- Adjusted EBITDA was $105 million with a margin of 24.8%, up 80 basis points sequentially; excluding divestiture impacts, EBITDA grew 12% with margin expansion of 130 basis points.
- Adjusted net income was $27.6 million or $0.46 per share, down from $0.59 last year due to divestiture EBITDA loss; GAAP net loss of $50 million included noncash tax valuation allowances.
- Digital Wallet revenue grew 3% organically to $201.2 million, with 7.2 million 3-month active users, but adjusted EBITDA was flat year-over-year due to lower interest revenue and business mix.
- Merchant Solutions volume increased 9% to $35.7 billion, with organic revenue growth of 6% and adjusted EBITDA margin of 17.1%, despite mix headwinds from ISO channel growth.
- Reported revenue declined 3% to $428.2 million, but organic revenue grew 5%, driven by double-digit e-commerce growth and modest gains in SMB and digital wallets.
- Unlevered free cash flow was $54 million with a 51% conversion rate, impacted by unfavorable FX; LTM conversion stood at 64%, with full-year guidance of 65-70%.
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- Adjusted EBITDA was nearly $17 million with a 13% margin, expanding 723 basis points year-over-year, driven by lower personnel costs and disciplined spending.
- Adjusted gross profit increased 23% year-over-year to $78 million with a margin of 61.1%, down from 63.5% due to business mix and FX losses.
- GAAP net loss improved by $1.6 million year-over-year to $12 million, with a higher tax provision impacting the quarter.
- Q2 2025 revenue less ancillary services was $127.5 million, representing 25% FX-neutral growth, exceeding guidance.
- Sertifi contributed $12 million in Q2, adding approximately 12 points of growth.
- Share repurchases totaled approximately $5 million in Q2, and the revolving credit facility was expanded to $300 million.
- Adjusted cash operating expenses were $198 million with a compensation ratio of 19% cash and 23% including stock.
- Adjusted EBITDA margin reached 65%, the highest since Q1 2022, reflecting disciplined expense management and operational efficiency.
- Adjusted EPS was $1.53 for Q2 2025, an 83% increase compared to Q2 2024.
- Debt to LTM adjusted EBITDA ratio stood at 1.5x, maintaining financial flexibility.
- Equity TCV was up 17% quarter-over-quarter, or about 12% excluding sub-dollar share volumes; notional U.S. equity volumes increased 9% quarter-to-quarter.
- Growth initiatives accounted for $1.3 million per day or 15% of total adjusted net trading income per day, an all-time high.
- Market Making contributed $451 million and Execution Services contributed $116 million to adjusted net trading income.
- Virtu Financial reported $568 million in adjusted net trading income for Q2 2025, equating to $9.2 million per day, marking a recent high and a 50% increase from $6.1 million per day in Q2 2024.
- Virtu repurchased $66 million of shares in Q2 2025 and $135 million year-to-date, totaling $1.4 billion since inception at an average price of about $26 per share.
- Advisory revenue was $127 million with strong contributions from financials, industrials, and improving health care and technology sectors.
- Asset management revenues rose 6%, reflecting market appreciation and improved organic growth.
- Commissions and principal transactions rose 11% with gains in both Global Wealth and Institutional segments.
- Compensation ratio was 58%, consistent with the high end of full year guidance, and operating pretax margin was 20.3%.
- Equity capital raising totaled $46 million with a market shutdown for six weeks post-Liberation Day but recovery mid-May.
- Equity transactional revenue increased 16% year-over-year, and fixed income revenue rose 21% year-over-year.
- Fixed income underwriting revenue was $54 million, up 18% sequentially driven by public finance activity.
- Global Wealth Management posted its strongest second quarter ever with record client asset levels and higher net interest income.
- Institutional business revenue increased 7% year-over-year, with record fixed income revenue and a late quarter pickup in investment banking.
- Investment banking revenue totaled $233 million, exceeding guidance by over $20 million due to six transactions closing late in the quarter.
- Net interest income increased 8% due to higher interest earning assets and lower funding costs.
- Net interest income of $270 million came in at the high end of guidance with a 12 basis point increase in bank net interest margin.
- Non-compensation expenses increased 7% year-over-year, with severance and restructuring charges of $28 million in European operations.
- Operating EPS of $1.71 was up 7% from the prior year.
- Provision for income taxes was 25.4%, slightly above consensus due to nondeductible foreign losses.
- Stifel Financial delivered over $1.28 billion of net revenue and $1.71 in core EPS in Q2 2025, marking the best second quarter in company history with a return on tangible common equity of 22%.
- Tier 1 leverage capital ratio was 10.8%, and Tier 1 risk-based capital ratio was 17.5%, with approximately $315 million of excess capital.
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