Company: LAZ
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0001628280-25-021162
Chunk: 15

Company: Lazard, Inc.
Filing Date: 2025-05-01
Form: 10-Q
Item: Part I, Item 2
Chunk 15
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 attributable to noncontrolling interests decreased $3 million as compared to the 2024 period.

For additional discussion of the drivers of our adjusted operating results for the period, see “Business Segments” below.

Business Segments

The following is a discussion of net revenue, adjusted net revenue, adjusted compensation and benefits expense, adjusted non-compensation expense, and adjusted operating income (loss) for the Company’s segments: Financial Advisory, Asset Management and Corporate. Adjusted compensation and benefits expense and adjusted non-compensation expense include costs directly incurred by each segment, with certain adjustments.

Adjusted net revenue, adjusted operating income, and adjusted operating income as a percentage of adjusted net revenue, are non-GAAP measures in the tables below.

The Company previously disclosed each segment’s operating results on a U.S. GAAP basis. In the applicable tables below, the comparable prior year information has been recast to reflect the updated measures used by management. See Note 20 of Notes to Condensed Consolidated Financial Statements for further information regarding segments.

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Financial Advisory

The following table summarizes the adjusted operating results attributable to the Financial Advisory segment:

Three Months EndedMarch 31,20252024($ in thousands)Net revenue - U.S. GAAP basis$367,359 $453,507 Adjustments:Reimbursable deal costs, (provision) benefit for credit losses and other2,181 (7,501)Interest expense3 41 Losses associated with cost-saving initiatives– 587 Total adjustments (a)2,184 (6,873)Adjusted net revenue (b)369,543 446,634 Adjusted compensation and benefits expense239,968 302,080 Adjusted non-compensation expense52,561 47,865 Adjusted operating income (b)$77,014 $96,689 Adjusted operating income, as a % of adjusted net revenue (b)20.8 %21.6 %_______________________________________

(a)Total adjustments equal the “other segment items” in Note 20 of Notes to Condensed Consolidated Financial Statements. See “Consolidated Results of Operations” above for further information on the adjustments.

(b)Adjusted net revenue, adjusted operating income, and adjusted operating income as a percentage of adjusted net revenue are non-GAAP measures.

Certain Lazard fee and transaction statistics for the Financial Advisory segment are set forth below:

Three Months EndedMarch 31,20252024Lazard Statistics:Number of clients with fees greater than $1 million: