Raymond James Financial : Fiscal 2Q25 Results - Presentation

RJF

Fiscal 2Q25 Results

April 23, 2025

Strategic Overview

Paul Shoukry

Chief Executive Officer, Raymond James Financial

3

2Q25 highlights

Earnings

$3.4B

Net revenues

Key Performance Metrics

$1.54T

Client assets under administration

Capital & Liquidity

$250M

Common share repurchases

19.7%

Pre-tax margin

$2.36

Diluted EPS

16.4%

Return on

common equity

20.3%

Adjusted pre-tax

margin(1)

$2.42

Adjusted diluted

EPS(1)

19.7%

Adjusted ROTCE(1)

$873B

PCG assets in fee-based accounts

$8.8B | 2.6% growth rate

Domestic PCG net new assets(2)

$57.8B

Clients' domestic cash sweep

and ESP balances

$190M

Common share repurchases

in April 2025

$104M

Common stock dividends

13.3%

Tier 1 leverage ratio(3)

$48.3B

$2.5B

Bank loans, net

RJF corporate cash(4)

Note: Three months ended March 31, 2025, unless otherwise noted. April share repurchases as of April 21, 2025. (1)These are non-GAAP measures. See the schedules in the Appendix of this presentation for a reconciliation of our non-GAAP measures to the most directly comparable GAAP measures and for more information on these measures. (2)Domestic PCG net new assets represents domestic PCG

Financial Review

Butch Oorlog

Chief Financial Officer, Raymond James Financial

5

Financial summary

Summary results of operations

($)

vs.

vs.

$ in millions, except per share amounts

2Q25

2Q24

1Q25

Net revenues

3,403

9%

(4)%

Pre-tax income

671

10%

(10)%

Adjusted pre-tax income*

690

9%

(10)%

Net income available to common shareholders

493

4%

(18)%

Adjusted net income available to common shareholders*

507

3%

(17)%

Earnings per common share - diluted

2.36

6%

(17)%

Adjusted earnings per common share - diluted*

2.42

5%

(17)%

Other selected financial highlights:

2Q25

2Q24

1Q25

Pre-tax margin

19.7%

19.5%

21.2%

Adjusted pre-tax margin*

20.3%

20.4%

21.7%

Return on common equity - annualized

16.4%

17.5%

20.4%

Adjusted return on common equity - annualized*

16.9%

18.3%

20.9%

Adjusted return on tangible common equity - annualized*

19.7%

21.8%

24.6%

($)

vs.

FYTD 2025

FYTD 2024

6,940

13%

1,420 15%

1,459 13%

1,092 12%

1,121 11%

5.22 15%

5.36 14%

FYTD 2025 FYTD 2024

20.5% 20.2%

21.0% 21.0%

18.4% 18.3%

18.9% 19.0%

22.1% 22.8%

Record

result

*These are non-GAAP measures. See the schedules in the Appendix of this presentation for a reconciliation of our non-GAAP measures to the most directly

Segment results

($)

vs.

vs.

($)

FYTD

$ in millions

2Q25

2Q24

1Q25

2025

2024

Net revenues:

Private Client Group

2,486

6%

(2)%

5,034

10%

Capital Markets

396

23%

(18)%

876

33%

Asset Management

289

15%

(2)%

583

20%

Bank

434

2%

2%

859

(1)%

Consolidated net revenues

3,403

9%

(4)%

6,940

13%

Pre-tax income:

Private Client Group

431

(3)%

(7)%

893

1%

Capital Markets

36

NM

(51)%

110

NM

Asset Management

121

21%

(3)%

246

27%

Bank

117

56%

(1)%

235

41%

Consolidated pre-tax income

671

10%

(10)%

1,420

15%

Record

Result

Note: Segments do not total consolidated results because of the Other segment and intersegment eliminations not shown. Effective October 1, 2024, we updated our

Consolidated net revenues

vs.

vs.

$ in millions

2Q25

2Q24

1Q25

Asset management and related administrative fees

$

1,725

14%

(1)%

Brokerage revenues

580

10%

4%

Account and service fees

321

(4)%

(6)%

Investment banking

216

21%

(34)%

Interest income

963

(8)%

(6)%

Other

40

29%

3%

Total revenues

3,845

6%

(5)%

Interest expense

(442)

(15)%

(11)%

Net revenues

$

3,403

9%

(4)%

8

Domestic cash sweep and ESP balances

CLIENTS' DOMESTIC CASH SWEEP & ENHANCED SAVINGS PROGRAM (ESP)* BALANCES

AS A % OF DOMESTIC PCG ASSETS UNDER ADMINISTRATION (AUA)

Clients' Domestic Cash Sweep & ESP Balances ($B)

4.6%

4.3%

58.2

56.4

14.9

14.0

1.7

1.7

18.2

17.3

23.423.4

2Q243Q24

RJBDP - Bank Segment**

4.2%

57.9

14.0

1.7

18.2

24.0

4Q24

RJBDP - Third-Party Banks**

4.3%

59.7

13.8

1.7

20.3

23.9

1Q25

Client Interest Program

4.2%

57.8

13.5

1.7

16.8

25.8

2Q25

ESP*

Cash Sweep & ESP Balances as a % of Domestic PCG

AUA

Year-over-year change: (1)% Sequential change: (3)%

Note: May not total due to rounding. *Our Enhanced Savings Program is a deposit offering in which Private Client Group clients may deposit cash in a high-yield Raymond James Bank

9

account. **We earn fees from the Raymond James Bank Deposit Program (RJBDP), a multi-bank sweep program in which clients' cash deposits in their brokerage accounts are swept

into interest-bearing deposit accounts at our Bank segment, as well as various third-party banks.

Net interest income & RJBDP fees (third-party banks)

$ IN MILLIONS

689

672

678

673

651

160

149

146

144

130

529

523

532

529

521

2Q24

3Q24

4Q24

1Q25

2Q25

Firmwide Net Interest Income

Year-over-year change: (6)%

RJBDP Fees (Third-Party Banks)*

Sequential change: (3)%

NET INTEREST MARGIN (NIM)

AVERAGE YIELD ON RJBDP

(THIRD-PARTY BANKS)**

2.91%

2.86%

2.85%

2.74%

2.77%

2.66%

2.64%

2.62%

2.60%

2.67%

2Q24

3Q24

4Q24

1Q25

2Q25

3.59%

3.41% 3.34%

3.12% 3.00%

Firmwide NIM

Bank Segment NIM

2Q24

3Q24

4Q24

1Q25

2Q25

*As reported in "Account and service fees" in the PCG segment.

**Computed by dividing annualized RJBDP Fees (Third-Party Banks), which are net of the interest expense paid to clients by the third-party banks, by the average daily RJBDP balances

10 at third-party banks.

Consolidated expenses

vs.

vs.

$ in millions

2Q25

2Q24

1Q25

Compensation, commissions and benefits

$

2,204

8%

(3)%

Non-compensation expenses:

Communications and information processing

184

12%

3%

Occupancy and equipment

74

1%

1%

Business development

64

7%

(6)%

Investment sub-advisory fees

54

23%

2%

Professional fees

34

3%

-%

Bank loan provision for credit losses

16

(24)%

NM

Other

102

46%

(7)%

Total non-compensation expenses

528

13%

2%

Total non-interest expenses

$

2,732

9%

(2)%

TOTAL COMPENSATION RATIO*

65.5%

64.7%

64.8%

64.2%

65.2%

64.4%

62.4%

64.5%

64.0%

62.1%

2Q24

3Q24

4Q24

1Q25

2Q25

Total Compensation Ratio Adjusted Total Compensation Ratio**

TOTAL NON-COMPENSATION EXPENSES

$ IN MILLIONS

543

516

528

466

494

2Q24 3Q24 4Q24 1Q25 2Q25

*Total compensation ratio is computed by dividing compensation, commissions and benefits expense by net revenues for each respective period. Adjusted total compensation ratio is computed by dividing adjusted compensation, commissions and benefits expense by net revenues for each respective period. **This is a non-GAAP financial measure. See the schedules in the Appendix

11 of this presentation for a reconciliation of our non-GAAP measures to the most directly comparable GAAP measures and for more information on these measures.

Disclaimer

Raymond James Financial Inc. 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 20:55 UTC.