Core Viewpoint - Lazard reported quarterly earnings of $0.52 per share, exceeding the Zacks Consensus Estimate of $0.38 per share, with a year-over-year comparison showing no change in earnings per share [1][2] Financial Performance - The company achieved revenues of $769.87 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 11.82%, compared to $684.64 million in the same quarter last year [2] - Over the last four quarters, Lazard has exceeded consensus EPS estimates three times and topped consensus revenue estimates three times [2] Stock Performance - Lazard shares have increased approximately 6.8% since the beginning of the year, while the S&P 500 has gained 8.1% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.52 on revenues of $741.66 million, and for the current fiscal year, it is $2.35 on revenues of $3.01 billion [7] - The trend of estimate revisions for Lazard was mixed prior to the earnings release, which may change following the recent results [6] Industry Context - The Financial - Miscellaneous Services industry, to which Lazard belongs, is currently ranked in the top 38% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8]

Lazard’s chief executive officer welcomed private equity firms rolling back aggressive hiring of investment-banking analysts, but said he won’t implement transparency rules the way many large banks have done to discourage analysts from leaving https://t.co/pLLqAOV61I ...

Lazard's Business Overview - Lazard is an independent financial advisory and asset management firm[11] - Asset Management AUM reached $248 billion in 2Q25, with 63% in non-USD securities[19] - Financial Advisory had >200 clients in FY24 with fees >$1M[19] Financial Performance & Strategy - Lazard aims to double revenue by 2030 and achieve a 10-15% average annual total shareholder return (TSR)[31] - In 2024, Financial Advisory net revenue was $1731 million and Asset Management net revenue was $1100 million[161] - Lazard targets an $85 million annual revenue per MD in Financial Advisory by 2025, increasing to $10 million by 2028[34] Financial Metrics - Adjusted net revenue for 2024 was $2890 million[159] - The adjusted compensation ratio for 2024 was 659%[154] - The adjusted non-compensation ratio for 2024 was 199%[156]

Financial Highlights [Q2 & H1 2025 Performance Summary](index=1&type=section&id=Q2%20%26%20H1%202025%20Performance%20Summary) Lazard achieved strong Q2 2025 performance with 12% YoY adjusted net revenue growth, record Financial Advisory revenue, and positive Asset Management net flows Selected Results (Three Months Ended June 30) | (Selected results, $ in millions) | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | % '25-'24 | | :--- | :--- | :--- | :--- | | **Adjusted Net Revenue** | $770 | $685 | 12% | | - Financial Advisory | $491 | $408 | 20% | | - Asset Management | $268 | $265 | 1% | | **Adjusted Net Income** | $55 | $53 | 5% | | **Adjusted Per share, diluted** | $0.52 | $0.52 | –% | | **Ending AUM ($ in billions)** | $248 | $245 | 2% | Selected Results (Six Months Ended June 30) | (Selected results, $ in millions) | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | % '25-'24 | | :--- | :--- | :--- | :--- | | **Adjusted Net Revenue** | $1,413 | $1,431 | (1%) | | - Financial Advisory | $861 | $855 | 1% | | - Asset Management | $533 | $541 | (2%) | | **Adjusted Net Income** | $116 | $119 | (3%) | | **Adjusted Per share, diluted** | $1.08 | $1.17 | (8%) | - The CEO highlighted **record revenue in Financial Advisory** for Q2 and H1, and an inflection point for Asset Management with **positive net flows** and **record gross inflows**[2](index=2&type=chunk) - The firm has hired **14 Managing Directors** in Financial Advisory year-to-date to support long-term growth[3](index=3&type=chunk) Segment Performance [Financial Advisory](index=2&type=section&id=Financial%20Advisory) Financial Advisory achieved record Q2 2025 adjusted net revenue of $491 million, up 20% YoY, driven by robust M&A and advisory mandates Adjusted Net Revenue | Period | Adjusted Net Revenue ($M) | YoY Change | | :--- | :--- | :--- | | Q2 2025 | $491 | 20% | | H1 2025 | $861 | 1% | - Key M&A advisory roles included CD&R's **€16 billion acquisition** of a stake in Sanofi's consumer health unit, Berry Global's **$15.0 billion combination** with Amcor, and Ferrero's **$3.1 billion acquisition** of WK Kellogg Co[9](index=9&type=chunk) - The firm's Private Capital Advisory, Capital Solutions, and Restructuring practices were actively engaged, advising clients including Accel-KKR, ZF Friedrichshafen, Solo Brands, and Southern Water[5](index=5&type=chunk)[6](index=6&type=chunk) [Asset Management](index=2&type=section&id=Asset%20Management) Asset Management reported Q2 2025 adjusted net revenue of $268 million, with AUM reaching $248 billion and positive net inflows of $0.7 billion Adjusted Net Revenue | Period | Adjusted Net Revenue ($M) | YoY Change | | :--- | :--- | :--- | | Q2 2025 | $268 | 1% | | H1 2025 | $533 | (2%) | Assets Under Management | Metric | Q2 2025 | Q2 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Average AUM ($B) | $239 | $245 | (3%) | | Ending AUM ($B) | $248 | $245 | 2% | - AUM increased by **$21 billion sequentially** from March 31, 2025, driven by **market appreciation ($11.9 billion)**, **foreign exchange appreciation ($8.4 billion)**, and **net inflows ($0.7 billion)**[10](index=10&type=chunk) Operating Expenses [Compensation and Benefits Expense](index=3&type=section&id=Compensation%20and%20Benefits%20Expense) Adjusted compensation and benefits expense for Q2 2025 was $504 million, with the compensation ratio improving to 65.5% and a long-term goal of 60% or below Adjusted Compensation and Benefits | Period | Adjusted Comp & Benefits ($M) | Adjusted Comp Ratio | | :--- | :--- | :--- | | Q2 2025 | $504 | 65.5% | | Q2 2024 | $452 | 66.0% | | H1 2025 | $926 | 65.5% | | H1 2024 | $945 | 66.0% | - Lazard's stated goal is to deliver an adjusted compensation ratio of **60% or below**, with the timing dependent on market conditions[11](index=11&type=chunk) [Non-Compensation Expenses](index=3&type=section&id=Non-Compensation%20Expenses) Adjusted non-compensation expenses rose to $157 million in Q2 2025, with the ratio improving to 20.4% and a target range of 16% to 20% Adjusted Non-Compensation Expenses | Period | Adjusted Non-Comp Expense ($M) | Adjusted Non-Comp Ratio | | :--- | :--- | :--- | | Q2 2025 | $157 | 20.4% | | Q2 2024 | $149 (approx) | 21.7% | | H1 2025 | $305 | 21.6% | | H1 2024 | $283 (approx) | 19.8% | - Lazard's goal is to achieve an adjusted non-compensation ratio between **16% and 20%**, with timing dependent on market conditions[12](index=12&type=chunk) Financial Position and Capital Management [Taxes](index=3&type=section&id=Taxes) Q2 2025 income tax provision was $32 million, with an adjusted effective tax rate of 36.5%, while H1 2025 saw a 17.4% adjusted effective tax rate Tax Information | Period | Tax Provision ($M) | U.S. GAAP ETR | Adjusted ETR | | :--- | :--- | :--- | :--- | | Q2 2025 | $32 | 34.1% | 36.5% | | H1 2025 | $24 | 16.5% | 17.4% | [Capital Management and Balance Sheet](index=4&type=section&id=Capital%20Management%20and%20Balance%20Sheet) Lazard returned $60 million to shareholders in Q2 2025, maintaining a strong balance sheet with $978 million in cash and equivalents Shareholder Returns | Shareholder Returns ($M) | Q2 2025 | H1 2025 | | :--- | :--- | :--- | | Dividends | $47 | $92 | | Share Repurchases | $4 | $40 | | Employee Tax Obligations | $9 | $103 | | **Total Returned** | **$60** | **$235** | - A quarterly dividend of **$0.50 per share** was declared, payable on August 15, 2025[16](index=16&type=chunk) - As of June 30, 2025, cash and cash equivalents stood at **$978 million**, and the total outstanding share repurchase authorization was approximately **$160 million**[15](index=15&type=chunk)[16](index=16&type=chunk) Financial Statements and Reconciliations [Condensed Consolidated Statement of Operations (U.S. GAAP)](index=8&type=section&id=Condensed%20Consolidated%20Statement%20of%20Operations%20(U.S.%20GAAP)) This section presents the unaudited U.S. GAAP consolidated statement of operations for Q2 and H1 2025, detailing revenues, expenses, and net income Three Months Ended June 30 | ($ in thousands) | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | | :--- | :--- | :--- | | Net revenue | $795,997 | $685,349 | | Operating income | $93,081 | $63,640 | | Net income attributable to Lazard, Inc. | $55,346 | $49,909 | | Diluted net income per share | $0.52 | $0.49 | Six Months Ended June 30 | ($ in thousands) | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Net revenue | $1,444,048 | $1,450,102 | | Operating income | $147,716 | $118,201 | | Net income attributable to Lazard, Inc. | $115,721 | $85,664 | | Diluted net income per share | $1.08 | $0.84 | [Condensed Consolidated Statement of Financial Condition (U.S. GAAP)](index=10&type=section&id=Condensed%20Consolidated%20Statement%20of%20Financial%20Condition%20(U.S.%20GAAP)) This section presents the unaudited U.S. GAAP balance sheet as of June 30, 2025, detailing the company's assets, liabilities, and equity As of June 30, 2025 and December 31, 2024 | ($ in thousands) | As of June 30, 2025 | As of December 31, 2024 | | :--- | :--- | :--- | | **Total Assets** | **$4,493,386** | **$4,793,993** | | Cash and cash equivalents | $978,259 | $1,308,218 | | Senior debt | $1,688,631 | $1,687,052 | | **Total liabilities** | **$3,623,324** | **$4,029,210** | | **Total stockholders' equity** | **$786,484** | **$685,154** | [Selected Summary Financial Information (Adjusted Basis)](index=11&type=section&id=Selected%20Summary%20Financial%20Information%20(Adjusted%20Basis)) This section summarizes the company's adjusted (non-GAAP) financial performance for Q2 and H1 2025, including revenue by segment and key earnings metrics Three Months Ended June 30 | ($ in thousands) | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | | :--- | :--- | :--- | | Adjusted net revenue | $769,866 | $684,642 | | Adjusted operating income | $108,232 | $84,166 | | Adjusted net income | $55,346 | $52,869 | | Adjusted diluted net income per share | $0.52 | $0.52 | Six Months Ended June 30 | ($ in thousands) | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Adjusted net revenue | $1,413,051 | $1,431,207 | | Adjusted operating income | $182,249 | $203,705 | | Adjusted net income | $115,721 | $119,475 | | Adjusted diluted net income per share | $1.08 | $1.17 | [Assets Under Management (AUM)](index=13&type=section&id=Assets%20Under%20Management%20(AUM)) This section details the composition and changes in Assets Under Management (AUM), totaling $248.4 billion as of June 30, 2025 AUM by Asset Class | ($ in millions) | As of June 30, 2025 | As of March 31, 2025 | | :--- | :--- | :--- | | Total Equity | $192,250 | $174,130 | | Total Fixed Income | $47,057 | $44,024 | | **Total AUM** | **$248,360** | **$227,427** | AUM Roll-Forward Q2 2025 | AUM Roll-Forward Q2 2025 ($M) | Amount | | :--- | :--- | | AUM - Beginning of Period | $227,427 | | Net Flows | $677 | | Market and foreign exchange appreciation | $20,256 | | **AUM - End of Period** | **$248,360** | [Reconciliation of U.S. GAAP to Adjusted Results](index=14&type=section&id=Reconciliation%20of%20U.S.%20GAAP%20to%20Adjusted%20Results) This section provides detailed tables reconciling U.S. GAAP financial figures to adjusted (non-GAAP) results, specifying adjustments for key metrics - Key adjustments to reconcile GAAP to Adjusted Net Revenue include items related to noncontrolling interests, Lazard Fund Interests (LFI), distribution fees, reimbursable deal costs, and corporate interest expense[44](index=44&type=chunk) - Adjustments to reconcile GAAP to Adjusted Operating Income include removing operating income related to noncontrolling interests, adding back corporate interest expense, and excluding amortization and costs associated with cost-saving initiatives[47](index=47&type=chunk)

Lazard has hired one of Rothschild’s most seasoned investment bankers in the Nordics to bolster its client network in the region, according to people familiar with the matter https://t.co/dXT8E93BWo ...

Core Insights - Wall Street analysts forecast that Lazard (LAZ) will report quarterly earnings of $0.38 per share, reflecting a year-over-year decline of 26.9%, with anticipated revenues of $688.5 million, showing a slight increase of 0.6% compared to the previous year [1] Earnings Estimates - Over the last 30 days, there has been a downward revision of 1.3% in the consensus EPS estimate for the quarter, indicating a collective reconsideration by covering analysts [2] - Changes in earnings estimates are crucial for predicting investor reactions, as empirical research shows a strong correlation between earnings estimate revisions and short-term stock price performance [3] Key Metrics Projections - Analysts project 'Adjusted net revenue - Asset Management' at $261.01 million, indicating a year-over-year decline of 1.6% [5] - The estimate for 'Adjusted net revenue - Financial Advisory' is $417.05 million, reflecting a year-over-year increase of 2.2% [5] - 'Adjusted net revenue - Corporate' is expected to reach $9.44 million, suggesting a significant year-over-year decline of 17.8% [5] Assets Under Management - 'Assets under management - Total Fixed Income' is estimated at $45.12 billion, down from $46.11 billion year-over-year [6] - 'Assets under management - Total Equity' is projected to be $182.45 billion, compared to $190.43 billion from the previous year [6] - The estimated 'Assets under management - End of Period' is $236.20 billion, down from $244.67 billion year-over-year, while 'Assets under management - End of Period - Other' is expected to reach $8.64 billion, up from $8.13 billion [7] Stock Performance - Lazard shares have increased by 16.4% in the past month, outperforming the Zacks S&P 500 composite, which rose by 5.9% [7] - With a Zacks Rank 3 (Hold), LAZ is expected to closely follow overall market performance in the near term [7]

Core Insights - Lazard (LAZ) is positioned to continue its earnings-beat streak, having achieved an average surprise of 73.02% over the last two quarters [1][5] Earnings Performance - For the last reported quarter, Lazard's earnings were $0.56 per share, exceeding the Zacks Consensus Estimate of $0.29 per share, resulting in a surprise of 93.10% [2] - In the previous quarter, Lazard was expected to earn $0.51 per share but reported $0.78 per share, delivering a surprise of 52.94% [2] Earnings Estimates and Predictions - Estimates for Lazard have been trending higher, supported by its history of earnings surprises [5] - The stock has a positive Zacks Earnings ESP of +2.21%, indicating bullish sentiment among analysts regarding its earnings prospects [8] - The combination of a positive Earnings ESP and a Zacks Rank of 3 (Hold) suggests a strong possibility of another earnings beat [8] Statistical Insights - Research indicates that stocks with a positive Earnings ESP and a Zacks Rank of 3 or better have a nearly 70% chance of producing a positive surprise [6] - The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate, reflecting the latest analyst revisions [7] Future Outlook - Lazard's next earnings report is expected to be released on July 24, 2025 [8]

Core Viewpoint - Lazard (LAZ) is anticipated to report a year-over-year decline in earnings despite an increase in revenues for the quarter ended June 2025, with the actual results being a significant factor influencing its near-term stock price [1][2]. Earnings Expectations - The upcoming earnings report is expected to reveal quarterly earnings of $0.38 per share, reflecting a year-over-year decrease of 26.9%, while revenues are projected to be $688.5 million, representing a 0.6% increase from the previous year [3]. - The consensus EPS estimate has been revised down by 1.27% over the last 30 days, indicating a reassessment by analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that the Most Accurate Estimate for Lazard is higher than the Zacks Consensus Estimate, resulting in a positive Earnings ESP of +2.21%, suggesting a likelihood of beating the consensus EPS estimate [11]. - A positive Earnings ESP is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1, 2, or 3 [9]. Historical Performance - In the last reported quarter, Lazard exceeded the expected earnings of $0.29 per share by delivering $0.56, resulting in a surprise of +93.10% [12]. - Over the past four quarters, the company has beaten consensus EPS estimates three times [13]. Conclusion - Lazard is positioned as a compelling candidate for an earnings beat, but investors should consider additional factors beyond earnings expectations when making investment decisions [16].

Lazard has hired Cryille Cotte from Evercore as head of insurance for its financial institutional group in Europe, sources say https://t.co/4nqyIMIoM7 ...

Strategic Considerations & Political Landscape - The company is deeply committed to New York, but significant policy changes could prompt relocation considerations [2] - The CEO expresses concern over the Democratic Party's direction and its stance on certain issues [6] - The Democratic Party needs to define its economic vision [6] Concerns Regarding Political Sentiments - Concerns are raised about anti-Semitic sentiments within the Democratic Party, specifically referencing the New York mayoral race [2][3] - The Democratic candidate for mayor has embraced the global intifada idea [3] - A senior Democratic operative distributed fundraising emails suggesting Jewish donors are only interested in tax cuts [3] - The Democratic Party's leadership seems to have cognitive dissonance regarding its stance on Israel [4] Internal Discussions & Future Outlook - Concerns have been voiced internally to figures like Senator Schumer [5] - The New York mayoral race is viewed as part of a broader issue concerning the Democratic Party's identity [6] - The company is waiting to see how the general election in New York plays out and what policy changes will occur [1]