PJT Partners (PJT) Q4 2025 earnings summary

Executive summary

• Achieved record full-year 2025 revenues of $1.714 billion, up 15% year-over-year, and record Q4 revenues of $535 million, up 12% year-over-year, reflecting strong firm-wide performance and investment in talent and capabilities.

• Adjusted EPS for 2025 was $6.98, up 39% year-over-year; GAAP diluted EPS was $6.68, up 36%.

• Adjusted pre-tax income for 2025 was $357 million, up 28% year-over-year; Q4 adjusted pre-tax income was $127 million, up 19%.

• Net income attributable to the company for 2025 was $180.1 million, up from $134.4 million in 2024.

• Firm-wide partner headcount increased 12% and total headcount rose 7% year-over-year, with 133 partners and 1,224 employees across 16 offices worldwide.

Financial highlights

• Full year 2025 revenues reached $1.714 billion, up 15% year-over-year; Q4 revenues were $535 million, up 12% year-over-year.

• Advisory fees for 2025 totaled $1.5 billion, up 14%; placement fees were $181.6 million, up 24% year-over-year.

• Adjusted pre-tax margin was 20.8% for the year and 23.7% for Q4.

• Adjusted compensation expense was $1.15 billion for the year (67.1% ratio, down from 69% in 2024); Q4 comp ratio was 66.2%.

• Non-compensation expense increased to $213 million, mainly due to higher occupancy, travel, and technology investments.

Outlook and guidance

• Management remains highly confident in future growth prospects, citing a differentiated business mix, secular tailwinds, and growth opportunities across all segments.

• Non-compensation expense in 2026 expected to grow at a similar rate as 2025; more guidance to be provided with Q1 results.

• 2026 tax rate estimated in the high-teens percentage range.

• Compensation ratio expected to continue trending down, with further guidance at Q1 results.

• Strategic Advisory pipeline for pre-announced transactions is up meaningfully year-over-year, near record levels.