Jones Financial Sees Revenue Rise, But Expenses Outpace Income Growth

TL;DR

**Jones Financial's revenue growth is being eaten alive by rising expenses, making it a 'show me' story for future profitability.**

AI Summary

JONES FINANCIAL COMPANIES LLLP reported a mixed financial performance for the nine months ended September 26, 2025. Total revenue increased by 8.9% to $13,090 million from $12,019 million in the prior year period. This growth was primarily driven by a 13.2% increase in asset-based fee revenue, reaching $10,307 million compared to $9,103 million. However, net revenue saw a slightly lower increase of 9.5% to $12,941 million from $11,820 million due to higher interest expense. Operating expenses also rose significantly by 10.7% to $11,431 million, largely due to a 11.7% increase in compensation and benefits to $9,113 million. Despite the revenue growth, income before allocations only marginally increased by 0.9% to $1,510 million from $1,496 million. The firm's total assets decreased by 4.3% to $27,726 million from $28,964 million at December 31, 2024, mainly due to a $3,136 million decrease in cash and investments segregated under federal regulations. Cash and cash equivalents, however, increased by $1,026 million to $3,299 million.

Why It Matters

For investors, the modest 0.9% increase in income before allocations, despite a robust 8.9% revenue growth, signals potential margin compression due to rising operating expenses, particularly compensation. This could impact future profitability and partner distributions. Employees might see continued investment in compensation, but the overall efficiency of these investments will be scrutinized. Customers could benefit from continued investment in advisory services, as indicated by the asset-based fee revenue growth. In the competitive landscape, Jones Financial's ability to manage rising costs while growing revenue will be crucial for maintaining its market position against other financial advisory firms.

Risk Assessment

Risk Level: medium — The firm faces medium risk due to increasing operating expenses, specifically a 11.7% rise in compensation and benefits to $9,113 million for the nine months ended September 26, 2025, outpacing the 0.9% growth in income before allocations. Additionally, a significant decrease of $3,136 million in cash and investments segregated under federal regulations from December 31, 2024, to September 26, 2025, could indicate shifts in regulatory requirements or operational liquidity management.

Analyst Insight

Investors should closely monitor JONES FINANCIAL COMPANIES LLLP's upcoming filings for signs of improved cost management and operating leverage. While revenue growth is positive, the disproportionate increase in operating expenses, particularly compensation, warrants caution. Consider if the firm can translate top-line growth into stronger bottom-line performance before increasing exposure.

Financial Highlights

debt To Equity

N/A

revenue

$13.09B

operating Margin

N/A

total Assets

$27.73B

total Debt

N/A

net Income

$0

eps

N/A

gross Margin

N/A

cash Position

$3.30B

revenue Growth

+8.9%

Revenue Breakdown

Key Numbers

• $13.09B — Total Revenue (Increased 8.9% for the nine months ended September 26, 2025, from $12.019 billion in the prior year.)
• $10.31B — Asset-Based Fee Revenue (Increased 13.2% for the nine months ended September 26, 2025, from $9.103 billion in the prior year.)
• $11.43B — Total Operating Expenses (Increased 10.7% for the nine months ended September 26, 2025, from $10.324 billion in the prior year.)
• $9.11B — Compensation and Benefits (Increased 11.7% for the nine months ended September 26, 2025, from $8.160 billion in the prior year.)
• $1.51B — Income Before Allocations (Increased only 0.9% for the nine months ended September 26, 2025, from $1.496 billion in the prior year.)
• $27.73B — Total Assets (Decreased 4.3% to $27,726 million as of September 26, 2025, from $28,964 million at December 31, 2024.)
• $3.30B — Cash and Cash Equivalents (Increased by $1,026 million to $3,299 million as of September 26, 2025, from $2,273 million at December 31, 2024.)
• $11.98B — Segregated Cash and Investments (Decreased by $3,136 million to $11,976 million as of September 26, 2025, from $15,112 million at December 31, 2024.)

Key Players & Entities

• JONES FINANCIAL COMPANIES LLLP (company) — registrant
• Edward D. Jones & Co., L.P. (company) — principal operating subsidiary
• Edward Jones Trust Company (company) — wholly-owned subsidiary offering trust services
• Olive Street Investment Advisers, LLC (company) — wholly-owned subsidiary providing investment advisory services
• SEC (regulator) — filing oversight
• $13,090 million (dollar_amount) — total revenue for nine months ended September 26, 2025
• $10,307 million (dollar_amount) — asset-based fee revenue for nine months ended September 26, 2025
• $11,431 million (dollar_amount) — total operating expenses for nine months ended September 26, 2025
• $9,113 million (dollar_amount) — compensation and benefits for nine months ended September 26, 2025
• $1,510 million (dollar_amount) — income before allocations for nine months ended September 26, 2025

FAQ

Industry Context

The financial services industry, particularly asset management, is characterized by intense competition and evolving fee structures. Growth in asset-based fees suggests a favorable market for wealth management and advisory services. However, rising operating expenses, especially compensation, indicate pressure on margins. The industry is also subject to significant regulatory oversight and market volatility.

Regulatory Implications

The significant decrease in 'cash and investments segregated under federal regulations' could signal a change in regulatory requirements or a strategic shift in how client assets are managed. Investors should monitor any potential implications for capital requirements or operational flexibility. Compliance with financial regulations remains a critical aspect of operations.

What Investors Should Do

1. Monitor the sustainability of asset-based fee growth against rising compensation costs to assess future profitability.
2. Investigate the reasons behind the substantial decrease in segregated cash and investments to understand potential regulatory or strategic impacts.
3. Analyze the trend of declining interest and dividend revenue to gauge its impact on overall revenue diversification.
4. Evaluate the company's ability to manage operating expenses, particularly compensation and benefits, to improve the operating margin.

Key Dates

• 2025-09-26: End of the nine-month period for the 10-Q filing. — Provides the latest financial performance data for investors.
• 2024-12-31: End of the prior fiscal year. — Serves as a baseline for year-over-year asset and liability comparisons.
• 2024-09-27: End of the prior year's nine-month period. — Used for year-over-year revenue and expense comparisons.

Glossary

Asset-based fee revenue

Revenue generated from fees charged on assets under management or administration. (This is the largest revenue stream for JONES FINANCIAL COMPANIES LLLP and showed strong growth.)

Net revenue

Total revenue minus interest expense. (Indicates the revenue remaining after accounting for the cost of borrowing.)

Income before allocations

Profit generated from operations before distributing it to partners and profit interest holders. (Shows the core operating profitability before partner distributions.)

Cash and investments, at fair value, segregated under federal regulations

Assets held by the company that are set aside and cannot be used for general business purposes due to regulatory requirements. (A significant portion of assets, its decrease impacted total assets.)

Partnership capital subject to mandatory redemption

The value of partnership interests that partners have the right to redeem or that the partnership is obligated to redeem. (Represents a significant liability or equity component that can impact liquidity.)

Year-Over-Year Comparison

Compared to the prior year period, JONES FINANCIAL COMPANIES LLLP has seen an 8.9% increase in total revenue, largely driven by a 13.2% rise in asset-based fees. However, operating expenses grew at a faster rate of 10.7%, leading to a marginal 0.9% increase in income before allocations. Total assets have decreased by 4.3%, primarily due to a reduction in segregated cash and investments, while cash and cash equivalents have seen a healthy increase.

Key Financial Figures

• $1,000 — est were outstanding, each representing $1,000 of limited partner capital, and $ 437,6

Filing Documents

• ck0000815917-20250926.htm (10-Q) — 4352KB
• ck0000815917-jones-10q-2025-.pdf (10-Q) — 3330KB
• ck0000815917-ex3_41.htm (EX-3.41) — 61KB
• ck0000815917-ex3_42.htm (EX-3.42) — 61KB
• ck0000815917-ex31_1.htm (EX-31.1) — 11KB
• ck0000815917-ex31_2.htm (EX-31.2) — 11KB
• ck0000815917-ex32_1.htm (EX-32.1) — 7KB
• ck0000815917-ex32_2.htm (EX-32.2) — 7KB
• 0001193125-25-271678.txt ( ) — 17488KB
• ck0000815917-20250926.xsd (EX-101.SCH) — 859KB
• ck0000815917-20250926_htm.xml (XML) — 3101KB

Financial Statements

Financial Statements 3 Consolidated Statements of Financial Condition 3 Consolidated Statements of Income 4 Consolidated Statements of Comprehensive Income and Loss 5 Consolidated Statements of Changes in Partnership Capital and Profits Interests Subject to Mandatory Redemption - September 26, 2025 6 Consolidated Statements of Changes in Partnership Capital and Profits Interests Subject to Mandatory Redemption - September 27, 2024 7 Consolidated Statements of Cash Flows 8

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements 9 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 19 Item 3.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 32 Item 4.

Controls and Procedures

Controls and Procedures 32 PART II. OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 33 Item 1A.

Risk Factors

Risk Factors 33 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 33 Item 3. Defaults Upon Senior Securities 33 Item 4. Mine Safety Disclosures 33 Item 5. Other Information 33 Item 6. Exhibits 34

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

FINANCIAL S TATEMENTS

ITEM 1. FINANCIAL S TATEMENTS THE JONES FINANCIAL COMPANIES, L.L.L.P. CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (Unaudited) (Dollars in millions) September 26, 2025 December 31, 2024 ASSETS: Cash and cash equivalents $ 3,299 $ 2,273 Cash and investments, at fair value, segregated under federal regulations 11,976 15,112 Securities purchased under agreements to resell 731 1,390 Receivables from: Clients 5,112 4,350 Mutual funds, insurance companies and other 1,034 967 Brokers, dealers and clearing organizations 409 350 Securities owned, at fair value: Investment securities 863 679 Inventory securities 72 63 Fixed assets, at cost, net of accumulated depreciation and amortization 1,646 1,397 Lease right-of-use assets 1,132 1,085 Other assets 1,452 1,298 TOTAL ASSETS $ 27,726 $ 28,964 LIABILITIES: Payables to: Clients $ 16,707 $ 18,189 Brokers, dealers and clearing organizations 91 68 Accrued compensation and employee benefits 3,259 3,144 Accounts payable, accrued expenses and other 1,519 1,529 Lease liabilities 1,170 1,125 22,746 24,055 Contingencies (Note 8) Partnership capital subject to mandatory redemption, net of reserve for anticipated withdrawals and partnership loans: Limited partners 1,723 1,727 Subordinated limited partners 742 721 General partners 2,114 1,753 Total 4,579 4,201 Reserve for anticipated withdrawals 401 708 Total partnership capital and Profits Interests subject to mandatory redemption 4,980 4,909 TOTAL LIABILITIES $ 27,726 $ 28,964 The accompanying notes are an integral part of these Consolidated Financial Statements. 3

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements, continued

Item 1. Financial Statements, continued THE JONES FINANCIAL COMPANIES, L.L.L.P. CONSOLIDATED STAT EMENTS OF INCOME (Unaudited) Three Months Ended Nine Months Ended (Dollars in millions, except per unit information and units outstanding) September 26, 2025 September 27, 2024 September 26, 2025 September 27, 2024 Revenue: Fee revenue Asset-based $ 3,667 $ 3,184 $ 10,307 $ 9,103 Account and activity 184 185 556 564 Total fee revenue 3,851 3,369 10,863 9,667 Trade revenue 448 442 1,340 1,299 Interest and dividends 260 294 795 904 Other revenue, net 29 83 92 149 Total revenue 4,588 4,188 13,090 12,019 Interest expense 49 65 149 199 Net revenue 4,539 4,123 12,941 11,820 Operating expenses: Compensation and benefits 3,216 2,822 9,113 8,160 Communications and data processing 300 243 844 739 Occupancy and equipment 167 159 494 475 Fund sub-adviser fees 95 81 268 233 Professional and consulting fees 66 47 189 137 Advertising 34 38 110 118 Other operating expenses 135 174 413 462 Total operating expenses 4,013 3,564 11,431 10,324 Income before allocations 526 559 1,510 1,496 Allocations: Limited partners 78 85 220 232 Profits Interests 18 12 51 32 Subordinated limited partners 55 61 160 164 General partners 375 401 1,079 1,068 Net income $ — $ — $ — $ — Income allocated to limited partners per weighted average $ 1,000 equivalent limited partnership unit outstanding $ 40.19 $ 46.42 $ 115.79 $ 123.83 Weighted average $ 1,000 equivalent limited partnership units outstanding 1,724,426 1,738,470 1,730,541 1,744,585 The accompanying notes are an integral part of these Consolidated Financial Statements. 4

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements, continued

Item 1. Financial Statements, continued THE JONES FINANCIAL COMPANIES, L.L.L.P. CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME AND LOSS (Unaudited) Three Months Ended Nine Months Ended (Dollars in millions) September 26, 2025 September 27, 2024 September 26, 2025 September 27, 2024 Net income $ — $ — $ — $ — Other comprehensive income (loss): Foreign currency translation ( 1 ) 1 3 ( 2 ) Comprehensive income (loss) before allocations ( 1 ) 1 3 ( 2 ) Allocations ( 1 ) 1 3 ( 2 ) Total comprehensive income (loss) $ — $ — $ — $ — The accompanying notes are an integral part of these Consolidated Financial Statements. 5

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements, continued

Item 1. Financial Statements, continued THE JONES FINANCIAL COMPANIES, L.L.L.P. CONSOLIDATED STATEMENTS OF CHANGES IN PARTNERSHIP CAPITAL AND PROFITS INTERESTS FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 26, 2025 (Unaudited) (Dollars in millions) Limited Partnership Capital Profits Interests Subordinated Limited Partnership Capital General Partnership Capital Total 2025 TOTAL PARTNERSHIP CAPITAL AND PROFITS INTERESTS DECEMBER 31, 2024 $ 1,926 $ 14 $ 794 $ 2,175 $ 4,909 Reserve for anticipated withdrawals ( 199 ) ( 14 ) ( 73 ) ( 422 ) ( 708 ) Partnership capital subject to mandatory redemption, net of reserve for anticipated withdrawals, December 31, 2024 $ 1,727 $ — $ 721 $ 1,753 $ 4,201 Partnership loans outstanding, December 31, 2024 — — — 473 473 Total partnership capital, including capital financed with partnership loans, net of reserve for anticipated withdrawals, December 31, 2024 1,727 — 721 2,226 4,674 Issuance of partnership interests 14 — 56 302 372 Redemption of partnership interests ( 7 ) — ( 17 ) ( 42 ) ( 66 ) Net income allocations 71 17 56 369 513 Other comprehensive loss allocations — — ( 1 ) ( 4 ) ( 5 ) Distributions 15 — — ( 23 ) ( 8 ) Total partnership capital, including capital financed with partnership loans, and Profits Interests, March 28, 2025 1,820 17 815 2,828 5,480 Issuance of partnership interests — — — 14 14 Redemption of partnership interests ( 5 ) — ( 17 ) ( 18 ) ( 40 ) Net income allocations 71 16 49 335 471 Other comprehensive income allocations 1 — 1 7 9 Distributions ( 33 ) ( 27 ) ( 87 ) ( 430 ) ( 577 ) Total partnership capital, including capital financed with partnership loans, an

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements, continued

Item 1. Financial Statements, continued THE JONES FINANCIAL COMPANIES, L.L.L.P. CONSOLIDATED STATEMENTS OF CHANGES IN PARTNERSHIP CAPITAL AND PROFITS INTERESTS FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 27, 2024 (Unaudited) (Dollars in millions) Limited Partnership Capital Profits Interests Subordinated Limited Partnership Capital General Partnership Capital Total 2024 TOTAL PARTNERSHIP CAPITAL SUBJECT TO MANDATORY REDEMPTION, DECEMBER 31, 2023 $ 1,920 $ — $ 726 $ 1,981 $ 4,627 Reserve for anticipated withdrawals ( 170 ) — ( 60 ) ( 348 ) ( 578 ) Partnership capital subject to mandatory redemption, net of reserve for anticipated withdrawals, December 31, 2023 $ 1,750 $ — $ 666 $ 1,633 $ 4,049 Partnership loans outstanding, December 31, 2023 — — — 439 439 Total partnership capital, including capital financed with partnership loans, net of reserve for anticipated withdrawals, December 31, 2023 1,750 — 666 2,072 4,488 Issuance of partnership interests 6 — 64 267 337 Redemption of partnership interests ( 7 ) — ( 11 ) ( 46 ) ( 64 ) Net income allocations 74 10 52 331 467 Other comprehensive loss allocations ( 1 ) — — ( 2 ) ( 3 ) Distributions 4 — — ( 25 ) ( 21 ) Total partnership capital, including capital financed with partnership loans, and Profits Interests, March 29, 2024 1,826 10 771 2,597 5,204 Issuance of partnership interests 1 — — 3 4 Redemption of partnership interests ( 6 ) — — ( 10 ) ( 16 ) Net income allocations 73 10 51 336 470 Distributions ( 19 ) ( 17 ) ( 85 ) ( 409 ) ( 530 ) Total partnership capital, including capital financed with partnership loans, and Profits Interests, June 28, 2024 1,875 3 737 2,517 5,132 Issuance of partnership interests

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements, continued

Item 1. Financial Statements, continued THE JONES FINANCIAL COMPANIES, L.L.L.P. CONSOLIDATED STATEM ENTS OF CASH FLOWS (Unaudited) Nine Months Ended (Dollars in millions) September 26, 2025 September 27, 2024 CASH FLOWS FROM OPERATING ACTIVITIES: Net income $ — $ — Adjustments to reconcile net income to net cash provided by operating activities: Income before allocations 1,510 1,496 Foreign currency translation 3 ( 2 ) Depreciation and amortization 533 451 Changes in assets and liabilities: Investments segregated under federal regulations 3,482 2,355 Securities purchased under agreements to resell 659 403 Net payable to clients ( 2,244 ) ( 2,204 ) Net receivable from brokers, dealers and clearing organizations ( 36 ) 169 Receivable from mutual funds, insurance companies and other ( 67 ) ( 44 ) Securities owned ( 193 ) ( 436 ) Other assets ( 161 ) ( 87 ) Lease liabilities ( 272 ) ( 261 ) Accrued compensation and employee benefits 115 302 Accounts payable, accrued expenses and other ( 10 ) ( 65 ) Net cash provided by operating activities 3,319 2,077 CASH FLOWS FROM INVESTING ACTIVITIES: Purchase of fixed assets ( 505 ) ( 390 ) Cash used in investing activities ( 505 ) ( 390 ) CASH FLOWS FROM FINANCING ACTIVITIES: Repayment of partnership loans 48 42 Issuance of partnership interests 73 73 Redemption of partnership interests ( 154 ) ( 123 ) Distributions from partnership capital ( 1,409 ) ( 1,344 ) Net cash used in financing activities ( 1,442 ) ( 1,352 ) Net increase in cash, cash equivalents and restricted cash 1,372 335 CASH, CASH EQUIVALENTS AND RESTRICTED CASH: Beginning of period 6,350 5,817 End of period $ 7,722 $ 6,152 See Note 10 for additional cash flow information. The accompanying notes are an integral part of these Consolida

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements, continued

Item 1. Financial Statements, continued THE JONES FINANCIAL COMPANIES, L.L.L.P.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) (Dollars in millions) NOTE 1 – INTRODUCTION AND BASIS OF PRESENTATION The accompanying Consolidated Financial Statements include the accounts of The Jones Financial Companies, L.L.L.P. and all wholly-owned subsidiaries (collectively, the "Partnership," "JFC" or the "firm"). The financial position of the Partnership's subsidiaries in Canada as of August 31, 2025 and November 30, 2024 are included in the Partnership's Consolidated Statements of Financial Condition and the results for the three- and nine-month periods ended August 31, 2025 and 2024 are included in the Partnership's Consolidated Statements of Income, Consolidated Statements of Comprehensive Income and Loss, Consolidated Statements of Changes in Partnership Capital and Profits Interests Subject to Mandatory Redemption and Consolidated Statements of Cash Flows because of the timing of the Partnership's financial reporting process. The Partnership's principal operating subsidiary, Edward D. Jones & Co., L.P. ("Edward Jones"), is a registered broker-dealer and investment adviser in the United States ("U.S."), and the Partnership's operating subsidiary in Canada, Edward Jones (an Ontario limited partnership), is a registered investment dealer in Canada ("EJ Canada"). The Partnership conducts business throughout North America through its U.S. and Canada business units with its clients, various brokers, dealers, clearing organizations, depositories and banks. Through these retail brokerage entities, the Partnership primarily serves individual investors in the U.S. and Canada and primarily derives revenues from fees for providing investment advisory and other account services to its clients, fees for assets held by clients and commissions for the distribution of mutual fund shares and insurance products and the purchase or sale of securities. For financial information related to the Partnership's two operating segments for the three- and nine-mont

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements, continued

Item 1. Financial Statements, continued NOTE 2 – LEASES For the three- and nine-month periods ended September 26, 2025 and September 27, 2024, respectively, cash paid for amounts included in the measurement of operating lease liabilities was $ 92 and $ 272 and $ 88 and $ 261 , respectively, and lease right-of-use assets obtained in exchange for new operating lease liabilities were $ 109 and $ 307 and $ 96 and $ 295 , respectively. As of September 26, 2025 and December 31, 2024, the weighted-average remaining lease terms were five years and four years, respectively, and the weighted-average discount rates were 4.2 % and 4.0 % , respectively. The following table summarizes the Partnership's operating lease cost, variable lease cost not included in the lease liability and total lease cost for the: Three Months Ended Nine Months Ended September 26, 2025 September 27, 2024 September 26, 2025 September 27, 2024 Operating lease cost $ 91 $ 87 $ 269 $ 259 Variable lease cost 19 19 57 54 Total lease cost $ 110 $ 106 $ 326 $ 313 The Partnership's future undiscounted cash outflows for operating leases are summarized below as of: September 26, 2025 2025 $ 92 2026 346 2027 289 2028 226 2029 153 Thereafter 203 Total lease payments 1,309 Less: Interest 139 Total present value of lease liabilities $ 1,170 While the rights and obligations for leases that have not yet commenced are not significant, the Partnership regularly enters into new branch office leases. NOTE 3 – RECEIVABLES AND REVENUE As of September 26, 2025 and December 31, 2024, collateral held for receivables from clients was $ 6,537 and $ 5,119 , respectively, and collateral held for securities purchased under agreements to resell was $ 743 and $ 1,414 , respectively. Given the nature of the agreements for receivables from clients and given the counterparties for resale agreements are financial institutions

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements, continued

Item 1. Financial Statements, continued The following table s hows the Partnership's disaggregated revenue information. See Note 4 for segment information. Three Months Ended Three Months Ended September 26, 2025 September 27, 2024 U.S. Canada Total U.S. Canada Total Fee revenue: Asset-based fee revenue: Advisory programs fees $ 2,826 $ 60 $ 2,886 $ 2,396 $ 49 $ 2,445 Service fees 411 27 438 385 26 411 Cash solutions fees 135 — 135 141 — 141 Other asset-based fees 208 — 208 187 — 187 Total asset-based fee revenue 3,580 87 3,667 3,109 75 3,184 Account and activity fee revenue: Shareholder accounting services fees 115 — 115 116 — 116 Other account and activity fee revenue 67 2 69 66 3 69 Total account and activity fee revenue 182 2 184 182 3 185 Total fee revenue 3,762 89 3,851 3,291 78 3,369 Trade revenue: Commissions 370 12 382 371 12 383 Principal transactions 63 3 66 56 3 59 Total trade revenue 433 15 448 427 15 442 Total revenue from customers 4,195 104 4,299 3,718 93 3,811 Net interest and dividends and other revenue 223 17 240 296 16 312 Net revenue $ 4,418 $ 121 $ 4,539 $ 4,014 $ 109 $ 4,123 Nine Months Ended Nine Months Ended September 26, 2025 September 27, 2024 U.S. Canada Total U.S. Canada Total Fee revenue: Asset-based fee revenue: Advisory programs fees $ 7,873 $ 163 $ 8,036 $ 6,781 $ 139 $ 6,920 Service fees 1,174 79 1,253 1,126 77 1,203 Cash solutions fees 422 — 422 435 — 435 Other asset-based fees 596 — 596 545 — 545 Total asset-based fee revenue 10,065 242 10,307 8,887 216 9,103 Account and activity fee revenue: Shareholder accounting services fees 348 — 348 349 — 349 O

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements, continued

Item 1. Financial Statements, continued NOTE 4 – SEGMENT INFORMATION The Partnership has determined it has two operating and reportable segments based upon geographic location, the U.S. and Canada. Canada segment information, as reported in the following table, is based upon the consolidated financial statements of the Partnership's Canada operations, which primarily occur through a non-guaranteed subsidiary of the Partnership. The U.S. segment information is derived from the Consolidated Financial Statements less the Canada segment information as presented. Income before allocations margin represents income before allocations as a percentage of total revenue. The following table shows financial information for the Partnership's reportable segments: Three Months Ended Three Months Ended September 26, 2025 September 27, 2024 U.S. Canada Total U.S. Canada Total Net revenue $ 4,418 $ 121 $ 4,539 $ 4,014 $ 109 $ 4,123 FA compensation 1,710 48 1,758 1,533 43 1,576 Home office operating expense 822 27 849 763 25 788 Branch office operating expense 597 19 616 545 17 562 Variable compensation 774 16 790 625 13 638 Operating expenses 3,903 110 4,013 3,466 98 3,564 Income before allocations $ 515 $ 11 $ 526 $ 548 $ 11 $ 559 Income before allocations margin 11.5 % 9.3 % 11.5 % 13.4 % 10.0 % 13.3 % Net interest and dividends revenue $ 201 $ 10 $ 211 $ 218 $ 11 $ 229 Depreciation and amortization $ 183 $ 7 $ 190 $ 153 $ 4 $ 157 Total assets at period end $ 26,461 $ 1,265 $ 27,726 $ 25,494 $ 1,087 $ 26,581 Nine Months Ended Nine Months Ended September 26, 2025 September 27, 2024 U.S. Canada Total U.S. Canada Total Net revenue $ 12,594 $ 347 $ 12,941 $ 11,495 $ 325 $ 11,820 FA compensatio

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