WLTH Wealthfront (WLTH) Q2 FY27 earnings call
Wealthfront achieved a significant milestone, surpassing $100 billion in total platform assets, driven by robust investment advisory growth and strategic cross-product adoption efforts. The company continues to expand its product suite, including Wealthfront Home Lending and a new Brokerage Account, to deepen client relationships and navigate diverse macro environments. Despite some pressure on cash management revenue from lower fee rates and increased investments, Wealthfront maintained strong profitability, exceeding the Rule of 40 for the sixteenth consecutive quarter.
You’re reading a preview. Opening the full call uses 1 concall credit.
Sign in to use your monthly call allowance.
WLTH operating KPIs by quarter
| KPI | Apr 2026 Q1 FY27 | This call Jul 2026 Q2 FY27 | Change vs prior quarter |
|---|---|---|---|
| Net new assets | $554MTotal net deposits in the quarter were $554 million.Source: earnings call transcript | $1.1BOverall net deposits were $1.1 billion in the quarter, including $1.1 billion from investment advisory, which incorporated the second best quarter of net cross-account transfers from cash to invest in the company's history.Source: earnings call transcript | +98.6% |
| Average client balances Cash management | $45.1BThe lower fee rate was partially offset by higher average cash management balances measured as the simple average of beginning and end of quarter figures, up 5% year-over-year to $45.1 billion.Source: earnings call transcript | $44.9BAverage cash management balances measured as the simple average of beginning and end of quarter figures was also down 1% year-over-year to $44.9 billion.Source: earnings call transcript | -0.4% |
| Average client balances Investment advisory | $50.2BInvestment advisory revenue was $26.2 million, up 32% year-over-year, primarily due to average investment advisory balances of $50.2 billion, up 34% year-over-year, while the annualized investment advisory fee rate of 21 basis points was roughly flat versus the same period last year.Source: earnings call transcript | $52.9BInvestment advisory revenue was $28.8 million, up 31% year-over-year, primarily due to average investment advisory balances of $52.9 billion, up 35% year-over-year, while the annualized investment advisory fee rate of 22 basis points was down 1 basis point versus the same period last year due to the impact of one-time client incentives tied to the launch of Custodial Accounts.Source: earnings call transcript | +5.4% |
Operating figures the company stated on at least two of the calls shown, checked against each call's transcript. Click a figure to read the sentence. A dash means it was not stated that quarter.
Inve summary of the company's earnings call; see how call summaries are prepared. Not investment advice.