Company Participation - SEI will participate in the William Blair 45th Annual Growth Stock Conference in Chicago, IL on June 5, 2025, with a presentation by Sean Denham, Chief Financial and Chief Operating Officer, at 10:20 a.m. ET [1] - Denham and Michael Lane, Executive Vice President and Head of Asset Management, will host one-on-one or small group meetings throughout the day [2] Company Overview - SEI is a leading global provider of financial technology, operations, and asset management services within the financial services industry [3] - As of March 31, 2025, SEI manages, advises, or administers approximately $1.6 trillion in assets [3]

Core Insights - SEI has announced the expansion of its strategic partnership with TrinityBridge, marking TrinityBridge as the first client in the UK/EMEA to adopt SEI Sphere for unified managed services [1][2] - SEI Sphere aims to modernize enterprise technology and data infrastructure, enhancing security and efficiency in a complex digital landscape [1][7] Company Developments - TrinityBridge is already utilizing SEI Wealth Platform and SEI Data Cloud, and the adoption of SEI Sphere will drive digital innovation and long-term growth [2][6] - The partnership allows TrinityBridge to enhance enterprise visibility and unlock operational value through a unified approach [2][4] Strategic Alignment - TrinityBridge's COO emphasized the need for best-of-breed technologies to provide a modern wealth management experience, highlighting SEI's understanding of their business and cultural alignment [3][5] - The collaboration aims to elevate customer service and protection while meeting evolving regulations and maintaining high data protection standards [4][5] Technology and Services - SEI Sphere provides a structured path to modernization with a suite of cloud, cybersecurity, and network services, addressing the challenges of increasing regulation [7][8] - The platform replaces fragmented IT systems with an integrated solution that enhances operational security, scalability, and collaboration [7][8] Financial Overview - As of March 31, 2025, SEI manages, advises, or administers approximately $1.6 trillion in assets, showcasing its significant presence in the financial services industry [6]

Core Insights - SEI has been selected by Summit Wealth Group to support its transition to a registered investment advisor (RIA) model, enhancing flexibility and control over business growth [1][4] - Summit Wealth Group aims to improve client experience and drive organic growth by establishing an independent RIA, moving away from its previous model [2][3] Company Overview - Summit Wealth Group, founded in 1985 by CEO Randy Morris, operates 10 offices across five states and specializes in a planning-first approach to client relationships [2][8] - SEI is a leading global provider of financial technology, operations, and asset management services, managing approximately $1.6 trillion in assets as of March 31, 2025 [6] Strategic Partnership - The partnership with SEI is characterized by a collaborative approach, focusing on cultural alignment and support for Summit's growth vision [3][5] - Summit Wealth Group plans to migrate approximately $2.1 billion in assets to the SEI Wealth Platform, leveraging SEI's integrated custody and investment management services [4][7] Service Offerings - SEI's Wealth Platform provides an outsourcing solution for wealth managers, combining wealth processing services with business process expertise to support strategic objectives [7] - SEI emphasizes a relationship-driven and client-centered approach, aiming to empower investors and revolutionize business operations for RIAs [5][6]

Financial Performance - Revenues for the three months ended March 31, 2025, increased by 8% to $551.3 million compared to $511.6 million in the same period of 2024[128] - Net income for Q1 2025 was $151.5 million, reflecting a 15% increase from $131.4 million in Q1 2024[128] - Diluted earnings per share increased by 18% to $1.17 in Q1 2025, compared to $0.99 in Q1 2024[128] - Total revenues from Investments in New Businesses increased by $2.2 million, or 15%, to $16.5 million, with significant contributions from SEI Family Office Services and SEI Private Wealth Management[145] Assets and Management - Average assets under administration rose by $122.7 billion, or 13%, to $1.1 trillion in Q1 2025, up from $961.7 billion in Q1 2024[128] - Total assets under management as of March 31, 2025, reached $486.0 billion, a 10% increase from $443.6 billion in 2024[131] - Client assets under administration increased by 10% to $1.1 trillion as of March 31, 2025, compared to $983.3 billion in 2024[131] - Average assets under management for Investment Managers increased by 33% to $209.0 billion in Q1 2025, compared to $157.0 billion in Q1 2024[133] Segment Performance - Investment Managers segment revenues increased by $19.4 million, or 11%, to $192.0 million, with an operating profit of $74.8 million and an operating margin of 39%[137] - Private Banks segment revenues rose by $7.6 million, or 6%, to $137.7 million, with an operating profit of $23.0 million and an operating margin of 17%[139] - Investment Advisors segment revenues increased by $13.9 million, or 11%, to $136.6 million, with an operating profit of $64.1 million and an operating margin of 47%[140] - Institutional Investors segment revenues decreased by $3.3 million, or 5%, to $68.5 million, but operating profit increased by $1.0 million to $32.6 million, resulting in an operating margin of 48%[144] Cash Flow and Expenditures - Net cash provided by operating activities increased to $146.5 million in Q1 2025 from $112.3 million in Q1 2024, reflecting a $34.2 million increase[162] - Cash and cash equivalents at the end of the period were $710.9 million, down from $846.9 million at the end of Q1 2024[162] - Capital expenditures in Q1 2025 were $8.7 million, a decrease from $13.1 million in Q1 2024[172] - Cash dividends paid increased to $62.3 million in Q1 2025 from $60.4 million in Q1 2024[172] Regulatory Environment - The company is subject to increased regulatory scrutiny, which may have a material adverse impact on its operating results or financial position[160] - SEI Investments operates multiple regulated entities, including broker-dealers and investment advisors, across various jurisdictions[178] - The company is subject to ongoing regulatory inquiries and examinations, which may impact its reputation and operational performance[179] - Compliance with anti-money laundering and financial transparency laws is mandatory, potentially affecting sales and requiring modifications to services[180] - Economic sanctions and anti-corruption laws impose higher compliance costs and risks, with potential penalties for violations[181] - Privacy and data protection regulations, such as GDPR and CCPA, require significant ongoing compliance efforts and associated costs[182] - Increased regulatory activity may lead to higher expenses and reduced revenues as the company adapts to new laws and regulations[183] - Bank clients are supervised by various authorities, which may influence their purchasing decisions regarding the company's products and services[184] Market Sensitivity - The company’s revenues and earnings are sensitive to capital market fluctuations and changes in interest rates[186] - There have been no material changes to the market risk disclosures since the last Annual Report on Form 10-K for 2024[187]

Financial Data and Key Metrics Changes - SEI delivered earnings per share (EPS) of $1.17, an 18% increase year over year [11] - Share repurchases contributed three cents to EPS growth compared to Q1 2024 [21] - The operating profit margin increased to 28.5%, the highest level achieved in the last three years [25] Business Line Data and Key Metrics Changes - All business segments posted higher operating profits and expanded margins [12] - Investment managers' business growth was driven by strong sales momentum, particularly among alternative and global managers [23] - Private banking growth reflected continued momentum from 2024 and recent professional services wins [24] Market Data and Key Metrics Changes - SEI achieved record-breaking net sales events of $47 million in Q1, with $37 million being recurring [12] - AUM and AUA increased on both a sequential and year-over-year basis despite a 4.6% decline in the S&P 500 [31] - Positive net inflows were observed in institutional and adviser segments, offsetting some market losses [57] Company Strategy and Development Direction - The company is fundamentally reshaping its operating model and deepening client engagement [9] - SEI is actively pursuing both organic and inorganic opportunities to accelerate strategic progress [19] - The sale of the family office services business was announced, reflecting a strategic choice for greater growth opportunities outside SEI [13] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in SEI's strong foundation and ability to deliver sustained long-term growth despite market uncertainties [18] - The diversified business model and strong sales pipelines were highlighted as key strengths in navigating challenging environments [15] - Management is closely monitoring market conditions but remains focused on controllable factors such as talent and client focus [18] Other Important Information - SEI repurchased $193 million of stock in Q1, with total repurchases over the last two quarters exceeding $450 million [36] - The company ended Q1 with over $700 million in cash and no long-term debt, positioning it well for future investments [37] - An Investor Day is scheduled for September 18th in New York to discuss growth initiatives [38] Q&A Session Summary Question: Can you talk about the sales environment over the last few weeks? - Management noted strong Q1 sales and no slowdown in activity, with positive traction in both late-stage and early-stage pipelines [40][41][50] Question: Can you unpack the drivers of inflows and the US vs. non-US AUM? - AUM allocation is approximately 80% US and 20% non-US, with inflows driven by a variety of strategies and new distribution partners [52][57] Question: How do you maintain the 28% margin in the current market? - The margin is supported by net sales, cost control, and thoughtful management of investments [60][62] Question: What has driven the significant uptick in sales events? - Key drivers include a solid client base, a horizontal positioning of the company, and increased activity levels across teams [72][75][76] Question: How much of the revenue growth in private banking is from regional and community banks? - Approximately 60-70% of growth is coming from the community bank segment, which is presenting additional opportunities [88][90] Question: Would loosening banking regulations impact the private bank segment? - Management believes the shift to wealth management is a more significant trend, regardless of regulatory changes [96][98]

Core Insights - SEI Investments (SEIC) reported revenue of $551.34 million for the quarter ended March 2025, marking a year-over-year increase of 7.8% and an EPS of $1.17 compared to $0.99 a year ago, with a revenue surprise of +0.86% over the Zacks Consensus Estimate [1] - The consensus EPS estimate was $1.12, resulting in an EPS surprise of +4.46% [1] Financial Performance Metrics - SEI's assets under management (AUM) for Private Banks reached $29.26 billion, exceeding the average estimate of $28.26 billion [4] - AUM for Investment Advisors was $78.84 billion, slightly above the estimated $78.75 billion [4] - AUM for Institutional Investors stood at $78.07 billion, surpassing the average estimate of $75.06 billion [4] - AUM for Investments in New Business was $2.95 billion, close to the $2.99 billion estimate [4] - AUM for LSV - Equity and Fixed Income programs was $87.11 billion, exceeding the estimate of $85.52 billion [4] Revenue Breakdown - Revenue from Investment Advisors was $136.58 million, above the average estimate of $133.40 million, reflecting a year-over-year change of +11.3% [4] - Revenue from Investment Managers was $192.05 million, exceeding the estimate of $188.36 million, with a year-over-year change of +11.2% [4] - Revenue from Private Banks was $137.71 million, slightly below the average estimate of $140.19 million, showing a year-over-year change of +5.8% [4] - Revenue from Investments in New Business was $16.50 million, surpassing the estimate of $15.70 million, with a year-over-year increase of +15.4% [4] - Revenue from Institutional Investors was $68.51 million, slightly above the estimate of $67.54 million, reflecting a year-over-year change of -4.6% [4] - Revenue from Information processing and software servicing fees was $119.20 million, exceeding the estimate of $116.64 million, with a year-over-year change of +11.2% [4] - Revenue from asset management, administration, and distribution fees was $432.14 million, slightly above the average estimate of $429.49 million, reflecting a year-over-year change of +6.9% [4]

分组1 - SEI Investments reported quarterly earnings of $1.17 per share, exceeding the Zacks Consensus Estimate of $1.12 per share, and up from $0.99 per share a year ago, representing an earnings surprise of 4.46% [1] - The company posted revenues of $551.34 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 0.86%, and an increase from $511.58 million year-over-year [2] - SEI has surpassed consensus EPS estimates three times over the last four quarters, indicating a positive trend in earnings performance [2] 分组2 - The stock has underperformed the market, losing about 12.8% since the beginning of the year compared to the S&P 500's decline of 10.1% [3] - The current consensus EPS estimate for the coming quarter is $1.11 on revenues of $544.58 million, and for the current fiscal year, it is $4.57 on $2.2 billion in revenues [7] - The Zacks Industry Rank for Financial - Investment Management is currently in the bottom 9% of over 250 Zacks industries, suggesting a challenging environment for the sector [8]

Financial Performance - SEI reported Q1 2025 revenues of $551.3 million, an 8% increase from Q1 2024's $511.6 million[3] - Operating income for Q1 2025 was $157.1 million, reflecting a 25% growth compared to $125.9 million in Q1 2024[3] - Diluted earnings per share (EPS) rose to $1.17, an 18% increase from $0.99 in the same quarter last year[3] - The operating margin improved to 28% in Q1 2025, up from 25% in Q1 2024, marking the highest level in three years[6] Segment Performance - Investment Managers segment revenues increased by 11% to $192.0 million, with operating profit growth of 19%[5] - Private Banks segment saw a 6% revenue increase to $137.7 million, with operating profit growth of 34%[5] Asset Management - Total assets as of March 31, 2025, were $2.57 billion, down from $2.68 billion at the end of 2024[14] - Total assets under management increased to $485.976 billion by March 31, 2025, up from $476.713 billion in December 2024, representing a growth of approximately 1.8%[18] - Client assets under administration reached $1.084278 trillion as of March 31, 2025, compared to $1.055943 trillion in December 2024, indicating an increase of about 2.7%[18] - The average total assets under management for the first quarter of 2025 were $487.254 billion, reflecting a slight increase from $486.481 billion in the fourth quarter of 2024[22] Sales Events - Net sales events reached $46.6 million in Q1 2025, contributing to a record total of $153.2 million over the trailing 12 months[6] - Net recurring sales events for the first quarter of 2025 totaled $36.840 million, a significant increase from $28.211 million in the fourth quarter of 2024[26] - Total Sales Events for Q1 2024 were $21,285 million, compared to $21,966 million in Q1 2023, indicating a slight decrease of about 3.1%[30] Share Repurchase and Divestment - SEI repurchased 2.5 million shares for $192.8 million at an average price of $77.10 per share during Q1 2025[6] - The company plans to divest $14.6 billion in assets related to the Family Office Services business during the second quarter of 2025[24] Investment Processing - Total revenue from Investment Processing-related Businesses for Q1 2024 was $24,480 million, showing a significant increase from $21,285 million in Q1 2023, representing a growth of approximately 10.6%[30] - Total Investment Processing-related Businesses revenue for Q1 2025 is projected to be $40,250 million, showing an expected increase from Q1 2024[30]

Core Viewpoint - SEI Investments (SEIC) is expected to report quarterly earnings of $1.12 per share, a 13.1% increase year-over-year, with revenues projected at $547.69 million, reflecting a 7.1% year-over-year growth [1]. Earnings Estimates - The consensus EPS estimate has been revised down by 6.9% in the past 30 days, indicating a reassessment by analysts [2]. - Revisions to earnings projections are crucial for predicting investor behavior and stock price performance [3]. Revenue Projections - Analysts estimate 'Revenue- Investment Advisors' at $133.40 million, a year-over-year increase of 8.7% [5]. - The consensus for 'Revenue- Investment Managers' is $188.36 million, suggesting a 9.1% year-over-year change [5]. - 'Revenue- Private Banks' is expected to reach $140.19 million, indicating a 7.7% increase from the previous year [5]. - 'Revenue- Investments in New Business' is projected at $15.70 million, reflecting a 9.9% year-over-year growth [6]. Assets Under Management - 'Assets under management - Investments in New Business' is expected to be $2.99 billion, up from $2.49 billion in the same quarter last year [6]. - 'Assets under management - Investment Advisors' is forecasted at $78.75 billion, compared to $79.44 billion in the same quarter last year [7]. - 'Assets under management - Private Banks' is estimated at $28.26 billion, slightly up from $28.02 billion year-over-year [7]. - 'Assets under management - Institutional Investors' is projected at $75.06 billion, down from $78.15 billion in the same quarter last year [8]. - 'Assets under management - LSV - Equity and Fixed Income programs' is expected to be $85.52 billion, compared to $93.62 billion year-over-year [8]. - 'Assets under management - Investment Managers' is likely to reach $197.38 billion, up from $161.86 billion in the same quarter last year [9]. Client Assets Under Administration - 'Client assets under administration - Investment Managers' is estimated at 1,025,964, compared to 959,904 in the same quarter last year [9]. - 'Client assets under administration - Private Banks' is projected to reach 8,350, up from 8,024 year-over-year [10]. Market Performance - SEI shares have decreased by 5.5% in the past month, slightly better than the Zacks S&P 500 composite's decline of 5.6% [11].

Core Points - SEI plans to release its earnings for the first quarter of 2025 on April 23, 2025, after market close [1] - A conference call will be held at 5 p.m. Eastern Time to discuss the financial results [1][2] - The public can listen to the call and access a replay through the company's investor relations website [2] Company Overview - SEI is a leading global provider of financial technology, operations, and asset management services within the financial services industry [3] - The company customizes its solutions to help clients effectively deploy their capital, including money, time, and talent [3] - As of December 31, 2024, SEI manages, advises, or administers approximately $1.6 trillion in assets [3]