Cohen & Company Reports Fourth Quarter & Full Year 2024 Financial Results
Cohen & Company (NYSE: COHN) reported its Q4 and full-year 2024 financial results, posting a Q4 net loss of $2.0 million ($1.21 per diluted share), compared to net income of $2.2 million in Q3 2024 and $4.5 million in Q4 2023.
Q4 2024 revenues decreased to $18.5 million from $31.7 million in Q3 2024. The company's Cohen & Company Capital Markets (CCM) achieved full-year revenue of $38.9 million, nearly doubling from $21.9 million in 2023. The mortgage business grew with a gestation repo book reaching $2.7 billion, up 30% from December 2023.
The Board declared a quarterly dividend of $0.25 per share, payable on April 9, 2025, to stockholders of record as of March 26, 2025. Total equity stood at $90.3 million as of December 31, 2024, compared to $91.8 million at the end of 2023.
Cohen & Company (NYSE: COHN) ha riportato i risultati finanziari del quarto trimestre e dell'intero anno 2024, registrando una perdita netta nel Q4 di 2,0 milioni di dollari (1,21 dollari per azione diluita), rispetto a un utile netto di 2,2 milioni di dollari nel Q3 2024 e 4,5 milioni di dollari nel Q4 2023.
I ricavi del Q4 2024 sono diminuiti a 18,5 milioni di dollari rispetto ai 31,7 milioni di dollari del Q3 2024. La Cohen & Company Capital Markets (CCM) ha raggiunto un fatturato annuo di 38,9 milioni di dollari, quasi raddoppiando rispetto ai 21,9 milioni di dollari del 2023. Il settore dei mutui è cresciuto, con un portafoglio di riacquisto gestito che ha raggiunto i 2,7 miliardi di dollari, in aumento del 30% rispetto a dicembre 2023.
Il Consiglio di Amministrazione ha dichiarato un dividendo trimestrale di 0,25 dollari per azione, pagabile il 9 aprile 2025, agli azionisti registrati al 26 marzo 2025. Il patrimonio totale ammontava a 90,3 milioni di dollari al 31 dicembre 2024, rispetto ai 91,8 milioni di dollari alla fine del 2023.
Cohen & Company (NYSE: COHN) informó sus resultados financieros del cuarto trimestre y del año completo 2024, registrando una pérdida neta de 2,0 millones de dólares (1,21 dólares por acción diluida) en el Q4, en comparación con una ganancia neta de 2,2 millones de dólares en el Q3 2024 y 4,5 millones de dólares en el Q4 2023.
Los ingresos del Q4 2024 disminuyeron a 18,5 millones de dólares desde 31,7 millones de dólares en el Q3 2024. La Cohen & Company Capital Markets (CCM) logró un ingreso anual de 38,9 millones de dólares, casi duplicándose desde los 21,9 millones de dólares en 2023. El negocio hipotecario creció con un libro de recompra gestionado que alcanzó los 2,7 mil millones de dólares, un aumento del 30% desde diciembre de 2023.
La Junta declaró un dividendo trimestral de 0,25 dólares por acción, pagadero el 9 de abril de 2025, a los accionistas registrados a partir del 26 de marzo de 2025. El patrimonio total se situó en 90,3 millones de dólares al 31 de diciembre de 2024, en comparación con 91,8 millones de dólares a finales de 2023.
Cohen & Company (NYSE: COHN)는 2024년 4분기 및 전체 연도 재무 결과를 발표하며 4분기 순손실이 200만 달러(희석주당 1.21달러)로 나타났다고 보고했습니다. 이는 2024년 3분기 220만 달러의 순이익 및 2023년 4분기 450만 달러에 비해 감소한 수치입니다.
2024년 4분기 수익은 3분기 3,170만 달러에서 1,850만 달러로 감소했습니다. Cohen & Company Capital Markets (CCM)는 2023년 2,190만 달러에서 거의 두 배 증가한 3,890만 달러의 연간 수익을 달성했습니다. 모기지 사업은 2023년 12월 대비 30% 증가한 27억 달러의 관리 리포 포트폴리오로 성장했습니다.
이사회는 주당 0.25달러의 분기 배당금을 선언했으며, 이는 2025년 4월 9일에 지급되며, 2025년 3월 26일 기준 주주에게 지급됩니다. 2024년 12월 31일 기준 총 자산은 9,030만 달러로, 2023년 말 9,180만 달러와 비교됩니다.
Cohen & Company (NYSE: COHN) a annoncé ses résultats financiers du quatrième trimestre et de l'année complète 2024, affichant une perte nette de 2,0 millions de dollars (1,21 dollar par action diluée) au Q4, contre un bénéfice net de 2,2 millions de dollars au Q3 2024 et 4,5 millions de dollars au Q4 2023.
Les revenus du Q4 2024 ont diminué à 18,5 millions de dollars contre 31,7 millions de dollars au Q3 2024. La Cohen & Company Capital Markets (CCM) a atteint un chiffre d'affaires annuel de 38,9 millions de dollars, presque le double des 21,9 millions de dollars en 2023. Le secteur des hypothèques a connu une croissance avec un portefeuille de rachat géré atteignant 2,7 milliards de dollars, en hausse de 30 % par rapport à décembre 2023.
Le Conseil d'Administration a déclaré un dividende trimestriel de 0,25 dollar par action, payable le 9 avril 2025, aux actionnaires enregistrés au 26 mars 2025. Les capitaux propres totaux s'élevaient à 90,3 millions de dollars au 31 décembre 2024, contre 91,8 millions de dollars à la fin de 2023.
Cohen & Company (NYSE: COHN) hat die finanziellen Ergebnisse für das vierte Quartal und das Gesamtjahr 2024 veröffentlicht, wobei ein Nettoverlust von 2,0 Millionen Dollar (1,21 Dollar pro verwässerter Aktie) im Q4 verzeichnet wurde, im Vergleich zu einem Nettogewinn von 2,2 Millionen Dollar im Q3 2024 und 4,5 Millionen Dollar im Q4 2023.
Die Einnahmen im Q4 2024 sanken auf 18,5 Millionen Dollar von 31,7 Millionen Dollar im Q3 2024. Die Cohen & Company Capital Markets (CCM) erzielte einen Jahresumsatz von 38,9 Millionen Dollar, was fast einer Verdopplung von 21,9 Millionen Dollar im Jahr 2023 entspricht. Das Hypothekengeschäft wuchs mit einem verwalteten Rückkaufbuch, das 2,7 Milliarden Dollar erreichte, was einem Anstieg von 30 % gegenüber Dezember 2023 entspricht.
Der Vorstand erklärte eine vierteljährliche Dividende von 0,25 Dollar pro Aktie, die am 9. April 2025 an die Aktionäre ausgezahlt wird, die am 26. März 2025 im Aktienregister stehen. Das Gesamteigenkapital betrug am 31. Dezember 2024 90,3 Millionen Dollar, verglichen mit 91,8 Millionen Dollar Ende 2023.
- CCM revenue nearly doubled to $38.9 million in 2024 from $21.9 million in 2023
- Mortgage business grew 30% with gestation repo book reaching $2.7 billion
- Maintained quarterly dividend of $0.25 per share
- Net trading revenue increased $1.1 million from prior year quarter
- Q4 2024 net loss of $2.0 million vs net income of $4.5 million in Q4 2023
- Q4 revenues declined to $18.5 million from $31.7 million in Q3 2024
- New issue and advisory revenue decreased by $12.4 million from previous quarter
- Total equity decreased to $90.3 million from $91.8 million year-over-year
Insights
Cohen & Company's Q4 2024 results mark a significant deterioration in performance, with a net loss of $2.0 million ($1.21 per share) compared to net income of $2.2 million in Q3 2024 and $4.5 million in Q4 2023. This represents a concerning reversal in profitability.
Most alarming is the steep revenue decline to $18.5 million - a 42% drop from Q3 2024 ($31.7 million) and 46% below Q4 2023 ($34.5 million). The primary driver was new issue and advisory revenue, which fell by $12.4 million quarter-over-quarter and $8.6 million year-over-year, indicating significant weakness in their investment banking activities.
Adjusted pre-tax figures highlight an even more dramatic swing, with a $7.7 million loss in Q4 2024 versus $7.7 million profit in Q3 2024 and $16.0 million profit in Q4 2023.
While the mortgage business shows some resilience with a 30% year-over-year increase in their gestation repo book to $2.7 billion (impressive given elevated mortgage rates), this wasn't enough to offset weakness elsewhere.
The maintained quarterly dividend of $0.25 per share (representing approximately a 10.6% annual yield at current prices) raises questions about capital allocation given the shift to losses. Though total equity remains substantial at $90.3 million, it declined slightly from $91.8 million at year-end 2023.
The year-over-year comparison is further complicated by the $17.9 million swing in equity method affiliates, from $17.2 million income in Q4 2023 to a $0.7 million loss in Q4 2024, related to SPAC activity timing.
Board Declares Quarterly Dividend of
PHILADELPHIA and NEW YORK, March 10, 2025 (GLOBE NEWSWIRE) -- Cohen & Company Inc. (NYSE American: COHN), a financial services firm specializing in an expanding range of capital markets and asset management services, today reported financial results for its fourth quarter and full year ended December 31, 2024.
Summary Operating Results
| Three Months Ended | Twelve Months Ended | ||||||||||||||||||
| ($ in thousands) | 12/31/24 | 9/30/24 | 12/31/23 | 12/31/24 | 12/31/23 | ||||||||||||||
| Net trading | $ | 8,947 | $ | 8,816 | $ | 7,809 | $ | 36,409 | $ | 30,926 | |||||||||
| Asset management | 2,067 | 2,147 | 1,919 | 9,009 | 7,337 | ||||||||||||||
| New issue and advisory | 10,075 | 22,459 | 18,722 | 63,422 | 28,264 | ||||||||||||||
| Principal transactions and other revenue | (2,548 | ) | (1,727 | ) | 6,014 | (29,242 | ) | 16,454 | |||||||||||
| Total revenues | 18,541 | 31,695 | 34,464 | 79,598 | 82,981 | ||||||||||||||
| Compensation and benefits | 12,935 | 17,915 | 16,335 | 56,388 | 52,092 | ||||||||||||||
| Non-compensation operating expenses | 11,109 | 6,558 | 6,680 | 31,233 | 24,028 | ||||||||||||||
| Operating income (loss) | (5,503 | ) | 7,222 | 11,449 | (8,023 | ) | 6,861 | ||||||||||||
| Interest expense, net | (1,474 | ) | (1,256 | ) | (1,619 | ) | (5,821 | ) | (6,526 | ) | |||||||||
| Income (loss) from equity method affiliates | (662 | ) | (683 | ) | 17,217 | 21,704 | 15,609 | ||||||||||||
| Income (loss) before income tax expense (benefit) | (7,639 | ) | 5,283 | 27,047 | 7,860 | 15,944 | |||||||||||||
| Income tax expense (benefit) | (764 | ) | 142 | 166 | (329 | ) | 5,545 | ||||||||||||
| Net income (loss) | (6,875 | ) | 5,141 | 26,881 | 8,189 | 10,399 | |||||||||||||
| Less: Net income (loss) attributable to the non-convertible non-controlling interest | 66 | (2,455 | ) | 11,054 | 8,675 | 19,590 | |||||||||||||
| Enterprise net income (loss) | (6,941 | ) | 7,596 | 15,827 | (486 | ) | (9,191 | ) | |||||||||||
| Less: Net income (loss) attributable to the convertible non-controlling interest | (4,988 | ) | 5,446 | 11,279 | (357 | ) | (4,078 | ) | |||||||||||
| Net income (loss) attributable to Cohen & Company Inc. | $ | (1,953 | ) | $ | 2,150 | $ | 4,548 | $ | (129 | ) | $ | (5,113 | ) | ||||||
| Fully diluted net income (loss) per share | $ | (1.21 | ) | $ | 1.31 | $ | 2.97 | $ | (0.08 | ) | $ | (3.38 | ) | ||||||
| Adjusted pre-tax income (loss) (1) | $ | (7,705 | ) | $ | 7,738 | $ | 15,993 | $ | (815 | ) | $ | (3,646 | ) | ||||||
| Fully diluted adjusted pre-tax income (loss) per share | $ | (1.32 | ) | $ | 1.34 | $ | 2.88 | $ | (0.14 | ) | $ | (0.66 | ) | ||||||
(1) Adjusted pre-tax income (loss) is not a measure recognized under U.S. generally accepted accounting principles (“GAAP”). See Note 1 below.
Lester Brafman, Chief Executive Officer of Cohen & Company, said, “In 2024, Cohen & Company Capital Markets (“CCM”), our full-service boutique investment bank, continued to grow market share as an advisor and agent, expanding into underwriting initial public offerings. While CCM revenue was down compared to the third quarter of 2024, our actions to strengthen the business throughout the year generated full year CCM revenue of
Brafman continued, “Despite continued elevated mortgage rates and lower levels of mortgage origination, we were able to grow our mortgage business in 2024, ending the year with a gestation repo book of
Financial Highlights
- Net loss attributable to Cohen & Company Inc. was
$2.0 million , or$1.21 per diluted share, for the three months ended December 31, 2024, compared to net income of$2.2 million , or$1.31 per diluted share, for the three months ended September 30, 2024, and net income of$4.5 million , or$2.97 per diluted share, for the three months ended December 31, 2023. Adjusted pre-tax loss was$7.7 million , or$1.32 per diluted share, for the three months ended December 31, 2024, compared to adjusted pre-tax income of$7.7 million , or$1.34 per diluted share, for the three months ended September 30, 2024, and adjusted pre-tax income of$16.0 million , or$2.88 per diluted share, for the three months ended December 31, 2023. Adjusted pre-tax income (loss) and adjusted pre-tax income (loss) per diluted share are not measures recognized under GAAP. See Note 1 below. - Revenues were
$18.5 million for the three months ended December 31, 2024, compared to$31.7 million for the prior quarter and$34.5 million for the prior year quarter.
- Net trading revenue was
$8.9 million for the three months ended December 31, 2024, comparable to the prior quarter and up$1.1 million from the prior year quarter. The increase from the prior year quarter was due primarily to higher trading revenue from our mortgage group. - Asset management revenue was
$2.1 million for the three months ended December 31, 2024, down slightly from the prior quarter and up$0.1 million from the prior year quarter. The change from the prior year quarter was related primarily to deferred performance fees in one of our European funds. - New issue and advisory revenue was
$10.1 million for the three months ended December 31, 2024, down$12.4 million from the prior quarter and down$8.6 million from the prior year quarter. - Principal transactions and other revenue was negative
$2.5 million for the three months ended December 31, 2024, compared to negative$1.7 million in the prior quarter and positive$6.0 million in the prior year quarter.
- Net trading revenue was
- Compensation and benefits expense during the three months ended December 31, 2024 decreased
$5.0 million from the prior quarter and decreased$3.4 million from the prior year quarter. The number of Company employees was 113 as of December 31, 2024, compared to 113 as of September 30, 2024, and 118 as of December 31, 2023. - Interest expense during the three months ended December 31, 2024 was
$1.5 million , including$1.2 million on our trust preferred securities debt,$0.3 million on our senior promissory notes, and$19 thousand on our bank credit facility. During September 2024, the Company restructured two-thirds of its redeemable financial instrument into a promissory note and repaid the remaining one-third in cash. - Loss from equity method affiliates for the three months ended December 31, 2024 was
$0.7 million , compared to loss from equity method affiliates of$0.7 million for the prior quarter and income from equity method affiliates of$17.2 million for the prior year quarter. Income (loss) from equity method affiliates fluctuates primarily depending on the timing of the closing of the business combinations by the Company’s equity method investees that are sponsors of SPACs, which typically results in changes to the value of founder shares allocable to the Company by the SPAC sponsors. Also, certain sponsors of SPACs hold the founder shares for some period after the business combination, which may cause income (loss) for equity method affiliates to further fluctuate. During the fourth quarter of 2023, there were four business combinations that closed, which resulted in that quarter’s significant income from equity method affiliates. - Income tax benefit for the three months ended December 31, 2024 was
$0.8 million , compared to income tax expense of$0.1 million in the prior quarter, and income tax expense of$0.2 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 December 31, 2024, total equity was
$90.3 million , compared to$91.8 million as of December 31, 2023; the non-convertible non-controlling interest component of total equity was$11.5 million as of December 31, 2024 and$9.6 million as of December 31, 2023. Thus, the total equity excluding the non-convertible non-controlling interest component was$78.8 million as of December 31, 2024, a$3.4 million decrease from$82.2 million as of December 31, 2023. - The Company’s Board of Directors has declared a quarterly dividend of
$0.25 per share, payable on April 9, 2025, to stockholders of record as of March 26, 2025. 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, March 10, 2025, 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 13752190.
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 fixed income sales, trading, gestation repo financing, new issue placements in corporate and securitized products, underwriting, and advisory services, operating primarily through Cohen & Company’s subsidiaries, J.V.B. Financial Group, LLC in the United States and Cohen & Company Financial (Europe) S.A. in Europe. A division of JVB, Cohen & Company Capital Markets (“CCM”) is the Company’s full-service boutique investment bank that focuses on mergers and acquisitions (“M&A”), capital markets, and SPAC advisory services. The Capital Markets business segment also includes investment returns on financial instruments that the Company has received as consideration for advisory, underwriting, and new issue placement services provided by CCM. The Asset Management segment manages assets through collateralized debt obligations, managed accounts, joint ventures, and investment funds. As of December 31, 2024, 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 new issue and advisory 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 | Twelve Months Ended | ||||||||||||||||||||
| 12/31/24 | 9/30/24 | 12/31/23 | 12/31/24 | 12/31/23 | |||||||||||||||||
| Revenues | |||||||||||||||||||||
| Net trading | $ | 8,947 | $ | 8,816 | $ | 7,809 | $ | 36,409 | $ | 30,926 | |||||||||||
| Asset management | 2,067 | 2,147 | 1,919 | 9,009 | 7,337 | ||||||||||||||||
| New issue and advisory | 10,075 | 22,459 | 18,722 | 63,422 | 28,264 | ||||||||||||||||
| Principal transactions and other revenue | (2,548 | ) | (1,727 | ) | 6,014 | (29,242 | ) | 16,454 | |||||||||||||
| Total revenues | 18,541 | 31,695 | 34,464 | 79,598 | 82,981 | ||||||||||||||||
| Operating expenses | |||||||||||||||||||||
| Compensation and benefits | 12,935 | 17,915 | 16,335 | 56,388 | 52,092 | ||||||||||||||||
| Business development, occupancy, equipment | 2,018 | 1,567 | 1,317 | 6,617 | 5,204 | ||||||||||||||||
| Subscriptions, clearing, and execution | 2,645 | 2,691 | 2,088 | 9,639 | 8,965 | ||||||||||||||||
| Professional services and other operating | 6,283 | 2,156 | 3,145 | 14,421 | 9,296 | ||||||||||||||||
| Depreciation and amortization | 163 | 144 | 130 | 556 | 563 | ||||||||||||||||
| Total operating expenses | 24,044 | 24,473 | 23,015 | 87,621 | 76,120 | ||||||||||||||||
| Operating income (loss) | (5,503 | ) | 7,222 | 11,449 | (8,023 | ) | 6,861 | ||||||||||||||
| Non-operating income (expense) | |||||||||||||||||||||
| Interest expense, net | (1,474 | ) | (1,256 | ) | (1,619 | ) | (5,821 | ) | (6,526 | ) | |||||||||||
| Income (loss) from equity method affiliates | (662 | ) | (683 | ) | 17,217 | 21,704 | 15,609 | ||||||||||||||
| Income (loss) before income tax expense (benefit) | (7,639 | ) | 5,283 | 27,047 | 7,860 | 15,944 | |||||||||||||||
| Income tax expense (benefit) | (764 | ) | 142 | 166 | (329 | ) | 5,545 | ||||||||||||||
| Net income (loss) | (6,875 | ) | 5,141 | 26,881 | 8,189 | 10,399 | |||||||||||||||
| Less: Net income (loss) attributable to the non-convertible non-controlling interest | 66 | (2,455 | ) | 11,054 | 8,675 | 19,590 | |||||||||||||||
| Enterprise net income (loss) | (6,941 | ) | 7,596 | 15,827 | (486 | ) | (9,191 | ) | |||||||||||||
| Less: Net income (loss) attributable to the convertible non-controlling interest | (4,988 | ) | 5,446 | 11,279 | (357 | ) | (4,078 | ) | |||||||||||||
| Net income (loss) attributable to Cohen & Company Inc. | $ | (1,953 | ) | $ | 2,150 | $ | 4,548 | $ | (129 | ) | $ | (5,113 | ) | ||||||||
| Earnings per share | |||||||||||||||||||||
| Basic | |||||||||||||||||||||
| Net income (loss) attributable to Cohen & Company Inc. | $ | (1,953 | ) | $ | 2,150 | $ | 4,548 | $ | (129 | ) | $ | (5,113 | ) | ||||||||
| Basic shares outstanding | 1,631 | 1,631 | 1,522 | 1,615 | 1,513 | ||||||||||||||||
| Net income (loss) attributable to Cohen & Company Inc. per share | $ | (1.20 | ) | $ | 1.32 | $ | 2.99 | $ | (0.08 | ) | $ | (3.38 | ) | ||||||||
| Fully Diluted | |||||||||||||||||||||
| Net income (loss) attributable to Cohen & Company Inc. | $ | (1,953 | ) | $ | 2,150 | $ | 4,548 | $ | (129 | ) | $ | (5,113 | ) | ||||||||
| Net income (loss) attributable to the convertible non-controlling interest | (4,988 | ) | 5,446 | - | (357 | ) | - | ||||||||||||||
| Income tax and conversion adjustment | 62 | (17 | ) | - | 33 | - | |||||||||||||||
| Net income (loss) attributable to Cohen & Company Inc. for fully diluted net income (loss) per share calculation | $ | (6,879 | ) | $ | 7,579 | $ | 4,548 | $ | (453 | ) | $ | (5,113 | ) | ||||||||
| Basic shares outstanding | 1,631 | 1,631 | 1,522 | 1,615 | 1,513 | ||||||||||||||||
| Unrestricted Operating LLC membership units exchangeable into COHN shares | 4,063 | 4,062 | - | 4,061 | - | ||||||||||||||||
| Additional dilutive shares | - | 98 | 9 | - | - | ||||||||||||||||
| Fully diluted shares outstanding (1) | 5,694 | 5,791 | 1,531 | 5,676 | 1,513 | ||||||||||||||||
| Fully diluted net income (loss) per share | $ | (1.21 | ) | $ | 1.31 | $ | 2.97 | $ | (0.08 | ) | $ | (3.38 | ) | ||||||||
| 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. | $ | (1,953 | ) | $ | 2,150 | $ | 4,548 | $ | (129 | ) | $ | (5,113 | ) | ||||||||
| Addback (deduct): Income tax expense (benefit) | (764 | ) | 142 | 166 | (329 | ) | 5,545 | ||||||||||||||
| Addback (deduct): Net income (loss) attributable to the convertible non-controlling interest | (4,988 | ) | 5,446 | 11,279 | (357 | ) | (4,078 | ) | |||||||||||||
| Adjusted pre-tax income (loss) | $ | (7,705 | ) | $ | 7,738 | $ | 15,993 | $ | (815 | ) | $ | (3,646 | ) | ||||||||
| Adjusted fully diluted shares outstanding (2) | 5,852 | 5,791 | 5,546 | 5,758 | 5,533 | ||||||||||||||||
| Fully diluted adjusted pre-tax income (loss) per share | $ | (1.32 | ) | $ | 1.34 | $ | 2.88 | $ | (0.14 | ) | $ | (0.66 | ) | ||||||||
| (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) | |||||||||
| December 21, 2024 | |||||||||
| (unaudited) | December 31, 2023 | ||||||||
| Assets | |||||||||
| Cash and cash equivalents | $ | 19,590 | $ | 10,650 | |||||
| Receivables from brokers, dealers, and clearing agencies | 45,650 | 66,801 | |||||||
| Due from related parties | 941 | 772 | |||||||
| Other receivables | 6,526 | 5,373 | |||||||
| Investments - trading | 148,332 | 181,328 | |||||||
| Other investments, at fair value | 35,262 | 72,217 | |||||||
| Receivables under resale agreements | 668,259 | 408,408 | |||||||
| Investment in equity method affiliates | 23,430 | 14,241 | |||||||
| Deferred income taxes | 2,257 | 1,580 | |||||||
| Goodwill | 109 | 109 | |||||||
| Right-of-use asset - operating leases | 15,540 | 7,541 | |||||||
| Other assets | 5,253 | 3,741 | |||||||
| Total assets | $ | 971,149 | $ | 772,761 | |||||
| Liabilities | |||||||||
| Payables to brokers, dealers, and clearing agencies | $ | 66,655 | $ | 111,085 | |||||
| Accounts payable and other liabilities | 10,913 | 8,115 | |||||||
| Accrued compensation | 17,770 | 17,268 | |||||||
| Trading securities sold, not yet purchased | 36,432 | 65,751 | |||||||
| Other investments sold, not yet purchased, at fair value | 1,651 | 24,742 | |||||||
| Securities sold under agreements to repurchase | 695,966 | 408,203 | |||||||
| Operating lease liability | 16,575 | 8,216 | |||||||
| Redeemable financial instruments | - | 7,868 | |||||||
| Debt | 34,904 | 29,716 | |||||||
| Total liabilities | 880,866 | 680,964 | |||||||
| Equity | |||||||||
| Voting non-convertible preferred stock | 27 | 27 | |||||||
| Common stock | 20 | 19 | |||||||
| Additional paid-in capital | 76,704 | 74,594 | |||||||
| Accumulated other comprehensive loss | (1,007 | ) | (944 | ) | |||||
| Accumulated deficit | (34,016 | ) | (32,014 | ) | |||||
| Total stockholders' equity | 41,728 | 41,682 | |||||||
| Non-controlling interest | 48,555 | 50,115 | |||||||
| Total equity | 90,283 | 91,797 | |||||||
| Total liabilities and equity | $ | 971,149 | $ | 772,761 | |||||
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 - Cohen & Company Inc. Joseph W. Pooler, Jr. Executive Vice President and Chief Financial Officer 215-701-8952 investorrelations@cohenandcompany.com | Media - Joele Frank, Wilkinson Brimmer Katcher Joseph Sala or Zach Genirs 212-355-4449 |
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