# Houlihan Lokey Inc. (HLI) — Financial Analysis

**Exchange:** NYSE  
**Coverage as of:** 2026-Q2  
**Updated:** 2026-05-18  
**Tier:** Free primer (step 2 of 19)  
**Sibling pages:** /stocks/HLI/thesis · /stocks/HLI/memo

## Financial Snapshot

---
ticker: HLI
step: 04
generated: 2026-05-13
source: quick-research
---

### Houlihan Lokey Inc. (HLI) — Financial Snapshot

*Note: Houlihan Lokey's fiscal year ends March 31.*

#### Income Statement Summary

| Metric | FY2023 | FY2024 | FY2025 | YoY |
|--------|--------|--------|--------|-----|
| Revenue | $1.81B | $1.91B | $2.39B | +25.1% |
| Net Income | — | $280M | $400M | +43% |
| EPS (diluted, GAAP) | — | $4.11 | $5.82 | +41.6% |
| Adj. EPS | — | $4.49 | $6.29 | +40% |

*FY2025 record: 25% increase in closed transactions drove the revenue and earnings surge. Segment mix: Corporate Finance ~64%, Financial Restructuring ~23%, FVA ~13%. Q4 FY2025 (Jan–Mar 2025): revenue $666M (+28% vs Q4 FY2024's $520M). FY2026 (ongoing): Q2 FY2026 slides show accelerating revenue growth and record FY2026 revenue trajectory. Corporate Finance grew 36% YoY in Q3 FY2025 — driven by middle-market M&A recovery. Restructuring revenues modest but elevated backlog.*

#### Cash Flow & Balance Sheet

| Metric | Value |
|--------|-------|
| Revenue Model | 100% advisory fees (no balance sheet risk) |
| Market Position | #1 Global M&A advisor by deal count (415 in 2024) |
| Restructuring | #1 Global by deal count (88 in 2024) |
| Fairness Opinions | #1 since 2000 (1,243 deals cumulative) |
| Employees | 2,702 across 35 locations |

*Capital-light model: no proprietary trading, no lending. Primary expenses are compensation (~55–60% of revenue) and G&A. No complex balance sheet management unlike LPL or Raymond James. Free cash flow closely tracks net income.*

#### Key Ratios (approximate)
- P/E: ~29–33x (trailing FY2025 EPS $5.82 — premium to Evercore's 18x, reflecting HLI's all-weather model)
- Revenue Growth: +25% (FY2025); FY2026 record trajectory
- Net Margin: ~16.7% (FY2025); improving from ~14.7% (FY2024)
- 3-year EPS CAGR: ~25%+ (FY2022→FY2025)

#### Growth Profile
Houlihan Lokey has grown revenue from $1.81B (FY2023) to $2.39B (FY2025) — nearly 32% in two fiscal years — entirely organically. The all-weather model (Corporate Finance + Restructuring + FVA) means the firm never has a truly catastrophic year: when M&A slows, Restructuring accelerates. The 25% transaction volume increase in FY2025 reflects the M&A recovery plus Houlihan Lokey capturing market share from bulge brackets as middle-market sponsors prefer boutique independence. FY2026 shows continued acceleration per investor slides.

#### Forward Estimates
- FY2026 (ending March 2026): Record revenues; analyst avg PT $216.80 implies further EPS growth
- Analyst consensus: Buy (7 analysts); avg PT $216.80, range $163 (UBS Neutral) to $235 (bull)
- UBS more cautious: $163 target, citing valuation premium
- Key driver: Middle-market M&A + Restructuring backlog converts to revenue with 6–12 month lag

## Deeper Financial Analysis

The fundamental tier ($1.00) adds 8 dimensions not included here:

- Revenue Breakdown — segment revenue, geographic mix, product-line margins
- Financial Trends — QoQ momentum, leading indicators, inflection points
- Balance Sheet — debt structure, dilution risk, working capital dynamics
- Capital Allocation — ROIC, buyback cadence, reinvestment efficiency
- Earnings Analysis — beats/misses, guidance vs actuals, transcript highlights
- Competitive Positioning — market share, pricing power, peer benchmarks
- Industry Context — TAM, sector tailwinds/headwinds, regulatory backdrop

**API endpoint:** GET /api/v1/research/HLI/fundamental

## Navigation

- Overview: /stocks/HLI
- Financials (this page): /stocks/HLI/financials
- Thesis: /stocks/HLI/thesis
- Investment Memo: /stocks/HLI/memo
- Coverage universe: /stocks