Raymond James Financial : Q4 2020 Earnings Presentation

FOURTH QUARTER & FISCAL 2020 RESULTS

October 2020

OVERVIEW OF RESULTS

Paul Reilly

Chairman & CEO, Raymond James Financial

2

FISCAL 4Q20 HIGHLIGHTS

		4Q20		vs.	vs.
$ in millions, except per share amounts			4Q19	3Q20
As Reported:
Net revenues	RECORD $	2,079		3%	13%
Net income	$	209		(21)%	22%
Earnings per common share - diluted	$	1.50		(19)%	22%
				4Q19	3Q20
Return on equity		11.9%		16.2%	10.0%
				vs.	vs.
				4Q19	3Q20
Non-GAAPMeasures:*
Adjusted net income	$	249		(12)%	45%
Adjusted earnings per common share - diluted	$	1.78		(11)%	45%
				4Q19	3Q20
Adjusted return on equity		14.1%		17.3%	NA
Adjusted return on tangible common equity		15.3%		19.1%	NA

3	* These are non-GAAP measures. See the schedule in the Appendix of this presentation for a reconciliation of our non-GAAP measures to the
most directly comparable GAAP measures and for more information on these measures.

FY 2020 HIGHLIGHTS

		FY 2020		vs.
$ in millions, except per share amounts			FY 2019
As Reported:
Net revenues	RECORD $	7,990		3%
Net income	$	818		(21)%
Earnings per common share - diluted	$	5.83		(19)%
				FY 2019
Return on equity		11.9%		16.2%
				vs.
				FY 2019
Non-GAAPMeasures:*
Adjusted net income	$	858		(20)%
Adjusted earnings per common share - diluted	$	6.11		(17)%
				FY 2019
Adjusted return on equity		12.5%		16.7%
Adjusted return on tangible common equity		13.6%		18.4%

4	* These are non-GAAP measures. See the schedule in the Appendix of this presentation for a reconciliation of our non-GAAP measures to the
most directly comparable GAAP measures and for more information on these measures.

FISCAL 4Q20 KEY METRICS

			4Q20		vs.	vs.
$ in billions				4Q19	3Q20
Client assets under administration	RECORD	$	930.1		11%	6%
Private Client Group (PCG) assets under administration	RECORD	$	883.3		11%	6%
PCG assets in fee-based accounts	RECORD	$	475.3		16%	7%
Financial assets under management	RECORD	$	153.1		7%	5%
Total clients' domestic cash sweep balances	RECORD	$	55.6		47%	7%
PCG financial advisors	RECORD		8,239		3%	1%
Bank loans, net		$	21.2		1%	-%

5

FISCAL 4Q20 SEGMENT RESULTS

			4Q20		vs.	vs.
$ in millions				4Q19	3Q20
Net Revenues:
Private Client Group		$	1,394		1%	12%
Capital Markets	RECORD	$	410		36%	27%
Asset Management		$	184		3%	13%
Raymond James Bank		$	161		(25)%	(10)%
Consolidated net revenues	RECORD	$	2,079		3%	13%
Pre-Tax Income:
Private Client Group		$	125		(13)%	37%
Capital Markets(1)	RECORD	$	106		221%	71%
Asset Management	RECORD	$	78		13%	30%
Raymond James Bank		$	33		(75)%	136%
Consolidated pre-tax income(1), (2)		$	256		(28)%	29%

Note: Segments do not total consolidated results because of the Other segment and intersegment eliminations not shown.

1. 4Q20 included a $7 million loss in our Capital Markets segment related to the pending sale of our interests in certain entities that operate predominantly in France. 4Q19
   6 included a $19 million goodwill impairment charge associated with our Canadian Capital Markets business. (2) 4Q20 included $46 million related to the reduction in workforce expenses associated with position eliminations that occurred in response to the economic environment. These expenses are included in the Other segment.

FY 2020 SEGMENT RESULTS

			FY 2020		vs.
$ in millions				FY 2019
Net Revenues:
Private Client Group	RECORD	$	5,552		4%
Capital Markets	RECORD	$	1,291		19%
Asset Management	RECORD	$	715		3%
Raymond James Bank		$	765		(10)%
Consolidated net revenues	RECORD	$	7,990		3%
Pre-Tax Income:
Private Client Group		$	539		(7)%
Capital Markets(1)	RECORD	$	225		105%
Asset Management	RECORD	$	284		12%
Raymond James Bank		$	196		(62)%
Consolidated pre-tax income(1), (2)		$	1,052		(23)%

Note: Segments do not total consolidated results because of the Other segment and intersegment eliminations not shown.

1. FY 2020 included a $7 million loss in our Capital Markets segment related to the pending sale of our interests in certain entities that operate predominantly in France. FY
   7 2019 included a $15 million loss in our Capital Markets segment on the sale of our operations related to research, sales and trading of European equities, and a $19 million goodwill impairment charge associated with our Canadian Capital Markets business. (2) FY 2020 included $46 million related to the reduction in workforce expenses associated with position eliminations that occurred in response to the economic environment. These expenses are included in the Other segment.