Houlihan Lokey Q4 revenue falls, misses estimates, dividend up 17%

Houlihan Lokey

06/05/2026 21:51

Overview

U.S. investment bank's fiscal Q4 revenue declined yr/yr and missed analyst expectations

Adjusted net income for fiscal Q4 missed analyst estimates

Company raised quarterly dividend by 16.7% to $0.70 per share

Outlook

Houlihan Lokey says there is market uncertainty as it enters fiscal 2027

Result Drivers

CORPORATE FINANCE TRANSACTIONS - Q4 Corporate Finance revenue rose 5% yr/yr, driven by an increase in the number of closed transactions, though partially offset by a lower average transaction fee due to transaction mix

RESTRUCTURING REVENUE DROP - Q4 Financial Restructuring revenue fell 33% yr/yr, mainly due to fewer closed transactions and a lower average transaction fee, both attributed to transaction mix and timing

VALUATION ADVISORY GROWTH - Q4 Financial and Valuation Advisory revenue increased 3% yr/yr, attributed to more fee events driven by improvements in the M&A markets

Company press release: ID:nBw1jNNa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Miss
$635.64 mln
$705.56 mln (8 Analysts)
Q4 EPS
$1.47
Q4 Adjusted Net Income
Miss
$111 mln
$131.32 mln (6 Analysts)
Q4 Net Income
$98.31 mln
Q4 EBIT
$125.15 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "strong buy" or "buy", 5 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the investment banking & brokerage services peer group is "buy."

Wall Street's median 12-month price target for Houlihan Lokey Inc is $177.00, about 17.9% above its May 5 closing price of $150.17

The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 20 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)