PJT Partners Reverses Two-Quarter Revenue Growth

The Tip Desk · November 4, 2026 · 3 min read

Third-quarter revenues were $385.1 million as GAAP pretax income fell to $68.8 million and diluted EPS to $1.15.

PJT Partners Inc. (PJT), the global advisory-focused investment bank, reported third-quarter revenues of $385.1 million, down 14% from a year earlier, reversing the 20% year-over-year increase in the second quarter and the 29% increase in the first quarter.

GAAP pretax income was $68.8 million, down 24% from a year ago, and adjusted pretax income was $72.4 million, down 23%. GAAP diluted earnings were $1.15 a share and adjusted EPS was $1.41, down 22% and 24%, respectively.

The company attributed the revenue decline to decreases in strategic advisory, restructuring, and private capital solutions revenues, partially offset by an increase in primary fundraising revenues.

GAAP pretax margin compressed to 17.9% of revenues from 20.3% a year earlier; adjusted pretax margin fell to 18.8% from 21.0%.

GAAP compensation and benefits expense was $258.4 million, or 67.1% of revenues, compared with $303.3 million, or 67.8%, a year earlier. Adjusted compensation was $256.1 million, or 66.5%, versus $301.7 million, or 67.5%. The company said the decrease was driven by lower revenues and a lower accrual rate.

GAAP non-compensation expense rose to $57.9 million, or 15.0% of revenues, from $52.8 million, or 11.8%, a year earlier. Adjusted non-compensation expense was $56.7 million, or 14.7%, versus $51.4 million, or 11.5%. The company cited continued investments in technology infrastructure and higher market-data expense, expansion of its global office footprint and associated build-out, and elevated business-related activity and higher travel costs.

For the nine months ended September 30, 2026, revenues were a record $1.29 billion, up 9% from a year ago. GAAP pretax income was $251 million and adjusted pretax income was $262 million, both up 14%. GAAP diluted EPS was $5.02 and adjusted EPS was $4.92, up 7% and 11%, respectively. The company said the nine-month revenue increase was due to increases in strategic advisory, restructuring, and private capital solutions revenues.

Chairman and Chief Executive Officer Paul J. Taubman said the firm continues to invest to enhance its footprint, capabilities, and brand, and that results continue to reflect that investment as it delivered record revenues, pretax income, and EPS for the nine-month period. He said the firm remains highly confident in its future growth prospects.

As of September 30, 2026, cash, cash equivalents and short-term investments were a record $766 million, with no funded debt, up from a record $535 million at June 30, 2026.

In the third quarter the company repurchased 0.2 million shares and share equivalents at an average price of $156.74. Through September 30, 2026 it had repurchased 2.3 million shares and share equivalents at an average of $154.07, leaving a remaining repurchase authorization of $739 million.

The board declared a quarterly dividend of $0.25 a share of Class A common stock, payable December 16, 2026. The company intends to exchange 75 thousand Partnership Units for cash at a price set by the November 5, 2026 volume-weighted average price of Class A common stock, subject to board approval.