Company: LAZ
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0001628280-25-021162
Chunk: 11

Company: Lazard, Inc.
Filing Date: 2025-05-01
Form: 10-Q
Item: Part I, Item 2
Chunk 11
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Compensation and benefits430,270 550,824 Non-compensation163,146 159,368 Total operating expenses593,416 710,192 Operating Income54,635 54,561 Provision (benefit) for income taxes(7,354)14,337 Net Income61,989 40,224 Less - Net Income Attributable to    Noncontrolling Interests1,614 4,469 Net Income Attributable to Lazard$60,375 $35,755 Operating Income, as a % of net revenue8.4 %7.1 %

The tables below describe the components of adjusted net revenue, adjusted compensation and benefits expense, adjusted non-compensation expense, adjusted operating income and related key ratios, which are non-GAAP measures used by the Company to manage its business. We believe such non-GAAP measures in conjunction with U.S. GAAP measures provide a meaningful and useful basis for comparison between present, historical and future periods, as described above.

Three Months EndedMarch 31,20252024($ in thousands)Lazard, Inc. Adjusted Net Revenue:Net revenue - U.S. GAAP basis$648,051 $764,753 Adjustments:Revenue related to noncontrolling interests and similar arrangements (a)(6,011)(7,103)Gains related to LFI and other similar arrangements (b)(5,243)(9,373)Distribution fees, reimbursable deal costs, provision for credit losses     and other (c)(14,581)(22,949)Interest expense (d)20,969 20,650 Losses associated with cost-saving initiatives (e)–587 Adjusted net revenue (f)$643,185 $746,565 

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(a)Revenue related to the consolidation of noncontrolling interests and similar arrangements are excluded from adjusted net revenue because the Company has no economic interest in such amounts.

(b)Represents changes in the fair value of investments held in connection with LFI and other similar deferred compensation arrangements, for which a corresponding equal amount is excluded from compensation and benefits expense.

(c)Represents certain distribution, introducer and management fees paid to third parties, reimbursable deal costs and provision for credit losses relating to fees and other receivables that are deemed uncollectible for which an equal amount is excluded for purposes of determining adjusted non-compensation expense. 

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(d)Interest expense (