SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported) July 16, 2003
RAYMOND JAMES FINANCIAL, INC.
(Exact name of registrant as specified in its charter)
Florida 1-9109 No. 59-1517485
................................. ............ ..........................
(State or other jurisdiction of (Commission (I.R.S. Employer
incorporation or organization) File Number) Identification No.)
880 Carillon Parkway, St. Petersburg, Florida 33716
.......................................................................................
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (727) 567-1000
.........................
_____________________________________________________________
(Former name or former address, if changed since last report.
ITEM 7. EXHIBITS
(c) exhibits
99.1 Raymond James Financial Inc.'s Press Release dated July 16, 2003
ITEM 9. REGULATION FD DISCLOSURE
Pursuant to Item 12, Raymond James Financial, Inc. (the Company) is furnishing under Item 9 of this Current Report on Form 8-K the information included as Exhibit 99.1 to this report. Exhibit 99.1 is the Company's second quarter 2003 financial press release issued on July 16, 2003. The press release includes instructions as to how and when to access the Company's complementary quarterly conference call that will be available to all interested persons telephonically and by webcast through the Company's website.
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 thereunto duly authorized.
______July 17, 2003
(Date)
RAYMOND JAMES FINANCIAL, INC.
BY: /s/ Thomas A. James
Thomas A. James
Chairman and Chief
Executive Officer
BY: /s/ Jeffrey P. Julien
Jeffrey P. Julien
Senior Vice President - Finance
and Chief Financial Officer
Exhibit 99.1
Release No. 0703-02
July 16, 2003 FOR IMMEDIATE RELEASE
RAYMOND JAMES FINANCIAL
REPORTS THIRD QUARTER RESULTS
ST. PETERSBURG, Fla. –Raymond James Financial today reported unaudited net income of $23,562,000, or $0.48 per diluted share, for the third quarter ended June 27 on totalrevenues of $389,767,000 compared to net income of $20,393,000, or $0.41 per diluted share, on total revenues of $388,123,000 for fiscal 2002's third quarter.
Unaudited net income for the first nine months of fiscal 2003 was reported at $53,183,000, down from 2002's $57,308,000, while total revenues for the period decreased to $1,084,871,000 from $1,133,273,000 the previous year. Diluted earnings per share were $1.09 versus $1.15 for last year's comparable period.
"Once again, we are reminded of the dependence of the results of the securities industry upon the performance of the equities markets,” states Thomas A. James, chairman of the board and chief executive officer. “The rally in the June quarter fueled increased commission activity, up 5 percent over last year’s comparable period and 13 percent over the immediately preceding March quarter. Excellent Fixed Income trading results also generated favorable comparisons with last year and the March quarter.
“In spite of lower investment banking and investment advisory revenues, due to the even more favorable conditions experienced in the same quarter last year,” he continues, “total net revenues were up 2 percent over last year and 11 percent from the preceding quarter. Abetted by good expense control, profits were more favorably impacted as earnings per share grew 17 percent from last year’s June quarter and 55 percent from the preceding March quarter.
“More importantly,” James emphasizes, “the favorable conditions have continued thus far in July engendering more vibrant activity levels in the
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equity capital markets early in the fourth fiscal quarter. Moreover, higher valuations of assets under management at the end of the third quarter suggest an increase in investmentadvisory fees. Both of these factors augur well for the fourth quarter. As a note of caution, however, the size of this rally and its focus in the large cap technology sector is disquieting and suggests that a correction could dampen results in the final two months of our fiscal year. Nonetheless, in our opinion the longer-term outlook is improving as the economy seems to be picking up steam. If the corporate earnings recovery does continue into fiscal 2004, it should enable us to improve results in fiscal 2004.”
The company will conduct its quarterly conference call Thursday at 4:15 p.m. The telephone number is 800-773-5520. The call will also be available on demand on the company's Web site, www.RaymondJames.com, under About Raymond James Financial, Financial Reports.
Raymond James Financial, Inc. (NYSE - RJF) provides financial services to individuals, corporations and municipalities through its three wholly-owned investment firms, Raymond James & Associates, Raymond James Financial Services and Raymond James Ltd., which have over 4,800 Financial Advisors in more than 1,600 locations throughout the United States, Canada and internationally, as well as through its asset management subsidiaries, which currently manage approximately $17.7 billion.
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Rel. No. 0703-02
Raymond James Financial, Inc. | |||||||||||
Unaudited Report | |||||||||||
For the third quarter ended June 27, 2003 | |||||||||||
(all data in thousands, except per share earnings) | |||||||||||
Third Quarter | Nine Months | ||||||||||
2003 | 2002 | Percent Change | 2003 | 2002 | Percent Change | ||||||
Revenues | $389,767 | $388,123 | 0% | $1,084,871 | $1,133,273 | (4%) | |||||
Net Income | 23,562 | 20,393 | 16% | 53,183 | 57,308 | (7%) | |||||
Earnings Per | |||||||||||
Share - Diluted | 0.48 | 0.41 | 17% | 1.09 | 1.15 | (5%) | |||||
Average Shares | |||||||||||
Outstanding - Diluted | 48,910 | 49,866 | 48,923 | 49,654 | |||||||
Balance Sheet Data | |||||||
June | March | Sept. | June | ||||
2003 | 2003 | 2002 | 2002 | ||||
Total Assets | $7.0 bil. | $6.4 bil. | $6.0 bil. | $6.6 bil. | |||
Shareholders' Equity | $889 mil. | $862 mil. | $840 mil. | $831 mil. | |||
Book Value per share | $18.30 | $17.78 | $17.25 | $17.00 | |||
Quarterly Management Data | |||||||
June | March | Sept. | June | ||||
2003 | 2003 | 2002 | 2002 | ||||
Retail Financial Advisors: | |||||||
US | 4,609 | 4,823 | 4,759 | 4,732 | |||
Canada | 202 | 227 | 235 | 228 | |||
# Lead Managed/Co-Managed | 18 | 4 | 6 | 26 | |||
Financial Assets Under Management | $17.7 bil. | $16.3 bil. | $15.3 bil. | $16.6 bil. | |||
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Rel. No. 0703-02
June | March | Sept. | June | ||||
2003 | 2003 | 2002 | 2002 | ||||
Client Assets | $93.8 bil. | $84.4 bil. | $80.1 bil. | $86.1 bil. | |||
Client Margin Balances | $947 mil. | $913 mil. | 960 mil. | $1,053 mil. | |||
Client Trade Volume | 1,630,000 | 1,466,000 | 1,600,000 | 1,714,000 | |||
# of Client Accounts | 1,286,000 | 1,272,000 | 1,230,000 | 1,224,000 |
Segment Data | ||||||||||||
Third Quarter | Nine Months | |||||||||||
2003 | 2002 | Percent Change | 2003 | 2002 | Percent Change | |||||||
Revenues: | ||||||||||||
Retail | $264,569 | $259,451 | 2% | $729,157 | $752,110 | (3%) | ||||||
Capital Markets | 84,370 | 78,294 | 8% | 231,466 | 237,992 | (3%) | ||||||
Asset Management | 30,277 | 33,607 | (10%) | 89,410 | 98,211 | (9%) | ||||||
RJ Bank | 6,925 | 7,207 | (4%) | 21,972 | 23,350 | (6%) | ||||||
Other | 3,626 | 9,564 | (62%) | 12,866 | 21,610 | (40%) | ||||||
Total | $389,767 | $388,123 | (0%) | $1,084,871 | $1,133,273 | (4%) | ||||||
Pre-tax Income: | ||||||||||||
Retail | $22,167 | $17,282 | 28% | $43,577 | $46,285 | (6%) | ||||||
Capital Markets | 12,362 | 10,009 | 24% | 22,045 | 28,937 | (24%) | ||||||
Asset Management | 4,036 | 4,489 | (10%) | 12,635 | 13,235 | (5%) | ||||||
RJ Bank | 2,707 | 1,350 |
| 101% | 7,747 | 5,021 | 54% | |||||
Other | (3,128) | 809 | (487%) | (225) | 531 | (142%) | ||||||
Total | $38,144 | $33,939 | 12% | $85,779 | $94,009 | (9%) | ||||||
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For additional information, contact
Mike White at 727-567-5171.
Please visit the Raymond James Press Center at http://www.RaymondJames.com/media.htm
RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES | |||||||||||
CONSOLIDATED STATEMENT OF OPERATIONS | |||||||||||
(UNAUDITED) | |||||||||||
Quarter-to-Date | |||||||||||
(in thousands, except per share amounts) | |||||||||||
| Three Months Ended | ||||||||||
June 27 | June 28 | % | March 28 | % | |||||||
2003 | 2002 | change | 2003 | change | |||||||
Revenues: | |||||||||||
Securities commissions and fees | $ 279,929 | $ 266,434 | 5% | $ 247,557 | 13% | ||||||
Investment banking | 12,224 | 23,199 | -47% | 13,740 | -11% | ||||||
Investment advisory fees | 27,829 | 29,745 | -6% | 27,232 | 2% | ||||||
Interest | 32,364 | 38,494 | -16% | 31,000 | 4% | ||||||
Trading profits | 8,491 | 3,125 | 172% | 5,456 | 56% | ||||||
Financial service fees |
| 18,910 | 15,716 | 20% | 15,583 | 21% | |||||
Other | 10,020 | 11,410 | -12% | 9,929 | 1% | ||||||
TOTAL REVENUES | 389,767 | 388,123 | 0% | 350,497 | 11% | ||||||
Interest Expense | 11,776 | 17,178 | -31% | 10,678 | 10% | ||||||
NET REVENUES | 377,991 | 370,945 | 2% | 339,819 | 11% | ||||||
Non-Interest Expenses | |||||||||||
Compensation, commissions and benefits | 270,308 | 263,660 | 3% | 248,951 | 9% | ||||||
Communications and information processing | 19,196 | 18,209 | 5% | 19,842 | -3% | ||||||
Occupancy and equipment costs | 14,811 | 15,524 | -5% | 14,942 | -1% | ||||||
Clearance and floor brokerage | 5,187 | 3,924 | 32% | 4,147 | 25% | ||||||
Business development | 13,424 | 11,939 | 12% | 11,184 | 20% | ||||||
Other | 16,921 | 23,750 | -29% | 16,482 | 3% | ||||||
TOTAL NON-INTEREST EXPENSES | 339,847 | 337,006 | 1% | 315,548 | 8% | ||||||
Income before provision for income taxes | 38,144 | 33,939 | 12% | 24,271 | 57% | ||||||
Provision for income taxes | 14,582 | 13,546 | 8% | 9,077 | 61% | ||||||
Net Income | $ 23,562 | $ 20,393 | 16% | $ 15,194 | 55% | ||||||
Net Income per share basic | $ 0.49 | $ 0.42 | 17% | $ 0.31 | 58% | ||||||
Net Income per share diluted | $ 0.48 | $ 0.41 | 17% | $ 0.31 | 55% | ||||||
Weighted average common shares | |||||||||||
outstanding-basic | 48,526 | 48,864 | 48,468 | ||||||||
Weighted average common and common | |||||||||||
equivalent shares outstanding-diluted | 48,910 | 49,866 | 48,751 | ||||||||
RAYMOND JAMES FINANCIAL, INC. AND SUBSIDIARIES | |||||||
CONSOLIDATED STATEMENT OF OPERATIONS | |||||||
(UNAUDITED) | |||||||
Year-to-Date | |||||||
(in thousands, except per share amounts) | |||||||
Nine Months Ended | |||||||
June 27 | June 28 | % | |||||
2003 | 2002 | change | |||||
Revenues: | |||||||
Securities commissions and fees | $ 765,334 | $ 786,322 | -3% | ||||
Investment banking | 37,171 | 49,417 | -25% | ||||
Investment advisory fees | 81,344 | 87,327 | -7% | ||||
Interest | 98,010 | 122,460 | -20% | ||||
Trading profits | 17,654 | 12,899 | 37% | ||||
Financial Service Fees | 49,999 | 44,019 | 14% | ||||
Other | 35,359 | 30,829 | 15% | ||||
TOTAL REVENUES | 1,084,871 | 1,133,273 | -4% | ||||
Interest Expense | 35,667 | 61,540 | -42% | ||||
NET REVENUES | 1,049,204 | 1,071,733 | -2% | ||||
Non-Interest Expenses | |||||||
Employee compensation | 754,125 | 766,629 | -2% | ||||
Communications and information processing | 58,004 | 58,078 | 0% | ||||
Occupancy and equipment costs | 45,402 | 45,228 | 0% | ||||
Clearance and floor brokerage | 12,864 | 10,916 | 18% | ||||
Business development | 36,885 | 35,798 | 3% | ||||
Other | 56,145 | 61,075 | -8% | ||||
TOTAL NON-INTEREST EXPENSES | 963,425 | 977,724 | -1% | ||||
Income before Income taxes | 85,779 | 94,009 | -9% | ||||
Provision for income taxes | 32,596 | 36,701 | -11% | ||||
Net Income | $ 53,183 | $ 57,308 | -7% | ||||
Net Income per share basic | $ 1.09 | $ 1.18 | -8% | ||||
Net Income per share diluted | $ 1.09 | $ 1.15 | -5% | ||||
Weighted average common shares | |||||||
outstanding-basic | 48,585 | 48,667 | |||||
Weighted average common and common | |||||||
equivalent shares outstanding-diluted | 48,923 | 49,654 | |||||
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