MINNEAPOLIS-July 30, 2026-Piper Sandler Companies (NYSE: PIPR), a leading investment bank, today announced its results for the second quarter of 2026.
"Broad-based performance across our platform drove another quarter of year-over-year growth, fueling our best first-half revenues on record," said Chad Abraham, chairman and chief executive officer. "Our results reflect the durability of our diversified model and the trust clients place in us in complex market environments. We enter the second half of the year with continued momentum and a clear focus on best-in-class returns for our shareholders."
Second Quarter 2026 Results
Q2 2026 | vs. vs. Q1-26 Q2-25 |
$496 | 4% 25% |
20.3% | 1.8pp 8.0pp |
$68 | 4% 61% |
$0.95 | 3% 61% |
Q2 2026 | vs. vs. Q1-26 Q2-25 |
$491 | 5% 21% |
21.8% | 1.8pp 3.7pp |
$74 | 4% 41% |
$1.04 | 4% 41% |
U.S. GAAP Adjusted (1)
(Dollars in millions, except per share data)
Net revenues Pre-tax margin
Net income attributable to Piper Sandler Companies Earnings per diluted common share
A non-U.S. GAAP ("non-GAAP") measure. Management believes that presenting results and measures on an adjusted basis alongside U.S. GAAP measures provides the most meaningful basis for comparison of its operating results across periods. The non-GAAP financial measures should be considered in addition to, not as a substitute for, measures of financial performance prepared in accordance with U.S. GAAP. For a detailed explanation of the adjustments made to the corresponding U.S. GAAP measures, see "Reconciliation of
U.S. GAAP to Selected Summary Financial Information."
Financial & Business Highlights
Net revenues of $496 million for the second quarter of 2026 and adjusted net revenues of $491 million grew 25% and 21%, respectively, over the prior year quarter.
Advisory services generated record second quarter revenues totaling $274 million, up 34% year-over-year, driven by increased M&A activity and a strong performance from our private capital advisory group.
Municipal financing revenues of $50 million represented our strongest quarter since 2021 led by our special district and hospitality groups.
Equity brokerage delivered $63 million of revenues, one of our best quarters on record, as we leveraged the broad capabilities of our platform to take advantage of market opportunities.
Net revenues of $970 million for the first half of 2026 and adjusted net revenues of $961 million grew 29% and 22%, respectively, over the prior year period, fueled by 25% growth in advisory services and robust contributions from our financing and equity brokerage businesses.
Talent
Appointed Tripp Griffin and Rob Parker as co-heads of services & industrials investment banking. The former co-heads of that group, Matt Sznewajs and John Tye, transitioned to serve alongside David Lee leading our private equity advisory effort, including the financial sponsors group.
Expanded our equities platform with the hiring of a managing director to head power generation equity research, with coverage focused on grid & data center infrastructure, merchant power & nuclear, energy storage, and renewable power spanning across the energy and industrials sectors.
Capital
Declared a quarterly cash dividend of $0.20 per share of the company's common stock on July 30, 2026 to be paid on September 11, 2026 to shareholders of record as of August 28, 2026.
Returned an aggregate of $215 million to shareholders during the first half of 2026 through dividends paid and repurchases of 1.3 million shares of the company's common stock at an average price of $79.12 per share.
The following summarizes our results on a U.S. GAAP basis.
Three Months Ended | Six Months Ended | |||||||
June 30, Mar. 31, June 30, | Change vs. | June 30, June 30, | ||||||
(Dollars in thousands, except per share data) | 2026 | 2026 | 2025 | Q1-26 | Q2-25 | 2026 | 2025 | Change |
Revenues | ||||||||
Investment banking: | ||||||||
Advisory services | $ 274,211 | $ 250,962 | $ 204,841 | 9% | 34% | $ 525,173 | $ 421,641 | 25% |
Corporate financing | 37,805 | 73,315 | 34,246 | -48% | 10% | 111,120 | 67,307 | 65% |
Municipal financing | 49,511 | 23,913 | 41,907 | 107% | 18% | 73,424 | 68,310 | 7% |
Total investment banking | 361,527 | 348,190 | 280,994 | 4% | 29% | 709,717 | 557,258 | 27% |
Institutional brokerage: | ||||||||
Equity brokerage 62,907 | 60,470 | 58,083 | 4% | 8% | 123,377 | 112,337 | 10% | |
Fixed income services 48,625 | 50,375 | 56,382 | -3% | -14% | 99,000 | 104,052 | -5% | |
Total institutional brokerage | 111,532 | 110,845 | 114,465 | 1% | -3% | 222,377 | 216,389 | 3% |
Interest income | 9,104 | 11,646 | 7,947 | -22% | 15% | 20,750 | 17,910 | 16% |
Investment income/(loss) | 14,091 | 4,464 | (4,829) | 216% | N/M | 18,555 | (34,426) | N/M |
Total revenues | 496,254 | 475,145 | 398,577 | 4% | 25% | 971,399 | 757,131 | 28% |
Interest expense | 739 | 736 | 1,799 | -% | -59% | 1,475 | 3,081 | -52% |
Net revenues | 495,515 | 474,409 | 396,778 | 4% | 25% | 969,924 | 754,050 | 29% |
Non-interest expenses | ||||||||
Compensation and benefits | 308,709 | 296,057 | 258,216 | 4% | 20% | 604,766 | 506,673 | 19% |
Non-compensation expenses | 86,371 | 90,421 | 89,638 | -4% | -4% | 176,792 | 169,020 | 5% |
Total non-interest expenses | 395,080 | 386,478 | 347,854 | 2% | 14% | 781,558 | 675,693 | 16% |
Income before income tax expense | 100,435 | 87,931 | 48,924 | 14% | 105% | 188,366 | 78,357 | 140% |
Income tax expense | 30,338 | 19,619 | 17,169 | 55% | 77% | 49,957 | 9,834 | 408% |
Net income | $ 70,097 | $ 68,312 | $ 31,755 | 3% | 121% | $ 138,409 | $ 68,523 | 102% |
Net income attributable to Piper Sandler Companies | $ 67,845 | $ 65,242 | $ 42,182 | 4% | 61% | $ 133,087 | $ 107,097 | 24% |
Earnings per diluted common share | $ 0.95 | $ 0.92 | $ 0.59 | 3% | 61% | $ 1.87 | $ 1.51 | 24% |
Ratios and margin | ||||||||
Compensation ratio | 62.3% | 62.4% | 65.1% | 62.4% | 67.2% | |||
Non-compensation ratio | 17.4% | 19.1% | 22.6% | 18.2% | 22.4% | |||
Pre-tax margin | 20.3% | 18.5% | 12.3% | 19.4% | 10.4% | |||
Effective tax rate | 30.2% | 22.3% | 35.1% | 26.5% | 12.6% | |||
N/M - Not meaningful | ||||||||
The following table summarizes additional business metrics for the periods presented.
Three Months Ended Six Months Ended June 30, Mar. 31, June 30, Change vs. June 30, June 30,2026 | 2026 | 2025 | Q1-26 | Q2-25 | 2026 | 2025 | Change | ||||
Advisory services | |||||||||||
Completed M&A and restructuring transactions | 67 | 69 | 49 | -3% | 37% | 136 | 91 | 49% | |||
Completed capital advisory transactions (1) | 16 | 25 | 22 | -36% | -27% | 41 | 35 | 17% | |||
Total completed advisory transactions | 83 | 94 | 71 | -12% | 17% | 177 | 126 | 40% | |||
Corporate financings | |||||||||||
Total equity transactions priced | 21 | 26 | 16 | -19% | 31% | 47 | 31 | 52% | |||
Book run equity transactions priced | 17 | 26 | 12 | -35% | 42% | 43 | 23 | 87% | |||
Total debt and preferred transactions priced | 7 | 10 | 10 | -30% | -30% | 17 | 22 | -23% | |||
Book run debt and preferred transactions priced | 2 | 7 | 8 | -71% | -75% | 9 | 16 | -44% | |||
Municipal negotiated issues | |||||||||||
Aggregate par value of issues priced (in billions) | $ 5.1 | $ 3.3 | $ 5.7 | 55% | -11% | $ 8.3 | $ 9.0 | -8% | |||
Total issues priced | 141 | 98 | 177 | 44% | -20% | 239 | 271 | -12% | |||
Equity brokerage | |||||||||||
Number of shares traded (in billions) | 3.4 | 3.1 | 2.9 | 10% | 17% | 6.6 | 5.8 | 14% | |||
(1) Includes debt capital markets advisory transactions and equity and debt private placements.
NET REVENUESFor the second quarter of 2026, net revenues of $495.5 million increased 4% compared to the first quarter of 2026 and 25% compared to the second quarter of 2025.
Investment banking revenues of $361.5 million for the second quarter of 2026 increased 4% compared to the first quarter of 2026 and 29% compared to the second quarter of 2025.- Advisory services revenues of $274.2 million for the second quarter of 2026 increased 9% compared to the first quarter of 2026 driven by a higher average fee which more than offset the impact of fewer completed transactions. Advisory services revenues increased 34% compared to the second quarter of 2025 driven by more completed M&A transactions and a higher average fee. Sector performance was led by our financial services group with solid contributions from our healthcare and services & industrials teams.
- Corporate financing revenues of $37.8 million for the second quarter of 2026 decreased 48% compared to the strong first quarter of 2026 resulting from fewer completed financings. Corporate financing revenues increased 10% compared to the second quarter of 2025 driven by more completed equity underwriting transactions. Performance during the quarter was led by capital raising activity for our healthcare clients.
- Municipal financing revenues of $49.5 million for the second quarter of 2026 increased 107% compared to the first quarter of 2026 resulting from robust activity from both our specialty sector and governmental businesses. Municipal financing revenues increased 18% compared to the second quarter of 2025 driven by the strong performance from our specialty sectors which more than offset a decline in issuances among our governmental clients. Institutional brokerage revenues of $111.5 million for the second quarter of 2026 were essentially flat compared to the first quarter of 2026 and decreased 3% compared to the second quarter of 2025.
- Equity brokerage revenues of $62.9 million for the second quarter of 2026 increased 4% compared to the first quarter of 2026 and 8% compared to the second quarter of 2025 driven by increased client activity.
-
Fixed income services revenues of $48.6 million for the second quarter of 2026 decreased 3% compared to the first quarter of 2026 as interest rate volatility continued to impact our regular-way client activity. Fixed income services revenues decreased 14% compared to the second quarter of 2025, which benefited from the execution of several balance sheet restructuring trades.
Investment income/(loss) for the second quarter of 2026 was income of $14.1 million compared to income of $4.5 million for the first quarter of 2026 and a loss of $4.8 million for the second quarter of 2025. For the current and prior periods, investment income/(loss) includes amounts attributable to noncontrolling interests primarily related to the alternative asset funds we manage.
NON-INTEREST EXPENSES
For the second quarter of 2026, non-interest expenses of $395.1 million increased 2% compared to the first quarter of 2026 and 14% compared to the second quarter of 2025.
- Compensation ratio of 62.3% for the second quarter of 2026 improved compared to 62.4% for the first quarter of 2026 and 65.1% for the second quarter of 2025 driven by higher net revenues.
-
Non-compensation expenses of $86.4 million for the second quarter of 2026 decreased 4% compared to both the first quarter of 2026 and the second quarter of 2025. Non-compensation expenses were higher during the first quarter of 2026 due to other operating expenses which included $8.5 million of litigation-related expenses. Non-compensation expenses were higher during the second quarter of 2025 due to $5.0 million of restructuring and integration costs related to headcount reductions, as well as vacated office space associated with our acquisition of Aviditi Advisors.
PRE-TAX INCOME
For the second quarter of 2026, we recorded pre-tax income of $100.4 million compared to $87.9 million for the first quarter of 2026 and $48.9 million for the second quarter of 2025.
-
Pre-tax margin of 20.3% for the second quarter of 2026 improved compared to 18.5% for the first quarter of 2026 and 12.3% for the second quarter of 2025 driven primarily by higher net revenues and lower non-compensation expenses.
EFFECTIVE TAX RATE
For the current and prior periods, the effective tax rate is impacted by the level of noncontrolling interests, the amount of non-deductible expenses, and the vesting of restricted stock awards. For the second quarter of 2026, the effective tax rate was 30.2%. The effective tax rate of 22.3% for the first quarter of 2026 included $7.0 million of tax benefits related to the vesting of restricted stock awards. For the second quarter of 2025, the effective tax rate of 35.1% was elevated due to the net loss attributable to noncontrolling interests.
NET INCOME & EARNINGS PER SHAREFor the second quarter of 2026, we generated net income of $67.8 million, or $0.95 per diluted common share.
Results for the current quarter increased compared to net income of $65.2 million, or $0.92 per diluted common share, for the first quarter of 2026 resulting primarily from higher net revenues and lower non-compensation expenses. This was offset in part by a higher effective tax rate as net income for the first quarter of 2026 included $7.0 million, or $0.10 per diluted common share, of income tax benefits related to the vesting of restricted stock awards. Results for the current quarter increased compared to net income of $42.2 million, or $0.59 per diluted common share, for the second quarter of 2025 driven by higher net revenues, an increased pre-tax margin and a lower effective tax rate.
Non-GAAP Selected Financial DataThe following summarizes our results on an adjusted, non-GAAP basis.
Three Months Ended
Six Months Ended
June 30, Mar. 31, June 30,
Change vs.
June 30, June 30,
(Dollars in thousands, except per share data)
2026
2026
2025
Q1-26
Q2-25
2026
2025
Change
Adjusted revenues
Investment banking:
Advisory services
$ 274,211
$ 250,962
$ 204,841
9%
34%
$ 525,173
$ 421,641
25%
Corporate financing
37,805
73,315
34,246
-48%
10%
111,120
67,307
65%
Municipal financing
49,511
23,913
41,907
107%
18%
73,424
68,310
7%
Total investment banking
361,527
348,190
280,994
4%
29%
709,717
557,258
27%
Institutional brokerage:
Equity brokerage
62,907
60,470
58,083
4%
8%
123,377
112,337
10%
Fixed income services
48,625
50,375
56,382
-3%
-14%
99,000
104,052
-5%
Total institutional brokerage
111,532
110,845
114,465
1%
-3%
222,377
216,389
3%
Interest income
9,104
11,646
7,947
-22%
15%
20,750
17,910 16%
Investment income/(loss)
9,712
(401)
3,781
N/M
157%
9,311
222 N/M
Adjusted total revenues
491,875
470,280
407,187
5%
21%
962,155
791,779
22%
Interest expense
739
736
1,799
-%
-59%
1,475
3,081
-52%
Adjusted net revenues
491,136
469,544
405,388
5%
21%
960,680
788,698
22%
Adjusted operating expenses
Adjusted compensation and benefits
302,048
289,239
251,340
4%
20%
591,287
490,909
20%
Adjusted non-compensation expenses
81,998
86,444
80,676
-5%
2%
168,442
155,873
8%
Adjusted total operating expenses
384,046
375,683
332,016
2%
16%
759,729
646,782
17%
Adjusted operating income
107,090
93,861
73,372
14%
46%
200,951
141,916
42%
Adjusted income tax expense
32,621
21,927
20,631
49%
58%
54,548
15,680
248%
Adjusted net income
$ 74,469
$ 71,934
$ 52,741
4%
41%
$ 146,403
$ 126,236
16%
Adjusted earnings per diluted common share
$
1.04
$
1.00
$
0.74
4%
41%
$
2.04
$
1.76
16%
Adjusted ratios and margin
Adjusted compensation ratio
61.5%
61.6%
62.0%
61.5%
62.2%
Adjusted non-compensation ratio
16.7%
18.4%
19.9%
17.5%
19.8%
Adjusted operating margin
21.8%
20.0%
18.1%
20.9%
18.0%
Adjusted effective tax rate
30.5%
23.4%
28.1%
27.1%
11.0%
N/M - Not meaningful
Throughout this press release, including the table above, we present financial measures that are not prepared in accordance with U.S. generally accepted accounting principles ("GAAP"). Management believes that presenting results and measures on an adjusted basis alongside U.S. GAAP measures provides the most meaningful basis for comparison of its operating results across periods and enhances the overall understanding of our current financial performance by excluding certain items that may not be indicative of our core operating results. The non-GAAP financial measures should be considered in addition to, not as a substitute for, measures of financial performance prepared in accordance with U.S. GAAP. For a detailed explanation of the adjustments made to the corresponding U.S. GAAP measures, see "Reconciliation of U.S. GAAP to Selected Summary Financial Information."
See page 3 for a summary of additional business metrics.
ADJUSTED NET REVENUESFor the second quarter of 2026, adjusted net revenues of $491.1 million increased 5% compared to the first quarter of 2026. Adjusted net revenues increased 21% compared to the second quarter of 2025, driven by 34% growth in advisory services as well as solid contributions from our municipal financing and equity brokerage businesses.
ADJUSTED OPERATING EXPENSESFor the second quarter of 2026, adjusted operating expenses of $384.0 million increased 2% compared to the first quarter of 2026 and 16% compared to the second quarter of 2025.
- Adjusted compensation ratio of 61.5% for the second quarter of 2026 decreased slightly compared to 61.6% for the first quarter of 2026 and 62.0% for the second quarter of 2025 driven by higher adjusted net revenues.
-
Adjusted non-compensation expenses of $82.0 million for the second quarter of 2026 decreased 5% compared to the first quarter of 2026 and were essentially flat compared to the second quarter of 2025. Adjusted non-compensation expenses were higher during the first quarter of 2026 due to other operating expenses which included
$8.5 million of litigation-related expenses.
ADJUSTED OPERATING INCOMEFor the second quarter of 2026, adjusted operating income of $107.1 million increased 14% compared to the first quarter of 2026 and 46% compared to the second quarter of 2025.
- Adjusted operating margin of 21.8% for the second quarter of 2026 increased compared to 20.0% for the first quarter of 2026 resulting from higher adjusted net revenues and lower non-compensation expenses. Adjusted operating margin increased compared to 18.1% for the second quarter of 2025 driven primarily by higher adjusted net revenues.
For the second quarter of 2026, our adjusted effective tax rate of 30.5% increased compared to 28.1% for the second quarter of 2025, which benefited from lower non-deductible expenses. The adjusted effective tax rate of 23.4% for the first quarter of 2026 included $7.0 million of tax benefits related to the vesting of restricted stock awards.
ADJUSTED NET INCOME & ADJUSTED EARNINGS PER SHAREFor the second quarter of 2026, we generated adjusted net income of $74.5 million, or $1.04 of adjusted earnings per diluted common share.
Results for the current quarter increased compared to adjusted net income of $71.9 million, or $1.00 of adjusted earnings per diluted common share, for the first quarter of 2026 resulting primarily from higher adjusted net revenues and lower adjusted non-compensation expenses. This was offset in part by a higher adjusted effective tax rate as net income for the first quarter of 2026 included $7.0 million, or $0.09 per diluted common share, of income tax benefits related to the vesting of restricted stock awards. Results for the current quarter increased compared to adjusted net income of $52.7 million, or $0.74 of adjusted earnings per diluted common share, for the second quarter of 2025 resulting primarily from higher adjusted net revenues.
Capital DIVIDENDSOn July 30, 2026, our Board of Directors declared a quarterly cash dividend on the company's common stock of $0.20 per share. This dividend will be paid on September 11, 2026, to shareholders of record as of the close of business on August 28, 2026.
During the second quarter of 2026, we paid a quarterly cash dividend of $0.20 per share of common stock, for an aggregate of
$13.8 million.
During the first half of 2026, we paid quarterly cash dividends of $0.375 per share of common stock and a special cash dividend of $1.25 per share of common stock, which was paid in the first quarter of 2026. Total dividends paid year-to-date, including accrued forfeitable dividends paid on restricted stock awards that vested, were $114.6 million.
SHARE REPURCHASESDuring the second quarter of 2026, we repurchased 386 thousand shares of the company's common stock, at an average price of $79.24 per share, pursuant to our share repurchase authorization. We also repurchased 5 thousand shares of the company's common stock, at an average price of $78.79 per share, from restricted stock award recipients selling shares upon the award vesting to meet their employment tax obligations. The aggregate amount of 391 thousand shares, or $31.0 million of the company's common stock, were repurchased at an average price of $79.23 per share.
During the first half of 2026, we repurchased 811 thousand shares of the company's common stock, at an average price of
$78.44 per share, pursuant to our share repurchase authorization. We also repurchased 464 thousand shares of the company's common stock, at an average price of $80.31 per share, from restricted stock award recipients selling shares upon the award vesting to meet their employment tax obligations. The aggregate amount of 1.3 million shares, or $100.9 million of the company's common stock, were repurchased at an average price of $79.12 per share.
Additional Information | |||
June 30, 2026 | Mar. 31, 2026 | June 30, 2025 | |
Human Capital | |||
Full-time employees | 1,915 | 1,842 | 1,845 |
Corporate investment banking managing directors | 193 | 192 | 182 |
Shareholder Information (amounts in millions) | |||
Common shareholders' equity | $ 1,372.7 | $ 1,341.8 | $ 1,229.9 |
Shares outstanding: | |||
Common shares outstanding | 67.5 | 67.9 | 66.8 |
Restricted shares outstanding | 3.5 | 3.5 | 4.3 |
Total shares outstanding | 71.0 | 71.4 | 71.1 |
Chad Abraham, chairman and chief executive officer; Deb Schoneman, president; and Kate Clune, chief financial officer, will host a conference call to discuss the financial results on Thursday, July 30, 2026, at 9:00 a.m. Eastern Time (8:00 a.m. Central Time). Participants can access the call by dialing 800 330-6710 (in the U.S.) or +1 312 471-1353 (outside the U.S.) and passcode number 8969597. Callers should dial in at least 15 minutes prior to the call time. The conference call will also be accessible as an audio webcast through the company's website at pipersandler.com/earnings. A replay of the conference call will be available beginning approximately three hours after the event through the same link.
About Piper SandlerPiper Sandler Companies (NYSE: PIPR) is a leading investment bank driven to help clients Realize the Power of Partnership®. Securities brokerage and investment banking services are offered in the U.S. through Piper Sandler & Co., member SIPC and NYSE; in the U.K. through Piper Sandler Ltd., authorized and regulated by the U.K. Financial Conduct Authority; in the EU through Aviditi Capital Advisors Europe GmbH, a tied agent of AHP Capital Management GmbH, authorized and regulated by BaFin; and in the Abu Dhabi Global Market through Piper Sandler MENA Ltd., authorized and regulated by the ADGM Financial Services Regulatory Authority. Alternative asset management and fixed income advisory services are offered through separately registered advisory affiliates.
© 2026. Since 1895. Piper Sandler Companies. 350 North 5th Street, Suite 1000, Minneapolis, Minnesota 55401.
For more information, please contact Kate Clune, chief financial officer, at 212 466-7799 or investorrelations@psc.com.
Cautionary Note Regarding Forward-Looking StatementsThis press release and the conference call to discuss the contents of this press release contain forward-looking statements. Statements that are not historical or current facts, including statements about beliefs and expectations, are forward-looking statements and are subject to significant risks and uncertainties that are difficult to predict. These forward-looking statements cover, among other things, statements made about the outlook for future periods, e.g., the outlook for corporate advisory (e.g., M&A, debt capital markets advisory, private capital advisory), corporate financing, public finance, equity brokerage, and fixed income brokerage; current deal pipelines (or backlogs); growth plans for our businesses, including corporate investment banking and fixed income; the financial performance of recently completed transactions; our recruiting pipeline; anticipated financial results for future periods (including expectations regarding revenue levels, non-compensation expenses, non-compensation ratio, effective tax rate, compensation ratio, compensation and benefits expense, operating margins, and earnings per share); our strategic priorities; the payment of our quarterly and special cash dividends; our share repurchase program; and economic, geopolitical, and market conditions generally.
Forward-looking statements involve inherent risks and uncertainties, both known and unknown, and important factors could cause actual results to differ materially from those anticipated or discussed in the forward-looking statements. These risks, uncertainties and important factors include, but are not limited to, the following:
the volume of anticipated transactions - including corporate advisory (i.e., M&A), equity financing, and debt financing - and the corresponding revenues from the transactions may vary from quarter to quarter significantly, particularly if there is a decline in macroeconomic conditions or the financial markets;
revenues from corporate advisory (i.e., M&A) engagements and equity and debt financings may vary materially depending on the number, size, and timing of completed transactions, and completed transactions do not generally provide for subsequent engagements;
market, geopolitical and economic conditions or developments may be unfavorable, including in specific sectors in which we operate, and these conditions or developments, such as market fluctuations or volatility, may adversely affect our business, revenue levels and profitability;
the impact of trade policy, including tariffs, on market, geopolitical and economic conditions is difficult to predict, and may result in a decline in macroeconomic conditions or the financial markets that negatively impacts our business;
continued business and investor uncertainty around future trade policy or geopolitical conditions may adversely affect our business, revenue levels, and profitability;
interest rate volatility, especially if the changes are rapid or severe, could negatively impact our fixed income institutional business and the negative impact could be exaggerated by reduced liquidity in the fixed income markets; and
our stock price may fluctuate as a result of several factors, including but not limited to, changes in our revenues and operating results.
A further listing and description of these and other risks, uncertainties and important factors can be found in the sections titled "Risk Factors" in Part I, Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2025 and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in Part II, Item 7 of our Annual Report on Form 10-K for the year ended December 31, 2025, and updated in our subsequent reports filed with the SEC (available at our Website at https://www.pipersandler.com and at the SEC Website at https://www.sec.gov).
Forward-looking statements speak only as of the date they are made, and readers are cautioned not to place undue reliance on them. We undertake no obligation to update them in light of new information or future events.
###
(Amounts in thousands, except per share data) | June 30, 2026 | Mar. 31, 2026 | June 30, 2025 | June 30, 2026 | June 30, 2025 |
Revenues | |||||
Investment banking | $ 361,527 | $ 348,190 | $ 280,994 | $ 709,717 | $ 557,258 |
Institutional brokerage | 111,532 | 110,845 | 114,465 | 222,377 | 216,389 |
Interest income | 9,104 | 11,646 | 7,947 | 20,750 | 17,910 |
Investment income/(loss) | 14,091 | 4,464 | (4,829) | 18,555 | (34,426) |
Total revenues | 496,254 | 475,145 | 398,577 | 971,399 | 757,131 |
Interest expense | 739 | 736 | 1,799 | 1,475 | 3,081 |
Net revenues | 495,515 | 474,409 | 396,778 | 969,924 | 754,050 |
Non-interest expenses | |||||
Compensation and benefits | 308,709 | 296,057 | 258,216 | 604,766 | 506,673 |
Occupancy and equipment | 19,612 | 18,065 | 17,442 | 37,677 | 35,669 |
Outside services | 16,776 | 13,717 | 20,920 | 30,493 | 36,391 |
Communications | 15,885 | 14,910 | 14,944 | 30,795 | 30,385 |
Marketing and business development | 15,883 | 15,151 | 13,869 | 31,034 | 28,742 |
Trade execution and clearance | 5,414 | 5,037 | 4,701 | 10,451 | 9,875 |
Restructuring and integration costs | - | - | 4,998 | - | 4,998 |
Intangible asset amortization | 2,058 | 2,057 | 2,147 | 4,115 | 4,223 |
Other operating expenses | 10,743 | 21,484 | 10,617 | 32,227 | 18,737 |
Total non-interest expenses | 395,080 | 386,478 | 347,854 | 781,558 | 675,693 |
Income before income tax expense | 100,435 | 87,931 | 48,924 | 188,366 | 78,357 |
Income tax expense | 30,338 | 19,619 | 17,169 | 49,957 | 9,834 |
Net income | 70,097 | 68,312 | 31,755 | 138,409 | 68,523 |
Net income/(loss) attributable to noncontrolling interests | 2,252 | 3,070 | (10,427) | 5,322 | (38,574) |
Net income attributable to Piper Sandler Companies | $ 67,845 | $ 65,242 | $ 42,182 | $ 133,087 | $ 107,097 |
Earnings per common share | |||||
Basic | $ 1.00 | $ 0.96 | $ 0.63 | $ 1.96 | $ 1.62 |
Diluted | $ 0.95 | $ 0.92 | $ 0.59 | $ 1.87 | $ 1.51 |
Dividends declared per common share | $ 0.20 | $ 1.43 | $ 0.16 | $ 1.63 | $ 1.08 |
Weighted average common shares outstanding | |||||
Basic | 67,698 | 67,841 | 66,812 | 67,769 | 66,166 |
Diluted | 71,241 | 71,235 | 70,903 | 71,237 | 71,030 |
(Amounts in thousands, except per share data) | June 30, 2026 | Mar. 31, 2026 | June 30, 2025 | June 30, 2026 | June 30, 2025 |
Adjusted revenues | |||||
Investment banking | $ 361,527 | $ 348,190 | $ 280,994 | $ 709,717 | $ 557,258 |
Institutional brokerage | 111,532 | 110,845 | 114,465 | 222,377 | 216,389 |
Interest income | 9,104 | 11,646 | 7,947 | 20,750 | 17,910 |
Investment income/(loss) | 9,712 | (401) | 3,781 | 9,311 | 222 |
Adjusted total revenues | 491,875 | 470,280 | 407,187 | 962,155 | 791,779 |
Interest expense | 739 | 736 | 1,799 | 1,475 | 3,081 |
Adjusted net revenues (2) | 491,136 | 469,544 | 405,388 | 960,680 | 788,698 |
Adjusted operating expenses | |||||
Adjusted compensation and benefits (3) | 302,048 | 289,239 | 251,340 | 591,287 | 490,909 |
Adjusted non-compensation expenses (4) | 81,998 | 86,444 | 80,676 | 168,442 | 155,873 |
Adjusted total operating expenses (5) | 384,046 | 375,683 | 332,016 | 759,729 | 646,782 |
Adjusted operating income (6) | 107,090 | 93,861 | 73,372 | 200,951 | 141,916 |
Adjusted income tax expense (7) | 32,621 | 21,927 | 20,631 | 54,548 | 15,680 |
Adjusted net income (8) | $ 74,469 | $ 71,934 | $ 52,741 | $ 146,403 | $ 126,236 |
Adjusted earnings per diluted common share (9) | $ 1.04 | $ 1.00 | $ 0.74 | $ 2.04 | $ 1.76 |
Adjusted weighted average diluted common shares outstanding (10) | 71,594 | 71,637 | 71,608 | 71,615 | 71,729 |
Adjusted ratios and margin | |||||
Adjusted compensation ratio (11) | 61.5% | 61.6% | 62.0% | 61.5% | 62.2% |
Adjusted non-compensation ratio (12) | 16.7% | 18.4% | 19.9% | 17.5% | 19.8% |
Adjusted operating margin (13) | 21.8% | 20.0% | 18.1% | 20.9% | 18.0% |
Adjusted effective tax rate (14) | 30.5% | 23.4% | 28.1% | 27.1% | 11.0% |
This presentation includes non-GAAP measures. The non-GAAP measures are not meant to be considered in isolation or as a substitute for the corresponding U.S. GAAP measures, and should be read only in conjunction with our consolidated financial statements prepared in accordance with U.S. GAAP. For a detailed explanation of the adjustments made to the corresponding U.S. GAAP measures, see "Reconciliation of U.S. GAAP to Selected Summary Financial Information."
June 30, (Amounts in thousands, except per share data) 2026 | Mar. 31, 2026 | June 30, 2025 | June 30, 2026 | June 30, 2025 |
Net revenues: | ||||
Net revenues - U.S. GAAP basis $ 495,515 | $ 474,409 | $ 396,778 | $ 969,924 | $ 754,050 |
Adjustment: | ||||
Investment (income)/loss related to noncontrolling interests (15) (4,379) (4,865) 8,610 (9,244) 34,648
Adjusted net revenues $ 491,136 $ 469,544 $ 405,388 $ 960,680 $ 788,698
Compensation and benefits: | |||||
Compensation and benefits - U.S. GAAP basis | $ 308,709 | $ 296,057 | $ 258,216 | $ 604,766 | $ 506,673 |
Adjustment: | |||||
Compensation from acquisition-related agreements | (6,661) | (6,818) | (6,876) | (13,479) | (15,764) |
Adjusted compensation and benefits | $ 302,048 | $ 289,239 | $ 251,340 | $ 591,287 | $ 490,909 |
Non-compensation expenses: | |||||
Non-compensation expenses - U.S. GAAP basis | $ 86,371 | $ 90,421 | $ 89,638 | $ 176,792 | $ 169,020 |
Adjustments: | |||||
Non-compensation expenses related to noncontrolling interests (15) | (2,127) | (1,795) | (1,817) | (3,922) | (3,926) |
Restructuring and integration costs | - | - | (4,998) | - | (4,998) |
Amortization of intangible assets related to acquisitions | (2,058) | (2,057) | (2,147) | (4,115) | (4,223) |
Non-compensation expenses from acquisition-related agreements | (188) | (125) | - | (313) | - |
Adjusted non-compensation expenses | $ 81,998 | $ 86,444 | $ 80,676 | $ 168,442 | $ 155,873 |
Income before income tax expense: | |||||
Income before income tax expense - U.S. GAAP basis | $ 100,435 | $ 87,931 | $ 48,924 | $ 188,366 | $ 78,357 |
Adjustments: | |||||
Investment (income)/loss related to noncontrolling interests (15) | (4,379) | (4,865) | 8,610 | (9,244) | 34,648 |
Non-compensation expenses related to noncontrolling interests (15) | 2,127 | 1,795 | 1,817 | 3,922 | 3,926 |
Compensation from acquisition-related agreements | 6,661 | 6,818 | 6,876 | 13,479 | 15,764 |
Restructuring and integration costs | - | - | 4,998 | - | 4,998 |
Amortization of intangible assets related to acquisitions | 2,058 | 2,057 | 2,147 | 4,115 | 4,223 |
Non-compensation expenses from acquisition-related agreements | 188 | 125 | - | 313 | - |
Adjusted operating income | $ 107,090 | $ 93,861 | $ 73,372 | $ 200,951 | $ 141,916 |
Income tax expense: | |||||
Income tax expense - U.S. GAAP basis | $ 30,338 | $ 19,619 | $ 17,169 | $ 49,957 | $ 9,834 |
Tax effect of adjustments: | |||||
Compensation from acquisition-related agreements | 1,688 | 1,730 | 1,712 | 3,418 | 3,552 |
Restructuring and integration costs | - | - | 1,188 | - | 1,188 |
Amortization of intangible assets related to acquisitions | 545 | 545 | 562 | 1,090 | 1,106 |
Non-compensation expenses from acquisition-related agreements | 50 | 33 | - | 83 | - |
Adjusted income tax expense | $ 32,621 | $ 21,927 | $ 20,631 | $ 54,548 | $ 15,680 |
Continued on next page
(Amounts in thousands, except per share data) | June 30, 2026 | Mar. 31, 2026 | June 30, 2025 | June 30, 2026 | June 30, 2025 |
Net income attributable to Piper Sandler Companies: | |||||
Net income attributable to Piper Sandler Companies - U.S. GAAP basis | $ 67,845 $ 65,242 $ 42,182 $ 133,087 $ 107,097 | ||||
Adjustments: | |||||
Compensation from acquisition-related agreements | 4,973 5,088 5,164 10,061 12,212 | ||||
Restructuring and integration costs | - - 3,810 - 3,810 | ||||
Amortization of intangible assets related to acquisitions | 1,513 1,512 1,585 3,025 3,117 | ||||
Non-compensation expenses from acquisition-related agreements | 138 92 - 230 - | ||||
Adjusted net income | $ 74,469 $ 71,934 $ 52,741 $ 146,403 $ 126,236 | ||||
Earnings per diluted common share: | |||||
Earnings per diluted common share - U.S. GAAP basis | $ 0.95 | $ 0.92 | $ 0.59 | $ 1.87 | $ 1.51 |
Adjustment for inclusion of unvested acquisition-related stock | - | (0.01) | (0.01) | (0.01) | (0.03) |
$ 0.95 | $ 0.91 | $ 0.58 | $ 1.86 | $ 1.48 | |
Adjustments: | |||||
Compensation from acquisition-related agreements | 0.07 | 0.07 | 0.08 | 0.14 | 0.18 |
Restructuring and integration costs | - | - | 0.06 | - | 0.06 |
Amortization of intangible assets related to acquisitions | 0.02 | 0.02 | 0.02 | 0.04 | 0.04 |
Non-compensation expenses from acquisition-related agreements | - | - | - | - | - |
Adjusted earnings per diluted common share | $ 1.04 | $ 1.00 | $ 0.74 | $ 2.04 | $ 1.76 |
Weighted average diluted common shares outstanding:
Weighted average diluted common shares outstanding - U.S. GAAP basis
71,24171,235
70,903
71,23771,030
Adjustment:
Unvested acquisition-related restricted stock with service conditions | 353 | 402 | 705 | 378 | 699 |
Adjusted weighted average diluted common shares outstanding | 71,594 | 71,637 | 71,608 | 71,615 | 71,729 |
This presentation includes non-GAAP measures. The non-GAAP measures are not meant to be considered in isolation or as a substitute for the corresponding U.S. GAAP measures, and should be read only in conjunction with our consolidated financial statements prepared in accordance with U.S. GAAP.
Notes to Non-GAAP Financial Schedules
Selected Summary Financial Information are non-GAAP measures. Management believes that presenting results and measures on an adjusted basis in conjunction with U.S. GAAP measures provides the most meaningful basis for comparison of its operating results across periods.
A non-GAAP measure which excludes investment (income)/loss related to noncontrolling interests (see (15) below).
A non-GAAP measure which excludes compensation expenses from acquisition-related agreements.
A non-GAAP measure which excludes (a) non-compensation expenses related to noncontrolling interests (see (15) below), (b) restructuring and integration costs related to acquisitions and/or headcount reductions, (c) amortization of intangible assets related to acquisitions and (d) non-compensation expenses from acquisition-related agreements.
A non-GAAP measure which is computed as the summation of adjusted compensation and benefits and adjusted non-compensation expenses (see (3) and (4) above).
A non-GAAP measure which excludes (a) investment (income)/loss and non-compensation expenses related to noncontrolling interests (see (15) below), (b) compensation and non-compensation expenses from acquisition-related agreements, (c) restructuring and integration costs related to acquisitions and/or headcount reductions and (d) amortization of intangible assets related to acquisitions.
A non-GAAP measure which includes the income tax effect of the adjustments for (a) compensation and non-compensation expenses from acquisition-related agreements, (b) restructuring and integration costs related to acquisitions and/or headcount reductions and (c) amortization of intangible assets related to acquisitions.
A non-GAAP measure which represents net income attributable to Piper Sandler Companies adjusted for (a) the exclusion of compensation and non-compensation expenses from acquisition-related agreements, (b) the exclusion of restructuring and integration costs related to acquisitions and/or headcount reductions, (c) the exclusion of amortization of intangible assets related to acquisitions and (d) the income tax impact allocated to the adjustments.
A non-GAAP measure which is computed based on a quotient of which the numerator is adjusted net income and the denominator is adjusted weighted average diluted common shares outstanding.
A non-GAAP measure which assumes the vesting of acquisition-related restricted stock with service conditions.
A non-GAAP measure which represents adjusted compensation and benefits expenses as a percentage of adjusted net revenues.
A non-GAAP measure which represents adjusted non-compensation expenses as a percentage of adjusted net revenues.
A non-GAAP measure which represents adjusted operating income as a percentage of adjusted net revenues.
A non-GAAP measure which represents adjusted income tax expense as a percentage of adjusted operating income.
Noncontrolling interests include investment income/(loss) and non-compensation expenses from consolidated alternative asset management entities that are not attributable, either directly or indirectly, to Piper Sandler Companies.