Home / Business and Economy / Lazard's Profit Soars 67% on Asset Management Strength
Lazard's Profit Soars 67% on Asset Management Strength
1 May
Summary
- Lazard's first-quarter profit surged by 67% due to strong asset management performance.
- Average assets under management increased to $266 billion from $231 billion.
- Net revenue climbed 17% to $757 million, with asset management up 42%.
Investment bank Lazard announced a substantial 67% increase in its first-quarter profit, attributed to strong client demand within its asset management business during a period of market volatility. The company's average assets under management grew to $266 billion by the end of the quarter, an increase from $231 billion in the same period last year. This rise in assets under management directly benefits Lazard through increased fee-based revenue.
Lazard's net revenue saw a 17% uplift, reaching $757 million for the quarter. The asset management segment was a key driver, posting a 42% surge in revenue. CEO Peter Orszag highlighted early progress in aligning the business with client demand, while acknowledging that M&A revenue was impacted by transaction timing. Despite this, the outlook for dealmaking remains optimistic.
The global M&A market experienced a significant 19% increase in revenue during the first quarter, reaching a record $11.3 billion. This growth was primarily fueled by activity in technology, especially artificial intelligence, as well as healthcare and financial services sectors. Lazard was involved in notable transactions, including assisting Keurig Dr. Pepper in its $23 billion acquisition of JDE Peet's and advising Zurich Insurance Group on its 8.2 billion pounds offer for Beazley.
