PIPER SANDLER COMPANIES

Non-interest expenses on a U.S. GAAP basis were $675.7 million for the six months ended June 30, 2025, compared to $601.6 million in the corresponding period of 2024. For the six months ended June 30, 2025, adjusted non-interest expenses were $646.8 million, compared with $573.1 million for the six months ended June 30, 2024. The variance explanations for non-interest expenses and adjusted non-interest expenses are consistent on both a U.S. GAAP and non-GAAP basis unless stated otherwise. See "Explanation and Reconciliation of Non-GAAP Financial Measures" for a detailed explanation of the adjustments made to the corresponding U.S. GAAP measures and a reconciliation of U.S. GAAP to adjusted, non-GAAP financial information.

Outside Services

For the six months ended June 30, 2025, outside services expenses increased 19.4 percent to $31.5 million, compared with $26.4 million in the corresponding period of 2024, primarily due to higher professional fees and legal fees.

Communications

For the six months ended June 30, 2025, communication expenses increased 4.5 percent to $29.0 million, compared with $27.8 million in the corresponding period of 2024, primarily due to higher market data services expenses.

Marketing and Business Development

For the six months ended June 30, 2025, marketing and business development expenses increased 14.2 percent to $25.3 million, compared with $22.1 million in the corresponding period of 2024, primarily due to higher travel expenses associated with increased business activity.

Other Operating Expenses

For the six months ended June 30, 2025, other operating expenses were $11.2 million, compared with $7.9 million in the corresponding period of 2024. Other operating expenses for the six months ended June 30, 2024 included a $4.0 million reduction in the accrual for estimated civil penalties related to our regulatory settlements regarding recordkeeping requirements for business-related communications.