CEO Peter R. Orszag pointed to long-term indicators, noting that the firm’s investment in financial advisory talent is transitioning from a headwind to a productivity driver. Despite the headline numbers, the company reported second-quarter net income of $5 million, a 91% drop compared to the same period last year. The results were hampered by an atypical tax rate that executives characterized as a non-recurring anomaly not reflective of full-year expectations.
In the asset management division, the firm achieved record assets under management of $285 billion, buoyed by $7.4 billion in net inflows for the first half of the year. Conversely, the Financial Advisory business saw net revenue dip 9% to $450 million for the quarter. CFO Tracy Farr emphasized that the firm is now exiting its most intensive phase of restructuring, with the benefits of these growth investments expected to translate into improved earnings stability in coming quarters. To underscore this outlook, the board authorized an additional $200 million for share repurchases, extending through 2028.
Comments (0)
No comments yet. Be the first!