Evercore Inc Q2 2025 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: James Yaro - Goldman Sachs Group Inc - Analyst : Good morning and thanks for taking the questions. I wanted to start with the Robey Warshaw transaction. Would you be able to provide any additional color around the business profile for Robey Warshaw, specifically, what aside from M&A advisory they offer today?

Question: James Yaro - Goldman Sachs Group Inc - Analyst : That's great. For my second question, just around M&A, the backdrop, you sound constructive. But perhaps you could talk about whether in the boardroom, you're still seeing impacts from tariffs weighing on potential transactions.

Question: Devin Ryan - Citizens JMP Securities LLC - Analyst : Good morning and congrats on the deal. Question just on kind of the diversification of the business. So obviously, you highlighted again in the second quarter and actually last 12 months, approximately 50% of revenues were from non-M&A sources. So obviously a terrific job just kind of REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. JULY 30, 2025 / 12:00PM, EVR.N - Q2 2025 Evercore Inc Earnings Call diversifying the business and seeing growth in some of those non-M&A businesses like private capital and restructuring and shareholder advisory but it's also been a tougher M&A market. So I'm just curious if we should think about this as kind of a new baseline or kind of where you want to be from a mix perspective or is that simply as M&A kind of reaccelerate here these other businesses, maybe don't keep up until the mix goes back down to 40% or something less than that? Thanks

Question: Alex Bond - KBW - Analyst : Hey, good morning, everyone. Thanks for thanks for taking the question. So it looks like industry secondary volumes reached a new high in the first half of the year. And you also mentioned that PCA revenues reached new highs in both 2Q and the first half. So just wondering if you can go into a bit more detail on the outlook for industry volumes in this area in the back half of the year? And then also maybe how you think about the -- how the competitive dynamics in the secondary space on the advisory side may evolve as broader momentum in this area continues.

Question: Alex Bond - KBW - Analyst : Understood. That's helpful. Thank you.

Question: Brendan O'Brien - Wolfe Research LLC - Analyst : Good morning and thanks for taking my questions. Just a two-parter here on expenses. I appreciate the potential top line synergies you mentioned earlier but I was hoping you can help us through the cost side of the equation and your ability to drive synergies by consolidating office space and tech infrastructure and the like. And then as we think about margins for the combined entity, Tim, I heard your comments on the comp ratio improvement but I just want to get a sense of your confidence in your ability to get your comp ratio back down to the sub-60% level once the cadence of hiring goes back to a more normal level?

Question: Brendan O'Brien - Wolfe Research LLC - Analyst : That's great. Thank you for taking my questions.

Question: James Yaro - Goldman Sachs Group Inc - Analyst : Follow up. I just wanted to ask a little bit about the Robey Warshaw financing, if there is any. Would you consider issuing stock either of the first two tranches. Could you talk a little bit about the consideration between for the second tranche stock versus cash? And then perhaps you could talk a little bit about the performance incentives to the extent you can associated with potentially increasing the consideration?

Question: James Yaro - Goldman Sachs Group Inc - Analyst : Extremely helpful. Thank you.