UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _____ to ______ Commission File Number: 001-38980 ASSETMARK FINANCIAL HOLDINGS, INC. (Exact name of registrant as specified in its charter) | --- | --- | --- | --- ...

Financial Performance - Total revenue for the quarter ended September 30, 2022, was $154.7 million, an increase of $15.0 million, or 10.7%, from $139.7 million for the same quarter in 2021[88] - Net income for the quarter ended September 30, 2022, was $30.1 million, or $0.41 per share, compared to $12.3 million, or $0.17 per share, for the same quarter in 2021[88] - Adjusted EBITDA for the quarter ended September 30, 2022, was $52.7 million, compared to $44.8 million for the same quarter in 2021[88] - Net income increased by $64.3 million, or 483.1%, from $13.3 million in the nine months ended September 30, 2021 to $77.7 million in the nine months ended September 30, 2022[179] - Total revenue increased by $67.5 million, or 17.4%, from $386.7 million in the nine months ended September 30, 2021 to $454.2 million in the nine months ended September 30, 2022[164] Revenue Breakdown - Asset-based revenue for the quarter ended September 30, 2022, was $128.2 million, down $6.0 million, or 4.5%, from $134.2 million for the same quarter in 2021[88] - Spread-based revenue for the quarter ended September 30, 2022, was $21.2 million, up $19.9 million, or 1,613.4%, from $1.2 million for the same quarter in 2021[88] - Subscription-based revenue decreased from $3.2 million in Q3 2021 to $3.1 million in Q3 2022, primarily due to currency weakness[150] - Asset-based revenue increased by $34.8 million, or 9.3%, from $374.7 million to $409.5 million[165] - Spread-based revenue surged by $23.8 million, or 364.7%, from $6.5 million to $30.3 million in the same period[166] Operating Expenses - Total operating expenses decreased by $1.1 million, or 0.9%, from $116.8 million in Q3 2021 to $115.7 million in Q3 2022[151] - Employee compensation decreased by $2.5 million, or 5.6%, from $44.1 million in Q3 2021 to $41.6 million in Q3 2022[155] - General and operating expenses increased by $2.9 million, or 15.3%, from $18.8 million in Q3 2021 to $21.7 million in Q3 2022[156] - Interest expense increased by $0.5 million, or 47.0%, from $1.1 million in Q3 2021 to $1.6 million in Q3 2022 due to higher interest rates[159] Assets and Advisers - Platform assets were $79.4 billion as of September 30, 2022, down 8.6% from $86.8 billion as of September 30, 2021[89] - The number of engaged advisers on the platform was 2,601 as of September 30, 2022, down 5.4% from 2,749 as of September 30, 2021[89] - The number of new producing advisers for the period was 20, contributing to the growth of platform assets[110] Cash Flow and Investments - Cash provided by operating activities increased by $1.7 million to $95.6 million for the nine months ended September 30, 2022, compared to $93.9 million in the same period of 2021[185] - Cash used in investing activities decreased by $115.3 million to $37.9 million for the nine months ended September 30, 2022, primarily due to a significant acquisition in the prior year[187] - Cash provided by financing activities decreased by $37.3 million to $2.8 million for the nine months ended September 30, 2022, mainly due to a net drawdown from the revolving credit facility in the previous year[188] Compliance and Risk - The company was in compliance with all applicable covenants as of September 30, 2022, maintaining a Total Leverage Ratio below 3.5 to 1.0 and an interest coverage ratio above 4.0 to 1.0[182] - A 1% decrease in the aggregate value of assets on the platform would have led to a 1% decline in total revenue and a 3.1% decline in pre-tax income, equating to a $3.0 million impact[194] - An increase of 100 basis points in interest rates under the 2022 Credit Agreement would result in a decrease in income before income taxes of approximately $1.2 million annually[195] Technology and Development - The company invested $55.9 million in technology development during the nine months ended September 30, 2022[93] - The company expects to continue making substantial investments to support growth and expand sales capacity[94] - The company plans to enhance technology, services, and investment solutions to continue growing platform assets, which are seen as a key indicator of business momentum[103]

AssetMark Financial Holdings, Inc. (NYSE:AMK) Q3 2022 Results Conference Call November 1, 2022 5:00 PM ET Company Participants Taylor Hamilton - Head, IR Natalie Wolfsen - CEO Gary Zyla - CFO Conference Call Participants Ryan Bailey - Goldman Sachs Gerald O’Hara - Jefferies Operator Good afternoon, everyone, and welcome to AssetMark’s Third Quarter 2022 Earnings Conference Call. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session, and instructions w ...

Financial Data and Key Metrics Changes - Record revenue of $151.2 million, up 18% year-over-year [5][6] - Adjusted EBITDA reached $49.6 million, with an adjusted EBITDA margin of 32.8%, the highest as a public company [6][22] - Reported net income for the quarter was $25.3 million, nearly equal to the full year 2021 [6][22] - Platform assets totaled $82.1 billion, impacted by $10.1 billion in market loss net of fees [16] - Net flows for the quarter were $1.4 billion, with annualized net flow as a percentage of beginning period assets at 7.5% [16] Business Line Data and Key Metrics Changes - Revenue diversification achieved through the acquisition of Voyant, with subscription-based revenue from Voyant at $3.3 million [6][19] - Spread-based revenue increased by 260% to $6.5 million, driven by rising interest rates [19][20] - Asset-based net revenue increased by 11% to $99 million [19] Market Data and Key Metrics Changes - The number of households increased by 12% year-over-year to 220,000 [18] - Engaged advisors totaled 2,663, with 193 new producing advisors added in the quarter [18][19] Company Strategy and Development Direction - The company is evolving beyond a TAMP by executing on five key components of its growth strategy, including acquisitions and enhancing advisor capabilities [5][7] - The acquisition of Adhesion Wealth is expected to expand the total addressable market by 3x and provide a modular unbundled outsourcing option for advisors [7][9] - Focus on delivering a holistic differentiated experience to advisors and their clients, with significant growth in Voyant's licenses [10][11] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the challenges of a lower growth, higher inflation environment and emphasizes the importance of supporting advisors during market volatility [39] - The company reaffirms its earnings outlook and EBITDA margin expansion target for the year, despite market conditions [27][29] Other Important Information - The company added $17.8 million to its cash position, ending the quarter with $116.5 million in cash [23] - Capital expenditures for the quarter were $10 million, expected to be about 7% of total revenue for 2022 [24] Q&A Session Summary Question: How could AssetMark accelerate the revenue growth of Adhesion? - Management highlighted the combination of AssetMark and Adhesion provides a full menu of services for RIAs, allowing advisors to choose solutions that fit their needs [33][34] Question: Would the below 10% annualized pace of net flows persist? - Management noted the uncertainty in predicting market conditions but emphasized strong fundamentals and support for advisors [39] Question: What is the outlook for household growth despite a decline in total advisor count? - Management explained that household growth occurs as investors seek support during market volatility, leading to new households being added [42] Question: Is there interest in locking rates or extending duration? - Management acknowledged awareness of potential rate cuts in 2023 but has not yet pursued locking rates [46] Question: What is the expected revenue contribution from Voyant? - Management indicated that Voyant's revenue growth may be delayed due to pandemic impacts but expects to return to a $20 million run rate [49][50]

Financial Performance - Total revenue for Q1 2022 was $148.3 million, an increase of $29.3 million or 24.6% from $119.0 million in Q1 2021[90] - Net income for Q1 2022 was $22.2 million, or $0.30 per share, compared to a net loss of $8.9 million, or $(0.13) per share, in Q1 2021[90] - Adjusted EBITDA for Q1 2022 was $44.5 million, compared to $34.1 million in Q1 2021, reflecting a margin of 30.0%[103] - Total revenue for the three months ended March 31, 2022, was $148,000, an increase from $134,000 in the same period of 2021, reflecting a growth rate of approximately 10.4%[116] - Net income for the three months ended March 31, 2022, was $22,219, compared to a net loss of $8,916 for the same period in 2021, resulting in a net income margin of 15.0%[124] - Adjusted EBITDA for the three months ended March 31, 2022, was $44,496, representing an adjusted EBITDA margin of 30.0%, up from 28.6% in the same period of 2021[124] - Net income improved by $31.1 million, or 349.2%, from a loss of $8.9 million in Q1 2021 to a profit of $22.2 million in Q1 2022[146] Revenue Breakdown - Asset-based revenue rose by $26.3 million, or 22.7%, from $115.8 million in Q1 2021 to $142.1 million in Q1 2022, driven by increased platform fees and advisory fees[148] - Subscription-based revenue increased by $3.3 million in Q1 2022 due to the acquisition of Voyant[149] - Spread-based revenue decreased by $0.6 million, or 25.0%, from $2.6 million in Q1 2021 to $2.0 million in Q1 2022, primarily due to lower interest income[150] Assets and Liabilities - Platform assets reached $90.8 billion as of March 31, 2022, up 15.1% from $78.9 billion as of March 31, 2021[91] - The regulatory assets under management (AUM) totaled $58.6 billion as of March 31, 2022, up from $50.1 billion as of March 31, 2021[105] - Total current assets increased to $148,949 as of March 31, 2022, from $134,173 as of December 31, 2021, representing an increase of 11.1%[14] - Total assets amounted to $1,402,755 as of March 31, 2022, compared to $1,386,962 as of December 31, 2021, indicating a growth of 1.1%[14] - Total liabilities decreased to $368,008 as of March 31, 2022, from $377,576 as of December 31, 2021, a reduction of 2.5%[14] Operating Expenses - Total operating expenses decreased by $17.6 million, or 13.0%, from $135.3 million in Q1 2021 to $117.6 million in Q1 2022[147] - Employee compensation decreased by $27.0 million, or 40.1%, from $67.3 million in Q1 2021 to $40.3 million in Q1 2022, mainly due to a reduction in share-based compensation[154] - General and operating expenses increased by $4.6 million, or 26.1%, from $17.5 million in Q1 2021 to $22.1 million in Q1 2022, driven by higher events and travel costs[155] Cash Flow and Financing - Cash flow from operating activities increased by $10.8 million from $14.7 million in Q1 2021 to $25.4 million in Q1 2022[168] - Cash and cash equivalents increased to $98,717 as of March 31, 2022, from $76,707 as of December 31, 2021, marking a growth of 28.7%[14] - Cash provided by financing activities increased by $5.9 million from $0.0 million in Q1 2021 to $5.9 million in Q1 2022, primarily due to $122.5 million in proceeds from the term loan[170] Advisers and Growth - Engaged advisers increased to 2,815 as of March 31, 2022, a rise of 7.8% from 2,611 as of March 31, 2021[91] - New producing advisers numbered 195 in Q1 2022, slightly up from 194 in Q1 2021[103] - The number of new producing advisers (NPAs) for the period was 20, indicating continued growth in the adviser base[112] Tax and Compliance - The provision for income taxes increased by $15.3 million, or 188.0%, from a benefit of $8.1 million in Q1 2021 to an expense of $7.2 million in Q1 2022[160] - The effective income tax rate for the Company was 24.4% for the three months ended March 31, 2022, down from 47.7% in the same period of 2021[78] Future Outlook - The company aims to selectively pursue acquisitions to enhance scale and capabilities, having added $9.4 billion in platform assets from acquisitions between 2014 and 2020[99][100] - The company expects cash and liquidity needs to be met by cash generated from ongoing operations and the 2022 Credit Facility over the next twelve months[162]

AssetMark Financial Holdings, Inc. (NYSE:AMK) Q1 2022 Results Conference Call April 28, 2022 5:00 PM ET Company Participants Taylor Hamilton - Head of Investor Relations Natalie Wolfsen - Chief Executive Officer Gary Zyla - Chief Financial Officer Operator Good afternoon, everyone, and welcome to AssetMark's First Quarter 2022 Earnings Conference Call. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session and instructions will be given at that time. T ...