Consolidated Overview | ||||||
(In thousands, except earnings per share) | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||
2021 | 2020 | % | 2021 | 2020 | % | |
Revenues | $485,322 | $424,927 | 14% | $1,416,659 | $1,240,335 | 14% |
Net income | 138,045 | 111,096 | 24% | 401,293 | 321,404 | 25% |
Diluted earnings per share | $0.97 | $0.75 | 29% | $2.79 | $2.14 | 30% |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||
(In thousands) | ||||||||
2021 | 2020 | % | 2021 | 2020 | % | |||
Private Banks: | ||||||||
Revenues | $123,018 | $114,792 | 7% | $364,302 | $335,739 | 9% | ||
Expenses | 116,679 | 113,066 | 3% | 345,057 | 331,442 | 4% | ||
Operating Profit | 6,339 | 1,726 | NM | 19,245 | 4,297 | 348% | ||
Operating Margin | 5 | % | 2 | % | 5 | % | 1 | % |
Investment Advisors: | ||||||||
Revenues | 124,768 | 103,189 | 21% | 357,458 | 299,218 | 19% | ||
Expenses | 62,107 | 51,519 | 21% | 176,267 | 154,100 | 14% | ||
Operating Profit | 62,661 | 51,670 | 21% | 181,191 | 145,118 | 25% | ||
Operating Margin | 50 | % | 50 | % | 51 | % | 48 | % |
Institutional Investors: | ||||||||
Revenues | 85,759 | 79,583 | 8% | 255,957 | 235,309 | 9% | ||
Expenses | 41,643 | 37,812 | 10% | 122,696 | 113,016 | 9% | ||
Operating Profit | 44,116 | 41,771 | 6% | 133,261 | 122,293 | 9% | ||
Operating Margin | 51 | % | 52 | % | 52 | % | 52 | % |
Investment Managers: | ||||||||
Revenues | 147,412 | 123,846 | 19% | 426,639 | 359,815 | 19% | ||
Expenses | 89,594 | 79,838 | 12% | 257,609 | 228,795 | 13% | ||
Operating Profit | 57,818 | 44,008 | 31% | 169,030 | 131,020 | 29% | ||
Operating Margin | 39 | % | 36 | % | 40 | % | 36 | % |
Investments in New Businesses: | ||||||||
Revenues | 4,365 | 3,517 | 24% | 12,303 | 10,254 | 20% | ||
Expenses | 12,820 | 13,315 | (4)% | 39,855 | 37,691 | 6% | ||
Operating Loss | (8,455) | (9,798) | NM | (27,552) | (27,437) | NM | ||
Totals: | ||||||||
Revenues | $485,322 | $424,927 | 14% | $1,416,659 | $1,240,335 | 14% | ||
Expenses | 322,843 | 295,550 | 9% | 941,484 | 865,044 | 9% | ||
Corporate Overhead Expenses | 21,354 | 18,040 | 18% | 65,192 | 53,414 | 22% | ||
Income from Operations | $141,125 | $111,337 | 27% | $409,983 | $321,877 | 27% |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||
2021 | 2020 | 2021 | 2020 | |
Asset management, admin. and distribution fees | $393,296 | $339,609 | $1,143,451 | $992,039 |
Information processing and software servicing fees | 92,026 | 85,318 | 273,208 | 248,296 |
Total revenues | 485,322 | 424,927 | 1,416,659 | 1,240,335 |
Subadvisory, distribution and other asset mgmt. costs | 55,619 | 45,126 | 161,610 | 134,645 |
Software royalties and other information processing costs | 7,348 | 6,992 | 20,561 | 21,828 |
Compensation, benefits and other personnel | 150,188 | 134,795 | 429,188 | 391,607 |
Stock-based compensation | 11,318 | 6,467 | 31,173 | 20,458 |
Consulting, outsourcing and professional fees | 55,868 | 57,949 | 165,657 | 168,350 |
Data processing and computer related | 26,650 | 24,437 | 79,746 | 71,647 |
Facilities, supplies and other costs | 14,124 | 16,679 | 49,851 | 47,448 |
Amortization | 14,674 | 13,200 | 43,749 | 39,417 |
Depreciation | 8,408 | 7,945 | 25,141 | 23,058 |
Total expenses | 344,197 | 313,590 | 1,006,676 | 918,458 |
Income from operations | 141,125 | 111,337 | 409,983 | 321,877 |
Net (loss) gain on investments | (575) | 776 | 134 | (1,310) |
Interest and dividend income | 892 | 1,009 | 2,715 | 5,582 |
Interest expense | (101) | (153) | (354) | (456) |
Equity in earnings of unconsolidated affiliate | 35,005 | 28,305 | 103,420 | 86,488 |
Income before income taxes | 176,346 | 141,274 | 515,898 | 412,181 |
Income taxes | 38,301 | 30,178 | 114,605 | 90,777 |
Net income | $138,045 | $111,096 | $401,293 | $321,404 |
Basic earnings per common share | $0.98 | $0.76 | $2.83 | $2.18 |
Shares used to calculate basic earnings per share | 140,507 | 145,812 | 141,928 | 147,586 |
Diluted earnings per common share | $0.97 | $0.75 | $2.79 | $2.14 |
Shares used to calculate diluted earnings per share | 142,426 | 147,907 | 143,981 | 149,958 |
Dividends declared per common share | $- | $- | $0.37 | $0.35 |
September 30, | December 31, | |
2021 | 2020 | |
Assets | ||
Current Assets: | ||
Cash and cash equivalents | $793,883 | $784,626 |
Restricted cash | 351 | 3,101 |
Receivables from investment products | 59,808 | 55,271 |
Receivables, net of allowance for doubtful accounts of $2,669 and $1,100
| 442,187 | 385,219 |
Securities owned | 31,770 | 34,064 |
Other current assets | 42,615 | 38,696 |
Total Current Assets | 1,370,614 | 1,300,977 |
Property and Equipment, net of accumulated depreciation of $400,679 and $378,639
| 183,802 | 189,052 |
Operating Lease Right-of-Use Assets | 35,145 | 38,397 |
Capitalized Software, net of accumulated amortization of $531,923 and $491,739
| 250,280 | 270,977 |
Available for Sale and Equity Securities | 140,079 | 105,419 |
Investments in Affiliated Funds, at fair value | 6,893 | 6,166 |
Investment in Unconsolidated Affiliate | 39,872 | 98,433 |
Goodwill | 64,489 | 64,489 |
Intangible Assets, net of accumulated amortization of $15,768 and $12,456
| 31,992 | 24,304 |
Deferred Contract Costs | 34,263 | 33,781 |
Deferred Income Taxes | 2,148 | 2,972 |
Other Assets, net | 32,224 | 32,289 |
Total Assets | $2,191,801 | $2,167,256 |
Liabilities and Equity | ||
Current Liabilities: | ||
Accounts payable | $10,772 | $7,766 |
Accrued liabilities | 231,043 | 299,845 |
Current portion of long-term operating lease liabilities | 10,412 | 8,579 |
Deferred revenue | 1,235 | 1,085 |
Total Current Liabilities | 253,462 | 317,275 |
Long-term Income Taxes Payable | 803 | 803 |
Deferred Income Taxes | 47,434 | 55,159 |
Long-term Operating Lease Liabilities | 29,857 | 34,058 |
Other Long-term Liabilities | 22,157 | 20,054 |
Total Liabilities | 353,713 | 427,349 |
Shareholders' Equity: | ||
Common stock, $0.01 par value, 750,000 shares authorized; 139,305 and 143,396 shares issued and outstanding
| 1,393 | 1,434 |
Capital in excess of par value | 1,228,085 | 1,190,001 |
Retained earnings | 629,153 | 565,270 |
Accumulated other comprehensive loss, net | (20,543) | (16,798) |
Total Shareholders' Equity | 1,838,088 | 1,739,907 |
Total Liabilities and Shareholders' Equity | $2,191,801 | $2,167,256 |
Sept. 30, | Dec. 31 | Mar. 31, | Jun. 30, | Sept. 30, | |
2020 | 2020 | 2021 | 2021 | 2021 | |
Private Banks: | |||||
Equity and fixed-income programs
| $23,499 | $25,498 | $25,098 | $26,264 | $25,618 |
Collective trust fund programs
| 6 | 6 | 7 | 7 | 6 |
Liquidity funds
| 3,718 | 3,778 | 3,793 | 3,654 | 3,988 |
Total assets under management
| $27,223 | $29,282 | $28,898 | $29,925 | $29,612 |
Client assets under administration
| 24,174 | 26,346 | 4,379 | 4,412 | 4,675 |
Total assets
| $51,397 | $55,628 | $33,277 | $34,337 | $34,287 |
Investment Advisors: | |||||
Equity and fixed-income programs
| $65,581 | $71,247 | $73,818 | $78,052 | $78,560 |
Collective trust fund programs
| 3 | 1 | 1 | 1 | - |
Liquidity funds
| 3,866 | 3,832 | 3,584 | 3,550 | 3,477 |
Total Platform assets under management | $69,450 | $75,080 | $77,403 | $81,603 | $82,037 |
Platform-only assets (E) | 10,506 | 11,862 | 12,538 | 13,566 | 13,728 |
Total Platform assets (E) | $79,956 | $86,942 | $89,941 | $95,169 | $95,765 |
Institutional Investors: | |||||
Equity and fixed-income programs
| $83,846 | $90,869 | $92,040 | $93,010 | $89,441 |
Collective trust fund programs
| 101 | 98 | 95 | 5 | 5 |
Liquidity funds
| 2,096 | 2,128 | 2,909 | 2,516 | 2,599 |
Total assets under management
| $86,043 | $93,095 | $95,044 | $95,531 | $92,045 |
Client assets under advisement
| 3,618 | 4,063 | 4,333 | 4,566 | 4,698 |
Total assets
| $89,661 | $97,158 | $99,377 | $100,097 | $96,743 |
Investment Managers: | |||||
Collective trust fund programs
| 63,277 | 75,214 | 78,304 | 87,012 | 87,488 |
Liquidity funds
| 389 | 424 | 449 | 473 | 568 |
Total assets under management
| $63,666 | $75,638 | $78,753 | $87,485 | $88,056 |
Client assets under administration (A)
| 730,369 | 760,397 | 831,819 | 875,942 | 861,605 |
Total assets
| $794,035 | $836,035 | $910,572 | $963,427 | $949,661 |
Investments in New Businesses: | |||||
Equity and fixed-income programs
| $1,572 | $1,711 | $1,777 | $1,924 | $1,964 |
Liquidity funds
| 169 | 162 | 289 | 191 | 202 |
Total assets under management
| $1,741 | $1,873 | $2,066 | $2,115 | $2,166 |
Client assets under advisement
| 1,179 | 1,299 | 1,355 | 1,422 | 1,378 |
Total assets
| $2,920 | $3,172 | $3,421 | $3,537 | $3,544 |
LSV Asset Management: | |||||
Equity and fixed-income programs (B)
| $82,051 | $93,692 | $101,565 | $102,404 | $97,604 |
Total: | |||||
Equity and fixed-income programs (C)
| $256,549 | $283,017 | $294,298 | $301,654 | $293,187 |
Collective trust fund programs
| 63,387 | 75,319 | 78,407 | 87,025 | 87,499 |
Liquidity funds
| 10,238 | 10,324 | 11,024 | 10,384 | 10,834 |
Total assets under management
| $330,174 | $368,660 | $383,729 | $399,063 | $391,520 |
Client assets under advisement
| 4,797 | 5,362 | 5,688 | 5,988 | 6,076 |
Client assets under administration (D)
| 754,543 | 786,743 | 836,198 | 880,354 | 866,280 |
Platform-only assets | 10,506 | 11,862 | 12,538 | 13,566 | 13,728 |
Total assets
| $1,100,020 | $1,172,627 | $1,238,153 | $1,298,971 | $1,277,604 |
3rd Qtr. | 4th Qtr. | 1st Qtr. | 2nd Qtr. | 3rd Qtr. | |
2020 | 2020 | 2021 | 2021 | 2021 | |
Private Banks: | |||||
Equity and fixed-income programs
| $23,740 | $24,284 | $25,139 | $26,056 | $26,232 |
Collective trust fund programs
| 7 | 6 | 6 | 7 | 6 |
Liquidity funds
| 3,948 | 3,712 | 3,876 | 3,833 | 3,916 |
Total assets under management
| $27,695 | $28,002 | $29,021 | $29,896 | $30,154 |
Client assets under administration
| 25,295 | 25,368 | 4,317 | 4,405 | 4,476 |
Total assets
| $52,990 | $53,370 | $33,338 | $34,301 | $34,630 |
Investment Advisors: | |||||
Equity and fixed-income programs
| $64,479 | $68,396 | $73,239 | $76,839 | $79,602 |
Collective trust fund programs
| 3 | 2 | 1 | 1 | - |
Liquidity funds
| 4,569 | 3,788 | 3,619 | 3,370 | 3,403 |
Total Platform assets under management | $69,051 | $72,186 | $76,859 | $80,210 | $83,005 |
Platform-only assets (E) | 10,501 | 11,214 | 12,206 | 13,292 | 13,863 |
Total Platform assets (E) | $79,552 | $83,400 | $89,065 | $93,502 | $96,868 |
Institutional Investors: | |||||
Equity and fixed-income programs
| $82,830 | $86,277 | $91,349 | $93,458 | $91,965 |
Collective trust fund programs
| 102 | 102 | 96 | 68 | 5 |
Liquidity funds
| 2,120 | 2,271 | 2,621 | 2,681 | 2,742 |
Total assets under management
| $85,052 | $88,650 | $94,066 | $96,207 | $94,712 |
Client assets under advisement
| 3,565 | 3,746 | 4,146 | 4,516 | 4,658 |
Total assets
| $88,617 | $92,396 | $98,212 | $100,723 | $99,370 |
Investment Managers: | |||||
Collective trust fund programs
| 62,028 | 69,349 | 78,035 | 84,553 | 89,441 |
Liquidity funds
| 565 | 411 | 490 | 469 | 532 |
Total assets under management
| $62,593 | $69,760 | $78,525 | $85,022 | $89,973 |
Client assets under administration (A)
| 713,528 | 754,350 | 817,330 | 853,810 | 851,183 |
Total assets
| $776,121 | $824,110 | $895,855 | $938,832 | $941,156 |
Investments in New Businesses: | |||||
Equity and fixed-income programs
| $1,560 | $1,634 | $1,743 | $1,870 | $1,958 |
Liquidity funds
| 180 | 165 | 169 | 236 | 205 |
Total assets under management
| $1,740 | $1,799 | $1,912 | $2,106 | $2,163 |
Client assets under advisement
| 1,206 | 1,218 | 1,327 | 1,406 | 1,423 |
Total assets
| $2,946 | $3,017 | $3,239 | $3,512 | $3,586 |
LSV Asset Management: | |||||
Equity and fixed-income programs (B)
| $83,536 | $88,182 | $97,476 | $103,583 | $99,924 |
Total: | |||||
Equity and fixed-income programs (C)
| $256,145 | $268,773 | $288,946 | $301,806 | $299,681 |
Collective trust fund programs
| 62,140 | 69,459 | 78,138 | 84,629 | 89,452 |
Liquidity funds
| 11,382 | 10,347 | 10,775 | 10,589 | 10,798 |
Total assets under management
| $329,667 | $348,579 | $377,859 | $397,024 | $399,931 |
Client assets under advisement
| 4,771 | 4,964 | 5,473 | 5,922 | 6,081 |
Client assets under administration (D)
| 738,823 | 779,718 | 821,647 | 858,215 | 855,659 |
Platform-only assets | 10,501 | 11,214 | 12,206 | 13,292 | 13,863 |
Total assets
| $1,083,762 | $1,144,475 | $1,217,185 | $1,274,453 | $1,275,534 |
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SEI Investments Company published this content on 20 October 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 20 October 2021 20:11:05 UTC.