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HLI

Houlihan Lokey, Inc.

HLI

Houlihan Lokey, Inc. • NYSE
$175.40 ▲ 0.13% (+0.23)
Market Cap $12.29 B
52w High $211.78
52w Low $137.99
Dividend Yield 2.34%
P/E 28.34
Volume 133.89K
Outstanding Shares 70.07M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q2-2026 $659.452M ▲ $69.631M ▼ $111.781M ▲ 16.951% ▲ $1.67 ▲ $179.284M ▲
Q1-2026 $605.349M ▼ $143.26M ▲ $97.533M ▼ 16.112% ▼ $1.47 ▼ $144.233M ▼
Q4-2025 $666.422M ▲ $117.367M ▲ $121.92M ▲ 18.295% ▲ $1.84 ▲ $175.308M ▲
Q3-2025 $634.428M ▲ $108.153M ▲ $95.302M ▲ 15.022% ▼ $1.45 ▲ $158.461M ▲
Q2-2025 $574.957M $90.689M $93.549M 16.271% $1.42 $145.151M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q2-2026 $1.08B ▲ $3.793B ▲ $1.546B ▲ $2.247B ▲
Q1-2026 $837.126M ▼ $3.518B ▼ $1.34B ▼ $2.178B ▲
Q4-2025 $1.138B ▲ $3.82B ▲ $1.645B ▲ $2.175B ▲
Q3-2025 $874.799M ▲ $3.476B ▲ $1.395B ▲ $2.081B ▲
Q2-2025 $721.837M $3.213B $1.256B $1.957B

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q2-2026 $111.781M ▲ $325.046M ▲ $-114.278M ▼ $-72.137M ▲ $130.002M ▲ $322.808M ▲
Q1-2026 $97.533M ▼ $-131.63M ▼ $109.648M ▲ $-196.628M ▼ $-177.183M ▼ $-144.815M ▼
Q4-2025 $121.92M ▲ $358.384M ▲ $-106.349M ▼ $-91.085M ▼ $174.787M ▲ $343.903M ▲
Q3-2025 $95.302M ▲ $265.514M ▼ $-87.398M ▼ $-37.359M ▲ $107.93M ▼ $261.664M ▼
Q2-2025 $93.549M $289.222M $-30.879M $-39.127M $242.546M $278.726M

Revenue by Products

Product Q3-2025Q4-2025Q1-2026Q2-2026
Corporate Finance
Corporate Finance
 $420.00M ▲$410.00M ▼$400.00M ▼$440.00M ▲
Financial Advisory Services
Financial Advisory Services
 $80.00M ▲$90.00M ▲$80.00M ▼$90.00M ▲
Financial Restructuring
Financial Restructuring
 $130.00M ▲$160.00M ▲$130.00M ▼$130.00M ▲

Five-Year Company Overview

Income Statement

Income Statement Revenue and earnings have grown nicely over the past several years, even though there was a noticeable slowdown around 2022 as deal activity cooled. Since then, both revenue and profit per share have bounced back strongly, showing that the firm benefits when capital markets are active but can recover quickly after weaker periods. Profitability is healthy: a good share of each dollar of revenue turns into operating income and net income, which suggests solid pricing power and disciplined cost control for an advisory-focused business. Overall, the income statement shows a cyclical but upward trend, with the business scaling well as volumes improve.

Balance Sheet

Balance Sheet The balance sheet looks conservative and steady. Total assets and shareholders’ equity have climbed over time, indicating the firm is building its capital base rather than stretching it. Cash levels are high relative to the overall size of the firm, providing a cushion against market downturns and flexibility for investment or acquisitions. Debt remains modest and has grown only gradually, which keeps financial risk in check. In short, the company appears to be financing growth primarily through internally generated capital rather than heavy borrowing.

Cash Flow

Cash Flow Cash generation is a clear strength. Operating cash flow has generally been strong, with only one notably soft year, and free cash flow closely tracks it because capital spending needs are low. This reflects an asset-light advisory model where most costs are people, not large physical investments. The company tends to convert a meaningful portion of its accounting profits into actual cash, which supports dividends, buybacks, or strategic acquisitions when management chooses. The year-to-year swings largely mirror the deal environment but the longer-term trend is positive and resilient.

Competitive Edge

Competitive Edge Houlihan Lokey holds a well-established niche in middle-market M&A and is a global leader in financial restructuring. This combination of offensive (M&A) and defensive (restructuring) strengths gives the firm balance across economic cycles. Its independent advisory model helps reduce conflicts of interest versus large universal banks, which can be attractive to boards and special committees. Deep industry specialization, a strong valuation practice, and a high volume of repeat transactions reinforce its reputation and client relationships. Competitive risks remain—especially intense competition for talent and deals—but the firm’s brand in restructuring and mid-market advisory appears difficult to dislodge.

Innovation and R&D

Innovation and R&D Although it does not have traditional R&D like a tech company, Houlihan Lokey is investing meaningfully in data, analytics, and technology-enabled services. The Private Credit DataBank and AI-driven valuation platforms create proprietary data assets that competitors may find hard to replicate. The acquisition of Prytania Solutions adds further quantitative and machine-learning capabilities in structured credit. Dedicated digital and data teams support faster, more insight-rich deal work. Together, these efforts turn what was once a purely relationship-driven business into one with differentiated tools and analytics, potentially raising switching costs for clients and improving efficiency for bankers.

Summary

Overall, Houlihan Lokey looks like a financially solid, cash-generative advisory firm with a clear specialization in middle-market M&A and restructuring. Its income statement reflects cyclical swings but an underlying upward trajectory in revenue and earnings. The balance sheet is conservative, with strong cash and modest debt, and cash flow is robust relative to the firm’s size and investment needs. Competitively, the company benefits from a strong brand in restructuring, deep sector expertise, and an independent, advisory-only model. Its growing focus on proprietary data and AI-enhanced valuation tools adds a further layer of differentiation. Key uncertainties revolve around the natural cyclicality of deal activity, ongoing competition for top talent, and the need to keep pace with rapid advances in financial technology.

NEWS

November 12, 2025 · 5:00 AM UTC

Houlihan Lokey Continues to Strengthen European Financial Sponsors Coverage Team With Senior U.K. Hire

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November 10, 2025 · 4:00 AM UTC

Houlihan Lokey Expands Capital Solutions Group With Senior Infrastructure Hire in Europe

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November 5, 2025 · 9:14 AM UTC

Houlihan Lokey Continues Expansion of Equity Capital Solutions Capabilities With Senior Hire

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November 4, 2025 · 9:13 AM UTC

Houlihan Lokey Announces the Houlihan Lokey Private Credit DataBank

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November 3, 2025 · 4:00 AM UTC

Houlihan Lokey Strengthens Active Lifestyle, Branded Consumer Products, and Luxury Goods Coverage With Senior Hire

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