Siebert Financial Corp. Reports Revenue Decline and Operating Loss in Q2 2025

Siebert Financial Corp. reported a significant decline in financial performance for the second quarter of 2025, with total revenues of $14.9 million, down from $20.9 million in the same period last year. The company experienced an operating loss of $5.8 million, compared to an operating income of $5.6 million in the prior year. This downturn was largely attributed to a realized and unrealized loss of $6.8 million related to its Investment in Equity Security, which significantly impacted the principal transactions and proprietary trading segment, resulting in a loss of $3.8 million.

In terms of specific revenue streams, commissions and fees fell to $2.0 million from $2.6 million year-over-year, while interest, marketing, and distribution fees decreased to $6.9 million from $7.8 million. Conversely, advisory fees increased by 44% to $0.8 million, reflecting growth in platform assets. The company also reported a 60% increase in stock borrow/stock loan revenue, which reached $7.5 million, indicating a positive trend in that segment despite overall revenue declines.

On the operational front, Siebert Financial made strategic moves, including the acquisition of certain assets from Big Machine Label Group for $441,000, aimed at expanding its music business line. The company also invested $2.0 million in FusionIQ, a digital wealth management platform, further diversifying its service offerings. As of June 30, 2025, Siebert had 163,616 retail customer accounts, an increase from 160,054 at the end of 2024, although retail customer net worth decreased to $17.4 billion from $18.0 billion.

The company's total assets increased to $560.5 million as of June 30, 2025, up from $519.7 million at the end of 2024, primarily due to an increase in securities borrowed. Total liabilities also rose to $470.5 million, driven by an increase in securities loaned. Siebert's stockholders' equity increased to $89.0 million, reflecting retained earnings growth. Looking ahead, the company anticipates that ongoing investments in technology and strategic acquisitions will support its growth objectives, although it remains cautious about market conditions and their potential impact on profitability.