Company: HLI
Filing Date: 2025-02-04
Form Type: 10-Q
Source: 0001302215-25-000007
Chunk: 119

Company: HOULIHAN LOKEY, INC.
Filing Date: 2025-02-04
Form: 10-Q
Item: Part I, Item 2
Chunk 119
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han Lokey, Inc.$95,302 $70,803 35 %$277,791 $199,224 39 %

Three Months Ended December 31, 2024 versus December 31, 2023

Revenues were $634.4 million for the three months ended December 31, 2024, compared with $511.1 million for the three months ended December 31, 2023, representing an increase of 24%.

Operating expenses were $498.3 million for the three months ended December 31, 2024, compared with $414.6 million for the three months ended December 31, 2023, representing an increase of 20%. Employee compensation and benefits expense, as a component of operating expenses, was $403.0 million for the three months ended December 31, 2024, compared with $324.0 million for the three months ended December 31, 2023, representing an increase of 24%. The increase in employee compensation and benefits expense was primarily a result of an increase in revenues for the quarter when compared with the same quarter last year. The Compensation Ratio was 63.5% for the three months ended December 31, 2024, compared with 63.4% for the three months ended December 31, 2023. Non-compensation expense, as a component of operating expenses, was $95.4 million for the three months ended December 31, 2024, compared with $90.6 million for the three months ended December 31, 2023, representing an increase of 5%. The increase in non-compensation expense was primarily a result of an increase in rent expense and depreciation and amortization for the quarter when compared with the same quarter last year, partially offset by a decrease in professional fees.

Other income, net was $(9.0) million for the three months ended December 31, 2024, compared with $(6.0) million for the three months ended December 31, 2023. Other income, net increased primarily due to a net increase in interest income.

The provision for income taxes for the three months ended December 31, 2024 was $49.8 million, which reflected an effective tax rate of 34.3%. The provision for income taxes for the three months ended December 31, 2023 was $31.8 million which reflected an effective tax rate of 31.0%. The increase in