Key Highlights

  • Record net revenues of USD 4.27 billion rose 15% year over year and 9% from the preceding quarter.
  • Adjusted diluted EPS of USD 3.59 topped the USD 3.26 consensus estimate, while GAAP diluted EPS was USD 3.40.
  • Client assets under administration reached a record USD 1.94 trillion, up 12% from September 2025.
  • Domestic Private Client Group net new assets totaled USD 98.3 billion in fiscal 2026, an 88% increase.

Raymond James Financial, Inc. (NYSE:RJF) reported fiscal fourth-quarter 2026 net revenues of USD 4.27 billion for the quarter ended September 30, 2026, up 15% from USD 3.73 billion a year earlier and above a consensus estimate of USD 4.20 billion. Net income available to common shareholders was USD 666 million, or USD 3.40 per diluted share, compared with USD 2.95 a year earlier.

Adjusted net income of USD 703 million, which excludes USD 37 million of acquisition-related expenses net of tax, equated to USD 3.59 per diluted share. That non-GAAP figure is the one compared with the consensus estimate of USD 3.26 and sits above it. Pre-tax income grew 18% to USD 862 million. For the full year, net revenues of USD 15.79 billion and diluted EPS of USD 11.91 were both records.

Segment Performance and Profitability

Private Client Group net revenues rose 15% to a record USD 3.06 billion, with asset management and related administrative fees up 21% to USD 1.92 billion. Pre-tax income of USD 458 million grew 10%, as higher advisor commissions and recruiting costs absorbed part of the revenue gain. Capital Markets net revenues were USD 549 million, with investment banking revenues of USD 361 million, up 17%. Asset Management posted record pre-tax income of USD 170 million, helped by the Clark Capital addition.

The Bank segment earned USD 180 million before tax on USD 483 million of net revenues, with record net loans of USD 57.5 billion and securities-based loans up 32%. Net interest margin was 2.60%, down 11 basis points. The adjusted pre-tax margin was 21.3% against guidance of roughly 20%, and annualized adjusted return on tangible common equity was 26.6%.

Fiscal 2027 Guidance and Capital Position

The company's chief financial officer said first-quarter asset management and related administrative fees are projected to rise about 1% from the fourth-quarter level, and combined net interest income and third-party bank deposit program fees are projected up about 1% from USD 674 million. Noncompensation expenses for fiscal 2027, excluding the credit loss provision and certain items, are targeted near USD 2.5 billion, roughly 8% higher, with the effective tax rate estimated near 25%.

Capital remains strong, with a total capital ratio of 24.2% and a tier 1 leverage ratio of 12.1%. The firm repurchased USD 1.25 billion of stock at an average price of USD 156 during the year, with USD 1.05 billion remaining under its authorization. CEO Paul Shoukry noted several geopolitical and macroeconomic uncertainties while citing record client assets and a strong investment banking pipeline.

Key Readings Ahead

Four figures stand out for the first quarter of fiscal 2027. Fee-based assets in the Private Client Group stood at USD 1.16 trillion, which anchors the 1% fee growth guide. Client cash sweep and Enhanced Savings balances were USD 58.0 billion, down 1% sequentially, with over USD 16 billion held off balance sheet at third-party banks. The adjusted compensation ratio was 64.6% against a stated target near 65%. Investment banking revenue of USD 361 million, up 27% sequentially, supplies the comparison base for Capital Markets.