LPL Financial Holdings Inc
Q4 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: −0.99%.
Did LPLA Beat Earnings? Q4 2025 Results
LPL Financial delivered a strong finish to fiscal 2025, posting fourth-quarter adjusted EPS of $5.23 against a consensus estimate of $4.99, a beat of 4.81%, while revenue of $4.93 billion topped expectations by 1.61% and surged 40.4% year-over-year. The headline driver was the company's expanding wealth management platform, where a 59% jump in advisory revenue helped push total advisory and brokerage assets to approximately $2.4 trillion, up 36% from the prior year. The Commonwealth Financial Network acquisition, closed earlier in 2025, remains central to the growth story; management expects full conversion by Q4 2026 with roughly 90% asset retention and run-rate EBITDA of approximately $425 million. The advisor headcount reached 32,178, up 11% year-over-year, with continued recruitment momentum evident across the quarter. Despite shares facing pressure from broader concerns about AI disruption in wealth management, analysts maintain a moderate buy consensus. For 2026, Core G&A including Commonwealth is guided at $2.15 billion to $2.21 billion, reflecting the scale of the firm's ongoing integration efforts.
- Advisory assets increased 46% YoY to $1.4 trillion, with advisory as a percentage of total assets rising to 58.8%
- Total advisory and brokerage assets grew 36% YoY to $2.4 trillion
- Total organic net new assets were $23 billion, representing 4% annualized growth
- Recruited assets were $14 billion in Q4
- Total client cash balances increased to $61 billion, up $5 billion sequentially and $6 billion YoY
- Adjusted EPS increased 23% YoY to $5.23
- Gross profit increased 26% YoY to $1,542 million
- Payout rate increased to 88.00% from 87.79% YoY
“2025 was an outstanding year for LPL as we advanced our key strategic priorities. We achieved industry-leading organic growth, completed the onboarding and integration of Atria, closed on our acquisitions of The Investment Center and Commonwealth, and made meaningful progress driving improved operating leverage. Together, these accomplishments reflect the strength of our platform and our continued focus on delivering unmatched value for advisors and their clients.”
LPL Financial CEO, on the earnings call
Forward Guidance & Outlook
For 2026, LPL plans to continue investing to drive growth while creating greater efficiencies as it scales the business. Core G&A outlook (excluding Commonwealth) is $1,775-$1,820 million, representing 4.5-7% year-over-year growth. Including Commonwealth expenses, 2026 Core G&A outlook is $2,155-$2,210 million. The Commonwealth conversion is on track for Q4 2026, with expected asset retention of approximately 90% and run-rate EBITDA of approximately $425 million.
LPLA YoY Financials
LPLA Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.