Lazard Reports Third Quarter and Nine Month 2025 Results

• Record firmwide adjusted net revenue for the third quarter of $725 million, up 12% year-over-year
• Record Financial Advisory adjusted net revenue of $1.3 billion for the first nine months of 2025, with 20 Managing Directors hired year-to-date to support long-term growth
• Record Asset Management inflows for the third quarter and first nine months of the year, with positive net flows of $1.6 billion and total AUM up 17% year-to-date

NEW YORK–(BUSINESS WIRE)–Lazard, Inc. (NYSE: LAZ) today reported net revenue of $748 million and record adjusted net revenue¹ of $725 million for the quarter ended September 30, 2025. For the first nine months of 2025, Lazard reported net revenue of $2,192 million and adjusted net revenue¹ of $2,138 million.

On a U.S. GAAP basis, Lazard reported third quarter 2025 net income of $71 million or $0.65 per share, diluted. For the first nine months of 2025, net income on a U.S. GAAP basis was $187 million or $1.72 per share, diluted. For the third quarter 2025, adjusted net income¹ was $62 million or $0.56 per share, diluted. For the first nine months of 2025, adjusted net income¹ was $178 million or $1.64 per share, diluted.

“Lazard’s long-term growth strategy continues to build momentum and produce results, with record Financial Advisory revenue and record Asset Management inflows year-to-date,” said Peter R. Orszag, CEO and Chairman. “We see an increasingly constructive environment for both of our businesses, with substantial client engagement firmwide. We look forward to welcoming Chris Hogbin as our new CEO of Asset Management later this year, helping to further accelerate progress toward our vision for the future of Lazard.”

Note: Reconciliations of U.S. GAAP to Adjusted results are shown on pages 13-15. Endnotes are on page 5 of this release.

NET REVENUE

Financial Advisory

For the third quarter of 2025, Financial Advisory reported net revenue and adjusted net revenue¹ of $427 million and $422 million, 15% and 14% higher than the third quarter of 2024, respectively.

For the first nine months of 2025, Financial Advisory reported net revenue and adjusted net revenue¹ of $1,292 million and $1,283 million, respectively, both 5% higher than the first nine months of 2024.

Lazard is one of the world’s leading independent financial advisors, serving as a trusted partner to clients on significant and complex M&A transactions. During and since the third quarter of 2025, selected highlights include (clients are in italics):

• Corteva Agriscience on its planned separation into multiple businesses
• Keurig Dr. Pepper’s $23 billion acquisition of JDE Peet’s and planned subsequent separation into two independent companies
• Mallinckrodt Pharmaceuticals’ $6.7 billion combination with Endo Pharmaceuticals
• Sixth Street on its investment, together with a consortium led by William Chisholm, to acquire a majority controlling interest in the Boston Celtics in a deal valued at $6.1 billion
• Caithness Energy on multiple transactions, including the $3.8 billion sale of assets to Talen Energy
• Ferrero’s $3.1 billion acquisition of WK Kellogg Co
• Arcadia on its majority sale to Nordic Capital

Lazard provides tailored advice, expertise and access to a broad universe of capital providers through our Private Capital Advisory and Capital Solutions practices. Private equity assignments include advising Norvestor on a continuation fund, and advising on the closing of Nexus Capital Management’s Fund IV and Pacific Avenue’s Fund II. In addition, Lazard advised on capital structure and capital raises for Morrisons and TenneT Holdings.

Lazard’s preeminent restructuring and liability management practice has been engaged in a broad range of mandates including debtor roles involving Altice France, First Brands Group, Grapevine Energy (formerly known as Global Clean Energy) and Victoria, and creditor roles involving Anthology, CityFibre, and Saks Global. In addition, our sovereign advisory practice continues to be active in advising governments and sovereign entities across developed and emerging markets.

For a list of publicly announced transactions please visit our website or follow Lazard on LinkedIn.

Asset Management

For the third quarter of 2025, Asset Management reported net revenue and adjusted net revenue¹ of $327 million and $294 million, 11% and 8% higher than the third quarter of 2024, respectively.

Management fees and other revenue, on an adjusted basis¹, were $285 million for the third quarter of 2025, 6% higher than the third quarter of 2024, and 8% higher than the second quarter of 2025.

Incentive fees on an adjusted basis¹ were $9 million for the third quarter of 2025, compared to $3 million for the third quarter of 2024.

Average assets under management (AUM) was $257 billion for the third quarter of 2025, 5% higher than the third quarter of 2024, and 8% higher than the second quarter of 2025.

For the first nine months of 2025, Asset Management net revenue and adjusted net revenue¹ were $908 million and $827 million, 4% and 2% higher than the first nine months of 2024, respectively.

Management fees and other revenue, on an adjusted basis¹, were $806 million for the first nine months of 2025, up slightly from the first nine months of 2024.

Incentive fees on an adjusted basis¹ were $21 million for the first nine months of 2025, compared to $13 million for the first nine months of 2024.

Average AUM for the first nine months of 2025 was $242 billion, 2% lower than the first nine months of 2024. AUM as of September 30, 2025 was $265 billion, 7% higher than both September 30, 2024 and June 30, 2025, and 17% higher year-to-date. The sequential change from June 30, 2025 was driven by market appreciation of $12.0 billion and net inflows of $4.6 billion, partially offset by foreign exchange depreciation of $0.4 billion.

OPERATING EXPENSES

Compensation and Benefits Expense

For the third quarter of 2025, compensation and benefits expense on a U.S. GAAP and an adjusted basis¹ was $498 million and $475 million, respectively, compared to $465 million and $426 million, respectively, for the third quarter of 2024. The adjusted compensation ratio² for the third quarter of 2025 was 65.5%, compared to the third-quarter 2024 ratio of 66.0%.

For the first nine months of 2025, compensation and benefits expense on a U.S. GAAP and an adjusted basis¹ was $1,448 million and $1,400 million, respectively, compared to $1,469 million and $1,371 million, respectively, for the first nine months of 2024. The adjusted compensation ratio² for the first nine months of 2025 was 65.5%, compared to 66.0% for the first nine months of 2024.

We focus on the adjusted compensation ratio² to manage costs, balancing a view of current conditions in the market for talent alongside our objective to drive long-term shareholder value. Our goal is to deliver an adjusted compensation ratio² of 60% or below, with timing dependent on market conditions.

Non-Compensation Expenses

For the third quarter of 2025, non-compensation expenses on a U.S. GAAP basis were $175 million, 11% higher than the third quarter of 2024. On an adjusted basis¹, non-compensation expenses were $149 million, 8% higher than the third quarter of 2024.

The adjusted non-compensation ratio³ was 20.5% for the third quarter of 2025, compared to 21.4% for the third quarter of 2024.

For the first nine months of 2025, non-compensation expenses on a U.S. GAAP basis were $522 million, 7% higher than the first nine months of 2024. On an adjusted basis¹, non-compensation expenses were $454 million, 8% higher than the first nine months of 2024.

The adjusted non-compensation ratio³ was 21.2% for the first nine months of 2025, compared to 20.3% for the first nine months of 2024.

Our goal is to deliver an adjusted non-compensation ratio³ between 16% to 20%, with timing dependent on market conditions.

TAXES

The provision for income taxes on a U.S. GAAP and an adjusted basis¹ was $21 million and $17 million, respectively, for the third quarter of 2025, which equates to an effective tax rate of 22.6% on a U.S. GAAP basis and 21.4% on an adjusted basis¹.

The provision for income taxes on a U.S. GAAP and an adjusted basis¹ was $46 million and $41 million, respectively, for the first nine months of 2025, which equates to an effective tax rate of 18.9% on a U.S. GAAP basis and 18.8% on an adjusted basis¹.

CAPITAL MANAGEMENT AND BALANCE SHEET

In the third quarter of 2025, Lazard returned $60 million to shareholders, which included: $47 million in dividends; $1 million in repurchases of our common stock; and $12 million in satisfaction of employee tax obligations in lieu of share issuances upon vesting of equity grants.

In the first nine months of 2025, Lazard returned $295 million to shareholders, which included: $139 million in dividends; $41 million in repurchases of our common stock; and $115 million in satisfaction of employee tax obligations in lieu of share issuances upon vesting of equity grants.

During the first nine months of 2025, we repurchased 0.9 million shares at an average price of $46.64. As of September 30, 2025, our total outstanding share repurchase authorization was approximately $159 million.

On October 22, 2025, Lazard declared a quarterly dividend of $0.50 per share on its outstanding common stock. The dividend is payable on November 14, 2025, to stockholders of record on November 3, 2025.

Lazard’s financial position remains strong. As of September 30, 2025, our cash and cash equivalents were $1,172 million.

ENDNOTES

CONFERENCE CALL

Lazard will host a conference call at 8:00 a.m. ET on October 23, 2025, to discuss the company’s financial results for the third quarter and first nine months of 2025. The conference call can be accessed via a live audio webcast available through Lazard’s Investor Relations website at www.lazard.com, or by dialing +1 800-445-7795 (toll-free, U.S. and Canada) or +1 785-424-1699 (outside of the U.S. and Canada), 15 minutes prior to the start of the call. Conference ID: LAZQ325.

A replay of the conference call will be available by 10:00 a.m. ET, October 23, 2025, via the Lazard Investor Relations website at www.lazard.com, or by dialing +1 800-839-8798 (toll-free, U.S. and Canada) or +1 402-220-6078 (outside of the U.S. and Canada).

ABOUT LAZARD

Founded in 1848, Lazard is the preeminent financial advisory and asset management firm, with operations in North and South America, Europe, the Middle East, Asia, and Australia. Lazard provides advice on mergers and acquisitions, capital markets and capital solutions, restructuring and liability management, geopolitics, and other strategic matters, as well as asset management and investment solutions to institutions, corporations, governments, partnerships, family offices, and high net worth individuals. Lazard is listed on the New York Stock Exchange as Lazard, Inc. under the ticker LAZ. For more information, please visit Lazard.com and Lazard on LinkedIn.

Cautionary Note Regarding Forward-Looking Statements:

This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. In some cases, forward-looking statements can be identified by the use of forward-looking terminology such as “may,” “might,” “will,” “should,” “could,” “would,” “expect,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” “target,” “goal,” “pipeline,” or “continue,” and the negative of these terms and other comparable terminology. These forward-looking statements, which are subject to known and unknown risks, uncertainties and assumptions about us, may include projections of our future financial performance based on our growth strategies, business plans and initiatives and anticipated trends in our business. These forward-looking statements are only predictions based on our current expectations and projections about future events. There are important factors that could cause our actual results, level of activity, performance or achievements to differ materially from the results, level of activity, performance or achievements expressed or implied by the forward-looking statements.

These factors include, but are not limited to, those discussed in our Annual Report on Form 10-K under Item 1A “Risk Factors,” and also discussed from time to time in our Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, including the following:

• Adverse general economic conditions or adverse conditions in global or regional financial markets;
• Changes in international trade policies and practices including the implementation of tariffs, proposed further tariffs, and responses from other jurisdictions, the recent U.S. federal government shutdown, and the economic impacts, volatility and uncertainty resulting therefrom;
• A decline in our revenues, for example due to a decline in overall mergers and acquisitions (M&A) activity, our share of the M&A market or our assets under management (AUM);
• Losses caused by financial or other problems experienced by third parties;
• Losses due to unidentified or unanticipated risks;
• A lack of liquidity, i.e., ready access to funds, for use in our businesses;
• Competitive pressure on our businesses and on our ability to retain and attract employees at current compensation levels; and
• Changes in relevant tax laws, regulations or treaties or an adverse interpretation of those items

These risks and uncertainties are not exhaustive. Our SEC reports describe additional factors that could adversely affect our business and financial performance. Moreover, we operate in a very competitive and rapidly changing environment. New risks and uncertainties emerge from time to time, and it is not possible for our management to predict all risks and uncertainties, nor can management assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements.

As a result, there can be no assurance that the forward-looking statements included in this release will prove to be accurate or correct. Although we believe the statements reflected in the forward-looking statements are reasonable, we cannot guarantee future results, level of activity, performance, achievements or events. Moreover, neither we nor any other person assumes responsibility for the accuracy or completeness of any of these forward-looking statements. You should not rely upon forward-looking statements as predictions of future events. We are under no duty to update any of these forward-looking statements after the date of this release to conform our prior statements to actual results or revised expectations and we do not intend to do so.

Lazard, Inc. is committed to providing timely and accurate information to the investing public, consistent with our legal and regulatory obligations. To that end, Lazard and its operating companies use their websites, and other social media sites to convey information about their businesses, including the anticipated release of quarterly financial results, quarterly financial, statistical and business-related information, and the posting of updates of assets under management in various mutual funds, hedge funds and other investment products managed by Lazard Asset Management LLC and Lazard Frères Gestion SAS. Investors can link to Lazard and its operating company websites through www.lazard.com.

LAZ-EPE

Contacts

Media Contact: Shannon Houston +1 212 632 6880 [email protected]
Investor Contact: Alexandra Deignan +1 212 632 6886 [email protected]

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