.9

%

$

548,891

31.9

%

Institutional Group

357,498

314,267

13.8%

382,654

(6.6%)

Other

110,453

130,328

(15.2

%)

166,936

(33.8

%)

Total operating expenses

$

1,192,105

$

944,347

26.2%

$

1,098,481

8.5%

Operating contribution:

Global Wealth Management

$

126,405

$

290,748

(56.5

%)

$

316,318

(60.0

%)

Institutional Group

27,431

37,109

(26.1

%)

95,681

(71.3

%)

Other

(90,472)

(109,166)

(17.1%)

(145,798)

(37.9%)

Income before income taxes

$

63,364

$

218,691

(71.0

%)

$

266,201

(76.2

%)

Financial ratios (change in bps):

Compensation and benefits

58.3

%

58.4

%

(10

)

58.3

%

-

Non-compensation operating expenses

36.7

%

22.8

%

1,390

22.2

%

1,450

Income before income taxes

5.0

%

18.8

%

(1,380

)

19.5

%

(1,450

)

Effective tax rate

16.4

%

25.2

%

(880

)

8.3

%

810

Stifel Financial Corp. Quarterly Financial Supplement | First Quarter 2025 Earnings Release

Page 5 of 19

Consolidated Financial Information and Metrics

As of and for the Three Months Ended

(Unaudited, 000s, except per share data)

3/31/2025

3/31/2024

% Change

12/31/2024

% Change

Financial Information:

Total assets

$

40,383,727

$

38,258,280

5.6

%

$

39,895,540

1.2

%

Total shareholders' equity

$

5,538,186

$

5,273,941

5.0

%

$

5,686,770

(2.6

%)

Total common equity

$

4,853,186

$

4,588,941

5.8%

$

5,001,770

(3.0%)

Goodwill and intangible assets

$

(1,503,358

)

$

(1,515,588

)

(0.8

%)

$

(1,508,792

)

(0.4

%)

DTL on goodwill and intangible assets

$

83,367

$

74,841

11.4%

$

81,569

2.2%

Tangible common equity

$

3,433,195

$

3,148,194

9.1

%

$

3,574,547

(4.0

%)

Preferred equity

$

685,000

$

685,000

0.0

%

$

685,000

0.0

%

Financial Metrics:

Book value per common share (2)

$

47.08

$

44.71

5.3%

$

48.95

(3.8%)

Tangible book value per common share (2)

$

33.31

$

30.67

8.6

%

$

34.99

(4.8

%)

Return on common equity (3)

3.5%

13.5%

18.9%

Non-GAAP return on common equity (1)(3)

4.4

%

14.3

%

20.1

%

Return on tangible common equity (4)

5.0%

19.7%

26.6%

Non-GAAP return on tangible common equity (1)(4)

6.2

%

20.9

%

28.3

%

Pre-tax margin on net revenues

5.0

%

18.8

%

19.5

%

Non-GAAP pre-tax margin on net revenues (1)

6.1

%

19.8

%

20.7

%

Effective tax rate

16.4

%

25.2

%

8.3

%

Non-GAAP effective tax rate (1)

16.4

%

25.2

%

8.3

%

Stifel Financial Corp. Quarterly Financial Supplement | First Quarter 2025 Earnings Release

Page 6 of 19

Regulatory Capital (5)

As of and for the Three Months Ended

(Unaudited, 000s)

3/31/2025

3/31/2024

% Change

12/31/2024

% Change

SF Regulatory Capital:

Common equity tier 1 capital

$

3,478,477

$

3,225,964

7.8

%

$

3,645,786

(4.6

%)

Tier 1 capital

$

4,163,477

$

3,910,964

6.5

%

$

4,330,786

(3.9

%)

Risk-weighted assets

$

23,661,099

$

22,588,330

4.7

%

$

23,741,574

(0.3

%)

Common equity tier 1 capital ratio

14.7

%

14.3

%

15.4

%

Tier 1 risk based capital ratio

17.6%

17.3%

18.2%

Tier 1 leverage capital ratio

10.8

%

10.6

%

11.4

%

Stifel Bank & Trust Regulatory Capital:

Common equity tier 1 capital

$

1,373,088

$

1,242,565

10.5

%

$

1,366,711

0.5

%

Tier 1 capital

$

1,373,088

$

1,242,565

10.5

%

$

1,366,711

0.5

%

Risk-weighted assets

$

12,374,083

$

11,502,316

7.6

%

$

12,334,731

0.3

%

Common equity tier 1 capital ratio

11.1

%

10.8

%

11.1

%

Tier 1 risk based capital ratio

11.1

%

10.8

%

11.1

%

Tier 1 leverage capital ratio

7.1

%

7.1

%

7.1

%

Stifel Bank Regulatory Capital:

Common equity tier 1 capital

$

780,209

$

838,002

(6.9%)

$

768,652

1.5%

Tier 1 capital

$

780,209

$

838,002

(6.9

%)

$

768,652

1.5

%

Risk-weighted assets

$

5,962,444

$

5,663,726

5.3%

$

5,920,599

0.7%

Common equity tier 1 capital ratio

13.1

%

14.8

%

13.0

%

Tier 1 risk based capital ratio

13.1

%

14.8

%

13.0

%

Tier 1 leverage capital ratio

7.1

%

7.2

%

7.1

%

Stifel Net Capital:

Net capital

$

294,100

$

446,400

(34.1

%)

$

449,500

(34.6

%)

Excess net capital

$

271,400

$

421,100

(35.5

%)

$

425,500

(36.2

%)

Stifel Financial Corp. Quarterly Financial Supplement | First Quarter 2025 Earnings Release

Page 7 of 19

Global Wealth Management - Summary Results of Operations

Three Months Ended

(Unaudited, 000s)

3/31/2025

3/31/2024

% Change

12/31/2024

% Change

Revenues:

Commissions

$

125,826

$

121,217

3.8

%

$

136,805

(8.0

%)

Principal transactions

60,569

60,536

0.1

%

63,759

(5.0

%)

Transactional revenues

186,395

181,753

2.6%

200,564

(7.1%)

Asset management

409,506

367,450

11.4

%

405,800

0.9

%

Net interest

245,534

236,269

3.9

%

254,337

(3.5

%)

Investment banking (6)

5,908

4,280

38.0

%

5,198

13.7

%

Other income

3,216

748

329.9

%

(690

)

566.1

%

Net revenues

850,559

790,500

7.6

%

865,209

(1.7

%)

Non-interest expenses:

Compensation and benefits

422,293

389,536

8.4

%

419,466

0.7

%

Non-compensation operating expenses

301,861

110,216

173.9%

129,425

133.2%

Total non-interest expenses

724,154

499,752

44.9

%

548,891

31.9

%

Income before income taxes

$

126,405

$

290,748

(56.5%)

$

316,318

(60.0%)

As a percentage of net revenues (change in bps):

Compensation and benefits

49.6

%

49.3

%

30

48.5

%

110

Non-compensation operating expenses

35.5

%

13.9

%

2,160

14.9

%

2,060

Income before income taxes

14.9

%

36.8

%

(2,190

)

36.6

%

(2,170

)

Stifel Financial Corp. Quarterly Financial Supplement | First Quarter 2025 Earnings Release

Page 8 of 19

Global Wealth Management - Statistical Information

As of and for the Three Months Ended

(Unaudited, 000s, except financial advisors)

3/31/2025

3/31/2024

% Change

12/31/2024

% Change

Financial advisors (including independent contractors) (7)

2,340

2,356

(0.7

%)

2,342

(0.1

%)

Total client assets

$

485,860,000

$

467,697,000

3.9

%

$

501,402,000

(3.1

%)

Fee-based client assets

$

189,693,000

$

177,108,000

7.1

%

$

192,705,000

(1.6

%)

Transactional assets

$

296,167,000

$

290,589,000

1.9

%

$

308,697,000

(4.1

%)

Secured client lending (8)

$

3,239,000

$

3,353,000

(3.4

%)

$

3,214,000

0.8

%

Asset Management Revenue (000s):

Private Client Group (9)

$

345,357

$

299,027

15.5

%

$

343,154

0.6

%

Asset Management

38,520

36,205

6.4%

39,281

(1.9%)

Third-party Bank Sweep Program

11,783

18,314

(35.7

%)

8,706

35.3

%

Other (10)

13,881

13,930

(0.4

%)

14,684

(5.5

%)

Total asset management revenues

$

409,541

$

367,476

11.4

%

$

405,825

0.9

%

Fee-based Assets (millions):

Private Client Group (9)

$

166,035

$

155,144

7.0

%

$

168,206

(1.3

%)

Asset Management

41,136

39,214

4.9%

42,110

(2.3%)

Elimination (11)

(17,478

)

(17,250

)

1.3

%

(17,611

)

(0.8

%)

Total fee-based assets

$

189,693

$

177,108

7.1%

$

192,705

(1.6%)

Third-party Bank Sweep Program

$

828

$

1,172

(29.4

%)

$

1,609

(48.5

%)

ROA (bps) (12):

Private Client Group (9)

82.1

82.2

82.3

Asset Management

37.4

36.9

37.3

Third-party Bank Sweep Program

400.0

478.5

398.4

Stifel Financial Corp. Quarterly Financial Supplement | First Quarter 2025 Earnings Release

Page 9 of 19

Disclaimer

Stifel Financial Corporation published this content on April 23, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on April 23, 2025 at 11:12 UTC.