PIPER SANDLER COMPANIES

Net revenues on a U.S. GAAP basis were $1.23 billion for the nine months ended September 30, 2025, compared with $1.04 billion in the prior-year period. In the first nine months of 2025, adjusted net revenues were $1.24 billion, compared with $1.04 billion in the first nine months of 2024. The variance explanations for net revenues and adjusted net revenues 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.

The following table provides supplemental business information:

Investment Banking Revenues

In the first nine months of 2025, investment banking revenues were $892.6 million, up 22.0 percent compared to $731.8 million in the corresponding period of 2024. For the nine months ended September 30, 2025, advisory services revenues were $635.4 million, up 20.1 percent compared with $529.1 million in the first nine months of 2024, driven by a higher average fee and more completed transactions. During the first nine months of 2025, our results were driven by strong contributions from our financial services, healthcare and services & industrials sectors. Corporate financing revenues were $150.4 million for the nine months ended September 30, 2025, up 24.2 percent compared to $121.1 million in the prior-year period, due to a higher average fee. Activity for us during the first nine months of 2025 was principally in our healthcare and financial services sectors. Municipal financing revenues for the nine months ended September 30, 2025 were $106.8 million, up 31.0 percent compared to $81.5 million in the year-ago period, driven by increased municipal negotiated issuance activity across both our governmental and specialty sector businesses.

Institutional Brokerage Revenues

For the nine months ended September 30, 2025, institutional brokerage revenues were $321.1 million, up 13.0 percent compared with $284.1 million in the prior-year period. Equity brokerage revenues were $166.1 million in the first nine months of 2025, up 7.8 percent compared with $154.0 million in the corresponding period of 2024, due to increased client activity resulting from higher market volatility in the first half of 2025. For the nine months ended September 30, 2025, fixed income services revenues were $155.0 million, up 19.2 percent compared to $130.1 million in the prior-year period, driven by increased activity across all of our client verticals, particularly our depository clients.

Interest Income

Interest income for the nine months ended September 30, 2025 increased to $27.3 million, compared with $22.8 million in the prior-year period, primarily due to interest earned on installment fee receivables.

Investment Income/(Loss)

For the nine months ended September 30, 2025, we recorded an investment loss of $3.8 million, compared to investment income of $7.5 million in the year-ago period. In the first nine months of 2025, we recorded losses on our investments and the noncontrolling interests in the alternative asset funds that we manage. Excluding the impact of noncontrolling interests, adjusted investment income was $6.9 million for the nine months ended September 30, 2025, compared with $8.2 million for the nine months ended September 30, 2024.

Interest Expense

Interest expense for the nine months ended September 30, 2025 decreased to $3.9 million, compared with $4.4 million in the prior-year period.