Stifel Financial Corporation · NYSE:SF
Stifel Financial — Q1 2024 Earnings Presentation
14 slides from Stifel Financial's earnings presentation, Apr 24, 2024
Slide 1: First Quarter 2024 Financial Results Presentation
First Quarter 2024 Financial Results Presentation April 24, 2024 Quarterly Earnings Report
Slide 2: First Quarter Snapshot
First Quarter Snapshot 1Q24 RESULTS millions, except per share and ratios NET REVENUE NET EARNINGS EPS 1Q24: GAAP & NON-GAAP $1,163 1Q24: GAAP $164 & NON-GAAP $173 1Q24: GAAP $1.40 & NON-GAAP $1.49 ANNUALIZED ROCE ANNUALIZED ROTCE* BOOK VALUE PER SHARE 1Q24:GAAP 13.5% & NON-GAAP 14.3% 1Q24:GAAP 19.7
Slide 3: Variance to Consensus Estimates
Variance to Consensus Estimates First Quarter Results Variance to Consensus Estimates Commentary on Variance to Analyst Estimates (in Millions, except diluted EPS and share data) Revenues 1Q24 Operating* 1Q24 Mean ANALYST %∆ ■ Commissions & Principal Transactions: Commissions + Principal transaction
Slide 4: Highly Complementary Business Lines
Highly Complementary Business Lines Significant Operating Leverage Benefits from Lower Interest Rates on Institutional Margins $350 Significantly Outweigh Expected Decline in NII $300 $250 $200 millions $150 $100 $50 $0 1Q19 4Q19 2Q20 4Q20 1Q21 3Q21 1Q22 4Q22 2Q23 4Q23 1Q24 2Q19 3Q19 1Q20 3Q20 2Q21
Slide 5: First Quarter Results
First Quarter Results FINANCIAL RESULTS NET REVENUE Sequential millions 1Q24 Y/Y Change Change $1,400 Global Wealth Management $791 4% 3% $1,146 $1,163 $1,200 $1,107 Institutional 351 6% -2% $1,051 $1,045 Other 21 25% 0% $1,000 Net revenue 1,163 5% 1% millions $800 Compensation expense 674 5% 1% $60
Slide 6: Global Wealth Management
Global Wealth Management GLOBAL WEALTH MANAGEMENT REVENUE HIGHLIGHTS Sequential millions 1Q24 Y/Y Change Change ■ Record Quarterly Net Revenue Transactional $182 13% 7% ■ Record Quarterly Asset Management Revenue Asset Management 367 17% 11% Net Interest 236 -16% -8% ■ Record Client Assets Under Adm
Slide 7: Wealth Management: A Key Growth Driver
Wealth Management: A Key Growth Driver CONSISTENT GROWTH $3,500 $3,000 Net Revenue (millions) $2,500 $2,000 $1,500 $1,000 $500 $0 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Brokerage Asset Management & Service Fees Net Interest Investment Bankin g & Oth er *2024 GWM Net Revenue based on
Slide 8: Strong Bank Fundamentals
Strong Bank Fundamentals SLOWING CASH SORTING STRONG NIM DESPITE RISING DEPOSIT COSTS 7.00% $2,068 $1,747 $1,097 6.00% $1,080 $905 $859 millions $599 $726 $614 $505 5.00% ($35) 4.00% 3.57% 3.53% 3.43% 3.24% 2.99% ($742) ($1,230) 3.00% ($2,022) 2.00% ($3,640) 1.00% 1Q23 2Q23 3Q23 4Q23 1Q24 0.00% Swee
Slide 9: Institutional Group
Institutional Group INSTITUTIONAL GROUP REVENUE HIGHLIGHTS Sequential millions 1Q24 Y/Y Change Change ■ Named US Mid-Market Equity House for 2023 by Advisory $119 -21% -8% International Financing Review Capital Raising $90 60% 26% ■ Ranked #1 in Municipal Issuance in Number of Transactional $143 15%
Slide 10: Expenses and GAAP to Non-GAAP Reconciliation
Expenses NON-GAAP EXPENSES & PRE-TAX INCOME Non-GAAP EXPENSE RATIOS 65% 35% Non-compensation Ratio millions 1Q24 1Q23 Y/Y Change 63% 30% Compensation Ratio 25% Compensation $674 $642 5% 61% 20% Non-compensation Expense, 59% $245 $227 8% 15% Ex. IB Gross Up & Credit Loss 57% 58.0% 58.0% 58.0% 58.0% 5
Slide 11: Capital Utilization
Capital Utilization FIRM-WIDE ASSETS & CAPITAL RATIOS HIGHLIGHTS $40,000 $38,598 $37,878 $37,727 $38,258 22.0% ■ Repurchased 2.3 million Shares $38,000 $37,298 20.0% $36,000 ■ 11 million Shares in Total Authorization $34,000 18.0% $32,000 17.3% 17.2% 17.3% 16.0% ■ Total Assets Increased $531 million
Slide 12: Concluding Remarks
Concluding Remarks Quarterly Earnings Report
Slide 13: First Quarter 2024 Financial Results Presentation
First Quarter 2024 Financial Results Presentation April 24, 2024 Quarterly Earnings Report
Slide 14: Disclaimer
Disclaimer Forward-Looking Statements This presentation may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 that involve significant risks, assumptions, and uncertainties, including statements relating to the market opportunity and futu