Adjustments for Non-Cash Items (USD, thousands)

Stock-Based Compensation (USD, thousands)

Changes in Working Capital (USD, thousands)

Capital Expenditures (CapEx) (USD, thousands)

Proceeds from / Repayments of Debt (USD, thousands)

Share Repurchases (USD, thousands)

Dividend Payments (USD, thousands)

Net Change in Cash (USD, thousands)

b61b41c9c3da1c6461a836904d4693ca7b9a213a32c42491c94f59e42b53222d

United States

International

Total Revenue

16c5f340048eca1b36f2c706af4c0b9226fa26d529a23e3177070e914ca78794

Total Revenue (USD, millions)

Cost of Goods Sold (COGS) (USD, millions)

SG&A (USD, millions)

R&D (USD, millions)

Depreciation and Amortization (USD, millions)

Interest Expense (USD, millions)

Operating Income (EBIT) (USD, millions)

Net Income (USD, millions)

EPS - Basic (USD)

EPS - Diluted (USD)

2457fab054c538d49ac88461ff246f6fae2984035420bf3993f43ca02e7fbe60

Current Assets (USD, thousands)

Cash and Cash Equivalents (USD, thousands)

Accounts Receivable (USD, thousands)

Inventory (USD, thousands)

Non-Current Assets (USD, thousands)

Property, Plant, and Equipment (PP&E) (USD, thousands)

Goodwill (USD, thousands)

Intangible Assets (USD, thousands)

Current Liabilities (USD, thousands)

Accounts Payable (USD, thousands)

Short-term Debt (USD, thousands)

Accrued Expenses (USD, thousands)

Non-Current Liabilities (USD, thousands)

Long-term Debt (USD, thousands)

Lease Liabilities (USD, thousands)

Deferred Tax Liabilities (USD, thousands)

Shareholders' Equity (USD, thousands)

Retained Earnings (USD, thousands)

Common Stock (USD, thousands)

Additional Paid-in Capital (USD, thousands)

f44ce5c8481d74d309635db3371a7ec327ad8638f198efc20fb9077123b50904

Number of Managing Directors for Corporate Finance (count)

Number of Managing Directors for Financial Restructuring (count)

Number of Managing Directors for Financial and Valuation Advisory (count)

Number of closed transactions for Corporate Finance (count)

Number of closed transactions for Financial Restructuring (count)

Number of Fee Events for Financial and Valuation Advisory (count)

Compensation Ratio (percentage)

5a09ca1ea0c44b28513133b5a6917c7dccaf3f149578cb5f4c9fcf96dba9d9de

35f232a91776862a2c518153342b2f41cca14e55e0a019fd6f232e433ad8800a

In Q4 2024, the increase in cash and cash equivalents—from **$555,532 thousand** in Q3  **[0001302215-24-000005_hli-20231231.htm:3]**  to **$799,340 thousand** in Q4  **[0001302215-25-000007_hli-20241231.htm:3]** —was primarily driven by strong operating cash flows. Specifically, net cash provided by operating activities reached **$328,458 thousand** due to robust net income of **$280,301 thousand** along with significant non‐cash charges of **$244,524 thousand**. These operating inflows more than offset the cash used in investing activities (a use of **$(70,406) thousand**) and financing activities (a use of **$(250,585) thousand**), with only a minor impact from exchange rate effects (**$(425) thousand**).  **[0001302215-24-000028_hli-20240331.htm:55]** **[0001302215-24-000028_hli-20240331.htm:63]** **[0001302215-24-000010_q4fy24-ex991.htm:6]** 

What drove the spike in Cash and cash equivalents in Q4 2024?

The decline in **cash and cash equivalents** in Q2 2025 was largely due to a mix of operating, investing, and financing activities. Although the company generated **$224,711 thousand** from operating activities, it used **$71,311 thousand** for investing activities (including acquisitions and purchases of equipment) and **$200,626 thousand** for financing activities (for share-based awards tax settlements and dividend payments). A positive impact from exchange rate changes of **$18,234 thousand** could not fully offset these outflows, resulting in an overall decrease of **$28,992 thousand**.  **[0001302215-24-000110_hli-20240930.htm:40]** 

Why did Cash and cash equivalents drop so low in Q2 2025?

The surge in total assets in Q4 2024 was driven by several factors including an increase in **cash and cash equivalents** (from **$714,439 thousand** to **$721,235 thousand**), a rise in **accounts receivable** (from **$182,029 thousand** to **$199,630 thousand**), a significant jump in **unbilled work in progress** (from **$115,045 thousand** to **$192,012 thousand**), as well as notable increases in **goodwill** (from **$1,087,784 thousand** to **$1,127,497 thousand**) and **property and equipment** (from **$88,345 thousand** to **$136,701 thousand**).  **[0001302215-24-000028_hli-20240331.htm:63]** 

What contributed to the surge in Total assets in Q4 2024?

The documents indicate that the Q1 2025 total assets were **3,170,759 thousand**  **[0001302215-25-000007_hli-20241231.htm:3]**  and the Q2 2025 total assets were **2,942,916 thousand**.  **[0001302215-24-000090_hli-20240630.htm:3]**  However, the documents only provide detailed explanations for a period where total assets increased (attributed to factors such as increases in Goodwill, Investment Securities, etc.).  **[0001302215-24-000110_hli-20240930.htm:3]** **[HLI_3404771_2]** **[HLI_3404771_1]**  **No information** is given regarding factors that led to the decline in total assets in Q2 2025.

What factors led to the decline in Total assets in Q2 2025?

The notable drop in total liabilities was primarily driven by significant reductions in several key liability categories. Specifically, **accrued salaries and bonuses** decreased from **$726,031 thousand** to **$641,370 thousand**, **accounts payable and accrued expenses** declined from **$114,171 thousand** to **$104,661 thousand**, and **other liabilities** dropped from **$37,751 thousand** to **$32,880 thousand**. These decreases were partially offset by a slight increase in **operating lease liabilities** from **$415,412 thousand** to **$431,222 thousand**.  **[0001302215-24-000110_hli-20240930.htm:3]** 

What caused the notable drop in Total liabilities in Q2 2025?

efde601892f0b97c8a74c36164543ba9f2ad974f1b50478831fa7bcd4b1b5c21

Net income (USD, thousands)

Provision for bad debts, net (USD, thousands)

Unrealized (gains)/losses on investment securities (USD, thousands)

Non-cash lease expense (USD, thousands)

Depreciation and amortization (USD, thousands)

Compensation expense – equity and liability classified share awards (USD, thousands)

Net cash provided by operating activities (USD, thousands)

Net cash used in operating activities (USD, thousands)

Purchases of investment securities (USD, thousands)

Sales or maturities of investment securities (USD, thousands)

Acquisition of business, net of cash acquired (USD, thousands)

Purchase of property and equipment, net (USD, thousands)

Net cash used in investing activities (USD, thousands)

Dividends paid (USD, thousands)

Share repurchases (USD, thousands)

Payments to settle employee tax obligations on share-based awards (USD, thousands)

Earnouts paid (USD, thousands)

Other financing activities (USD, thousands)

Net cash used in financing activities (USD, thousands)

Effects of exchange rate changes on cash, cash equivalents, and restricted cash (USD, thousands)

Net increase/(decrease) in cash, cash equivalents, and restricted cash (USD, thousands)

Deferred income taxes (USD, thousands)

Contingent consideration valuation (USD, thousands)

Accounts receivable (USD, thousands)

Unbilled work in progress (USD, thousands)

Other assets (USD, thousands)

Accrued salaries and bonuses (USD, thousands)

Accounts payable and accrued expenses and other (USD, thousands)

Deferred income (USD, thousands)

Income taxes receivable (USD, thousands)

Income taxes payable (USD, thousands)

Cash, cash equivalents, and restricted cash – beginning of period (USD, thousands)

Houlihan Lokey Inc (HLI)

Financials