Raymond James Q3 FY26: record revenue and EPS, helped by a lower tax rate
Raymond James posted records across the board in its fiscal third quarter, and the growth is broad: net revenues rose 16.0% and diluted EPS 42.0% year over year. The catch is quality, since the 20.7% tax rate drove most of the sequential earnings gain. My view is Bullish. Read the segment notes and the balance sheet below.
1 · Expected vs. Actual
Free preview belowDiluted EPS of $3.01 was a record and came in above the $2.94 consensus estimate, with adjusted EPS of $3.14. Net income available to common shareholders of $595 million rose 37.0% year over year and 10.0% sequentially, but that sequential step-up leaned on a lower effective tax rate — 20.7% versus 26.0% in the March quarter, helped by nontaxable corporate-owned life insurance gains. Compensation was 65.7% of net revenues, up from 64.8% a year ago, so the beat was not spotless.
Net revenues were $3.93 billion, up 16.0% from $3.40 billion a year ago and 2.0% from the prior quarter, a company record. The segments back it up: Private Client Group $2.84 billion (+14.0%), Bank $488 million (+7.0%), Asset Management $362 million (+24.0%) and Capital Markets $477 million (+25.0%). One housekeeping point on the revenue line: the income statement starts at total revenues of $4.36 billion, then subtracts $434 million of interest expense to arrive at the $3.93 billion net figure that management headlines.
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Figures on this page come from the company's original SEC filings. The analysis is generated automatically and checked against validation rules, but may still contain errors or omissions. Not investment advice. · Generated 2026-09-17
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