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SEI Reports Second-Quarter 2025 Financial Results

By PR Newswire | July 23, 2025, 4:01 PM

OAKS, Pa., July 23, 2025 /PRNewswire/ -- SEI Investments Company (NASDAQ:SEIC) today announced financial results for the second quarter 2025. Relative to the second quarter 2024, EPS increased by 70%, and revenue and operating income grew by 8% and 9%, respectively, with operating margin increasing to 27%. Q2 2025 EPS benefited by $0.58 from several items affecting comparability against prior quarters, most notably the $94.4 million gain on the sale of SEI's Family Office Services business.

Consolidated Overview

























(In thousands, except

earnings per share)



For the Three Months

Ended June 30,







For the Six Months

Ended June 30,









2025



2024



%



2025



2024



%



























Revenues



$559,601



$518,986



8 %



$1,110,945



$1,030,565



8 %

Operating income



148,635



136,514



9 %



305,732



262,365



17 %

Operating margin



27 %



26 %



4 %



28 %



25 %



12 %

Net income



227,083



139,120



63 %



378,600



270,520



40 %

Diluted earnings per share



$1.78



$1.05



70 %



$2.95



$2.04



45 %

"SEI achieved another strong quarter across our core businesses. We are executing with conviction and discipline, positioning the company for sustained growth. As we prepare SEI to support that growth and our clients' evolving needs, we are making intentional investments in our talent, technology, and infrastructure to enhance our capabilities and scale," said CEO Ryan Hicke.

"Our strategic investment in Stratos demonstrates our commitment to challenging ourselves to change and innovate in the pursuit of our goal to be the leading provider of wealth management solutions and services. We will continue to invest capital in areas where we have conviction that the long-term opportunity will maximize the return for our clients, employees, and shareholders.

"We're excited to welcome two highly experienced, independent directors to our Board. Karin Risi and Tom Naratil bring tremendous expertise and insight that will be invaluable as we continue to execute our growth strategies."

Summary of Second-Quarter Results by Business Segment











(In thousands)



For the Three Months 

Ended June 30,







For the Six Months

Ended June 30,







2025



2024



%



2025



2024



%

Investment Managers:

























Revenues



$195,067



$179,868



8 %



$387,115



$352,521



10 %

Expenses



121,636



111,287



9 %



238,847



220,837



8 %

Operating Profit



73,431



68,581



7 %



148,268



131,684



13 %

Operating Margin



38 %



38 %







38 %



37 %































Private Banks:

























Revenues



141,449



132,401



7 %



279,163



262,538



6 %

Expenses



118,724



111,890



6 %



233,473



224,864



4 %

Operating Profit



22,725



20,511



11 %



45,690



37,674



21 %

Operating Margin



16 %



15 %







16 %



14 %































Investment Advisors:

























Revenues



137,193



120,587



14 %



273,769



243,305



13 %

Expenses



75,801



68,953



10 %



148,256



135,911



9 %

Operating Profit



61,392



51,634



19 %



125,513



107,394



17 %

Operating Margin



45 %



43 %







46 %



44 %































Institutional Investors:

























Revenues



69,343



71,507



(3) %



137,849



143,285



(4) %

Expenses



35,857



38,426



(7) %



71,727



78,535



(9) %

Operating Profit



33,486



33,081



1 %



66,122



64,750



2 %

Operating Margin



48 %



46 %







48 %



45 %































Investments in New Businesses:

























Revenues



16,549



14,623



13 %



33,049



28,916



14 %

Expenses



18,430



18,580



(1) %



36,926



36,963



— %

Operating Loss



(1,881)



(3,957)



(52) %



(3,877)



(8,047)



(52) %



























Totals:

























Revenues



$559,601



$518,986



8 %



$1,110,945



$1,030,565



8 %

Expenses



370,448



349,136



6 %



729,229



697,110



5 %

Corporate Overhead Expenses



40,518



33,336



22 %



75,984



71,090



7 %

Income from Operations



$148,635



$136,514



9 %



$305,732



$262,365



17 %

Second-Quarter Business Highlights:

  • SEI achieved diluted EPS of $1.78, up 70% from the prior year, reflecting continued momentum in SEI's business in addition to the $0.58 impact of several items affecting comparability in the quarter, specifically:
    • A $0.60 benefit associated with the gain on sale of the Family Office Services business, and a settlement gain from the resolution of a long-standing vendor negotiation.
    • A $0.02 combined loss from FX transaction losses and M&A legal fees from our recently announced acquisition of Stratos Wealth Holdings, reflected in Corporate Overhead.
  • Net sales events during the second quarter 2025 were $29.2 million, bringing net sales events for the trailing 12 months to $160.4 million, a new record. Sales events were driven by the Investment Managers business, which achieved a balanced mix of wins across alternatives, traditional and international investment managers.
    • Sales pipelines across all of SEI's businesses remain healthy, including Private Banking and the Asset Management businesses, where net sales events have improved considerably against 2024 losses.
  • Consolidated revenues and operating income increased by 8% and 9%, respectively, from Q2 2024. SEI's consolidated operating margin of 27% represents a modest improvement over the prior year and a decline vs. Q1 2025, reflecting increased investments in both talent and technology to support expected growth.
    • Private Banks operating profit growth of 11% reflects continued momentum and the positive impact of several clients going live in the quarter.
    • Investment Managers operating profit growth of 7% was driven by a double-digit increase in alternative manager revenue, partially offset by a slight decline in traditional revenue due to volatile Q2 market valuations.
      • Investment Managers operating profit margin declined vs. Q1 2025 due to hiring ahead of expected new business and a challenging comparison due to first quarter delays in hiring.
    • Investment Advisors operating profit growth of 19% reflects the $21M contribution from SEI's integrated cash program, up $11M from Q2 2024.
    • Investment Advisors and Institutional Investors realized flat revenue growth relative to Q1 2025 as market appreciation in May and June offset significant declines realized in April.
  • Average assets under administration increased by 4%, and average assets under management increased 2% relative to Q1 2025. Ending assets under management increased by 6% from Q1 to Q2, reflecting significant market appreciation realized during the months of May and June.
    • Institutional Investors and Investment Advisors net flows have improved year-to-date, posting just over $1 billion of net outflows against more than $7 billion of net outflows in the first half of 2024.
  • SEI repurchased 2.2 million shares of common stock for $180.8 million during the second quarter 2025 at an average price of $83.60 per share, bringing total shares repurchased to 9.0 million for the trailing 12 months.

Earnings Conference Call

A conference call and presentation to review earnings is scheduled for 5 p.m. Eastern time on July 23, 2025. Analysts and investors are invited to join the call by completing the registration form. The public is invited to review the presentation and listen to the call and replay at ir.seic.com/events-presentations/events.

Link for registration form: https://edge.media-server.com/mmc/p/hxy2xx8e/

About SEI®

SEI (NASDAQ:SEIC) is a leading global provider of financial technology, operations, and asset management services within the financial services industry. SEI tailors its solutions and services to help clients more effectively deploy their capital—whether that's money, time, or talent—so they can better serve their clients and achieve their growth objectives. As of June 30, 2025, SEI manages, advises, or administers approximately $1.7 trillion in assets. For more information, visit seic.com.

This release contains forward-looking statements within the meaning or the rules and regulations of the Securities and Exchange Commission. In some cases you can identify forward-looking statements by terminology, such as "may," "will," "expect," "believe" and "continue" or "appear." Our forward-looking statements include our current expectations as to:

  • whether we are positioned for sustained growth;
  • the nature of our internal investments and the factors that drive these investments;
  • our goals;
  • the strength of our pipelines;
  • our focus on profitability and cost leverage;
  • our cost discipline and its effects on profitability;
  • our investment priorities; and
  • when and if we will generate net annualized recurring revenues from sales events that occurred during the quarter, as well as the amount of any such revenue.

You should not place undue reliance on our forward-looking statements, as they are based on the current beliefs and expectations of our management and subject to significant risks and uncertainties, many of which are beyond our control or are subject to change. Although we believe the assumptions upon which we base our forward-looking statements are reasonable, they could be inaccurate. Some of the risks and important factors that could cause actual results to differ from those described in our forward-looking statements can be found in the "Risk Factors" section of our Annual Report on Form 10-K for the year ended Dec. 31, 2024, filed with the Securities and Exchange Commission.

 

SEI INVESTMENTS COMPANY

CONSOLIDATED STATEMENTS OF OPERATIONS

(In thousands, except per share data) (Unaudited)







For the Three Months

Ended June 30,



For the Six Months

Ended June 30,





2025



2024



2025



2024



















Asset management, admin. and distribution fees



$437,543



$409,398



$869,686



$813,764

Information processing and software servicing fees



122,058



109,588



241,259



216,801



















Total revenues



559,601



518,986



1,110,945



1,030,565



















Subadvisory, distribution and other asset mgmt. costs



49,709



46,542



97,241



93,310

Software royalties and other information processing costs



9,191



8,096



18,272



16,567

Compensation, benefits and other personnel



199,574



185,878



390,358



378,794

Stock-based compensation



13,891



12,469



28,029



23,528

Consulting, outsourcing and professional fees



56,942



53,991



112,943



105,967

Data processing and computer related



41,801



38,074



81,120



75,234

Facilities, supplies and other costs



21,744



18,570



40,499



37,173

Amortization



10,449



10,485



21,159



20,871

Depreciation



7,665



8,367



15,592



16,756



















Total expenses



410,966



382,472



805,213



768,200



















Income from operations



148,635



136,514



305,732



262,365



















Net gain from investments



1,759



666



2,252



2,922

Interest and dividend income



9,283



11,552



19,504



22,371

Interest expense



(92)



(139)



(277)



(278)

Gain on sale of business



94,412





94,412



Other income



4,500





4,500



Equity in earnings of unconsolidated affiliate



33,640



34,219



62,387



65,862



















Income before income taxes



292,137



182,812



488,510



353,242



















Income taxes



65,054



43,692



109,910



82,722



















Net income



$227,083



$139,120



$378,600



$270,520



















Basic earnings per common share



$1.82



$1.06



$3.02



$2.06



















Shares used to calculate basic earnings per share



124,470



130,815



125,516



131,116



















Diluted earnings per common share



$1.78



$1.05



$2.95



$2.04



















Shares used to calculate diluted earnings per share



127,278



132,073



128,364



132,409



















Dividends declared per common share



$0.49



$0.46



$0.49



$0.46

 

SEI INVESTMENTS COMPANY

CONSOLIDATED BALANCE SHEETS

(In thousands) (Unaudited)







June 30,



December 31,





2025



2024

Assets









Current Assets:









 Cash and cash equivalents



$746,349



$840,193

 Receivables from investment products



49,095



54,118

 Receivables, net of allowance for doubtful accounts of $2,124 and $1,435



637,568



567,634

 Securities owned



31,682



29,583

 Other current assets



66,310



60,282

Total Current Assets



1,531,004



1,551,810











Property and Equipment, net of accumulated depreciation of $503,326 and $493,219



155,690



159,643

Operating Lease Right-of-Use Assets



26,693



28,905

Capitalized Software, net of accumulated amortization of $653,008 and $641,071



235,601



236,023

Investments



290,466



315,567

Goodwill



168,738



170,287

Intangible Assets, net of accumulated amortization of $41,550 and $55,835



65,189



77,370

Deferred Contract Costs



47,218



45,855

Deferred Income Taxes



51,379



51,984

Other Assets, net



54,288



47,162

Total Assets



$2,626,266



$2,684,606











Liabilities and Equity









Current Liabilities:









 Accounts payable



$13,084



$13,081

 Accrued liabilities



214,507



347,513

 Current portion of long-term operating lease liabilities



7,400



7,900

 Deferred revenue



12,583



12,019

Total Current Liabilities



247,574



380,513











Long-term Income Taxes Payable





803

Long-term Operating Lease Liabilities



21,646



24,235

Other Long-term Liabilities



18,607



26,943

Total Liabilities



287,827



432,494











Shareholders' Equity:









Common stock, $0.01 par value, 750,000 shares authorized; 123,697 and 126,840

shares issued and outstanding



1,236



1,268

Capital in excess of par value



1,619,133



1,539,816

Retained earnings



739,453



758,003

Accumulated other comprehensive loss, net



(21,383)



(46,975)

Total Shareholders' Equity



2,338,439



2,252,112

Total Liabilities and Shareholders' Equity



$2,626,266



$2,684,606

 

SEI INVESTMENTS COMPANY

CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS

(In thousands) (Unaudited)







For the Six Months

Ended June 30,





2025



2024

Cash flows from operating activities:









Net income



$378,600



$270,520

Adjustments to reconcile net income to net cash provided by operating activities



(135,595)



(43,490)

Net cash provided by operating activities



$243,005



$227,030

Net cash provided by/(used in) investing activities



$65,268



($61,082)

Net cash used in financing activities



($419,220)



($229,687)

Effect of exchange rate changes on cash, cash equivalents and restricted cash



17,103



(2,667)

Net decrease in cash, cash equivalents and restricted cash



(93,844)



(66,406)

Cash, cash equivalents and restricted cash, beginning of period



840,193



834,998

Cash, cash equivalents and restricted cash, end of period



$746,349



$768,592

 

ENDING ASSET BALANCES

(In millions)  (Unaudited)







Jun. 30



Sep. 30



Dec. 31



Mar. 31



Jun. 30





2024



2024



2024



2025



2025

Investment Managers:





















Collective trust fund programs (A)



$192,747



$204,429



$202,384



$209,491



$225,690

Liquidity funds



221



233



188



244



307

Total assets under management



$192,968



$204,662



$202,572



$209,735



$225,997

Client assets under administration



998,315



1,022,515



1,032,812



1,061,067



1,128,325

Total assets



$1,191,283



$1,227,177



$1,235,384



$1,270,802



$1,354,322























Private Banks:





















Equity and fixed-income programs



$25,031



$26,565



$25,523



$25,590



$27,839

Collective trust fund programs



5



5



4



4



3

Liquidity funds



2,699



2,948



2,688



3,670



2,796

Total assets under management



$27,735



$29,518



$28,215



$29,264



$30,638

Client assets under administration



7,813



8,349



8,340



8,365



8,431

Total assets



$35,548



$37,867



$36,555



$37,629



$39,069























Investment Advisors:





















Equity and fixed-income programs



$74,556



$78,361



$76,283



$75,689



$80,618

Liquidity funds



4,301



2,790



3,105



3,153



3,457

Total Platform assets under management



$78,857



$81,151



$79,388



$78,842



$84,075

Platform-only assets



21,908



24,501



25,244



25,591



29,848

Platform-only assets-deposit program



894



2,447



2,398



2,216



2,155

Total Platform assets



$101,659



$108,099



$107,030



$106,649



$116,078























Institutional Investors:





















Equity and fixed-income programs



$75,542



$79,252



$75,481



$76,491



$80,112

Collective trust fund programs



1



1



1



1



Liquidity funds



2,309



1,829



1,511



1,580



1,768

Total assets under management



$77,852



$81,082



$76,993



$78,072



$81,880

Client assets under advisement



7,886



8,038



5,955



5,573



6,090

Total assets



$85,738



$89,120



$82,948



$83,645



$87,970























Investments in New Businesses:





















Equity and fixed-income programs



$2,285



$2,825



$2,747



$2,661



$2,867

Liquidity funds



631



246



297



288



244

Total assets under management



$2,916



$3,071



$3,044



$2,949



$3,111

Client assets under administration (E)



14,848



15,110



14,791



14,846



Client assets under advisement



1,886



2,021



2,185



2,219



2,593

Total assets



$19,650



$20,202



$20,020



$20,014



$5,704























LSV Asset Management:





















Equity and fixed-income programs (B)



$90,197



$93,855



$86,501



$87,114



$91,795























Total:





















Equity and fixed-income programs (C)



$267,611



$280,858



$266,535



$267,545



$283,231

Collective trust fund programs



192,753



204,435



202,389



209,496



225,693

Liquidity funds



10,161



8,046



7,789



8,935



8,572

Total assets under management



$470,525



$493,339



$476,713



$485,976



$517,496

Client assets under advisement



9,772



10,059



8,140



7,792



8,683

Client assets under administration (D)



1,020,976



1,045,974



1,055,943



1,084,278



1,136,756

Platform-only assets



22,802



26,948



27,642



27,807



32,003

Total assets



$1,524,075



$1,576,320



$1,568,438



$1,605,853



$1,694,938





(A)

Collective trust fund program assets in the Investment Managers segment are included in assets under management since SEI is the trustee. Fees earned on this product are less than fees earned on customized asset management programs.

(B)

Equity and fixed-income programs include $1.4 billion of assets managed by LSV in which fees are based solely on performance and are not calculated as an asset-based fee (as of June 30, 2025).

(C)

Equity and fixed-income programs include $6.7 billion of assets invested in various asset allocation funds (as of June 30, 2025).

(D)

In addition to the assets presented, SEI also administers an additional $11.4 billion in Funds of Funds assets on which SEI does not earn an administration fee (as of June 30, 2025).

(E)

Client assets under administration related to the Family Office Services business divested on June 30, 2025.

 

AVERAGE ASSET BALANCES

(In millions) (Unaudited)







2nd Qtr.



3rd Qtr.



4th Qtr.



1st Qtr.



2nd Qtr.





2024



2024



2024



2025



2025

Investment Managers:





















Collective trust fund programs (A)



$189,884



$198,839



$204,954



$208,720



$215,085

Liquidity funds



227



245



223



256



288

Total assets under management



$190,111



$199,084



$205,177



$208,976



$215,373

Client assets under administration



982,806



1,005,111



1,034,500



1,061,282



1,098,925

Total assets



$1,172,917



$1,204,195



$1,239,677



$1,270,258



$1,314,298























Private Banks:





















Equity and fixed-income programs



$24,859



$25,823



$26,067



$25,894



$26,533

Collective trust fund programs



5



5



4



4



3

Liquidity funds



2,734



2,858



2,814



2,961



2,771

Total assets under management



$27,598



$28,686



$28,885



$28,859



$29,307

Client assets under administration



7,884



8,074



8,395



8,488



8,266

Total assets



$35,482



$36,760



$37,280



$37,347



$37,573























Investment Advisors:





















Equity and fixed-income programs



$73,793



$76,111



$77,866



$77,287



$76,629

Liquidity funds



4,348



4,264



3,031



3,119



3,464

Total Platform assets under management



$78,141



$80,375



$80,897



$80,406



$80,093

Platform-only assets



20,897



23,194



25,109



25,939



27,288

Platform-only assets-deposit program



886



1,176



2,186



2,187



2,152

Total Platform assets



$99,924



$104,745



$108,192



$108,532



$109,533























Institutional Investors:





















Equity and fixed-income programs



$75,203



$77,473



$77,399



$76,492



$77,843

Collective trust fund programs



1



1



1



1



Liquidity funds



1,893



2,046



2,154



1,655



1,853

Total assets under management



$77,097



$79,520



$79,554



$78,148



$79,696

Client assets under advisement



7,508



7,925



6,991



5,741



5,841

Total assets



$84,605



$87,445



$86,545



$83,889



$85,537























Investments in New Businesses:





















Equity and fixed-income programs



$2,234



$2,432



$2,819



$2,801



$2,732

Liquidity funds



471



546



269



274



244

Total assets under management



$2,705



$2,978



$3,088



$3,075



$2,976

Client assets under administration (E)



14,713



14,973



14,961



14,630



14,917

Client assets under advisement



2,014



1,885



2,110



2,205



2,329

Total assets



$19,432



$19,836



$20,159



$19,910



$20,222























LSV Asset Management:





















Equity and fixed-income programs (B)



$90,849



$93,195



$88,880



$87,790



$89,422























Total:





















Equity and fixed-income programs (C)



$266,938



$275,034



$273,031



$270,264



$273,159

Collective trust fund programs



189,890



198,845



204,959



208,725



215,088

Liquidity funds



9,673



9,959



8,491



8,265



8,620

Total assets under management



$466,501



$483,838



$486,481



$487,254



$496,867

Client assets under advisement



9,522



9,810



9,101



7,946



8,170

Client assets under administration (D)



1,005,403



1,028,158



1,057,856



1,084,400



1,122,108

Platform-only assets



21,783



24,370



27,295



28,126



29,440

Total assets



$1,503,209



$1,546,176



$1,580,733



$1,607,726



$1,656,585





(A)

Collective trust fund program average assets in the Investment Managers segment are included in assets under management since SEI is the trustee. Fees earned on this product are less than fees earned on customized asset management programs.

(B)

Equity and fixed-income programs during second-quarter 2025 include $1.4 billion of average assets managed by LSV in which fees are based solely on performance and are not calculated as an asset-based fee.

(C)

Equity and fixed-income programs include $6.5 billion of average assets invested in various asset allocation funds during second-quarter 2025.

(D)

In addition to the assets presented, SEI also administers an additional $11.2 billion of average assets in Funds of Funds assets during second-quarter 2025 on which SEI does not earn an administration fee.

(E)

Client assets under administration include $14.9 billion of average assets during second-quarter 2025 related to the Family Office Services business which was divested on June 30, 2025.

 

SALES EVENTS

(In thousands) (Unaudited)



Net Recurring Sales Events



























2nd Qtr.



3rd Qtr.



4th Qtr.



1st Qtr.



2nd Qtr.





2024



2024



2024



2025



2025

Investment Processing-related Businesses:





















Investment Managers



$      17,180



$      23,319



$      18,027



$      25,296



$      21,928

Private Banks



4,331



9,417



9,245



7,059



254

Total Investment Processing-related Businesses



$      21,511



$      32,736



$      27,272



$      32,355



$      22,182























Asset Management-related Businesses:





















Private Banks-AMD



$         (494)



$         (854)



$          495



$          (58)



$         (174)

Investment Advisors



(3,299)



2,686



1,339



888



(1,654)

Institutional Investors



(1,787)



(576)



(2,673)



41



2,544

Total Asset Management-related Businesses



$      (5,580)



$       1,256



$         (839)



$          871



$          716























Newer Initiatives:





















Investments in New Businesses



$          (43)



$          936



$       1,778



$       3,614



$       1,245























Total Net Recurring Sales Events



$      15,888



$      34,928



$      28,211



$      36,840



$      24,143























Non-Recurring Sales Events



























2nd Qtr.



3rd Qtr.



4th Qtr.



1st Qtr.



2nd Qtr.





2024



2024



2024



2025



2025

Investment Processing-related Businesses:





















Investment Managers



$          930



$          712



$       2,465



$          835



$       1,102

Private Banks



4,431



8,796



6,622



7,060



2,373

Total Investment Processing-related Businesses



$       5,361



$       9,508



$       9,087



$       7,895



$       3,475























Newer Initiatives:





















Investments in New Businesses



$          717



$       1,976



$          921



$       1,834



$       1,552























Total Non-Recurring Sales Events



$       6,078



$      11,484



$      10,008



$       9,729



$       5,027























Total Sales Events



























2nd Qtr.



3rd Qtr.



4th Qtr.



1st Qtr.



2nd Qtr.





2024



2024



2024



2025



2025

Investment Processing-related Businesses:





















Investment Managers



$      18,110



$      24,031



$      20,492



$      26,131



$      23,030

Private Banks



8,762



18,213



15,867



14,119



2,627

Total Investment Processing-related Businesses



$      26,872



$      42,244



$      36,359



$      40,250



$      25,657























Asset Management-related Businesses:





















Private Banks-AMD



$         (494)



$         (854)



$          495



$          (58)



$         (174)

Investment Advisors



(3,299)



2,686



1,339



888



(1,654)

Institutional Investors



(1,787)



(576)



(2,673)



41



2,544

Total Asset Management-related Businesses



$      (5,580)



$       1,256



$         (839)



$          871



$          716























Newer Initiatives:





















Investments in New Businesses



$          674



$       2,912



$       2,699



$       5,448



$       2,797























Total Sales Events



$      21,966



$      46,412



$      38,219



$      46,569



$      29,170

 

Investor contact:

Media contact:

Brad Burke

Leslie Wojcik

SEI

SEI                                                     

+1 610-676-5350

+1 610-676-4191

[email protected]

[email protected]

View original content:https://www.prnewswire.com/news-releases/sei-reports-second-quarter-2025-financial-results-302512385.html

SOURCE SEI Investments Company

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