UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
FORM
8-K
CURRENT
REPORT
Pursuant
to Section l3 and l5(d) of the
Securities
Exchange Act of l934
April
18, 2005
Date of
report (date of earliest event reported)
Raymond
James Financial, Inc.
(Exact
Name of Registrant as Specified in Its Charter)
Florida
(State or
Other Jurisdiction of Incorporation)
|
1-9109 |
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59-1517485 |
|
(Commission
File Number) |
|
(IRS
Employer Identification No.) |
880
Carillon Parkway St. Petersburg, FL 33702
(Address
of Principal Executive Offices) (Zip Code)
(727)
567-1000
(Registrant’s
Telephone Number, Including Area Code)
Not
Applicable
(Former
Name or Former Address, if Changed Since Last Report)
Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions (see General
Instruction A.2. below):
o
Written communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
o
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
o
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act
(17 CFR 240.14d-2(b))
o
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act
(17 CFR 240.13e-4(c))
Item
7.01 Regulation FD Disclosure
The
following information was contained in a press release issued on April 18, 2005.
SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, the Registrant has
duly caused this report to be signed on its behalf by the undersigned hereunto
duly authorized.
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RAYMOND
JAMES FINANCIAL, INC. | |
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Date:
April 19, 2005 |
By: |
/s/ Thomas A. James |
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Thomas
A. James,
Chairman
and Chief Executive Officer |
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By: |
/s/ Jeffrey P. Julien |
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Jeffrey
P. Julien |
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Senior
Vice President - Finance |
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and
Chief Financial Officer |
Release
No. 0405-01 FOR
IMMEDIATE RELEASE
April 18,
2005
RAYMOND
JAMES FINANCIAL, INC.
REPORTS
SECOND QUARTER RESULTS
ST.
PETERSBURG, Fla. - Raymond James Financial, Inc. today reported a 19 percent
decrease in unaudited net income to $34,697,000, or $0.46 per diluted share, for
the second quarter ended March 24, 2005, on slightly higher net revenues of
$483,118,000, compared to net income of $43,068,000, or $0.58 per diluted share,
for fiscal 2004’s second quarter.
Unaudited
net income for the first half of fiscal 2005 was reported at $73,940,000, up
from 2004’s $67,298,000, while net revenues for the period increased to
$982,103,000 from $894,435,000 the previous year. Diluted earnings per share
were $0.98 versus $0.91 for last year’s comparable period.
“Although
net income of $34.7 million trailed last year’s comparable quarter and the
immediately preceding quarter by 19 percent and 12 percent respectively, the
second quarter’s results were good in light of the market’s direction and
activity levels,” stated Chairman and CEO Thomas A. James.
“Last
year’s comparable quarter was 13 weeks in duration versus 12 this quarter,
benefited from a $3 million refund in state taxes and was our all-time record
quarter in terms of net income based upon a 41 percent increase in revenues over
its prior comparable quarter. This year’s net revenues only exceeded last year’s
comparable quarter marginally. Moreover, total commissions were down 3 percent
and Equity Capital Market revenues in this March quarter,
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No. 0405-01 Raymond
James Financial, Inc.
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2
albeit
good, were down from the record levels last year. Thus, diluted earnings per
share were $0.46, down from $0.58 last year.
“The
immediately preceding December quarter was 14 weeks in duration and total net
revenues were also 3 percent higher. Total commissions in the March 2005 quarter
were off 4.5 percent from the prior quarter,” he added.
“Due to
the excellent comparisons achieved in 2005’s first fiscal quarter, six-month
gross revenues exceeded $1 billion and net income of almost $74 million was 10
percent higher than the same results last year. Diluted earnings per share for
the six months were $0.98 compared to $0.91 last year.
“Results
for the remainder of the year are highly dependent on the stock market. If
corporate earnings rates remain favorable in spite of the increasing interest
rates and somewhat higher inflation rates, the market tone should improve, which
will improve future comparisons. On the other hand, lower corporate earnings
would probably signal more downside risk. I expect continued volatility for the
rest of the year,” James concluded.
The
company will conduct its quarterly conference call April 19 at 4:15 p.m. EST.
The telephone number is 800-773-5520. The call will also be available on demand
on the company’s Web site, raymondjames.com, under
“About Raymond James Financial,” “Financial Reports.”
Raymond
James Financial (NYSE-RJF) is a Florida-based diversified holding
company providing financial services to individuals, corporations and
municipalities through its subsidiary companies. Its three wholly
owned broker/dealers, Raymond James & Associates, Raymond James
Financial Services and Raymond James Ltd. have more than 5,000 financial
advisors
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No. 0405-01 Raymond
James Financial, Inc.
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3
serving
1.3 million accounts in 2,100 locations throughout the United States,
Canada and overseas. In addition, total client assets are currently over
$136 billion, of which more than $25 billion are managed by the firm’s asset
management subsidiaries.
To the
extent that Raymond James makes or publishes forward-looking statements
(regarding management expectations, strategic objectives, business prospects,
anticipated expense savings, financial results, anticipated results of
litigation and regulatory proceedings, and other similar matters), a variety of
factors, many of which are beyond Raymond James’ control, could cause actual
results and experiences to differ materially from the expectations and
objectives expressed in these statements. These factors are described in Raymond
James’ 2004 annual report on Form 10-K, which is available on raymondjames.com
and sec.gov.
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No. 0405-01 Raymond
James Financial, Inc.
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Raymond
James Financial, Inc. | |||||||||||
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Unaudited
Report | |||||||||||
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For
the second quarter ended March 24, 2005 | |||||||||||
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(all
data in thousands, except per share earnings) | |||||||||||
|
Second
Quarter |
Six
Months | ||||||||||
|
2005 |
2004 |
Percent
Change |
2005 |
2004 |
Percent
Change | ||||||
|
Revenues |
$512,327 |
$491,373 |
4% |
$1,036,704 |
$916,033 |
13% | |||||
|
Net
Revenues |
483,118 |
480,448 |
1% |
982,103 |
894,435 |
10% | |||||
|
Net
Income |
34,697 |
43,068 |
-19% |
73,940 |
67,298 |
10% | |||||
|
Earnings
Per |
|||||||||||
|
Share
- Diluted |
0.46 |
0.58 |
-21% |
0.98 |
0.91 |
8% | |||||
|
Average
Shares |
|||||||||||
|
Outstanding
- Diluted |
76,305 |
74,395 |
75,622 |
74,254 |
|||||||
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Balance
Sheet Data | |||||||
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March |
Dec. |
Sept. |
March | ||||
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2005 |
2004 |
2004 |
2004 | ||||
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Total
Assets |
$8.0
bil. |
$
7.9 bil. |
$
7.6 bil. |
$7.4
bil. | |||
|
Shareholders'
Equity |
$1,160
mil. |
$1,120
mil. |
$1,065
mil. |
$1,003
mil. | |||
|
Book
Value Per Share |
$15.44 |
$15.01 |
$14.42 |
$13.64 | |||
|
Management
Data | |||||||
|
March |
Dec. |
Sept. |
March | ||||
|
2005 |
2004 |
2004 |
2004 | ||||
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Total
Private Client Group Financial Advisors: |
|||||||
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United
States |
4,806 |
4,801 |
4,856 |
4,824 | |||
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Canada |
279 |
277 |
274 |
243 | |||
|
#
Lead Managed/Co-Managed
Public
Offerings in United States |
20 |
26 |
25 |
26 | |||
|
Financial
Assets Under Management |
$25.4
bil. |
$
25.1 bil. |
$
22.3 bil. |
$21.8
bil. | |||
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No. 0405-01 Raymond
James Financial, Inc.
Page
5
|
March |
Dec. |
Sept. |
March | ||||
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2005 |
2004 |
2004 |
2004 | ||||
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Client
Assets |
$
136 bil. |
$
136 bil. |
$
124 bil. |
$107
bil. | |||
|
Client
Margin Balances |
$1,190
mil. |
$1,199
mil. |
$1,173
mil. |
$1,074
mil. | |||
|
Client
Trade Volume |
1,993,000 |
2,079,000 |
1,680,000 |
1,995,000 | |||
|
#
of Client Accounts |
1,347,000 |
1,326,000 |
1,321,000 |
1,314,000 |
|
Three
Months Ended |
Six
Months Ended | ||||||
|
March
24, |
March
26, |
March
24, |
March
26, | ||||
|
2005 |
2004 |
2005 |
2004 | ||||
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Revenues: |
|||||||
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Private
Client Group |
$
337,477 |
$327,416 |
$
677,919 |
$614,219 | |||
|
Capital
Markets |
103,664 |
113,246 |
220,683 |
204,853 | |||
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Asset
Management |
42,701 |
38,270 |
82,522 |
72,181 | |||
|
RJBank |
9,820 |
6,897 |
18,803 |
13,455 | |||
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Other |
18,665 |
5,544 |
36,777 |
11,325 | |||
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Total |
$
512,327 |
$491,373 |
$1,036,704 |
$916,033 | |||
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Pre-tax
Income: |
|||||||
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Private
Client Group |
$
30,768 |
$
35,028 |
$
63,755 |
$
62,287 | |||
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Capital
Markets |
12,923 |
21,610 |
30,253 |
27,625 | |||
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Asset
Management |
10,432 |
8,978 |
18,815 |
13,900 | |||
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RJBank |
2,826 |
2,366 |
6,078 |
4,263 | |||
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Other |
1,179 |
(1,075) |
4,032 |
(2,213) | |||
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Total |
$
58,128 |
$
66,907 |
$122,933 |
$105,862 |
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RAYMOND
JAMES FINANCIAL, INC. AND SUBSIDIARIES | |||||||||
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CONSOLIDATED
STATEMENT OF OPERATIONS | |||||||||
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(UNAUDITED) | |||||||||
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Quarter-to-Date | |||||||||
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(in
thousands, except per share amounts) | |||||||||
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Three
Months Ended |
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|
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|
| |||
|
March
24 |
March
26, |
% |
Dec.
31, |
% | |||||
|
2005 |
2004 |
Change |
2004 |
Change | |||||
|
Revenues: |
|||||||||
|
Securities
commissions and fees |
$341,373 |
$
352,039 |
-3% |
$357,469 |
-5% | ||||
|
Investment
banking |
27,994 |
32,065 |
-13% |
28,505 |
-2% | ||||
|
Investment
advisory fees |
39,106 |
34,460 |
14% |
37,452 |
4% | ||||
|
Interest |
57,392 |
31,575 |
82% |
54,416 |
6% | ||||
|
Net
trading profits |
7,838 |
4,512 |
74% |
9,752 |
-20% | ||||
|
Financial
service fees |
21,748 |
21,571 |
1% |
22,410 |
-3% | ||||
|
Other |
16,876 |
15,151 |
11% |
14,373 |
17% | ||||
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TOTAL
REVENUES |
512,327 |
491,373 |
4% |
524,377 |
-2% | ||||
|
Interest
Expense |
29,209 |
10,925 |
167% |
25,392 |
15% | ||||
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NET
REVENUES |
483,118 |
480,448 |
1% |
498,985 |
-3% | ||||
|
Non-Interest
Expenses |
|||||||||
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Compensation,
commissions and benefits |
342,492 |
341,370 |
0% |
348,909 |
-2% | ||||
|
Communications
and information processing |
22,059 |
21,354 |
3% |
21,199 |
4% | ||||
|
Occupancy
and equipment costs |
15,822 |
15,229 |
4% |
16,053 |
-1% | ||||
|
Clearance
and floor brokerage |
5,779 |
5,320 |
9% |
5,466 |
6% | ||||
|
Business
development |
15,501 |
13,854 |
12% |
14,744 |
5% | ||||
|
Other |
23,336 |
16,414 |
42% |
27,809 |
-16% | ||||
|
| |||||||||
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TOTAL
NON-INTEREST EXPENSES |
424,989 |
413,541 |
3% |
434,180 |
-2% | ||||
|
Income
before provision for income taxes |
58,129 |
66,907 |
-13% |
64,805 |
-10% | ||||
|
Provision
for income taxes |
23,432 |
23,839 |
-2% |
25,562 |
-8% | ||||
|
Net
Income |
$
34,697 |
$
43,068 |
-19% |
$
39,243 |
-12% | ||||
|
Net
Income per share basic |
$
0.47 |
$
0.59 |
-20% |
$
0.53 |
-11% | ||||
|
Net
Income per share diluted |
$
0.46 |
$
0.58 |
-21% |
$
0.52 |
-12% | ||||
|
Weighted
average common shares |
|||||||||
|
outstanding-basic |
74,874 |
73,352 |
74,002 |
||||||
|
Weighted
average common and common |
|||||||||
|
equivalent
shares outstanding-diluted |
76,305 |
74,395 |
75,334 |
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RAYMOND
JAMES FINANCIAL, INC. AND SUBSIDIARIES | |||||||
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CONSOLIDATED
STATEMENT OF OPERATIONS | |||||||
|
(UNAUDITED) | |||||||
|
Year-to-Date | |||||||
|
(in
thousands, except per share amounts) | |||||||
|
Six
Months Ended | |||||||
|
March
24, |
March
26, |
% | |||||
|
2005 |
2004 |
Change | |||||
|
Revenues: |
|||||||
|
Securities
commissions and fees |
$
698,842 |
$
655,330 |
7% | ||||
|
Investment
banking |
56,499 |
51,791 |
9% | ||||
|
Investment
advisory fees |
76,558 |
66,418 |
15% | ||||
|
Interest |
111,808 |
62,731 |
78% | ||||
|
Net
trading profits |
17,590 |
11,291 |
56% | ||||
|
Financial
service fees |
44,158 |
40,273 |
10% | ||||
|
Other |
31,249 |
28,199 |
11% | ||||
|
TOTAL
REVENUES |
1,036,704 |
916,033 |
13% | ||||
|
Interest
Expense |
54,601 |
21,598 |
153% | ||||
|
NET
REVENUES |
982,103 |
894,435 |
10% | ||||
|
Non-Interest
Expenses |
|||||||
|
Compensation,
commissions and benefits |
691,401 |
642,030 |
8% | ||||
|
Communications
and information processing |
43,258 |
40,550 |
7% | ||||
|
Occupancy
and equipment costs |
31,875 |
30,522 |
4% | ||||
|
Clearance
and floor brokerage |
11,245 |
10,372 |
8% | ||||
|
Business
development |
30,245 |
26,797 |
13% | ||||
|
Other |
51,145 |
38,302 |
34% | ||||
|
| |||||||
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TOTAL
NON-INTEREST EXPENSES |
859,169 |
788,573 |
9% | ||||
|
Income
before provision for income taxes |
122,934 |
105,862 |
16% | ||||
|
Provision
for income taxes |
48,994 |
38,564 |
27% | ||||
|
Net
Income |
$
73,940 |
$
67,298 |
10% | ||||
|
Net
Income per share basic |
$
1.00 |
$
0.92 |
9% | ||||
|
Net
Income per share diluted |
$
0.98 |
$
0.91 |
8% | ||||
|
Weighted
average common shares |
|||||||
|
outstanding-basic |
74,239 |
73,117 |
|||||
|
Weighted
average common and common |
|||||||
|
equivalent
shares outstanding-diluted |
75,622 |
74,254 |
|||||
- 30 -
For
additional information, contact Tracey Bustamante at 727-567-2824.
Please
visit the Raymond James Press Center at raymondjames.com/media.htm.