Evercore(US:EVR)2025-04-30 10:45Financial Performance - First Quarter Net Revenues reached $694.8 million on a U.S. GAAP basis, a 20% increase compared to Q1 2024[2] - Operating Income for Q1 was $111.2 million on a U.S. GAAP basis, reflecting a 32% increase year-over-year[3] - Net Income attributable to Evercore Inc. was $146.2 million, up 70% from $85.7 million in Q1 2024[2] - Diluted Earnings Per Share increased to $3.48, compared to $2.09 in the same quarter last year, marking a 66% rise[2] - Net Revenues for Q1 2025 increased to $694.829 million, up 19.6% from $580.815 million in Q1 2024[49] - Adjusted Net Revenues for Q1 2025 were $699.901 million, compared to $587.328 million in Q1 2024, reflecting a 19.1% increase[49] - Operating Income on a U.S. GAAP basis for Q1 2025 was $111.184 million, a 32.2% increase from $84.120 million in Q1 2024[49] - Adjusted Operating Income for Q1 2025 reached $116.256 million, up from $90.633 million in Q1 2024, representing a 28.3% increase[49] - Net Income Attributable to Evercore Inc. on a U.S. GAAP basis for Q1 2025 was $146.184 million, compared to $85.693 million in Q1 2024, marking a 70.5% increase[49] - Adjusted Net Income Attributable to Evercore Inc. for Q1 2025 was $154.803 million, up from $92.867 million in Q1 2024, a 66.7% increase[49] - Diluted Earnings Per Share (EPS) on a U.S. GAAP basis for Q1 2025 was $3.48, compared to $2.09 in Q1 2024, an increase of 66.5%[49] - Adjusted Diluted EPS for Q1 2025 was $3.49, up from $2.13 in Q1 2024, reflecting a 64.0% increase[49] - The Operating Margin on a U.S. GAAP basis improved to 16.0% in Q1 2025 from 14.5% in Q1 2024[49] Advisory and Revenue Streams - Advisory Fees rose by $127.5 million, or 30%, year-over-year, driven by large transactions[13] - Evercore advised on significant transactions, including Calpine's $29.1 billion sale to Constellation Energy[3] - Net revenues for Investment Banking & Equities increased to $674.532 million in Q1 2025, up 20% from $561.728 million in Q1 2024[58] - Advisory fees rose to $557.349 million, a 30% increase compared to $429.838 million in the same period last year[58] - Commissions and Related Revenue increased by $6.9 million, or 14%, year-over-year, driven by higher trading commissions due to increased trading volume[24] - Asset Management and Administration Fees reached $20.983 million, a 12.9% increase from $18.699 million in Q1 2024[58] Expenses and Costs - Total expenses for the company were $583.645 million, reflecting a 17.5% increase from $496.695 million in Q1 2024[58] - Employee compensation and benefits expenses increased to $459.825 million, up 18.6% from $387.705 million in the same quarter last year[58] - Adjusted Employee Compensation and Benefits increased by $72.1 million, or 19%, year-over-year, with an adjusted compensation ratio of 65.7% compared to 66.0% in the prior year[27] - Non-compensation costs rose to $123.820 million, a 13.5% increase compared to $108.990 million in Q1 2024[58] - Adjusted Non-Compensation Costs rose by $14.8 million, or 14%, year-over-year, primarily due to increased expenses in communications, information services, and occupancy[28] Shareholder Returns - The company returned $454.3 million to shareholders through dividends and share repurchases during the quarter[3] - The quarterly dividend was increased by 5% to $0.84 per share[3] - The Board of Directors declared a quarterly dividend of $0.84 per share to be paid on June 13, 2025[37] - During the first quarter, the company repurchased 1.6 million shares at an average price of $261.15 per share[38] Assets and Employment - Total Assets Under Management increased by 5% to $13.7 billion from $12.999 billion in Q1 2024[12] - As of March 31, 2025, cash and cash equivalents were $553.0 million, with current assets exceeding current liabilities by $1.4 billion[30] - The company employed approximately 2,395 people as of March 31, 2025, up from 2,225 in the previous year[31] Taxation - The effective tax rate for Q1 was (37.2%), influenced by a tax benefit of $74.3 million related to employee share-based awards[19] - The first quarter adjusted effective tax rate was (39.7%), significantly higher than (9.3%) in the prior year, influenced by share price appreciation upon vesting of employee awards[29] Strategic Initiatives - The company continues to focus on expanding its market presence and enhancing its service offerings through strategic initiatives[60]