Compared to Estimates, LPL Financial (LPLA) Q4 Earnings: A Look at Key Metrics

Core Insights - LPL Financial Holdings Inc. (LPLA) reported a revenue of $4.91 billion for the quarter ended December 2025, marking a 39.7% increase year-over-year and exceeding the Zacks Consensus Estimate by 2.19% [1] - The earnings per share (EPS) for the quarter was $5.23, up from $4.25 in the same quarter last year, representing an EPS surprise of 8.62% over the consensus estimate [1] Financial Performance Metrics - Total Advisory and Brokerage Assets reached $2,370.50 billion, surpassing the average estimate of $2,341.72 billion [4] - Brokerage Assets were reported at $977.90 billion, slightly below the average estimate of $984.04 billion [4] - Advisory Assets totaled $1,392.70 billion, exceeding the average estimate of $1,357.69 billion [4] - The number of advisors decreased to 32,178, compared to the estimated 32,753 [4] Revenue Breakdown - Revenue from commissions was $1.23 billion, slightly above the average estimate of $1.22 billion, reflecting a year-over-year increase of 27.6% [4] - Service and fee revenue was reported at $180.64 million, exceeding the average estimate of $170.29 million, with a year-over-year growth of 29.9% [4] - Asset-based fees generated $816.07 million, below the estimated $833.46 million, but still showing a 21.8% increase year-over-year [4] - Advisory revenue reached $2.54 billion, surpassing the average estimate of $2.47 billion, with a significant year-over-year increase of 59.4% [4] - Transaction revenue was $75.15 million, slightly below the average estimate of $76.18 million, reflecting a year-over-year increase of 22.1% [4] - Other asset-based revenue was $375.81 million, compared to the average estimate of $382.4 million, with a year-over-year change of 29.2% [4] - Client cash asset-based revenue was $440.25 million, below the average estimate of $457.44 million, showing a year-over-year increase of 16.2% [4] - Trailing commission revenue was $510.72 million, slightly below the average estimate of $521.52 million, with a year-over-year increase of 16.2% [4] Stock Performance - LPL Financial's shares have returned 2.7% over the past month, outperforming the Zacks S&P 500 composite, which saw a change of 0.8% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the broader market in the near term [3]