Raymond James Recruited Record Production in Fiscal 2025

Core Insights - Raymond James Financial achieved a record number of financial advisors, reaching 8,943 by the end of fiscal year 2025, which is a 2% increase from the previous year [1] - The firm reported record trailing-12 production of $407 million for recruited advisors, marking a 21% increase from the prior year [1] Financial Performance - The recruited advisors managed approximately $58 billion in client assets at their previous firms, an increase from last year's record, and with additional assets from the firm's RIA & Custody Services division, the total reaches $68 billion [2] - Raymond James added nearly $18 billion in net new assets during the fiscal fourth quarter, reflecting a 5% annualized growth rate [2] - The firm reported non-GAAP earnings per share of $3.11 for the quarter, exceeding analysts' expectations by 28 cents [6] - Revenue for the quarter was $3.73 billion, representing an 8% increase year-over-year and a 10% sequential increase, beating expectations by $90 million [6] Strategic Positioning - The CEO highlighted that recruiting advisors is akin to a "medium-sized acquisition," emphasizing the retention benefits compared to traditional acquisitions [2] - The firm's client-focused culture and long-term approach are resonating well with advisors, especially amid recent mergers and acquisitions in the industry [4] - Raymond James is positioned to provide stability for advisors seeking a reliable platform as other firms consolidate [5][6] - The firm is expected to start breaking out upfront amortization from recruiting that impacts compensation expenses in the next quarter [3]