LPL Financial reported net income of $48 million, or 53 cents a share, for the second quarter, down 5 percent from a year ago, beating analysts’ expectations by 9 cents, according to Seeking Alpha.
Net revenues were about $1 billion, a 7 percent decline year-over-year, but $32.43 million higher than analysts’ expectations.
"We delivered another strong quarter driven by improving business fundamentals and disciplined expense management, despite the volatile market," Chairman and CEO Mark Casady said. "We also had good growth in the quarter with assets and advisors both up."
Total brokerage and advisory assets were $488 billion at the end of the second quarter, up 2 percent sequentially. The firm reported $2.8 billion in net new advisory assets, compared to $2 billion in the first quarter and $4.3 billion a year ago.
The firm added 100 net new advisors during the quarter, bringing total headcount to 14,193. The firm added 39 advisors in the first quarter.
Annualized gross domestic commissions per advisor was $217,000, a 10 percent decline from $242,000 in the second quarter of 2015.
Total G&A expenses were down 3 percent year-over-year, but regulatory expenses increased $4 million from the prior quarter. The firm attributed the increase to recoveries from prior matters that benefited the firm in the first quarter and did not recur.