Cohen & Company Reports First Quarter 2026 Financial Results
Rhea-AI Summary
Cohen & Company (NYSE: COHN) reported Q1 2026 results: revenue $57.9M, net income attributable to Cohen & Company of $1.5M ($0.42 diluted), and adjusted pre-tax income of $4.0M ($0.65 diluted). The Board declared a $0.25 quarterly dividend payable June 2, 2026. The company noted a $3.9B gestation repo book and completion of the $230M Columbus Circle Capital Corp. II IPO.
AI-generated analysis. Not financial advice.
Positive
- Revenue of $57.9 million in Q1 2026
- Adjusted pre-tax income of $4.0 million ($0.65 per diluted share)
- Gestation repo book reached $3.9 billion at March 31, 2026
- Sponsored SPAC completed $230 million IPO (Columbus Circle Capital Corp. II)
Negative
- Net income attributable declined to $1.5 million from $8.1 million in prior quarter
- Total equity decreased to $100.1 million from $103.1 million at year-end 2025
- Principal transactions revenue swung to negative $3.4 million in Q1 2026
News Market Reaction – COHN
On the day this news was published, COHN declined 21.55%, reflecting a significant negative market reaction. Argus tracked a trough of -13.7% from its starting point during tracking. Our momentum scanner triggered 14 alerts that day, indicating notable trading interest and price volatility. This price movement removed approximately $16M from the company's valuation, bringing the market cap to $58.18M at that time. Trading volume was elevated at 2.5x the daily average, suggesting increased selling activity.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
Peer moves appear mixed: within the broader capital markets/crypto‑adjacent group, some names are up while others are down, and scanner data flags only 2 peers with opposing directions. This points to COHN’s reaction being driven more by company-specific earnings details than a broad sector rotation.
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Apr 29 | Earnings release date | Neutral | +2.0% | Announced timing and webcast details for Q1 2026 financial results. |
| Mar 06 | Quarter & year results | Positive | +36.2% | Reported strong Q4 and FY 2025 revenue, earnings, and dividends. |
| Mar 04 | Earnings release date | Neutral | -0.5% | Set date and access details for Q4 and full-year 2025 results. |
| Nov 04 | Quarterly results | Positive | +10.1% | Reported Q3 2025 revenue, earnings, adjusted pre-tax income, and dividend. |
| Oct 31 | Earnings release date | Neutral | -3.1% | Announced Q3 2025 results date and conference call logistics. |
Earnings-related headlines have often coincided with meaningful moves, with an average same-tag move of about 8.95% and past earnings reports generally seeing positive price alignment.
Over the last few quarters, Cohen & Company has used earnings and related announcements to highlight rapid revenue growth, strong adjusted pre-tax income, and recurring dividends. Q3 and Q4 2025 results featured sizeable revenues and regular $0.25 dividends, with Q4 2025 drawing a 36.23% move. Release-date notices on Nov 4, 2025, Mar 6, 2026, and May 1, 2026 typically produced modest reactions. Today’s Q1 2026 results follow this pattern of frequent financial updates and capital returns.
Historical Comparison
Earnings and earnings-adjacent headlines have historically moved COHN by an average of 8.95%, with actual result releases often drawing stronger reactions than simple release-date notices.
Recent earnings coverage has moved from Q3 and full-year 2025 into Q1 2026, emphasizing rising revenues, recurring quarterly dividends, and growth in capital markets activities.
Market Pulse Summary
The stock dropped -21.6% in the session following this news. A negative reaction despite profitable Q1 2026 results would contrast with prior earnings, which averaged moves of 8.95% and often traded higher on strong quarters. The market may focus on quarter-over-quarter declines from Q4 2025 levels or sensitivity to principal transaction swings. Past use of sizable incentive awards and capital markets dependence could also amplify downside if investors reassess sustainability of recent growth or profitability.
Key Terms
spac financial
ipo financial
equity method affiliates financial
non-controlling interest financial
principal transactions financial
AI-generated analysis. Not financial advice.
Board Declares Quarterly Dividend of
Revenue of
Net Income Attributable to Cohen & Company Inc. of
Adjusted Pre-Tax Income of
PHILADELPHIA and NEW YORK, May 01, 2026 (GLOBE NEWSWIRE) -- Cohen & Company Inc. (NYSE American: COHN) (“Cohen & Company”) today reported financial results for its first quarter ended March 31, 2026.
Lester Brafman, Chief Executive Officer of Cohen & Company, said, “We are pleased to deliver another strong quarter, driven by the ongoing expansion of our client franchise. In particular, our full-service boutique investment bank, Cohen & Company Capital Markets, continued to generate positive results, with a focus on frontier technologies, including digital assets, energy transition, and natural resources. Also during the quarter, our gestation repo business continued to grow, reaching a book size of
Summary Operating Results
| Three Months Ended | ||||||||||||
| ($ in thousands) | 3/31/26 | 12/31/25 | 3/31/25 | |||||||||
| Investment banking and new issue | $ | 45,711 | $ | 54,704 | $ | 20,164 | ||||||
| Net trading | 13,200 | 13,819 | 9,211 | |||||||||
| Asset management | 2,419 | 2,681 | 2,020 | |||||||||
| Principal transactions and other revenue | (3,428 | ) | 31,536 | (2,655 | ) | |||||||
| Total revenues | 57,902 | 102,740 | 28,740 | |||||||||
| Compensation and benefits | 41,307 | 57,845 | 21,666 | |||||||||
| Non-compensation operating expenses | 11,462 | 14,850 | 6,967 | |||||||||
| Operating income (loss) | 5,133 | 30,045 | 107 | |||||||||
| Interest expense, net | (1,335 | ) | (1,460 | ) | (1,448 | ) | ||||||
| Income (loss) from equity method affiliates | (527 | ) | (5,081 | ) | 2,418 | |||||||
| Income (loss) before income tax expense (benefit) | 3,271 | 23,504 | 1,077 | |||||||||
| Income tax expense (benefit) | (182 | ) | (2,275 | ) | 139 | |||||||
| Net income (loss) | 3,453 | 25,779 | 938 | |||||||||
| Less: Net income (loss) attributable to the non-convertible non-controlling interest | (718 | ) | 5,254 | (173 | ) | |||||||
| Enterprise net income (loss) | 4,171 | 20,525 | 1,111 | |||||||||
| Less: Net income (loss) attributable to the convertible non-controlling interest | 2,679 | 12,424 | 782 | |||||||||
| Net income (loss) attributable to Cohen & Company Inc. | $ | 1,492 | $ | 8,101 | $ | 329 | ||||||
| Fully diluted net income (loss) per share | $ | 0.42 | $ | 1.48 | $ | 0.19 | ||||||
| Adjusted pre-tax income (loss) (1) | $ | 3,989 | $ | 18,250 | $ | 1,250 | ||||||
| Fully diluted adjusted pre-tax income (loss) per share (1) | $ | 0.65 | $ | 2.97 | $ | 0.22 | ||||||
| (1) | Adjusted pre-tax income (loss) and adjusted pre-tax income (loss) per share are not measures recognized under U.S. generally accepted accounting principles (“GAAP”). See Note 1 below. |
Financial Highlights
- Net income attributable to Cohen & Company Inc. was
$1.5 million , or$0.42 per diluted share, for the three months ended March 31, 2026, compared to$8.1 million , or$1.48 per diluted share, for the three months ended December 31, 2025, and$0.3 million , or$0.19 per diluted share, for the three months ended March 31, 2025. Adjusted pre-tax income was$4.0 million , or$0.65 per diluted share, for the three months ended March 31, 2026, compared to adjusted pre-tax income of$18.3 million , or$2.97 per diluted share, for the three months ended December 31, 2025, and adjusted pre-tax income of$1.3 million , or$0.22 per diluted share, for the three months ended March 31, 2025. Adjusted pre-tax income (loss) and adjusted pre-tax income (loss) per diluted share are not measures recognized under GAAP. See Note 1 below. - Revenue was
$57.9 million for the three months ended March 31, 2026, compared to$102.7 million for the prior quarter and$28.7 million for the prior year quarter. The prior quarter included the closing of the business combination between our sponsored-SPAC, Columbus Circle Capital Corp. I, and ProCap Financial, Inc.
- Investment banking and new issue revenue was
$45.7 million for the three months ended March 31, 2026, down$9.0 million from the prior quarter and up$25.5 million from the prior year quarter. Cohen & Company Capital Markets (“CCM”) generated$45.7 million ,$50.8 million , and$20.2 million of the investment banking and new issue revenue in 1Q26, 4Q25, and 1Q25, respectively. - Net trading revenue was
$13.2 million for the three months ended March 31, 2026, down$0.6 million from the prior quarter and up$4.0 million from the prior year quarter. The increase from the prior year quarter reflected higher trading revenue from the Company’s mortgage group, and the SPAC equity, CMO, and preferred equity trading desks. The gestation repo book of business was$3.9 billion at March 31, 2026. - Asset management revenue was
$2.4 million for the three months ended March 31, 2026, down$0.3 million from the prior quarter and up$0.4 million from the prior year quarter. - Principal transactions and other revenue was negative
$3.4 million for the three months ended March 31, 2026, compared to positive$31.5 million in the prior quarter and negative$2.7 million in the prior year quarter. In the prior quarter, the closing of the ProCap Financial, Inc. business combination generated$33.0 million of principal transactions revenue, including the markup of consolidated founder and placement shares held by the sponsor of the Columbus Circle Capital Corp. I, as well as$16.5 million of compensation and benefits expense related to founder shares allocable to employees upon the closing, and$8.5 million of non-convertible, non-controlling interest expense related to founder shares allocable to third party investors in the consolidated sponsor.
- Investment banking and new issue revenue was
- Compensation and benefits expense during the three months ended March 31, 2026 decreased
$16.5 million from the prior quarter and increased$19.6 million from the prior year quarter. The change from the prior quarter was primarily the result of the$16.5 million of compensation and benefits expense related to founder shares allocable to employees upon the closing of the ProCap Financial, Inc. business combination in the prior quarter. The change from the prior year quarter was primarily the result of fluctuations in revenue and the related variable incentive compensation. The number of Company employees was 128 as of March 31, 2026, compared to 126 as of December 31, 2025, and 117 as of March 31, 2025. - Interest expense during the three months ended March 31, 2026 was
$1.3 million , including$1.2 million on our trust preferred securities debt,$0.1 million on our senior promissory notes, and$44 thousand on our bank credit facility. - Loss from equity method affiliates for the three months ended March 31, 2026 was
$0.5 million , compared to a loss from equity method affiliates of$5.1 million for the prior quarter and income from equity method affiliates of$2.4 million for the prior year quarter. - Income tax benefit for the three months ended March 31, 2026 was
$0.2 million , compared to income tax benefit of$2.3 million in the prior quarter, and income tax expense of$0.1 million in the prior year quarter. The Company will continue to evaluate its operations on a quarterly basis and may adjust the valuation allowance applied against the Company's net operating loss and net capital loss tax assets. Future adjustments could be material and may result in additional tax benefit or tax expense.
Total Equity and Dividend Declaration
- As of March 31, 2026, total equity was
$100.1 million , compared to$103.1 million as of December 31, 2025; the non-convertible non-controlling interest component of total equity was$2.4 million as of March 31, 2026 and$0.4 million as of December 31, 2025. Thus, the total equity excluding the non-convertible non-controlling interest component was$97.8 million as of March 31, 2026, a$4.9 million decrease from$102.6 million as of December 31, 2025. - The Company’s Board of Directors has declared a quarterly dividend of
$0.25 per share, payable on June 2, 2026, to stockholders of record as of May 18, 2026. The Board of Directors will continue to evaluate the dividend policy each quarter, and future decisions regarding dividends may be impacted by quarterly operating results and the Company’s capital needs.
Conference Call
The Company will host a conference call at 10:00 a.m. Eastern Time (ET), today, May 1, 2026, to discuss these results. The conference call will be available via webcast. Interested parties can access the webcast by clicking the webcast link on the Company’s homepage at www.cohenandcompany.com. Those wishing to listen to the conference call with operator assistance can dial (877) 524-8416 (domestic) or +1 (412) 902-1028 (international). A replay of the call will be available for three days following the call by dialing (877) 660-6853 or (201) 612-7415, with participant passcode 13760351.
About Cohen & Company
Cohen & Company is a financial services company specializing in an expanding range of capital markets and asset management services. Cohen & Company’s operating segments are Capital Markets, Asset Management, and Principal Investing. The Capital Markets segment consists of sales, trading, gestation repo financing, new issue placements in corporate and securitized products, underwriting, and advisory services, operating primarily through Cohen & Company’s subsidiaries, Cohen & Company Securities, LLC (“Cohen Securities”) in the United States and Cohen & Company Financial (Europe) S.A. in Europe. A division of Cohen Securities, Cohen & Company Capital Markets (“CCM”) is the Company’s full-service boutique investment bank providing capital markets and SPAC advisory services to corporations, financial sponsors, investors, and institutions. The Capital Markets business segment also includes investment returns on financial instruments that the Company has received as consideration for investment banking and new issue services provided by CCM. The Asset Management segment manages and services assets through investment funds, managed accounts, joint ventures, and collateralized debt obligations. As of March 31, 2026, the Company had approximately
Note 1: Adjusted pre-tax income (loss) and adjusted pre-tax income (loss) per share are non-GAAP measures of performance. Please see the discussion under “Non-GAAP Measures” below. Also see the tables below for the reconciliations of non-GAAP measures of performance to their corresponding GAAP measures of performance.
Forward-looking Statements
This communication contains certain statements, estimates, and forecasts with respect to future performance and events. These statements, estimates, and forecasts are “forward-looking statements.” In some cases, forward-looking statements can be identified by the use of forward-looking terminology such as “may,” “might,” “will,” “should,” “expect,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” “seek,” or “continue” or the negatives thereof or variations thereon or similar terminology. All statements other than statements of historical fact included in this communication are forward-looking statements and are based on various underlying assumptions and expectations and are subject to known and unknown risks, uncertainties, and assumptions, and may include projections of our future financial performance based on our growth strategies and anticipated trends in our business. These statements are based on our current expectations and projections about future events. There are important factors that could cause our actual results, level of activity, performance, or achievements to differ materially from the results, level of activity, performance, or achievements expressed or implied in the forward-looking statements including, but not limited to, those discussed under the heading “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition” in our filings with the Securities and Exchange Commission (“SEC”), which are available at the SEC’s website at www.sec.gov and our website at www.cohenandcompany.com/investor-relations/sec-filings. Such risk factors include the following: (a) a decline in general economic conditions or the global financial markets, including those caused by inflation, raising interest rates, and the current geopolitical situation, (b) unfavorable market conditions may lead to a reduction in revenues from our investment banking and new issue revenues, including from underwriting and placement activities, (c) losses caused by financial or other problems experienced by third parties, (d) losses due to unidentified or unanticipated risks, (e) a lack of liquidity, i.e., ready access to funds for use in our businesses, (f) the ability to attract and retain personnel, (g) litigation and regulatory proceedings, (h) reputational harm due to losses or our inability to sell securities we purchase as an underwriter at the anticipated price levels, (i) competitive pressure, (j) an inability to generate incremental income from new or expanded businesses, (k) unanticipated market closures or effects due to inclement weather or other disasters, (l) losses (whether realized or unrealized) on our principal investments, (m) the possibility that payments to the Company of subordinated management fees from its CDOs will continue to be deferred or will be discontinued, (n) the possibility that the Company’s stockholder rights plan may fail to preserve the value of the Company’s deferred tax assets, whether as a result of the acquisition by a person of
Cautionary Note Regarding Quarterly Financial Results
Due to the nature of our business, our revenue and operating results may fluctuate materially from quarter to quarter. Accordingly, revenue and net income in any particular quarter may not be indicative of future results. Further, our employee compensation arrangements are in large part incentive-based and, therefore, will fluctuate with revenue. The amount of compensation expense recognized in any one quarter may not be indicative of such expense in future periods. As a result, we suggest that annual results may be the most meaningful gauge for investors in evaluating our business performance.
| COHEN & COMPANY INC. | |||||||||||||
| CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) | |||||||||||||
| (in thousands, except per share data) | |||||||||||||
| Three Months Ended | |||||||||||||
| 3/31/26 | 12/31/25 | 3/31/25 | |||||||||||
| Revenues | |||||||||||||
| Investment banking and new issue | $ | 45,711 | $ | 54,704 | $ | 20,164 | |||||||
| Net trading | 13,200 | 13,819 | 9,211 | ||||||||||
| Asset management | 2,419 | 2,681 | 2,020 | ||||||||||
| Principal transactions and other revenue | (3,428 | ) | 31,536 | (2,655 | ) | ||||||||
| Total revenues | 57,902 | 102,740 | 28,740 | ||||||||||
| Operating expenses | |||||||||||||
| Compensation and benefits | 41,307 | 57,845 | 21,666 | ||||||||||
| Business development, occupancy, equipment | 2,383 | 2,039 | 1,829 | ||||||||||
| Subscriptions, clearing, and execution | 3,952 | 8,650 | 2,174 | ||||||||||
| Professional services and other operating | 4,924 | 3,964 | 2,792 | ||||||||||
| Depreciation and amortization | 203 | 197 | 172 | ||||||||||
| Total operating expenses | 52,769 | 72,695 | 28,633 | ||||||||||
| Operating income (loss) | 5,133 | 30,045 | 107 | ||||||||||
| Non-operating income (expense) | |||||||||||||
| Interest expense, net | (1,335 | ) | (1,460 | ) | (1,448 | ) | |||||||
| Income (loss) from equity method affiliates | (527 | ) | (5,081 | ) | 2,418 | ||||||||
| Income (loss) before income tax expense (benefit) | 3,271 | 23,504 | 1,077 | ||||||||||
| Income tax expense (benefit) | (182 | ) | (2,275 | ) | 139 | ||||||||
| Net income (loss) | 3,453 | 25,779 | 938 | ||||||||||
| Less: Net income (loss) attributable to the non-convertible non-controlling interest | (718 | ) | 5,254 | (173 | ) | ||||||||
| Enterprise net income (loss) | 4,171 | 20,525 | 1,111 | ||||||||||
| Less: Net income (loss) attributable to the convertible non-controlling interest | 2,679 | 12,424 | 782 | ||||||||||
| Net income (loss) attributable to Cohen & Company Inc. | $ | 1,492 | $ | 8,101 | $ | 329 | |||||||
| Earnings per share | |||||||||||||
| Basic | |||||||||||||
| Net income (loss) attributable to Cohen & Company Inc. | $ | 1,492 | $ | 8,101 | $ | 329 | |||||||
| Basic shares outstanding | 1,824 | 1,742 | 1,705 | ||||||||||
| Net income (loss) attributable to Cohen & Company Inc. per share | $ | 0.82 | $ | 4.65 | $ | 0.19 | |||||||
| Fully Diluted | |||||||||||||
| Net income (loss) attributable to Cohen & Company Inc. | $ | 1,492 | $ | 8,101 | $ | 329 | |||||||
| Net income (loss) attributable to the convertible non-controlling interest | 2,679 | 12,424 | 782 | ||||||||||
| Income tax and conversion adjustment | (1,592 | ) | (11,432 | ) | 2 | ||||||||
| Net income (loss) attributable to Cohen & Company Inc. for fully diluted net income (loss) per share calculation | $ | 2,579 | $ | 9,093 | $ | 1,113 | |||||||
| Basic shares outstanding | 1,824 | 1,742 | 1,705 | ||||||||||
| Unrestricted Operating LLC membership units exchangeable into COHN shares | 4,173 | 4,128 | 4,061 | ||||||||||
| Additional dilutive shares | 108 | 267 | 42 | ||||||||||
| Fully diluted shares outstanding (1) | 6,105 | 6,137 | 5,808 | ||||||||||
| Fully diluted net income (loss) per share | $ | 0.42 | $ | 1.48 | $ | 0.19 | |||||||
| Reconciliation of adjusted pre-tax income (loss) to net income (loss) attributable to Cohen & Company Inc. and calculations of per share amounts | |||||||||||||
| Net income (loss) attributable to Cohen & Company Inc. | $ | 1,492 | $ | 8,101 | $ | 329 | |||||||
| Addback (deduct): Income tax expense (benefit) | (182 | ) | (2,275 | ) | 139 | ||||||||
| Addback (deduct): Net income (loss) attributable to the convertible non-controlling interest | 2,679 | 12,424 | 782 | ||||||||||
| Adjusted pre-tax income (loss) | $ | 3,989 | $ | 18,250 | $ | 1,250 | |||||||
| Adjusted fully diluted shares outstanding (2) | 6,105 | 6,137 | 5,808 | ||||||||||
| Fully diluted adjusted pre-tax income (loss) per share | $ | 0.65 | $ | 2.97 | $ | 0.22 | |||||||
| (1) When the fully diluted net income (loss) per share is anti-dilutive, the basic shares outstanding are presented on this line item. | |||||||||||||
| (2) Adjusted fully diluted shares outstanding includes (a) weighted average unrestricted and restricted Operating LLC units exchangeable into COHN shares and (b) weighted average unrestricted and restricted shares, even during periods when the corresponding GAAP calculation of fully diluted shares outstanding above does not include them. The Operating LLC units are always included because the non-GAAP measure of performance, adjusted pre-tax income (loss), always includes net income (loss) attributable to the corresponding convertible interest. | |||||||||||||
| COHEN & COMPANY INC. | |||||||||
| CONSOLIDATED BALANCE SHEETS | |||||||||
| (in thousands) | |||||||||
| March 31, 2026 | |||||||||
| (unaudited) | December 31, 2025 | ||||||||
| Assets | |||||||||
| Cash and cash equivalents | $ | 18,992 | $ | 56,762 | |||||
| Receivables from brokers, dealers, and clearing agencies | 38,371 | 46,194 | |||||||
| Due from related parties | 1,807 | 1,401 | |||||||
| Other receivables | 12,838 | 8,896 | |||||||
| Investments - trading | 154,427 | 140,576 | |||||||
| Other investments, at fair value | 61,578 | 57,258 | |||||||
| Receivables under resale agreements | 359,602 | 357,408 | |||||||
| Investment in equity method affiliates | 11,258 | 6,661 | |||||||
| Deferred income taxes | 4,126 | 4,126 | |||||||
| Goodwill | 109 | 109 | |||||||
| Right-of-use asset - operating leases | 15,226 | 15,406 | |||||||
| Other assets | 5,803 | 5,788 | |||||||
| Total assets | $ | 684,137 | $ | 700,585 | |||||
| Liabilities | |||||||||
| Payables to brokers, dealers, and clearing agencies | $ | 22,764 | $ | 4 | |||||
| Accounts payable and other liabilities | 16,738 | 17,944 | |||||||
| Due to related parties | 2,809 | - | |||||||
| Accrued compensation | 55,840 | 92,689 | |||||||
| Trading securities sold, not yet purchased | 38,095 | 36,617 | |||||||
| Other investments sold, not yet purchased, at fair value | 11 | - | |||||||
| Securities sold under agreements to repurchase | 402,389 | 400,391 | |||||||
| Operating lease liability | 16,755 | 16,959 | |||||||
| Debt | 28,590 | 32,895 | |||||||
| Total liabilities | 583,991 | 597,499 | |||||||
| Equity | |||||||||
| Voting non-convertible preferred stock | 27 | 27 | |||||||
| Common stock | 25 | 21 | |||||||
| Additional paid-in capital | 79,868 | 78,539 | |||||||
| Accumulated other comprehensive loss | (943 | ) | (914 | ) | |||||
| Accumulated deficit | (27,452 | ) | (26,593 | ) | |||||
| Total stockholders' equity | 51,525 | 51,080 | |||||||
| Non-controlling interest | 48,621 | 52,006 | |||||||
| Total equity | 100,146 | 103,086 | |||||||
| Total liabilities and equity | $ | 684,137 | $ | 700,585 | |||||
Non-GAAP Measures
Adjusted pre-tax income (loss) and adjusted pre-tax income (loss) per diluted share
Adjusted pre-tax income (loss) is not a financial measure recognized by GAAP. Adjusted pre-tax income (loss) represents net income (loss) attributable to Cohen & Company Inc., computed in accordance with GAAP, excluding income tax expense (benefit), plus the net income (loss) attributable to the convertible non-controlling interest. Income tax expense (benefit) has been excluded because a pre-tax measurement of enterprise earnings that includes net income (loss) attributable to the convertible non-controlling interest is a useful and appropriate measure of performance. Furthermore, our income tax expense (benefit) has been, and we expect it will continue to be, a substantially non-cash item for the foreseeable future, generated from adjustments in our valuation allowance applied to the Company’s gross deferred tax assets. Convertible non-controlling interest is added back to adjusted pre-tax income (loss) because the underlying Cohen & Company, LLC equity units are convertible into Cohen & Company Inc. shares. Adjusted pre-tax income (loss) per diluted share is calculated by dividing adjusted pre-tax income (loss) by diluted shares outstanding, both of which include adjustments used in the corresponding calculation in accordance with GAAP.
We present adjusted pre-tax income (loss) and related per diluted share amounts in this release because we consider them to be useful and appropriate supplemental measures of our performance. Adjusted pre-tax income (loss) and related per diluted share amounts help us to evaluate our performance without the effects of certain GAAP calculations that may not have a direct cash or recurring impact on our current operating performance. In addition, our management uses adjusted pre-tax income (loss) and related per diluted share amounts to evaluate the performance of our enterprise operations. Adjusted pre-tax income (loss) and related per diluted share amounts, as we define them, are not necessarily comparable to similarly named measures of other companies and may not be appropriate measures for performance relative to other companies. Adjusted pre-tax income (loss) should not be assessed in isolation from or construed as a substitute for net income (loss) attributable to Cohen & Company Inc. prepared in accordance with GAAP. Adjusted pre-tax income (loss) is not intended to represent and should not be considered to be a more meaningful measure than, or an alternative to, measures of operating performance as determined in accordance with GAAP.
| Contact: | |
| Investors - | Media - |
| Cohen & Company Inc. | Joele Frank, Wilkinson Brimmer Katcher |
| Joseph W. Pooler, Jr. | Joseph Sala or Zach Genirs |
| Executive Vice President and | 212-355-4449 |
| Chief Financial Officer | |
| 215-701-8952 | |
| investorrelations@cohenandcompany.com |
