Lazard, Inc.
For the period ended Jun 30, 2026. Filed Jul 28, 2026.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2026 · Filed Jul 28, 2026
LAZ$38.31-0.6%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-03-31; filed 2026-05-04.
0001311370-26-000015
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-06-30; filed 2026-07-28.
0001311370-26-000022
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 281 previous paragraphs and 302 current paragraphs.
221 unchanged; 51 reworded; 23 added; 7 removed; 2 previous and 7 current paragraphs rearranged.
Tables are not compared: 24 previous and 26 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (23)
Current report
Operating income decreased $55 million, or 60%, as compared to the 2025 period.
Current report
Adjusted operating income decreased $43 million, or 40%, as compared to the 2025 period, and, as a percentage of adjusted net revenue, was 8.3% for the 2026 period, as compared to 14.1% in the 2025 period.
Current report
The provision for income taxes reflects an effective tax rate of 63.5%, as compared to 34.1% for the 2025 period. The change in the effective tax rate compared to the 2025 period principally relates to changes in the geographic mix of earnings and certain elevated factors, including the effect of a current period catch-up adjustment from the tax benefit related to the vesting of share-based incentive compensation awards in the first quarter of 2026.
Current report
Net income attributable to noncontrolling interests increased $3 million, or 49%, as compared to the 2025 period.
Current report
Compensation and benefits expense increased $105 million, or 11%, as compared to the 2025 period.
Current report
Non-compensation expense, which includes $11 million of expenses related to the pending acquisition of Campbell Lutyens, increased $36 million, or 10%, as compared to the 2025 period. Adjusted non-compensation expense increased $15 million, or 5%, as compared to the 2025 period. Such increases in non-compensation expense and adjusted non-compensation expense were primarily due to increased fund administration and outsourced services, technology and information services and marketing and business development expenses. The ratio of adjusted non-compensation expense to adjusted net revenue was 22.0% for the 2026 period, as compared to 21.6% for the 2025 period.
Current report
Adjusted operating income decreased $63 million, or 35%, as compared to the 2025 period, and, as a percentage of adjusted net revenue, was 8.1% for the 2026 period, as compared to 12.9% in the 2025 period.
Current report
Net income attributable to noncontrolling interests increased $1 million, or 13%, as compared to the 2025 period.
Current report
Adjusted compensation and benefits expense decreased $4 million, or 1%, as compared to the 2025 period, as increases related to our ongoing investment in strategic senior hires were more than offset by the effect of reduced revenues.
Current report
Adjusted non-compensation expense increased $7 million, or 13%, as compared to the 2025 period primarily due to an increase in travel and entertainment.
Current report
Adjusted operating income was $73 million, a decrease of $48 million, or 40%, as compared to adjusted operating income of $122 million in the 2025 period, and, as a percentage of adjusted net revenue, was 16.5%, as compared to 24.8% in the 2025 period.
Current report
Financial Advisory net revenue decreased $55 million, or 6%, as compared to the 2025 period. Financial Advisory adjusted net revenue decreased $59 million, or 7%, as compared to the 2025 period. The decreases in Financial Advisory net revenue and adjusted net revenue reflected lower fees from M&A transactions as compared to the 2025 period.
Current report
Adjusted non-compensation expense increased $5 million, or 5%, as compared to the 2025 period primarily due to an increase in travel and entertainment and recruitment fees.
Current report
Adjusted operating income was $109 million, a decrease of $90 million, or 45%, as compared to adjusted operating income of $199 million in the 2025 period, and, as a percentage of adjusted net revenue, was 13.5%, as compared to 23.1% in the 2025 period.
Current report
For the three months ended June 30, 2026, net flows were primarily driven by the US Equity and Alternative Investments platforms.
Current report
(b)Related to the sale and deconsolidation of the Edgewater management vehicles and the acquisition of a controlling interest in and consolidation of Elaia.
Current report
Asset Management adjusted operating income was $74 million, an increase of $9 million, or 14%, as compared to adjusted operating income of $65 million in the 2025 period, and, as a percentage of adjusted net revenue, was 22.5%, as compared to 24.3% in the 2025 period.
Current report
Adjusted compensation and benefits expense increased $63 million, or 22%, as compared to the 2025 period primarily driven by increased adjusted net revenue.
Current report
Asset Management adjusted operating income was $159 million, an increase of $31 million, or 25%, as compared to adjusted operating income of $128 million in the 2025 period, and, as a percentage of adjusted net revenue, was 24.8%, as compared to 24.0% in the 2025 period.
Current report
Corporate net revenue and Corporate adjusted net revenue were substantially the same as compared to the 2025 period.
Current report
Adjusted non-compensation expense, including centrally managed costs, was substantially the same as compared to the 2025 period.
Current report
On July 22, 2026, the Board of Directors authorized additional share repurchases of $200 million, which expire as of December 31, 2028, bringing the total outstanding share repurchase authorization to approximately $257 million.
Current report
During the six month period ended June 30, 2026, Lazard, Inc. had in place trading plans under Rule 10b5-1 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), pursuant to which it effected stock repurchases in the open market.
Removed paragraphs (7)
Previous report
For private equity funds, incentive fees may be earned in the form of a “carried interest” if profits arising from realized investments exceed a specified threshold. Typically, such carried interest is ultimately calculated on a whole-fund or investment by investment basis and, therefore, clawback of carried interest toward the end of the life of the fund can occur. As a result, the Company recognizes incentive fees earned on our private equity funds only when it is probable that a clawback will not occur.
Previous report
Operating income increased $35 million, or 64%, as compared to the 2025 period.
Previous report
Adjusted operating income decreased $20 million, or 27%, as compared to the 2025 period, and, as a percentage of adjusted net revenue, was 8.0% for the 2026 period, as compared to 11.5% in the 2025 period.
Previous report
Net income attributable to noncontrolling interests was a loss of $0.4 million in the 2026 period as compared to income of $2 million in the 2025 period.
Previous report
Adjusted operating income was $35 million, a decrease of $42 million, or 54%, as compared to adjusted operating income of $77 million in the 2025 period, and, as a percentage of adjusted net revenue, was 9.9%, as compared to 20.8% in the 2025 period.
Previous report
(b)In 2026, AUM asset classes have been expanded to include a multi asset classification. The comparable prior period information has been recast to reflect the current presentation.
Previous report
Asset Management adjusted operating income was $85 million, an increase of $22 million, or 36%, as compared to adjusted operating income of $62 million in 2025, and, as a percentage of adjusted net revenue, was 27.4%, as compared to 23.6% in 2025.
Reworded paragraphs (51)
Previous wording
The following discussion should be read in conjunction with Lazard’s condensed consolidated financial statements and the related notes included elsewhere in this Quarterly Report on Form 10-Q (the “Form 10-Q”), as well as Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”) included in our Annual Report on Form 10-K for the year ended December 31, 2025 (the “Form 10-K”). All references to “2026,” “2025,” “first quarter” or “the period” refer to, as the context requires, the three month periods ended March 31, 2026 and 2025.
Current wording
The following discussion should be read in conjunction with Lazard’s condensed consolidated financial statements and the related notes included elsewhere in this Quarterly Report on Form 10-Q (the “Form 10-Q”), as well as Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”) included in our Annual Report on Form 10-K for the year ended December 31, 2025 (the “Form 10-K”). All references to “2026,” “2025,” “second quarter,” “first half” or “the period” refer to, as the context requires, the three month and six month periods ended June 30, 2026 and 2025.
Previous wording
•future acquisitions or other strategic transactions, the proposed acquisition of Campbell Lutyens Holdings Limited (“Campbell Lutyens”) (including the consideration to be paid, the expected timing of consummation and the anticipated benefits to the transaction);
Current wording
•future acquisitions or other strategic transactions, the pending acquisition of Campbell Lutyens Holdings Limited (“Campbell Lutyens”) (including the consideration to be paid, the expected timing of consummation and the anticipated benefits to the transaction);
Previous wording
We operate in a competitive, global environment. Ongoing geopolitical uncertainty, developments in international trade policies and practices, along with shifting domestic governmental priorities, have increased uncertainty relative to prior years. We believe our broad set of capabilities, diversified business model, and the competitive advantage provided by Lazard’s contextual alpha—our ability to incorporate geopolitical, regulatory, and macroeconomic insight into our advice—position us well to meet evolving client needs across varying economic environments. Unpredictability and the potential for related impacts, however, could create or exacerbate market volatility, contribute to weakened economic and business conditions, and reduce our clients’ ability to finalize decision-making or execute on investment priorities.
Current wording
We operate in a competitive, global environment. Geopolitical uncertainty, developments in international trade policies and practices, along with shifting domestic governmental priorities, have increased uncertainty relative to prior years. We believe our broad set of capabilities, diversified business model, and the competitive advantage provided by Lazard’s contextual alpha—our ability to incorporate geopolitical, regulatory, and macroeconomic insight into our advice—position us well to meet evolving client needs across varying economic environments. Unpredictability and the potential for related impacts, however, could create or exacerbate market volatility, contribute to weakened economic and business conditions, and reduce our clients’ ability to finalize decision-making or execute on investment priorities.
Previous wording
Another measure of global restructuring activity is the number of corporate defaults, which decreased during the first quarter of 2026 as compared to the first quarter of 2025. The number of defaulting issuers was 27 in the first quarter of 2026, according to Moody’s Investors Service, Inc., as compared to 30 in the first quarter of 2025.
Current wording
Another measure of global restructuring activity is the number of corporate defaults, which decreased during the first half of 2026 as compared to the first half of 2025. The number of defaulting issuers was 64 in the first half of 2026, according to Moody’s Investors Service, Inc., as compared to 68 in the first half of 2025.
Previous wording
The majority of Lazard’s operating expenses relate to compensation and benefits for managing directors and employees. Our compensation and benefits expense includes (i) salaries and benefits, (ii) amortization of the relevant portion of previously granted deferred incentive compensation awards, including (a) share-based incentive compensation under Lazard’s 2018 Incentive Compensation Plan, as amended (the “2018 Plan”) and (b) LFI and other similar deferred compensation arrangements, (iii) a provision for discretionary or guaranteed cash bonuses and profit pools and (iv) when applicable, severance payments and cash retention awards. Compensation expense in any given period is dependent on many factors, including general economic and market conditions, our actual and forecasted operating and financial performance, staffing levels, estimated forfeiture rates, competitive pay conditions and the nature of revenues earned, as well as the mix between current and deferred compensation. See Note 13 of Notes to Condensed Consolidated Financial Statements.
Current wording
The majority of Lazard’s operating expenses relate to compensation and benefits for managing directors and employees. Our compensation and benefits expense includes (i) salaries and benefits, (ii) amortization of the relevant portion of previously granted deferred incentive compensation awards, including (a) share-based incentive compensation under Lazard’s 2018 Incentive Compensation Plan, as amended (the “2018 Plan”) and (b) LFI and other similar deferred compensation arrangements, (iii) a provision for discretionary or guaranteed cash bonuses and profit pools and (iv) when applicable, severance payments and cash retention awards. Compensation expense in any given period is dependent on many factors, including general economic and market conditions, our actual and forecasted operating and financial performance, staffing levels (including investment in strategic senior hires), estimated forfeiture rates, competitive pay conditions and the nature and level of revenues earned, as well as the mix between current and deferred compensation. See Note 13 of Notes to Condensed Consolidated Financial Statements.
Previous wording
Compensation and benefits expense is the largest component of our operating expenses. We seek to maintain discipline with respect to compensation, including the rate at which we award deferred compensation. We focus on a ratio of adjusted compensation and benefits expense to adjusted net revenue to manage costs, balancing a view of current conditions in the market for talent alongside our objective to drive long-term shareholder value. Our practice is to pay our employees competitively to foster retention and motivate performance and, in doing so, we look to the market for talent and other factors, which are typically correlated with industry revenues, but may vary year by year. At the same time, the amount of compensation we award in a particular year is, in part, deferred and amortized over the successive years. Increased competition for professionals, changes in the macroeconomic environment or the financial markets generally, lower adjusted net revenue resulting from, for example, a decrease in M&A activity, our share of the M&A market or our AUM levels, changes in the mix of revenues from our businesses, investments in our businesses or various other factors could prevent us from achieving this goal.
Current wording
Compensation and benefits expense is the largest component of our operating expenses. We seek to maintain discipline with respect to compensation, including the rate at which we award deferred compensation. We focus on a ratio of adjusted compensation and benefits expense to adjusted net revenue to manage costs, balancing a view of current conditions in the market for talent alongside our objective to drive long-term shareholder value. Our practice is to pay our employees competitively to foster retention and motivate performance and, in doing so, we look to the market for talent and other factors, which are typically correlated with industry revenues, but may vary year by year. At the same time, the amount of compensation we award in a particular year is, in part, deferred and amortized over the successive years. Increased competition for professionals, changes in the macroeconomic environment or the financial markets generally, lower adjusted net revenue resulting from, for example, a decrease in M&A activity, our share of the M&A market or our AUM levels, changes in the mix of revenues from our businesses, investments in our businesses or various other factors could prevent us from achieving our compensation objectives.
Previous wording
assets and liabilities are translated into U.S. Dollars using exchange rates as of the respective balance sheet date, while revenue and expenses are translated at average exchange rates during the respective periods based on the daily closing exchange rates. Adjustments that result from translating amounts from a subsidiary’s functional currency are reported as a component of stockholders’ equity. Foreign currency remeasurement gains and losses on transactions in non-functional currencies are included in the condensed consolidated statements of operations.
Current wording
Lazard’s condensed consolidated financial statements are presented in U.S. Dollars. Many of our non-U.S. subsidiaries have a functional currency (i.e., the currency in which operational activities are primarily conducted) that is other than the U.S. Dollar, generally the currency of the country in which the subsidiaries are domiciled. Such subsidiaries’ assets and liabilities are translated into U.S. Dollars using exchange rates as of the respective balance sheet date, while revenue and expenses are translated at average exchange rates during the respective periods based on the daily closing exchange rates. Adjustments that result from translating amounts from a subsidiary’s functional currency are reported as a component of stockholders’ equity. Foreign currency remeasurement gains and losses on transactions in non-functional currencies are included in the condensed consolidated statements of operations.
Previous wording
(c)Represents certain distribution, introducer and management fees paid to third parties, reimbursable deal costs and (provision) benefit for credit losses relating to fees and other receivables that are deemed uncollectible, for which an equal amount is excluded for purposes of determining adjusted non-compensation expense.
Current wording
(c)Represents certain distribution, introducer and management fees paid to third parties, reimbursable deal costs and provision for credit losses relating to fees and other receivables that are deemed uncollectible, for which an equal amount is excluded for purposes of determining adjusted non-compensation expense.
Previous wording
(b)Represents certain distribution, introducer and management fees paid to third parties, reimbursable deal costs and (provision) benefit for credit losses relating to fees and other receivables that are deemed uncollectible, for which an equal amount is included for purposes of determining adjusted net revenue.
Current wording
(b)Represents certain distribution, introducer and management fees paid to third parties, reimbursable deal costs and provision for credit losses relating to fees and other receivables that are deemed uncollectible, for which an equal amount is included for purposes of determining adjusted net revenue.
Previous wording
(c)Represents expenses related to the proposed acquisition of Campbell Lutyens.
Current wording
(c)Represents expenses related to the pending acquisition of Campbell Lutyens.
Previous wording
Adjusted compensation and benefits expense (which excludes certain items and which we believe allows for improved comparability between periods, as described above) was $471 million, an increase of $49 million, or 12%, as compared to $421 million in the 2025 period. The ratio of adjusted compensation and benefits expense to adjusted net revenue was 69.9% for the 2026 period, as compared to 65.5% for the 2025 period.
Current wording
Adjusted compensation and benefits expense (which excludes certain items and which we believe allows for improved comparability between periods, as described above) was $550 million, an increase of $45 million, or 9%, as compared to $504 million in the 2025 period. The ratio of adjusted compensation and benefits expense to adjusted net revenue was 69.9% for the 2026 period, as compared to 65.5% for the 2025 period.
Previous wording
Non-compensation expense increased $12 million, or 7%, as compared to the 2025 period. Adjusted non-compensation expense increased $1 million, or 1%, as compared to the 2025 period. Such increases in non-compensation expense and adjusted non-compensation expense were primarily due to increased fund administration and outsourced services expenses. The ratio of adjusted non-compensation expense to adjusted net revenue was 22.1% for the 2026 period, as compared to 23.0% for the 2025 period.
Current wording
Non-compensation expense, which includes $9 million of expenses related to the pending acquisition of Campbell Lutyens, increased $24 million, or 13%, as compared to the 2025 period. Adjusted non-compensation expense increased $14 million, or 9%, as compared to the 2025 period. Such increases in non-compensation expense and adjusted non-compensation expense were primarily due to increased fund administration and outsourced services and marketing and business development expenses. The ratio of adjusted non-compensation expense to adjusted net revenue was 21.8% for the 2026 period, as compared to 20.4% for the 2025 period.
Previous wording
The Company reported net income attributable to Lazard of $101 million, as compared to net income attributable to Lazard of $60 million in the 2025 period.
Current wording
The Company reported net income attributable to Lazard of $5 million, as compared to net income attributable to Lazard of $55 million in the 2025 period.
Previous wording
Net revenue increased $109 million, or 17%, with adjusted net revenue increasing $30 million, or 5%, as compared to the 2025 period. Investment banking and other advisory fees decreased $3 million, or 1%, as compared to the 2025 period. Asset management fees, including incentive fees, increased $63 million, or 24%, as compared to the 2025 period. In the aggregate, interest income, other revenue and interest expense increased $49 million as compared to the 2025 period, primarily due to a non-cash gain of $78 million on the sale and deconsolidation of the Edgewater management vehicles in the 2026 period.
Current wording
Net revenue increased $120 million, or 8%, with adjusted net revenue increasing $46 million, or 3%, as compared to the 2025 period. Fee revenue from investment banking and other advisory activities decreased $48 million, or 6%, as compared to the 2025 period. Asset management fees, including incentive fees, increased $122 million, or 23%, as compared to the 2025 period. In the aggregate, interest income, other revenue and interest expense increased $46 million, as compared to the 2025 period primarily due to a non-cash gain of $76 million on the sale and deconsolidation of the Edgewater management vehicles in the 2026 period.
Previous wording
Compensation and benefits expense increased $62 million, or 14%, as compared to the 2025 period.
Current wording
Operating income decreased $21 million, or 14%, as compared to the 2025 period.
Previous wording
The benefit for income taxes reflects an effective tax rate of (12.3)%, as compared to (13.5)% for the 2025 period. The change in the effective tax rate principally relates to the impact of discrete tax benefits for share-based incentive compensation awards and changes in the geographic mix of earnings.
Current wording
The provision for income taxes reflects an effective tax rate of 10.1%, as compared to 16.5% for the 2025 period. The change in the effective tax rate compared to the 2025 period principally relates to the impact of discrete tax benefits for share-based incentive compensation awards during the first quarter and changes in the geographic mix of earnings.
Previous wording
Financial Advisory net revenue decreased $8 million, or 2%, as compared to the 2025 period. Financial Advisory adjusted net revenue decreased $13 million, or 4%, as compared to the 2025 period. The decreases in Financial Advisory net revenue and adjusted net revenue were primarily attributable to the completion of fewer transactions as compared to the 2025 period.
Current wording
Financial Advisory net revenue decreased $47 million, or 9%, as compared to the 2025 period. Financial Advisory adjusted net revenue decreased $46 million, or 9%, as compared to the 2025 period. The decreases in Financial Advisory net revenue and adjusted net revenue reflected lower fees from M&A transactions as compared to the 2025 period.
Previous wording
Adjusted compensation and benefits expense increased $30 million, or 12%, as compared to the 2025 period driven by our ongoing investment in strategic senior hires.
Current wording
Adjusted compensation and benefits expense increased $26 million, or 5%, as compared to the 2025 period, primarily driven by our ongoing investment in strategic senior hires.
Previous wording
Total AUM at March 31, 2026 was $259 billion, an increase of $5 billion, or 2%, as compared to total AUM of $254 billion at December 31, 2025 primarily due to net inflows, partially offset by foreign exchange depreciation and the sale and deconsolidation of the Edgewater management vehicles. Average AUM for the first quarter of 2026 increased 15% as compared to the first quarter of 2025, and increased 2% as compared to the fourth quarter of 2025.
Current wording
Total AUM at June 30, 2026 was $285 billion, an increase of $31 billion, or 12%, as compared to total AUM of $254 billion at December 31, 2025 primarily due to market appreciation and net inflows and an increase attributable to acquiring a controlling interest in Elaia Partners, a venture capital asset management entity (“Elaia”), partially offset by foreign exchange depreciation and the sale and deconsolidation of the Edgewater management vehicles. Average AUM for the second quarter of 2026 increased 17% as compared to the three month period ended June 30, 2025, and average AUM for the first six months of 2026 increased 16% as compared to the six month period ended June 30, 2025.
Previous wording
As of both March 31, 2026 and December 31, 2025, AUM with foreign currency exposure represented approximately 67% of our total AUM. AUM with foreign currency exposure generally declines in value with the strengthening of the U.S. Dollar and increases in value as the U.S. Dollar weakens, with all other factors held constant.
Current wording
As of June 30, 2026, AUM with foreign currency exposure represented approximately 68% of our total AUM as compared to 67% at December 31, 2025. AUM with foreign currency exposure generally declines in value with the strengthening of the U.S. Dollar and increases in value as the U.S. Dollar weakens, with all other factors held constant.
Previous wording
The following is a summary of changes in AUM by asset class for the three month periods ended March 31, 2026 and 2025:
Current wording
The following is a summary of changes in AUM by asset class for the three month and six month periods ended June 30, 2026 and 2025:
Previous wording
(a)Related to the sale and deconsolidation of the Edgewater management vehicles.
Current wording
(a)Related to the acquisition of a controlling interest in and consolidation of Elaia.
Previous wording
Net flows were primarily driven by the Global/International and Emerging Markets Equity platforms.
Current wording
For the six months ended June 30, 2026, net flows were primarily driven by the Global/International Equity and Alternative Investments platforms.
Previous wording
Average AUM for the three month periods ended March 31, 2026 and 2025 for each significant asset class is set forth below. Average AUM generally represents the average of the monthly ending AUM balances for the period.
Current wording
Average AUM for the three month and six month periods ended June 30, 2026 and 2025 for each significant asset class is set forth below. Average AUM generally represents the average of the monthly ending AUM balances for the period.
Previous wording
$9 million in the 2025 period. Other revenue, on an adjusted basis, was $1 million, a decrease of $17 million as compared to $18 million in the 2025 period.
Current wording
Asset Management net revenue increased $59 million, or 20%, as compared to the 2025 period. Asset Management adjusted net revenue increased $63 million, or 23%, as compared to the 2025 period. Management fees, on an adjusted basis, were $310 million, an increase of $58 million, or 23%, as compared to $252 million in the 2025 period primarily due to an increase in average AUM and product mix. Incentive fees, on an adjusted basis, were $5 million, an increase of $1 million as compared to $4 million in the 2025 period. Other revenue, on an adjusted basis, was $16 million, an increase of $3 million as compared to $13 million in the 2025 period.
Previous wording
Adjusted compensation and benefits expense increased $18 million, or 12%, as compared to the 2025 period primarily driven by increased adjusted net revenue.
Current wording
Adjusted compensation and benefits expense increased $46 million, or 33%, as compared to the 2025 period primarily driven by increased adjusted net revenue.
Previous wording
Adjusted non-compensation expense increased $5 million, or 8%, as compared to the 2025 period primarily due to higher mutual fund servicing fees, which were largely driven by an increase in AUM.
Current wording
Adjusted non-compensation expense increased $8 million, or 13%, as compared to the 2025 period primarily due to higher mutual fund servicing fees, which were largely driven by an increase in AUM.
Previous wording
Asset Management net revenue, which included a non-cash gain of $78 million on the sale and deconsolidation of the Edgewater management vehicles in the first quarter of 2026, increased $122 million, or 42%, as compared to the 2025 period. Asset Management adjusted net revenue increased $44 million, or 17%, as compared to the 2025 period. Management fees, on an adjusted basis, were $296 million, an increase of $58 million, or 25%, as compared to $238 million in the 2025 period. Incentive fees, on an adjusted basis, were $11 million, an increase of $2 million as compared to
Current wording
Asset Management net revenue, which included a non-cash gain of $76 million on the sale and deconsolidation of the Edgewater management vehicles in the first quarter of 2026, increased $180 million, or 31%, as compared to the 2025 period. Asset Management adjusted net revenue increased $107 million, or 20%, as compared to the 2025 period. Management fees, on an adjusted basis, were $606 million, an increase of $116 million, or 24%, as compared to $490 million in the 2025 period primarily due to an increase in average AUM and product mix. Incentive fees, on an adjusted basis, were $17 million, an increase of $4 million as compared to $13 million in the 2025 period. Other revenue, on an adjusted basis, was $17 million, a decrease of $13 million as compared to $31 million in the 2025 period.
Previous wording
Adjusted compensation and benefits expense, including centrally managed costs, increased $2 million, or 5%, as compared to the 2025 period.
Current wording
Adjusted compensation and benefits expense, including centrally managed costs, increased $4 million, or 8%, as compared to the 2025 period.
Previous wording
Corporate net revenue decreased $5 million, or 72%, as compared to the 2025 period, primarily due to lower gains in the 2026 period as compared to the 2025 period attributable to investments held in connection with LFI. Corporate adjusted net revenue decreased $1 million, or 13%, as compared to the 2025 period.
Current wording
Corporate net revenue decreased $5 million as compared to the 2025 period. Corporate adjusted net revenue decreased $1 million, or 7%, as compared to the 2025 period.
Previous wording
Adjusted non-compensation expense, including centrally managed costs, decreased $2 million, or 6%, as compared to the 2025 period.
Current wording
Adjusted non-compensation expense, including centrally managed costs, decreased $3 million, or 3%, as compared to the 2025 period.
Previous wording
We regularly monitor our liquidity position, including cash levels, lease obligations, investments and related hedges, credit lines, principal investment commitments, interest and principal payments on debt, capital expenditures, dividend payments, purchases of shares of common stock, compensation and other matters relating to liquidity and compliance with regulatory net capital requirements. At March 31, 2026, Lazard had approximately $1,021 million of cash and cash equivalents, including approximately $569 million held at Lazard’s operations outside the U.S. Lazard provides for income taxes on substantially all of its foreign earnings and we expect that no material amount of additional taxes would be recognized upon receipt of dividends or distributions of such earnings from our foreign operations.
Current wording
We regularly monitor our liquidity position, including cash levels, lease obligations, investments and related hedges, credit lines, commitments related to business acquisitions (see Recent Developments) and principal investments, interest and principal payments on debt, capital expenditures, dividend payments, purchases of shares of common stock, compensation and other matters relating to liquidity and compliance with regulatory net capital requirements. At June 30, 2026, Lazard had approximately $1,100 million of cash and cash equivalents, including approximately $553 million held at Lazard’s operations outside the U.S. Lazard provides for income taxes on substantially all of its foreign earnings and we expect that no material amount of additional taxes would be recognized upon receipt of dividends or distributions of such earnings from our foreign operations.
Previous wording
As of March 31, 2026, the Company’s remaining lease obligations were $62 million for 2026 (April 1 through December 31), $160 million from 2027 through 2028, $143 million from 2029 through 2030 and $203 million from 2031 through 2039.
Current wording
As of June 30, 2026, the Company’s remaining lease obligations were $42 million for 2026 (July 1 through December 31), $162 million from 2027 through 2028, $145 million from 2029 through 2030 and $206 million from 2031 through 2039. In addition, as discussed in Note 11 of Notes to Condensed Consolidated Financial Statements, we entered into a lease agreement for additional office facilities that have not yet commenced, with aggregate undiscounted future lease payments of approximately $100 million.
Previous wording
As of March 31, 2026, Lazard had approximately $204 million in unused lines of credit available to it, including a $200 million, five-year, senior revolving credit facility under the Second Amended and Restated Credit Agreement, among Lazard Group LLC, the banks from time to time party thereto and Citibank, N.A., as Administrative Agent (as amended from time to time, the “Second Amended and Restated Credit Agreement”).
Current wording
As of June 30, 2026, Lazard had approximately $210 million in unused lines of credit available to it, including a $200 million, five-year, senior revolving credit facility under the Second Amended and Restated Credit Agreement, among Lazard Group LLC, the banks from time to time party thereto and Citibank, N.A., as Administrative Agent (as amended from time to time, the “Second Amended and Restated Credit Agreement”).
Previous wording
At March 31, 2026, total stockholders’ equity was $872 million, as compared to $906 million at December 31, 2025, including $881 million and $869 million attributable to Lazard, Inc. on the respective dates. The net activity in stockholders’ equity during the three month period ended March 31, 2026 is reflected in the table below (in millions of dollars):
Current wording
At June 30, 2026, total stockholders’ equity was $905 million, as compared to $906 million at December 31, 2025, including $914 million and $869 million attributable to Lazard, Inc. on the respective dates. The net activity in stockholders’ equity during the six month period ended June 30, 2026 is reflected in the table below (in millions of dollars):
Previous wording
(a)Excludes net loss associated with redeemable noncontrolling interests of $0.1 million.
Current wording
(a)Excludes net loss associated with redeemable noncontrolling interests of $9 million.
Previous wording
As of March 31, 2026, a total of $107 million of share repurchase authorization remained available under Lazard, Inc.’s share repurchase program which will expire on December 31, 2026.
Current wording
As of June 30, 2026, a total of $57 million of share repurchase authorization remained available under Lazard, Inc.’s share repurchase program which will expire on December 31, 2026.
Previous wording
As part of the process of preparing our consolidated financial statements, we estimate our income taxes for each of our tax-paying entities in its respective jurisdiction. In addition to estimating actual current tax liabilities for these jurisdictions, we also must account for the tax effects of differences between the financial reporting and tax reporting of items, such as basis adjustments, compensation and benefits expense, and depreciation and amortization. Differences which are temporary in nature result in deferred tax assets and liabilities. Significant judgment is required in determining our provision for income taxes, our deferred tax assets and liabilities, any valuation allowance recorded against our deferred tax assets and our unrecognized tax benefits.
Current wording
As part of the process of preparing our consolidated financial statements, we estimate our income taxes for each of our tax-paying entities in its respective jurisdiction. In addition to estimating actual current tax liabilities for these jurisdictions, we also must account for the tax effects of differences between the financial reporting and tax reporting of items, such as basis adjustments, compensation and benefits expense, and depreciation and amortization. Differences which are temporary in nature result in deferred tax assets and liabilities. Significant judgment is required in determining our interim and annual provisions for income taxes, our deferred tax assets and liabilities, any valuation allowance recorded against our deferred tax assets and our unrecognized tax benefits.
Previous wording
In addition to the discussion above regarding deferred tax assets and associated valuation allowances, as well as unrecognized tax benefit liability estimates, other factors affect our provision for income taxes, including changes in the geographic mix of our business, the level of our annual pre-tax income, transfer pricing and intercompany transactions.
Current wording
In addition to the discussion above regarding deferred tax assets and associated valuation allowances, as well as unrecognized tax benefit liability estimates, other factors affect our interim and annual provisions for income taxes, including changes in the geographic mix of our business, the level of our projected and actual annual pre-tax income, transfer pricing and intercompany transactions.
Previous wording
Seed investments held in entities in which the Company maintained a controlling financial interest were $170 million in fifteen entities as of March 31, 2026, as compared to $183 million in thirteen entities as of December 31, 2025. LFI investments held in entities in which the Company maintained a controlling financial interest were $27 million in eight entities as of March 31, 2026, as compared to $63 million in nine entities as of December 31, 2025.
Current wording
Seed investments held in entities in which the Company maintained a controlling financial interest were $146 million in twelve entities as of June 30, 2026, as compared to $183 million in thirteen entities as of December 31, 2025. LFI investments held in entities in which the Company maintained a controlling financial interest were $31 million in nine entities as of June 30, 2026, as compared to $63 million in nine entities as of December 31, 2025.
Showing the first 40 of 51 pairs. Open the source sections for the rest.
Rearranged current paragraphs (7)
Current report — wording carried from elsewhere
Net revenue increased $12 million, or 1%, with adjusted net revenue increasing $17 million, or 2%, as compared to the 2025 period. Investment banking and other advisory fees decreased $45 million, or 9%, as compared to the 2025 period. Asset management fees, including incentive fees, increased $59 million, or 22%, as compared to the 2025 period. In the aggregate, interest income, other revenue and interest expense decreased $3 million as compared to the 2025 period.
Current report — wording carried from elsewhere
Compensation and benefits expense increased $43 million, or 8%, as compared to the 2025 period.
Current report — wording carried from elsewhere
Adjusted compensation and benefits expense (which excludes certain items and which we believe allows for improved comparability between periods, as described above) was $1,020 million, an increase of $95 million, or 10%, as compared to $926 million in the 2025 period. The ratio of adjusted compensation and benefits expense to adjusted net revenue was 69.9% for the 2026 period, as compared to 65.5% for the 2025 period.
Current report — wording carried from elsewhere
The Company reported net income attributable to Lazard of $106 million, as compared to net income attributable to Lazard of $116 million in the 2025 period.
Current report — wording carried from elsewhere
Adjusted non-compensation expense increased $13 million, or 10%, as compared to the 2025 period primarily due to higher mutual fund servicing fees, which were largely driven by an increase in AUM, and investments in technology.
Current report — wording carried from elsewhere
Adjusted compensation and benefits expense, including centrally managed costs, increased $6 million, or 7%, as compared to the 2025 period.
Current report — wording carried from elsewhere
“investments” on the condensed consolidated statements of financial condition represented the Company’s economic interest in the seed and LFI investments.
Rearranged previous paragraphs (2)
Previous report — wording carried elsewhere
Lazard’s condensed consolidated financial statements are presented in U.S. Dollars. Many of our non-U.S. subsidiaries have a functional currency (i.e., the currency in which operational activities are primarily conducted) that is other than the U.S. Dollar, generally the currency of the country in which the subsidiaries are domiciled. Such subsidiaries’
Previous report — wording carried elsewhere
Adjusted non-compensation expense decreased $1 million, or 3%, as compared to the 2025 period.