Adjusted compensation ratio improved to 65.4%, down 60 basis points year-over-year, while adjusted noncompensation expenses rose 9% due to technology and occupancy costs.
Adjusted operating income was $157 million, a 37% increase versus Q2 2024, with adjusted EPS of $2.42, up 34% year-over-year.
Advisory fees increased 23% year-over-year to $698 million, a record for the quarter.
Asset Management and Administration Fees grew 3% to $21 million, driven by market appreciation and net inflows.
Cash and investment securities totaled over $1.7 billion as of June 30, with positive cash flow and $532 million returned to shareholders in the first half through buybacks and dividends.
Evercore delivered adjusted net revenues of $839 million in Q2 2025, up nearly 21% year-over-year, marking record revenues for both the quarter and first half of the year.
GAAP net revenues, operating income, and EPS were $834 million, $150 million, and $2.36 per share respectively in Q2 2025.
Share repurchases totaled approximately 1.7 million shares year-to-date at an average price of $258.5 per share, fully offsetting dilution from RSU grants.
Underwriting revenues rose 4% to $32 million, commissions and related revenue increased 10% to $58 million.
East West Bancorp reported record quarterly revenue and net interest income in Q2 2025, with average loan and deposit growth of 2% quarter-over-quarter.
Efficiency ratio was 36.4%, with total operating noninterest expense at $230 million, in line with full-year guidance.
Income tax expense was $92 million with an effective tax rate of 22.9%, including a $6 million one-time expense related to California's tax changes.
Net interest income grew to $617 million, up $17 million from Q1, with a 16.7% adjusted return on tangible common equity and a 1.6% return on average assets.
Total average deposits grew 2% quarter-over-quarter, with strong growth in noninterest-bearing deposits and commercial deposit segments.
Total noninterest income was $86 million, with fee income at $81 million, the third highest quarter for fees in company history.
FFO and core FFO per share for Q2 2025 were $0.33 and $0.35 respectively, down from $0.36 in Q2 2024.
Net assets increased from $1.16 billion to $1.2 billion mainly due to two industrial acquisitions totaling $78.95 million.
Operating expenses decreased to $25.1 million in Q2 2025 from $26.0 million in Q2 2024, due to incentive fee waivers and lower depreciation, offset by higher property expenses.
Same-store rents increased by 6.4% in the first half of 2025 compared to the same period in 2024.
Total operating revenues increased to $39.5 million in Q2 2025 from $37.1 million in Q2 2024, driven by higher recovery and rental rates.
Strategic Balance Sheet Optimization through CRE Loan Sales and Securitizations
Executed $377 million CRE loan sale in April and $481 million securitization in June, reducing CRE concentration from over 600% to 365% of regulatory capital.
Plan to complete an additional securitization before year-end, aiming to fully exit the CRE held-for-sale portfolio by 2025.
Balance sheet actions limited positive impact on net interest income but expected to improve net interest margin (NIM) to 1.8%-1.9% by end of 2025.
Focus on reducing CRE concentration to mitigate volatility and enhance earnings stability.
Dafinchi