Executive Summary

Revenue grew 2% year-over-year to $41.497M while gross profit rose 21% to $8.8M; sequentially, revenue declined versus Q1 ($48.936M), and EPS swung to a GAAP loss of $-0.04 from $0.06 in Q1 .
EBITDA improved year-over-year to $1.0M from $0.6M, driven by higher revenue and mix, though down sequentially from $2.2M in Q1 .
AuM increased 11% YoY to $28B, reflecting continued advisor platform momentum; cash and cash equivalents were $8.2M and long-term debt (net) was $18.6M at quarter-end .
No explicit quantitative guidance was issued; management emphasized a differentiated, advisor-centric platform and growth opportunities, but consensus estimates were unavailable from S&P Global for comparative beat/miss analysis .

What Went Well and What Went Wrong

AuM grew 11% YoY to $28B, supporting revenue stability and platform scale .
Gross profit expanded 21% YoY to $8.8M, with “disciplined execution” cited by management as a driver .
EBITDA rose to $1.0M from $0.6M YoY, reflecting improved operational performance and cost structure normalization versus prior-year non-recurring items .

Sequential revenue decreased from $48.936M in Q1 to $41.497M in Q2; EPS moved from $0.06 (Q1) to a loss of $-0.04 (Q2), and net income turned to a loss of $-0.654M .
Employee compensation and benefits increased YoY to $4.926M from $3.594M, pressuring operating results despite gross profit gains .
Interest and other income was $0.872M in Q2 vs $1.369M in Q1 and $0.665M in Q2 2024, providing less offset to expenses versus the prior quarter .

Metric	Q2 2024	Q1 2025	Q2 2025
Revenue ($USD Millions)	$40.648	$48.936	$41.497
Gross Profit ($USD Millions)	$7.3	$8.6	$8.8
Net Income ($USD Millions)	$-0.736	$1.033	$-0.654
Diluted EPS ($USD)	$-0.04	$0.06	$-0.04
EBITDA ($USD Millions)	$0.6	$2.2	$1.0
Commissions & Fees ($USD Millions)	$33.352	$40.298	$32.740
Total Expenses ($USD Millions)	$41.171	$47.479	$42.058

Margins	Q2 2024	Q1 2025	Q2 2025
Gross Profit Margin %	16.31%*	16.69%*	20.06%*
Net Income Margin %	-1.85%*	2.14%*	-1.60%*

Values marked with * retrieved from S&P Global.

Revenue Component ($USD Millions)	Q2 2024	Q1 2025	Q2 2025
Commissions	$33.352	$41.141	$33.998
Advisory Fees	$5.685	$6.916	$6.627
Interest & Other Income	$0.665	$0.879	$0.872

KPI	Q2 2024	Q1 2025	Q2 2025
AuM ($USD Billions)	$27	$26	$28
Cash & Equivalents ($USD Millions)	$8.0 (as of 12/31/24)	$9.0 (as of 3/31/25)	$8.2 (as of 6/30/25)
Long-term Debt, net ($USD Millions)	$25.0 (as of 12/31/24)	$25.0 (as of 3/31/25)	$18.6 (as of 6/30/25)
Weighted Avg Shares (Basic & Diluted)	16.573	16.602	16.602

Metric	Period	Previous Guidance	Current Guidance	Change
Revenue	FY/Q3 2025	Not provided	Not provided	n/a
EBITDA	FY/Q3 2025	Not provided	Not provided	n/a
Operating Expenses	FY/Q3 2025	Not provided	Not provided	n/a
Tax Rate	FY/Q3 2025	Not provided	Not provided	n/a
Segment-specific	FY/Q3 2025	Not provided	Not provided	n/a

No explicit quantitative guidance was provided in the Q2 2025 press release/8-K; management commentary was directional only .

Note: A Q2 2025 earnings call transcript was not available; themes are derived from press releases/8-Ks.

Topic	Previous Mentions (Q4 2024)	Previous Mentions (Q1 2025)	Current Period (Q2 2025)	Trend
Advisor platform differentiation	Emphasized hybrid-friendly RIA model and stability despite volatility	Highlighted sustained momentum and platform confidence via Bleakley onboarding	Reiterated advisor-centric platform “built to power growth”	Consistent, strengthening narrative
Growth pipeline (recruiting/M&A)	Robust acquisition/recruiting pipeline entering 2025	Announced onboarding of Bleakley Financial Group	“Positioned well to capture growth opportunities”; no specific deals disclosed	Active pipeline; fewer specifics in Q2
Financing/cost of capital	Refinance of $20M senior notes at favorable terms	Balance sheet highlighted ($25M debt, $8M cash)	Debt (net) down to $18.6M; cash $8.2M	Improved debt position by Q2
Macro/volatility	Maintained mature/stable business amid volatility	“Well-positioned to navigate dynamic macro environment”	Continued disciplined execution messaging	Stable macro stance
Profitability focus (EBITDA/non-GAAP)	Adjusted EBITDA up 43% YoY in Q4; full-year Adjusted EBITDA $6.3M	EBITDA $2.2M in Q1	EBITDA $1.0M in Q2 with reconciliation provided	Positive YoY; sequentially softer
Regulatory/compliance	Ongoing compliance focus; risk disclosures reiterated	Risk factors and forward-looking statements emphasized	Similar cautionary language and risk disclosures	Persistent emphasis

“We are pleased to report another strong performance this quarter… with growth in both revenue and EBITDA… position us well to capture the growth opportunities in front of us and create long-term shareholder value.” — Craig Gould, CEO .
“We once again delivered strong results… achieving double-digit year-over-year growth in both revenue and EBITDA while delivering GAAP profitability in the first quarter.” — Craig Gould, CEO .
“We’ve accomplished several key milestones… significantly reducing our cost of funding through the successful refinancing of our senior credit facility… maintaining a mature and stable business despite ongoing market volatility.” — Craig Gould, CEO .

Q2 2025 earnings call transcript was not found; Q&A details and any clarifications are unavailable based on accessible filings and materials [Search result: none].

S&P Global consensus estimates for Q2 2025 EPS and revenue were unavailable; as a result, we cannot assess beat/miss versus Wall Street expectations for this quarter. Values marked with * in margin tables were retrieved from S&P Global.

Where estimates may need to adjust:

Given sequential revenue decline and EPS turning negative, near-term models may temper sequential growth assumptions while reflecting improved gross profit dynamics and lower net debt by quarter-end .

Revenue resilience YoY (+2%) with pronounced gross margin expansion (gross profit +21% YoY), but sequential softness and GAAP loss indicate near-term volatility in earnings power .
EBITDA improved YoY, suggesting operational progress; monitor cost discipline (employee comp up YoY) and revenue mix to sustain margin gains .
Balance sheet improved with lower net long-term debt ($18.6M) and stable liquidity ($8.2M cash); enhances flexibility for recruiting/onboarding initiatives .
AuM growth to $28B supports longer-term advisory fee trajectory; closely track recruiting pipeline conversion into revenue in H2 .
Absence of quantitative guidance and lack of available consensus estimates reduce visibility; watch for Q3 disclosures and any updated targets .
Near-term trading: stock narrative likely centers on margin expansion vs. sequential EPS softness; catalysts include new advisor wins, M&A onboarding, and further debt optimization .
Medium-term thesis: differentiated hybrid-friendly platform with improving efficiencies and capital structure merits attention; execution on recruiting/M&A and maintaining cost discipline are essential to translate AuM growth into durable EPS .

Notes on non-GAAP:

EBITDA is defined and reconciled to GAAP; management emphasizes its utility for understanding operational earnings but cautions on inherent limitations; reconciliations are provided in the press releases/8-Ks .