Lpl financial announces fourth quarter and full year 2024 results
Fourth quarter 2024 key financial results: net income was $271 million , translating to diluted earnings per share ("eps") of $3.59 , up 26% from a year ago adjusted eps* increased 21% year-over-year to $4.25 gross profit* increased 22% year-over-year to $1,228 million core g&a* increased 16% year-over-year to $422 million adjusted ebitda* increased 22% year-over-year to $585 million key business results: total advisory and brokerage assets increased 29% year-over-year to $1.7 trillion advisory assets increased 30% year-over-year to $957 billion advisory assets as a percentage of total assets increased to 55.0%, up from 54.3% a year ago total organic net new assets were $68 billion , representing 17% annualized growth this included $40 billion of assets from prudential advisors ("prudential"), and $2 billion of assets that off-boarded as part of the previously disclosed planned separation from misaligned large osjs. prior to these impacts, organic net new assets were $30 billion, translating to an 8% annualized growth rate recruited assets (1) were a record of $79 billion this included $63 billion of assets from prudential advisor count (2) was 28,888 , up 5,202 sequentially and 6,228 year-over-year this included approximately 2,200 advisors from atria wealth solutions, inc. ("atria"), and approximately 2,800 advisors from prudential total client cash balances were $ 55 billion , an increase of $9 billion sequentially and $7 billion year-over-year client cash balances as a percentage of total assets were 3.2%, up from 2.9% in the prior quarter and down from 3.6% a year ago key capital and liquidity results: corporate cash ( 3 ) was $479 million leverage ratio (4) was 1.89x share repurchases were $100 million and d ividends paid were $23 mill ion full year 2024 key financial results: net income was $ 1.1 billion , translating to diluted eps of $14.03 , up 2% from a year ago adjusted eps* increased 5% year-over-year to $16.51 gross profit* increased 12% year-over-year to $4.50 billion core g&a* increased 11% year-over-year to $1.52 billion adjusted ebitda* increased 7% year-over-year to $2.22 billion key business & capital and liquidity results: total organic net new assets were $141 billion , representing a 10% growth rate, up from 9% in 2023 recruited assets for the year were a record of $149 billion, up approximately 86% from a year ago share repurchases were $170 million and dividends paid were $90 million key updates large institutions: prudential: onboarded the retail wealth management business of prudential, with $63 billion of total assets, of which $40 billion transitioned onto our platform in q4 wintrust financial corporation: in january 2025, onboarded the wealth management business of wintrust investments, llc and certain private client business at great lakes advisors, llc (collectively, "wintrust"), with $16 billion of brokerage and advisory assets, of which $15 billion transitioned onto our platform to-date m&a: atria: closed the acquisition of atria, and expect to complete the conversion in mid-2025 the investment center, inc. ("the investment center"): on track to close and convert the acquisition of the investment center in the first half of 2025 liquidity & succession: deployed approximately $81 million of capital to close 8 deals in q4, including two external practices corporate debt: completed leverage-neutral refinancing of existing $1.0 billion senior secured term loan b with a new $1.0 billion senior unsecured term loan a core g&a: 2024 core g&a* was $1,515 million, within our outlook range of $1,510 million to $1,525 million prior to the impact of prudential and atria, 2024 core g&a* increased by approximately 8% in 2025, we plan to slow the growth of core g&a*, as our ongoing investments to scale our business are driving greater efficiencies our 2025 core g&a* outlook range prior to prudential and atria is 6% to 8% year-over-year growth, or $1,560 million to $1,600 million including expenses related to prudential and atria, our 2025 core g&a* outlook range is $1,730 million to $1,780 million san diego, jan. 30, 2025 (globe newswire) -- lpl financial holdings inc. (nasdaq: lpla) (the "company") today announced results for its fourth quarter ended december 31, 2024, reporting net income of $271 million, or $3.59 per share.
