Houlihan Lokey Reports Strong Third Quarter Fiscal 2026 Results
Houlihan Lokey, Inc. (NYSE:HLI) has reported its financial results for the third quarter of fiscal year 2026, ending December 31, 2025. The global investment bank demonstrated significant growth in both revenue and profitability, driven by a recovery in private equity markets and improved investor sentiment.
Key Financial Performance Metrics
The company’s third-quarter results show a marked increase over the previous year’s performance. Key figures include:
- Revenues: $717 million, up from $634 million in the third quarter ended December 31, 2024.
- Net Income: $117 million, compared to $95 million for the same period in 2024.
- Diluted EPS: $1.70 per share, an increase from $1.39 in the prior year.
- Adjusted Net Income: $133 million, or $1.94 per diluted share, compared with $114 million, or $1.64 per diluted share, in the third quarter of 2024.
Strategic Growth and Market Outlook
CEO Scott Adelson attributed the positive results to a broader recovery in the financial landscape. According to the official financial report, the firm is benefiting from an acceleration in private equity markets and a general improvement in investor sentiment.
Beyond financial metrics, Houlihan Lokey is focusing on global expansion. Adelson highlighted the company’s efforts to deepen its talent pool, specifically noting two recent transactions in Europe as part of its growth strategy.
Shareholder Returns
As part of its capital allocation strategy, Houlihan Lokey has announced a dividend of $0.60 per share for the fourth quarter of fiscal year 2026.
Summary Table: Q3 Fiscal 2026 vs. Q3 Fiscal 2025
| Metric | Q3 Fiscal 2026 (Ended Dec 31, 2025) | Q3 Fiscal 2025 (Ended Dec 31, 2024) |
|---|---|---|
| Revenues | $717 Million | $634 Million |
| Net Income | $117 Million | $95 Million |
| Diluted EPS | $1.70 | $1.39 |
| Adjusted Diluted EPS | $1.94 | $1.64 |
Key Takeaways
- Revenue Growth: Revenues increased by approximately 13% year-over-year.
- Profitability: Net income rose by $22 million compared to the previous year’s third quarter.
- Market Tailwinds: Private equity acceleration is a primary driver of current performance.
- Global Expansion: Strategic focus remains on expanding talent and operations in Europe.
Looking Ahead
With a strong performance year-to-date and a positive trajectory in the private equity sector, Houlihan Lokey is positioned to leverage improving market conditions as it moves into the final quarter of its 2026 fiscal year.
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