RJF Filings — Raymond James Financial Inc - FilingSpy
RJF
Raymond James Financial Inc
A major American financial services firm, Raymond James helps people manage money through thousands of financial advisors, plus investment banking, asset management, and banking. Founded in 1962 in St. Petersburg, Florida by Bob James, the name honors a promise: when he bought rival firm Raymond & Associates in 1964, he agreed to put "Raymond" first — and kept it even after owner Edward Raymond, injured in an accident, never joined the company.
A $41M swing in credit provisions and the absence of a prior-year legal charge lifted pre-tax income 33% to $750M.
The bank swung to a benefit, and a legal settlement from last year did not repeat. Net revenues rose 16% to $3.93 billion and climbed 42% to $3.01, driven by higher asset management fees and a rebound in investment banking. The compensation ratio edged up again, leaving the earnings mix still tilting toward directly compensable fees.
Key takeaways
Pre-tax income rose 33% to $750 million, helped by a $41 million swing in the bank —to a $26 million benefit from a $15 million charge a year ago—and the absence of a $58 million legal settlement that had weighed on the prior-year quarter.
Asset management and related administrative fees rose 17% to $2.18 billion, reflecting higher Private Client Group fee-based account balances at the start of the quarter, lifted by market appreciation and net new assets.
Section summaries
Management's Discussion and Analysis
Q3 FY2026 net revenues rose 16% to $3.93B and pre-tax income rose 33% to $750M, driven by higher asset management fees and investment banking.
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Net revenues increased 16% to $3.93 billion, primarily from higher asset management fees on PCG fee-based assets and higher investment banking revenues.
Pre-tax income rose 33% to $750 million; adjusted was $3.14, up 44% .
Investment banking revenues rose 31% to $262 million, driven by higher debt and equity underwriting activity, a rebound from the 36% decline in the prior quarter that management had flagged as a potential pause in M&A closings.
The compensation ratio increased to 65.7% from 64.8% a year ago, as growth concentrated in directly compensable asset management fees and a mix shift toward higher-commission products.
Bank pre-tax income rose 67% to $206 million, aided by the credit loss benefit and 7% growth in from higher securities-based and residential mortgage loans.
The company repurchased $400 million of common stock during the quarter and ended with a of 11.7%.
What changed
The $58 million legal settlement that pushed Capital Markets to a pre-tax loss in Q3 FY2025 did not repeat, removing a that management had flagged as a key watch item; non-compensation expenses fell 5% as a result.
The bank swung to a $26 million benefit from a $15 million charge a year ago, answering the prior watch item on whether credit provisions would remain a charge; the benefit contributed to the Bank 's 67% pre-tax income increase.
The compensation ratio continued its upward march to 65.7%, from 64.8% a year ago and 65.8% last quarter, confirming the trend flagged in every recent filing as growth remains concentrated in directly compensable fees.
Combined and RJBDP fees from third-party banks were flat at $650 million, stabilizing after the declines that management had been tracking, though the Bank 's held at 2.81%.
What to watch
Whether the compensation ratio crosses above 66% in Q4 FY2026 as the mix continues shifting toward directly compensable asset management and investment banking fees.
Whether the bank returns to a charge in Q4 FY2026 or remains a benefit, given the $26 million benefit this quarter and the commercial real estate exposure in the loan portfolio.
Whether investment banking revenues sustain their Q3 rebound or retreat again, given the 's sensitivity to macroeconomic conditions and the volatility between Q1 and Q2.
The pace of share repurchases under the $1.5 billion authorization, given the $400 million deployed this quarter and the $3.0 billion in corporate cash at the end of Q2.
Compensation expense rose 17%, driven by higher commissions on fee-based revenues and advisor recruiting costs; the increased to 65.7%.
Non-compensation expenses fell 5%, helped by a $58M prior-year legal settlement not repeating and a $26M bank loan versus a $15M provision last year.
The Bank 's pre-tax income rose 67% to $206M, aided by a $26M and 7% growth from higher securities-based and residential mortgage loans.
The company repurchased $400M of common stock during the quarter and maintained strong capital ratios, with a of 11.7%.
Quantitative and Qualitative Disclosures About Market Risk
See “Item 2 - Management’s Discussion and Analysis of Financial Condition and Results of Operations - Risk management” of this Form 10-Q for our quantitative and qualitative disclosures about market risk.
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See “Item 2 - Management’s Discussion and Analysis of Financial Condition and Results of Operations - Risk management” of this Form 10-Q for our quantitative and qualitative disclosures about market risk.
During the nine months ended June 30, 2026, there have been no material changes to the risk factors set forth under “Part 1 - Item 1A. Risk factors” of our 2025 Form 10-K.
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During the nine months ended June 30, 2026, there have been no material changes to the risk factors set forth under “Part 1 - Item 1A. Risk factors” of our 2025 Form 10-K.