NYSE$HLI

Houlihan Lokey Inc. · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Houlihan Lokey's financial performance significantly improved in Q3 2021, marked by record revenues and earnings across all business segments.

Houlihan Lokey reported record financial results for the third quarter of fiscal year 2021, with revenues reaching $538 million and diluted EPS of $1.71. The company saw significant growth in all three business segments: Corporate Finance, Financial Restructuring, and Financial and Valuation Advisory. The Board of Directors also announced a dividend of $0.33 per share and an increase in the share repurchase program to $200 million.

  • Houlihan Lokey's Q3 2021 revenues reached $538 million, a significant increase from $334 million in Q3 2020.
  • Diluted EPS for Q3 2021 was $1.71, compared to $0.75 in Q3 2020.
  • The company's Corporate Finance, Financial Restructuring, and Financial and Valuation Advisory segments all experienced substantial revenue growth.
  • Houlihan Lokey increased its share repurchase program to $200 million and declared a dividend of $0.33 per share.

Headline financials

Total Revenue

$538M

Previous: $334M+61.3%
EPS (adj)

$1.77

Previous: $0.88+101.1%
CF Closed Transactions

121

Previous: 95+27.4%
CF Managing Directors

123

Previous: 122+0.8%
FR Closed Transactions

44

Previous: 28+57.1%
FR Managing Directors

47

Previous: 45+4.4%
FVA Fee Events

639

Previous: 530+20.6%
FVA Managing Directors

31

Previous: 32-3.1%
Capital Expenditures

-$11M

Previous: -$17M+35.2%
Free Cash Flow

$202M

No prior period
Net Income

$213M

Previous: $49M+335.5%
Operating Income

$158M

Previous: $68M+132.9%
Gross Profit

$189M

Previous: $120M+57.1%
Cash & Equivalents

$634M

No prior period
Total Assets

$2.12B

No prior period

Revenue & EPS history

Houlihan Lokey · Revenue · Quarterly

$538M

Q3 2021+61.3%vs Q3 2020
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

Houlihan Lokey · $538M total across 3 segments · Q3 2021

  • Corporate Finance
    $306M
  • Financial Restructuring
    $178M
  • Financial & Valuation Advisory
    $53.7M

Forward guidance

The company expects the COVID-19 pandemic to continue to have an effect on our business, revenues, and operating results.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2021

Historical avgQ3 2021

+1.2%

Avg return

Earnings day

+1.5%

Avg return

5 days after

+1.5%

Avg return

30 days after

63%

30 / 48 earnings

Positive

+12.2%

Q2 2022

Best reaction

-10.7%

Q2 2026

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026+4.3%+1.5%-5.6%
Q3 2026-6.6%-0.7%-3.0%
Q2 2026-10.7%-10.0%-12.0%
Q4 2025+6.8%+8.7%+7.9%
Q3 2025-2.3%-1.9%-5.8%
Q2 2025+3.6%+2.2%+13.4%
Q1 2025+1.7%-1.5%+4.5%
Q4 2024+0.3%+1.3%-2.7%
Q3 2024+5.9%+3.7%+6.2%
Q2 2024+1.5%+3.7%+9.4%
Q1 2024-8.3%-7.2%-5.5%
Q4 2023+6.1%+1.6%+7.1%
Q3 2023-0.2%+3.2%-2.9%
Q2 2023+9.3%+10.8%+21.5%
Q1 2023+2.5%+1.7%-3.0%
Q4 2022+2.9%+6.3%-2.5%
Q3 2022+7.4%+3.2%-7.8%
Q2 2022+12.2%+17.8%+11.9%
Q1 2022-5.1%-3.5%+1.0%
Q4 2021+5.3%+10.7%+18.1%
Q3 2021-3.7%-1.2%-5.6%
Q2 2021-0.4%-1.6%+3.3%
Q1 2021-1.6%-2.2%+6.1%
Q4 2020-2.1%-0.4%-8.4%
Q3 2020+7.4%+8.6%+2.0%
Q2 2020-0.4%+1.0%+2.0%
Q1 2020+6.2%+4.1%-3.4%
Q4 2019+1.9%-1.9%-4.2%
Q3 2019+1.9%+1.0%+5.0%
Q2 2019+0.5%+5.4%+4.6%
Q1 2019-6.6%-6.5%-10.0%
Q4 2018+5.3%+4.1%+7.6%
Q3 2018-2.8%-7.8%-9.5%
Q2 2018+4.5%+0.5%+6.0%
Q1 2018+5.1%+1.1%-2.0%
Q4 2017+6.3%+1.9%-1.0%
Q3 2017+5.1%+4.7%+3.5%
Q2 2017-2.8%-3.7%+19.5%
Q1 2016-0.5%+0.7%-4.4%
Q1 2017+2.3%+7.9%+4.9%
Q4 2014-2.4%-5.9%-2.3%
Q4 2016+0.1%
Q3 2015-1.1%
Q3 2016+0.4%
Q1 2015+0.5%
Q2 2015+0.5%
Q4 2015+0.5%
Q2 2016-0.8%

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