Siebert Financial Corp. (NASDAQ: SIEB) (“Siebert”), a diversified provider of financial services, today reported financial results for the second quarter ended June 30, 2024.
Second Quarter 2024 Financial and Operational Highlights
- Revenue increased 19% to $20.9 million, compared to $17.6 million in the second quarter of 2023.
- Operating income increased 20% to $5.6 million, compared to $4.7 million in the second quarter of 2023.
- Retail customer net worth increased 5% to $17.4 billion, compared to $16.6 billion at the end of the first quarter of 2024.
Recent Business Highlights
- Appointed Raakhee Miller, an industry veteran with over 25 years of experience in technology leadership, as President of Siebert Technologies, LLC. In this role, Miller will spearhead efforts to integrate advanced technologies and enhance Siebert's digital platforms, aiming to elevate the client experience and support services.
- Formed an advisory committee featuring prominent figures from finance, technology, sports, and entertainment, including Akon and Brandon Marshall, as well as Mick Solimene, Steven Geskos, and Nick Jarjour. The committee will provide strategic guidance as Siebert pursues an ambitious growth strategy, leveraging the diverse expertise of its members to drive innovation and expansion across various sectors.
Management Commentary
"Our strong second quarter earnings growth underscores Siebert's financial robustness and promising outlook," said John J. Gebbia, CEO of Siebert. "We're intensifying our focus on modernizing our offerings, expanding our reach, and advancing our technology. Key initiatives include developing a Siebert mobile retail trading app, launching an online platform for our retail and corporate clients, and upgrading our technological infrastructure. These investments are crucial for serving our diverse customer base, from retail investors to corporate clients, and will support our expansion into new markets and demographics. We're well-positioned to achieve our strategic objectives and capitalize on emerging opportunities."
Andrew Reich, CFO of Siebert, added: "We've delivered another strong quarter, with revenue increasing 19% year-over-year to $20.9 million. This growth was primarily driven by growth in principal transactions as well as commission and fees. Our operating income rose by 20%, while net income available to common stockholders surged by 49%. With our total equity up 12% from last year and a strong capital position, we are well-equipped to capitalize on the growth opportunities ahead. We expect these positive trends to continue which will further position us for sustained success."
Notice to Investors
This communication is provided for informational purposes only and is neither an offer to sell nor a solicitation of an offer to buy any securities in the United States or elsewhere.
About Siebert Financial Corp.
Siebert is a diversified financial services company and has been a member of the NYSE since 1967 when Muriel Siebert became the first woman to own a seat on the NYSE and the first to head one of its member firms.
Siebert operates through its subsidiaries Muriel Siebert & Co., LLC, Siebert AdvisorNXT, LLC, Park Wilshire Companies, Inc., RISE Financial Services, LLC, Siebert Technologies, LLC and StockCross Digital Solutions, Ltd. Through these entities, Siebert provides a full range of brokerage and financial advisory services including securities brokerage, investment advisory and insurance offerings, securities lending, and corporate stock plan administration solutions. For over 55 years, Siebert has been a company that values its clients, shareholders, and employees. More information is available at www.siebert.com.
Cautionary Note Regarding Forward-Looking Statements
The statements contained in this press release, that are not historical facts, including statements about our beliefs and expectations, are “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements preceded by, followed by or that include the words “may,” “could,” “would,” “should,” “believe,” “expect,” “anticipate,” “plan,” “estimate,” “target,” “project,” “intend” and similar words or expressions. In addition, any statements that refer to expectations, projections, or other characterizations of future events or circumstances are forward-looking statements.
These forward-looking statements, which reflect beliefs, objectives, and expectations as of the date hereof, are based on the best judgment of management of Siebert. All forward-looking statements speak only as of the date on which they are made. Such forward-looking statements are subject to certain risks, uncertainties and assumptions relating to factors that could cause actual results to differ materially from those anticipated in such statements, including, without limitation, the following: economic, social and political conditions, global economic downturns resulting from extraordinary events; securities industry risks; interest rate risks; liquidity risks; credit risk with clients and counterparties; risk of liability for errors in clearing functions; systemic risk; systems failures, delays and capacity constraints; network security risks; competition; reliance on external service providers; new laws and regulations affecting Siebert’s business; net capital requirements; extensive regulation, regulatory uncertainties and legal matters; failure to maintain relationships with employees, customers, business partners or governmental entities; the inability to achieve synergies or to implement integration plans; and other consequences associated with risks and uncertainties detailed in Part I, Item 1A - Risk Factors of Siebert’s Annual Report on Form 10-K for the year ended December 31, 2023, and Siebert’s filings with the SEC.
Siebert cautions that the foregoing list of factors is not exclusive, and new factors may emerge, or changes to the foregoing factors may occur, that could impact its business. Siebert undertakes no obligation to publicly update or revise these statements, whether as a result of new information, future events or otherwise, except to the extent required by the federal securities laws.
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