Adjusted revenues at Envestnet rose 34 per cent to $51.7 million for the second quarter of 2013 from $38.6 million for the second quarter of 2012, which the firm said was primarily due to a 33 per cent increase in revenues from assets under management to $41.2 million from $31.0 million in the second quarter of 2012.

Total revenues, which include licensing and professional services fees, increased 36 per cent to $51.6 million for the second quarter of 2013 from $38 million for the second quarter of 2012, while total operating expenses in the second quarter of 2013 increased 28 per cent to $49.9 million from $39.1 million in the prior year period.

Cost of revenues increased 45 per cent to $19.6 million in the second quarter of 2013 from $13.5 million in the second quarter of 2012 due to the increase in revenue from AuM and additional cost from acquired businesses. Compensation and benefits increased 22 per cent to $17.2 million in the second quarter of 2013 from $14.1 million in the prior year period due to higher personnel cost from completed acquisitions, as well as higher non-cash compensation expense. General and administration expenses increased 22 per cent to $10 million in the second quarter of 2013 from $8.1 million in the prior year period, primarily due to $1.6 million in re-audit related professional fees, the firm said.

Meanwhile, net income increased to $1.1 million, or $0.03 per diluted share, for the second quarter of 2013 compared to a net loss of $(0.7) million, or $(0.02) per diluted share, for the second quarter of 2012.

On July 1, 2013, Envestnet completed its acquisition of Prudential’s Wealth Management Solutions business. Upon closing, Envestnet paid approximately $9.5 million in cash to Prudential. As of 30 June, WMS had $24.7 billion of AuM in approximately 86,000 accounts, supporting approximately 3,000 advisors.