LAZ Earnings Prediction
The chart below shows how LAZ performed 10 days before and after its earnings report, based on data from the past quarters. Typically, LAZ sees a -3.62% change in stock price 10 days leading up to the earnings, and a -2.53% change 10 days following the report. On the earnings day itself, the stock moves by +2.75%. This data can give you a slight idea of what to expect for the next quarter's release.
LAZ Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
813.10M
7.18%
7.50%
Gross Margin
--
--
--
Operating Margin
13.17%
107.73%
-27.91%
Net Margin
9.63%
2.23%
-37.26%
EPS
0.81
17.39%
-20.59%
No Data Available
LAZ Earnings Analysis
Lazard Inc Corporation (LAZ.N) Earnings Conference Call
Positive
Strong Revenue Growth: Firm wide adjusted net revenue was $812,000,000 for Q4, up 7% from the prior year, and $2,900,000,000 for the year, up 18% from 2023, indicating strong growth momentum.
Adjusted Net Revenue Growth: Financial advisory adjusted net revenue was $508,000,000 for Q4, up 6% year-over-year, and $1,700,000,000 for the full year, up 28% compared to 2023, reflecting increased productivity and new business wins.
Asset Management Revenue Growth: Asset management adjusted net revenue was $287,000,000 for Q4, up 5% year-over-year, and $1,100,000,000 for the full year, up 3% compared to 2023, demonstrating revenue resilience.
Shareholder Returns Strategy: The firm returned $303,000,000 to shareholders in 2024, including $179,000,000 in dividends and $60,000,000 in share repurchases, highlighting a commitment to capital allocation and shareholder returns.
MD Revenue Performance: Revenue per Managing Director (MD) was $8,600,000 for the full year 2024, surpassing the target of $8,500,000 a year early, indicating improved productivity and operational efficiency.
Negative
Increased Tax Burden: Adjusted effective tax rate for Q4 increased to 18.1%, up from 16% in the prior year quarter, indicating a higher tax burden on earnings.
AUM Decline Analysis: Total Assets Under Management (AUM) decreased by 8% year-over-year to $226 billion, reflecting a significant decline in client assets and potential revenue.
Client Confidence Decline: Net outflows in asset management totaled $10 billion during the quarter, indicating a loss of client confidence and investment capital.
Cost Management Effectiveness: Adjusted non-compensation expenses for the full year were $575 million, which, despite being nearly flat, suggests limited cost management effectiveness amid rising operational costs.
Compensation Ratio Analysis: The compensation ratio for the full year was 65.9%, which, while improved, still indicates high personnel costs relative to revenue, potentially impacting profitability.
LAZ FAQs
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LAZ Earning Call Sentiment
Earnings call transcript: Lazard Q4 2024 beats expectations, stock dips
LAZ.N
-0.04%Positive
The earnings call highlights strong financial performance with 18% revenue growth, increased M&A activity, and optimistic guidance on mandates. Despite asset management challenges and a higher compensation ratio, the firm is investing in growth areas. Shareholder returns through dividends and repurchases are robust. The Q&A section suggests positive momentum in asset management and M&A, albeit with some management vagueness. Given the mid-cap status, the market is likely to react positively to the overall strong performance and strategic initiatives.
