Financial Data and Key Metrics Changes - The company reported revenues of $659 million for the quarter, a 15% increase year-over-year, and adjusted earnings per share of $1.84, up 26% compared to the same period last year [4] - Adjusted compensation expenses were $406 million, compared to $354 million in the same period last year, maintaining an adjusted compensation expense ratio of 61.5% [10] - The adjusted effective tax rate for the quarter was 29.7%, down from 31.3% in the same quarter last year, primarily due to decreased state taxes and taxes from foreign operations [11] Business Line Data and Key Metrics Changes - Corporate finance revenues were $439 million, a 21% increase year-over-year, with 171 transactions closed, up from 131 in the same period last year [5][9] - Financial restructuring revenues reached $134 million, a 2% increase year-over-year, with 37 transactions closed, compared to 33 in the same quarter last year [7][9] - Financial and valuation advisory generated $87 million in revenues, a 10% increase year-over-year, with 1,075 fee events, up from 903 in the same period last year [9] Market Data and Key Metrics Changes - The company noted strong performance in non-U.S. markets, particularly in EMEA and Asia-Pacific, with solid growth and improving key indicators [6] - The backlog in corporate finance suggests a shift in deal timing, with expectations for a strong fourth quarter relative to the third quarter [6] Company Strategy and Development Direction - The company is focused on maintaining growth through strategic acquisitions and hiring senior talent, with five new Managing Directors added in the quarter [6] - The outlook for the second half of fiscal 2026 is positive, with expectations for year-over-year growth if current conditions persist [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the improving macro-environment, noting that capital markets are open and capital is plentiful, which has increased confidence in deal-making [4] - The company acknowledged some slowdown in new business activity in restructuring but emphasized a robust backlog supporting continued strong performance [18] Other Important Information - The company ended the quarter with approximately $1.1 billion in unrestricted cash and investment securities, with plans to evaluate balance sheet flexibility for acquisitions versus share repurchases [12] - The company repurchased approximately 210,000 shares during the quarter [12] Q&A Session Summary Question: Trends in restructuring business and new business activity - Management noted a slowdown in new business activity in restructuring but emphasized a robust backlog supporting continued strength [18] Question: Corporate finance activity and sponsor engagement - Management confirmed an uptick in corporate finance activity and noted that sponsors have been active since the beginning of the fiscal year [20][22] Question: Growth profile of financial and valuation advisory - Management explained that the growth profile is influenced by M&A cycles, with a portion of the business being non-cyclical [26][28] Question: Impact of macro-negative headlines on deal-making - Management indicated that recent macro-negative headlines have not materially impacted client sentiment or acquisition strategies [67] Question: Share repurchase strategy - Management clarified that share repurchases are primarily to offset employee compensation dilution and are evaluated based on acquisition opportunities [69]