$SEIC · SEI INVESTMENTS CO
SEI Investments filed its 10-Q for the quarter ended September 30, 2026. Total revenues grew 14.4% YoY to $662M, with asset management fees contributing $531.4M. GAAP net income attributable to SEI was $168.3M ($1.38 diluted EPS), while adjusted EPS reached $1.64. Operating income rose 23.8% to $198M. The company continued aggressive share repurchases, retiring $535.8M year-to-date.
- Revenue rose 14.4% YoY to $662M, driven by asset management fees up 15% to $531.4M.
- GAAP diluted EPS was $1.38 vs. $1.30 a year ago; adjusted EPS was $1.64.
- Operating margin expanded to 29.9% from 27.6% in Q3 2025.
- Segment profit surged to $232.1M from $184.5M, with Investment Advisors nearly doubling profit to $75.7M.
- Company repurchased $535.8M of common stock in the first nine months, retiring 5.9M shares.
Stock is essentially flat (+0.03%) since filing, suggesting results were largely in line with expectations despite strong revenue growth and margin expansion. The $12.39B market cap reflects limited surprise.
SEI's 14.4% revenue growth and 29.9% operating margin signal strong execution, but the unexplained $32.5M other-expense charge and near-doubling of amortization costs warrant scrutiny.
SEI's 14.4% revenue growth outpaces many traditional asset servicers, with the Investment Advisors segment showing particular strength as RIA consolidation and outsourcing trends continue. The heavy buyback pace mirrors capital-return strategies at peers like FIS and Fiserv.
Amortization expense nearly doubled YoY to $19.7M in Q3 (from $11.9M), reflecting acquisition-related intangibles that will continue to pressure GAAP earnings. Other expense swung to a $32.5M loss from a $4.9M gain a year ago, a $37.4M headwind not broken out in detail.