What changed in this filing

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Item 1. Financial Statements

2024-05-07 compared with 2024-02-07 · 439 added, 201 removed, 1472 unchanged (30% of the section changed)

3 unchanged sentences

CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION

$ in millions, except per share amounts December 31, 2023 September 30, 2023

$ in millions, except per share amounts March 31, 2024 September 30, 2023

Cash and cash equivalents $ 10,001 $ 9,313

32 unchanged sentences

650,000,000 shares authorized;

249,682,751 shares issued and 208,665,962 shares outstanding as of December 31, 2023;

249,799,231 shares issued and 207,318,494 shares outstanding as of March 31, 2024;

248,728,805 shares issued and 208,769,095 shares outstanding as of September 30, 2023

2 unchanged sentences

Treasury stock, at cost;

41,016,789 and 39,959,710 common shares as of December 31, 2023 and September 30, 2023, respectively

42,480,737 and 39,959,710 common shares as of March 31, 2024 and September 30, 2023, respectively

( 2,547 ) ( 2,252 )

9 unchanged sentences

CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME

Three months ended December 31,

Three months ended March 31, Six months ended March 31,

in millions, except per share amounts

2024 2023 2024 2023

Asset management and related administrative fees $ 1,516 $ 1,302 $ 2,923 $ 2,544

5 unchanged sentences

Investment banking

179 154 360 295

Interest income

1,049 915 2,102 1,742

Total revenues

3,638 3,157 7,158 6,184

Interest expense

( 520 ) ( 284 ) ( 1,027 ) ( 525 )

3,118 2,873 6,131 5,659

Non-interest expenses:

Compensation, commissions and benefits

2,043 1,820 3,964 3,556

Non-compensation expenses:

Communications and information processing

165 153 315 292

Occupancy and equipment

73 68 145 134

Business development

60 54 121 110

Investment sub-advisory fees

1 unchanged sentence

Bank loan provision for credit losses 21 28 33 42

70 119 165 176

Total non-compensation expenses 466 496 928 894

1 unchanged sentence

Pre-tax income

609 557 1,239 1,209

Provision for income taxes

133 130 265 273

Net income 476 427 974 936

6 unchanged sentences

Weighted-average common shares outstanding – basic

208.3 214.3 208.4 214.5

Weighted-average common and common equivalent shares outstanding – diluted

213.4 219.2 213.5 219.7

$ 476 $ 427 $ 974 $ 936

Other comprehensive income/(loss), net of tax:

Available-for-sale securities

( 26 ) 97 244 144

Currency translations, net of the impact of net investment hedges ( 11 ) 7 18 53

Cash flow hedges

Total other comprehensive income, net of tax

6 ( 11 ) ( 15 ) ( 13 )

Total other comprehensive income/(loss), net of tax

( 31 ) 93 247 184

Total comprehensive income $ 445 $ 520 $ 1,221 $ 1,120

3 unchanged sentences

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY

Three months ended December 31,

Three months ended March 31, Six months ended March 31,

$ in millions, except per share amounts 2024 2023 2024 2023

1 unchanged sentence

Balance beginning of period

$ 79 $ 120 $ 79 $ 120

Share issuances

Balance end of period

79 120 79 120

Common stock, par value $ .01 per share:

4 unchanged sentences

Balance beginning of period

3,158 2,975 3,143 2,987

Employee stock purchases

2 unchanged sentences

Balance end of period

3,186 3,035 3,186 3,035

Retained earnings:

Balance beginning of period

10,609 9,254 10,213 8,843

Net income attributable to Raymond James Financial, Inc.

476 427 974 936

Common and preferred stock cash dividends declared (see Note 17)

1 unchanged sentence

Balance end of period

10,988 9,590 10,988 9,590

Treasury stock:

9 unchanged sentences

( 693 ) ( 891 ) ( 971 ) ( 982 )

Other comprehensive income, net of tax

Other comprehensive income/(loss), net of tax

( 31 ) 93 247 184

Balance end of period

5 unchanged sentences

$ ( 9 ) $ ( 26 ) $ ( 27 ) $ ( 26 )

Consolidations

Consolidations and other

Balance end of period

( 5 ) ( 26 ) ( 5 ) ( 26 )

Total shareholders’ equity

4 unchanged sentences

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

Three months ended December 31,

Six months ended March 31,

$ in millions 2024 2023

29 unchanged sentences

( 99 ) ( 69 )

Purchases of Federal Reserve Bank and Federal Home Loan Bank stock, net ( 1 ) ( 35 )

Investment in solar tax credit equity investment ( 15 ) —

Purchases of other investments, net — ( 6 )

Other investing activities, net ( 73 ) ( 44 )

Net cash used in investing activities ( 109 ) ( 319 )

( 176 ) ( 666 )

See accompanying Notes to Condensed Consolidated Financial Statements (Unaudited).

2 unchanged sentences

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

Three months ended December 31,

Six months ended March 31,

$ in millions 2024 2023

7 unchanged sentences

Repayments of Federal Home Loan Bank advances and other borrowed funds ( 750 ) ( 1,291 )

Proceeds from short-term borrowings, net 200 —

Other financing, net ( 1 ) ( 2 )

20 unchanged sentences

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

December 31, 2023

March 31, 2024

NOTE 1 – ORGANIZATION AND BASIS OF PRESENTATION

23 unchanged sentences

A summary of our significant accounting policies is included in Note 2 of our 2023 Form 10-K.

During the three months ended December 31, 2023, there were no significant changes to our significant accounting policies other than the accounting policies adopted or modified as part of our implementation of new or amended accounting guidance, as noted in the following sections.

During the three and six months ended March 31, 2024, there were no significant changes to our significant accounting policies other than the accounting policies adopted or modified as part of our implementation of new or amended accounting guidance, as noted in the following section.

Accounting guidance adopted in fiscal 2024

17 unchanged sentences

$ in millions Level 1 Level 2 Level 3 Netting

adjustments Balance as of December 31, 2023

adjustments Balance as of March 31, 2024

Assets at fair value on a recurring basis:

12 unchanged sentences

1,180 7,851 — — 9,031

Derivative assets - interest rate 8 375 — ( 188 ) 195

Derivative assets:

Interest rate

4 403 — ( 202 ) 205

Foreign exchange — 1 — — 1

Total derivative assets 4 404 — ( 202 ) 206

All other investments:

11 unchanged sentences

Government and agency obligations 231 1 — — 232

Agency MBS and CMOs

Total debt securities 237 642 — — 879

70 unchanged sentences

In the following tables, gains/(losses) on trading and derivative instruments are reported in “ Principal transactions ” and gains/(losses) on other investments are reported in “ Other ” revenues on our Condensed Consolidated Statements of Income and Comprehensive Income.

Three months ended December 31, 2023

Three months ended March 31, 2024

Level 3 instruments at fair value

10 unchanged sentences

Unrealized gains/(losses) for the period included in earnings for instruments held at the end of the reporting period

Six months ended March 31, 2024

Level 3 instruments at fair value

Financial assets Financial liabilities

Trading assets Other investments Derivative liabilities

$ in millions Other All other Other

Fair value beginning of period

Total gains/(losses) included in earnings

Purchases and contributions

Sales and distributions ( 29 ) — —

Into Level 3 — — —

Out of Level 3 — — —

Fair value end of period

Unrealized gains/(losses) for the period included in earnings for instruments held at the end of the reporting period

$ — $ ( 1 ) $ —

Three months ended December 31, 2022

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

Three months ended March 31, 2023

Level 3 instruments at fair value

13 unchanged sentences

$ — $ ( 2 ) $ —

As of both December 31, 2023 and September 30, 2023, 14 % of our assets and 2 % of our liabilities were measured at fair value on a recurring basis.

As of both December 31, 2023 and September 30, 2023, Level 3 assets represented less than 1 % of our assets measured at fair value on a recurring basis.

Six months ended March 31, 2023

Level 3 instruments at fair value

Financial assets Financial liabilities

Trading assets Other investments Derivative liabilities

$ in millions Other All other Other

Fair value beginning of period

$ 1 $ 29 $ ( 3 )

Total gains/(losses) included in earnings

— ( 1 ) ( 1 )

Purchases and contributions

Sales, distributions, and deconsolidations ( 34 ) — —

Into Level 3 — — —

Out of Level 3 — — —

Fair value end of period

$ 3 $ 28 $ ( 4 )

Unrealized gains/(losses) for the period included in earnings for instruments held at the end of the reporting period

$ — $ ( 1 ) $ ( 1 )

As of both March 31, 2024 and September 30, 2023, 14 % of our assets and 2 % of our liabilities were measured at fair value on a recurring basis.

As of both March 31, 2024 and September 30, 2023, Level 3 assets represented less than 1 % of our assets measured at fair value on a recurring basis.

Investments in private equity measured at net asset value per share

1 unchanged sentence

We utilize NAV when the fund investment does not have a readily determinable fair value and the NAV of the fund is calculated in a manner consistent with the measurement principles of investment company accounting, including measurement of the investments at fair value.

Our private equity portfolio as of December 31, 2023 primarily included investments in third-party funds, including growth equity, venture capital, and mezzanine lending fund investments.

Our private equity portfolio as of March 31, 2024 primarily included investments in third-party funds, including growth equity, venture capital, and mezzanine lending fund investments.

Our investments cannot be redeemed directly with the funds.

5 unchanged sentences

$ in millions Recorded value Unfunded commitment

December 31, 2023

March 31, 2024

Private equity investments measured at NAV $ 99 $ 26

11 unchanged sentences

(weighted-average)

December 31, 2023

March 31, 2024

Residential mortgage loans $ 2 $ 8 $ 10 Collateral or

20 unchanged sentences

Many, but not all, of the financial instruments we hold were recorded at fair value on the Condensed Consolidated Statements of Financial Condition.

The following table presents the estimated fair value and fair value hierarchy of financial assets and liabilities that are not recorded at fair value on the Condensed Consolidated Statements of Financial Condition at December 31, 2023 and September 30, 2023.

This table excludes financial instruments that are carried at amounts which approximate fair value.

1 unchanged sentence

$ in millions Level 2 Level 3 Total estimated fair value Carrying amount

December 31, 2023

March 31, 2024

Financial assets:

23 unchanged sentences

unrealized losses Fair value

December 31, 2023

March 31, 2024

Agency residential MBS $ 4,522 $ 1 $ ( 476 ) $ 4,047

17 unchanged sentences

Total available-for-sale securities $ 10,433 $ — $ ( 1,252 ) $ 9,181

The amortized costs and fair values in the preceding table exclude $ 29 million and $ 28 million of accrued interest on available-for-sale securities as of December 31, 2023 and September 30, 2023, respectively, which was included in “ Other receivables, net ” on our Condensed Consolidated Statements of Financial Condition.

The amortized costs and fair values in the preceding table exclude $ 28 million of accrued interest on available-for-sale securities as of both March 31, 2024 and September 30, 2023, which was included in “ Other receivables, net ” on our Condensed Consolidated Statements of Financial Condition.

See Note 6 for more information regarding available-for-sale securities pledged with the Federal Home Loan Bank (“FHLB”) and Federal Reserve Bank of Atlanta (“FRB”).

5 unchanged sentences

Since our MBS and CMO available-for-sale securities are backed by mortgages, actual maturities may differ from contractual maturities because borrowers may have the right to prepay obligations without prepayment penalties.

As a result, the weighted-average life of our available-for-sale securities portfolio, after factoring in estimated prepayments, was approximately 4.0 years as of December 31, 2023.

December 31, 2023

As a result, the weighted-average life of our available-for-sale securities portfolio, after factoring in estimated prepayments, was approximately 3.9 years as of March 31, 2024.

March 31, 2024

$ in millions Within one year After one but

60 unchanged sentences

losses Fair value Unrealized

December 31, 2023

March 31, 2024

Agency residential MBS

21 unchanged sentences

$ 373 $ ( 5 ) $ 8,617 $ ( 1,247 ) $ 8,990 $ ( 1,252 )

At December 31, 2023, of the 1,066 available-for-sale securities in an unrealized loss position, 36 were in a continuous unrealized loss position for less than 12 months and 1,030 securities were in a continuous unrealized loss position for greater than 12 months.

At December 31, 2023, debt securities we held in excess of ten percent of our equity included those issued by the Federal National Home Mortgage Association and Federal Home Loan Mortgage Corporation with amortized costs of $ 4.60 billion and $ 2.77 billion, respectively, and fair values of $ 4.11 billion and $ 2.45 billion, respectively.

During the three months ended December 31, 2023 and 2022, there were no sales of available-for-sale securities.

At March 31, 2024, of the 1,035 available-for-sale securities in an unrealized loss position, 19 were in a continuous unrealized loss position for less than 12 months and 1,016 securities were in a continuous unrealized loss position for greater than 12 months.

At March 31, 2024, debt securities we held in excess of ten percent of our equity included those issued by the Federal National Home Mortgage Association and Federal Home Loan Mortgage Corporation with amortized costs of $ 4.51 billion and $ 2.71 billion, respectively, and fair values of $ 4.01 billion and $ 2.38 billion, respectively.

During the three and six months ended March 31, 2024 and 2023, there were no sales of available-for-sale securities.

RAYMOND JAMES FINANCIAL, INC.

7 unchanged sentences

The following table presents the gross fair values and notional amounts of derivatives by product type, the amounts of counterparty and cash collateral netting on our Condensed Consolidated Statements of Financial Condition, as well as collateral posted and received under credit support agreements that do not meet the criteria for netting under GAAP.

December 31, 2023 September 30, 2023

March 31, 2024 September 30, 2023

$ in millions Derivative assets Derivative liabilities Notional amount Derivative assets Derivative liabilities Notional amount

27 unchanged sentences

(1) Included to-be-announced security contracts that are accounted for as derivatives.

The following table details the losses included in accumulated other comprehensive loss (“AOCI”), net of income taxes, on derivatives designated as hedging instruments.

These losses included any amounts reclassified from AOCI to net income during the period.

The following table details the gains/(losses) included in accumulated other comprehensive loss (“AOCI”), net of income taxes, on derivatives designated as hedging instruments.

These gains/(losses) included any amounts reclassified from AOCI to net income during the period.

See Note 17 for additional information.

Three months ended December 31,

Three months ended March 31, Six months ended March 31,

$ in millions 2024 2023 2024 2023

1 unchanged sentence

Foreign exchange (net investment hedges) 22 ( 3 ) — ( 17 )

Total losses included in AOCI, net of taxes

Total gains/(losses) included in AOCI, net of taxes

$ 28 $ ( 14 ) $ ( 15 ) $ ( 30 )

There were no components of derivative gains or losses excluded from the assessment of hedge effectiveness for each of the three months ended December 31, 2023 and 2022.

There were no components of derivative gains or losses excluded from the assessment of hedge effectiveness for each of the three and six months ended March 31, 2024 and 2023.

We expect to reclassify $ 30 million of interest expense out of AOCI and into earnings within the next 12 months.

5 unchanged sentences

These amounts do not include any offsetting gains/(losses) on the related hedged item.

$ in millions Three months ended December 31,

$ in millions Three months ended March 31, Six months ended March 31,

Location of gain/(loss) 2024 2023 2024 2023

16 unchanged sentences

If our debt were to fall below investment-grade or we were to default on certain of our outstanding debt, the counterparties to the derivative instruments could terminate the derivative and request immediate payment, or demand immediate and ongoing overnight collateralization on our derivative instruments in liability positions.

The aggregate fair value of all derivative instruments with such credit-risk-related contingent features that were in a liability position was $ 6 million as of December 31, 2023 and $ 3 million as of September 30, 2023.

The aggregate fair value of all derivative instruments with such credit-risk-related contingent features that were in a liability position was $ 2 million as of March 31, 2024 and $ 3 million as of September 30, 2023.

RAYMOND JAMES FINANCIAL, INC.

11 unchanged sentences

$ in millions Reverse repurchase agreements Securities borrowed Total Repurchase agreements Securities loaned Total

December 31, 2023

March 31, 2024

Gross amounts of recognized assets/liabilities $ 449 $ 278 $ 727 $ 371 $ 584 $ 955

10 unchanged sentences

The total amount of collateral received under reverse repurchase agreements and the total amount of collateral posted under repurchase agreements exceeds the carrying value of these agreements on our Condensed Consolidated Statements of Financial Condition.

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

Repurchase agreements and securities loaned accounted for as secured borrowings

The following table presents the remaining contractual maturity of repurchase agreements and securities lending transactions accounted for as secured borrowings.

$ in millions Overnight and continuous Up to 30 days 30-90 days Greater than 90 days Total

December 31, 2023

Repurchase agreements:

Government and agency obligations $ 107 $ — $ — $ — $ 107

Agency MBS and agency CMOs 62 — — — 62

Total repurchase agreements 169 — — — 169

Securities loaned:

Equity securities 347 — — — 347

Total collateralized financings $ 516

September 30, 2023

The following table presents our repurchase agreements and securities lending transactions accounted for as secured borrowings by type of collateral.

Such secured borrowings have no stated maturity and are generally overnight and continuous.

$ in millions March 31, 2024 September 30, 2023

Repurchase agreements:

2 unchanged sentences

Total repurchase agreements $ 371 $ 157

157 — — — 157

Securities loaned:

1 unchanged sentence

Total collateralized financings $ 955 $ 337

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

Collateral received and pledged

3 unchanged sentences

The following table presents financial instruments at fair value that we received as collateral, were not included on our Condensed Consolidated Statements of Financial Condition, and that were available to be delivered or repledged, along with the balances of such instruments that were delivered or repledged, to satisfy one of our purposes previously described.

$ in millions December 31, 2023 September 30, 2023

$ in millions March 31, 2024 September 30, 2023

Collateral we received that was available to be delivered or repledged $ 3,464 $ 3,267

Collateral that we delivered or repledged $ 1,725 $ 730

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

Encumbered assets

We pledge certain of our assets, primarily trading assets, to collateralize repurchase agreements or other secured borrowings, maintain lines of credit, or to satisfy our collateral or settlement requirements with counterparties or clearing organizations who may or may not have the right to deliver or repledge such instruments.

We pledge certain of our bank loans and available-for-sale securities with the FHLB as security for both the repayment of certain borrowings and to secure capacity for additional borrowings as needed.

We also pledge certain loans and available-for-sale securities with the FRB to be eligible to participate in the Federal Reserve’s discount window program and to participate in certain deposit programs.

The FHLB does not have the ability to sell or repledge such securities until they are borrowed against.

For additional information regarding our outstanding FHLB advances see Note 13.

The following table presents information about our assets that have been pledged for one of the purposes previously described.

$ in millions December 31, 2023 September 30, 2023

We also pledge certain of our assets, primarily trading assets, to collateralize repurchase agreements or other secured borrowings, maintain lines of credit, or to satisfy our collateral or settlement requirements with counterparties or clearing organizations who may or may not have the right to deliver or repledge such instruments.

The following table presents information about our assets that have been pledged for such purposes.

$ in millions March 31, 2024 September 30, 2023

Had the right to deliver or repledge $ 1,283 $ 1,091

Did not have the right to deliver or repledge $ 64 $ 63

Assets pledged with the FHLB and FRB:

We also pledge certain of our bank loans and available-for-sale securities with the FHLB as security for both the repayment of certain borrowings and to secure capacity for additional borrowings as needed.

The FHLB does not have the ability to sell or repledge such securities until they are borrowed against.

The FRB does not have the ability to sell or repledge such securities.

For additional information regarding our outstanding FHLB advances see Note 14.

The following table presents information about our assets that have been pledged with the FHLB or FRB.

$ in millions March 31, 2024 September 30, 2023

Assets pledged with the FHLB or FRB:

Available-for-sale securities $ 3,796 $ 3,897

Bank loans 10,483 10,166

Total assets pledged with the FHLB and FRB $ 14,343 $ 14,063

Total assets pledged with the FHLB or FRB $ 14,279 $ 14,063

RAYMOND JAMES FINANCIAL, INC.

11 unchanged sentences

The following table presents the balances for held for investment loans by portfolio segment and held for sale loans.

$ in millions December 31, 2023 September 30, 2023

$ in millions March 31, 2024 September 30, 2023

SBL $ 14,610 $ 14,606

12 unchanged sentences

Accrued interest receivable on bank loans (included in “Other receivables, net”) $ 212 $ 200

(1) Bank loans, net as of December 31, 2023 and September 30, 2023 are presented net of $ 37 million and $ 52 million, respectively, of net unamortized discount, unearned income, and deferred loan fees and costs.

(1) Bank loans, net as of March 31, 2024 and September 30, 2023 are presented net of $ 28 million and $ 52 million, respectively, of net unamortized discount, unearned income, and deferred loan fees and costs.

The net unamortized discount primarily arose from the acquisition date fair value purchase discount on bank loans acquired in the TriState Capital Holdings, Inc.

(“TriState Capital”) acquisition.

See Note 3 of our 2023 Form 10-K for additional information.

1 unchanged sentence

Held for sale loans

We originated or purchased $ 441 million and $ 802 million of loans held for sale during the three months ended December 31, 2023 and 2022, respectively.

We originated or purchased $ 552 million and $ 993 million of loans held for sale during the three and six months ended March 31, 2024, respectively, and $ 624 million and $ 1.43 billion during the three and six months ended March 31, 2023, respectively.

The majority of these loans were purchases of the guaranteed portions of Small Business Administration (“SBA”) loans that were initially classified as loans held for sale upon purchase and subsequently transferred to trading instruments once they had been securitized into pools.

Proceeds from the sales of these loans held for sale and not securitized amounted to $ 102 million and $ 198 million during the three months ended December 31, 2023 and 2022, respectively.

Net gains resulting from such sales were insignificant for each of the three months ended December 31, 2023 and 2022.

Proceeds from the sales of these loans held for sale and not securitized amounted to $ 141 million and $ 243 million during the three and six months ended March 31, 2024, respectively, and $ 155 million and $ 353 million during the three and six months ended March 31, 2023, respectively.

Net gains resulting from such sales were insignificant for each of the three and six months ended March 31, 2024 and 2023.

RAYMOND JAMES FINANCIAL, INC.

4 unchanged sentences

$ in millions C&I loans CRE loans REIT loans Residential mortgage loans Total

Three months ended December 31, 2023

Three months ended March 31, 2024

Purchases $ 314 $ — $ — $ 77 $ 391

Sales $ 44 $ — $ 9 $ — $ 53

Three months ended December 31, 2022

Six months ended March 31, 2024

Purchases $ 520 $ — $ — $ 122 $ 642

Sales $ 163 $ — $ 9 $ — $ 172

Three months ended March 31, 2023

Purchases $ 194 $ — $ — $ 110 $ 304

Sales $ 147 $ — $ — $ — $ 147

Six months ended March 31, 2023

Purchases $ 357 $ 39 $ 24 $ 300 $ 720

Sales $ 147 $ — $ — $ — $ 147

Sales in the preceding table represent the recorded investment (i.e., net of charge-offs and discounts or premiums) of loans held for investment that were transferred to loans held for sale and subsequently sold to a third party during the respective period.

3 unchanged sentences

$ in millions 30-89 days and accruing 90 days or more and accruing Total past due and accruing Nonaccrual with allowance Nonaccrual with no allowance Current and accruing Total loans held for investment

December 31, 2023

March 31, 2024

SBL $ — $ — $ — $ — $ — $ 14,610 $ 14,610

13 unchanged sentences

Total loans held for investment $ 11 $ — $ 11 $ 104 $ 24 $ 43,965 $ 44,104

The preceding table includes $ 87 million and $ 96 million at December 31, 2023 and September 30, 2023, respectively, of nonaccrual loans which were current pursuant to their contractual terms.

The preceding table includes $ 103 million and $ 96 million at March 31, 2024 and September 30, 2023, respectively, of nonaccrual loans which were current pursuant to their contractual terms.

In the normal course of business, we may modify the original terms of a loan agreement.

In certain circumstances, we may agree to modify the original terms of a loan agreement to a borrower experiencing financial difficulty, which may include a borrower in default, financial distress, bankruptcy or other circumstances.

Loan modifications to borrowers experiencing financial difficulty typically involve principal forgiveness, an interest rate reduction, an other-than-insignificant payment delay (i.e., payment deferral greater than six months), or a term extension, or any combination thereof.

Modified loans to borrowers experiencing financial difficulty are subject to our nonaccrual policies.

Loans to borrowers experiencing financial difficulty which were modified during the three months ended December 31, 2023 were not significant.

Modifications of loans to borrowers experiencing financial difficulty are designed to reduce our loss exposure while providing borrowers with an opportunity to work through financial difficulties, often to avoid foreclosure or bankruptcy.

Loan modifications to borrowers experiencing financial difficulty typically involve principal forgiveness, an interest rate reduction, an other-than-insignificant payment delay (i.e., payment or maturity forbearance greater than six months), or a term extension, or any combination thereof.

Modified loans to

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

borrowers experiencing financial difficulty are subject to our nonaccrual policies.

Loans to borrowers experiencing financial difficulty which were modified during the three and six months ended March 31, 2024 were not significant.

Prior to September 30, 2023, loan modifications to borrowers experiencing financial difficulty, to the extent significant, were considered TDRs.

2 unchanged sentences

As of September 30, 2023, TDRs were $ 21 million, $ 3 million, and $ 10 million for C&I loans, CRE loans and residential first mortgage loans, respectively.

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

Other real estate owned, included in “Other assets” on our Condensed Consolidated Statements of Financial Condition, was insignificant at both December 31, 2023 and September 30, 2023.

Other real estate owned, included in “Other assets” on our Condensed Consolidated Statements of Financial Condition, was insignificant at both March 31, 2024 and September 30, 2023.

Collateral-dependent loans

2 unchanged sentences

The following table presents the amortized cost of our collateral-dependent loans and the nature of the collateral.

Loan type ($ in millions)

Nature of collateral December 31, 2023 September 30, 2023

$ in millions Nature of collateral March 31, 2024 September 30, 2023

C&I loans Commercial real estate and other business assets $ 9 $ 11

CRE loans Office, multi-family residential, healthcare, and industrial real estate $ 146 $ 47

CRE loans Office, multi-family residential, healthcare, medical office, and industrial real estate $ 159 $ 47

Residential mortgage loans Single family homes $ 4 $ 5

CRE collateral dependent loans as of December 31, 2023 included two loans that were placed on nonaccrual status with an associated allowance during the three months ended December 31, 2023.

The recorded investments in residential mortgage loans secured by one-to-four family residential properties for which formal foreclosure proceedings were in process were $ 3 million and $ 4 million as of December 31, 2023 and September 30, 2023, respectively.

CRE collateral dependent loans as of March 31, 2024 included certain loans that were placed on nonaccrual status with an associated allowance during the six months ended March 31, 2024.

The recorded investments in residential mortgage loans secured by one-to-four family residential properties for which formal foreclosure proceedings were in process were $ 3 million and $ 4 million as of March 31, 2024 and September 30, 2023, respectively.

Credit quality indicators

16 unchanged sentences

Loans classified as special mention, substandard or doubtful are all considered to be “criticized” loans.

As of and for the three months ended December 31, 2023

As of and for the six months ended March 31, 2024

Loans by origination fiscal year

46 unchanged sentences

$ — $ — $ — $ — $ — $ — $ — $ —

(1) As of December 31, 2023, these balances relate to loans which were collateralized by private securities or other financial instruments with a limited trading market.

(1) As of March 31, 2024, these balances relate to loans which were collateralized by private securities or other financial instruments with a limited trading market.

RAYMOND JAMES FINANCIAL, INC.

45 unchanged sentences

The following table presents the held for investment residential mortgage loan portfolio by LTV ratio at origination and by FICO score.

December 31, 2023

March 31, 2024

Loans by origination fiscal year

27 unchanged sentences

$ in millions SBL C&I loans CRE loans REIT loans Residential mortgage loans Tax-exempt loans Total

Three months ended December 31, 2023

Three months ended March 31, 2024

Balance at beginning of period

10 unchanged sentences

$ 6 $ 196 $ 181 $ 19 $ 67 $ 2 $ 471

Six months ended March 31, 2024

Balance at beginning of period

$ 7 $ 214 $ 161 $ 16 $ 74 $ 2 $ 474

Provision/(benefit) for credit losses ( 1 ) 11 27 3 ( 7 ) — 33

Net (charge-offs)/recoveries:

Charge-offs — ( 31 ) ( 7 ) — — — ( 38 )

Recoveries — 2 — — — — 2

Net (charge-offs)/recoveries

— ( 29 ) ( 7 ) — — — ( 36 )

Foreign exchange translation adjustment

— — — — — — —

Balance at end of period

$ 6 $ 196 $ 181 $ 19 $ 67 $ 2 $ 471

ACL by loan portfolio segment as a % of total ACL 1.3 % 41.7 % 38.4 % 4.0 % 14.2 % 0.4 % 100.0 %

Three months ended December 31, 2022

Three months ended March 31, 2023

Balance at beginning of period

9 unchanged sentences

$ 5 $ 219 $ 100 $ 15 $ 74 $ 2 $ 415

Six months ended March 31, 2023

Balance at beginning of period

$ 3 $ 226 $ 87 $ 21 $ 57 $ 2 $ 396

Provision/(benefit) for credit losses 2 18 11 ( 6 ) 17 — 42

Net (charge-offs)/recoveries:

Charge-offs — ( 24 ) ( 1 ) — — — ( 25 )

Recoveries — — 3 — — — 3

Net (charge-offs)/recoveries

— ( 24 ) 2 — — — ( 22 )

Foreign exchange translation adjustment

— ( 1 ) — — — — ( 1 )

Balance at end of period

$ 5 $ 219 $ 100 $ 15 $ 74 $ 2 $ 415

ACL by loan portfolio segment as a % of total ACL 1.2 % 52.8 % 24.1 % 3.6 % 17.8 % 0.5 % 100.0 %

The allowance for credit losses on held for investment bank loans increased $ 5 million during the three months ended December 31, 2023 primarily resulting from provisions for credit losses of $ 12 million, partially offset by net charge-offs of certain loans during the period.

The provision for credit losses for the three months ended December 31, 2023 primarily reflected the impacts of specific reserves in our C&I and CRE loan portfolios, loan downgrades, and charge-offs, partially offset by the favorable impact of loan repayments and sales, which had a larger impact on the current quarter expense than provisions on new loans.

The allowance for credit losses on unfunded lending commitments, which is included in “Other payables” on our Condensed Consolidated Statements of Financial Condition, was $ 20 million and $ 22 million at December 31, 2023 and September 30, 2023, respectively.

The allowance for credit losses on held for investment bank loans decreased $ 8 million and $ 3 million during the three and six months ended March 31, 2024, respectively, primarily resulting from provisions for credit losses of $ 21 million and $ 33 million, respectively, partially offset by net charge-offs of certain loans during the period.

The provision for credit losses for the three and six months ended March 31, 2024 primarily reflected the impacts of specific reserves, loan downgrades and charge-offs in our C&I and CRE loan portfolios, partially offset by the favorable impacts of an improved economic forecast and net loan payments.

The allowance for credit losses on unfunded lending commitments, which is included in “Other payables” on our Condensed Consolidated Statements of Financial Condition, was $ 20 million at both March 31, 2024 and December 31, 2023 and $ 22 million at September 30, 2023.

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

NOTE 8 – LOANS TO FINANCIAL ADVISORS, NET

2 unchanged sentences

The following table presents the balances for our loans to financial advisors and the related accrued interest receivable.

$ in millions December 31, 2023 September 30, 2023

$ in millions March 31, 2024 September 30, 2023

Affiliated with the firm as of period-end (1)

9 unchanged sentences

(2) These loans were predominantly past due for a period of 180 days or more.

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

NOTE 9 – VARIABLE INTEREST ENTITIES

7 unchanged sentences

$ in millions Aggregate assets Aggregate liabilities

December 31, 2023

March 31, 2024

Restricted Stock Trust Fund

3 unchanged sentences

Total $ 71 $ 26

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

The following table presents information about the carrying value of the assets and liabilities of the VIEs which we consolidate and which are included on our Condensed Consolidated Statements of Financial Condition.

Intercompany balances are eliminated in consolidation and are not reflected in the following table.

$ in millions December 31, 2023 September 30, 2023

$ in millions March 31, 2024 September 30, 2023

Cash and cash equivalents and assets segregated for regulatory purposes and restricted cash $ 14 $ 5

8 unchanged sentences

Our risk of loss for these VIEs is limited to our investments in, advances to, and/or receivables due from these VIEs.

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

Aggregate assets, liabilities, and risk of loss

The aggregate assets, liabilities, and our exposure to loss from those VIEs in which we hold a variable interest, but as to which we have concluded we are not the primary beneficiary, are provided in the following table.

December 31, 2023 September 30, 2023

March 31, 2024 September 30, 2023

$ in millions Aggregate

8 unchanged sentences

Total $ 11,785 $ 3,893 $ 169 $ 11,243 $ 3,703 $ 217

NOTE 10 - GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS, NET

Our goodwill and identifiable intangible assets result from various acquisitions.

See Notes 2 and 11 of our 2023 Form 10-K for additional information about our goodwill and intangible assets, including the related accounting policies.

We perform goodwill and indefinite-lived intangible asset impairment testing on an annual basis or when an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying value or indicate that the asset is impaired.

We performed our latest annual impairment testing for our goodwill and indefinite-lived intangible assets as of our January 1, 2024 evaluation date, evaluating balances as of December 31, 2023.

In that testing, we performed a qualitative impairment assessment for each of our reporting units that had goodwill, as well as for our indefinite-lived intangible assets.

Our qualitative assessments considered macroeconomic indicators and industry and market considerations, such as trends in equity and fixed income markets, gross domestic product, labor markets, interest rates, and housing markets.

We also considered regulatory changes, as well as company-specific factors such as market capitalization, reporting unit specific results, and changes in key personnel and strategy.

Changes in these indicators, and our ability to respond to such changes, may trigger the need for impairment testing at a point other than our annual assessment date.

Based upon the outcome of our qualitative assessments, no impairment was identified.

No events have occurred since such assessments that would cause us to update this impairment testing.

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

NOTE 11 - OTHER ASSETS

1 unchanged sentence

See Note 2 of our 2023 Form 10-K for a discussion of our accounting polices related to certain of these components.

$ in millions December 31, 2023 September 30, 2023

$ in millions March 31, 2024 September 30, 2023

Investments in company-owned life insurance policies $ 1,312 $ 1,110

10 unchanged sentences

See Notes 2 and 14 of our 2023 Form 10-K for additional information related to our leases, including a discussion of our accounting policies.

$ in millions December 31, 2023 September 30, 2023

$ in millions March 31, 2024 September 30, 2023

ROU assets (included in “Other assets”)

Lease liabilities (included in “Other payables”)

Lease liabilities as of December 31, 2023 excluded $ 42 million of minimum lease payments related to lease arrangements that were legally binding but had not yet commenced.

Lease liabilities as of March 31, 2024 excluded $ 37 million of minimum lease payments related to lease arrangements that were legally binding but had not yet commenced.

These leases are estimated to commence between dates later in fiscal year 2024 through fiscal year 2025 with lease terms ranging from four to ten years .

1 unchanged sentence

The following table details the components of lease expense, which is included in “Occupancy and equipment” expense on our Condensed Consolidated Statements of Income and Comprehensive Income.

Three months ended December 31,

Three months ended March 31, Six months ended March 31,

$ in millions 2024 2023 2024 2023

6 unchanged sentences

NOTE 13 – BANK DEPOSITS

Bank deposits include money market and savings accounts, interest-bearing demand deposits, which include Negotiable Order of Withdrawal accounts, certificates of deposit, and non-interest-bearing demand deposits held by either of our bank subsidiaries.

The following table presents a summary of bank deposits, excluding affiliate deposits, as well as the weighted-average interest rates on such deposits.

The calculation of the weighted-average rates was based on the actual deposit balances and rates at each respective period end.

December 31, 2023 September 30, 2023

March 31, 2024 September 30, 2023

$ in millions Balance Weighted-average rate Balance Weighted-average rate

4 unchanged sentences

Total bank deposits $ 54,843 3.32 % $ 54,199 3.06 %

Money market and savings accounts in the preceding table included $ 23.91 billion and $ 25.36 billion as of December 31, 2023 and September 30, 2023, respectively, of cash balances which were swept to our Bank segment from the client investment accounts maintained at Raymond James & Associates, Inc.

Money market and savings accounts in the preceding table included $ 23.41 billion and $ 25.36 billion as of March 31, 2024 and September 30, 2023, respectively, of cash balances which were swept to our Bank segment from the client investment accounts maintained at Raymond James & Associates, Inc.

Such deposits are held in Federal Deposit Insurance Corporation (“FDIC”)-insured bank accounts through the Raymond James Bank Deposit Program (“RJBDP”).

Total bank deposits in the preceding table included $ 14.48 billion and $ 13.59 billion of deposits as of December 31, 2023 and September 30, 2023, respectively, associated with our Enhanced Savings Program (“ESP”), in which PCG clients deposit cash in a high-yield Raymond James Bank account.

Total bank deposits in the preceding table included $ 14.54 billion and $ 13.59 billion of deposits as of March 31, 2024 and September 30, 2023, respectively, associated with our Enhanced Savings Program (“ESP”), in which PCG clients deposit cash in a high-yield Raymond James Bank account.

Substantially all of the ESP balances are reflected in interest-bearing demand deposits in the preceding table.

The following table details the amount of total bank deposits (which excludes affiliate deposits) that are FDIC-insured, as well as the amount that exceeded the FDIC insurance limit at each respective period.

$ in millions December 31, 2023 September 30, 2023

$ in millions March 31, 2024 September 30, 2023

FDIC-insured bank deposits $ 48,268 $ 48,344

3 unchanged sentences

(1) Bank deposits that exceeded the FDIC insurance limit were calculated in accordance with applicable regulatory reporting requirements.

(2) Excluded affiliate deposits exceeding the FDIC insurance limit of $ 924 million and $ 764 million as of December 31, 2023 and September 30, 2023, respectively.

The following table sets forth the amount of certificates of deposit that exceeded the FDIC insurance limit, categorized by the time remaining until maturity, as of December 31, 2023.

$ in millions December 31, 2023

(2) Excluded affiliate deposits exceeding the FDIC insurance limit of $ 888 million and $ 764 million as of March 31, 2024 and September 30, 2023, respectively.

The following table sets forth the amount of certificates of deposit that exceeded the FDIC insurance limit, categorized by the time remaining until maturity, as of March 31, 2024.

$ in millions March 31, 2024

Three months or less

8 unchanged sentences

Interest expense on deposits, excluding interest expense related to affiliate deposits, is summarized in the following table.

Three months ended December 31,

Three months ended March 31, Six months ended March 31,

$ in millions 2024 2023 2024 2023

6 unchanged sentences

NOTE 14 – OTHER BORROWINGS

The following table details the components of our other borrowings, which are primarily comprised of short-term and long-term FHLB advances and subordinated notes.

December 31, 2023 September 30, 2023

The following table details the components of our other borrowings.

March 31, 2024 September 30, 2023

$ in millions Weighted-average interest rate Maturity date Balance Weighted-average interest rate Maturity date Balance

2 unchanged sentences

5.65 % March 2025 - June 2025 $ 650 5.62 % December 2023 - March 2025 $ 850

Fixed rate 4.76 % March 2024 - December 2028 350 5.70 % December 2023 150

Fixed rate 4.77 % June 2024 - December 2028 350 5.70 % December 2023 150

Total FHLB advances 1,000 1,000

1 unchanged sentence

5.75 % May 2030 99 5.75 % May 2030 100

Unsecured lines of credit

7.07 % Overnight

Total other borrowings $ 1,299 $ 1,100

We use interest rate swaps to manage the risk of increases in interest rates associated with the majority our floating-rate FHLB advances by converting the balances subject to variable interest rates to a fixed interest rate.

See Note 2 of our 2023 Form 10-K and Note 5 of this Form 10-Q for information regarding these interest rate swaps, which have been designated and accounted for as cash flow hedges.

See Note 2 of our 2023 Form 10-K for information regarding these interest rate swaps, which have been designated and accounted for as cash flow hedges.

See Note 6 for additional information regarding bank loans and available-for-sale securities pledged with the FHLB as security for our FHLB borrowings.

Subordinated notes

As of December 31, 2023, we had subordinated notes due May 2030 outstanding, with an aggregate principal amount of $ 98 million.

As of March 31, 2024, we had subordinated notes due May 2030 outstanding, with an aggregate principal amount of $ 98 million.

Our subordinated notes incur interest at a fixed rate of 5.75 % until May 2025 and thereafter at a variable interest rate equal to 3-month CME Term Secured Overnight Financing Rate (“SOFR”) plus a spread adjustment of 5.62 % per annum.

4 unchanged sentences

The interest rates on borrowings under the Credit Facility are variable and based on SOFR, as adjusted for RJF’s credit rating.

There were no borrowings outstanding on the Credit Facility as of December 31, 2023 or September 30, 2023.

There were no borrowings outstanding on the Credit Facility as of March 31, 2024 and September 30, 2023.

There is a facility fee associated with the Credit Facility, which also varies with RJF’s credit rating (the “Variable Rate Facility Fee”).

Based upon RJF’s credit rating as of December 31, 2023, the Variable Rate Facility Fee, which is applied to the committed amount, was 0.125 % per annum.

For further information on our other borrowing arrangements refer to Note 16 of our 2023 Form 10-K.

Based upon RJF’s credit rating as of March 31, 2024, the Variable Rate Facility Fee, which is applied to the committed amount, was 0.125 % per annum.

RAYMOND JAMES FINANCIAL, INC.

1 unchanged sentence

Notes to Condensed Consolidated Financial Statements (Unaudited)

In addition to the Credit Facility, we maintain various secured and unsecured lines of credit, which are generally utilized to finance certain fixed income trading instruments or for cash management purposes.

Borrowings during the period were generally day-to-day, and we had $ 200 million outstanding as of March 31, 2024.

The interest rates for these arrangements are variable and are based on a daily bank quoted rate, which may reference SOFR, the federal funds rate, a lender’s prime rate, the Canadian prime rate or another commercially available rate, as applicable.

For further information on our other borrowing arrangements refer to Note 16 of our 2023 Form 10-K.

NOTE 15 – INCOME TAXES

5 unchanged sentences

Effective tax rate

Our effective income tax rate of 21.0 % for the three months ended December 31, 2023 was lower than the 23.7 % effective tax rate for our fiscal year 2023.

The decrease in the effective income tax rate was primarily due to a larger tax benefit recognized during the current quarter related to share-based compensation that vested during the period, compared to that for the fiscal year 2023.

Additionally, our effective income tax rate for the fiscal year 2023 reflected the adverse impact of nondeductible fines and penalties that did not recur during the current quarter.

Our effective income tax rate of 21.4 % for the six months ended March 31, 2024 was lower than the 23.7 % effective tax rate for our fiscal year 2023.

The decrease in the effective income tax rate was primarily due to a larger tax benefit recognized during the current period related to nontaxable valuation gains associated with our company-owned life insurance policies, compared to that for the fiscal year 2023, as well as a lower amount of nondeductible fines and penalties compared to fiscal year 2023.

Uncertain tax positions

4 unchanged sentences

In the normal course of business, we enter into commitments for debt and equity underwritings.

As of December 31, 2023, we had no such open underwriting commitments.

As of March 31, 2024, we had two such open underwriting commitments, which were subsequently settled in open market transactions and did not result in any losses.

Lending commitments and other credit-related financial instruments

2 unchanged sentences

Fixed-rate commitments are subject to market risk resulting from fluctuations in interest rates and our exposure is limited to the replacement value of those commitments.

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

The following table presents our commitments to extend credit and other credit-related off-balance sheet financial instruments outstanding at our Bank segment.

$ in millions December 31, 2023 September 30, 2023

$ in millions March 31, 2024 September 30, 2023

SBL and other consumer lines of credit $ 41,269 $ 38,791

6 unchanged sentences

These lines of credit are primarily uncommitted, as we reserve the right to not make any advances or may terminate these lines at any time.

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

Because many of our lending commitments expire without being funded in whole or in part, the contractual amounts are not estimates of our actual future credit exposure or future liquidity requirements.

4 unchanged sentences

Collateral levels and established credit terms are monitored daily and we require clients to deposit additional collateral or reduce balances as necessary.

We offer loans to prospective financial advisors for recruiting and retention purposes (see Note 2 of our 2023 Form 10-K and Note 8 of this Form 10-Q for additional information regarding our loans to financial advisors).

These offers are contingent upon certain events occurring, including the individuals joining us and meeting certain other conditions outlined in their offer.

We had no such unfunded commitments for loans to financial advisors who have met such conditions as of December 31, 2023.

We offer loans to prospective financial advisors for recruiting and retention purposes.

See Note 2 of our 2023 Form 10-K and Note 8 of this Form 10-Q for additional information regarding our loans to financial advisors.

These offers are contingent upon certain events occurring, including the individuals joining us or continuing their affiliation with us and meeting certain other conditions outlined in their offer.

We had unfunded commitments of $ 27 million for loans to financial advisors who have met such conditions as of March 31, 2024.

Investment commitments

We had unfunded commitments to various investments, primarily held by Raymond James Bank and TriState Capital Bank, of $ 63 million as of December 31, 2023.

We had unfunded commitments to various investments, primarily held by Raymond James Bank and TriState Capital Bank, of $ 61 million as of March 31, 2024.

Other commitments

3 unchanged sentences

Until such investments are sold to LIHTC funds, RJAHI is responsible for funding investment commitments to such partnerships.

As of December 31, 2023, RJAHI had committed approximately $ 248 million to project partnerships that had not yet been sold to LIHTC funds.

As of March 31, 2024, RJAHI had committed approximately $ 199 million to project partnerships that had not yet been sold to LIHTC funds.

Because we expect to sell these project partnerships to LIHTC funds and the equity funding events arise over future periods, the contractual commitments are not expected to materially impact our future liquidity requirements.

1 unchanged sentence

For information regarding our lease commitments see Note 12 of this Form 10-Q and for information on the maturities of our lease liabilities see Note 14 of our 2023 Form 10-K.

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

broker-dealer subsidiaries are required by federal law to be members of the Securities Investors Protection Corporation (“SIPC”).

10 unchanged sentences

In addition, regulatory agencies and self-regulatory organizations institute investigations from time to time, among other things, into industry practices, which can also result in the imposition of such sanctions.

For example, the firm has cooperated with the SEC in connection with an investigation of the firm’s investment advisory business’ compliance with records preservation requirements relating to business communications sent over electronic messaging channels that have not been approved by the firm.

The SEC is reportedly conducting similar investigations of record preservation practices at other

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

financial institutions.

As of December 31, 2023, we continue to maintain an accrual related to this SEC investigation in our condensed consolidated financial statements in accordance with our contingent liabilities accounting policy.

As previously disclosed, the firm has been cooperating with the SEC in connection with an investigation of the firm’s compliance with records preservation requirements relating to business communications sent over electronic messaging channels that have not been approved by the firm.

The SEC has reportedly been conducting similar investigations of record preservation practices at other financial institutions.

We have reached a settlement in principle with the SEC’s Division of Enforcement to resolve this investigation, which will include the payment of a $ 50 million civil monetary penalty.

That amount was accrued within “Other payables” on our Condensed Consolidated Statements of Financial Condition as of March 31, 2024.

The settlement is subject to the negotiation of definitive documentation and final approval by the SEC.

Refer to Note 2 of our 2023 Form 10-K for a discussion of our criteria for recognizing liabilities for contingencies.

16 unchanged sentences

There are certain matters for which we are unable to estimate the upper end of the range of reasonably possible loss.

With respect to legal and regulatory matters for which management has been able to estimate a range of reasonably possible loss as of December 31, 2023, we estimated the upper end of the range of reasonably possible aggregate loss to be approximately $ 35 million in excess of the aggregate accruals for such matters.

With respect to legal and regulatory matters for which management has been able to estimate a range of reasonably possible loss as of March 31, 2024, we estimated the upper end of the range of reasonably possible aggregate loss to be approximately $ 30 million in excess of the aggregate accruals for such matters.

Refer to Note 2 of our 2023 Form 10-K for a discussion of our criteria for recognizing liabilities for contingencies.

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

NOTE 17 – SHAREHOLDERS’ EQUITY

2 unchanged sentences

For further details regarding our preferred stock see Note 20 of our 2023 Form 10-K.

$ in millions December 31, 2023 September 30, 2023

$ in millions March 31, 2024 September 30, 2023

6.375 % Fixed-to-Floating Rate Series B Non-Cumulative Perpetual Preferred Stock (“Series B Preferred Stock”):

2 unchanged sentences

Aggregate liquidation preference $ 81 $ 81

The following table details dividends declared and dividends paid on our 6.75 % Fixed-to-Floating Rate Series A Non-Cumulative Perpetual Preferred Stock (“Series A Preferred Stock”) and Series B Preferred Stock for the three months ended December 31, 2023 and 2022.

We redeemed all outstanding shares of our Series A Preferred Stock on April 3, 2023.

2 unchanged sentences

share amount Total dividends Per preferred

Three months ended December 31, 2023

Three months ended March 31, 2024

Series B Preferred Stock $ 2 $ 15.94 $ 2 $ 15.94

Three months ended December 31, 2022

Six months ended March 31, 2024

Series B Preferred Stock $ 3 $ 31.88 $ 3 $ 31.88

Three months ended March 31, 2023

Series A Preferred Stock $ 1 $ 16.88 $ 1 $ 16.88

Series B Preferred Stock 1 $ 15.94 1 $ 15.94

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

Six months ended March 31, 2023

Series A Preferred Stock $ 2 $ 33.76 $ 2 $ 33.76

Series B Preferred Stock 2 $ 31.88 2 $ 31.88

Common equity

The following table presents the changes in our common shares outstanding for the three months ended December 31, 2023 and 2022.

Three months ended December 31,

The following table presents the changes in our common shares outstanding for the three and six months ended March 31, 2024 and 2023.

Three months ended March 31, Six months ended March 31,

Shares in millions

2024 2023 2024 2023

Balance beginning of period

Repurchases of common stock

208.7 215.0 208.8 215.1

Issuances due to vesting of RSUs and exercise of stock options, net of forfeitures

Repurchases of common stock under the Board of Directors’ common stock repurchase authorization

( 1.7 ) ( 3.7 ) ( 3.1 ) ( 5.0 )

Issuances due to vesting of RSUs, employee stock purchases, and exercise of stock options, net of forfeitures 0.3 0.3 1.6 1.5

Balance end of period

207.3 211.6 207.3 211.6

We issue shares from time to time during the year to satisfy obligations under certain of our share-based compensation programs, some of which may be reissued out of treasury shares.

See Note 20 of this Form 10-Q and Note 23 of our 2023 Form 10-K for additional information on these programs.

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

Share repurchases

2 unchanged sentences

Our share repurchases are effected primarily through regular open-market purchases, typically under a SEC Rule 10b-18 plan, the amounts and timing of which are determined primarily by our current and projected capital position, applicable legal and regulatory constraints, general market conditions and the price and trading volumes of our common stock.

During the three months ended December 31, 2023, we repurchased 1.41 million shares of our common stock for $ 150 million at an average price of $ 106.51 per share.

As of December 31, 2023, $ 1.39 billion remained available under the Board of Directors’ common stock repurchase authorization.

During the three months ended March 31, 2024, we repurchased 1.70 million shares of our common stock for $ 207 million at an average price of $ 121.99 per share under the Board of Directors’ common stock repurchase authorization.

During the six months ended March 31, 2024, we repurchased 3.10 million shares of our common stock for $ 357 million at an average price of $ 114.96 per share.

As of March 31, 2024, $ 1.19 billion remained available under the Board of Directors’ common stock repurchase authorization.

Subsequent to March 31, 2024, we repurchased 336 thousand shares, for a cumulative year-to-date repurchase through the date of this Form 10-Q of 3.44 million shares of our common stock for $ 400 million at an average price of $ 116.32 per share.

After the effect of those repurchases, $ 1.14 billion remained available under the Board of Directors’ common stock repurchase authorization as of the date of this Form 10-Q.

Common stock dividends

Dividends per common share declared and paid are detailed in the following table for each respective period.

Three months ended December 31,

Three months ended March 31, Six months ended March 31,

2024 2023 2024 2023

Dividends per common share - declared $ 0.45 $ 0.42 $ 0.90 $ 0.84

1 unchanged sentence

Our dividend payout ratio is detailed in the following table for each respective period and is computed by dividing dividends declared per common share by earnings per diluted common share.

Three months ended December 31,

Three months ended March 31, Six months ended March 31,

2024 2023 2024 2023

Dividend payout ratio

12 unchanged sentences

net investment hedges and currency translations Available- for-sale securities Cash flow hedges Total

Three months ended December 31, 2023

Three months ended March 31, 2024

AOCI as of beginning of period $ 121 $ ( 165 ) $ ( 44 ) $ ( 672 ) $ 23 $ ( 693 )

5 unchanged sentences

AOCI as of end of period $ 143 $ ( 198 ) $ ( 55 ) $ ( 698 ) $ 29 $ ( 724 )

Three months ended December 31, 2022

Six months ended March 31, 2024

AOCI as of beginning of period $ 143 $ ( 216 ) $ ( 73 ) $ ( 942 ) $ 44 $ ( 971 )

5 unchanged sentences

AOCI as of end of period $ 143 $ ( 198 ) $ ( 55 ) $ ( 698 ) $ 29 $ ( 724 )

Reclassifications from AOCI to net income, excluding taxes, for the three months ended December 31, 2023 and 2022 were recorded in “Interest expense” on the Condensed Consolidated Statements of Income and Comprehensive Income.

Three months ended March 31, 2023

AOCI as of beginning of period $ 139 $ ( 216 ) $ ( 77 ) $ ( 855 ) $ 41 $ ( 891 )

OCI before reclassifications and taxes ( 4 ) 11 7 126 ( 7 ) 126

Amounts reclassified from AOCI, before tax — — — — ( 8 ) ( 8 )

Pre-tax net OCI ( 4 ) 11 7 126 ( 15 ) 118

Income tax effect 1 ( 1 ) — ( 29 ) 4 ( 25 )

OCI for the period, net of tax ( 3 ) 10 7 97 ( 11 ) 93

AOCI as of end of period $ 136 $ ( 206 ) $ ( 70 ) $ ( 758 ) $ 30 $ ( 798 )

Six months ended March 31, 2023

AOCI as of beginning of period $ 153 $ ( 276 ) $ ( 123 ) $ ( 902 ) $ 43 $ ( 982 )

OCI before reclassifications and taxes ( 23 ) 71 48 211 ( 5 ) 254

Amounts reclassified from AOCI, before tax — — — — ( 13 ) ( 13 )

Pre-tax net OCI ( 23 ) 71 48 211 ( 18 ) 241

Income tax effect 6 ( 1 ) 5 ( 67 ) 5 ( 57 )

OCI for the period, net of tax ( 17 ) 70 53 144 ( 13 ) 184

AOCI as of end of period $ 136 $ ( 206 ) $ ( 70 ) $ ( 758 ) $ 30 $ ( 798 )

Reclassifications from AOCI to net income, excluding taxes, for the three and six months ended March 31, 2024 and 2023 were recorded in “Interest expense” on the Condensed Consolidated Statements of Income and Comprehensive Income.

Our net investment hedges and cash flow hedges relate to derivatives associated with our Bank segment.

8 unchanged sentences

See Note 26 of our 2023 Form 10-K and Note 23 of this Form 10-Q for additional information on our segments.

Three months ended December 31, 2023

Three months ended March 31, 2024

$ in millions Private Client Group Capital Markets Asset Management Bank Other and intersegment eliminations Total

34 unchanged sentences

Notes to Condensed Consolidated Financial Statements (Unaudited)

Three months ended December 31, 2022

Three months ended March 31, 2023

$ in millions Private Client Group Capital Markets Asset Management Bank Other and intersegment eliminations Total

30 unchanged sentences

(1) These revenues are generally not in scope of the accounting guidance for revenue from contracts with customers.

At December 31, 2023 and September 30, 2023, net receivables related to contracts with customers were $ 481 million and $ 519 million, respectively.

RAYMOND JAMES FINANCIAL, INC.

1 unchanged sentence

Notes to Condensed Consolidated Financial Statements (Unaudited)

Six months ended March 31, 2024

$ in millions Private Client Group Capital Markets Asset Management Bank Other and intersegment eliminations Total

Asset management and related administrative fees $ 2,474 $ 1 $ 466 $ — $ ( 18 ) $ 2,923

Brokerage revenues:

Securities commissions:

Mutual and other fund products 277 3 3 — ( 3 ) 280

Insurance and annuity products 252 — — — — 252

Equities, ETFs and fixed income products

202 68 — — ( 5 ) 265

Subtotal securities commissions 731 71 3 — ( 8 ) 797

Principal transactions (1)

58 191 — 4 — 253

Total brokerage revenues 789 262 3 4 ( 8 ) 1,050

Account and service fees:

Mutual fund and annuity service fees 221 — 5 — ( 1 ) 225

RJBDP fees 741 3 — — ( 432 ) 312

Client account and other fees 129 3 6 — ( 21 ) 117

Total account and service fees 1,091 6 11 — ( 454 ) 654

Investment banking:

Merger & acquisition and advisory — 225 — — — 225

Equity underwriting 19 49 — — — 68

Debt underwriting — 67 — — — 67

Total investment banking 19 341 — — — 360

Affordable housing investments business revenues — 45 — — — 45

All other (1)

10 1 1 22 ( 10 ) 24

Total other 10 46 1 22 ( 10 ) 69

Total non-interest revenues 4,383 656 481 26 ( 490 ) 5,056

Interest income (1)

240 49 6 1,740 67 2,102

Total revenues 4,623 705 487 1,766 ( 423 ) 7,158

Interest expense ( 56 ) ( 46 ) — ( 901 ) ( 24 ) ( 1,027 )

Net revenues $ 4,567 $ 659 $ 487 $ 865 $ ( 447 ) $ 6,131

(1) These revenues are generally not in scope of the accounting guidance for revenue from contracts with customers.

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

Six months ended March 31, 2023

$ in millions Private Client Group Capital Markets Asset Management Bank Other and intersegment eliminations Total

Asset management and related administrative fees $ 2,155 $ 1 $ 403 $ — $ ( 15 ) $ 2,544

Brokerage revenues:

Securities commissions:

Mutual and other fund products 263 3 2 — ( 1 ) 267

Insurance and annuity products 217 — — — — 217

Equities, ETFs and fixed income products 173 65 — — ( 1 ) 237

Subtotal securities commissions 653 68 2 — ( 2 ) 721

Principal transactions (1)

56 196 — 8 ( 1 ) 259

Total brokerage revenues 709 264 2 8 ( 3 ) 980

Account and service fees:

Mutual fund and annuity service fees 203 — 1 — ( 1 ) 203

RJBDP fees 816 2 — — ( 581 ) 237

Client account and other fees 116 3 10 — ( 22 ) 107

Total account and service fees 1,135 5 11 — ( 604 ) 547

Investment banking:

Merger & acquisition and advisory — 189 — — — 189

Equity underwriting 18 44 — — ( 1 ) 61

Debt underwriting — 45 — — — 45

Total investment banking 18 278 — — ( 1 ) 295

Affordable housing investments business revenues — 47 — — — 47

All other (1)

15 1 2 19 ( 8 ) 29

Total other 15 48 2 19 ( 8 ) 76

Total non-interest revenues 4,032 596 418 27 ( 631 ) 4,442

Interest income (1)

226 44 5 1,425 42 1,742

Total revenues 4,258 640 423 1,452 ( 589 ) 6,184

Interest expense ( 51 ) ( 43 ) — ( 404 ) ( 27 ) ( 525 )

Net revenues $ 4,207 $ 597 $ 423 $ 1,048 $ ( 616 ) $ 5,659

(1) These revenues are generally not in scope of the accounting guidance for revenue from contracts with customers.

At March 31, 2024 and September 30, 2023, net receivables related to contracts with customers were $ 576 million and $ 519 million, respectively.

RAYMOND JAMES FINANCIAL, INC.

AND SUBSIDIARIES

Notes to Condensed Consolidated Financial Statements (Unaudited)

NOTE 19 – INTEREST INCOME AND INTEREST EXPENSE

The following table details the components of interest income and interest expense.

Three months ended December 31,

Three months ended March 31, Six months ended March 31,

$ in millions 2024 2023 2024 2023

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Available-for-sale securities

56 54 112 107

Brokerage client receivables 47 41 92 82

5 unchanged sentences

Bank deposits

$ 441 $ 206 872 $ 378

Trading liabilities — debt securities 11 7 22 17

4 unchanged sentences

Total interest expense

$ 520 $ 284 $ 1,027 $ 525

Net interest income $ 529 $ 631 $ 1,075 $ 1,217

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Restricted stock units

During the three months ended December 31, 2023, we granted approximately 1.7 million RSUs with a weighted-average grant-date fair value of $ 106.68 , compared with approximately 1.9 million RSUs granted during the three months ended December 31, 2022, with a weighted-average grant-date fair value of $ 117.66 .

For the three months ended December 31, 2023, total share-based compensation amortization related to RSUs was $ 87 million, compared with $ 76 million for the three months ended December 31, 2022.

As of December 31, 2023, there were $ 425 million of total pre-tax compensation costs not yet recognized (net of estimated forfeitures) related to RSUs, including those granted during the three months ended December 31, 2023.

During the three and six months ended March 31, 2024, we granted approximately 87 thousand and 1.8 million RSUs, respectively, with a weighted-average grant-date fair value of $ 117.55 and $ 107.21 , respectively, compared with approximately 203 thousand and 2.1 million RSUs granted during the three and six months ended March 31, 2023, respectively, with a weighted-average grant-date fair value of $ 108.39 and $ 116.75 , respectively.

For the three and six months ended March 31, 2024, total share-based compensation amortization related to RSUs was $ 53 million and $ 140 million, respectively, compared with $ 54 million and $ 130 million for the three and six months ended March 31, 2023, respectively.

As of March 31, 2024, there were $ 377 million of total pre-tax compensation costs not yet recognized (net of estimated forfeitures) related to RSUs, including those granted during the six months ended March 31, 2024.

These costs are expected to be recognized over a weighted-average period of three years .

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See Note 23 of our 2023 Form 10-K for further discussion of these awards.

For the three months ended December 31, 2023 total share-based compensation amortization related to these RSAs was $ 2 million, compared with $ 3 million for the three months ended December 31, 2022.

As of December 31, 2023, there were $ 10 million of total pre-tax compensation costs not yet recognized for these RSAs.

For the three and six months ended March 31, 2024 total share-based compensation amortization related to these RSAs was $ 2 million and $ 4 million, respectively, compared with $ 2 million and $ 5 million for the three and six months ended March 31, 2023, respectively.

As of March 31, 2024, there were $ 8 million of total pre-tax compensation costs not yet recognized for these RSAs.

These costs are expected to be recognized over a weighted-average period of two years .

11 unchanged sentences

In order to maintain our ability to take certain capital actions, including dividends and common equity repurchases, and to make bonus payments, we must hold a capital conservation buffer above our minimum risk-based capital requirements.

As of December 31, 2023, capital levels at RJF, Raymond James Bank, and TriState Capital Bank exceeded the capital conservation buffer requirement and each entity was categorized as “well-capitalized.”

As of March 31, 2024, capital levels at RJF, Raymond James Bank, and TriState Capital Bank exceeded the capital conservation buffer requirements and each entity was categorized as “well-capitalized.”

For further discussion of regulatory capital requirements applicable to certain of our businesses and subsidiaries, see Note 24 of our 2023 Form 10-K.

7 unchanged sentences

$ in millions Amount Ratio Amount Ratio Amount Ratio

RJF as of December 31, 2023:

RJF as of March 31, 2024:

Tier 1 leverage $ 9,875 12.3 % $ 3,214 4.0 % $ 4,018 5.0 %

7 unchanged sentences

Total capital $ 9,934 22.8 % $ 3,484 8.0 % $ 4,355 10.0 %

As of December 31, 2023, RJF’s regulatory capital increase compared with September 30, 2023 was driven by an increase in equity due to positive earnings, partially offset by share repurchases and dividends.

As of March 31, 2024, RJF’s regulatory capital increase compared with September 30, 2023 was driven by an increase in equity due to positive earnings, partially offset by share repurchases and dividends.

RJF’s Tier 1 capital and Total capital ratios increased compared with September 30, 2023 resulting from the increase in regulatory capital, partially offset by an increase in risk-weighted assets.

The increase in risk-weighted assets was primarily driven by an increase in our bank loan portfolio and company-owned life insurance policies.

RJF’s Tier 1 leverage ratio at December 31, 2023 increased compared to September 30, 2023 due to the increase in regulatory capital, which was partially offset by higher average assets, primarily driven by an increase in cash and our bank loan portfolio.

The increase in risk-weighted assets was primarily driven by increases in our company-owned life insurance policies, as well as brokerage client receivables and other receivables.

RJF’s Tier 1 leverage ratio at March 31, 2024 increased compared to September 30, 2023 due to the increase in regulatory capital, which was partially offset by higher average assets, primarily driven by increases in cash, bank loans, and the aforementioned company-owned life insurance policies and receivables.

To meet the requirements for capital adequacy or to be categorized as “well-capitalized,” Raymond James Bank and TriState Capital Bank must maintain Tier 1 leverage, Tier 1 capital, CET1, and Total capital amounts and ratios as set forth in the following tables.

5 unchanged sentences

$ in millions Amount Ratio Amount Ratio Amount Ratio

Raymond James Bank as of December 31, 2023:

Raymond James Bank as of March 31, 2024:

Tier 1 leverage $ 3,374 8.0 % $ 1,677 4.0 % $ 2,096 5.0 %

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Total capital $ 3,662 15.0 % $ 1,954 8.0 % $ 2,442 10.0 %

TriState Capital Bank as of December 31, 2023:

TriState Capital Bank as of March 31, 2024:

Tier 1 leverage $ 1,417 7.2 % $ 789 4.0 % $ 986 5.0 %

14 unchanged sentences

Notes to Condensed Consolidated Financial Statements (Unaudited)

Our bank subsidiaries may pay dividends to RJF without prior approval of their respective regulators subject to certain restrictions including retained net income and targeted regulatory capital ratios.

Our bank subsidiaries may pay dividends to RJF without prior approval of their regulators subject to certain restrictions including retained net income and targeted regulatory capital ratios.

Dividends paid to RJF from our bank subsidiaries may be limited to the extent that capital is needed to support their balance sheet growth.

1 unchanged sentence

The following table presents the net capital position of RJ&A.

$ in millions December 31, 2023 September 30, 2023

$ in millions March 31, 2024 September 30, 2023

Raymond James & Associates, Inc.

2 unchanged sentences

33.5 % 43.3 %

$ 988 $ 1,035

Net capital $ 993 $ 1,035

required net capital ( 59 ) ( 48 )

( 51 ) ( 48 )

Excess net capital $ 934 $ 987

As of December 31, 2023, all of our other active regulated domestic and international subsidiaries were in compliance with and exceeded all applicable capital requirements.

As of March 31, 2024, all of our other active regulated domestic and international subsidiaries were in compliance with and exceeded all applicable capital requirements.

NOTE 22 – EARNINGS PER SHARE

The following table presents the computation of basic and diluted earnings per common share.

Three months ended December 31,

Three months ended March 31, Six months ended March 31,

in millions, except per share amounts 2024 2023 2024 2023

2 unchanged sentences

Less allocation of earnings and dividends to participating securities

( 1 ) ( 2 ) ( 2 ) ( 3 )

Net income available to common shareholders after participating securities $ 473 $ 423 $ 969 $ 929

2 unchanged sentences

Less allocation of earnings and dividends to participating securities

( 1 ) ( 2 ) ( 2 ) ( 3 )

Net income available to common shareholders after participating securities $ 473 $ 423 $ 969 $ 929

1 unchanged sentence

Average common shares in basic computation

208.3 214.3 208.4 214.5

Dilutive effect of outstanding stock options and certain RSUs

5.1 4.9 5.1 5.2

Average common and common equivalent shares used in diluted computation 213.4 219.2 213.5 219.7

3 unchanged sentences

Stock options and certain RSUs excluded from weighted-average diluted common shares because their effect would be antidilutive

— 1.6 0.1 1.3

The allocation of earnings and dividends to participating securities in the preceding table represents dividends paid during the period to participating securities, consisting of RSAs and certain RSUs, plus an allocation of undistributed earnings to such participating securities.

Participating securities and related dividends paid on these participating securities were insignificant for each of the three months ended December 31, 2023 and 2022.

Participating securities and related dividends paid on these participating securities were insignificant for each of the three and six months ended March 31, 2024 and 2023.

Undistributed earnings are allocated to participating securities based upon their right to share in earnings if all earnings for the period had been distributed.

9 unchanged sentences

The following table presents information concerning operations in these segments.

Three months ended December 31,

Three months ended March 31, Six months ended March 31,

$ in millions 2024 2023 2024 2023

2 unchanged sentences

Capital Markets

321 302 659 597

Asset Management

252 216 487 423

Bank 424 540 865 1,048

Intersegment eliminations

4 unchanged sentences

Capital Markets

( 17 ) ( 34 ) ( 14 ) ( 50 )

Asset Management

100 82 193 162

Bank 75 91 167 227

7 ( 23 ) 10 ( 5 )

Total pre-tax income $ 609 $ 557 $ 1,239 $ 1,209

1 unchanged sentence

The following table presents our net interest income on a segment basis.

Three months ended December 31,

Three months ended March 31, Six months ended March 31,

$ in millions 2024 2023 2024 2023

1 unchanged sentence

Private Client Group

$ 92 $ 88 $ 184 $ 175

Capital Markets

Asset Management

Bank 413 530 839 1,021

Other 19 9 43 15

Net interest income $ 529 $ 631 $ 1,075 $ 1,217

The following table presents our total assets on a segment basis.

$ in millions December 31, 2023 September 30, 2023

$ in millions March 31, 2024 September 30, 2023

Total assets:

9 unchanged sentences

The following table presents goodwill, which was included in our total assets, on a segment basis.

$ in millions December 31, 2023 September 30, 2023

$ in millions March 31, 2024 September 30, 2023

Private Client Group $ 569 $ 564

5 unchanged sentences

The following table presents our net revenues and pre-tax income/(loss) classified by major geographic area in which they were earned.

Three months ended December 31,

Three months ended March 31, Six months ended March 31,

$ in millions 2024 2023 2024 2023

3 unchanged sentences

Europe 117 102 230 214

Total $ 3,013 $ 2,786

Total net revenues

$ 3,118 $ 2,873 $ 6,131 $ 5,659

Pre-tax income/(loss):

$ 581 $ 524 $ 1,186 $ 1,133

Canada 37 36 64 67

Europe ( 9 ) ( 3 ) ( 11 ) 9

Total $ 630 $ 652

Total pre-tax income

$ 609 $ 557 $ 1,239 $ 1,209

The following table presents our total assets by major geographic area in which they were held.

$ in millions December 31, 2023 September 30, 2023

$ in millions March 31, 2024 September 30, 2023

Total assets:

4 unchanged sentences

The following table presents goodwill, which was included in our total assets, classified by major geographic area in which it was held.

$ in millions December 31, 2023 September 30, 2023

$ in millions March 31, 2024 September 30, 2023

$ 1,250 $ 1,250

4 unchanged sentences

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements