10-Q · May 4, 2026
Cohen & Company Inc. reported strong Q1 2026 results with revenues of $57.9 million, marking a 101% increase year-over-year, while EPS surged to $0.65, a significant rise from $0.19 in Q1 2025. Management highlighted…
Earnings analysis · 10-Q
COHN earnings analysis
Filed August 3, 2026 · Our reading of the company's report
The latest report
Cohen & Company delivered a stronger Q2, with revenue up 20.0% sequentially to $69.487 million, operating margin rising to 17.9%, and diluted EPS increasing to $0.94. Growth was concentrated in Capital Markets,…
Read full summary
Cohen & Company delivered a stronger Q2, with revenue up 20.0% sequentially to $69.487 million, operating margin rising to 17.9%, and diluted EPS increasing to $0.94. Growth was concentrated in Capital Markets, particularly investment banking and trading, but $26.003 million of investment-banking revenue came from gains on non-cash instruments, underscoring earnings volatility. The balance sheet showed lower reported debt, yet operating cash flow was negative $27.286 million for the first half and asset-management AUM declined to $1.289 billion.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.94
- Operating margin
- 17.86%
What stood out
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Revenue accelerated sequentially and year over year
Q2 revenue was $69.487 million, up $11.585 million, or 20.0%, from $57.902 million in Q1 2026 and up $9.616 million, or 16%, from $59.871 million a year earlier.
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Operating margin expanded materially
Operating income rose to $12.409 million from $7.495 million in Q2 2025, lifting operating margin to 17.9% from 12.5%. This also improved from the 8.9% operating margin reported in Q1 2026.
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EPS more than doubled sequentially
Diluted EPS was $0.94, versus $0.42 in Q1 2026 and $0.81 in Q2 2025. Net income attributable to Cohen & Company increased to $3.574 million from $1.408 million year over year.
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Investment banking and trading drove growth
Capital-markets activity drove growth: investment-banking and new-issue revenue increased $9.926 million year over year to $54.059 million, while net trading increased $3.131 million, or 29%, to $13.888 million. Gestation repo trading contributed $6.137 million, up $1.679 million.
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Debt declined following note repayment
Cash and equivalents remained $40.093 million at June 30, 2026 despite a $16.669 million six-month decline. Reported debt fell to $28.800 million from $32.895 million at December 31, 2025 after repayment of the $4.500 million 2020 Note.
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Quarterly dividend maintained
The board declared a regular quarterly cash dividend of $0.25 per share on August 3, 2026, payable September 2, 2026.
What to watch
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Earnings depend heavily on mark-to-market gains
Q2 investment-banking/new-issue revenue of $54.059 million included $26.003 million of gains on financial instruments received as non-cash consideration, while cash and non-cash underwriting/advisory/origination revenue totaled only $28.056 million. Management states these often illiquid instruments can experience significant losses before liquidation.
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Operating cash flow reversed sharply negative
Operating cash flow was negative $27.286 million for the first six months of 2026, versus positive $6.978 million a year earlier, including $10.501 million of working-capital outflows. Cash declined $16.669 million to $40.093 million.
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Asset-management revenue and AUM contracted
Asset-management fees declined $0.331 million, or 15%, year over year to $1.837 million in Q2 due to the sale of CDO management contracts. AUM declined to $1.289 billion from $2.249 billion a year earlier and $1.433 billion at December 31, 2025.
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SPAC and affiliate losses offset operating gains
Equity-method affiliate losses widened to $3.038 million in Q2 from a $1.437 million loss a year earlier, led by a $2.968 million loss tied to Columbus Circle I/II SPACs. Principal transactions and other revenue also turned to a $0.297 million loss from $2.813 million of income.
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Near-term maturity and elevated funding costs
The $2.573 million 12.00% 2024 Note matures on August 31, 2026. Junior subordinated notes had $49.614 million of par outstanding and a combined yield to maturity of 18.88% as of June 30, 2026.
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No material risk-factor updates
Item 1A reports 0 material changes to the risk factors disclosed in the 2025 Form 10-K; therefore, the filing does not identify a newly added or materially revised risk factor.
Management's outlook
The 10-Q provides no quantitative revenue or EPS outlook and does not explicitly change company guidance. Management says investment-banking/new-issue revenue has been and is expected to continue to be volatile, and the parties currently expect the Elroy Air SPAC business combination to close in Q4 2026, subject to approvals and customary conditions.
Earlier filings 4
10-K · March 6, 2026
Cohen & Company reported a sharp top-line acceleration in 2025 (Q4 revenue $102.74M; FY 2025 revenue $275.6M) with improving operating leverage (Q4 operating margin 29.2%). The company still manages a meaningful…
10-Q · August 6, 2024
Cohen & Company reported Q2 revenue of $10.798M, down from $22.572M in Q2 2023, and an operating loss of $6.367M versus operating income of $6.999M a year ago. Diluted loss per share improved to $(1.47) from $(4.34) in…
10-Q · May 6, 2024
Cohen & Company reported Q1 revenues of $18,564,000, up from $8,824,000 a year earlier, driven by a large increase in new issue and advisory fees ($24,388,000 in Q1 2024 vs $900,000 in Q1 2023) and higher net trading.…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.