&n bsp;
STIFEL FINANCIAL CORP.
Form 8-K Dated August 10, 2009
Exhibit 99: Press Release
[Stifel Financial Corp. logo] Stifel Financial News
One Financial Plaza
501 North Broadway
St. Louis, MO 63102
(314) 342-2000 |
For further information contact:
James M. Zemlyak, Chief Financial Officer
(314) 342-2228 zemlyakj@stifel.com
For Immediate Release
Stifel Financial Corp. Announces 2009 Second Quarter Results
Record Quarterly Net Revenues of $261.5 million up 25%,
Record 1st Half Net Revenues of $481.5 million, up 15%
St. Louis, Missouri- August 10, 2009- Stifel Financial Corp. (NYSE: "SF") today reported unaudited quarterly net income of $15.8 million, or $0.51 per diluted share, on record net revenues of $261.5 million for the quarter ended June 30, 2009. For the comparable quarter of 2008, net income was $12.3 million, or $0.45 per diluted share, on net revenues of $209.0 million. For the six months ended June 30, 2009, we posted net income of $29.0 million, or $0.94 per diluted share, on record six month net revenues of $481.5 million, compared with $26.7 million, or $0.99 per diluted share, on net revenues of $420.4 million, for the same period one year earlier. Our 2008 second quarter and first half included acquisition charges of $4.0 million, or $0.15 per diluted share, and $8.0 million, or $0.30 per diluted share, respectively. All prior period share and earnings per share amounts have been retroactively restated to reflect the three-for-two stock split distributed in June 2008.
At June 30, 2009, our stockholders' equity was $702.7 million, resulting in book value per share of $24.86.
Chairman's Comments
Chairman and Chief Executive Officer, Ronald J. Kruszewski, commented, "All things considered, we are reporting a very acceptable quarter and first half of the year. Our record second quarter and year to date net revenues were driven by a very strong performance by our capital markets segment, in particular in fixed income sales and trading, which further validates our 2005 acquisition of Legg Mason Capital Markets and our continued commitment to take advantage of opportunities as they arise. While our profit margins have declined as we build our infrastructure to absorb the upcoming conversion of the UBS branches in the third quarter and the organic growth we've experienced, we are poised to take advantage of the economies of scale we have added over the past year across all segments." Mr. Kruszewski continued, " As a result of our previously announced hiring of Victor Nesi as co-head of capital markets, we have changed our management of the equity and fixed income capital markets segments and consequently the reporting of those segments will be combined effective June 30, 2009 and retrospectively. "
Stifel Financial Corp. |
Summary of Results of Operations(Unaudited) |
($ In Thousands, Except Per Share Amounts) |
| | Three Months Ended | Percent Change From | Six Months Ended | Change |
| 6/30/2009 | 3/31/2009 | 6/30/2008 | 3/31/2009 | 6/30/2008 | 6/30/2009 | 6/30/2008 | Percent |
Total Revenues | $ 264,550 | $ 222,332 | $ 214,020 | 19% | 24% | $ 486,882 | $ 431,262 | 13% |
Net Revenues | $ 261,505 | $ 219,981 | $ 208,951 | 19% | 25% | $ 481,486 | $ 420,428 | 15% |
Net Income | $ 15,815 | $ 13,177 | $ 12,332 | 20% | 28% | $ 28,992 | $ 26,679 | 9% |
Per Share Information |
| Three Months Ended | Percent Change From | Six Months Ended | Change |
| 6/30/2009 | 3/31/2009 | 6/30/2008 | 3/31/2009 | 6/30/2008 | 6/30/2009 | 6/30/2008 | Percent |
Earnings Per Share: Diluted | $ 0.51 | $ 0.44 | $ 0.45 | 16% | 13% | $ 0.94 | $ 0.99 | -5% |
Weighed average common equivalent share Computations: Diluted shares | 31,270 | 30,198 | 27,229 | 4% | 15% | 30,752 | 26,931 | 14% |
|
Stifel Financial Corp. |
Summary of Results of Operations(Unaudited) |
($ In Thousands, Except Per Share Amounts) |
| Three Months Ended | Percent Change From |
Net Revenues | 6/30/2009 | % of Net Revenues | 3/31/2009 | % of Net Revenues | 6/30/2008 | % of Net Revenues | 3/31/2009 | 6/30/2008 |
Commissions | $ 80,721 | 30.9% | $ 74,610 | 33.9% | $ 83,063 | 39.8% | 8% | -3% |
Principal transactions | 121,261 | 46.4% | 97,278 | 44.2% | 65,674 | 31.4% | 25% | 85% |
Investment banking | 24,702 | 9.5% | 15,504 | 7.1% | 20,935 | 10.0% | 59% | 18% |
Asset management and service fees | 24,543 | 9.4% | 24,933 | 11.3% | 29,966 | 14.3% | -2% | -18% |
Other | 2,739 | 1.0% | 115 | 0.1% | 1,715 | 0.8% | 2282% | 60% |
Total operating revenues | 253,966 | 97.1% | 212,440 | 96.6% | 201,353 | 96.3% | 20% | 26% |
Interest revenue | 10,584 | 4.0% | 9,892 | 4.5% | 12,667 | 6.1% | 7% | -16% |
Total revenues | 264,550 | 101.2% | 222,332 | 101.1% | 214,020 | 102.4% | 19% | 24% |
Less: Interest expense | 3,045 | 1.2% | 2,351 | 1.1% | 5,069 | 2.4% | 30% | -40% |
Net revenues | 261,505 | 100.0% | 219,981 | 100.0% | 208,951 | 100.0% | 19% | 25% |
Non-Interest Expenses | | | | | | | | |
Employee compensation and benefits | 175,881 | 67.3% | 147,840 | 67.2% | 144,795 | 69.3% | 19% | 21% |
Occupancy and equipment rental | 20,714 | 7.9% | 17,867 | 8.1% | 16,010 | 7.6% | 16% | 29% |
Communication and office supplies | 13,129 | 5.0% | 11,845 | 5.4% | 9,748 | 4.7% | 11% | 35% |
Commissions and floor brokerage | 6,321 | 2.4% | 4,360 | 2.0% | 3,486 | 1.7% | 45% | 81% |
Other operating expenses | 19,351 | 7.4% | 15,914 | 7.2% | 14,762 | 7.1% | 22% | 31% |
Total non-interest expenses | 235,396 | 90.0% | 197,826 | 89.9% | 188,801 | 90.4% | 19% | 25% |
Income before income taxes | 26,109 | 10.0% | 22,155 | 10.1% | 20,150 | 9.6% | 18% | 30% |
Provision for income taxes | 10,294 | 3.9% | 8,978 | 4.1% | 7,818 | 3.7% | 15% | 32% |
Net income | $ 15,815 | 6.1% | $ 13,177 | 6.0% | $ 12,332 | 5.9% | 20% | 28% |
Per Share information |
Earnings Per Share: | | | | | | | | |
Basic | $ 0.58 | | $ 0.49 | | $ 0.53 | | 18% | 9% |
Diluted | $ 0.51 | | $ 0.44 | | $ 0.45 | | 16% | 13% |
| | | | | | | | |
Weighted average common equivalent shares | | | | | | | |
Basic shares | 27,455 | | 26,772 | | 23,449 | | 3% | 17% |
Diluted shares | 31,270 | | 30,198 | | 27,229 | | 4% | 15% |
Statistical Information |
Book Value Per Share | $ 24.86 | | $ 23.19 | | $ 19.75 | | 7% | 26% |
Investment Executives | 1,562 | | 1,394 | | 1,178 | | 12% | 33% |
Full-Time Employees | 3,849 | | 3,560 | | 3,053 | | 8% | 26% |
Locations | 239 | | 230 | | 185 | | 4% | 29% |
Total Client Assets (in thousands) | $ 64,653,000 | | $ 54,854,000 | | $58,060,000 | | 18% | 11% |
| | | | | | | | | | |
| Six Months Ended | |
Net Revenues | 6/30/2009 | % of Net Revenues | 6/30/2008 | % of Net Revenues | % Change |
Commissions | $ 155,331 | 32.3% | $ 168,764 | 40.1% | -8% |
Principal transactions | 218,539 | 45.4% | 132,611 | 31.6% | 65% |
Investment banking | 40,206 | 8.4% | 42,779 | 10.2% | -6% |
Asset management and service fees | 49,476 | 10.3% | 60,244 | 14.3% | -18% |
Other | 2,854 | 0.4% | 508 | 0.1% | 462% |
Total operating revenues | 466,406 | 96.8% | 404,906 | 96.3% | 15% |
Interest revenue | 20,476 | 4.3% | 26,356 | 6.3% | -22% |
Total revenues | 486,882 | 101.1% | 431,262 | 102.6% | 13% |
Less: Interest expense | 5,396 | 1.1% | 10,834 | 2.6% | -50% |
Net revenues | 481,486 | 100.0% | 420,428 | 100.0% | 15% |
Non-Interest Expenses | | | | | |
Employee compensation and benefits | 323,721 | 67.3% | 290,825 | 69.2% | 11% |
Occupancy and equipment rental | 38,581 | 8.0% | 31,726 | 7.5% | 22% |
Communication and office supplies | 24,974 | 5.2% | 21,695 | 5.2% | 15% |
Commissions and floor brokerage | 10,681 | 2.2% | 3,967 | 0.9% | 169% |
Other operating expenses | 35,265 | 7.3% | 28,140 | 6.7% | 25% |
Total non-interest expenses | 433,222 | 90.0% | 376,353 | 89.5% | 15% |
Income before income taxes | 48,264 | 10.0% | 44,075 | 10.5% | 10% |
Provision for income taxes | 19,272 | 4.0% | 17,396 | 4.1% | 11% |
Net income | $ 28,992 | 6.0% | $ 26,679 | 6.4% | 9% |
Per Share information |
Revenues: | 6/30/2009 | | 6/30/2008 | | % Change |
Earnings Per Share: | | | | | |
Basic | $ 1.07 | | $ 1.14 | | -6% |
Diluted | $ 0.94 | | $ 0.99 | | -5% |
Weighted average common equivalent shares | | | | |
Basic shares | 27,116 | | 23,363 | | 16% |
Diluted shares | 30,752 | | 26,931 | | 14% |
| | | | | | |
Review of Business Highlights
Second Quarter Highlights
For the three months ended June 30, 2009, we posted record net revenues of $261.5 million, a 25% increase from the prior year second quarter and a 19% increase from the first quarter of 2009. Our revenue growth was primarily derived from increased principal transactions and investment banking offset by a decline in commissions and asset management fees. Net income of $15.8 million, or $0.51 per diluted share, increased 28% over the prior year second quarter and increased 20% from the first quarter of 2009. &nb sp;
We completed an "at the market" common stock offering where we sold 1,000,000 shares at a weighted average price of $45.00 per share.
Revenues
Commission revenue of $80.7 million decreased 3% from the 2008 second quarter and increased 8% from the first quarter of 2009.
Principal transactions revenue of $121.3 million increased 85% over the prior year second quarter and increased 25% from the first quarter of 2009. Principal transactions increased in the Private Client
Group ("PCG") and Capital Markets ("CM") segments, primarily in corporate, government and municipal debt and corporate equity.
Investment banking revenue increased 18% to $24.7 million from the prior year second quarter and increased 59% from the first quarter of 2009. Capital raising revenues increased 21% to $14.2 million
as compared to the prior year second quarter and increased 159% from the first quarter of 2009. Strategic advisory fees increased 15% to $10.5 million as compared to the prior year second quarter
and increased 5% from the first quarter of 2009.
Asset management and service fees revenue decreased 18% to $24.5 million from the prior year second quarter primarily as a result of a 24% decrease in the value of assets in fee based client accounts,
and decreased 2% from the first quarter of 2009, primarily as a result of a 2% decrease in the value of assets in fee based client accounts.
Non-interest expenses
Employee compensation and benefits increased 21% to $175.9 million from the prior year second quarter and increased 19% from the first quarter of 2009, primarily due to increased production and
headcount associated with the expansion of our PCG and CM segments. Compensation and benefits includes $13.4 million or 5.1% of net revenues, of amortization of hiring incentives.
Non-compensation operating expenses increased 35% to $59.5 million from the prior year second quarter, and increased 18% from the first quarter of 2009 primarily due to the aforementioned
expansion of our PCG and CM segments.
YTD Highlights
For the six months ended June 30, 2009, we posted record net revenues of $481.5 million, a 15% increase for the six months as compared to the first six months of 2008. Our revenue growth was primarily derived from increased principal transactions offset by a decline in commissions, investment banking, and asset management fees. Net income increased 9% to $29.0 million, or $0.94 per diluted share.
We announced an agreement to acquire from UBS Financial Services Inc. 56 branches from UBS Wealth Management Americas branch network.
Revenues
Commission revenue of $155.3 million decreased 8% from the 2008 first six months.
Principal transactions revenue increased 65% to $218.6 million from the prior year six months. Principal transactions increased in the PCG and CM segments, primarily in corporate, government and
municipal debt and corporate equity.
Investment banking revenue decreased 6% to $40.2 million from the prior year six months as a result of the industry wide decline in common stock offerings and mergers and acquisitions, primarily in the
first quarter. Capital raising revenues decreased 21% to $19.7 million while strategic advisory fees increased 14% to $20.5 million as compared to the first six months of 2008.
Asset management and service fees revenue decreased 18% to $49.5 million from the prior year six months, primarily as a result of a 25% decrease in the value of assets in fee based client accounts.
Customer margin revenue decreased $6.7 million or 55% from the prior year six months, primarily as a result of a decrease in the margin receivables due to market volatility.
Non-interest expenses
Employee compensation and benefits increased 11% to $323.7 million from the prior year six months, primarily due to increased production and headcount associated with the expansion of our PCG and
CM segments in the first half of 2009. Compensation and benefits includes $25.1 million, or 5.2% of net revenues, of amortization of hiring incentives.
Non-compensation operating expenses increased 28% to $109.5 million from the prior year six months, primarily due to the aforementioned expansion of our PCG and CM segments in the first half of
2009.
Business Segment Results
Stifel Financial Corp. |
Summary of Segment Data (Unaudited) |
Segment Data ($ In Thousands) |
| | Three Months Ended | Percent Change From | Six Months Ended | Change |
Net Revenues | 6/30/2009 | 3/31/2009 | 6/30/2008 | 3/31/2009 | 6/30/2008 | 6/30/2009 | 6/30/2008 | Percent |
Private Client | $ 131,164 | $ 110,524 | $ 120,999 | 19% | 8% | $ 241,688 | $ 235,852 | 2% |
Capital Markets | 125,136 | 105,472 | 82,720 | 19% | 51% | 230,608 | 175,950 | 31% |
Stifel Bank | 4,146 | 3,640 | 3,237 | 14% | 28% | 7,786 | 5,319 | 46% |
Other | 1,059 | 345 | 1,995 | 207% | -47% | 1,404 | 3,307 | -58% |
Total net revenues | $ 261,505 | $ 219,981 | $ 208,951 | 19% | 25% | $ 481,486 | $ 420,428 | 14% |
Operating Contribution | | | | | | | | |
Private Client | $ 20,636 | $ 15,460 | $ 29,856 | 33% | -31% | $ 36,096 | $ 55,461 | -35% |
Capital Markets | 31,850 | 26,034 | 15,370 | 22% | 107% | 57,884 | 37,210 | 56% |
Stifel Bank | 1,671 | 1,774 | 422 | -6% | 296% | 3,445 | 731 | 371% |
Other/unallocated overhead | (28,048) | (21,113) | (25,498) | n/a | n/a | (49,161) | (49,327) | n/a |
Income before income taxes | $ 26,109 | $ 22,155 | $ 20,150 | 18% | 30% | $ 48,264 | $ 44,075 | 10% |
Private Client Group Segment
Second Quarter Highlights
Net revenues of $131.2 million, an 8% increase over the prior year second quarter and a 19% increase from the first quarter of 2009.
Operating contribution of $20.6 million, a 31% decrease over the prior year second quarter and a 33% increase from the first quarter of 2009.
Commissions and principal transactions revenue increased 24% over the prior year second quarter and increased 24% from the first quarter of 2009.
Investment banking revenues decreased 54% from the prior year second quarter and increased 37% from the first quarter of 2009.
Asset management and service fees revenue decreased 18% from the prior year second quarter and decreased 2% from the first quarter of 2009.
For the three months ended March 31, 2009, employee compensation and benefits was 63% of net revenues compared to 60% for the same period last year and 65% for the first quarter of 2009.
YTD Highlights
Net revenues of $241.7 million, a 2% increase over the prior year first six months.
Operating contribution of $36.1 million, a 35% decrease over the same period last year.
Commission and principal transactions revenue increased 14% over the previous year first six months.
Investment banking revenue, which represents sales commissions on capital raising activities, decreased 52% from the prior year six months.
Asset management and service fees revenue decreased 18% from the prior year first six months.
For the six months ended June 30, 2009, employee compensation and benefits was 64% of net revenues compared to 62% for the same period last year.
We completed the integration of Butler Wick PCG offices we acquired on December 31, 2008.
We added 36 PCG offices and 351 Financial Advisors, including 17 offices and 67 Financial Advisors from Butler Wick, in the first six months as part of our ongoing footprint expansion efforts.
We announced an agreement to acquire from UBS Financial Services Inc. 56 branches from UBS Wealth Management Americas branch network.
Stifel Financial Corp. |
Private Client Group Segment Data (Unaudited) |
($ in thousands) |
| Three Months Ended | Percent Change From | Six Months Ended | Change |
Revenues: | 6/30/2009 | 3/31/2009 | 6/30/2008 | 3/31/2009 | 6/30/2008 | 6/30/2009 | 6/30/2008 | Percent |
Commissions | $ 52,091 | $ 43,215 | $ 49,311 | 21% | 6% | $ 95,307 | $ 97,297 | -2% |
Principal transactions | 48,759 | 38,438 | 32,229 | 27% | 51% | 87,196 | 62,195 | 40% |
Investment banking | 2,843 | 2,070 | 6,216 | 37% | -54% | 4,913 | 10,319 | -52% |
Asset management and service fees | 24,452 | 24,831 | 29,941 | -2% | -18% | 49,283 | 60,088 | -18% |
Net interest & other | 3,019 | 1,970 | 3,302 | 53% | -9% | 4,989 | 5,953 | -16% |
Total net revenues | 131,164 | 110,524 | 120,999 | 19% | 8% | 241,688 | 235,852 | 2% |
Non-interest expenses: | | | | | | | | |
Employee compensation and benefits | 83,208 | 72,218 | 72,691 | 15% | 14% | 155,426 | 145,536 | 7% |
Other non-interest expenses | 27,320 | 22,846 | 18,452 | 20% | 48% | 50,166 | 34,855 | 44% |
Total non-interest expenses | 110,528 | 95,064 | 91,143 | 16% | 21% | 205,592 | 180,391 | 14% |
Income before income taxes | $ 20,636 | $ 15,460 | $ 29,856 | 33% | -31% | $ 36,096 | $ 55,461 | -35% |
Ratios to Net Revenues | | | | | | | | |
Employee compensation and benefits | 63% | 65% | 60% | | | 64% | 62% | |
Other non-interest expenses | 21% | 21% | 15% | | | 21% | 15% | |
Net margins | 16% | 14% | 25% | | | 15% | 24% | |
Capital Markets Segment
Second Quarter Highlights
Net revenues of $125.1 million, a 51% increase over the prior year second quarter and a 19% increase from the first quarter of 2009. Our Capital Markets segment consists of Equity Capital Markets
("ECM") and Fixed Income Capital Markets ("FICM"). ECM had net revenues of $55.9 million, a 16% increase over the prior year second quarter and a 19% increase from the first quarter 2009. FICM
had net revenues of $69.2 million a 100% increase over the prior year second quarter and a 19% increase from the first quarter 2009.
Operating contribution of $31.9 million, a 107% increase over the prior year second quarter and a 22% increase from the first quarter of 2009.
Commissions and principal transactions revenue increased 51% over the prior year second quarter and increased 12% from the first quarter of 2009. ECM increased 6% to $38.1 million from the prior
year second quarter and increased 4% from the first quarter of 2009. FICM increased 101% to $63.1 million from the prior year second quarter and increased 18% from the first quarter of 2009.
Investment banking revenues increased 49% over the prior year second quarter and increased 63% from the first quarter of 2009. ECM increased 47% from the prior year second quarter and increased
73% from the first quarter of 2009. FICM increased 54% from the prior year second quarter and increased 32% from the first quarter of 2009.
Net margins were 25% compared to 19% for the prior year second quarter and 25% in the first quarter 2009.
For the three months ended June 30, 2009, employee compensation and benefits was 59% of net revenues compared to 64% for the prior year second quarter and 59% for the first quarter 2009.
YTD Highlights
Net revenues of $230.6 million, a 31% increase over the prior year first six months. ECM had net revenues of $103.0 million, a 6% increase over the prior year first six months. FICM had net revenues
of $127.6 million, a 62% increase over the prior year first six months.
Commission and principal transactions revenue increased 35% over the same period last year. ECM and FICM commission and principal transactions increased 6% and 63% to $74.9 million and $116.5
million, respectively, over the prior year first six months.
Investment banking revenue increased 9% from the prior years six months. ECM and FICM investment banking revenue increased 5% and 22%, respectively, over the prior year first six months.
For the six months ended June 30, 2009, employee compensation and benefits was 59% of net revenues compared to 62% for the same period last year.
Net margins were 25% compared to 21% in the prior year six month period.
We added 32 revenue producers in the first six months of 2009.
Stifel Financial Corp. |
Capital Markets Group Segment Data (Unaudited) |
($ in thousands) |
| Three Months Ended | Percent Change From | Six Months Ended | Change |
Revenues: | 6/30/2009 | 3/31/2009 | 6/30/2008 | 3/31/2009 | 6/30/2008 | 6/30/2009 | 6/30/2008 | Percent |
Commissions | $ 28,630 | $ 31,395 | $ 33,752 | 9% | -15% | $ 60,024 | $ 71,467 | -20% |
Principal transactions | 72,502 | 58,840 | 33,445 | 23% | 117% | 131,343 | 70,416 | 87% |
Capital raising | 11,391 | 3,429 | 5,595 | 232% | 104% | 14,820 | 14,524 | 2% |
Advisory fees | 10,467 | 10,006 | 9,124 | 5% | 15% | 20,473 | 17,936 | 14% |
Investment banking | 21,858 | 13,435 | 14,719 | 63% | 49% | 35,293 | 32,460 | 9% |
Net interest & other | 2,146 | 1,802 | 804 | 19% | 167% | 3,948 | 1,607 | 146% |
Total net revenues | 125,136 | 105,472 | 82,720 | 19% | 51% | 230,608 | 175,950 | 31% |
Non-interest expenses: | | | | | | | | |
Employee compensation and benefits | 74,250 | 62,518 | 52,615 | 19% | 41% | 136,768 | 109,845 | 25% |
Other non-interest expenses | 19,036 | 16,920 | 14,735 | 13% | 29% | 35,956 | 28,895 | 24% |
Total non-interest expenses | 93,286 | 79,438 | 67,350 | 17% | 39% | 172,724 | 138,740 | 24% |
Income before income taxes | $ 31,850 | $ 26,034 | $ 15,370 | 22% | 107% | $ 57,884 | $ 37,210 | 56% |
| | | | | | | | |
Ratios to Net Revenues | | | | | | | | |
Employee compensation and benefits | 59% | 59% | 64% | | | 59% | 62% | |
Other non-interest expenses | 15% | 16% | 18% | | | 16% | 16% | |
Net margins | 25% | 25% | 19% | | | 25% | 21% | |
Stifel Bank Segment
Second Quarter Highlights
Net revenues of $4.1 million increased 22% over the prior year second quarter and increased 14% over the first quarter of 2009.
Operating contributions of $1.7 million increased 296% over the prior year second quarter and decreased 6% from the first quarter of 2009.
Total retained loans, net, increased 8% from the prior year second quarter and decreased 1% over the first quarter of 2009.
Total assets increased 77% over the prior year second quarter, and increased 2% over the first quarter of 2009.
Non-performing loans as a percentage of total assets were 0.84%, an increase from 0.41% in the prior year second quarter and increased from 0.48% in the first quarter of 2009.
YTD Highlights
Net revenues of $7.8 million increased 46% over the prior year first six months.
Operating contribution of $3.4 million increased 371% over the prior year first six months
Total retained loans, net, increased 8% over the prior year.
Total assets increased 79% over the prior year.
Total deposits increased 112% over the prior year.
Stifel Financial Corp. |
Stifel Bank & Trust Segment Data & Statistical Information (Unaudited) |
($ in thousands) |
| Three Months Ended | Percent Change From | Six Months Ended | Change |
Revenues: | 6/30/2009 | 3/31/2009 | 6/30/2008 | 3/31/2009 | 6/30/2008 | 6/30/2009 | 6/30/2008 | Percent |
Interest | $ 3,778 | $ 3,656 | $ 3,811 | 3% | -1% | $ 7,434 | $ 7,362 | 1% |
Other | 1,376 | 670 | 862 | 105% | 60% | 2,046 | 1,109 | 84% |
Total revenues | 5,154 | 4,326 | 4,673 | 19% | 10% | 9,480 | 8,471 | 12% |
Less: Interest expense | 1,008 | 686 | 1,436 | 47% | -30% | 1,694 | 3,152 | -46% |
Total net revenues | 4,146 | 3,640 | 3,237 | 14% | 28% | 7,786 | 5,319 | 46% |
| | | | | | | | |
Employee compensation and benefits | 621 | 411 | 978 | 51% | -37% | 1,032 | 1,737 | -41% |
Other non-interest expenses | 1,854 | 1,455 | 1,837 | 27% | 1% | 3,309 | 2,851 | 16% |
Total non-interest expenses | 2,475 | 1,866 | 2,815 | 33% | -12% | 4,341 | 4,588 | -5% |
Income before income taxes | $ 1,671 | $ 1,774 | $ 422 | -6% | 296% | $ 3,445 | $ 731 | 371% |
As Of | 6/30/2009 | 3/31/2009 | 6/30/2008 | | | | | |
Total assets | $ 532,308 | $ 521,224 | $ 301,511 | | | | | |
Total retained loans, net | $ 181,580 | $ 182,841 | $ 168,904 | | | | | |
Total loans held for sale, net | $ 43,320 | $ 31,108 | $ 17,301 | | | | | |
Total deposits | $ 470,430 | $ 459,305 | $ 222,249 | | | | | |
Allowance for loan losses as a % of loans | 1.66% | 1.47% | 1.18% | | | | | |
Total non-performing loans as a % of assets | 0.84% | 0.48% | 0.41% | | | | | |
Statement of Financial Condition Highlights (Unaudited)
Total assets increased 36% to $2.3 billion at June 30, 2009 from $1.7 billion at June 30, 2008. Total stockholders' equity increased $237.6 million, or 51%, to $702.7 million at June 30, 2009, principally due to funds from our ATM equity offering, net income, and amortization of stock-based awards.
At June 30, 2009, the Company reported total securities owned and investments at fair value of $645.6 million, which included securities categorized as level 3 of $70.9 million.
Conference Call Information
Stifel Financial Corp. will hold a conference call Monday, August 10, 2009, at 4:30 p.m. Eastern. This call will be Web cast and slides can be accessed on the Investor Relations portion of the Stifel Financial Corp. website at www.stifel.com, as well as on all sites within Thomson/CCBN's Investor Distribution Network. Questions may be posed to management by participants on the call, and in response, the company may disclose additional material information. To participate in the question and answer portion on the call, please dial 888-676-3684 and request the Stifel Financial Corp. earnings call. The subjects to be covered may also contain forward-looking information.
Company Information
Stifel Financial Corp. operates 241 offices in 37 states and the District of Columbia through its principal subsidiary, Stifel Nicolaus and Company, Inc., and 3 European offices through Stifel Nicolaus Limited. Stifel Nicolaus provides securities brokerage, investment banking, trading, investment advisory, commercial and retail banking and related financial services to individual investors, professional money managers, businesses, and municipalities. Stifel Bank & Trust offers a full range of consumer and commercial lending solutions. To learn more about Stifel, please visit the Company's web site at www.stifel.com.
Forward-Looking Statements
This press release contains certain statements that may be deemed to be "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements in this press release not dealing with historical results are forward-looking and are based on various assumptions. The forward-looking statements in this press release are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in or implied by the statements. Factors that may cause actual results to differ materially from those contemplated by such forward-looking statements include, among other things, the following possibilities: the ability to successfully integrate the acquired companies or to complete the acquisition of the branch offices and financial advisors as part of the our transaction with UBS; a material adverse change in the financial condition; the risk of borrower, depositor and other customer attrition; a change in general business and economic conditions; changes in the interest rate environment, deposit flows, loan demand, real estate values, and competition; changes in accounting principles, policies or guidelines; changes in legislation and regulation; other economic, competitive, governmental, regulatory, geopolitical, and technological factors affecting the companies' operations, pricing, and services; and other risk factors referred to from time to time in filings made by Stifel with the Securities and Exchange Commission. Forward-looking statements speak only as to the date they are made. Stifel does not undertake to update forward-looking statements to reflect circumstances or events that occur after the date the forward-looking statements are made. Stifel disclaims any intent or obligation to update these forward-looking statements.
