Core Insights - SEI announced the appointment of Michael Lane as Executive Vice President and Head of Asset Management, effective September 16, 2024, to enhance strategic growth [1][3] - Lane brings 35 years of industry experience, previously serving as Head of iShares U.S. Wealth Advisory at Blackrock, where he oversaw revenue growth and client expansion [2] - The company aims to leverage Lane's expertise to navigate the evolving asset management market and drive growth for clients and shareholders [3][4] Company Strategy - SEI's focus is on growth and expansion amidst changing investment product demands, industry consolidation, and rapid technological advancements [3] - Lane's leadership is expected to accelerate SEI's momentum and lead the company into new market segments while enhancing service delivery [4] - The company maintains its current segment reporting structure despite the leadership change, ensuring market orientation remains intact [7] Market Position - SEI manages, advises, or administers approximately $1.5 trillion in assets as of June 30, 2024, indicating a strong market presence [8] - The company aims to transform the investor experience by providing a connected, end-to-end service tailored to specific client needs [5] - SEI's capabilities across technology, operations, and asset management position it uniquely within the financial services ecosystem [5][8]

Financial Data and Key Metrics Changes - Earnings per share (EPS) for Q2 2024 was $1.05, an increase of 18% compared to $0.89 in the prior year and up 6% from $0.99 in Q1 2024 [7] - Revenue for the quarter was $519 million, up 6% from Q2 2023 and slightly higher than Q1 2024 [7] - Total expenses for the quarter were $382 million, compared to $376 million in the previous year and $386 million in Q1 2024 [7] - Net income for the quarter increased 17% year-over-year to $139 million, and was up 5.9% compared to Q1 2024 [7] Business Line Data and Key Metrics Changes - In the Investment Managers business, net sales for the quarter were $18.1 million, with $17.2 million being recurring revenue. Revenue for the quarter was $180 million, a 4% increase from Q1 2024 [8] - Private Banking revenue for the quarter was $132.4 million, up from $130.1 million in Q1 2024, with net sales of $8.8 million [16] - The backlog of sold but expected to install recurring revenue in Private Banking was $14.9 million in Q2, down from $18.5 million in Q1 [16] - In the adviser business, revenue decreased to $120.6 million from $122.7 million in Q1, primarily due to fee reductions in the separately managed account program [41] Market Data and Key Metrics Changes - Net cash flows onto the platform increased by $100 million, driven by growth in the RIA segment [41] - The institutional business experienced negative net sales events of $1.8 million, but margins increased to 46% due to onetime expense benefits [42] - The FDIC insured deposit program generated $10 million in revenue during the quarter, with approximately $900 million in assets at quarter-end [17] Company Strategy and Development Direction - The company is focusing on organic and inorganic growth priorities, with an emphasis on RIA expansion and professional services offerings [4][5] - There is a strategic shift towards providing more services and capabilities to advisers, particularly in the context of market consolidation [37] - The company is investing in AI to enhance internal efficiencies, client service improvements, and operational automation [38] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's performance for 2024, citing a strong foundation and solid results from core businesses [39] - The company is addressing industry headwinds while capitalizing on tailwinds to position itself for long-term success [37] - There is a focus on maximizing capital allocation and managing expenses without compromising medium to long-term growth [72] Other Important Information - The company plans to host an Investor Day on November 7, with additional details to be shared [70] - A new executive, Michael Lane, will join the team in September to lead adviser and institutional businesses [6] Q&A Session Summary Question: Can you share leading indicators and progress in private banking activity pipelines? - Management highlighted a solid pipeline and disciplined delivery of signed clients, resulting in revenue growth and margin expansion [20][21] Question: What was the onetime impact in the quarter related to Private Banking? - A onetime benefit was received from a healthcare provider, impacting margins across business units [24] Question: How is the SEI Integrated Cash Program performing amid recent changes in the market? - The program is competitive, with good feedback from advisers, and the company is monitoring rates to maintain its attractiveness [28][51] Question: What is the company's strategy regarding the competitive landscape in the RIA market? - The company is focusing on increasing its share in the RIA market, which represents a significant growth opportunity [80] Question: How does the company view the fiduciary obligations related to the insured deposit program? - The company believes it is compliant with fiduciary obligations and will adjust based on regulatory guidance [82]

SEI Investments (SEIC) reported $518.99 million in revenue for the quarter ended June 2024, representing a year-over-year increase of 6.1%. EPS of $1.05 for the same period compares to $0.89 a year ago. While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health. Here is how SEI performed in the just reported quarter in terms of the ...

Financial Performance - Diluted earnings per share increased to $1.05 in Q2 2024, up 18% from $0.89 in Q2 2023[1] - Total revenues for Q2 2024 were $518.986 million, a 6% increase from $489.057 million in Q2 2023[2] - Net income rose 17% to $139.120 million in Q2 2024, compared to $118.851 million in Q2 2023[2] - The company reported a 6% profit growth quarter-over-quarter, driven by capital allocation and operational leverage[20] Asset Management - Average assets under administration increased by $141.8 billion, or 16%, to $1.0 trillion in Q2 2024 from $863.6 billion in Q2 2023[5] - Revenues from asset management, administration, and distribution fees were $409.398 million in Q2 2024, up from $378.821 million in Q2 2023[14] - Total assets under management as of June 30, 2024, are $1,191,283 million, reflecting an increase from $1,121,766 million as of March 31, 2024[25] - Client assets under administration for Investment Managers increased to $998,315 million as of June 30, 2024, up from $959,904 million as of March 31, 2024[25] Operational Metrics - Cash flow from operations was $114.7 million, and free cash flow was $100.6 million during Q2 2024[7] - The effective tax rate was 23.9% in Q2 2024, compared to 23.4% in Q2 2023[5] - Operating profit for the Private Banks segment rose by 12% year-over-year to $20,511,000 for Q2 2024, compared to $18,249,000 in Q2 2023[21] - Investment Advisors segment revenues increased by 10% year-over-year to $120,587,000 for Q2 2024, up from $109,580,000 in Q2 2023[21] Shareholder Equity and Assets - The total shareholders' equity increased to $2,247,503,000 as of June 30, 2024, compared to $2,131,828,000 at December 31, 2023[16] - Total assets increased to $2,529,065,000 as of June 30, 2024, compared to $2,520,003,000 at December 31, 2023, reflecting a growth of 0.4%[16] - Total assets for the company reached $1,524,075 million as of June 30, 2024, reflecting a growth from $1,456,438 million as of March 31, 2024[25] Expenses and Liabilities - Share repurchases totaled 1.6 million shares for $111.2 million at an average price of $67.44 per share in Q2 2024[5] - Current liabilities decreased significantly from $353,047,000 to $237,131,000, a reduction of approximately 32.8%[16] - Expenses for the Investment Managers segment increased by 8% year-over-year to $111,287,000 in Q2 2024, compared to $103,213,000 in Q2 2023[21] Future Growth Opportunities - The company is focusing on future growth opportunities in areas such as talent, professional services, and emerging technology[20]

Consolidated Overview "Our second-quarter results reflect 6% profit growth quarter over quarter, as our focus on capital allocation, operational leverage, and revenue growth is seeing real traction and delivering results. We also have momentum across our markets, particularly with the increased adoption of our platforms in our technology and operational businesses," said CEO Ryan Hicke. OAKS, Pa., July 24, 2024 /PRNewswire/ -- SEI Investments Company (NASDAQ:SEIC) today announced financial results for the s ...

Group 1 - SEI intends to release its earnings for the second quarter of 2024 on July 24, 2024, after market close [1] - A conference call to discuss the financial results will take place at 4:30 p.m. Eastern time [1] - The public can listen to the conference call via the company's website, with replays available shortly after [3] Group 2 - SEI delivers technology and investment solutions for the financial services industry, managing approximately $1.5 trillion in assets as of March 31, 2024 [4]

Investors might want to bet on SEI Investments (SEIC) , as it has been recently upgraded to a Zacks Rank #2 (Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices. Individual investors often find it hard to make decisions based on rating upgrades by Wall Street analysts, since these are mostly driven by subjective factors that are hard to see and measure in real time. In these situations, the Zacks rating system comes in ...

SEI Investments (SEIC) is one such stock that our proprietary system currently recommends. The company not only has a favorable Growth Score, but also carries a top Zacks Rank. Earnings Growth Impressive Asset Utilization Ratio In addition to efficiency in generating sales, sales growth plays an important role. And SEI is well positioned from a sales growth perspective too. The company's sales are expected to grow 9.7% this year versus the industry average of 5.4%. The current-year earnings estimates for SE ...

Growth stocks are attractive to many investors, as above-average financial growth helps these stocks easily grab the market's attention and produce exceptional returns. But finding a great growth stock is not easy at all. However, the Zacks Growth Style Score (part of the Zacks Style Scores system), which looks beyond the traditional growth attributes to analyze a company's real growth prospects, makes it pretty easy to find cuttingedge growth stocks. In addition to volatility, these stocks carry above-aver ...

Core Insights - SEI has launched GrowthLink, a practice management hub aimed at helping Canada-based advisors enhance client value and drive business growth through actionable tools [4][5] - The initiative focuses on five key practice management themes, designed to provide on-demand resources for advisors to implement actionable ideas [1][4] - SEI manages approximately CAD $2 trillion in assets as of March 31, 2024, indicating its significant presence in the financial services industry [5][6] Group 1 - GrowthLink aims to assist advisors in achieving business goals, gaining referrals, communicating differentiated messaging, finding ideal clients, and coaching through biases [4][5] - The platform is part of SEI's broader strategy to expand practice management capabilities globally, providing resources for advisors of all sizes [2][4] - Shauna Mace, Head of Practice Management, emphasized that GrowthLink will enable advisors to deepen client relationships with tailored advice [5] Group 2 - SEI's Canadian business, founded in 1983, offers integrated investment management and strategic advice solutions to institutional investors and intermediaries [6] - The company provides multi-manager, globally diversified strategies with a focus on appropriate home-country bias for Canadian retail investors [6] - SEI's investment approach includes goals-based strategies, strategic asset allocation strategies, and asset class funds available through select dealer relationships [6]