Lazard's adjusted net revenue rose 11% in the third quarter from a year earlier, while adjusted diluted earnings per share fell to $0.36, showing that revenue growth did not translate into higher per-share earnings.
For the three months ended Sept. 30, Lazard recorded $805 million of adjusted net revenue and $814 million under GAAP. The adjusted measure was 11% above its year-earlier level, while the GAAP figure was 9% higher.
The GAAP calculation yielded $0.26 per diluted share, versus $0.65 in the year-ago quarter. The comparable adjusted figure was $0.36, against $0.56.
Financial Advisory generated $465 million in adjusted revenue, 10% more than a year earlier. Asset Management's adjusted revenue was $330 million, up 12% from the prior-year quarter.
Chief Financial Officer Tracy Farr said deals that closed just after Sept. 30 still contributed fees to the quarter. She put the resulting pull-forward somewhat below the prior year's amount and near a recent average of approximately $2 million to $3 million, measured across the preceding one or two years. “They were broad-based,” Farr said.
Chairman and CEO Peter R. Orszag said clients remained active and Lazard's indicators of future business were strong. He also said Financial Advisory produced more revenue in this year's third quarter than in any prior third quarter.
