Oppenheimer(US:OPY)2025-10-31 12:38Financial Performance - Net income for Q3 2025 was $21.7 million, or $2.06 per share, down from $24.5 million, or $2.38 per share, in Q3 2024[1] - Revenue increased by 13.7% to $424.4 million in Q3 2025, compared to $373.4 million in Q3 2024, driven by robust equity underwriting and higher transaction-based commissions[1][9] - Wealth Management revenue was $259.7 million, a 5.6% increase year-over-year, while pre-tax income decreased by 13.2% to $62.5 million[10][17] - Capital Markets revenue surged by 30.7% to $162.1 million, with pre-tax income of $12.3 million compared to a loss of $6.1 million in the previous year[17][19] - Total revenue for the three months ended September 30, 2025, was $424,438,000, representing a 13.7% increase compared to $373,352,000 in the same period of 2024[27] - Net income attributable to Oppenheimer Holdings Inc. for the three months ended September 30, 2025, was $21,712,000, a decrease of 11.4% from $24,508,000 in 2024[27] - Pre-tax income for the three months ended September 30, 2025, was $31,635,000, a decrease of 10.6% from $35,370,000 in 2024[27] Revenue Breakdown - Commissions revenue increased by 17.1% to $120,684,000 for the three months ended September 30, 2025, compared to $103,079,000 in 2024[27] - Investment banking revenue surged by 48.5% to $77,488,000 for the three months ended September 30, 2025, up from $52,185,000 in 2024[27] Expenses and Compensation - Total expenses for the three months ended September 30, 2025, were $392,803,000, reflecting a 16.2% increase from $337,982,000 in 2024[27] - Compensation expenses rose to $290.2 million, an increase of 21.9% from $237.9 million in Q3 2024, primarily due to higher production-related expenses[6][21] - Compensation and related expenses rose by 22.0% to $290,222,000 for the three months ended September 30, 2025, compared to $237,935,000 in 2024[27] - Compensation as a percentage of revenue increased to 68.4% in Q3 2025 from 63.7% in Q3 2024[23] Tax and Equity - The effective tax rate for Q3 2025 was 31.4%, slightly higher than 30.7% in the prior year[22][23] - Total stockholders' equity reached $920.3 million, up from $837.8 million in the prior year[22] Shareholder Information - The company announced a quarterly dividend of $0.18 per share, payable on November 28, 2025[23] - Basic earnings per share for the three months ended September 30, 2025, was $2.06, down 13.4% from $2.38 in 2024[27] - Earnings per share (diluted) for the three months ended September 30, 2025, was $1.90, down 12.0% from $2.16 in the same period of 2024[27] - The weighted average number of diluted shares outstanding increased by 1.5% to 11,450,346 for the three months ended September 30, 2025, compared to 11,277,865 in 2024[27] Assets Under Management - Assets under management (AUM) reached a record high of $55.1 billion, up from $49.1 billion in the prior year, reflecting a $6.8 billion increase in asset values[10][16]