Moelis & Company Reports Record First Quarter 2021 Financial Results; Declares Special Dividend of $2.00 per share in Addition to Regular Quarterly Dividend of $0.55 Per Share

Rhea-AI Summary

Moelis & Company (NYSE: MC) reported a strong Q1 2021, with revenues of $263.9 million, up 72% year-over-year, marking the second-highest quarterly revenue in the firm’s history. The firm achieved a GAAP net income of $75.8 million or $1.00 per share, and an adjusted net income of $76.2 million or $1.02 per share. A special dividend of $2.00 per share, alongside a regular dividend of $0.55, was announced, contributing to over $430 million returned to shareholders in the last two quarters.

Positive

• Revenue increased by 72% year-over-year, reaching $263.9 million.
• GAAP net income of $75.8 million or $1.00 per share, significantly up from $31.3 million or $0.45 per share the previous year.
• Announced a special dividend of $2.00 per share, in addition to a regular quarterly dividend of $0.55.

Negative

• Financial results can fluctuate materially based on the timing and size of completed transactions.

Moelis & Company (NYSE: MC) today reported financial results for the first quarter ended March 31, 2021. The Firm’s first quarter revenues of $263.9 million increased 72% over the prior year period and represented our second largest quarter of revenues ever. The Firm reported first quarter 2021 GAAP net income of $75.8 million, or $1.00 per share (diluted). On an Adjusted basis, the Firm reported net income of $76.2 million or $1.02 per share (diluted) for the first quarter of 2021, which compares with $31.3 million of net income or $0.45 per share (diluted) in the prior year period. GAAP and Adjusted net income for the first quarter of 2021 include net tax benefits of $0.26 per share and $0.27 per share, respectively, related to the settlement of share based awards.

“Our record first quarter revenues reflect growth across all of our business and regions. I believe that our franchise is stronger today than at any other point in our Firm’s history,” said Ken Moelis, Chairman and Chief Executive Officer.

“Our solid topline performance, ongoing expense discipline, and focus on profitable organic growth generates substantial shareholder returns, as evidenced by today’s announcement of a $2.00 per share special dividend in addition to our regular quarterly dividend of $0.55 per share. Including today’s announcement, we will have returned over $430 million in capital over the last two quarters through dividends and share repurchases.”

The Firm’s revenues and net income can fluctuate materially depending on the number, size and timing of completed transactions as well as other factors. Accordingly, financial results in any particular quarter may not be representative of future results over a longer period of time.

Currently 89% of the operating partnership (Moelis & Company Group LP) is owned by the corporate partner (Moelis & Company) and is subject to corporate U.S. federal and state income tax. The remaining 11% is owned by other partners of Moelis & Company Group LP and is primarily subject to U.S. federal tax at the partner level (certain state and local and foreign income taxes are incurred at the company level). The Adjusted results included herein apply certain adjustments from our GAAP results, including the assumption that 100% of the Firm’s first quarter operating result was taxed at our corporate effective tax rate. We believe the Adjusted results, when presented together with comparable GAAP results, are useful to investors to compare our performance across periods and to better understand our operating results. A reconciliation between our GAAP results and our Adjusted results is presented in the Appendix to this press release.

¹ Includes dividends declared but not yet paid

GAAP and Adjusted (non-GAAP) Selected Financial Data (Unaudited)

GAAP

FAQ

What were Moelis & Company's Q1 2021 revenue results?

Moelis & Company reported Q1 2021 revenues of $263.9 million, a 72% increase from the previous year.

What was the net income for Moelis & Company in Q1 2021?

The GAAP net income for Q1 2021 was $75.8 million, or $1.00 per share.

Did Moelis & Company pay dividends in Q1 2021?

Yes, Moelis & Company announced a special dividend of $2.00 per share and a regular dividend of $0.55 per share.

How much capital has Moelis & Company returned to shareholders recently?

Moelis & Company has returned over $430 million in capital to shareholders in the last two quarters.

What is the outlook for Moelis & Company after Q1 2021 results?

While Q1 results are strong, the firm cautions that financial performance may vary with transaction completions.