Jefferies, a global investment banking firm, has reported a strong performance in its shareholder letter for the fiscal year 2024. The firm achieved $7.0 billion in net revenues, representing a significant growth from the previous period. Additionally, the pre-tax income from continuing operations reached $1.0 billion, indicating a robust financial performance.
The earnings per common share from continuing operations stood at $2.96, underscoring the firm's profitability. Furthermore, Jefferies reported a return on adjusted tangible shareholders' equity from continuing operations of 10.8%, reflecting the efficient utilization of shareholders' equity to generate returns.
The firm also highlighted its commitment to returning value to shareholders, with significant repurchases of 159 million shares since 2017 at an average price of $24.03 per share. Moreover, Jefferies increased its annual dividend in seven of the last eight years, demonstrating a consistent approach to rewarding shareholders. In total, the firm returned $6.4 billion to shareholders, representing 83% of its tangible equity at the beginning of the period.
In terms of business segments, Jefferies achieved notable success in investment banking, with annual revenues of $3.4 billion, reflecting a 52% year-over-year growth. The firm's market share across mergers and acquisitions (M&A), equity capital markets (ECM), and leveraged finance positioned it as the world's 6th largest investment bank, according to Dealogic. Jefferies also secured high rankings in various global transactions, including advising on significant mergers and acquisitions as well as leading equity capital market transactions.
The firm expressed confidence in its ability to drive continued revenue and market share growth, citing the contributions of senior investment bankers who have recently joined the company.
Following these announcements, the company's shares moved 0.7%, and are now trading at a price of $80.13. Check out the company's full 8-K submission here.
