Envestnet data and analytics revenue falls 7% YoY

Envestnet data and analytics revenue fell during its fiscal fourth quarter amid rumblings in December of a Yodlee sale . The wealthtech giant’s data and analytics revenue fell 7% year over year to $38.6 million during the quarter, according to its earnings presentation. WHY IT MATTERS: In December, there were talks of a potential sale of Envestnet’s data aggregation subsidiary Yodlee, according to a JPMorgan report published Dec. 14. A sale of Yodlee would not be disruptive because of the company’s revenue from its wealth solutions and data analytics businesses, the report noted. BIGGER PICTURE : While Envestnet’s data and analytics revenue fell, financial institutions have been upping their investment in data and analytics, according to a January survey by consultancy firm Wavestone . In fact, 82% of organizations are increasing their investment in data and analytics , according to the report , which surveyed data executives from more than 100 diverse Fortune 1,000 organizations. Chip manufacturing giant Nvidia reported Feb. 2 1 that its data center revenue grew 409% year over year to $18.4 billion as demand for “training and inference of generative AI and large language mo dels ” drove growth, Nvidia Chief Financial Officer Colette Kress said during the earnings call. BY THE NUMBERS: In Q4, Envestnet reported: Adjusted revenue increased 8% YoY to $317.6 million; Adjusted net income grew 44% YoY to $43 million; and Total operating expenses increased 55% YoY to $496 million. NOTEWORTHY: Envestnet co-founder and Chief Executive Bill Crager will step down from his role March 31. He has served as CEO since 2020 and will stay on as senior adviser, according to a Jan. 8 Envestnet release. Board Chairman James Fox will serve as interim CEO. FORWARD LOOK: Envestnet expects its fiscal Q1 revenue to be between $320 million and $326 million, according to the earnings presentation. To grow the business, Tom Sipp , executive vice president of business lines at Envestnet, said the company is focused on: Utilizing integrated technology and services toward greater efficiency; Personalizing portfolio management; Providing an end-to-end platform allowing clients to consolidate providers; and Providing a holistic view of advice powered by data. [stock_market_widget type="inline" template="generic" assets="ENV" markup="{name} ({symbol}) is trading at {price} ({change_pct}) as of {last_update}" api="yf"]. Join us for Bank Automation Summit U.S. 2024 in Nashville, Tenn., on March 18-19! Discover the latest advancements in AI and automation in banking. Register now.

Envestnet data and analytics revenue falls 7% YoY

December saw talks of a Yodlee sale

Cap One could dodge law requiring added processing capacity

First Bank CIO Thomas joins Bank Automation Summit U.S. 2024 speaker faculty

Related Posts

Bank of America uses ‘Orchestra’ tool to decide if task needs open-source or closed-source model

Flagstar Bank’s modernization brings access to real-time insights

Why Flagstar’s AI agents don’t have access to internet

First Bank CIO Thomas joins Bank Automation Summit U.S. 2024 speaker faculty

EMERGING FINTECH DIRECTORY

FinAi Podcast

SPONSORED

The Next Generation of Cyberthreats: Powered by AI

Build an Antifragile Strategy to Outperform the Market

How AI and Product Experts Turn Fuzzy Requirements Into Focused Dev-ready Roadmaps

Connect

Welcome Back!

Retrieve your password

Continue Reading with FinAi News Premium - Less than $2/Day

Envestnet data and analytics revenue falls 7% YoY

December saw talks of a Yodlee sale

Cap One could dodge law requiring added processing capacity

First Bank CIO Thomas joins Bank Automation Summit U.S. 2024 speaker faculty

Related Posts

FinAi Podcast

Connect

Welcome Back!

Retrieve your password

Unlock This Article

Continue Reading with FinAi News Premium - Less than $2/Day