Slide 1: 4th Quarter and Full-Year 2014 Financial Results Presentation
Exhibit 99.1 4th Quarter February 23,and 2015 Full-Year 2014 Financial Results Presentation
Slide 2: Forward-Looking Statements Disclaimer
Forward?Looking Disclaimer This statements These particular, costs You the Actual quarterly actions Use The income understanding excluding operating not performance. future, be Company of should presentation and statements considered Non?GAAP results of taxes, reports benefits, performance competito
Slide 3: Chairman's Comments
Chairman’s “We record Today, managing had pre?tax wea over announced strong Comments operating $20 finish billion thetoincome acquisition the in client year in and 2014. assets, ofare Sterne Weand excited continue complements Agee, to report which to addthat bolsters our capabilities 2014 Fixed our
Slide 4: Market Overview
MarketVolumes Note: Overview are in million $, except trading volumes which are in million shares. Source: Dealogic, SIFMA, ICI, Factset and KBW Research.
Slide 5: Financial Results
Financial Results
Slide 6: Stifel Financial Corp. Three Months Results
Stifel Three ($ Interest Total Provision Discontinued Net Loss Earnings Weighted Diluted Ratios Compensation Non?comp Income (1) (2)inResults Non?core revenues income thousands, from revenues non?interest Financial months Months tofrom expense 77,540 per net average for discontinued for operating $f
Slide 7: Q4 2014 Results vs Estimates
Q4 2014 4Q14 Revenues Principal Commissions Investment Asset Other Non?interest Non?compensation Total Provision Net Diluted Operationg Income Compensation Non?Compensation Effective Interest revenues Income non?interest 4Q14 management income before Operating shares Estimates transactions tax for C
Slide 8: Stifel Financial Corp. Year Results
Stifel Year ($ Interest Total Provision Discontinued Net Loss Earnings Weighted Diluted Ratios Compensation Non?comp Income 0(1) GAAP). inNon?core revenues income ended Ended thousands, from revenues non?interest Financial tofrom expense 76,376 per net average for discontinued operating December $fr
Slide 9: Net Revenues Three Months and Year
Source Three % ($ Commissions Principal Brokerage Capital Advisory Investment Asset Other Total Interest 8Net %revenues in thousands) %operating revenues mgt (3,960) Months of raising revenue expense transactions 103,423 Revenues and revenues banking $19,391 $Ended service 590,636 71,178 578,076 rev
Slide 10: Brokerage and Investment Banking Revenues
Brokerage Three ($ Global Institutional Investment Capital Equity Fixed Advisory 9Total in thousands) Institutional brokerage capital Investment income Months brokerage 49,866 Wealth raising fees &Banking: Group raising Investment brokerage 21,311 103,424 Ended 57,335 Management revenues 12/31/14 ba
Slide 11: Core Net Operating Expenses Three Months
Core Three ($ Net Compensation Transition Occupancy Communication Commissions Other Total Income Provision Non?GAAP Non?core GAAP (1) (2) 10 inTransition (1) Excludes revenues thousands) Non?Interest compensation non?comp non?interest operating months Months net from for expenses pay income and net
Slide 12: Core Net Operating Expenses Year
Core Year ($ Net Compensation Transition Occupancy Communication Commissions Other Total Income Provision Non?GAAP Non?core GAAP (1) (2) 11 inTransition (1) Excludes revenues ended Ended thousands) Non?Interest compensation non?comp non?interest operating net from for expenses pay income December an
Slide 13: Segment Results Three Months and Year
Segment Three % ($ Net $Other As Operating Global Institutional 15.5 (1) 12578,115 89,739 % in aExcludes revenues: 16.0 percentage thousands) (5,597) (29,532) Months Wealth Comparison $14.9 $contribution contribution: 90,428 564,681 Group the 4,563 Ended 15.2 Management (37,184) of 12/31/14 Other (0
Slide 14: Global Wealth Management
Global Three ($ Commissions Principal Asset Investment Other Net Total Ratios Compensation Non?comp Income 13 inrevenues interest thousands) non?interest management income Months to Wealth before net transactions operating banking 40,236 revenues 310,980 $(4,600) Ended Management and income 115,351
Slide 15: Stifel Bank & Trust
Stifel (an As Actual Cash Assets Investment Bank Deposits Liabilities Other Total Net Allowance Non?performing Note: (1) (2) 14 of Investment Includes operating interest 119,501 interest assets liabilites loans Actual Bank 12/31/14 assets liabilities ($)4,790,084 Yield for as securities (2) & 5,237,
Slide 16: Institutional Group
Institutional Three ($ Net Total Ratios Compensation Non Income 15 inrevenues ?comp thousands) non?interest Months tobefore netoperating Group revenues $Ended and income 272,732 12/31/14 expenses benefits Year expenses :taxes $ 267,282 12/31/13 Ended 176,897 64.9% 237,639 $ 35,093 12.9% 60,742 22.2%
Slide 17: Financial Condition
Financial Condition
Slide 18: Capital Structure
Capital As (in ($ Stockholders’ 6.70% 5.375% 4.250% Debentures Total Debt Ratios: Pro Tier (1) (2) stockholders’equity. 17 in thousands, of Debt Pro Forma 1thousands) to Assets Capitalization December Leverage Risk senior forma Structure Equity senior to Debt equity Based to9,326,117 notes, debt Equ
Slide 19: Other Financial Data and Leverage
Other As 12/31/14 Leverage Stifel Book Financial Full Locations Total (1) 18 of Includes ?time assets shareholders’ leverage client As Nicolaus Bank value Financial of 12/31/13 ratio: advisors 367 associates assets 5,221,348 406,019 12.9 per (000s): 9,518,151 138, ratio 357 & share Data 15.8 143, St
Slide 20: Sterne Agee Merger
Sterne Agee Merger
Slide 21: Chairman's Comments on Sterne Agee
Chairman’s “We Management independent fixed services, momentum trading This mix 20 with have acquisition income business. and wealth identified we Comments representatives together group platform established furthers management with a great will is our the highly catapult with firm increasing additi
Slide 22: Why This Transaction Makes Sense
Why transaction This Leverages Significantly Highly Accretive 21 this Complementary Combination to both Stifel Increases the brings Wealth Makes Financial together Fixed Management Income Sense two Advisors companies Platforms and andInstitutional Independent with a shared Platforms Representatives
Slide 23: Sterne Agee Overview
Sterne Global Private in $85M Over Income Fixed Institutional with professionals overlap Strategic $130M Mortgage FBC Agreement founders the back separate alone $65M Revenue Acquired 22 23 platforms business minimal to 130 200 reps entity $90M $115 Agee Wealth Independent them between stand? Revenue
Slide 24: Transaction Highlights
Transaction ?Purchase to Consideration based at Retention: Expected Required Anticipated 23At closing a maximum closing, on the Price: Approvals: EPS based ? Closing: Highlights Expected maximum a Mix: Impact: minimum of?on 1.62 $150 shareholder ? ?Approximately retention million •Approximately Subj
Slide 25: Financially Attractive Economic Returns
Financially Uses Economic Purchase Plus: Retention Stifel’s Investment ($M) Income Less: Total Conservatively Modeled and •Attractive 24 Approximately Potential Expenses Return duplicative of Income Uses Duplicative Estimated Statement Capital on realization Price 35 Returns Investment gross (Econom
Slide 26: Significantly Increases Independent Advisor Count
Significant $10 More Sterne Over Branches Serving Increases Total 130 2,103 600 Financial 25 billion Independent Advisors 600 $10 than Agee’s clients Advisor Advisors in independent billion 130 in Private 40retail Private Financial 730 financial in states in Reps all Count Client 2,833 assets 50 Cli
Slide 27: Largest Private Client Franchise Rankings
#6Wells Retail 987654321Rank 10 11 12 13 14 15 16 17 18 19 20 Over More Pro ¹Source: Morgan Bank Raymond UBS Stifel RBC Oppenheimer Deutsche Wedbush Largest JPMorgan Sterne Janney Robert Stephens Southwest Canaccord DA Barclays Forma $200 Firm than Brokerage Davidson 4,286 Capital of +Fargo 2,103 SI
Slide 28: Sterne Agee Trust and Clearing Overview
Sterne Trust Offers Investment Estate Personal Retirement A Protecting Meeting Providing Clearing 9th Over 54,000+ 51,000+ 321Rank 987654201 10 11 12 13 14 ¹Ranked 27Wedbush Pershing National Merrill RBC Southwest COR Goldman Sterne Focus Apex FirstSouthwest First Raymond LPL Largest 85 $27 Company
Slide 29: Complementary Fixed Income Overview
Complementary Offices Sales, Sterne Credit Structured Investment Over Pro 28 Forma forma 700 Trading, Agee’s Agee Products throughout professionals revenues Products Grade furnishes fixed Fixed Strategies, Fixed Corporates the expected income Income investment Income U.S.Analytics, capabilities prov
Slide 30: Acquisition Updates
Acquisition Updates
Slide 31: Acquisition Updates
Acquisition Added Closed K Assessment Stifel/KBW Ranked Sources: according 3012 TIFapproximately December November July #1 #2 ¹Ranking toinUpdates 31, District ranked SNL municipal 2014 bankruptcy 2014 Financial 31, 7, according municipal #1 Financing 2014 /2014 $9 Full M&A negotiated billion cases
Slide 32: Non-Core Expenses Reconciliation
Non Three Actual ($ Existing Acacia De Keefe, Knight 1919 Miller Oriel Ziegler Intangible Sterne Stock Duplicative Total (1) 31 in Assumes LaCore thousands) Investment Deal Securities based months Rosa Agee Buckfire Bruyette Estimate Federal Fixed Capital acquisitions Deal amortization Costs operati
Slide 33: Q&A
Q&A