Perella Weinberg Partners Q3 FY2025 earnings call

• Third quarter revenues were $165M, YTD $532M. Underlying business fundamentals strong with record active engagements, pipeline, and European business up over 50%.
• Number of fees above target increased, average and median fees up. Deliberate in pursuing value-added clients and complex transactions.
• Year-to-date, made significant annual investment adding 25 senior bankers, with new partners representing 18% of total partner base.
• Closed acquisition of Devon Park on October 1, bringing new capabilities, capital relationships, and sponsor clients, expanding addressable market and revenue potential. Timing of acquisition good with secondaries market expected to exceed $200B and private equity exit backlog building for 2026.
• Business building in strategically active industries for corporates and private equity, confident scaling strategy will drive revenue growth.

Third quarter revenues were $165 million, with year-to-date revenues at $532 million. Active engagements and overall pipeline are at records. European business is up over 50% from last year. Number of fees above target has increased, average and median fees across engagements are up. Year-to-date, $25 million was invested in adding 25 senior bankers. Acquisition of Devon Park on October 1 brought new capabilities, capital relationships, and sponsor clients, meaningfully expanding addressable market and revenue potential. Revenue contribution: Third quarter revenues were $165M, YTD $532M, with specific segments like European up over 50%, and Devon Park acquisition enhancing capabilities.

• Lowering full-year 2025 guidance to a low single-digit increase.
• Third quarter returned $12M to equity holders primarily through net settlement of RSUs and dividends.
• Year-to-date, over $157M returned to equity holders through dividends, net settlement of RSUs, open market repurchases, and unit exchanges.
• Share repurchase activity limited as capital is prioritized for strategic investments like the Devon Park acquisition.

• Forward-looking statements are inherently subject to risks, uncertainties, and assumptions that could cause actual results to differ materially from those discussed. Please refer to Perella Weinberg's most recent SEC filings for discussion of certain risks and uncertainties.

Q: Some of the pipeline commentary, mix of non-M&A vs traditional M&A and timing of pipeline.

A: Mix is more in nontraditional M&A, but pipeline has significant increase in traditional M&A. Difficult to predict transaction timing, but new business reviews, engagement letters, mandates look positive for traditional M&A.

Q: Follow-up on recruiting environment, how bankers are ramping, contribution to 2026.

A: 9 of 25 senior banker adds already on platform, will contribute near term. External hires including Devon Park will contribute in 2026. 25% of partners are here less than 2 years, hitting ground running. Devon Park acquisition provides new product category and clients, game changer for nonlinear growth.

Q: Restructuring backdrop, client engagement levels, mix between in-quarter restructurings vs LME activity.

A: Seeing steady pace in liability management business. High-profile bankruptcies isolated, large number of clients still need assistance with balance sheet, liquidity, workouts. Business continues to grow, set up well for 2026.

Q: Private capital side, how soon Devon Park area will contribute to revenue, sizing potential contribution.

A: Treat Devon Park business as part of Perella Weinberg, expecting it to be significant contributor like other groups. Has 75 partners with private equity, credit, infrastructure, real estate relationships, excited about product capability as it was not there before acquisition.