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After announcing layoffs, Raymond James posts record annual revenues

The St. Petersburg company brought in revenues of $7.99 billion, and net income of $818 million.
St. Petersburg's Raymond James Financial reported record revenues of $7.99 billion during the 2020 fiscal year.
St. Petersburg's Raymond James Financial reported record revenues of $7.99 billion during the 2020 fiscal year. [ Tampa Bay Times ]
Published Oct. 28, 2020
Updated Oct. 29, 2020

Six weeks after announcing plans to lay off 4 percent of its workforce, Raymond James Financial has posted record annual revenues.

The St. Petersburg investment firm recorded net revenues of $7.99 billion for the last fiscal year, up from $7.7 billion last year. That includes another record of $2.08 billion in revenue for the fourth quarter, which ended in September.

For the fiscal year, the company reported $818 million in net income, including $209 million for the quarter. Both are down from last year, when the firm netted income of more than $1 billion.

In its report, the company attributed at least $46 million in costs to a “reduction in workforce expenses … associated with position eliminations that occurred in our fiscal fourth quarter of 2020 in response to the economic environment.” That included costs related to severance, payroll and benefits.

Related: Raymond James to lay off 4 percent of workforce

“We will face continued headwinds from a full year of lower short-term interest rates, and there’s still a high degree of uncertainty given the COVID-19 pandemic and upcoming presidential and congressional election," chairman and CEO Paul Reilly said on a Thursday morning earnings call with investors.

Reilly said he didn’t believe the outcome of next week’s election would materially affect the company, at least not in the short term.

“Unless tax rates go totally crazy, the world will go on,” he said.

While Raymond James remains “laser-focused on expenses,” Reilly said, he does not anticipate another round of layoffs.

“We’re not planning any more," he said “But we are managing infrastructure spend, technology spend. You go across the board, and we are looking at, how do we get more efficient and continue to bring in costs?”

The company posted the results after the close of markets on Wednesday. Its stock price closed at $75.21 a share Wednesday, down a little less than 4 percent from the day before, and remained close to that by mid-Thursday.