Exhibit 99.1

FOR IMMEDIATE RELEASE

Financial Engines Reports Fourth Quarter and Full Year 2016 Financial Results

SUNNYVALE, Calif. – February 23, 2017 – Financial Engines (NASDAQ: FNGN), America’s largest independent investment advisorⁱ, today reported financial results for its fourth quarter and full year ended December 31, 2016.

Financial results for the fourth quarter of 2016 compared to the fourth quarter of 2015:ⁱⁱ

Financial results for the full year of 2016 compared to the full year of 2015: ⁱⁱ

Key operating metrics as of December 31, 2016:ⁱⁱⁱ

“I reflect on our 2016 accomplishments with pride and excitement.  During the year, we seamlessly integrated our first acquisition, delivered new services to market, deepened our client relationships, and expanded our provider network while delivering healthy earnings growth,” said Larry Raffone, president and chief executive officer of Financial Engines. “As we enter 2017, there is more work ahead but I believe our fundamentals are strong and the building blocks are in place to help drive our future growth.  We are focused on executing on our long-term plan and optimizing our business to help more people achieve their financial goals.”

Review of Financial Results for the Fourth Quarter of 2016

Revenue increased 44% to $113.2 million for the fourth quarter of 2016 from $78.7 million for the fourth quarter of 2015. The increase in revenue was driven primarily by $30.1 million of revenue for the fourth quarter of 2016 related to acquisitions. Professional management revenue increased 48% to $104.4 million for the fourth quarter of 2016 from $70.7 million for the fourth quarter of 2015, driven primarily by $28.6 million of professional management revenue related to acquisitions.

Costs and expenses increased 44% to $97.4 million for the fourth quarter of 2016 from $67.9 million for the fourth quarter of 2015. This was due primarily to employee-related costs, including wages, cash incentive compensation expense and non-cash stock-based compensation expense due primarily to gaining approximately 340 employees as the result of acquisitions. Advisor center variable incentive cash compensation expense increased, related to ongoing asset management at acquired advisor centers, due primarily to acquisition activity. In addition, fees paid to plan providers for data connectivity increased. Intangibles amortization and facilities expenses increased related primarily to acquisitions, and marketing programs expense increased due primarily to radio and digital advertising.

As a percentage of revenue, cost of revenue was 44% for the fourth quarter of 2016 compared to 43% for the fourth quarter of 2015.

Income from operations was $15.8 million for the fourth quarter of 2016, which included $3.3 million of integration expenses attributable to acquisitions and $2.8 million of additional amortization of intangible assets, compared to $10.9 million for the fourth quarter of 2015. As a percentage of revenue, income from operations remained constant at 14% for the fourth quarters of 2015 and 2016.

Net income was $9.0 million, or $0.14 per diluted share, for the fourth quarter of 2016 compared to net income of $6.7 million, or $0.13 per diluted share, for the fourth quarter of 2015. On a non-GAAP basis, adjusted net incomeⁱⁱ was $18.6 million and adjusted earnings per shareⁱⁱ were $0.29 for the fourth quarter of 2016 compared to adjusted net income of $12.6 million and adjusted earnings per share of $0.24 for the fourth quarter of 2015.  

“In 2016, as we combined two companies, Financial Engines continued to perform well across our key operating and financial metrics and maintained our strong balance sheet,” said Ray Sims, chief financial officer of Financial Engines.  “Looking ahead, we are confident in our strategy and ability to deliver an enhanced client experience and achieve solid profitable long term growth.”

Assets Under Contract and Assets Under Management

AUC in defined contribution plans increased 7% year-over-year to $1.05 trillion as of December 31, 2016 from $987 billion as of December 31, 2015, due primarily to market performance, new employers making our services available and contributions, partially offset by cancellations and withdrawals. AUC for plans in which the Income+ service has been made available was $450 billion as of December 31, 2016, which increased 38% from $325 billion as of December 31, 2015.

AUM increased by 22% year-over-year to $138.0 billion as of December 31, 2016, from $113.4 billion as of December 31, 2015. The increase in AUM was driven primarily by new assets from new and existing clients, AUM from the acquisition of The Mutual Fund Store and market performance, partially offset by cancellations and withdrawals.

For further information on the AUM data above, please refer to our Form 10-K to be filed for the period ended December 31, 2016. 

Aggregate Investment Style Exposure for Portfolios Under Management

As of December 31, 2016, the approximate aggregate investment style exposure of the accounts we managed was as follows:

Quarterly Dividend

On February 14, 2017, Financial Engines’ Board of Directors declared a regular quarterly cash dividend of $0.07 per share of the Company’s common stock. The cash dividend will be paid on April 5, 2017 to stockholders of record as of the close of business on March 22, 2017.  

Outlook

Financial Engines’ growth strategy includes focusing on increasing penetration within existing professional management plan sponsors, enhancing and extending services to individuals entering and in retirement, and expanding the number of plan sponsors.

Based on the closing level of financial markets on February 16, 2017 and under typical market conditions, the Company estimates that its 2017 revenue will be in the range of $480 million and $487 million, GAAP 2017 net income will be in the range of $53 million to $55 million, and 2017 non-GAAP adjusted EBITDA will be in the range of $158 million to $162 million. A reconciliation of our non-GAAP adjusted EBITDA outlook to our GAAP net income outlook is contained in the accompanying financial tables.

The Company is currently estimating the remaining acquisition-related expenses in the first quarter of 2017 to be less than $5 million, excluding non-cash stock-based compensation expense. These expenses will be added back to net income in the calculation of non-GAAP adjusted EBITDA and non-GAAP adjusted net income. The related tax effect adjustment will be calculated using an estimated statutory tax rate of 38.2%.

Please refer to the tables included in this release that reconcile our GAAP net income to non-GAAP adjusted EBITDA, non-GAAP adjusted net income and non-GAAP adjusted earnings per share.

Conference Call

The Company will host a conference call to discuss its fourth quarter and full year 2016 financial results as well as its 2017 outlook on Thursday, February 23, 2017 at 5:00 p.m. ET.  The live webcast and presentation can be accessed from the Company's investor relations website at www.financialengines.com. The conference call can also be accessed live over the phone by dialing (888) 348-6435, or (412) 902-4238 for international callers. A replay will be available beginning approximately one hour after the call and can be accessed from the Company’s investor relations website, or by dialing (844) 512-2921, or (412) 317-6671 for international callers; the conference ID is 10100734. The conference call replay will be available until March 2, 2017.  

About Non-GAAP Financial Measures

This press release and its attachments include certain non-GAAP supplemental performance measures. The presentation of this financial information is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with U.S. generally accepted accounting principles (GAAP). These non-GAAP measures include non-GAAP adjusted EBITDA, non-GAAP adjusted net income, and non-GAAP adjusted earnings per share. Adjusted EBITDA represents net income before net interest expense (income), income tax expense (benefit), depreciation, amortization of intangible assets, including internal use software, amortization and impairment of direct response advertising, amortization of deferred sales commissions, non-cash stock-based compensation expense and expenses related to the closing and integration of acquisitions, if applicable for the period. Adjusted net income represents net income before non-cash stock-based compensation expense, amortization of intangible assets related to assets acquired, including customer relationships, trade names and trademarks, expenses related to the closing and integration of acquisitions and certain other items such as the income tax benefit from the release of valuation allowances, if applicable for the period, partially offset by the related tax impact of these items. Adjusted earnings per share is defined as adjusted net income divided by the weighted average of dilutive common share equivalents outstanding. Further information regarding the non-GAAP performance measures included in this press release, including a reconciliation of non-GAAP financial measures to the most directly comparable GAAP measures, is contained in the financial tables and will be contained in the Company’s Form 10-K to be filed for the year ended December 31, 2016.

To supplement the Company’s consolidated financial statements presented on a GAAP basis, management believes that these non-GAAP measures provide our Board of Directors, management and investors with additional information and greater transparency with respect to our performance and decision-making. We feel these performance measures provide investors and others with a better understanding and ability to evaluate our operating results and future prospects and provides the same performance measurement information as utilized by management. These adjustments to the Company’s GAAP results are made with the intent of providing both management and investors a more complete understanding of the Company’s underlying operational results, trends and performance.

Our management uses non-GAAP adjusted EBITDA, adjusted net income and adjusted earnings per share as measures of operating performance, for planning purposes, including the preparation of annual budgets, to allocate resources to enhance the financial performance of our business, to evaluate the effectiveness of our business strategies and in communications with our Board of Directors concerning our financial performance. In addition, management currently uses non-GAAP measures in determining cash incentive compensation.

About Financial Engines

Financial Engines is America’s largest independent investment advisor. We help people achieve greater financial clarity by providing comprehensive financial planning and professional investment management and advice. Headquartered in Sunnyvale, CA, Financial Engines was co-founded in 1996 by Nobel Prize-winning economist William F. Sharpe. We currently offer financial help to more than 9 million people across over 700 companies (including 146 of the Fortune 500). Our unique approach, combined with powerful online services, dedicated advisors and personal attention, promotes greater financial wellness and helps more Americans to meet their financial goals.

For more information, visit www.financialengines.com.

©[1998-2017] Financial Engines, Inc. All rights reserved. Financial Engines® is a registered trademark of Financial Engines, Inc. Advisory services provided by our investment advisory subsidiary Financial Engines Advisors L.L.C. Financial Engines does not guarantee results and past performance is no guarantee of future results.

Forward-Looking Statements

This press release and its attachments contain forward-looking statements that involve risks and uncertainties. These forward-looking statements may be identified by terms such as “plan to,” “designed to,” “will,” “can,” “expect,” “estimates,” “believes,” “intends,” “may,” “continues,” “help,” “to be” or the negative of these terms, and similar expressions intended to identify forward-looking statements. These forward-looking statements include, but are not limited to, statements regarding:   our future growth; our focus on executing on our long-term plan and optimizing our business; our strategy and ability to deliver an enhanced client experience and achieve solid profitable long-term growth; Financial Engines’ expected financial performance and outlook, including reconciliation information related thereto and factors which may impact our outlook; and the benefits and anticipated uses of our non-GAAP financial measures. These statements involve known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements to differ materially from those expressed or implied by such forward-looking statements, and reported results should not be considered as an indication of future performance. These risks and uncertainties include, but are not limited to, risks related to the acquisition of The Mutual Fund Store, including our ability to  fully realize the anticipated benefits of the transaction in a timely manner or at all, unanticipated costs or complexities related to and integration of The Mutual Fund Store, and the potential impact of  the transaction, or reaction thereto, on our business, operating results and financial condition, our reliance on fees earned on the value of assets we manage for a substantial portion of our revenue, the impact of the financial markets on our revenue and earnings, unanticipated delays in rollouts of our services, our ability to increase enrollment, our ability to correctly identify and invest appropriately in growth opportunities, our ability to introduce new services and accurately estimate the impact of any future services on our business, the risk that the anticipated benefits of our investments in these services or in growth opportunities may not outweigh the resources and costs associated with these investments or the liabilities associated with the operation of these services, our relationships with plan providers and plan sponsors, the fees we can charge for our professional management service, our reliance on accurate and timely data from plan providers and plan sponsors, system failures, errors or unsatisfactory performance of our services, our reputation, litigation matters, sales of substantial amounts of our common stock, our ability to protect the confidentiality of plan provider, plan sponsor and plan participant data and other privacy concerns, acquisition activity involving plan providers or plan sponsors, our ability to compete, our regulatory environment and any changes thereto, and risks associated with our fiduciary obligations.  More information regarding these and other risks, uncertainties and factors is contained in the Company’s Form 10-K to be filed for the year ended December 31, 2016, and in other reports filed by the Company with the SEC from time to time, including the Company’s 10-K filed for the year ended December 31, 2015. You are cautioned not to unduly rely on these forward-looking statements, which speak only as of the date of this press release. All information in this press release and its attachments is as of the date stated or February 23, 2017 and unless required by law, Financial Engines undertakes no obligation to publicly revise any forward-looking statement to reflect circumstances or events after the date of this press release or to report the occurrence of unanticipated events.

References in this press release to “Financial Engines,” “our company,” “the Company,” “we,” “us” and “our” refer to Financial Engines, Inc. and its consolidated subsidiaries during the periods presented unless the context requires otherwise.

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Financial Tables

FINANCIAL ENGINES, INC. AND SUBSIDIARIES

Unaudited Consolidated Balance Sheets

FINANCIAL ENGINES, INC. AND SUBSIDIARIES

Unaudited Consolidated Statements of Income

FINANCIAL ENGINES, INC. AND SUBSIDIARIES

Unaudited Consolidated Statements of Cash Flows

FINANCIAL ENGINES, INC. AND SUBSIDIARIES

Reconciliation of GAAP to Non-GAAP Operating Results

The table below sets forth a reconciliation of net income to non-GAAP adjusted EBITDA based on our historical results:

The table below sets forth a reconciliation of net income to non-GAAP adjusted net income based on our historical results:

The table below sets forth a reconciliation of GAAP diluted earnings per share to non-GAAP adjusted earnings per share based on our historical results:

The table below sets forth a reconciliation of our 2017 outlook for GAAP net income to our 2017 outlook for non-GAAP adjusted EBITDA: