Moelis Third-Quarter Revenue Growth Accelerates

The Tip Desk · November 7, 2026 · 3 min read

Third-quarter 2026 Adjusted revenue reached $425.6 million, up 13% from a year earlier, driven by higher average fees per completed transaction. GAAP net income was $0.74 per diluted share.

Moelis & Company (MC), a global independent investment bank, reported third-quarter GAAP and Adjusted revenues of $425.6 million, up 13% from $376.0 million a year earlier on an Adjusted basis and 19% from $356.9 million on a GAAP basis.

The year-over-year pace quickened from the two preceding quarters. Second-quarter revenue was $409.4 million, up 12% from a year earlier; first-quarter revenue was $319.8 million, up 4%. The company said the increase in revenues in both the third quarter and the first nine months was attributable to an increase in average fees earned per completed transaction.

GAAP net income was $66.6 million, or $0.74 a share diluted, compared with $60.1 million, or $0.67 a share, a year earlier. Adjusted net income was $64.7 million, or $0.75 a share, versus $58.9 million, or $0.68 a share. Adjusted pre-tax margin was 21.4%, down from 22.2% in the prior-year quarter.

GAAP compensation and benefits were $282.4 million, or 66.4% of revenue, versus $255.4 million, or 71.6% of revenue, a year earlier. Adjusted compensation was $280.0 million, or 65.8% of revenue. Non-compensation expenses were $61.3 million, or 14.4% of revenue, versus $53.2 million GAAP, or 14.9% of revenue. The company cited occupancy and depreciation related to new office space, communication, technology and information services including investments related to AI, and increased business and client activity, including higher deal-related travel and client conferences.

GAAP other income was $8.8 million, versus $34.0 million a year earlier. Adjusted other income was $6.8 million, versus $8.8 million. The year-ago period included a $19.1 million gain on the sale of 5.0 million shares of MA Financial Group Limited; the company said that gain was included within Adjusted revenues and did not impact GAAP or Adjusted earnings per share.

For the first nine months of 2026, GAAP and Adjusted revenues were a record $1,154.7 million, up 10% from $1,048.0 million on an Adjusted basis and 12% from $1,028.9 million on a GAAP basis. GAAP net income was $164.0 million, or $1.83 a share diluted. Adjusted net income was $161.9 million, or $1.87 a share. GAAP and Adjusted net income in the first nine months include net tax benefits of approximately $0.11 a share related to the settlement of share-based awards, compared with approximately $0.28 a share in the prior-year periods. Adjusted pre-tax margin for the nine months was 18.6%, versus 18.2% a year earlier.

Chief Executive Officer and Co-Founder Navid Mahmoodzadegan said the firm reported record revenues for the first nine months, reflecting continued momentum across the business and the strength of its expanded platform, and that with a record pipeline, strong levels of client activity, and continued investments in talent, the firm is well positioned to capitalize on growth opportunities.

Thirteen Managing Directors had joined year-to-date, focused on Private Capital Advisory, Debt Capital Markets and Private Credit, Energy, Chemicals, Healthcare, Capital Structure Advisory, Sponsors, Infrastructure, and Family Office coverage. Eleven additional Managing Directors are committed to join in 2026 and 2027, including three in Private Capital Advisory, four in Technology, Media & Telecommunications, two in Europe focused on Industrials, and two in Financial Institutions.

As of September 30, 2026, cash and short-term investments were $658.7 million and the firm had no funded debt. During the third quarter it repurchased 0.3 million shares for $18.7 million. For the first nine months it repurchased 2.6 million shares for $159.5 million. The board declared a regular quarterly dividend of $0.65 a share, payable December 17, 2026, to holders of record on November 16, 2026. Including that dividend, the company said it will have returned $317.6 million to shareholders with respect to the first nine months of 2026.