PJT Partners Inc. Reports Full Year and Fourth Quarter 2018 Results
Overview
> Total Revenues of $580.2 million for full year 2018, up 16%
year-over-year
- Advisory Revenues of $451.6 million, up 17% from a year ago
- Placement Revenues of $111.0 million, up 8% from a year ago
> Full year diluted EPS of $1.16, up from $(1.73) a year ago; Adjusted
EPS of $1.91, up from $1.54 a year ago
> Strong balance sheet at year end with $108.3 million of cash, cash
equivalents and short-term investments
> Repurchased approximately 3.2 million share equivalents during the
full year through Partnership Unit exchanges, share repurchases and
employee net share settlements
-
Additionally, intend to repurchase approximately 216,000 Partnership
Units for cash in February 2019
> Completed acquisition of CamberView on October 1, 2018
NEW YORK–(BUSINESS WIRE)–PJT Partners Inc. (the “Company” or “PJT Partners”) (NYSE:PJT) today
reported Total Revenues of $580.2 million for the year ended
December 31, 2018 compared with $499.3 million for 2017. GAAP Pretax
Income and Adjusted Pretax Income were $41.5 million and $99.2 million,
respectively, for 2018 compared with GAAP Pretax Income of $10.1 million
and Adjusted Pretax Income of $86.8 million, respectively, for 2017.
Total Revenues for fourth quarter 2018 were $175.4 million compared with
$190.6 million for 2017. GAAP Pretax Income and Adjusted Pretax Income
were $16.7 million and $32.9 million, respectively, for the current
quarter compared with GAAP Pretax Income of $25.7 million and Adjusted
Pretax Income of $43.8 million, respectively, for the prior year quarter.
Paul J. Taubman, Chairman and Chief Executive Officer, said, “We are
pleased to report strong 2018 financial performance, reflecting steady
and consistent progress across all of our businesses and record results
in Park Hill and Strategic Advisory. Our businesses are increasingly
working together to deliver unique financial solutions, differentiated
expertise and superior client service to an increasing number of
companies around the globe. We continue to attract top talent to our
platform and we are highly confident in our growth prospects for 2019
and beyond.”
Revenues
The following table sets forth revenues for the three months and full
year ended December 31, 2018 and 2017:
|
Three Months Ended
December 31, |
Year Ended
December 31, |
|||||||||||||||||||
| 2018 | 2017 | % Change | 2018 | 2017 | % Change | |||||||||||||||
| (Dollars in Millions) | ||||||||||||||||||||
| Revenues | ||||||||||||||||||||
| Advisory | $ | 132.6 | $ | 153.1 | (13 | %) | $ | 451.6 | $ | 386.3 | 17 | % | ||||||||
| Placement | 38.6 | 33.9 | 14 | % | 111.0 | 102.8 | 8 | % | ||||||||||||
| Interest Income & Other | 4.2 | 3.6 | 18 | % | 17.7 | 10.2 | 73 | % | ||||||||||||
| Total Revenues | $ | 175.4 | $ | 190.6 | (8 | %) | $ | 580.2 | $ | 499.3 | 16 | % | ||||||||
Year Ended
Total Revenues were $580.2 million for 2018 compared with $499.3 million
for 2017, an increase of 16%.
Advisory Revenues were $451.6 million for 2018 compared with
$386.3 million for 2017, an increase of 17%. The increase in Advisory
Revenues primarily resulted from increases in our strategic advisory and
secondary advisory businesses.
Placement Revenues were $111.0 million for 2018 compared with
$102.8 million for 2017, an increase of 8%. The increase was primarily
driven by increased revenues from our real estate vertical.
Interest Income & Other was $17.7 million for 2018 compared with
$10.2 million for 2017 and includes $8.2 million of reimbursable
expenses that are now presented on a gross basis due to adoption of ASU
No. 2014-09, “Revenue from Contracts with Customers (Topic 606)” (“new
revenue guidance”).
Three Months Ended
Total Revenues were $175.4 million for fourth quarter 2018, down from
$190.6 million for the prior year quarter.
Advisory Revenues were $132.6 million for the current quarter compared
with $153.1 million for the prior year quarter, a decrease of 13%. The
decrease was primarily due to a decline in restructuring activity,
partially offset by an increase in strategic advisory.
Placement Revenues were $38.6 million for the current quarter compared
with $33.9 million for the prior year quarter, an increase of 14%. The
increase was primarily driven by increases in revenues from our real
estate and private equity verticals during the quarter.
Interest Income & Other was $4.2 million for the current quarter
compared with $3.6 million for the prior year quarter and includes
$1.6 million of reimbursable expenses that are now presented on a gross
basis due to adoption of the new revenue guidance.
Expenses
The following tables set forth information relating to the Company’s
expenses for the three months and year ended December 31, 2018 and 2017:
| Year Ended December 31, | ||||||||||||||||||
| 2018 | 2017 | |||||||||||||||||
| GAAP | As Adjusted | GAAP | As Adjusted | |||||||||||||||
| (Dollars in Millions) | ||||||||||||||||||
| Expenses | ||||||||||||||||||
| Compensation and Benefits | $ | 424.5 | $ | 371.9 | $ | 391.5 | $ | 320.2 | ||||||||||
| % of Revenues | 73.2 | % | 64.1 | % | 78.4 | % | 64.1 | % | ||||||||||
| Non-Compensation | $ | 114.3 | $ | 109.1 | $ | 97.7 | $ | 92.3 | ||||||||||
| % of Revenues | 19.7 | % | 18.8 | % | 19.6 | % | 18.5 | % | ||||||||||
| Total Expenses | $ | 538.7 | $ | 481.0 | $ | 489.2 | $ | 412.5 | ||||||||||
| % of Revenues | 92.8 | % | 82.9 | % | 98.0 | % | 82.6 | % | ||||||||||
| Pretax Income | $ | 41.5 | $ | 99.2 | $ | 10.1 | $ | 86.8 | ||||||||||
| % of Revenues | 7.2 | % | 17.1 | % | 2.0 | % | 17.4 | % | ||||||||||
| Three Months Ended December 31, | ||||||||||||||||||
| 2018 | 2017 | |||||||||||||||||
| GAAP | As Adjusted | GAAP | As Adjusted | |||||||||||||||
| (Dollars in Millions) | ||||||||||||||||||
| Expenses | ||||||||||||||||||
| Compensation and Benefits | $ | 126.7 | $ | 112.8 | $ | 140.3 | $ | 122.6 | ||||||||||
| % of Revenues | 72.2 | % | 64.3 | % | 73.6 | % | 64.3 | % | ||||||||||
| Non-Compensation | $ | 32.0 | $ | 29.7 | $ | 24.6 | $ | 24.1 | ||||||||||
| % of Revenues | 18.3 | % | 16.9 | % | 12.9 | % | 12.7 | % | ||||||||||
| Total Expenses | $ | 158.7 | $ | 142.5 | $ | 164.9 | $ | 146.7 | ||||||||||
| % of Revenues | 90.5 | % | 81.2 | % | 86.5 | % | 77.0 | % | ||||||||||
| Pretax Income | $ | 16.7 | $ | 32.9 | $ | 25.7 | $ | 43.8 | ||||||||||
| % of Revenues | 9.5 | % | 18.8 | % | 13.5 | % | 23.0 | % | ||||||||||
Compensation and Benefits Expense
Year Ended
GAAP Compensation and Benefits Expense was $424.5 million for 2018
compared with $391.5 million for 2017. Adjusted Compensation and
Benefits Expense was $371.9 million for 2018 compared with
$320.2 million for 2017. The increase in Compensation and Benefits
Expense was primarily due to higher revenues and increased headcount.
Three Months Ended
GAAP Compensation and Benefits Expense was $126.7 million for fourth
quarter 2018 compared with $140.3 million for the prior year quarter.
Adjusted Compensation and Benefits Expense was $112.8 million for the
current quarter compared with $122.6 million for the prior year quarter.
The decrease in Compensation and Benefits Expense was primarily due to
lower revenues during the current quarter.
Non-Compensation Expense
Year Ended
GAAP Non-Compensation Expense was $114.3 million for 2018 compared with
$97.7 million for 2017. Adjusted Non-Compensation Expense was
$109.1 million for 2018 compared with $92.3 million for 2017.
GAAP Non-Compensation Expense increased during 2018 compared with 2017,
and includes $10.4 million of expenses reimbursable by clients that
prior to adoption of the new revenue guidance were reported on a net
basis.
The increase in Travel and Related was primarily related to adoption of
the new revenue guidance, as well as increased business activity. The
increase in Communications and Information Services was primarily driven
by investments in our technology and data management infrastructure
during the first half of the year. Depreciation and Amortization
increased primarily due to additional amortization expense related to
intangible assets recorded in the acquisition of CamberView during the
fourth quarter. Other Expenses increased primarily as a result of
increased headcount and business activity, as well as expense recorded
during the fourth quarter related to the impairment of certain former
CamberView leased space. Professional Fees included $1.5 million of
expense related to the acquisition of CamberView.
Adjusted Non-Compensation Expense increased during 2018 compared with
2017, primarily due to increases in Travel and Related, Communications
and Information Services and Professional Fees for the same reasons
noted above, and an increase in Other Expenses primarily as a result of
increased headcount and business activity.
Three Months Ended
GAAP Non-Compensation Expense was $32.0 million for fourth quarter 2018
compared with $24.6 million for the prior year quarter. Adjusted
Non-Compensation Expense was $29.7 million for the current quarter
compared with $24.1 million for the prior year quarter.
GAAP Non-Compensation Expense increased during the current quarter
compared with the prior year quarter, and includes $3.2 million of
expenses reimbursable by clients that prior to adoption of the new
revenue guidance were reported on a net basis.
The increase in Travel and Related was primarily related to adoption of
the new revenue guidance. Other Expenses increased primarily as a result
of increased headcount and business activity as well as expense recorded
during the current quarter related to the impairment of certain former
CamberView leased space. Depreciation and Amortization increased
primarily as a result of additional amortization expense related to
intangible assets recorded in the acquisition of CamberView during the
fourth quarter.
Adjusted Non-Compensation Expense increased during the current quarter
compared with the prior year quarter, primarily due to an increase in
Travel and Related and Professional Fees for the same reasons noted
above, and an increase in Other Expenses primarily as a result of
increased headcount and business activity.
Provision for Taxes
As of December 31, 2018, PJT Partners Inc. owned 58.5% of PJT Partners
Holdings LP. PJT Partners Inc. is subject to corporate U.S. federal and
state income tax while PJT Partners Holdings LP is subject to New York
City unincorporated business tax and other entity-level taxes imposed by
certain state and foreign jurisdictions. Please refer to Note 11.
“Stockholders’ Equity (Deficit)” in the “Notes to Consolidated and
Combined Financial Statements” in “Part II. Item 8. Financial Statements
and Supplementary Data” of the Company’s Annual Report on Form 10-K for
the year ended December 31, 2017 for further information about the
corporate ownership structure.
In calculating Adjusted Net Income, If-Converted, the Company has
assumed that all outstanding Class A partnership units in PJT Partners
Holdings LP (“Partnership Units”) (excluding the unvested partnership
units that have yet to satisfy certain market conditions) have been
exchanged into shares of the Company’s Class A common stock, subjecting
all of the Company’s income to corporate-level tax.
The effective tax rate for Adjusted Net Income, If-Converted for the
year ended December 31, 2018 was 22.9% compared with 32.3% for the same
period a year ago. This tax rate excludes the tax benefits of the
adjustments for transaction-related compensation expense, amortization
expense and spin-off-related payable due to The Blackstone Group L.P.
(“Blackstone”). The decrease in tax rate from the year ended
December 31, 2017 is primarily due to the decrease in U.S. corporate
income tax rate related to the passage of the Tax Cuts and Jobs Act1
as well as an increased tax benefit related to the deliveries of vested
shares during 2018 at values in excess of their amortized cost.
The increase in the effective tax rate for Adjusted Net Income,
If-Converted for the year ended December 31, 2018 from the year-to-date
amount as of September 30, 2018 primarily relates to an increase in the
business apportionment of client engagements performed in jurisdictions
with higher statutory tax rates.
Capital Management and Balance Sheet
As of December 31, 2018, the Company held cash, cash equivalents and
short-term investments of $108.3 million. Additionally, the Company held
a debt balance of $30 million, which was entered into in connection with
the acquisition of CamberView.
Partnership Units may be presented to the Company for exchange on a
quarterly basis and repurchased for cash or, at the Company’s election,
for shares of the Company’s Class A common stock on a one-for-one basis.
During fourth quarter 2018, the Company repurchased 492,986 Partnership
Units for cash. An additional 216,330 Partnership Units have been
presented to be exchanged, which the Company intends to repurchase for
cash on February 14, 2019 at a price to be determined by the per share
volume-weighted average price of the Company’s Class A common stock on
February 11, 2019.
On October 26, 2017, the Company’s Board of Directors authorized the
repurchase of shares of the Company’s Class A common stock in an amount
up to $100 million. Under this repurchase program, shares of the
Company’s Class A common stock may be repurchased from time to time in
open market transactions, in privately negotiated transactions or
otherwise. The timing and the actual number of shares repurchased depend
on a variety of factors, including legal requirements, price and
economic and market conditions. The repurchase program may be suspended
or discontinued at any time and does not have a specified expiration
date. During fourth quarter 2018, the Company repurchased 627,764 shares
of Class A common stock pursuant to this share repurchase program.
Additionally, during fourth quarter 2018, the Company net share settled
16,923 shares to satisfy employee tax obligations.
In aggregate during fourth quarter 2018, the Company repurchased an
equivalent of 1.1 million shares at an average price of $46.62 per
share. For the year ended December 31, 2018, the total share equivalent
repurchases were 3.2 million shares at an average price of $49.40 per
share.
Dividend
The Board of Directors of PJT Partners Inc. has declared a quarterly
dividend of $0.05 per share of Class A common stock. The dividend will
be paid on March 26, 2019 to Class A common stockholders of record on
March 6, 2019.
Quarterly Investor Call Details
PJT Partners will host a conference call on February 7, 2019 at
8:30 a.m. ET to discuss its full year and fourth quarter 2018 results.
The conference call can be accessed via the internet on www.pjtpartners.com
or by dialing +1 (888) 339-2688 (U.S. domestic) or +1 (617) 847-3007
(international), passcode 873 623 65#. For those unable to listen to the
live broadcast, a replay will be available following the call at www.pjtpartners.com
or by dialing +1 (888) 286-8010 (U.S. domestic) or +1 (617) 801-6888
(international), passcode 213 823 13#.
About PJT Partners
PJT Partners is a global advisory-focused investment bank. Our team of
senior professionals delivers a wide array of strategic advisory,
shareholder engagement, restructuring and special situations and private
fund advisory and placement services to corporations, financial
sponsors, institutional investors and governments around the world. We
offer a unique portfolio of advisory services designed to help our
clients achieve their strategic objectives. We also provide, through
Park Hill, private fund advisory and placement services for alternative
investment managers, including private equity funds, real estate funds
and hedge funds. To learn more about PJT Partners, please visit the
Company’s website at www.pjtpartners.com.
Forward-Looking Statements
Certain material presented herein contains forward-looking statements
within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. Forward-looking statements include certain information
concerning future results of operations, business strategies,
acquisitions, financing plans, competitive position, potential growth
opportunities, potential operating performance improvements, the effects
of competition and the effects of future legislation or regulations.
Forward-looking statements include all statements that are not
historical facts and can be identified by the use of forward-looking
terminology such as the words “believe,” “expect,” “plan,” “intend,”
“anticipate,” “estimate,” “predict,” “potential,” “continue,” “may,”
“might,” “should,” “could” or the negative of these terms or similar
expressions.
Forward-looking statements involve risks, uncertainties and assumptions.
Actual results may differ materially from those expressed in such
forward-looking statements. You should not put undue reliance on any
forward-looking statements contained herein. We undertake no obligation
to publicly update or review any forward-looking statement, whether as a
result of new information, future developments or otherwise.
The risk factors discussed in the “Risk Factors” section of our Annual
Report on Form 10-K for the year ended December 31, 2017, filed with the
United States Securities and Exchange Commission (“SEC”), as such
factors may be updated from time to time in our periodic filings with
the SEC, accessible on the SEC’s website at www.sec.gov,
could cause our results to differ materially from those expressed in
forward-looking statements. There may be other risks and uncertainties
that we are unable to predict at this time or that are not currently
expected to have a material adverse effect on our business. Any such
risks could cause our results to differ materially from those expressed
in forward-looking statements.
Non-GAAP Financial Measures
The following represent key performance measures that management uses in
making resource allocation and/or compensation decisions. These measures
should not be considered substitutes for, or superior to, financial
measures prepared in accordance with GAAP.
Management believes the following non-GAAP measures, when presented
together with comparable GAAP measures, are useful to investors in
understanding the Company’s operating results: Adjusted Pretax Income;
Adjusted Net Income; Adjusted Net Income, If-Converted, in total and on
a per-share basis; Adjusted Earnings Per Share; Adjusted Compensation
and Benefits Expense and Adjusted Non-Compensation Expense. These
non-GAAP measures, presented and discussed in this earnings release,
remove the significant accounting impact of: (a) transaction-related
compensation expense, including expense related to Partnership Units
with both time-based vesting and market conditions as well as
equity-based and cash awards granted in connection with the spin-off
from Blackstone and acquisition of CamberView; (b) intangible asset
amortization associated with Blackstone’s initial public offering
(“IPO”), acquisition of PJT Capital LP, and acquisition of CamberView;
(c) impairment of former CamberView leased space; and (d) the amount the
Company has agreed to pay Blackstone related to the net realized cash
benefit from certain compensation-related tax deductions.
Reconciliations of the non-GAAP measures to their most directly
comparable GAAP measures and further detail regarding the adjustments
are provided in the Appendix.
To help investors understand the effect of the Company’s ownership
structure on its Adjusted Net Income, the Company has presented Adjusted
Net Income, If-Converted. This measure illustrates the impact of taxes
on Adjusted Pretax Income, assuming all Partnership Units (excluding the
unvested partnership units that have yet to satisfy certain market
conditions) were exchanged for shares of the Company’s Class A common
stock, resulting in all of the Company’s income becoming subject to
corporate-level tax, considering both current and deferred income tax
effects.
Appendix
GAAP Condensed Consolidated Statements of Operations (unaudited)
Reconciliations of GAAP to Non-GAAP Financial Data (unaudited)
Summary of Shares Outstanding (unaudited)
Footnotes
| PJT Partners Inc. | |||||||||||||
| GAAP Condensed Consolidated Statements of Operations (unaudited) | |||||||||||||
| (Dollars in Thousands, Except Share and Per Share Data) | |||||||||||||
|
Three Months Ended
December 31, |
|
Year Ended
December 31, |
|||||||||||
| 2018 | 2017 | 2018 | 2017 | ||||||||||
| Revenues | |||||||||||||
| Advisory | $ | 132,635 | $ | 153,118 | $ | 451,553 | $ | 386,263 | |||||
| Placement | 38,554 | 33,873 | 111,035 | 102,785 | |||||||||
| Interest Income and Other | 4,204 | 3,562 | 17,660 | 10,234 | |||||||||
| Total Revenues | 175,393 | 190,553 | 580,248 | 499,282 | |||||||||
| Expenses | |||||||||||||
| Compensation and Benefits | 126,679 | 140,256 | 424,459 | 391,514 | |||||||||
| Occupancy and Related | 7,108 | 7,278 | 27,125 | 26,889 | |||||||||
| Travel and Related | 6,468 | 4,292 | 23,374 | 13,617 | |||||||||
| Professional Fees | 5,341 | 3,910 | 20,631 | 19,276 | |||||||||
| Communications and Information Services | 3,018 | 2,947 | 12,539 | 10,770 | |||||||||
| Depreciation and Amortization | 3,611 | 1,991 | 9,973 | 8,143 | |||||||||
| Other Expenses | 6,494 | 4,216 | 20,634 | 19,019 | |||||||||
| Total Expenses | 158,719 | 164,890 | 538,735 | 489,228 | |||||||||
| Income Before Provision (Benefit) for Taxes | 16,674 | 25,663 | 41,513 | 10,054 | |||||||||
| Provision (Benefit) for Taxes | 4,144 | 54,027 | (1,045 | ) | 38,380 | ||||||||
| Net Income (Loss) | 12,530 | (28,364 | ) | 42,558 | (28,326 | ) | |||||||
|
Net Income Attributable to
Non-Controlling Interests |
5,091 | 9,081 | 15,388 | 4,228 | |||||||||
| Net Income (Loss) Attributable to PJT Partners Inc. | $ | 7,439 | $ | (37,445 | ) | $ | 27,170 | $ | (32,554 | ) | |||
| Net Income (Loss) Per Share of Class A Common Stock | |||||||||||||
| Basic | $ | 0.32 | $ | (1.98 | ) | $ | 1.23 | $ | (1.73 | ) | |||
| Diluted | $ | 0.22 | $ | (1.98 | ) | $ | 1.16 | $ | (1.73 | ) | |||
|
Weighted-Average Shares of Class A Common Stock
Outstanding |
|||||||||||||
| Basic | 23,226,095 | 18,899,800 | 21,879,574 | 18,858,010 | |||||||||
| Diluted | 39,883,039 | 18,899,800 | 24,254,061 | 18,858,010 | |||||||||
| PJT Partners Inc. | ||||||||||||||||||
| Reconciliations of GAAP to Non-GAAP Financial Data (unaudited) | ||||||||||||||||||
| (Dollars in Thousands, Except Share and Per Share Data) | ||||||||||||||||||
|
Three Months Ended
December 31, |
Year Ended
December 31, |
|||||||||||||||||
| 2018 | 2017 | 2018 | 2017 | |||||||||||||||
| GAAP Net Income (Loss) | $ | 12,530 | $ | (28,364 | ) | $ | 42,558 | $ | (28,326 | ) | ||||||||
| Less: GAAP Provision (Benefit) for Taxes | 4,144 | 54,027 | (1,045 | ) | 38,380 | |||||||||||||
| GAAP Pretax Income | 16,674 | 25,663 | 41,513 | 10,054 | ||||||||||||||
| Adjustments to GAAP Pretax Income | ||||||||||||||||||
| Transaction-Related Compensation Expense(2) | 13,893 | 17,681 | 52,566 | 71,343 | ||||||||||||||
| Amortization of Intangible Assets(3) | 1,984 | 584 | 3,735 | 2,418 | ||||||||||||||
| Spin-Off-Related Payable Due to Blackstone(4) | 70 | (79 | ) | 1,145 | 2,995 | |||||||||||||
| Impairment(5) | 266 | — | 266 | — | ||||||||||||||
| Adjusted Pretax Income | 32,887 | 43,849 | 99,225 | 86,810 | ||||||||||||||
| Adjusted Taxes(6) | 7,762 | 38,446 | 16,513 | 45,476 | ||||||||||||||
| Adjusted Net Income | 25,125 | 5,403 | 82,712 | 41,334 | ||||||||||||||
| If-Converted Adjustments | ||||||||||||||||||
| Less: Adjusted Taxes(6) | (7,762 | ) | (38,446 | ) | (16,513 | ) | (45,476 | ) | ||||||||||
| Add: If-Converted Taxes(7) | 8,005 | 13,592 | 22,718 | 28,073 | ||||||||||||||
| Adjusted Net Income, If-Converted | $ | 24,882 | $ | 30,257 | $ | 76,507 | $ | 58,737 | ||||||||||
|
GAAP Net Income (Loss) Per Share of Class A
Common Stock |
||||||||||||||||||
| Basic | $ | 0.32 | $ | (1.98 | ) | $ | 1.23 | $ | (1.73 | ) | ||||||||
| Diluted | $ | 0.22 | $ | (1.98 | ) | $ | 1.16 | $ | (1.73 | ) | ||||||||
|
GAAP Weighted-Average Shares of Class A
Common Stock Outstanding |
||||||||||||||||||
| Basic | 23,226,095 | 18,899,800 | 21,879,574 | 18,858,010 | ||||||||||||||
| Diluted | 39,883,039 | 18,899,800 | 24,254,061 | 18,858,010 | ||||||||||||||
| Adjusted Net Income, If-Converted Per Share | $ | 0.60 | $ | 0.79 | $ | 1.91 | $ | 1.54 | ||||||||||
| Weighted-Average Shares Outstanding, If-Converted | 41,278,100 | 38,227,666 | 40,067,556 | 38,048,652 | ||||||||||||||
| PJT Partners Inc. | ||||||||||||||||||
|
Reconciliations of GAAP to Non-GAAP Financial Data – continued (unaudited) |
||||||||||||||||||
| (Dollars in Thousands) | ||||||||||||||||||
|
Three Months Ended
December 31, |
Year Ended
December 31, |
|||||||||||||||||
| 2018 | 2017 | 2018 | 2017 | |||||||||||||||
| GAAP Compensation and Benefits Expense | $ | 126,679 | $ | 140,256 | $ | 424,459 | $ | 391,514 | ||||||||||
| Transaction-Related Compensation Expense(2) | (13,893 | ) | (17,681 | ) | (52,566 | ) | (71,343 | ) | ||||||||||
| Adjusted Compensation and Benefits Expense | $ | 112,786 | $ | 122,575 | $ | 371,893 | $ | 320,171 | ||||||||||
| Non-Compensation Expenses | ||||||||||||||||||
| Occupancy and Related | $ | 7,108 | $ | 7,278 | $ | 27,125 | $ | 26,889 | ||||||||||
| Travel and Related | 6,468 | 4,292 | 23,374 | 13,617 | ||||||||||||||
| Professional Fees | 5,341 | 3,910 | 20,631 | 19,276 | ||||||||||||||
| Communications and Information Services | 3,018 | 2,947 | 12,539 | 10,770 | ||||||||||||||
| Depreciation and Amortization | 3,611 | 1,991 | 9,973 | 8,143 | ||||||||||||||
| Other Expenses | 6,494 | 4,216 | 20,634 | 19,019 | ||||||||||||||
| GAAP Non-Compensation Expense | 32,040 | 24,634 | 114,276 | 97,714 | ||||||||||||||
| Amortization of Intangible Assets(3) | (1,984 | ) | (584 | ) | (3,735 | ) | (2,418 | ) | ||||||||||
| Spin-Off-Related Payable Due to Blackstone(4) | (70 | ) | 79 | (1,145 | ) | (2,995 | ) | |||||||||||
| Impairment(5) | (266 | ) | — | (266 | ) | — | ||||||||||||
| Adjusted Non-Compensation Expense | $ | 29,720 | $ | 24,129 | $ | 109,130 | $ | 92,301 | ||||||||||
Contacts
Media Relations:
Julie Oakes
Joele Frank, Wilkinson
Brimmer Katcher
Tel: +1 212.355.4449
[email protected]
Investor Relations:
Sharon Pearson
PJT Partners Inc.
Tel:
+1 212.364.7120
[email protected]