Moelis & Company

Good afternoon and welcome to the Mollis & Company earnings conference call for the third quarter of 2024. To begin, I'll turn the call over to Mr. Matt Zucroff.

Good afternoon and thank you for joining us for Mollis & Company's third quarter 2024 financial results conference call. On the phone today are Ken Mollis, Chairman and CEO, and Joe Simon, Chief Financial Officer. Before we begin, I would like to note that the remarks made on this call may contain certain forward-looking statements. which are subject to various risks and uncertainties, including those identified from time to time in the risk factor section of moles and companies' filings with the SEC. Actual results could differ materially from those currently anticipated. The firm undertakes no obligation to update any forward-looking statements. Our comments today include references to certain adjusted financial measures. We believe these measures, when presented together with comparable gap measures, are useful to investors to compare our results across several periods and to better understand our operating results. The reconciliation of these adjusted financial measures with the relevant GAAP financial information and other information required by Reg G is provided in the firm's earnings release, which can be found on our investor relations website at investors.mulls.com. I'll now turn the call over to Joe to discuss our results.

Thanks, Matt. Good afternoon, everyone. On today's call, I'll go through our financial results, and then Ken will comment further on the business. We reported $281 million of adjusted revenues in the third quarter. Our adjusted revenues for the first nine months were $763 million, up 18% from the prior year period. The year-over-year increase in revenues for the first nine months of the year is driven by growth across all major product areas, and our year-to-date revenue distribution remains approximately 60% M&A, 40% non-M&A. Moving to expenses, our third quarter compensation expense was accrued at 75%, consistent with the first two quarters. Our non-compensation expenses in the third quarter were $48 million, and we expect a similar non-comp expense result in quarter four. Moving to taxes, our underlying corporate tax rate was 34%, consistent with the prior quarter. Regarding capital allocation, the board declared a regular quarterly dividend of $0.60 per share, consistent with the prior period. And lastly, we continue to maintain a strong balance sheet with $298 million of cash and no debt. And I'll now turn the call over to Ken.