Raymond James Posts Strong Quarterly Results

Raymond James (RJF) said late Wednesday that it had revenue of $1.2 billion in the period ending Dec. 30, a jump of 7% from last year and 5% from the prior quarter.

It also said its profits grew 36% year over year to $116.6 million, or $0.81 per share, in the latest quarter from $85.9 million, or $0.61 per share, for the same period in 2013. (Both results topped Street expectations.)

“Record quarterly pretax income was driven by record results in our Private Client Group and Asset Management segments, which were bolstered by record levels of assets under administration and assets under discretionary management,” said CEO Paul Reilly, in a press release.

“Record revenues and overall expense control helped us achieve our targeted 15% pretax margins,” Reilly said, adding that, excluding certain favorable items, results were in line with analyst expetations.

The company says its net income in the period ending Dec. 30 (which it classifies as its ’14 fiscal first quarter) benefited from a favorable tax rate stemming from solid gains in corporate-owned life insurance values and the recognition of certain state tax refunds related to prior years.

Private Client Performance

Raymond James’ advisors brought in net revenues of $776.7 million, up 9% from the year-ago quarter and 5% percent from preceding quarter. The unit’s fees and commissions were $657.5 million, a jump of 10% from last year and 6% from the period ending Sept. 30.

The group’s quarterly pretax income was $71.5 million, up 34% and 11% from a year ago and the preceding quarter, respectively.