PJT Partners Inc. Reports Full Year and Fourth Quarter 2020 Results
PJT Partners reported strong financial results for the year ended December 31, 2020, with total revenues of $1.05 billion, up 47% from $717.6 million in 2019. GAAP net income surged to $212.4 million, yielding a GAAP diluted EPS of $4.40. For Q4 2020, revenues were $322 million, a 29% increase year-over-year. Advisory revenues rose 53% to $872.3 million, attributed to restructuring and strategic advisory services. The company's cash and equivalents stood at $437.4 million, with a share repurchase program authorized for $150 million.
- Total revenues increased by 47%, reaching $1.05 billion for 2020.
- GAAP net income rose to $212.4 million compared to $63.8 million in 2019.
- GAAP diluted EPS increased to $4.40 from $1.21 year-over-year.
- Advisory revenues climbed by 53% to $872.3 million, driven by growth in restructuring and strategic advisory.
- Company maintained a strong liquidity position with $437.4 million in cash and no funded debt.
- Authorized share repurchase program of up to $150 million.
- Increased compensation and benefits expenses totaling $683 million, up from $502 million in 2019.
- Total expenses grew to $804.3 million for 2020, representing 76.4% of revenues.
PJT Partners Inc. (the “Company” or “PJT Partners”) (NYSE: PJT) today reported Total Revenues of
Total Revenues for the three months ended December 31, 2020 were
Revenues
The following table sets forth revenues for the three months and year ended December 31, 2020 and 2019:
|
|
Three Months Ended
|
|
|
|
|
|
|
|
Year Ended
|
|
|
|
|
||||||||||
|
|
2020 |
|
|
2019 |
|
|
% Change |
|
|
|
2020 |
|
|
2019 |
|
|
% Change |
||||||
|
|
(Dollars in Millions) |
||||||||||||||||||||||
Revenues |
|
|
||||||||||||||||||||||
Advisory |
|
$ |
260.8 |
|
|
$ |
188.2 |
|
|
|
|
|
|
$ |
872.3 |
|
|
$ |
571.8 |
|
|
|
||
Placement |
|
|
56.2 |
|
|
|
55.6 |
|
|
|
|
|
|
|
162.2 |
|
|
|
133.2 |
|
|
|
||
Interest Income & Other |
|
|
5.0 |
|
|
|
4.9 |
|
|
|
|
|
|
|
17.8 |
|
|
|
12.7 |
|
|
|
||
Total Revenues |
|
$ |
322.0 |
|
|
$ |
248.7 |
|
|
|
|
|
|
$ |
1,052.3 |
|
|
$ |
717.6 |
|
|
|
||
Year Ended
Total Revenues were
Advisory Revenues were
Placement Revenues were
Interest Income & Other was
Three Months Ended
Total Revenues were
Advisory Revenues were
Placement Revenues were
Interest Income & Other was
Expenses
The following tables set forth information relating to the Company’s expenses for the three months and year ended December 31, 2020 and 2019:
|
|
Year Ended December 31, |
||||||||||||||
|
|
2020 |
|
2019 |
||||||||||||
|
|
GAAP |
|
As Adjusted |
|
GAAP |
|
As Adjusted |
||||||||
|
|
(Dollars in Millions) |
||||||||||||||
Expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Compensation and Benefits |
|
$ |
683.4 |
|
|
$ |
668.7 |
|
|
$ |
502.2 |
|
|
$ |
460.3 |
|
% of Revenues |
|
|
64.9 |
% |
|
|
63.5 |
% |
|
|
70.0 |
% |
|
|
64.1 |
% |
Non-Compensation |
|
$ |
120.9 |
|
|
$ |
112.6 |
|
|
$ |
133.3 |
|
|
$ |
125.1 |
|
% of Revenues |
|
|
11.5 |
% |
|
|
10.7 |
% |
|
|
18.6 |
% |
|
|
17.4 |
% |
Total Expenses |
|
$ |
804.3 |
|
|
$ |
781.4 |
|
|
$ |
635.4 |
|
|
$ |
585.4 |
|
% of Revenues |
|
|
76.4 |
% |
|
|
74.3 |
% |
|
|
88.5 |
% |
|
|
81.6 |
% |
Pretax Income |
|
$ |
248.0 |
|
|
$ |
270.9 |
|
|
$ |
82.2 |
|
|
$ |
132.3 |
|
% of Revenues |
|
|
23.6 |
% |
|
|
25.7 |
% |
|
|
11.5 |
% |
|
|
18.4 |
% |
|
|
Three Months Ended December 31, |
||||||||||||||
|
|
2020 |
|
2019 |
||||||||||||
|
|
GAAP |
|
As Adjusted |
|
GAAP |
|
As Adjusted |
||||||||
|
|
(Dollars in Millions) |
||||||||||||||
Expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Compensation and Benefits |
|
$ |
197.7 |
|
|
$ |
194.0 |
|
|
$ |
164.8 |
|
|
$ |
160.1 |
|
% of Revenues |
|
|
61.4 |
% |
|
|
60.3 |
% |
|
|
66.3 |
% |
|
|
64.4 |
% |
Non-Compensation |
|
$ |
29.6 |
|
|
$ |
27.6 |
|
|
$ |
34.9 |
|
|
$ |
33.0 |
|
% of Revenues |
|
|
9.2 |
% |
|
|
8.6 |
% |
|
|
14.1 |
% |
|
|
13.3 |
% |
Total Expenses |
|
$ |
227.4 |
|
|
$ |
221.6 |
|
|
$ |
199.8 |
|
|
$ |
193.1 |
|
% of Revenues |
|
|
70.6 |
% |
|
|
68.8 |
% |
|
|
80.3 |
% |
|
|
77.7 |
% |
Pretax Income |
|
$ |
94.6 |
|
|
$ |
100.4 |
|
|
$ |
48.9 |
|
|
$ |
55.5 |
|
% of Revenues |
|
|
29.4 |
% |
|
|
31.2 |
% |
|
|
19.7 |
% |
|
|
22.3 |
% |
Compensation and Benefits Expense
Year Ended
GAAP Compensation and Benefits Expense was
Three Months Ended
GAAP Compensation and Benefits Expense was
Non-Compensation Expense
Year Ended
GAAP Non-Compensation Expense was
GAAP and Adjusted Non-Compensation Expense decreased during 2020 compared with 2019, primarily driven by a decrease in Travel and Related and partially offset by an increase in Occupancy and Related. Travel and Related decreased due to reduced travel and entertainment activity. Occupancy and Related increased due to expansion in certain locations.
Three Months Ended
GAAP Non-Compensation Expense was
GAAP and Adjusted Non-Compensation Expense decreased during fourth quarter 2020 compared with the prior year quarter, primarily driven by decreases in Travel and Related and Other Expenses and partially offset by an increase in Professional Fees. Travel and Related decreased due to reduced travel and entertainment activity. Other Expenses decreased due to a variety of factors, including a reduction in bad debt expense. Professional Fees increased primarily due to higher consulting payments relating to the firm’s business activities.
Provision for Taxes
As of December 31, 2020, PJT Partners Inc. owned
In calculating Adjusted Net Income, If-Converted, the Company has assumed that all outstanding Class A partnership units in PJT Partners Holdings LP (“Partnership Units”) (excluding the unvested Partnership Units that have yet to satisfy certain market conditions) have been exchanged into shares of the Company’s Class A common stock, subjecting all of the Company’s income to corporate-level tax.
The effective tax rate for Adjusted Net Income, If-Converted for the year ended December 31, 2020 was
Capital Management and Balance Sheet
As of December 31, 2020, the Company held cash, cash equivalents and short-term investments of
On February 1, 2021, the Company’s Board of Directors authorized the repurchase of shares of the Company’s Class A common stock in an amount up to
During fourth quarter 2020, the Company repurchased 1.1 million Partnership Units for cash pursuant to the quarterly exchange program, 103,522 shares of Class A common stock pursuant to the share repurchase program, and net share settled 6,165 shares to satisfy employee tax obligations. In aggregate during fourth quarter 2020, the Company repurchased an equivalent of 1.2 million shares at an average price of
The Company intends to repurchase 680,368 Partnership Units for cash on February 9, 2021 at a price to be determined by the per share volume-weighted average price of the Company’s Class A common stock on February 4, 2021.
Dividend
The Board of Directors of PJT Partners Inc. has declared a quarterly dividend of
COVID-19 Update
The vast majority of the Company’s employees continue to work remotely, as they have since mid-March 2020. There have been no material changes to the Company’s internal controls as a result of this working environment. The Company has undertaken steps to allow a limited number of employees to return to certain office locations on a voluntary basis, following safety protocols from health advisors and the respective governmental agencies. The Company is prepared to continue operating in a remote work environment for the foreseeable future, if necessary.
Quarterly Investor Call Details
PJT Partners will host a conference call on February 2, 2021 at 8:30 a.m. ET to discuss its full year and fourth quarter 2020 results. The conference call can be accessed via the internet at www.pjtpartners.com or by dialing +1 (800) 458-4121 (U.S. domestic) or +1 (720) 543-0206 (international), passcode 9176574. For those unable to listen to the live broadcast, a replay will be available following the call at www.pjtpartners.com or by dialing +1 (888) 203-1112 (U.S. domestic) or +1 (719) 457-0820 (international), passcode 9176574.
About PJT Partners
PJT Partners is a premier global advisory-focused investment bank. Our team of senior professionals delivers a wide array of strategic advisory, strategic capital markets, restructuring and special situations, shareholder advisory, and private fund advisory and fundraising services to corporations, financial sponsors, institutional investors and governments around the world. We offer a unique portfolio of advisory services designed to help our clients achieve their strategic objectives. We also provide, through PJT Park Hill, private fund advisory and fundraising services for alternative investment managers, including private equity funds, real estate funds and hedge funds. To learn more about PJT Partners, please visit our website at www.pjtpartners.com.
Forward-Looking Statements
Certain material presented herein contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include certain information concerning future results of operations, business strategies, acquisitions, financing plans, competitive position, potential growth opportunities, potential operating performance improvements, the effects of competition and the effects of future legislation or regulations. Forward-looking statements include all statements that are not historical facts and can be identified by the use of forward-looking terminology such as the words “believe,” “expect,” “opportunity,” “plan,” “intend,” “anticipate,” “estimate,” “predict,” “potential,” “continue,” “may,” “might,” “should,” “could” or the negative of these terms or similar expressions.
Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on the Company’s current beliefs, expectations, and assumptions regarding the future of its business, future plans and strategies, projections, anticipated events and trends, the economy, and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict, many of which are outside the Company’s control. The Company’s actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not place undue reliance upon any of these forward-looking statements. Important factors that could cause the Company’s actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: (a) changes in governmental regulations and policies; (b) the possibility of cyberattacks, security vulnerabilities, and internet disruptions, including breaches of data security and privacy leaks, data loss, and business interruptions; (c) the possibility of failure of the Company’s computer systems or communication systems during a catastrophic event, including as a result of the increased use of remote work environments and virtual platforms during the outbreak of COVID-19 (coronavirus); (d) the impact of catastrophic events, such as COVID-19, on the U.S. and the global economy, including business disruptions, reductions in employment and an increase in business failures; (e) the impact of catastrophic events, such as COVID-19, on the Company’s employees and the Company’s ability to provide services to its clients and respond to their needs; (f) the failure of third-party service providers to perform their functions; and (g) volatility in the political and economic environment.
Any of these factors, as well as such other factors discussed in the “Risk Factors” section of the Company’s Annual Report on Form 10-K for the year ended December 31, 2019 and Quarterly Report on Form 10-Q for the three months ended June 30, 2020, in each case filed with the United States Securities and Exchange Commission (“SEC”), as such factors may be updated from time to time in the Company’s periodic filings with the SEC, accessible on the SEC’s website at www.sec.gov, could cause the Company’s results to differ materially from those expressed in forward-looking statements. There may be other risks and uncertainties that the Company is unable to predict at this time or that are not currently expected to have a material adverse effect on its business. Any such risks could cause the Company’s results to differ materially from those expressed in forward-looking statements.
Non-GAAP Financial Measures
The following represent key performance measures that management uses in making resource allocation and/or compensation decisions. These measures should not be considered substitutes for, or superior to, financial measures prepared in accordance with GAAP.
Management believes the following non-GAAP measures, when presented together with comparable GAAP measures, are useful to investors in understanding the Company’s operating results: Adjusted Pretax Income; Adjusted Net Income; Adjusted Net Income, If-Converted, in total and on a per-share basis (referred to as “Adjusted EPS”); Adjusted Compensation and Benefits Expense and Adjusted Non-Compensation Expense. These non-GAAP measures, presented and discussed in this earnings release, remove the significant accounting impact of: (a) transaction-related compensation expense, including expense related to Partnership Units with both time-based vesting and market conditions as well as equity-based and cash awards granted in connection with the spin-off from Blackstone and acquisition of CamberView Partners Holdings, LLC (“CamberView”); (b) intangible asset amortization associated with Blackstone’s initial public offering (“IPO”), the acquisition of PJT Capital LP, and the acquisition of CamberView; and (c) the amount the Company has agreed to pay Blackstone related to the net realized cash benefit from certain compensation-related tax deductions. Reconciliations of the non-GAAP measures to their most directly comparable GAAP measures and further detail regarding the adjustments are provided in the Appendix.
To help investors understand the effect of the Company’s ownership structure on its Adjusted Net Income, the Company has presented Adjusted Net Income, If-Converted. This measure illustrates the impact of taxes on Adjusted Pretax Income, assuming all Partnership Units (excluding the unvested Partnership Units that have yet to satisfy certain market conditions) were exchanged for shares of the Company’s Class A common stock, resulting in all of the Company’s income becoming subject to corporate-level tax, considering both current and deferred income tax effects as well as return to provision adjustments. This tax rate excludes the tax benefits of the adjustments for transaction-related compensation expense, amortization expense, tax benefit recorded pursuant to the CARES Act as well as certain payments to Blackstone resulting from the October 1, 2015 spin-off.
Appendix
GAAP Condensed Consolidated Statements of Operations (unaudited)
Reconciliations of GAAP to Non-GAAP Financial Data (unaudited)
Summary of Shares Outstanding (unaudited)
Footnotes
PJT Partners Inc. |
||||||||||||||||
GAAP Condensed Consolidated Statements of Operations (unaudited) |
||||||||||||||||
(Dollars in Thousands, Except Share and Per Share Data) |
||||||||||||||||
|
|
Three Months Ended
|
|
Year Ended
|
||||||||||||
|
|
2020 |
|
2019 |
|
2020 |
|
2019 |
||||||||
Revenues |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Advisory |
|
$ |
260,756 |
|
|
$ |
188,194 |
|
|
$ |
872,286 |
|
|
$ |
571,771 |
|
Placement |
|
|
56,211 |
|
|
|
55,577 |
|
|
|
162,237 |
|
|
|
133,180 |
|
Interest Income and Other |
|
|
5,036 |
|
|
|
4,881 |
|
|
|
17,777 |
|
|
|
12,688 |
|
Total Revenues |
|
|
322,003 |
|
|
|
248,652 |
|
|
|
1,052,300 |
|
|
|
717,639 |
|
Expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Compensation and Benefits |
|
|
197,743 |
|
|
|
164,809 |
|
|
|
683,393 |
|
|
|
502,165 |
|
Occupancy and Related |
|
|
8,405 |
|
|
|
8,726 |
|
|
|
34,282 |
|
|
|
31,547 |
|
Travel and Related |
|
|
966 |
|
|
|
6,453 |
|
|
|
7,345 |
|
|
|
25,700 |
|
Professional Fees |
|
|
6,937 |
|
|
|
4,190 |
|
|
|
23,014 |
|
|
|
21,779 |
|
Communications and Information Services |
|
|
4,094 |
|
|
|
3,309 |
|
|
|
14,669 |
|
|
|
13,380 |
|
Depreciation and Amortization |
|
|
3,826 |
|
|
|
3,787 |
|
|
|
15,055 |
|
|
|
14,496 |
|
Other Expenses |
|
|
5,403 |
|
|
|
8,476 |
|
|
|
26,581 |
|
|
|
26,382 |
|
Total Expenses |
|
|
227,374 |
|
|
|
199,750 |
|
|
|
804,339 |
|
|
|
635,449 |
|
Income Before Provision for Taxes |
|
|
94,629 |
|
|
|
48,902 |
|
|
|
247,961 |
|
|
|
82,190 |
|
Provision for Taxes |
|
|
13,236 |
|
|
|
10,859 |
|
|
|
35,535 |
|
|
|
18,403 |
|
Net Income |
|
|
81,393 |
|
|
|
38,043 |
|
|
|
212,426 |
|
|
|
63,787 |
|
Net Income Attributable to Non-Controlling Interests |
|
|
35,281 |
|
|
|
21,233 |
|
|
|
94,877 |
|
|
|
34,225 |
|
Net Income Attributable to PJT Partners Inc. |
|
$ |
46,112 |
|
|
$ |
16,810 |
|
|
$ |
117,549 |
|
|
$ |
29,562 |
|
Net Income Per Share of Class A Common Stock |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
1.87 |
|
|
$ |
0.71 |
|
|
$ |
4.80 |
|
|
$ |
1.23 |
|
Diluted |
|
$ |
1.67 |
|
|
$ |
0.69 |
|
|
$ |
4.40 |
|
|
$ |
1.21 |
|
Weighted-Average Shares of Class A Common Stock Outstanding |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
24,601,311 |
|
|
|
23,710,261 |
|
|
|
24,496,285 |
|
|
|
24,007,138 |
|
Diluted |
43,547,220 |
24,991,277 |
|
43,127,166 |
|
25,014,569 |
||||||||||
PJT Partners Inc. |
||||||||||||||||
Reconciliations of GAAP to Non-GAAP Financial Data (unaudited) |
||||||||||||||||
(Dollars in Thousands, Except Share and Per Share Data) |
||||||||||||||||
|
|
Three Months Ended
|
|
Year Ended
|
||||||||||||
|
|
2020 |
|
2019 |
|
2020 |
|
2019 |
||||||||
GAAP Net Income |
|
$ |
81,393 |
|
|
$ |
38,043 |
|
|
$ |
212,426 |
|
|
$ |
63,787 |
|
Less: GAAP Provision for Taxes |
|
|
13,236 |
|
|
|
10,859 |
|
|
|
35,535 |
|
|
|
18,403 |
|
GAAP Pretax Income |
|
|
94,629 |
|
|
|
48,902 |
|
|
|
247,961 |
|
|
|
82,190 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments to GAAP Pretax Income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transaction-Related Compensation Expense(1) |
|
|
3,705 |
|
|
|
4,681 |
|
|
|
14,662 |
|
|
|
41,886 |
|
Amortization of Intangible Assets(2) |
|
|
1,993 |
|
|
|
1,928 |
|
|
|
7,776 |
|
|
|
7,654 |
|
Spin-Off-Related Payable Due to Blackstone(3) |
|
|
33 |
|
|
|
24 |
|
|
|
550 |
|
|
|
539 |
|
Adjusted Pretax Income |
|
|
100,360 |
|
|
|
55,535 |
|
|
|
270,949 |
|
|
|
132,269 |
|
Adjusted Taxes(4) |
|
|
15,136 |
|
|
|
9,573 |
|
|
|
38,788 |
|
|
|
22,030 |
|
Adjusted Net Income |
|
|
85,224 |
|
|
|
45,962 |
|
|
|
232,161 |
|
|
|
110,239 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
If-Converted Adjustments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Less: Adjusted Taxes(4) |
|
|
(15,136 |
) |
|
|
(9,573 |
) |
|
|
(38,788 |
) |
|
|
(22,030 |
) |
Add: If-Converted Taxes(5) |
|
|
23,373 |
|
|
|
13,937 |
|
|
|
67,090 |
|
|
|
33,723 |
|
Adjusted Net Income, If-Converted |
|
$ |
76,987 |
|
|
$ |
41,598 |
|
|
$ |
203,859 |
|
|
$ |
98,546 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Net Income Per Share of Class A Common Stock |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
1.87 |
|
|
$ |
0.71 |
|
|
$ |
4.80 |
|
|
$ |
1.23 |
|
Diluted |
|
$ |
1.67 |
|
|
$ |
0.69 |
|
|
$ |
4.40 |
|
|
$ |
1.21 |
|
GAAP Weighted-Average Shares of Class A Common Stock Outstanding |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
24,601,311 |
|
|
|
23,710,261 |
|
|
|
24,496,285 |
|
|
|
24,007,138 |
|
Diluted |
|
|
43,547,220 |
|
|
|
24,991,277 |
|
|
|
43,127,166 |
|
|
|
25,014,569 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Net Income, If-Converted Per Share |
|
$ |
1.81 |
|
|
$ |
1.02 |
|
|
$ |
4.93 |
|
|
$ |
2.41 |
|
Weighted-Average Shares Outstanding, If-Converted |
|
|
42,490,854 |
|
|
|
40,808,615 |
|
|
|
41,365,572 |
|
|
|
40,967,316 |
|
PJT Partners Inc. |
||||||||||||||||
Reconciliations of GAAP to Non-GAAP Financial Data - continued (unaudited) |
||||||||||||||||
(Dollars in Thousands) |
||||||||||||||||
|
|
Three Months Ended
|
|
Year Ended
|
||||||||||||
|
|
2020 |
|
2019 |
|
2020 |
|
2019 |
||||||||
GAAP Compensation and Benefits Expense |
|
$ |
197,743 |
|
|
$ |
164,809 |
|
|
$ |
683,393 |
|
|
$ |
502,165 |
|
Transaction-Related Compensation Expense(1) |
|
|
(3,705 |
) |
|
|
(4,681 |
) |
|
|
(14,662 |
) |
|
|
(41,886 |
) |
Adjusted Compensation and Benefits Expense |
|
$ |
194,038 |
|
|
$ |
160,128 |
|
|
$ |
668,731 |
|
|
$ |
460,279 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-Compensation Expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Occupancy and Related |
|
$ |
8,405 |
|
|
$ |
8,726 |
|
|
$ |
34,282 |
|
|
$ |
31,547 |
|
Travel and Related |
|
|
966 |
|
|
|
6,453 |
|
|
|
7,345 |
|
|
|
25,700 |
|
Professional Fees |
|
|
6,937 |
|
|
|
4,190 |
|
|
|
23,014 |
|
|
|
21,779 |
|
Communications and Information Services |
|
|
4,094 |
|
|
|
3,309 |
|
|
|
14,669 |
|
|
|
13,380 |
|
Depreciation and Amortization |
|
|
3,826 |
|
|
|
3,787 |
|
|
|
15,055 |
|
|
|
14,496 |
|
Other Expenses |
|
|
5,403 |
|
|
|
8,476 |
|
|
|
26,581 |
|
|
|
26,382 |
|
GAAP Non-Compensation Expense |
|
|
29,631 |
|
|
|
34,941 |
|
|
|
120,946 |
|
|
|
133,284 |
|
Amortization of Intangible Assets(2) |
|
|
(1,993 |
) |
|
|
(1,928 |
) |
|
|
(7,776 |
) |
|
|
(7,654 |
) |
Spin-Off-Related Payable Due to Blackstone(3) |
|
|
(33 |
) |
|
|
(24 |
) |
|
|
(550 |
) |
|
|
(539 |
) |
Adjusted Non-Compensation Expense |
|
$ |
27,605 |
|
|
$ |
32,989 |
|
|
$ |
112,620 |
|
|
$ |
125,091 |
|
PJT Partners Inc. |
Summary of Shares Outstanding (unaudited) |
The following table provides a summary of weighted-average shares outstanding for the three months and year ended December 31, 2020 and 2019 for both basic and diluted shares. The table also provides a reconciliation to If-Converted Shares Outstanding assuming that all Partnership Units and unvested PJT Partners Inc. restricted stock units (“RSUs”) were converted to shares of the Company’s Class A common stock: |
|
|
Three Months Ended
|
|
Year Ended
|
||||||||||||
|
|
2020 |
|
2019 |
|
2020 |
|
2019 |
||||||||
Weighted-Average Shares Outstanding - GAAP |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares of Class A Common Stock Outstanding |
|
|
23,832,155 |
|
|
|
23,088,660 |
|
|
|
23,827,264 |
|
|
|
23,117,559 |
|
Vested, Undelivered RSUs |
|
|
769,156 |
|
|
|
621,601 |
|
|
|
669,021 |
|
|
|
889,579 |
|
Basic Shares Outstanding, GAAP |
|
|
24,601,311 |
|
|
|
23,710,261 |
|
|
|
24,496,285 |
|
|
|
24,007,138 |
|
Dilutive Impact of Unvested Common RSUs(6) |
|
|
2,295,401 |
|
|
|
1,281,016 |
|
|
|
1,344,152 |
|
|
|
1,007,431 |
|
Dilutive Impact of Partnership Units(7) |
|
|
16,650,508 |
|
|
|
— |
|
|
|
17,286,729 |
|
|
|
— |
|
Diluted Shares Outstanding, GAAP |
|
|
43,547,220 |
|
|
|
24,991,277 |
|
|
|
43,127,166 |
|
|
|
25,014,569 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted-Average Shares Outstanding - If-Converted |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares of Class A Common Stock Outstanding |
|
|
23,832,155 |
|
|
|
23,088,660 |
|
|
|
23,827,264 |
|
|
|
23,117,559 |
|
Vested, Undelivered RSUs |
|
|
769,156 |
|
|
|
621,601 |
|
|
|
669,021 |
|
|
|
889,579 |
|
Conversion of Unvested Common RSUs(6) |
|
|
2,295,401 |
|
|
|
1,281,016 |
|
|
|
1,344,152 |
|
|
|
1,007,431 |
|
Conversion of Participating RSUs |
|
|
5,185 |
|
|
|
27,208 |
|
|
|
16,483 |
|
|
|
40,544 |
|
Conversion of Partnership Units |
|
|
15,588,957 |
|
|
|
15,790,130 |
|
|
|
15,508,652 |
|
|
|
15,912,203 |
|
If-Converted Shares Outstanding |
|
|
42,490,854 |
|
|
|
40,808,615 |
|
|
|
41,365,572 |
|
|
|
40,967,316 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of December 31, |
|
|
|
|||||||||||
|
|
2020 |
|
2019 |
|
|
|
|
|
|
|
|
||||
Fully-Diluted Shares Outstanding(8)(9) |
|
|
45,420,101 |
|
|
|
43,066,139 |
|
|
|
|
|
|
|
|
|
During the three months ended December 31, 2020, 2.4 million Partnership Units and 0.1 million RSUs were included in the Company’s share count due to the satisfaction of certain market conditions. As of December 31, 2020, 1.2 million Partnership Units and 0.3 million RSUs were excluded from any share count calculations, as these Partnership Units and RSUs are included only if the Company achieves a volume-weighted average share price of
Footnotes
(1) |
This adjustment adds back to GAAP Pretax Income transaction-related compensation expense for Partnership Units with both time-based vesting and market conditions as well as equity-based and cash awards granted in connection with the spin-off from Blackstone and the acquisition of CamberView. |
|
(2) |
This adjustment adds back to GAAP Pretax Income amounts for the amortization of intangible assets that are associated with Blackstone’s IPO, the acquisition of PJT Capital LP on October 1, 2015 and the acquisition of CamberView on October 1, 2018. |
|
(3) |
This adjustment adds back to GAAP Pretax Income the amount the Company has agreed to pay Blackstone related to the net realized cash benefit from certain compensation-related tax deductions. Such expense is reflected in Other Expenses in the Condensed Consolidated Statements of Operations. |
|
(4) |
Represents taxes on Adjusted Pretax Income, considering both current and deferred income tax effects for the current ownership structure. |
|
(5) |
Represents taxes on Adjusted Pretax Income, assuming all Partnership Units (excluding the unvested Partnership Units that have yet to satisfy market conditions) were exchanged for shares of the Company’s Class A common stock, resulting in all of the Company’s income becoming subject to corporate-level tax, considering both current and deferred income tax effects as well as return to provision adjustments. This tax rate excludes the tax benefits of the adjustments for transaction-related compensation expense, amortization expense, tax benefit recorded pursuant to the CARES Act as well as certain payments to Blackstone resulting from the October 1, 2015 spin-off. |
|
(6) |
Represents the dilutive impact under the treasury method of unvested, non-participating RSUs that have a remaining service requirement. |
|
(7) |
Represents the number of shares assuming the conversion of vested Partnership Units, the dilutive impact of unvested Partnership Units with a remaining service requirement, and Partnership Units that achieved certain market conditions. |
|
(8) |
Excludes 1.2 million Partnership Units and 0.3 million RSUs as of December 31, 2020 that are included only if the Company achieves a volume-weighted average share price of |
|
(9) |
Assumes all Partnership Units and unvested participating RSUs have been converted to shares of the Company’s Class A common stock. |
|
Note: Amounts presented in tables above may not add or recalculate due to rounding. |
||
View source version on businesswire.com: https://www.businesswire.com/news/home/20210202005443/en/
FAQ
What were PJT Partners' total revenues for 2020?
How much did PJT Partners' GAAP net income increase in 2020?
What was the GAAP diluted EPS for PJT Partners in 2020?
How much did advisory revenues increase for PJT Partners in 2020?
What is the status of PJT Partners' share repurchase program?
