RJF · 10-Q · 2026Q2 · Full report
Operating Income and Margins
RAYMOND JAMES FINANCIAL INC · 2026-08-05 · Importance 64 · Surprise 56 · No source text
Fiscal third-quarter 2026 pre-tax income increased 33% year over year to $750 million, and the pre-tax margin expanded to 19.1% from 16.6%. Nine-month pre-tax income increased 12% to $2.21 billion, while the nine-month pre-tax margin remained 19.2%. Quarterly net income available to common shareholders increased 37% to $595 million, and diluted EPS increased 42% to $3.01. Return on common equity rose to 18.8% from 14.3% and return on tangible common equity rose to 22.6% from 16.7%, reflecting stronger earnings despite higher compensation intensity.
Key facts
- Adjusted net income available to common shareholders for the quarter ended June 30, 2026 (excluding $25 million of acquisition-related expenses, net of tax): $620 million, an increase of 38% compared with the prior-year quarter source
- Pre-tax income for the quarter ended June 30, 2026: $750 million, an increase of 33% compared with the prior-year quarter source
- Net income available to common shareholders for the quarter ended June 30, 2026: $595 million, an increase of 37% compared with the prior-year quarter source
- Other segment pre-tax loss for quarter ended June 30, 2026: $70 million compared with prior-year quarter pre-tax loss of $42 million source
- Nine months net revenues of $8.42 billion increased 12% and pre-tax income of $1.28 billion decreased 2% compared with prior-year nine months source
- For the nine months ended June 30, 2026, pre-tax income: $2,213 million, an increase of 12% compared with the prior-year period source
- For the nine months ended June 30, 2026, net income available to common shareholders: $1,699 million, 11% higher than the prior-year period source
- Consolidated pre-tax income for quarter ended June 30, 2026: $423 million, increased 3% year-over-year source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| revenue | positive | realized | +20.7% | Nine months net revenues of $8.42 billion increased 12% and pre-tax income of $1.28 billion decreased 2% compared with prior-year nine… |
| operating_income | positive | realized | +5.4% | For the nine months ended June 30, 2026, pre-tax income: $2,213 million, an increase of 12% compared with the prior-year period |
| operating_income | positive | realized | +4.3% | Pre-tax income for the quarter ended June 30, 2026: $750 million, an increase of 33% compared with the prior-year quarter |
| net_income | positive | realized | +3.9% | Adjusted net income available to common shareholders for the quarter ended June 30, 2026 (excluding $25 million of acquisition-related… |
| net_income | positive | realized | +3.9% | For the nine months ended June 30, 2026, net income available to common shareholders: $1,699 million, 11% higher than the prior-year period |
| net_income | positive | realized | +3.7% | Net income available to common shareholders for the quarter ended June 30, 2026: $595 million, an increase of 37% compared with the… |
| operating_income | negative | realized | -0.6% | Other segment pre-tax loss for quarter ended June 30, 2026: $70 million compared with prior-year quarter pre-tax loss of $42 million |
| operating_income | negative | realized | -0.6% | Nine months net revenues of $8.42 billion increased 12% and pre-tax income of $1.28 billion decreased 2% compared with prior-year nine… |
| net_income | negative | realized | -0.6% | Adjusted net income available to common shareholders for the quarter ended June 30, 2026 (excluding $25 million of acquisition-related… |
| operating_income | positive | realized | +0.3% | Consolidated pre-tax income for quarter ended June 30, 2026: $423 million, increased 3% year-over-year |
| net_income | positive | realized | — | Adjusted earnings per diluted share for the quarter ended June 30, 2026: $3.14, an increase of 44% compared with the prior-year quarter |