Stifel Financial (SF) 8-K Stifel Reports Fourth Quarter and Full-year 2013 Financial Results

4

th

Quarter and Full-Year 2013

Financial Results Presentation

February 24, 2014

Exhibit 99.2

Disclaimer

Forward-Looking Statements

This

presentation

may

contain

“forward-looking

statements”

within

the

meaning

of

the

Private

Securities

Litigation

Reform

Act

of

1995

that

involve

significant

risks,

assumptions,

and

uncertainties,

including

statements

relating

to

the

market

opportunity

and

future

business

prospects

of

Stifel

Financial

Corp.,

as

well

as

Stifel,

Nicolaus

&

Company,

Incorporated

and

its

subsidiaries

(collectively,

“SF”

or

the

“Company”).

These

statements

can

be

identified

by

the

use

of

the

words

“may,”

“will,”

“should,”

“could,”

“would,”

“plan,”

“potential,”

“estimate,”

“project,”

“believe,”

“intend,”

“anticipate,”

“expect,”

and

similar

expressions.

In

particular,

these

statements

may

refer

to

our

goals,

intentions,

and

expectations,

our

business

plans

and

growth

strategies,

our

ability

to

integrate

and

manage

our

acquired

businesses,

estimates

of

our

risks

and

future

costs

and

benefits,

and

forecasted

demographic

and

economic

trends

relating

to

our

industry.

You

should

not

place

undue

reliance

on

any

forward-looking

statements,

which

speak

only

as

of

the

date

they

were

made.

We

will

not

update

these

forward-looking

statements,

even

though

our

situation

may

change

in

the

future,

unless

we

are

obligated

to

do

so

under

federal securities

laws.  

Actual

results

may

differ

materially

and

reported

results

should

not

be

considered

as

an

indication

of

future

performance.

Factors

that

could

cause

actual

results

to

differ

are

included

in

the

Company’s

annual

and

quarterly

reports

and

from

time

to

time

in

other

reports

filed

by

the

Company

with

the

Securities

and

Exchange

Commission

and

include,

among

other

things,

changes

in

general

economic

and

business

conditions,

actions

of

competitors,

regulatory

and

legal

actions,

changes

in

legislation,

and

technology

changes.

Use of Non-GAAP Financial Measures

The

Company

utilized

non-GAAP

calculations

of

presented

net

revenues,

compensation

and

benefits,

non-compensation

operating

expenses,

income

before

income

taxes,

provision

for

income

taxes,

net

income,

compensation

and

non-compensation

operating

expense

ratios,

pre-tax

margin

and

diluted

earnings

per

share

as

an

additional

measure

to

aid

in

understanding

and

analyzing

the

Company’s

financial

results

for

the

three

and

six

months

ended

June

30,

2013.

Specifically,

the

Company

believes

that

the

non-GAAP

measures

provide

useful

information

by

excluding

certain

items

that

may

not

be

indicative

of

the

Company’s

core

operating

results

and

business

outlook.

The

Company

believes

that

these

non-GAAP

measures

will

allow

for

a

better

evaluation

of

the

operating

performance

of

the

business

and

facilitate

a

meaningful

comparison

of

the

Company’s

results

in

the

current

period

to

those

in

prior

periods

and

future

periods.

Reference

to

these

non-GAAP

measures

should

not

be

considered

as

a

substitute

for

results

that

are

presented

in

a

manner

consistent

with

GAAP.

These

non-GAAP

measures

are

provided

to

enhance

investors'

overall

understanding

of

the

Company’s

financial

performance.

Chairman’s Comments

“We

are

very

pleased

to

post

our

18th

consecutive

year

of

record

net

revenues.

This

speaks

to

the

dedication

of

our

over

5,800

professionals,

as

well

as

to

our

balanced

business

model.

Non-GAAP

net

income

from

continuing

operations

for

the

year

improved

over

the

prior

year

as

a

result

of

both

better

market

conditions

and

the

benefits

of

our

recent

acquisitions.

Looking

forward,

we

will

continue

to

take

advantage

of

opportunities

in

the

marketplace

that

add

to

shareholder

value.”

Market Overview

Domestic Equity Flows

Equity Risk Premium

(1)

(1)

Based on the Daily Treasury Yield Curve Rates I10 year)

Source: Investment Company Institute

2013: A Year in Review

Stifel’s 18

th

Consecutive Year of Record Net Revenues

•

Successfully completed the merger and integration with KBW.

•

Acquired and integrated the fixed income business of Knight Capital Group in July of 2013, adding to Stifel’s

already impressive fixed income capabilities.

•

The Institutional Group achieved record flow levels and record investment banking revenues.

Continued to

gain market share in the year and completed a number of unique and high profile financings for clients.

•

Assets at Stifel Bank reached $5.1 billion, while the risk profile remained conservative.

•

Welcomed Ziegler Lotsoff Capital Management to the firm’s asset management efforts.

•

Welcomed 138 new Financial Advisors to the Private Client Group and opened 11 new offices in 2013.

•

Strong stock performance, which ended the year at $47.92 up 49% from the start of the year. In the last

fifteen years SF is up over 1,340%.

Stifel’s Stock

Performance

Top Performing Stock

Cumulative Price Appreciation as of December 31, 2013

Financial

Results

Stifel Financial Corp. Results

Three months ended December 31, 2013

(1)

Non-core

adjustments

consist

of

merger-related

revenues

and

expenses

associated

with

our

acquisitions

of

KBW,

the

Knight

Capital

Fixed

Income

business,

and

Miller

Buckfire

and

discontinued

operations

of

SN

Canada.

(2)

Core

(non-GAAP)

results

for

the

three

months

ended

December

31,

2012

are

the

same

as

GAAP

results.

Results

for

the

three

months

ended

September

30,

2013

are

Core

(non-GAAP).

_________________________________________________________

($ in thousands, except per share amounts)

Non-GAAP

Non-Core

GAAP

12/31/12

% Change

9/30/13

% Change

Total revenues

576,236

$       

(2,080)

$          

574,156

$       

419,885

$       

37.2%

491,169

$    

17.3%

Interest expense

11,555

75

11,630

8,602

34.3%

11,535

0.2%

Net revenues

564,681

(2,155)

562,526

411,283

37.3%

479,634

$    

17.7%

Compensation and benefits

347,263

5,944

353,207

258,148

34.5%

297,374

16.8%

Non-comp operating expenses

126,990

4,340

131,330

92,784

36.9%

116,817

8.7%

Total non-interest expenses

474,253

10,284

484,537

350,932

35.1%

414,191

14.5%

Income from continuing operations before income taxes

90,428

(12,439)

77,989

60,351

49.8%

65,443

38.2%

Provision for income taxes

30,609

(4,746)

25,863

17,067

79.3%

25,795

18.7%

Net income from continuing operations

59,819

$         

(7,693)

$          

52,126

$         

43,284

$         

38.2%

39,648

$      

50.9%

Discontinued operations:

Loss from discontinued operations, net

-

(3,857)

(3,857)

(3,330)

nm

-

-

Net income

59,819

$         

(11,550)

$       

48,269

$         

39,954

$         

49.7%

39,648

$      

50.9%

Earnings per diluted common share:

Income from continuing operations

0.79

$              

(0.10)

$            

0.69

$              

0.80

$              

(1.3%)

0.53

$           

49.1%

Loss from discontinued operations

-

(0.05)

(0.05)

$            

(0.06)

-

Earnings per diluted common share

0.79

$              

(0.15)

$            

0.64

$              

0.74

$              

6.8%

0.53

$           

49.1%

Weighted average number of shares outstanding:

Diluted

75,495

75,495

63,301

19.3%

75,191

0.4%

Ratios to net revenues

:

Compensation and benefits

61.5%

62.8%

62.7%

62.0%

Non-comp operating expenses

22.5%

23.3%

22.6%

24.4%

Income from continuing operations before income taxes

16.0%

13.9%

14.7%

13.6%

Three Months Ended December 31, 2013

Three Months Ended

(1)

(2)

(2)

Stifel Financial Corp. Results

Year ended December 31, 2013

(1)

Non-core

adjustments

consist

of

charges

related

to

expensing

stock

awards

issued

as

retention

in

connection

with

the

acquisitions

of

KBW

and

the

Knight

Capital

Fixed

Income

business

and

other

merger-related

revenues

and

expenses

associated

with

our

acquisitions

of

KBW,

the

Knight

Capital

Fixed

Income

business,

Miller

Buckfire

and

a

U.S.

tax

benefit

in

connection

with

discontinuing

operations

of

SN

Canada.

(2)

Core

(non-GAAP)

results

for

the

year

ended

December

31,

2012

are

the

same

as

GAAP

results.

_________________________________________________________

($ in thousands, except per share amounts)

Non-GAAP

Non-Core

GAAP

12/31/12

% Change

Total revenues

2,024,538

$   

(4,724)

$          

2,019,814

$   

1,627,483

$   

24.4%

Interest expense

46,198

170

46,368

33,370

38.4%

Net revenues

1,978,340

(4,894)

1,973,446

1,594,113

24.1%

Compensation and benefits

1,236,991

74,395

1,311,386

1,010,140

22.5%

Non-comp operating expenses

446,265

30,566

476,831

354,226

26.0%

Total non-interest expenses

1,683,256

104,961

1,788,217

1,364,366

23.4%

Income from continuing operations before income taxes

295,084

(109,855)

185,229

229,747

28.4%

Provision for income taxes

110,426

(98,104)

12,322

84,451

30.8%

Net income from continuing operations

184,658

$       

(11,751)

$       

172,907

$       

145,296

$       

27.1%

Discontinued operations:

Loss from discontinued operations, net

-

(10,894)

(10,894)

(6,723)

(100.0%)

Net income

184,658

$       

(22,645)

$       

162,013

$       

138,573

$       

33.3%

Earnings per diluted common share:

Income from continuing operations

2.51

$              

(0.16)

$            

2.35

$              

2.31

$              

8.7%

Loss from discontinued operations, net

-

(0.15)

(0.15)

(0.11)

(100.0%)

Earnings per diluted common share

2.51

$              

(0.31)

$            

2.20

$              

2.20

$              

14.1%

Weighted average number of shares outstanding:

Diluted

73,504

73,504

62,937

16.8%

Ratios to net revenues

:

Compensation and benefits

62.5%

66.5%

63.4%

Non-comp operating expenses

22.6%

24.1%

22.2%

Income from continuing operations before income taxes

14.9%

9.4%

14.4%

Year Ended December 31, 2013

Year Ended

Source of Revenues

($ in thousands)

12/31/13

12/31/12

%

Change

9/30/13

%

Change

12/31/13

12/31/12

%

Change

Commissions

152,451

$   

131,327

$   

16.1%

145,837

$       

4.5%

598,949

$     

501,434

$     

19.4%

Principal transactions

118,815

97,515

21.8%

122,583

(3.1%)

459,968

408,935

12.5%

Brokerage revenues

271,266

228,842

18.5%

268,420

1.1%

1,058,917

910,369

16.3%

Capital raising

71,379

      ��

46,320

54.1%

53,665

33.0%

246,631

185,761

32.8%

Advisory

87,481

26,618

228.7%

39,186

123.2%

201,429

95,519

110.9%

Investment banking

158,860

72,938

117.8%

92,851

71.1%

448,060

281,280

59.3%

Asset mgt and service fees

83,928

68,971

21.7%

76,710

9.4%

305,639

257,981

18.5%

Other

19,391

19,157

1.2%

13,063

48.4%

64,659

69,148

(6.5%)

    Total operating revenues

533,445

389,908

36.8%

451,044

18.3%

1,877,275

1,518,778

23.6%

Interest revenue

40,711

29,977

35.8%

39,130

4.0%

142,539

108,705

31.1%

    Total revenues

574,156

419,885

36.7%

490,174

17.1%

2,019,814

1,627,483

24.1%

Interest expense

11,630

8,602

35.2%

11,535

0.8%

46,368

33,370

39.0%

    Net revenues

562,526

$   

411,283

$   

36.8%

478,639

$       

17.5%

1,973,446

$ 

1,594,113

$ 

23.8%

Three Months Ended

Year Ended

($ in thousands)

12/31/13

12/31/12

%

Change

9/30/13

%

Change

12/31/13

12/31/12

%

Change

Private client group

159,958

$     

146,585

$     

9.1%

158,085

$     

1.2%

637,325

$     

586,878

$     

8.6%

Equity brokerage

60,204

38,659

55.7%

58,677

2.6%

232,392

151,308

53.6%

Fixed income brokerage

51,103

43,598

17.2%

51,658

(1.1%)

189,200

172,183

9.9%

Institutional brokerage

111,307

82,257

35.3%

110,335

0.9%

421,592

323,491

30.3%

Total Brokerage Revenues

271,265

$     

228,842

$     

18.5%

268,420

$     

1.1%

1,058,917

$ 

910,369

$     

16.3%

Three Months Ended

Year Ended

Brokerage Revenues by Segment

($ in thousands)

12/31/13

(1)

12/31/12

% Change

9/30/13

% Change

12/31/13

(1)

12/31/12

9/30/13

Net revenues

564,681

$     

411,283

$     

37.3%

479,634

$     

17.7%

100.0%

100.0%

100.0%

Compensation and benefits

324,569

237,465

36.7%

275,503

17.8%

57.5%

57.7%

57.4%

Transitional pay   

(2)

22,694

20,683

9.7%

21,871

3.8%

4.0%

5.0%

4.6%

Total compensation and benefits

347,263

258,148

34.5%

297,374

16.8%

61.5%

62.8%

62.0%

Occupancy and equipment rental

40,892

33,589

21.7%

39,856

2.6%

7.2%

8.2%

8.3%

Communication and office supplies

24,974

19,291

29.5%

25,105

(0.5%)

4.4%

4.7%

5.2%

Commissions and floor brokerage

8,213

7,271

13.0%

9,775

(16.0%)

1.5%

1.8%

2.0%

Other operating expenses

52,911

32,633

62.1%

42,080

25.7%

9.3%

7.9%

8.7%

Total non-comp operating expenses

126,990

92,784

36.9%

116,816

8.7%

22.4%

22.6%

24.4%

Total non-interest expense

474,253

350,932

35.1%

414,190

14.5%

84.0%

85.3%

86.4%

Income from continuing operations before income taxes

90,428

60,351

49.8%

65,444

38.2%

16.0%

14.7%

13.6%

Provision for income taxes

30,609

17,067

79.3%

25,795

18.7%

5.4%

4.0%

5.4%

Non-GAAP net income from continuing operations

59,819

$       

43,284

$       

38.2%

39,649

$       

50.9%

10.6%

10.5%

8.3%

Non-core expenses (after-tax)

(7,693)

-

35,280

GAAP net income from continuing operations

52,126

$       

43,284

$       

74,929

$       

Three Months Ended

% of Net revenues

Core Non-Interest Expenses

Three months ended December 31, 2013

_________________________________________________________

(1)

Excludes

non-core

adjustments

consisting

of

merger-related

revenues

and

expenses

associated

with

our

acquisitions

of

KBW,

the

Knight

Capital

Fixed

Income

business,

and

Miller

Buckfire.

(2)

Transition

pay

includes

amortization

of

retention

awards,

signing

bonuses,

and

upfront

notes.

Core Non-Interest Expenses

Year ended December 31, 2013

_________________________________________________________

(1)

Excludes

non-core

adjustments

consisting

of

charges

related

to

expensing

stock

awards

issued

as

retention

in

connection

with

the

acquisitions

of

KBW

and

the

Knight

Capital

Fixed

Income

business

and

other

merger-related

revenues

and

expenses

associated

with

our

acquisitions

of

KBW,

the

Knight

Capital

Fixed

Income

business,

Miller

Buckfire

and

a

U.S.

tax

benefit

in

connection

with

discontinuing

operations

of

SN

Canada.

($ in thousands)

12/31/13

(1)

12/31/12

% Change

12/31/13

(1)

12/31/12

Net revenues

1,978,340

$  

1,594,113

$  

24.1%

100.0%

100.0%

Compensation and benefits

1,150,883

937,066

22.8%

58.2%

58.8%

Transitional pay

86,108

73,074

17.8%

4.4%

4.6%

Total compensation and benefits

1,236,991

1,010,140

22.5%

62.5%

63.4%

Occupancy and equipment rental

149,488

128,365

16.5%

7.6%

8.1%

Communication and office supplies

95,539

79,406

20.3%

4.8%

5.0%

Commissions and floor brokerage

35,812

29,610

20.9%

1.8%

1.9%

Other operating expenses

165,426

116,845

41.6%

8.4%

7.3%

Total non-comp operating expenses

446,265

354,226

26.0%

22.6%

22.2%

Total non-interest expense

1,683,256

1,364,366

23.4%

85.1%

85.6%

Income from continuing operations before income taxes

295,084

229,747

28.4%

14.9%

14.4%

Provision for income taxes

110,426

84,451

30.8%

5.6%

5.2%

Non-GAAP net income from continuing operations

184,658

$     

145,296

$     

27.1%

9.3%

9.1%

Non-core expenses (after-tax)

(11,751)

-

GAAP net income from continuing operations

172,907

$     

145,296

$     

Year Ended

% of Net revenues

Segment Comparison -

Core

(1)

Core

(non-GAAP)

results

for

the

three

and

twelve

months

ended

December

31,

2012

are

the

same

as

GAAP

results.

(2)

Contribution

margin

for

the

other

segment

is

divided

by

consolidated

net

revenues.

_________________________________________________________

($ in thousands)

12/31/13

12/31/12

(1)

%

Change

9/30/13

%

Change

12/31/13

12/31/12

(1)

%

Change

Net revenues:

Global Wealth Management

292,836

$  

253,775

$  

15.4%

274,669

$  

6.6%

1,117,179

$

991,597

$   

12.7%

Institutional Group

267,282

160,693

66.3%

205,132

30.3%

861,158

604,654

42.4%

Other

4,563

(3,185)

(243.3%)

(167)

nm

3

(2,138)

(100.1%)

564,681

$  

411,283

$  

37.3%

479,634

$  

17.7%

1,978,340

$

1,594,113

$

24.1%

Operating contribution:

Global Wealth Management

79,022

$    

68,737

$    

15.0%

72,128

$    

9.6%

299,572

$   

266,669

$   

12.3%

Institutional Group

48,590

21,678

124.1%

34,986

38.9%

142,889

101,487

40.8%

Other

(37,184)

(30,064)

23.7%

(41,671)

(10.8%)

(147,377)

(138,409)

6.5%

90,428

$    

60,351

$    

49.8%

65,443

$    

38.2%

295,084

$   

229,747

$   

28.4%

Operating contribution

(2)

Global Wealth Management

27.0

27.1

26.3

26.8

26.9

Institutional Group

18.2

13.5

17.1

16.6

16.8

Other

(6.6)

(7.3)

(8.7)

(7.4)

(8.7)

16.0

14.7

13.6

14.9

14.4

As a percentage of net revenues:

Three Months Ended

Year Ended

Global Wealth Management

($ in thousands)

12/31/13

12/31/12

% Change

9/30/13

% Change

12/31/13

12/31/12

% Change

Commissions

104,149

$   

93,043

$     

11.9%

99,427

$     

4.7%

410,238

$   

361,871

$   

13.4%

Principal transactions

55,809

53,542

4.2%

58,658

(4.9%)

227,087

225,007

0.9%

Asset management & service fees

82,964

68,631

20.9%

76,667

8.2%

304,541

257,257

18.4%

Net interest

31,092

21,182

46.8%

27,665

12.4%

104,748

79,328

32.0%

Investment banking

9,568

10,818

(11.6%)

9,394

1.8%

45,400

44,919

1.1%

Other income

9,254

6,559

41.1%

2,858

223.9%

25,165

23,215

8.4%

Net revenues

292,836

253,775

15.4%

274,669

6.6%

1,117,179

991,597

12.7%

Compensation and benefits

167,980

146,311

14.8%

159,949

5.0%

648,681

576,744

12.5%

Non-comp operating expenses

45,834

38,727

18.4%

42,592

7.6%

168,926

148,184

14.0%

Total non-interest expenses

213,814

185,038

15.6%

202,541

5.6%

817,607

724,928

12.8%

Income before income taxes

79,022

$     

68,737

$     

15.0%

72,128

$     

9.6%

299,572

$   

266,669

$   

12.3%

Ratios to net revenues

:

Compensation and benefits

57.4%

57.7%

58.2%

58.1%

58.2%

Non-comp operating expenses

15.6%

15.2%

15.5%

15.1%

14.9%

Income before income taxes

27.0%

27.1%

26.3%

26.8%

26.9%

Three Months Ended

Year Ended

Stifel Bank & Trust

(an operating unit of GWM)

As of

12/31/13

12/31/12

% Change

9/30/13

% Change

Assets

$

5,027,023

$

3,650,235

37.7

$

4,547,071

10.6

Investment securities

3,062,549

2,327,316

31.6

2,949,080

3.8

Retained loans, net

1,412,136

822,711

71.6

1,061,313

33.1

Loans held for sale

109,110

214,531

(49.1)

75,440

44.6

Deposits

4,663,323

3,346,133

39.4

4,228,405

10.3

Allowance for loan losses

12,668

$              

8,145

$                 

55.5

13,233

$             

(4.3)

Allowance as a percentage of loans

0.89

%

0.99

%

1.23

%

Non-performing loans

1,504

$                 

1,808

$                 

(16.8)

14,759

$             

(89.8)

Other non-performing assets

131

373

(64.9)

-

100.0

Non-performing assets 

1,635

$                 

2,181

$                 

(25.0)

14,759

$             

(88.9)

Non-performing assets as a percentage of

total assets

0.03

%

0.06

%

0.32

%

As of

Institutional Group

($ in thousands)

12/31/13

12/31/12

% Change

9/30/13

% Change

12/31/13

12/31/12

% Change

Net revenues

267,282

$   

160,693

$   

66.3%

205,132

$   

30.3%

861,158

$   

604,654

$   

42.4%

Compensation and benefits

165,779

105,025

57.8%

119,874

38.3%

524,870

380,185

38.1%

Non-comp operating expenses

52,913

33,990

55.7%

50,272

5.3%

193,399

122,982

57.3%

Total non-interest expenses

218,692

139,015

57.3%

170,146

28.5%

718,269

503,167

42.7%

Income before income taxes

48,590

$     

21,678

$     

124.1%

34,986

$     

38.9%

142,889

$   

101,487

$   

40.8%

Ratios to net revenues:

Compensation and benefits

62.0%

65.4%

58.4%

60.9%

62.9%

Non-comp operating expenses

19.8%

21.1%

24.5%

22.5%

20.3%

Income before income taxes

18.2%

13.5%

17.1%

16.6%

16.8%

Three Months Ended

Year Ended

Institutional Group Revenues

($ in thousands)

12/31/13

12/31/12

% Change

9/30/13

% Change

12/31/13

12/31/12

% Change

Institutional brokerage:

Equity

60,204

$    

38,659

$    

55.7%

58,677

$    

2.6%

232,392

$  

151,308

$  

53.6%

Fixed income

51,103

43,598

17.2%

51,658

(1.1%)

189,200

172,183

9.9%

111,307

82,257

35.3%

110,335

0.9%

421,592

323,491

30.3%

Investment Banking:

Capital raising

Equity

46,634

16,947

175.2%

30,739

51.7%

142,636

81,818

74.3%

Fixed income

14,677

18,555

(20.9%)

13,531

8.5%

58,096

59,024

(1.6%)

61,311

35,502

72.7%

44,270

38.5%

200,732

140,842

42.5%

Advisory fees

87,981

26,618

230.5%

39,186

124.5%

201,928

95,519

111.4%

Investment banking

149,292

62,120

140.3%

83,456

78.9%

402,660

236,361

70.4%

Other

(1)

6,683

16,316

(59.0%)

11,341

(41.1%)

36,906

44,802

(17.6%)

Total net revenue

267,282

$  

160,693

$  

66.3%

205,132

$  

30.3%

861,158

$  

604,654

$  

42.4%

Three Months Ended

Year Ended

_________________________________________________________

(1)

Includes

net

interest

and

other

income.

($ in thousands)

12/31/13

12/31/12

12/31/11

12/31/10

12/31/09

Investment banking

448,060

281,280

199,584

218,104

125,807

Year Ended

Historical Investment Banking Revenues

Note: Reflects total investment banking historical revenues. 

_________________________________________________________

Financial

Condition

Capital Structure

As of December 31, 2013

(in thousands, except ratios)

_________________________________________________________

(1)

Debt to equity ratio includes the debentures to Stifel Financial Capital Trusts ($82.5m), and Senior Notes ($325.0m) divided by

stockholders’equity.

($ in thousands)

Total Assets

9,016,987

$ 

Stockholders' Equity

2,058,849

$ 

6.70% senior notes, due 2022

175,000

$    

5.375% senior notes, due 2022

150,000

Debentures to Stifel Financial Capital Trusts II, III, & IV

82,500

Total Capitalization

2,466,349

$ 

Ratios:

Debt to Equity

(1)

12.5%

Tier 1 Leverage Ratio

15.4%

Tier 1 Risk-Based Capital Ratio

26.7%

Other Financial Data

_________________________________________________________

(1)    Includes 143, 151 and 145 independent contractors as of December 31, 2013, December 31, 2012 and September 30, 2013, respectively.

(2)    Includes money-market and FDIC-insured balances. Prior period amounts have been adjusted to conform to the current period presentation.

As of

12/31/13

12/31/12

% Change

9/30/13

% Change

Total assets (000s):

Stifel Nicolaus & Stifel Financial

3,986,845

$         

3,313,507

$      

20.3%

4,162,388

$      

(4.2%)

Stifel Bank

5,030,142

3,652,633

37.7%

4,547,071

10.6%

Total assets

9,016,987

$         

6,966,140

$      

29.4%

8,709,459

$      

3.5%

Total stockholders' equity (000s):

Stifel Nicolaus & Stifel Financial

1,736,272

$         

1,226,824

$      

41.5%

1,701,158

$      

2.1%

Stifel Bank

322,577

267,837

20.4%

293,331

10.0%

Total stockholders' equity

2,058,849

$         

1,494,661

$      

37.7%

1,994,489

$      

3.2%

Leverage ratio:

Stifel Nicolaus & Stifel Financial

1.9

2.2

(16.7%)

1.9

(4.4%)

Stifel Bank

15.6

13.6

14.2%

15.5

0.6%

Total leverage ratio

3.7

4.0

(8.0%)

3.6

2.2%

Book value per common share

32.30

$                  

27.24

$              

18.6%

31.46

$              

2.7%

Financial

advisors

(1)

2,077

2,041

1.8%

2,075

0.1%

Full-time associates

5,862

5,343

9.7%

5,780

1.4%

Locations

357

340

5.0%

355

0.6%

Total

client

assets

(000s)

(2)

165,570,000

$    

137,855,000

$ 

20.1%

153,901,000

$ 

7.6%

As of

Recent Merger

Updates

Recent Merger Updates

Announced the acquisition of De La Rosa on January 30, 2014 and is

expected to close in the first quarter. Plan to integrate under Stifel brand

immediately.

Investment bank and bond underwriter with a 25-year operating history.

Stifel will become #1 underwriter in  California negotiated underwriting in

par value and number of issues.

Stifel will become #1 underwriter in California in the following

categories: 

•

K-12

•

COP & Lease Revenue Bonds

•

Tax Increment

•

Economical Development

•

Water & Sewer.

Substantially all  of the senior leadership has executed continuation

agreements with Stifel.

Q&A