– Third Quarter Fiscal 2019 Revenues of $298 million–
–Third Quarter Fiscal 2019 Diluted EPS of $0.67–
–Adjusted Third Quarter Fiscal 2019 Diluted EPS of $0.77–
–Announces Dividend of $0.27 per Share for Fourth Quarter
Fiscal 2019 –
LOS ANGELES & NEW YORK--(BUSINESS WIRE)--
Houlihan Lokey, Inc. (NYSE:HLI) (“Houlihan Lokey” or the “Company”)
today reported financial results for its third fiscal quarter ended
December 31, 2018. For the third quarter, revenues increased 15% to $298
million, compared with $259 million for the third quarter ended
December 31, 2017.
Net income decreased 29% to $44 million, or $0.67 per diluted share, for
the third quarter ended December 31, 2018, compared with $62 million, or
$0.93 per diluted share, for the third quarter ended December 31, 2017.
Adjusted net income for the third quarter ended December 31, 2018 grew
11% to $51 million, or $0.77 per diluted share, compared with $46
million, or $0.69 per diluted share, for the third quarter ended
December 31, 2017.
"We had a strong third quarter, and we continue to see solid momentum
across all three product lines as we enter a new calendar year. The firm
received several important accolades this quarter, including being named
as the #1 M&A advisor for all U.S. transactions under $1 billion in 2018
and the #1 global financial restructuring advisor in 2018, both in terms
of number of transactions and value. We are also excited about reaching
the $1 billion milestone based on our latest twelve months' revenues
through the end of the third quarter. We achieved this milestone as a
result of a strong commitment by all of us at Houlihan Lokey to drive
shareholder value by investing in growth. I want to thank every employee
at HLI for their contribution to helping us achieve this milestone,"
stated Scott Beiser, Chief Executive Officer of Houlihan Lokey.
Selected Financial Data |
|
|
(Unaudited and in thousands, except per share data)
|
|
| |
| | U.S. GAAP |
| Three Months Ended
December 31, |
| Nine Months Ended
December 31, |
| 2018 |
| 2017 | | 2018 |
| 2017 |
| Revenues | | $298,013 | | | $258,937 | | | $793,007 | | | $718,611 | |
| Operating expenses: | | | | | | | | |
|
Employee compensation and benefits
| |
187,180
| | |
174,308
| | |
501,682
| | |
481,112
| |
|
Non-compensation expenses
| |
48,574
|
| |
30,144
|
| |
132,763
|
| |
82,815
|
|
|
Operating income
| |
62,259
| | |
54,485
| | |
158,562
| | |
154,684
| |
|
Other (income) expense, net
| |
(672
|
)
| |
(632
|
)
| |
(3,285
|
)
| |
(2,338
|
)
|
|
Income before provision for income taxes
| |
62,931
| | |
55,117
| | |
161,847
| | |
157,022
| |
|
Provision for income taxes
| |
18,974
|
| |
(6,466
|
)
| |
48,089
|
| |
22,838
|
|
| Net income attributable to Houlihan Lokey, Inc. | | $43,957 | | | $61,583 | | | $113,758 | | | $134,184 | |
| | | | | | | |
|
|
Diluted net income per share of common stock
| | $0.67 | | | $0.93 | | | $1.72 | | | $2.02 | |
Revenues
For the third quarter ended December 31, 2018, revenues increased to
$298 million, compared with $259 million for the third quarter ended
December 31, 2017. For the quarter, Corporate Finance ("CF") revenues
increased 43%, Financial Restructuring ("FR") revenues decreased 20%,
and Financial Advisory Services ("FAS") revenues increased 9% when
compared with the third quarter ended December 31, 2017. Revenues for
the quarter ended December 31, 2018 included $8.9 million in expense
reimbursements as a result of the adoption of ASC 606 effective April 1,
2018 that now clarifies that reimbursements of out-of-pocket expenses
should be included in revenues, whereas prior to adoption we had been
reporting non-compensation expenses net of such reimbursements.
Expenses
The Company’s employee compensation and benefits, non-compensation
expenses, and provision for income taxes during the periods presented
and described below are on a GAAP and an adjusted basis, as appropriate.
(Unaudited and in thousands)
|
|
| Three Months Ended December 31, |
| | U.S. GAAP |
| Adjusted (Non-GAAP)* |
| | 2018 |
| 2017 | | 2018 |
| 2017 |
| Expenses: | | | | | | | | |
|
Employee compensation and benefits
| | $187,180 | | | $174,308 | | | $181,042 | | | $164,423 | |
| % of Revenues | | 62.8 | % | | 67.3 | % | | 60.7 | % | | 63.5 | % |
|
Non-compensation expenses
| | $48,574 | | | $30,144 | | | $47,024 | | | $28,869 | |
| % of Revenues | | 16.3 | % | | 11.6 | % | | 15.8 | % | | 11.1 | % |
|
Provision for Income Taxes
| | $18,974 | | |
($6,466 |
)
| | $19,819 | | | $20,697 | |
| % of Pre-Tax Income | | 30.2 | % | | (11.7 | )% | | 28.1 | % | | 31.2 | % |
| | | | | | | | | | | |
|
(Unaudited and in thousands)
|
| | Nine Months Ended December 31, |
| | U.S. GAAP | | Adjusted (Non-GAAP)* |
| | 2018 | | 2017 | | 2018 |
| 2017 |
| Expenses: | | | | | | | | |
|
Employee compensation and benefits
| | $501,682 | | | $481,112 | | | $483,266 | | | $458,615 | |
| % of Revenues | | 63.3 | % | | 67.0 | % | | 60.9 | % | | 63.8 | % |
|
Non-compensation expenses
| | $132,763 | |
| | $82,815 | | | $125,256 | |
| | $81,540 | |
| % of Revenues | | 16.7 | % | | 11.5 | % | | 15.8 | % | | 11.3 | % |
|
Provision for Income Taxes
| | $48,089 | | | $22,838 | | | $54,073 | | | $63,605 | |
| % of Pre-Tax Income | | 29.7 | % | | 14.5 | % | | 28.9 | % | | 35.5 | % |
*Note: The adjusted figures represent non-GAAP information. See
“Non-GAAP Financial Measures” and the tables at the end of this release
for an explanation of the adjustments and reconciliations to the
comparable GAAP numbers.
Employee compensation and benefits expenses were $187 million for the
third quarter ended December 31, 2018, compared with $174 million for
the third quarter ended December 31, 2017. The increase in employee
compensation and benefits expenses was primarily a result of higher fee
revenues when compared with the same quarter last year.
Adjusted employee compensation and benefits expenses were $181 million
for the third quarter ended December 31, 2018, compared with $164
million for the third quarter ended December 31, 2017. The increase in
adjusted employee compensation and benefits expenses was primarily a
result of an increase in fee revenues for the quarter when compared with
the same quarter last year. This resulted in an adjusted compensation
ratio of 60.7% for the third quarter ended December 31, 2018, versus
63.5% for the third quarter ended December 31, 2017.
Non-compensation expenses were $49 million for the third quarter ended
December 31, 2018 and $30 million for the third quarter ended
December 31, 2017. The increase in non-compensation expenses was
primarily driven by (i) the recognition of reimbursements of
out-of-pocket expenses as revenues rather than reporting
non-compensation expense net of such amounts as was the case in the
prior year period, (ii) higher rent expense, (iii) higher professional
fees, and (iv) general increases in travel, meals, and entertainment and
other operating expenses.
Adjusted non-compensation expenses were $47 million for the third
quarter ended December 31, 2018 and $29 million for the third quarter
ended December 31, 2017. The increase in adjusted non-compensation
expenses was primarily driven by (i) the recognition of reimbursements
of out-of-pocket expenses as revenues rather than reporting
non-compensation expense net of such amounts as was the case in the
prior year period, (ii) higher rent expense, (iii) higher professional
fees, and (iv) general increases in travel, meals, and entertainment and
other operating expenses.
The provision for income taxes was $19 million, representing an
effective tax rate of 30.2% for the third quarter ended December 31,
2018, compared with ($6) million, representing an effective tax rate of
(11.7)% for the third quarter ended December 31, 2017. The increase in
the Company's tax rate was primarily a result of the Tax Cuts and Jobs
Act (the "Tax Act") that was enacted into law in December 2017, as well
as the adoption of ASU 2016-09, Compensation - Stock Compensation, which
resulted in a decrease to the provision for income taxes for the quarter
ended December 31, 2017 due to the vesting of share awards that were
accelerated during the quarter.
The adjusted provision for income taxes was $20 million, representing an
adjusted effective tax rate of 28.1% for the third quarter ended
December 31, 2018, compared with $21 million, representing an adjusted
effective tax rate of 31.2% for the third quarter ended December 31,
2017. The decrease in the adjusted effective tax rate was a result of a
lower statutory federal tax rate per the Tax Act.
Segment Reporting for the Third Quarter
Corporate Finance revenues increased 43% to $184 million for the third
quarter ended December 31, 2018, compared with $129 million in the
quarter ended December 31, 2017. Revenues increased primarily as a
result of a significant increase in the number of transactions that
closed during the quarter compared to the same period last year, coupled
with the recognition of reimbursements of out-of-pocket expenses as
revenues. CF closed 89 transactions in the third quarter ended
December 31, 2018, versus 54 transactions in the third quarter ended
December 31, 2017. CF's average transaction fee for the quarter was
slightly lower when compared with the same period last year.
(Unaudited and $ in thousands)
|
|
| |
| |
| | Three Months Ended
December 31, | | Nine Months Ended
December 31, |
| | 2018 |
| 2017 | | 2018 |
| 2017 |
| Corporate Finance | | | | | | | | |
|
Revenues
| | $183,965 | | | $129,003 | | | $462,893 | | | $398,822 |
|
# of MDs
| |
108
| | |
95
| | |
108
| | |
95
|
|
# of Closed Transactions
| |
89
| | |
54
| | |
220
| | |
170
|
For the third quarter ended December 31, 2018, Financial Restructuring
revenues decreased 20% to $75 million, compared with $94 million in the
third quarter ended December 31, 2017. FR closed 21 transactions in the
third quarter ended December 31, 2018, versus 19 transactions in the
third quarter ended December 31, 2017, but FR's average transaction fee
for the quarter was lower when compared with the same period last year.
(Unaudited and $ in thousands)
|
| |
| |
| | Three Months Ended
December 31, | | Nine Months Ended
December 31, |
| | 2018 |
| 2017 | | 2018 |
| 2017 |
| Financial Restructuring | | | | | | | | |
|
Revenues
| | $75,013 | | $94,160 | | $218,173 | | $216,470 |
|
# of MDs
| |
44
| |
42
| |
44
| |
42
|
|
# of Closed Transactions
| |
21
| |
19
| |
54
| |
51
|
For the third quarter ended December 31, 2018, Financial Advisory
Services revenues increased 9% to $39 million, compared with $36 million
in the third quarter ended December 31, 2017. The growth in revenues was
primarily a result of the recognition of reimbursements of out-of-pocket
expenses as revenues.
(Unaudited and $ in thousands)
| |
| |
| Three Months Ended
December 31, | | Nine Months Ended
December 31, |
| 2018 |
| 2017 | | 2018 |
| 2017 |
| Financial Advisory Services | | | | | | | |
|
Revenues
| $39,035 | | $35,774 | | $111,941 | | $103,319 |
|
# of MDs
|
35
| |
37
| |
35
| |
37
|
|
# of Fee Events1 |
502
| |
537
| |
1,046
| |
1,071
|
|
1.
|
|
A Fee Event includes any engagement that involves revenue activity
during the measurement period based on a revenue minimum of $1,000
(one thousand dollars).
|
Balance Sheet and Capital Allocation
The Board of Directors of the Company declared a regular quarterly cash
dividend of $0.27 per share of Class A and Class B common stock. The
dividend will be payable on March 15, 2019 to stockholders of record as
of the close of business on March 4, 2019.
For the third quarter ended December 31, 2018, the Company repurchased
370,728 shares of its common stock in open market purchases at an
average price of $40.33 per share, for a total cost of $15 million.
As of December 31, 2018, the Company had $297 million of unrestricted
cash and cash equivalents and investment securities, and loans payable
and other liabilities aggregating $32 million.
Investor Conference Call and Webcast
The Company will host a conference call and live webcast at 5:00 p.m.
Eastern Time on Tuesday, January 29, 2019, to discuss its third quarter
fiscal 2019 results. The number to call is 1-800-289-0438 (domestic) or
1-323-994-2082 (international). A live webcast will be available in the
Investor Relations section of the Company’s website. A replay of the
conference call will be available from January 29, 2019 through February
5, 2019, by dialing 1-844-512-2921 (domestic) or 1-412-317-6671
(international) and entering the passcode 7993332#. A replay of the
webcast will be archived and available on the Company’s website.
Forward-Looking Statements
This press release contains forward-looking statements within the
meaning of the federal securities laws. You can identify these
statements by our use of the words “assumes,” “believes,” “estimates,”
“expects,” “guidance,” “intends,” “plans,” “projects,” and similar
expressions that do not relate to historical matters. You should
exercise caution in interpreting and relying on forward-looking
statements because they involve known and unknown risks, uncertainties,
and other factors which are, in some cases, beyond the Company’s control
and could materially affect actual results, performance, or
achievements. For a further description of such factors, you should read
the Company’s filings with the Securities and Exchange Commission. The
Company does not undertake any obligation to update or revise any
forward-looking statement, whether as a result of new information,
future events, or otherwise.
Non-GAAP Financial Measures
Adjusted net income, total and on a per share basis, adjusted operating
expenses and adjusted provision for income taxes are presented and
discussed in this earnings press release and are non-GAAP measures that
management believes, when presented together with comparable GAAP
measures, are useful to investors in understanding the Company’s
operating results. Adjusted net income, adjusted operating expenses and
adjusted provision for income taxes remove the significant accounting
impact of one-time or non-recurring charges associated with the
Company’s one-time/non-recurring matters, as set forth in the tables at
the end of this release.
Adjusted net income as calculated by the Company is not necessarily
comparable to similarly titled measures reported by other companies.
Additionally, adjusted net income is not a measurement of financial
performance or liquidity under GAAP and should not be considered as an
alternative to the Company’s financial information determined under
GAAP. For a description of the Company’s use of adjusted net income and
a reconciliation with net income, as well as a reconciliation of the
specific line items in adjusted net income, see the section of this
press release titled “Reconciliation of GAAP to Adjusted Financial
Information.” Please refer to our financial statements, prepared in
accordance with GAAP, for purposes of evaluating our financial
condition, results of operations, and cash flows.
About Houlihan Lokey
Houlihan Lokey (NYSE:HLI) is a global investment bank with expertise in
mergers and acquisitions, capital markets, financial restructuring,
valuation, and strategic consulting. The firm serves corporations,
institutions, and governments worldwide with offices in the United
States, Europe, the Middle East, and the Asia-Pacific region.
Independent advice and intellectual rigor are hallmarks of the firm's
commitment to client success across its advisory services. Houlihan
Lokey is ranked as the No. 1 M&A advisor for all U.S. transactions in
number of transactions, the No. 1 global restructuring advisor in both
number of transactions and value, and the No. 1 global M&A fairness
opinion advisor in number of transactions over the past 20 years,
according to Thomson Reuters. For more information, please visit www.HL.com.
Appendix
Consolidated Balance Sheet (Unaudited)
Consolidated Statement of
Income (Unaudited)
Reconciliation of GAAP to Adjusted Financial
Information (Unaudited)
Houlihan Lokey, Inc. Consolidated Balance Sheet
(In thousands, except share data and par value)
|
|
| |
| |
| | December 31,
2018 | | March 31,
2018 |
| |
(unaudited)
| |
(audited)
|
| Assets: | | | | |
|
Cash and cash equivalents
| | $256,401 | | | $206,723 | |
|
Restricted cash
| |
368
| | |
93,500
| |
|
Investment securities
| |
40,960
| | |
209,319
| |
|
Accounts receivable, net of allowance for doubtful accounts
| |
65,365
| | |
77,259
| |
|
Unbilled work in process
| |
30,660
| | |
45,862
| |
|
Receivable from affiliates
| |
7,027
| | |
8,732
| |
|
Property and equipment, net of accumulated depreciation
| |
30,865
| | |
32,146
| |
| Goodwill and other intangibles, net of accumulated amortization
| |
795,251
| | |
723,310
| |
|
Other assets
| |
33,273
|
| |
21,990
|
|
| Total assets | | 1,260,170 |
| | 1,418,841 |
|
| Liabilities and Stockholders' Equity | | | | |
| Liabilities: | | | | |
|
Accrued salaries and bonuses
| |
291,073
| | |
377,901
| |
|
Accounts payable and accrued expenses
| |
45,159
| | |
40,772
| |
|
Deferred income
| |
28,522
| | |
3,620
| |
|
Income taxes payable
| |
3,457
| | |
9,967
| |
|
Deferred income taxes
| |
9,343
| | |
22,180
| |
|
Forward purchase liability
| |
—
| | |
93,500
| |
|
Loans payable to former shareholders
| |
2,342
| | |
3,036
| |
|
Loan payable to non-affiliate
| |
6,712
| | |
8,825
| |
|
Other liabilities
| |
22,895
|
| |
6,227
|
|
| Total liabilities | | 409,503 |
| | 566,028 |
|
| | | |
|
| Stockholders' equity: | | | | |
Class A common stock, $0.001 par value. Authorized 1,000,000,000
shares; issued and
outstanding 34,510,793 and 30,604,405
shares as of December 31, and March 31, 2018,
respectively
| |
35
| | |
31
| |
Class B common stock, $0.001 par value. Authorized 1,000,000,000
shares; issued and
outstanding 30,911,808 and 37,187,932
shares as of December 31, and March 31, 2018,
respectively
| |
31
| | |
37
| |
Treasury stock, at cost; 0 and 2,000,000 shares as of December 31,
and March 31, 2018,
respectively
| |
—
| | |
(93,500
|
)
|
|
Additional paid-in capital
| |
635,005
| | |
753,077
| |
|
Retained earnings
| |
248,590
| | |
207,124
| |
|
Accumulated other comprehensive loss
| |
(32,994
|
)
| |
(13,956
|
)
|
| Total stockholders' equity | | 850,667 |
| | 852,813 |
|
| Total liabilities and stockholders' equity | | 1,260,170 |
| | 1,418,841 |
|
Houlihan Lokey, Inc. Consolidated Statement of Income
(Unaudited and in thousands, except share and per share data)
|
|
| |
| |
| | Three Months Ended
December 31, | | Nine Months Ended
December 31, |
| | 2018 |
| 2017 | | 2018 |
| 2017 |
| Revenues | | $298,013 | | | $258,937 | | | $793,007 | | | $718,611 | |
| | | | | | | |
|
| Operating expenses: | | | | | | | | |
|
Employee compensation and benefits
| |
187,180
| | |
174,308
| | |
501,682
| | |
481,112
| |
|
Travel, meals, and entertainment
| |
12,991
| | |
8,034
| | |
32,689
| | |
19,941
| |
|
Rent
| |
9,987
| | |
7,159
| | |
28,612
| | |
21,308
| |
|
Depreciation and amortization
| |
3,635
| | |
1,971
| | |
10,809
| | |
6,120
| |
|
Information technology and communications
| |
5,775
| | |
4,424
| | |
16,073
| | |
13,666
| |
|
Professional fees
| |
6,087
| | |
4,484
| | |
18,148
| | |
10,242
| |
|
Other operating expenses, net
| |
10,099
|
| |
4,072
|
| |
26,432
|
| |
11,538
|
|
|
Total operating expenses
| |
235,754
| | |
204,452
| | |
634,445
| | |
563,927
| |
| | | | | | | |
|
|
Operating income
| |
62,259
| | |
54,485
| | |
158,562
| | |
154,684
| |
| | | | | | | |
|
|
Other (income) expense, net
| |
(672
|
)
| |
(632
|
)
| |
(3,285
|
)
| |
(2,338
|
)
|
|
Income before provision for income taxes
| |
62,931
| | |
55,117
| | |
161,847
| | |
157,022
| |
| | | | | | | |
|
|
Provision for income taxes
| |
18,974
|
| |
(6,466
|
)
| |
48,089
|
| |
22,838
|
|
| Net income attributable to Houlihan Lokey, Inc. | | $43,957 | | | $61,583 | | | $113,758 | | | $134,184 | |
| | | | | | | |
|
|
Weighted average shares of common stock outstanding:
| | | | | | | | |
|
Basic
| |
61,972,027
| | |
62,552,777
| | |
62,399,221
| | |
62,338,102
| |
|
Fully Diluted
| |
65,758,679
| | |
66,122,939
| | |
65,985,660
| | |
66,467,378
| |
|
Net income per share of common stock:
| | | | | | | | |
|
Basic
| | $0.71 | | | $0.98 | | | $1.82 | | | $2.15 | |
|
Fully Diluted
| | $0.67 | | | $0.93 | | | $1.72 | | | $2.02 | |
Houlihan Lokey, Inc. Reconciliation of GAAP to Adjusted Financial Information
(Unaudited and in thousands, except per share data)
|
|
| |
| |
| | Three Months Ended
December 31, | | Nine Months Ended
December 31, |
| | 2018 |
| 2017 | | 2018 |
| 2017 |
| Revenues | | $298,013 | | | $258,937 | | | $793,007 | | | $718,611 | |
| | | | | | | |
|
| Employee Compensation and Benefits |
|
|
|
| |
|
|
|
|
Employee Compensation and Benefits (GAAP)
| | $187,180 | | | $174,308 | | | $501,682 | | | $481,112 | |
|
Less/Plus: Adjustments1 | |
(6,138
|
)
| |
(9,885
|
)
| |
(18,417
|
)
| |
(22,497
|
)
|
|
Employee Compensation and Benefits (Adjusted)
| |
181,042
| | |
164,423
| | |
483,266
| | |
458,615
| |
| | | | | | | |
|
| Non-Compensation Expenses |
|
|
|
|
|
|
|
|
|
Non-Compensation Expenses (GAAP)
| | $48,574 | | | $30,144 | | | $132,763 | | | $82,815 | |
|
Less/Plus: Adjustments2 | |
(1,550
|
)
| |
(1,275
|
)
| |
(7,507
|
)
| |
(1,275
|
)
|
|
Non-Compensation Expenses (Adjusted)
| |
47,024
| | |
28,869
| | |
125,256
| | |
81,540
| |
| | | | | | | |
|
| Operating Income |
|
|
|
| |
|
|
|
|
Operating Income (GAAP)
| | $62,259 | | | $54,485 | | | $158,562 | | | $154,684 | |
|
Less/Plus: Adjustments3 | |
7,688
|
| |
11,160
|
| |
25,923
|
| |
23,772
|
|
|
Operating Income (Adjusted)
| |
69,947
| | |
65,645
| | |
184,485
| | |
178,456
| |
| | | | | | | |
|
| Other (Income) Expenses, net |
|
|
|
| |
|
|
|
|
Other (Income) Expenses, net (GAAP)
| |
($672 |
)
| |
($632 |
)
| |
($3,285 |
)
| |
($2,338 |
)
|
|
Less/Plus: Adjustments4 | |
—
|
| |
—
|
| |
719
|
| |
1,552
|
|
|
Other (Income) Expenses, net (Adjusted)
| |
(672
|
)
| |
(632
|
)
| |
(2,566
|
)
| |
(786
|
)
|
| | | | | | | |
|
| Provision for Income Taxes |
|
|
|
| |
|
|
|
|
Provision for Income Taxes (GAAP)
| | $18,974 | | |
($6,466 |
)
| | $48,089 | | | $22,838 | |
|
Less/Plus: Adjustments5 | |
845
|
| |
27,163
|
| |
5,984
|
| |
40,767
|
|
|
Provision for Income Taxes (Adjusted)
| |
19,819
| | |
20,697
| | |
54,073
| | |
63,605
| |
| | | | | | | |
|
| Net Income |
|
|
|
| |
|
|
|
|
Net Income (GAAP)
| | $43,957 | | | $61,583 | | | $113,758 | | | $134,184 | |
|
Less/Plus: Adjustments6 | |
6,842
|
| |
(16,003
|
)
| |
19,221
|
| |
(18,547
|
)
|
|
Net Income (Adjusted)
| |
50,799
| | |
45,580
| | |
132,979
| | |
115,637
| |
| |
| |
| |
| |
|
|
Diluted adjusted net income per share of common stock
| | $0.77 | | | $0.69 | | | $2.02 | | | $1.74 | |
____________________________
|
|
Note: Figures may not sum due to rounding.
|
|
1.
|
|
Consists of pre-IPO grant vesting, including grants re-awarded
following forfeiture, if any.
|
|
2.
| |
Includes costs associated with Houlihan Lokey's secondary offering
of stock ($0 in Q3 FY19; ($498) in YTD FY19; ($1,275) in Q3 FY18 and
YTD FY18), completed acquisitions ($0 in Q3 FY19; ($1,929) in YTD
FY19), acquisition-related amortization (($1,550) in Q3 FY19;
($4,460) in YTD FY19), and HL Finance setup costs ($0 in Q3 FY19 and
($619) in YTD FY19).
|
|
3.
| |
Includes adjustments from (1) and (2) above.
|
|
4.
| |
Includes Australia related transaction expenses ($166 in YTD FY18)
and the reduction of an earnout liability ($719 in YTD FY19; $1,386
in YTD FY18).
|
|
5.
| |
Includes adjustments relating to the following: (i) the tax impact
of the Tax Act and other discrete items (($1,313) in Q3 FY19 and YTD
FY19; $14,230 in Q3 FY18 and YTD FY18), (ii) the tax impact as a
result of the adoption of ASU No. 2016-09, Compensation - Stock
Compensation due to the acceleration of vesting of share awards
($9,448 in Q3 FY18 and $18,853 in YTD FY18), and (iii) the tax
impact, using the adjusted effective tax rate, of the adjustments
described in footnotes 1, 2, and 4 ($2,158 in Q3 FY19; $3,485 in Q3
FY18; $7,297 in YTD FY19; $7,684 in YTD FY18).
|
|
6.
| |
Consists of the adjustments described above net of the tax impact of
described adjustments.
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20190129005838/en/
Investor Relations
212.331.8225
IR@HL.com
OR
Public
Relations
212.331.8223
PR@HL.com
Source: Houlihan Lokey, Inc.