Houlihan Lokey, Inc.'s Q1 2026 Earnings Conference Call Transcript
Houlihan Lokey, Inc. (NYSE:HLI), a leading global investment bank, reported impressive results for its first quarter fiscal year 2026. The company's adjusted Earnings Per Share (EPS) came in at $2.14, significantly beating the consensus estimate of about $1.68-$1.69, and revenue of $605.35 million, surpassing expectations around $580 million. This represents an approximately 18% year-over-year revenue growth.
The strong performance was driven by broad strength across all three business segments, with the Corporate Finance segment showing particularly notable growth of 21% to approximately $399 million.
Earnings and Revenue Beat
The Q1 2026 results showed a clear beat on both earnings and revenue, reflecting strong operational momentum early in the fiscal year. The adjusted EPS came in at $2.14 versus the consensus of $1.68, and revenue was $605.35M versus $580.04M consensus.
Segment Performance
The Corporate Finance segment's revenue growth of 21% supported the overall revenue increase, which was 18% year-over-year. This signifies healthy demand across M&A advisory, restructuring, and other services.
Expenses and Margins
Employee compensation and benefits expenses increased to about $393 million, reflecting both business growth and potentially higher staffing levels or costs. Non-compensation expenses also rose, but a detailed review of GAAP vs. adjusted figures is required to fully understand the margin impacts.
Market and Outlook Insights
Commentary from the earnings call highlighted a positive market environment and a strong pipeline in corporate finance. However, some contradictions and caution remain regarding broader economic trends. The company appears confident in sustaining growth momentum.
In conclusion, Houlihan Lokey delivered a robust start to fiscal 2026 with clear beats on earnings and revenue, propelled by growth in their core advisory and corporate finance lines. This positions the company well amid current market conditions.
For more detailed information, please refer to the SEC filings, and the first quarter fiscal year 2026 earnings release is available on the company's website at www.hl.com in the Investor Relations section. The conference call, which was for Houlihan Lokey's Fiscal First Quarter 2026 Earnings, was recorded on July 29, 2025. Participants included Scott Joseph Adelson, CEO & Director at Houlihan Lokey, J. Lindsey Alley, MD & CFO, Christopher M. Crain, Corporate Participant, MD, General Counsel & Secretary, and other key executives and research division participants.
[1]: Source: Houlihan Lokey Press Release [2]: Source: Yahoo Finance [3]: Source: Seeking Alpha Transcript [4]: Source: FactSet Consensus Estimates [5]: Source: Conference Call Transcript
- These strong Q1 2026 results from Houlihan Lokey, including an EPS of $2.14 and revenue of $605.35 million, indicate successful investing and financial growth for the business.
- The Corporate Finance segment's significant growth of 21% demonstrates a positive trend in business expansion and investing opportunities for the company.
