Lazard, Inc.

Lazard (NYSE: LAZ) advises companies and governments on transactions and restructuring, manages investments, and helps private investment firms raise capital and arrange transactions.

Campbell Lutyens joins Lazard

Lazard completed the acquisition of Campbell Lutyens on November 1, 2026, after announcing it in April. The new Lazard CL business combines Campbell Lutyens with Lazard’s existing private capital advisory operation.

Initial consideration was 9,651,777 new shares and approximately $93.2 million in cash, subject to adjustments. Another $115 million is due on November 1, 2028, plus a possible earnout of up to $85 million tied to revenue targets through 2030, subject to extension. Later consideration may be paid in shares or loan notes, which are debt to be paid later, with cash for some recipients.

Growth has yet to lift profit

All figures below are USD millions, for the three months ended September 30. Net income is attributable to Lazard, rather than minority investors.

Adjusted compensation and benefits were 69.9% of adjusted revenue, versus 65.5% a year earlier. The ratio was also 69.9% in Q2 2026. Adjusted measures exclude specified costs and gains, such as senior management transition and acquisition expenses and a $20.1 million prior-year benefit from reducing a tax-sharing obligation. The lower adjusted profit also reflects a higher tax rate.

Cash, debt and the 2027 test

At September 30, before the acquisition, cash and cash equivalents were $1.264 billion. Senior debt had a carrying amount of $1.690 billion, compared with $1.700 billion of principal to repay. Operating cash flow for the first nine months rose to $300.6 million from $119.6 million.

Lazard expects the combined Lazard CL business to produce approximately $500 million of revenue in 2027 and add to earnings per share before any benefits from combining the operations. This was already its forecast at the April acquisition announcement. Lazard says Campbell Lutyens is performing ahead of its acquisition assumptions. Its longer-term compensation goal is 60% or less of adjusted revenue, with timing dependent on market conditions.