For 30 years, Evercore has been committed to delivering for clients by expanding our capabilities and talent each and every year, building a firm grounded in excellence and long-term high-quality growth. This acquisition continues that approach, enhancing our ability to create value for all of our stakeholders. As you have seen, we've been accelerating our growth in AMEA in recent years, including key additions in France, Spain, and most recently, Italy. In the first half of 2025, Evercore generated over $1.5 billion in adjusted net revenues, a 20% increase compared to the same period a year ago.
These results represent record revenues for both second quarter and first half. Since our last earnings call, four senior managing directors have joined our investment banking practice in private capital advisory, healthcare, industrials, and in Italy. As noted earlier, we delivered strong year-over-year growth across our diversified mix of businesses in both the second quarter and the first half. Our European business saw growth in the quarter with an increase in activity across most sectors and products, and momentum for deal activity in the region continues to build.
Our industry-leading private capital advisory business delivered a record first half and second quarter, driven by unprecedented volumes in GP-led continuation funds, LP secondaries, and securitizations. We expect it to be accretive to Evercore's adjusted and GAAP EPS in our first full year together and thereafter. Net revenues, operating income, and EPS on a GAAP basis were $834 million, $150 million, and $2.36 per share, respectively. Adjusted earnings per share of $2.42 increased 34% versus the second quarter of last year.
| Metric | YoY | Note |
|---|---|---|
| Adjusted net revenues | +21% to $839M | improving market conditions and strong results across diversified businesses; record second quarter |
| Adjusted operating income | +37% to $157M | revenue growth and operating leverage |
| Adjusted EPS | +34% to $2.42 | higher operating income |
| Adjusted operating margin | +230 bps to 18.7% | revenue increase outpacing expense growth |
| Adjusted advisory fees | +23% to $698M | second-quarter record across advisory franchise |
| Underwriting revenues | +4% to $32M | improving equity issuance markets |
| Commissions and related revenue | +10% to $58M | heightened trading volumes in April from elevated volatility |
| Asset management and admin fees | +3% to $21M | market appreciation and net inflows |
| Adjusted non-comp expenses | +9% to $133M | higher technology/market data renewal costs and occupancy from office expansions |
| Topic | Previous mention | Current period | Trend |
|---|---|---|---|
| M&A market recovery | stronger expectations earlier in the year | Improving with rising CEO confidence and building backlogs, but not a full recovery; global M&A volumes up 30% YTD industry-wide | Up |
| Revenue diversification (non-M&A mix) | — | ~50% of revenues from non-M&A sources (PCA, restructuring, activism defense); merger business expected to grow faster as market recovers | Stable |
| Global expansion / international | recent additions in France, Spain, Italy | Robey Warshaw acquisition adds U.K. large-cap relationships; over 400 bankers across nine countries in the region | Up |
| Private capital advisory secondaries | — | Record first half on unprecedented GP-led continuation fund and LP secondary volumes; competition expected to intensify | Up |
| Compensation ratio | improved from two years ago; down vs prior year and last quarter | 65.4%, down 60 bps YoY; ongoing strategic hiring may delay near-term further improvement | Stable |
| Talent recruiting | — | Nine investment banking SMDs and one senior advisor for the year, with a solid external pipeline; hiring one-by-one remains the primary growth means | Up |