Financial Data and Key Metrics Changes - The company reported record-setting results with second quarter revenues of $407 million, up 13% year-over-year, and adjusted pre-tax income of $80 million, up 22% [5][8] - For the first half of the year, revenues increased by 6%, adjusted pre-tax income rose by 13%, and adjusted EPS increased by 19% compared to the previous year [6][12] - The adjusted pre-tax margin for the second quarter was 19.7%, compared to 18.2% for the same period last year [11] Business Line Data and Key Metrics Changes - Strategic Advisory revenues increased significantly for both the second quarter and first half, contributing to overall revenue growth [9][16] - Restructuring revenues rose modestly in the second quarter and were slightly up for the first half, while PJT Park Hill revenues decreased year-over-year for both periods [9][15] - The company expects full-year restructuring results to at least match last year's record levels, while Strategic Advisory is anticipated to be up strongly from 2024's record levels [18] Market Data and Key Metrics Changes - The market backdrop has improved, with equity valuations rising and market volatility decreasing, leading to increased business confidence and capital availability [6][14] - Global M&A activity remains near record lows when measured against total equity market capitalization or GDP, despite a 20% increase in annualized global announced M&A volumes [17] Company Strategy and Development Direction - The company remains committed to long-term investments and aims to build the best advisory firm based on excellence, integrity, and client service [7][14] - The firm is focusing on expanding its Strategic Advisory and restructuring capabilities, particularly in international markets such as Europe and the Gulf Region [78] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about a more favorable environment for strategic ambitions as economic and regulatory uncertainties diminish [18] - There is a belief that M&A activity will gradually improve, driven by competitive responses and a more conducive regulatory environment [55][56] Other Important Information - The company ended the quarter with $318 million in cash and equivalents, and $461 million in net working capital, with no funded debt outstanding [13] - A quarterly dividend of $0.25 per share was approved by the Board [13] Q&A Session Summary Question: Update on sponsor M&A activity - Management noted an increase in sponsor activity, with more confidence in the IPO market and credit markets becoming more accommodative, leading to a gradual return of capital [20][22] Question: Update on Park Hill and financial sponsors - Management indicated that they are still in the early stages of leveraging Park Hill relationships for middle market deals, with ongoing efforts to create holistic relationships with clients [33][36] Question: Regulatory outlook for large cap M&A - Management acknowledged a more conducive regulatory environment under the current administration, but noted that certain industries still face scrutiny, complicating large transactions [46][51] Question: Trajectory of M&A recovery - Management expects a gradual improvement in M&A activity as uncertainties lift, with potential for competitive responses driving additional transactions [55][56] Question: Fundraising backdrop for Park Hill - Management highlighted that while fundraising remains challenging, there is a growing number of transactions in flight, with expectations for improved performance in the second half of the year [60][62]

Financial Data and Key Metrics Changes - The company reported record-setting results with second quarter revenues of $407 million, up 13% year over year, and adjusted pre-tax income of $80 million, up 22% [5][8] - For the first half of the year, revenues increased by 6%, adjusted pre-tax income rose by 13%, and adjusted EPS increased by 19% compared to the previous year [6][8] - The adjusted pre-tax margin for the second quarter was 19.7%, compared to 18.2% for the same period last year [11] Business Line Data and Key Metrics Changes - Strategic Advisory revenues increased significantly for both the second quarter and first half, driven by higher transaction closings and fee realizations [9][16] - Restructuring revenues rose modestly in the second quarter and were slightly up for the first half, with expectations to at least match last year's record levels [14][15] - PJT Park Hill revenues decreased year over year for both periods due to timing of closings, but a strong pipeline is expected to improve performance in the second half [15][16] Market Data and Key Metrics Changes - The market backdrop has improved, with equity valuations rising and market volatility decreasing, leading to increased business confidence and capital availability [6][7] - Global M&A activity remains near record lows relative to total equity market capitalization or GDP, despite a 20% increase in annualized global announced M&A volumes [17] Company Strategy and Development Direction - The company remains committed to long-term investments and aims to build the best advisory firm focused on excellence, integrity, and client service [7] - The strategic advisory pipeline is at record levels, indicating a positive outlook for future M&A activity as economic and regulatory uncertainties diminish [18] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about a gradual recovery in M&A activity, with expectations for a prolonged period of improvement as uncertainties lift [54] - The regulatory environment is perceived to be more conducive to M&A consolidation under the current administration, although challenges remain in certain industries [46][49] Other Important Information - The company ended the quarter with $318 million in cash and equivalents, and no funded debt outstanding [13] - A quarterly dividend of $0.25 per share was approved by the Board [13] Q&A Session Summary Question: Update on sponsor M&A activity - Management noted an increase in sponsor activity, with more confidence in the IPO market and evidence of dividend recap transactions, indicating a potential return to more normalized M&A levels [21][22][23] Question: Continuation fund business growth - Management discussed the growing acceptance of continuation funds as a liquidity management tool, suggesting that while growth may slow with the return of regular M&A, there is still significant potential for this asset class [24][25][26] Question: Update on regulatory environment - Management indicated that the current administration's regulatory approach is more favorable for M&A, with a willingness to negotiate remedies, although complexities remain in certain industries [46][49] Question: Trajectory of M&A recovery - Management expects a gradual improvement in M&A activity, driven by lifting uncertainties and competitive responses within industries [54][55] Question: Fundraising environment for Park Hill - Management acknowledged the challenging fundraising backdrop but noted an increase in placement fees and a strong pipeline for both primary and private capital solutions [59][60][61]

Core Viewpoint - PJT Partners reported quarterly earnings of $1.54 per share, exceeding the Zacks Consensus Estimate of $1.36 per share, and showing an increase from $1.19 per share a year ago, representing an earnings surprise of +13.24% [1] Financial Performance - The company posted revenues of $406.88 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 6.79%, compared to $360.18 million in the same quarter last year [2] - PJT Partners has consistently surpassed consensus EPS estimates over the last four quarters [2] Stock Performance - PJT Partners shares have increased approximately 15.7% since the beginning of the year, outperforming the S&P 500's gain of 8.6% [3] Future Outlook - The company's earnings outlook will be crucial for assessing future stock performance, including current consensus earnings expectations for upcoming quarters [4] - The current consensus EPS estimate for the next quarter is $1.22 on revenues of $369 million, and for the current fiscal year, it is $6.10 on revenues of $1.64 billion [7] Industry Context - The Financial - Miscellaneous Services industry, to which PJT Partners belongs, is currently ranked in the bottom 42% of over 250 Zacks industries, indicating potential challenges ahead [8]

Company Overview - PJT Partners is presented as a premier, global, advisory-focused investment bank[11] with a market capitalization of approximately $72 billion[14] - The company has grown to 129 partners globally[14] with an average partner experience of over 25 years[14], and employs 1,155 people across 15 offices in over 60 countries[14] - The firm serves over 400 clients[14] and has achieved approximately $15 billion in LTM 2Q25 revenues[14] Growth and Performance - Since 2015, the company has experienced significant growth, including a 180% increase in total partner count[27] and a 227% increase in total headcount[27] - Revenue has increased by 278% from $406 million in 2015 to $1535 million in LTM 2Q25[27] - Adjusted EPS has increased by 250% from $155 in 2016 to $542 in LTM 2Q25[27] - Adjusted Pretax Income has increased by 601% from $42 million in 2015 to $294 million in LTM 2Q25[27] Financial Highlights (2Q25) - Revenue for the second quarter of 2025 was $407 million, a 13% increase[68] - GAAP Pretax Income was $76 million, a 19% increase[68], while Adjusted Pretax Income was $80 million, a 22% increase[68] - GAAP Diluted EPS was $121, a 14% increase[68], and Adjusted EPS was $154, a 29% increase[68] Financial Highlights (First Half 2025) - Revenue for the first half of 2025 was $731 million, a 6% increase[68] - GAAP Pretax Income was $129 million, a 9% increase[68], while Adjusted Pretax Income was $136 million, a 13% increase[68] - GAAP Diluted EPS was $321, a 40% increase[68], and Adjusted EPS was $259, a 19% increase[68] Financial Highlights (LTM 2Q25) - Revenue for the last twelve months ending 2Q25 was $1535 million, an 18% increase[68] - GAAP Pretax Income was $281 million, a 32% increase[68], while Adjusted Pretax Income was $294 million, a 35% increase[68] - GAAP Diluted EPS was $582, a 52% increase[68], and Adjusted EPS was $542, a 38% increase[68] Capital Management - The company prioritizes investing in its business, offsetting dilution, and maintaining a dividend[70] - The company has a disciplined approach to expense management and maintains a strong cash position[70] - Approximately 40% employee ownership aligns senior management awards with shareholder value creation[70] - The company has repurchased shares, spending $438 million on share repurchases in LTM 2Q25[74]

[PJT Partners Inc. Q2 2025 Earnings Report](index=1&type=section&id=PJT%20Partners%20Inc.%20Reports%20Second%20Quarter%20and%20Six%20Months%202025%20Results) [Financial Highlights](index=1&type=section&id=Financial%20Highlights) The company announced record financial results for Q2 and H1 2025, with significant growth and a strong capital position Q2 2025 Financial Highlights (YoY) | Metric | Q2 2025 | % Change YoY | | :--- | :--- | :--- | | Revenues | $407 million | +13% | | GAAP Pretax Income | $76 million | +19% | | Adjusted Pretax Income | $80 million | +22% | | GAAP Diluted EPS | $1.21 | +14% | | Adjusted EPS | $1.54 | +29% | H1 2025 Financial Highlights (YoY) | Metric | H1 2025 | % Change YoY | | :--- | :--- | :--- | | Revenues | $731 million | +6% | | GAAP Pretax Income | $129 million | +9% | | Adjusted Pretax Income | $136 million | +13% | | GAAP Diluted EPS | $3.21 | +40% | | Adjusted EPS | $2.59 | +19% | - The company maintained a strong balance sheet with **$318 million in cash**, cash equivalents, and short-term investments, and **no funded debt**[5](index=5&type=chunk) - A total of **2.1 million shares** and share equivalents were repurchased through June 30, 2025[5](index=5&type=chunk) [Financial Performance](index=2&type=section&id=Financial%20Performance) Financial performance was driven by higher strategic advisory fees, with revenue growth outpacing the rise in operating expenses [Revenues](index=2&type=section&id=Revenues) Total revenues grew 13% YoY in Q2 and 6% in H1, primarily fueled by a significant increase in strategic advisory fees Revenues by Segment (in Millions) | Revenue Type | Q2 2025 | Q2 2024 | % Change | H1 2025 | H1 2024 | % Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Advisory Fees | $354.5 | $307.1 | 15% | $636.7 | $595.8 | 7% | | Placement Fees | $43.2 | $46.9 | (8%) | $79.3 | $81.4 | (3%) | | Interest Income & Other | $9.1 | $6.2 | 47% | $15.5 | $12.4 | 24% | | **Total Revenues** | **$406.9** | **$360.2** | **13%** | **$731.4** | **$689.6** | **6%** | - The increase in Advisory Revenues was principally due to a **rise in strategic advisory revenues**[7](index=7&type=chunk)[8](index=8&type=chunk) - The decrease in Placement Revenues was attributed to a **decline in fund placement revenues**[7](index=7&type=chunk)[8](index=8&type=chunk) [Expenses](index=2&type=section&id=Expenses) Total expenses rose to support growth, with non-compensation costs increasing from office expansions and business development Q2 2025 Expense Summary (in Millions) | Expense Category | GAAP | As Adjusted | % of Revenues (Adjusted) | | :--- | :--- | :--- | :--- | | Compensation and Benefits | $276.8 | $274.7 | 67.5% | | Non-Compensation | $53.6 | $52.1 | 12.8% | | **Total Expenses** | **$330.4** | **$326.8** | **80.3%** | H1 2025 Expense Summary (in Millions) | Expense Category | GAAP | As Adjusted | % of Revenues (Adjusted) | | :--- | :--- | :--- | :--- | | Compensation and Benefits | $498.0 | $493.8 | 67.5% | | Non-Compensation | $104.4 | $101.5 | 13.9% | | **Total Expenses** | **$602.4** | **$595.2** | **81.4%** | - The increase in Non-Compensation Expense was primarily due to **higher Occupancy and Related costs** and **increased Travel and Related expenses**[14](index=14&type=chunk)[16](index=16&type=chunk) [Provision for Taxes](index=4&type=section&id=Provision%20for%20Taxes) The company's effective tax rate increased for Q2 but shifted significantly for H1 2025 on a GAAP basis Effective Tax Rate Comparison | Period | Metric | 2025 | 2024 | | :--- | :--- | :--- | :--- | | Q2 | GAAP Effective Tax Rate | 19.7% | 17.7% | | H1 | GAAP Effective Tax Rate | -5.1% | 10.1% | - The effective tax rate for Adjusted Net Income, If-Converted for H1 2025 was **16.5%**, compared with **20.6%** for the full year 2024[18](index=18&type=chunk) - As of June 30, 2025, PJT Partners Inc. owned **61.5%** of PJT Partners Holdings LP[17](index=17&type=chunk) [Capital Management and Shareholder Returns](index=4&type=section&id=Capital%20Management%20and%20Shareholder%20Returns) The company maintained a debt-free balance sheet while actively returning capital to shareholders via repurchases and dividends [Balance Sheet](index=4&type=section&id=Balance%20Sheet) The company reported a strong liquidity position with $318 million in cash and equivalents and no funded debt - The company held **$318 million in Cash, Cash equivalents and Short-term investments** as of June 30, 2025[19](index=19&type=chunk) - There was **no funded debt** on the balance sheet as of the end of the quarter[19](index=19&type=chunk) [Share Repurchases](index=4&type=section&id=Share%20Repurchases) The company repurchased 2.1 million shares in H1 2025, with $87 million remaining under its current authorization Share Repurchase Activity | Period | Shares & Equivalents Repurchased | Average Price per Share | | :--- | :--- | :--- | | Q2 2025 | 642 thousand | $136.43 | | H1 2025 | 2.1 million | $154.63 | - As of June 30, 2025, the company's remaining share repurchase authorization was **$87 million**[21](index=21&type=chunk) [Dividend](index=4&type=section&id=Dividend) The Board of Directors declared a quarterly dividend of $0.25 per share of Class A common stock - A quarterly dividend of **$0.25 per share** of Class A common stock has been declared[22](index=22&type=chunk) - The dividend is payable on **September 17, 2025**, to stockholders of record on **September 3, 2025**[22](index=22&type=chunk) [Appendix: Detailed Financial Statements](index=7&type=section&id=Appendix) The appendix provides unaudited GAAP statements and reconciliations to non-GAAP measures for financial transparency [GAAP Condensed Consolidated Statements of Operations](index=8&type=section&id=GAAP%20Condensed%20Consolidated%20Statements%20of%20Operations%20(unaudited)) The GAAP statement shows Q2 Net Income of $61.4 million and H1 Net Income of $135.6 million GAAP Statement of Operations Highlights (in Thousands) | Metric | Q2 2025 | Q2 2024 | H1 2025 | H1 2024 | | :--- | :--- | :--- | :--- | :--- | | **Total Revenues** | $406,884 | $360,181 | $731,415 | $689,574 | | **Total Expenses** | $330,405 | $295,782 | $602,358 | $571,272 | | **Income Before Taxes** | $76,479 | $64,399 | $129,057 | $118,302 | | **Net Income** | $61,438 | $53,031 | $135,601 | $106,403 | | **Diluted EPS** | $1.21 | $1.06 | $3.21 | $2.29 | [Reconciliations of GAAP to Non-GAAP Financial Data](index=9&type=section&id=Reconciliations%20of%20GAAP%20to%20Non-GAAP%20Financial%20Data%20(unaudited)) This section reconciles GAAP to adjusted metrics, showing Q2 Adjusted Net Income of $66.9 million, or $1.54 per share Reconciliation to Adjusted Pretax Income (in Thousands) | Metric | Q2 2025 | Q2 2024 | H1 2025 | H1 2024 | | :--- | :--- | :--- | :--- | :--- | | **GAAP Pretax Income** | $76,479 | $64,399 | $129,057 | $118,302 | | Total Adjustments | $3,591 | $1,320 | $7,138 | $2,641 | | **Adjusted Pretax Income** | $80,070 | $65,719 | $136,195 | $120,943 | Reconciliation to Adjusted Net Income & EPS (in Thousands, except per share) | Metric | Q2 2025 | Q2 2024 | H1 2025 | H1 2024 | | :--- | :--- | :--- | :--- | :--- | | **Adjusted Net Income, If-Converted** | $66,859 | $51,261 | $113,723 | $94,336 | | **Adjusted EPS** | $1.54 | $1.19 | $2.59 | $2.17 | [Summary of Shares Outstanding](index=10&type=section&id=Summary%20of%20Shares%20Outstanding%20(unaudited)) The report details weighted-average shares, with 43.4 million diluted shares for Q2 on a GAAP and If-Converted basis Weighted-Average Shares Outstanding | Share Count Type | Q2 2025 | Q2 2024 | H1 2025 | H1 2024 | | :--- | :--- | :--- | :--- | :--- | | Diluted Shares, GAAP | 43,440,009 | 43,091,718 | 43,951,488 | 43,427,605 | | If-Converted Shares | 43,440,009 | 43,037,141 | 43,951,488 | 43,387,129 | - As of June 30, 2025, the fully-diluted shares outstanding, assuming conversion, was **45,937,559**[37](index=37&type=chunk)

Core Viewpoint - PJT Partners is anticipated to report a year-over-year increase in earnings and revenues for the quarter ended June 2025, with earnings expected at $1.36 per share, reflecting a 14.3% increase, and revenues projected at $381 million, up 5.8% from the previous year [1][3]. Earnings Report Expectations - The earnings report is scheduled for July 29, and if the results exceed expectations, the stock may rise; conversely, a miss could lead to a decline [2]. - The sustainability of any immediate price change will largely depend on management's commentary during the earnings call [2]. Estimate Revisions - The consensus EPS estimate has been revised down by 17.01% over the last 30 days, indicating a reassessment by analysts [4]. - The Most Accurate Estimate for PJT Partners aligns with the Zacks Consensus Estimate, resulting in an Earnings ESP of 0% [12]. Earnings Surprise History - PJT Partners has a history of beating consensus EPS estimates, having done so in the last four quarters, with a notable surprise of +11.70% in the last reported quarter [13][14]. Industry Comparison - In the same industry, SouthState is expected to report earnings of $2 per share, a year-over-year increase of 11.7%, with revenues projected at $639.47 million, up 50.3% [18][19]. - SouthState has an Earnings ESP of +3.76% and a Zacks Rank of 2 (Buy), suggesting a strong likelihood of beating the consensus EPS estimate [20].

Group 1 - PJT Partners has evolved significantly since its separation from Blackstone in 2015 [1] - The company operates in three main business lines: strategic advisory, restructuring, and Park [1]

PART I. FINANCIAL INFORMATION [FINANCIAL STATEMENTS](index=5&type=section&id=ITEM%201.%20FINANCIAL%20STATEMENTS) The company's Q1 2025 unaudited statements show higher net income due to a tax benefit and a declared dividend **Condensed Consolidated Statements of Operations (Q1 2025 vs. Q1 2024)** | | Three Months Ended March 31, | | :--- | :--- | :--- | | (In thousands) | **2025** | **2024** | | **Total Revenues** | **$324,531** | **$329,393** | | Total Expenses | $271,953 | $275,490 | | Income Before Provision (Benefit) for Taxes | $52,578 | $53,903 | | Provision (Benefit) for Taxes | $(21,585) | $531 | | **Net Income** | **$74,163** | **$53,372** | | Net Income Attributable to PJT Partners Inc. | $54,016 | $32,623 | | **Diluted EPS** | **$1.99** | **$1.22** | **Condensed Consolidated Statements of Financial Condition** | | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | (In thousands) | | | | **Cash and Cash Equivalents** | **$194,271** | **$483,877** | | Accounts Receivable, Net | $338,628 | $320,783 | | **Total Assets** | **$1,396,700** | **$1,635,334** | | Accrued Compensation and Benefits | $72,579 | $299,255 | | **Total Liabilities** | **$572,388** | **$733,691** | | **Total Equity** | **$824,312** | **$901,643** | - Net cash used in operating activities was **$75.9 million** for Q1 2025, compared to $38.8 million in Q1 2024, primarily due to a larger decrease in accrued compensation and benefits after bonus payments[25](index=25&type=chunk) - The Board declared a quarterly dividend of **$0.25 per share** of Class A common stock, payable on June 18, 2025[88](index=88&type=chunk) - The company operates as a single reportable segment, providing advisory and placement services, with performance assessed on a consolidated basis by the CODM[84](index=84&type=chunk)[85](index=85&type=chunk) [MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS](index=23&type=section&id=ITEM%202.%20MANAGEMENT'S%20DISCUSSION%20AND%20ANALYSIS%20OF%20FINANCIAL%20CONDITION%20AND%20RESULTS%20OF%20OPERATIONS) Q1 2025 saw a slight revenue and expense decrease, with strong liquidity and a stable M&A environment [Results of Operations](index=26&type=section&id=Results%20of%20Operations) Revenues and expenses both decreased 1%, while a significant tax benefit drove a 66% increase in net income **Q1 2025 vs Q1 2024 Performance** | Metric | Q1 2025 | Q1 2024 | Change | | :--- | :--- | :--- | :--- | | **Total Revenues** | **$324.5M** | **$329.4M** | **(1)%** | | Advisory Fees | $282.2M | $288.7M | (2)% | | Placement Fees | $36.0M | $34.5M | 4% | | **Total Expenses** | **$272.0M** | **$275.5M** | **(1)%** | | Compensation & Benefits | $221.1M | $228.9M | (3)% | | **Net Income Attributable to PJT** | **$54.0M** | **$32.6M** | **66%** | - The decrease in Advisory Fees was due to lower revenues from restructuring and private capital solutions, which was mostly offset by an increase in strategic advisory revenues[113](index=113&type=chunk) - The decrease in Compensation and Benefits was principally driven by a lower accrual rate compared to the prior year[115](index=115&type=chunk) - The effective tax rate was **-41.1%** for Q1 2025 compared to 1.0% for Q1 2024, primarily due to an increased tax benefit related to the delivery of vested shares[116](index=116&type=chunk) [Liquidity and Capital Resources](index=28&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains strong liquidity with $226.8 million in cash and investments to fund operations and returns - As of March 31, 2025, the company had cash, cash equivalents, and short-term investments of **$226.8 million**[121](index=121&type=chunk) - The company has a **$100 million** syndicated revolving credit facility maturing in July 2026, which was undrawn as of March 31, 2025[120](index=120&type=chunk)[71](index=71&type=chunk) - During Q1 2025, the company repurchased 0.8 million shares for **$127.1 million**, with **$150.5 million** remaining under the share repurchase program[130](index=130&type=chunk)[55](index=55&type=chunk) - In Q1 2025, certain holders exchanged 0.3 million Partnership Units for **$57.3 million** in cash[128](index=128&type=chunk)[65](index=65&type=chunk) [QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK](index=31&type=section&id=ITEM%203.%20QUANTITATIVE%20AND%20QUALITATIVE%20DISCLOSURES%20ABOUT%20MARKET%20RISK) Market risk exposures remain materially unchanged from the previous fiscal year-end - The company's exposures to market risk have not changed materially since December 31, 2024[140](index=140&type=chunk) [CONTROLS AND PROCEDURES](index=32&type=section&id=ITEM%204.%20CONTROLS%20AND%20PROCEDURES) Disclosure controls and procedures were deemed effective with no material changes to internal controls - The CEO and CFO concluded that the company's disclosure controls and procedures were **effective** as of the end of the period covered by this report[141](index=141&type=chunk) - **No material changes** occurred in the company's internal control over financial reporting during the most recent quarter[142](index=142&type=chunk) PART II. OTHER INFORMATION [LEGAL PROCEEDINGS](index=33&type=section&id=ITEM%201.%20LEGAL%20PROCEEDINGS) The company faces no pending legal proceedings expected to materially impact its financial condition - The company is not currently party to any **material pending legal proceedings** that would have a material effect on its financial state[144](index=144&type=chunk) [RISK FACTORS](index=33&type=section&id=ITEM%201A.%20RISK%20FACTORS) Risk factors remain materially unchanged from the previous Annual Report on Form 10-K - There were **no material changes** from the risk factors previously disclosed in the Annual Report on Form 10-K for the year ended December 31, 2024[146](index=146&type=chunk) [UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS](index=33&type=section&id=ITEM%202.%20UNREGISTERED%20SALES%20OF%20EQUITY%20SECURITIES%20AND%20USE%20OF%20PROCEEDS) The company repurchased $127.1 million of shares in Q1 2025, with $150.5 million remaining in its authorization **Issuer Purchases of Equity Securities in Q1 2025** | Period | Total Shares Repurchased | Average Price Paid Per Share | Remaining Authorization | | :--- | :--- | :--- | :--- | | Jan 1 - Jan 31 | 198,547 | $160.82 | $245.7M | | Feb 1 - Feb 28 | 305,071 | $169.45 | $194.0M | | Mar 1 - Mar 31 | 298,298 | $145.79 | $150.5M | | **Total** | **801,916** | **$158.51** | **$150.5M** | - The company issued eight corresponding shares of its Class B common stock in connection with the issuance or transfer of Partnership Units during Q1 2025[149](index=149&type=chunk) [DEFAULTS UPON SENIOR SECURITIES](index=34&type=section&id=ITEM%203.%20DEFAULTS%20UPON%20SENIOR%20SECURITIES) This item is not applicable for the reporting period - Not applicable[150](index=150&type=chunk) [MINE SAFETY DISCLOSURES](index=34&type=section&id=ITEM%204.%20MINE%20SAFETY%20DISCLOSURES) This item is not applicable for the reporting period - Not applicable[151](index=151&type=chunk) [OTHER INFORMATION](index=34&type=section&id=ITEM%205.%20OTHER%20INFORMATION) No directors or officers adopted, terminated, or modified Rule 10b5-1 trading arrangements in Q1 2025 - During the three months ended March 31, 2025, none of the Company's directors or officers adopted, terminated, or modified a Rule 10b5-1 trading arrangement[152](index=152&type=chunk) [EXHIBITS](index=35&type=section&id=ITEM%206.%20EXHIBITS) This section lists all exhibits filed with the Form 10-Q, including certifications and XBRL data - Lists exhibits filed with the report, including CEO and CFO certifications pursuant to Rule 13a-14(a) and Section 906 of the Sarbanes-Oxley Act, and Inline XBRL documents[154](index=154&type=chunk)

Group 1 - The Value Lab focuses on long-only value investment ideas, targeting a portfolio yield of approximately 4% and has performed well over the last five years by engaging in international markets [1][2] - PJT Partners experienced flat performance in restructuring last quarter, but the current complex dealmaking environment may present new opportunities [2] - The Valkyrie Trading Society consists of analysts sharing high conviction investment ideas that are expected to yield non-correlated and outsized returns in the current economic context [3]

Financial Data and Key Metrics Changes - The company reported first quarter revenues of $325 million, which is 1% below the same period last year, with adjusted pretax income of $56 million and adjusted EPS of $1.05, marking record Q1 adjusted net income and EPS [4][6][10] - Adjusted pretax margin improved to 17.3% from 16.8% year over year [10] - The effective tax rate for the first quarter was 16.5%, with expectations for the full year to remain around the same rate [10][12] Business Line Data and Key Metrics Changes - Revenues in Strategic Advisory increased modestly compared to the previous year, while revenues in Restructuring and PJT Park Hill decreased slightly year over year [6][14] - The company expects full year 2025 Strategic Advisory revenues to be significantly higher than 2024 levels, driven by anticipated closings of previously announced transactions [16][82] Market Data and Key Metrics Changes - The current environment is characterized by volatile capital markets, subdued M&A activity, and fragile business confidence, impacting overall market sentiment [5][19] - The number of announced M&A transactions declined by more than 15% compared to the previous year, despite a modest increase in the dollar value of global announced M&A [15][19] Company Strategy and Development Direction - The company remains committed to investing in its strategic advisory franchise to position itself for future opportunities, despite current market uncertainties [18] - The firm is experiencing elevated activity levels in liability management, with expectations to maintain performance consistent with last year's record results [13][81] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the firm's outlook for the year, stating it remains substantially unchanged despite current economic uncertainties [19][81] - The company anticipates a potential increase in restructuring and liability management activity if economic pressures persist [13][30] Other Important Information - The company ended the quarter with $227 million in cash and no funded debt outstanding [11] - A dividend of $0.25 per share was approved, to be paid on June 18, 2025 [12] Q&A Session Summary Question: Thoughts on Strategic Advisory and partner productivity in a normalized environment - Management indicated that in a normalized environment, there could be a meaningful increase in partner productivity due to better network effects and franchise value [21][23] Question: Growth algorithm for restructuring business amid economic uncertainty - Management affirmed their commitment to the restructuring business, noting that they do not view themselves as capacity constrained and expect continued elevated activity levels [25][28] Question: Discussions with private equity regarding M&A and IPOs - Management noted a slowing of activity in the private equity space, particularly in capital return and IPOs, but emphasized ongoing interest in high-quality assets [35][37] Question: Impact of high yield market stress on liability management assignments - Management acknowledged that both liability management and bankruptcies are likely to increase in a risk-off environment, with more opportunities for restructuring [49][50] Question: Regulatory posture on M&A deals under the new administration - Management described the regulatory environment as mixed, with some confidence in moving forward with deals, but noted that large transactions are still being scrutinized [65][67] Question: Recruiting environment and potential for increased hiring - Management indicated that while demand for talent remains strong, the ability to attract individuals may improve as market conditions evolve [68][70]