Envestnet, Inc., through its various subsidiaries, offers a comprehensive range of wealth management software and related services to clients both within the ...
Envestnet, Inc. (ENV) is a U.S.-based financial technology company headquartered in Chicago, Illinois, and operates as a key provider of wealth management platforms and advisory enablement tools for financial professionals. The company’s positioning—often described as “Everybody Deserves Financial Wellness” and “Adaptive WealthTech”—reflects its goal of helping advisors serve a broader ...Envestnet, Inc. (ENV) is a U.S.-based financial technology company headquartered in Chicago, Illinois, and operates as a key provider of wealth management platforms and advisory enablement tools for financial professionals. The company’s positioning—often described as “Everybody Deserves Financial Wellness” and “Adaptive WealthTech”—reflects its goal of helping advisors serve a broader range of clients through technology, analytics, and operational workflow support.
From a business perspective, Envestnet primarily serves wealth management organizations, advisors, and institutions that need scalable software to run day-to-day portfolio, planning, and reporting processes. Its offerings are organized around major solution areas, including Envestnet Wealth Solutions and Envestnet Data & Analytics. In Wealth Solutions, Envestnet delivers platform and workflow capabilities designed to support open-architecture wealth management. Notably, its flagship Envestnet | Enterprise is described as a holistic platform integrating data aggregation, reporting, advanced analytics, and digital advisory tools. This is complemented by specialized solutions such as Envestnet | Tamarac, which supports portfolio trading and rebalancing, accounting, performance reporting, and client relationship management—capabilities that typically sit at the core of advisor operations. Envestnet | MoneyGuide focuses on goals-based financial planning for the financial services industry, enabling advisors to align client objectives with planning outputs.
In addition to core wealth and planning tools, Envestnet also provides retirement-related services (Envestnet | Retirement Solutions) for advisor-managed retirement plans. Another business pillar is Envestnet | Portfolio Management Consultants (PMC), which offers research and consulting support to help advisors create investment solutions, including specialized services for portfolio overlay and tax optimization.
Cost and delivery typically revolve around recurring software/services arrangements (platform and solution subscriptions) and associated implementation and advisory support, with the company leveraging a cloud-based data aggregation and intelligence foundation to power digital financial services. From a product “building blocks” viewpoint, Envestnet’s portfolio of tools emphasizes integration—bringing together account/data feeds, analytics, planning logic, portfolio operations, and performance reporting into a unified ecosystem.
As a public company traded on the NYSE (ENV) with a reported employee base of about 3,100 employees, Envestnet operates at meaningful scale. Leadership (as provided) is James Lawrence Fox. Founded in 1999, Envestnet has grown its platform across decades, evolving from software development into a more comprehensive wealth technology and analytics ecosystem designed to support how advisors meet client needs in increasingly digital and data-driven environments.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$1.2B
+0.5%
-0.7%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$-238.7M
-179.3%
+97.9%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
+26.3%
-57.7%
+533.1%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
-16.4%
-208.3%
-48.2%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
-19.2%
-178.0%
+97.9%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$24.6M
+437.1%
+10.2%
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
+2.0%
+435.5%
+10.9%
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
174.3%
+26.6%
-58.2%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
0.90x
-3.4%
-48.3%
Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Operator: Hello, and welcome to the Envestnet Second Quarter 2024 Earnings Conference Call. At this time, all participants are in listen-only mode. As a reminder, this conference is being recorded. There will be no Q&A session following prepared remarks. It is now my pleasure to introduce Josh Warren, Chief Financial Officer. Thank you, sir. You may begin.
Josh Warren: Good afternoon, everyone. I'm Josh Warren, Chief Financial Officer of Envestnet. Thank you for joining us on today's second quarter 2024 earnings call. Before we begin, I'd like to point out that our earnings press release, supplemental presentation and associated Form 10-Q can be found under the Investor Relations section of our website at envestnet.com. This call is being webcast live and a replay will be available for one month under the Investor Relations section of our website as well. During the call, we will be discussing certain forward-looking information. This information is based on our current expectations and is not a guarantee of future performance. I encourage you to review the cautionary statement on Slides 2 and 3 of the supplemental presentation for the potential risks, uncertainties, and other factors that could cause actual results to differ from those expressed by the forward-looking statements. Further information can be found in our regular SEC filings. During this call, we will be referring to certain as adjusted financial measures. Please refer to the appendix in our supplemental presentation for a reconciliation of these as adjusted financial measures to the most directly comparable GAAP measures. Joining me on today's call is Jim Fox, our Board Chair and Interim CEO. On our call this afternoon, we will provide a company update as well as an overview of the company's results during the second quarter. Due to our pending transaction with Bain Capital, we will not be taking questions on today's call and will not be providing guidance for the third quarter. I'll now turn it over to Jim.
Jim Fox: Thanks, Josh. As you know, on July 11, the company announced that we have entered into a definitive agreement to be acquired by Bain Capital and related parties. Earlier today, Envestnet filed its preliminary proxy statement relating to this pending transaction. It includes comprehensive details of the process conducted by our board, and we encourage you to read the filing for further information. As noted in the proxy, the Board and the company's senior management team regularly reviews the company's business and operations, competitive position, historical performance, future prospects, and long term strategic plan with the goal of maximizing stockholder value. As part of these ongoing evaluations, we have from time to time considered various strategic alternatives, including the execution of the company's strategy as a stand-alone public company or the possible sale of the company to or in combination of the company with a third-party. This transaction is the …
