HLI earnings analysis
What we found in HLI's 10-K: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Houlihan Lokey reported fiscal year 2026 revenues of $2.62 billion, a 10% increase from last year, driven primarily by growth in Corporate Finance. However, they face challenges with declining revenue in Financial Restructuring and a bearish operating environment due to rising interest rates and geopolitical tensions.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Revenue Growth of 10%
- For FY 2026, total revenues reached $2.62 billion, a 10% increase from $2.39 billion in FY 2025.
- Strong Corporate Finance Performance
- Corporate Finance revenues surged by 14% to $1.74 billion from $1.53 billion, due to an increase in completed transactions.
- International Revenue Rise
- International revenues stood at $842 million for FY 2026, up from $687 million in FY 2025.
- Share Repurchase Program Continues
- The company repurchased 301,135 shares at an average price of $166.49, with remaining authorization of approximately $230 million.
- Stable Cash Position
- Cash and cash equivalents increased to $1.19 billion as of March 31, 2026, up from $971 million a year prior.
- Consistent Dividend Policy
- The board declared a quarterly cash dividend of $0.70 per share, indicating a commitment to return capital to shareholders.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Decreased Financial Restructuring Revenue
- Financial Restructuring revenue fell by 3% to $528 million due to unfavorable market conditions.
- Negative Free Cash Flow in Q1 2026
- The company reported negative free cash flow of -$145 million in Q1 2026, indicating potential liquidity issues.
- Increased Operating Expenses
- Operating expenses rose by 11% to $2.09 billion, driven by higher compensation and non-compensation expenses.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $6.22
- Operating margin
- 20.1%
- Segment
- Corporate Finance
- Segment
- Financial Restructuring
- Segment
- Financial and Valuation Advisory
What they said about what is next.
Annual outlook deferred to earnings press release / call.
The filing reads worse than the one before it.
What came before.
- 10-Q · February 3, 2026
- Houlihan Lokey reported Q3 revenue of $717,072,000 and diluted EPS of $1.70, beating prior-year quarter results and continuing margin strength. Operating income of $160,730,000 implies a ~22.4% operating margin, and the…
- 10-Q · August 5, 2025
- Houlihan Lokey reported revenue of $605.349M for the quarter ended June 30, 2025, up from $513.609M a year earlier, and GAAP diluted EPS improved to $1.42 from $1.30. Operating income fell to $89.8M (14.8% margin) from…
- 10-Q · February 4, 2025
- Houlihan Lokey reported a strong quarter: revenues rose to $634,428,000 and operating income increased to $136,102,000 for the three months ended December 31, 2024, driving diluted EPS of $1.39. Operating cash flow for…
- 10-Q · August 6, 2024
- Houlihan Lokey reported strong top-line and profitability growth for the quarter: revenues rose to $513,609,000 (up $97,780,000 or 23.5% YoY from $415,829,000) and operating income increased to $95,568,000 (up…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
Read the next one first.
We read every filing HLI makes the day it lands, and put it next to what the options market did about it. Members get both, and an alert when a filing arrives.
Cancel anytime · Month to month · Switch tiers whenever