Business
LPL Financial Announces Second Quarter 2023 Results
Key Financial Results Net Income was $286 million, translating to diluted earnings per share ("EPS") of $3.65, up 85% from a year agoAdjusted EPS* increased
About this update from Lpl Financial Holdings Inc.
[{"type":"text","content":"Key Financial Results Net Income was $286 million, translating to diluted earnings per share (\"EPS\") of $3.65, up 85% from a year agoAdjusted EPS* increased 76% year-over-year to $3.94 Gross profit* increased 39% year-over-year to $990 millionCore G&A* increased 18% year-over-year to $337 millionEBITDA* increased 67% year-over-year to $519 million Key Business Results Total advisory and brokerage assets increased 16% year-over-year to $1.24 trillion Advisory assets increased 18% year-over-year to $662 billionAdvisory assets as a percentage of total assets increased to 53.3%, up from 52.5% a year ago Total organic net new assets were $22 billion, representing 7.4% annualized growth Prior to large enterprises, organic net new assets for the year ago period were $12 billion, representing 4.1% annualized growthOrganic net new advisory assets were $18 billion, representing 12% annualized growthOrganic net new brokerage assets were $4 billion, representing 3% annualized growth Recruited assets(1) were $19 billion Recruited assets over the trailing twelve months were $60 billion. Prior to large enterprises, recruited assets over the trailing twelve months were $55 billion, up approximately 4% from a year ago. LPL Services Group had annualized revenue of $39 million, up 22% from a year ago Services Group subscriptions were 5,238, up 1,342 year-over-year Advisor count(2) was 21,942, up 421 sequentially and 1,071 year-over-yearTotal client cash balances were $50 billion, a decrease of $5 billion sequentially and $20 billion year-over-year Client cash balances as a percentage of total assets were 4.0%, down from 4.6% in the prior quarter and down from 6.5% a year ago Key Capital and Liquidity Results Corporate cash(3) was $325 millionLeverage ratio(4) was 1.25xShare repurchases were $350 million and dividends paid were $23 million *See the Non-GAAP Financial Measures section and the endnotes to this release for further details about these non-GAAP financial measures Key Updates Crown Capital Securities, L.P. (\"Crown Capital\"): Entered into an agreement to acquire the assets of the wealth management business of Crown Capital, a firm with ~260 advisors who collectively serve ~$6.5B of brokerage and advisory assetsCore G&A*: Raised the low end of our 2023 outlook range by $10 million, translating to an updated 2023 Core G&A* range of $1,3...