| Schedule of Select Financial Information and Reconciliation of Adjusted Operating Income (Loss) to Consolidated |
| | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended June 30, 2025 | | Financial Advisory | | Asset Management | | Corporate | | Total | | Net Revenue - U.S. GAAP Basis | $ | 497,306 | | | $ | 292,478 | | | $ | 6,213 | | | $ | 795,997 | | | Adjusted Compensation and Benefits Expense | 317,036 | | | 139,655 | | | 47,572 | | | 504,263 | | | Adjusted Non-compensation Expense | 52,426 | | | 63,597 | | | 41,348 | | | 157,371 | | | Other Segment Items | (5,947) | | | (23,987) | | | 3,803 | | | (26,131) | | | Adjusted Operating Income (Loss) | $ | 121,897 | | | $ | 65,239 | | | $ | (78,904) | | | $ | 108,232 | | | | | | | | | | | Other Segment Disclosures: | | | | | | | | | Interest income (included in net revenue) | $ | 1,903 | | | $ | 2,136 | | | $ | 5,168 | | | $ | 9,207 | | | Depreciation and amortization of property (included in adjusted non-compensation expense) | $ | 2,165 | | | $ | 1,407 | | | $ | 5,041 | | | $ | 8,613 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Six Months Ended June 30, 2025 | | Financial Advisory | | Asset Management | | Corporate | | Total | | Net Revenue (Loss) - U.S. GAAP Basis | $ | 864,665 | | | $ | 580,578 | | | $ | (1,195) | | | $ | 1,444,048 | | | Adjusted Compensation and Benefits Expense | 557,004 | | | 282,482 | | | 86,063 | | | 925,549 | | | Adjusted Non-compensation Expense | 104,987 | | | 122,808 | | | 77,458 | | | 305,253 | | | Other Segment Items | (3,763) | | | (47,593) | | | 20,359 | | | (30,997) | | | Adjusted Operating Income (Loss) | $ | 198,911 | | | $ | 127,695 | | | $ | (144,357) | | | $ | 182,249 | | | | | | | | | | | Other Segment Disclosures: | | | | | | | | | Interest income (included in net revenue) | $ | 3,100 | | | $ | 4,583 | | | $ | 13,186 | | | $ | 20,869 | | | Depreciation and amortization of property (included in adjusted non-compensation expense) | $ | 4,175 | | | $ | 2,788 | | | $ | 10,081 | | | $ | 17,044 | |
| | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended June 30, 2024 | | Financial Advisory | | Asset Management | | Corporate | | Total | | Net Revenue (Loss) - U.S. GAAP Basis | $ | 411,308 | | | $ | 285,487 | | | $ | (11,446) | | | $ | 685,349 | | | Adjusted Compensation and Benefits Expense | 275,324 | | | 134,318 | | | 42,222 | | | 451,864 | | | Adjusted Non-compensation Expense | 51,112 | | | 55,687 | | | 41,813 | | | 148,612 | | | Other Segment Items | (3,372) | | | (20,268) | | | 22,933 | | | (707) | | | Adjusted Operating Income (Loss) | $ | 81,500 | | | $ | 75,214 | | | $ | (72,548) | | | $ | 84,166 | | | | | | | | | | | Other Segment Disclosures: | | | | | | | | | Interest income (included in net revenue) | $ | 1,310 | | | $ | 3,809 | | | $ | 7,735 | | | $ | 12,854 | | | Depreciation and amortization of property (included in adjusted non-compensation expense) | $ | 2,166 | | | $ | 1,392 | | | $ | 5,646 | | | $ | 9,204 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Six Months Ended June 30, 2024 | | Financial Advisory | | Asset Management | | Corporate | | Total | | Net Revenue - U.S. GAAP Basis | $ | 864,815 | | | $ | 580,963 | | | $ | 4,324 | | | $ | 1,450,102 | | | Adjusted Compensation and Benefits Expense | 577,404 | | | 285,016 | | | 82,177 | | | 944,597 | | | Adjusted Non-compensation Expense | 98,977 | | | 111,262 | | | 72,666 | | | 282,905 | | | Other Segment Items | (10,245) | | | (39,810) | | | 31,160 | | | (18,895) | | | Adjusted Operating Income (Loss) | $ | 178,189 | | | $ | 144,875 | | | $ | (119,359) | | | $ | 203,705 | | | | | | | | | | | Other Segment Disclosures: | | | | | | | | | Interest income (included in net revenue) | $ | 2,276 | | | $ | 7,520 | | | $ | 14,529 | | | $ | 24,325 | | Depreciation and amortization of property (included in adjusted non-compensation expense) | $ | 4,415 | | | $ | 2,681 | | | $ | 11,197 | | | $ | 18,293 | |
The table below provides a reconciliation of the Company's consolidated adjusted operating income to the Company’s consolidated U.S. GAAP operating income. | | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended
June 30, | | Six Months Ended
June 30, | | 2025 | | 2024 | | 2025 | | 2024 | | Adjusted Operating Income | $ | 108,232 | | | $ | 84,166 | | | $ | 182,249 | | | $ | 203,705 | | | Adjustments: | | | | | | | | Operating income related to noncontrolling interests and
similar arrangements (a) | 5,970 | | | 2,142 | | | 7,583 | | | 6,611 | | | Interest expense (b) | (21,095) | | | (22,600) | | | (42,064) | | | (43,250) | | | Amortization and other acquisition-related costs | (26) | | | (68) | | | (52) | | | (136) | | | Losses associated with cost-saving initiatives (c) | – | | | – | | | – | | | (587) | | | Expenses associated with cost-saving initiatives | – | | | – | | | – | | | (48,142) | | | Operating Income - U.S. GAAP Basis | $ | 93,081 | | | $ | 63,640 | | | $ | 147,716 | | | $ | 118,201 | |
_____________________ (a)Revenue and expenses related to the consolidation of noncontrolling interests and similar arrangements are excluded because the Company has no economic interest in such amounts. (b)Interest expense (excluding interest expense incurred by LFB) is added back in determining adjusted net revenue because such expense relates to corporate financing activities and is not considered to be a cost directly related to the revenue of our business. (c)Represents the reclassification of currency translation adjustments to earnings from accumulated other comprehensive loss in the six month period ended June 30, 2024.
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