Lazard reported adjusted net income of $89 million, or $0.80 per share diluted, for the quarter ended December 31, 2025, surpassing the comparable period’s $85 million and $0.78 per share. Net revenue rose 10% year-over-year to $892 million, driven by a 7% increase in Financial Advisory adjusted net revenue to $542 million and an 18% uplift in Asset Management adjusted net revenue to $339 million. On a U.S. GAAP basis, net income was $50 million, or $0.45 per share diluted, compared with $86 million and $0.80 per share a year earlier.

Average assets under management climbed 12% year-over-year to $261 billion in Q4, while ending AUM stood at $254 billion, up from $226 billion a year ago. Total AUM grew 12% for the full year to $254 billion, driven by $35.0 billion of market appreciation and $11.1 billion of foreign exchange gains, partially offset by $18.1 billion of net outflows. Excluding one large U.S. sub-advised relationship, net inflows amounted to $8.4 billion for 2025, underscoring continued client demand for equity and alternative strategies.

Compensation and benefits expense on an adjusted basis rose 3% year-over-year to $585 million in Q4, reflecting planned hiring and performance-based payouts, with an adjusted compensation ratio of 65.5%, consistent with last year. Non-compensation expenses increased 3% to $159 million, yielding an improved adjusted non-compensation ratio of 17.8%. For full year 2025, Lazard reported adjusted net revenue of $3.03 billion, adjusted net income of $266 million and achieved record Financial Advisory adjusted net revenue of $1.825 billion, positioning the firm on track toward its 2030 targets. The board also appointed Tracy Farr as Chief Financial Officer effective February 1, enhancing leadership depth for execution of the long-term growth plan.