Evercore Inc. 10-Q

Item 1. Financial Statements Condensed Consolidated Financial Statements (Unaudited) Page Condensed Consolidated Statements of Financial Condition as of June 3 0 , 2025 and December 31, 2024 4 Condensed Consolidated Statements of Operations for the three and six months ended June 3 0 , 2025 and 2024 5 Condensed Consolidated Statements of Comprehensive Income for the three and six months ended June 3 0 , 2025 and 2024 6 Condensed Consolidated Statements of Changes in Equity for the three and six months ended June 3 0 , 2025 and 2024 7 Condensed Consolidated Statements of Cash Flows for the six months ended June 3 0 , 2025 and 2024 8 Notes to Unaudited Condensed Consolidated Financial Statements 9 3 Table of Contents EVERCORE INC. CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (UNAUDITED) (dollars in thousands, except share data) June 30, 2025 December 31, 2024 Assets Current Assets Cash and Cash Equivalents $ 617,298 $ 873,045 Investment Securities and Certificates of Deposit (includes available-for-sale debt securities with an amortized cost of $ 387,939 and $ 813,507 at June 30, 2025 and December 31, 2024, respectively) 1,117,247 1,519,381 Accounts Receivable (net of allowances of $ 3,894 and $ 2,253 at June 30, 2025 and December 31, 2024, respectively) 483,975 421,502 Receivable from Employees and Related Parties 34,073 33,566 Other Current Assets 182,513 140,407 Total Current Assets 2,435,106 2,987,901 Investments 17,578 18,673 Deferred Tax Assets 289,217 284,508 Operating Lease Right-of-Use Assets 441,844 439,458 Furniture, Equipment and Leasehold Improvements (net of accumulated depreciation and amortization of $ 161,742 and $ 151,455 at June 30, 2025 and December 31, 2024, respectively) 182,856 144,756 Goodwill 129,109 124,452 Other Assets 193,949 174,223 Total Assets $ 3,689,659 $ 4,173,971 Liabilities and Equity Current Liabilities Accrued Compensation and Benefits $ 549,660 $ 1,024,076 Accounts Payable and Accrued Expenses 40,495 29,041 Payable to Employees and Related Parties 92,322 48,494 Operating Lease Liabilities 60,211 55,253 Taxes Payable 2,213 4,781 Current Portion of Notes Payable 85,937 37,951 Other Current Liabilities 33,510 30,205 Total Current Liabilities 864,348 1,229,801 Operating Lease Liabilities 492,173 494,169 Notes Payable 291,300 335,944 Amounts Due Pursuant to Tax Receivable Agreements 56,968 52,968 Other Long-term Liabilities 66,376 119,281 Total Liabilities 1,771,165 2,232,163 Commitments and Contingencies (Note 16) Equity Evercore Inc. Stockholders' Equity Common Stock Class A, par value $ 0.01 per share ( 1,000,000,000 shares authorized, 86,982,643 and 84,767,922 issued at June 30, 2025 and December 31, 2024, respectively, and 38,593,516 and 38,116,350 outstanding at June 30, 2025 and December 31, 2024, respectively) 870 848 Class B, par value $ 0.01 per share ( 1,000,000 shares authorized, 46 and 45 issued and outstanding at June 30, 2025 and December 31, 2024, respectively) — — Additional Paid-In Capital 3,709,719 3,510,356 Accumulated Other Comprehensive Income (Loss) ( 10,917 ) ( 36,057 ) Retained Earnings 2,305,996 2,133,919 Treasury Stock at Cost ( 48,389,127 and 46,651,572 shares at June 30, 2025 and December 31, 2024, respectively) ( 4,350,589 ) ( 3,901,424 ) Total Evercore Inc. Stockholders' Equity 1,655,079 1,707,642 Noncontrolling Interest 263,415 234,166 Total Equity 1,918,494 1,941,808 Total Liabilities and Equity $ 3,689,659 $ 4,173,971 See Notes to Unaudited Condensed Consolidated Financial Statements. 4 Table of Contents EVERCORE INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) (dollars and share amounts in thousands, except per share data) For the Three Months Ended June 30, For the Six Months Ended June 30, 2025 2024 2025 2024 Revenues Investment Banking & Equities: Advisory Fees $ 697,744 $ 568,231 $ 1,255,093 $ 998,069 Underwriting Fees 32,206 30,999 86,461 86,534 Commissions and Related Revenue 58,272 53,199 113,382 101,437 Asset Management and Administration Fees 20,684 19,200 41,667 37,899 Other Revenue, Including Interest and Investments 29,134 21,784 40,459 54,477 Total Revenues 838,040 693,413 1,537,062 1,278,416 Interest Expense 4,210 4,189 8,403 8,377 Net Revenues 833,830 689,224 1,528,659 1,270,039 Expenses Employee Compensation and Benefits 548,611 458,935 1,008,436 846,640 Occupancy and Equipment Rental 26,914 21,801 52,645 43,745 Professional Fees (1) 23,133 24,437 45,523 46,647 Travel and Related Expenses 23,984 21,384 46,002 40,606 Technology and Information Services (1) 36,587 29,437 69,954 57,613 Depreciation and Amortization 6,450 6,439 12,426 12,732 Execution, Clearing and Custody Fees 3,180 3,051 6,526 6,392 Acquisition and Transition Costs 1,637 — 1,637 — Other Operating Expenses 12,945 15,497 23,937 23,301 Total Expenses 683,441 580,981 1,267,086 1,077,676 Income Before Income from Equity Method Investments and Income Taxes 150,389 108,243 261,573 192,363 Income from Equity Method Investments 815 1,857 1,694 4,182 Income Before Income Taxes 151,204 110,100 263,267 196,545 Provision for Income Taxes 44,265 28,367 2,538 21,688 Net Income 106,939 81,733 260,729 174,857 Net Income Attributable to Noncontrolling Interest 9,738 7,975 17,344 15,406 Net Income Attributable to Evercore Inc. $ 97,201 $ 73,758 $ 243,385 $ 159,451 Net Income Attributable to Evercore Inc. Common Shareholders $ 97,201 $ 73,758 $ 243,385 $ 159,451 Weighted Average Shares of Class A Common Stock Outstanding Basic 38,715 38,502 38,717 38,470 Diluted 41,213 40,857 41,636 40,969 Net Income Per Share Attributable to Evercore Inc. Common Shareholders: Basic $ 2.51 $ 1.92 $ 6.29 $ 4.14 Diluted $ 2.36 $ 1.81 $ 5.85 $ 3.89 (1) Certain balances in prior periods were reclassified to conform to the current presentation. See Note 2 for further information. See Notes to Unaudited Condensed Consolidated Financial Statements. 5 Table of Contents EVERCORE INC. CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) (dollars in thousands) For the Three Months Ended June 30, For the Six Months Ended June 30, 2025 2024 2025 2024 Net Income $ 106,939 $ 81,733 $ 260,729 $ 174,857 Other Comprehensive Income (Loss), net of tax: Unrealized Gain (Loss) on Securities and Investments, net 5 29 ( 223 ) ( 41 ) Foreign Currency Translation Adjustment Gain (Loss), net 18,678 ( 834 ) 27,392 ( 4,287 ) Other Comprehensive Income (Loss) 18,683 ( 805 ) 27,169 ( 4,328 ) Comprehensive Income 125,622 80,928 287,898 170,529 Comprehensive Income Attributable to Noncontrolling Interest 11,128 7,909 19,373 15,041 Comprehensive Income Attributable to Evercore Inc. $ 114,494 $ 73,019 $ 268,525 $ 155,488 See Notes to Unaudited Condensed Consolidated Financial Statements. 6 Table of Contents EVERCORE INC. CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (UNAUDITED) (dollars in thousands, except share data) For the Three Months Ended June 30, 2025 Accumulated Additional Other Class A Common Stock Paid-In Comprehensive Retained Treasury Stock Noncontrolling Total Shares Dollars Capital Income (Loss) Earnings Shares Dollars Interest Equity Balance at March 31, 2025 86,863,201 $ 869 $ 3,596,161 $ ( 28,210 ) $ 2,245,124 ( 48,206,094 ) $ ( 4,307,384 ) $ 245,095 $ 1,751,655 Net Income — — — — 97,201 — — 9,738 106,939 Other Comprehensive Income — — — 17,293 — — — 1,390 18,683 Treasury Stock Purchases — — — — — ( 183,033 ) ( 43,205 ) — ( 43,205 ) Evercore LP Units Exchanged for Class A Common Stock 86,625 1 11,026 — — — — ( 8,772 ) 2,255 Equity-based Compensation Awards 32,817 — 103,752 — — — — 19,847 123,599 Dividends — — — — ( 36,329 ) — — — ( 36,329 ) Noncontrolling Interest (Note 13) — — ( 1,220 ) — — — — ( 3,883 ) ( 5,103 ) Balance at June 30, 2025 86,982,643 $ 870 $ 3,709,719 $ ( 10,917 ) $ 2,305,996 ( 48,389,127 ) $ ( 4,350,589 ) $ 263,415 $ 1,918,494 For the Six Months Ended June 30, 2025 Accumulated Additional Other Class A Common Stock Paid-In Comprehensive Retained Treasury Stock Noncontrolling Total Shares Dollars Capital Income (Loss) Earnings Shares Dollars Interest Equity Balance at December 31, 2024 84,767,922 $ 848 $ 3,510,356 $ ( 36,057 ) $ 2,133,919 ( 46,651,572 ) $ ( 3,901,424 ) $ 234,166 $ 1,941,808 Net Income — — — — 243,385 — — 17,344 260,729 Other Comprehensive Income — — — 25,140 — — — 2,029 27,169 Treasury Stock Purchases — — — — — ( 1,737,555 ) ( 449,165 ) — ( 449,165 ) Evercore LP Units Exchanged for Class A Common Stock 110,317 1 13,441 — — — — ( 10,967 ) 2,475 Equity-based Compensation Awards 2,104,404 21 187,142 — — — — 32,574 219,737 Dividends — — — — ( 71,308 ) — — — ( 71,308 ) Noncontrolling Interest (Note 13) — — ( 1,220 ) — — — — ( 11,731 ) ( 12,951 ) Balance at June 30, 2025 86,982,643 $ 870 $ 3,709,719 $ ( 10,917 ) $ 2,305,996 ( 48,389,127 ) $ ( 4,350,589 ) $ 263,415 $ 1,918,494 For the Three Months Ended June 30, 2024 Accumulated Additional Other Class A Common Stock Paid-In Comprehensive Retained Treasury Stock Noncontrolling Total Shares Dollars Capital Income (Loss) Earnings Shares Dollars Interest Equity Balance at March 31, 2024 84,342,335 $ 843 $ 3,245,225 $ ( 29,762 ) $ 1,945,012 ( 45,827,585 ) $ ( 3,716,500 ) $ 203,454 $ 1,648,272 Net Income — — — — 73,758 — — 7,975 81,733 Other Comprehensive Income (Loss) — — — ( 739 ) — — — ( 66 ) ( 805 ) Treasury Stock Purchases — — — — — ( 290,343 ) ( 54,188 ) — ( 54,188 ) Evercore LP Units Exchanged for Class A Common Stock 34,635 — 3,115 — — — — ( 2,507 ) 608 Equity-based Compensation Awards 58,842 1 84,355 — — — — 9,479 93,835 Dividends — — — — ( 34,640 ) — — — ( 34,640 ) Noncontrolling Interest (Note 13) — — ( 969 ) — — — — ( 6,320 ) ( 7,289 ) Balance at June 30, 2024 84,435,812 $ 844 $ 3,331,726 $ ( 30,501 ) $ 1,984,130 ( 46,117,928 ) $ ( 3,770,688 ) $ 212,015 $ 1,727,526 For the Six Months Ended June 30, 2024 Accumulated Additional Other Class A Common Stock Paid-In Comprehensive Retained Treasury Stock Noncontrolling Total Shares Dollars Capital Income (Loss) Earnings Shares Dollars Interest Equity Balance at December 31, 2023 82,114,009 $ 821 $ 3,163,198 $ ( 26,538 ) $ 1,892,656 ( 44,340,396 ) $ ( 3,453,203 ) $ 205,556 $ 1,782,490 Net Income — — — — 159,451 — — 15,406 174,857 Other Comprehensive Income (Loss) — — — ( 3,963 ) — — — ( 365 ) ( 4,328 ) Treasury Stock Purchases — — — — — ( 1,777,532 ) ( 317,485 ) — ( 317,485 ) Evercore LP Units Exchanged for Class A Common Stock 125,276 1 11,272 — — — — ( 8,653 ) 2,620 Equity-based Compensation Awards 2,196,527 22 158,225 — — — — 15,829 174,076 Dividends — — — — ( 67,977 ) — — — ( 67,977 ) Noncontrolling Interest (Note 13) — — ( 969 ) — — — — ( 15,758 ) ( 16,727 ) Balance at June 30, 2024 84,435,812 $ 844 $ 3,331,726 $ ( 30,501 ) $ 1,984,130 ( 46,117,928 ) $ ( 3,770,688 ) $ 212,015 $ 1,727,526 See Notes to Unaudited Condensed Consolidated Financial Statements. 7 Table of Contents EVERCORE INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (dollars in thousands) For the Six Months Ended June 30, 2025 2024 Cash Flows From Operating Activities Net Income $ 260,729 $ 174,857 Adjustments to Reconcile Net Income to Net Cash Provided by (Used In) Operating Activities: Net (Gains) Losses on Investments, Investment Securities and Contingent Consideration ( 7,723 ) ( 20,757 ) Equity Method Investments 189 176 Equity-Based and Other Deferred Compensation 329,365 288,412 Noncash Lease Expense 25,062 19,886 Depreciation, Amortization and Accretion, net 3,610 1,079 Bad Debt Expense 3,530 971 Deferred Taxes ( 6,671 ) ( 606 ) Decrease (Increase) in Operating Assets: Investment Securities 10,185 16,214 Accounts Receivable ( 57,397 ) 8,475 Receivable from Employees and Related Parties ( 100 ) 72 Other Assets ( 57,867 ) 19,923 (Decrease) Increase in Operating Liabilities: Accrued Compensation and Benefits ( 565,247 ) ( 475,693 ) Accounts Payable and Accrued Expenses 6,621 8,973 Payables to Employees and Related Parties 37,003 21,489 Taxes Payable ( 2,568 ) ( 3,193 ) Other Liabilities ( 90,637 ) 6,989 Net Cash Provided by (Used in) Operating Activities ( 111,916 ) 67,267 Cash Flows From Investing Activities Investments Purchased ( 1,000 ) — Distributions of Private Equity Investments 1,270 — Investment Securities: Proceeds from Sales and Maturities of Investment Securities 1,443,298 1,633,347 Purchases of Investment Securities ( 1,017,910 ) ( 1,179,299 ) Maturity of Certificates of Deposit 66,422 54,462 Purchase of Certificates of Deposit ( 80,766 ) ( 115,814 ) Purchase of Furniture, Equipment and Leasehold Improvements ( 45,706 ) ( 8,918 ) Net Cash Provided by Investing Activities 365,608 383,778 Cash Flows From Financing Activities Issuance of Noncontrolling Interests 1,331 85 Distributions to Noncontrolling Interests ( 13,309 ) ( 15,973 ) Payments Under Tax Receivable Agreement ( 597 ) ( 607 ) Purchase of Treasury Stock and Noncontrolling Interests ( 450,139 ) ( 320,347 ) Dividends ( 79,091 ) ( 74,145 ) Net Cash Provided by (Used in) Financing Activities ( 541,805 ) ( 410,987 ) Effect of Exchange Rate Changes on Cash 33,255 ( 5,084 ) Net Increase (Decrease) in Cash, Cash Equivalents and Restricted Cash ( 254,858 ) 34,974 Cash, Cash Equivalents and Restricted Cash – Beginning of Period 882,107 605,484 Cash, Cash Equivalents and Restricted Cash – End of Period $ 627,249 $ 640,458 SUPPLEMENTAL CASH FLOW DISCLOSURE Payments for Interest $ 8,130 $ 8,096 Payments for Income Taxes $ 40,387 $ 46,212 Accrued Dividends $ 7,672 $ 8,030 See Notes to Unaudited Condensed Consolidated Financial Statements. 8 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) Note 1 – Organization Evercore Inc., together with its subsidiaries (the "Company"), is an investment banking and investment management firm, incorporated in Delaware and headquartered in New York, New York. The Company is a holding company which owns a controlling interest in, and is the sole general partner of, Evercore LP, a Delaware limited partnership ("Evercore LP"). The Company operates from its offices and through its affiliates in the Americas, Europe, the Middle East and Asia. The Investment Banking & Equities segment includes the investment banking business through which the Company provides advice to clients on significant mergers, acquisitions, divestitures, shareholder activism and other strategic corporate transactions, with a particular focus on advising prominent multinational corporations and substantial private equity firms on large, complex transactions. The Company also provides liability management and restructuring advice to companies in financial transition, as well as to creditors, shareholders and potential acquirers. In addition, the Company provides its clients with capital markets advice, underwrites securities offerings, raises funds for financial sponsors and provides advisory services focused on partnerships and private funds interests, as well as on primary and secondary transactions for real estate oriented financial sponsors and private equity interests. The Investment Banking & Equities segment also includes the equities business through which the Company offers macroeconomic, policy and fundamental equity research and agency-based equity securities trading for institutional investors. The Company's interest in Seneca Advisors LTDA ("Seneca Evercore"), which is accounted for under the equity method of accounting, and the Company's former interest in Luminis Partners ("Luminis", through September 2024), are also reflected in the Investment Banking & Equities segment. The Investment Management segment includes the wealth management business through which the Company provides investment advisory, wealth management and fiduciary services for high-net-worth individuals and associated entities, and the private equity business, which holds interests in private equity funds which are not managed by the Company. The Investment Management segment also includes an interest in Atalanta Sosnoff Capital, LLC ("Atalanta Sosnoff"), which is accounted for under the equity method of accounting, and the Company's former interest in ABS Investment Management Holdings LP and ABS Investment Management GP LLC (collectively, "ABS", through July 2024). Note 2 – Significant Accounting Policies For a further discussion of the Company's accounting policies, refer to the Company's Annual Report on Form 10-K for the year ended December 31, 2024. Basis of Presentation – The accompanying unaudited condensed consolidated financial statements of the Company have been prepared in accordance with the instructions to Form 10-Q. As permitted by the rules and regulations of the United States Securities and Exchange Commission, the unaudited condensed consolidated financial statements contain certain condensed financial information and exclude certain footnote disclosures normally included in audited consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"). The accompanying condensed consolidated financial statements are unaudited and are prepared in accordance with U.S. GAAP. In the opinion of the Company's management, the accompanying unaudited condensed consolidated financial statements contain all adjustments, including normal recurring accruals, necessary to fairly present the accompanying unaudited condensed consolidated financial statements. These unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements included in the Company's annual report on Form 10-K for the year ended December 31, 2024. The December 31, 2024 Unaudited Condensed Consolidated Statements of Financial Condition data was derived from audited consolidated financial statements, but does not include all disclosures required by U.S. GAAP. Operating results for interim periods are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2025. The accompanying unaudited condensed consolidated financial statements of the Company are comprised of the consolidation of Evercore LP and Evercore LP's wholly-owned and majority-owned direct and indirect subsidiaries, including Evercore Group L.L.C. ("EGL"), a registered broker-dealer in the U.S. The Company's policy is to consolidate all subsidiaries in which it has a controlling financial interest, as well as any variable interest entities ("VIEs") where the Company is deemed to be the primary beneficiary, when it has the power to make the decisions that most significantly affect the economic performance of the VIE and has the obligation to absorb significant losses or the right to receive benefits that could potentially be significant to the VIE. The Company reviews factors, including the rights of the equity holders and obligations of equity holders to absorb losses or receive expected residual returns, to determine if the investment is a VIE. In evaluating whether the Company is the primary beneficiary, the Company evaluates its economic interests in the entity held either directly or indirectly by the Company. The consolidation analysis is generally performed qualitatively. This analysis, which requires judgment, is performed at each reporting date. 9 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) Evercore LP is a VIE and the Company is the primary beneficiary. Specifically, the Company has the majority economic interest in Evercore LP and has decision making authority that significantly affects the economic performance of the entity while the limited partners have no kick-out or substantive participating rights. The assets and liabilities of Evercore LP represent substantially all of the consolidated assets and liabilities of the Company with the exception of U.S. corporate taxes and related items, which are presented on the Company's (Parent Company Only) Condensed Statements of Financial Condition in Note 24 to the Company's consolidated financial statements in the Company's Annual Report on Form 10-K for the year ended December 31, 2024. Evercore ISI International Limited ("Evercore ISI U.K."), Evercore Partners International LLP ("Evercore U.K."), Evercore (Japan) Ltd. ("Evercore Japan"), Evercore Consulting (Beijing) Co. Ltd. ("Evercore Beijing"), Evercore Partners Canada Ltd. ("Evercore Canada"), Evercore Asia Limited ("Evercore Hong Kong") and Evercore Asia (Singapore) Pte. Ltd. ("Evercore Singapore") are also VIEs, and the Company is the primary beneficiary of these VIEs. Specifically for Evercore ISI U.K., Evercore Japan, Evercore Beijing, Evercore Canada, Evercore Hong Kong and Evercore Singapore (as of January 1, 2025 for Evercore Singapore), the Company provides financial support through transfer pricing agreements with these entities, which exposes the Company to losses that are potentially significant to these entities, and has decision making authority that significantly affects the economic performance of these entities. The Company has the majority economic interest in Evercore U.K. and has decision making authority that significantly affects the economic performance of this entity. The Company included in its Unaudited Condensed Consolidated Statements of Financial Condition Evercore ISI U.K., Evercore U.K., Evercore Japan, Evercore Beijing, Evercore Canada, Evercore Hong Kong and Evercore Singapore assets of $ 618,506 and liabilities of $ 213,521 at June 30, 2025 and Evercore ISI U.K., Evercore U.K., Evercore Japan, Evercore Beijing, Evercore Canada and Evercore Hong Kong assets of $ 581,814 and liabilities of $ 246,321 at December 31, 2024. All intercompany balances and transactions with the Company's subsidiaries have been eliminated upon consolidation. Reclassifications – During the second quarter of 2025, certain balances on the Unaudited Condensed Consolidated Statements of Operations for prior periods were reclassified to conform to the current presentation, with no impact on previously reported Net Income. Technology and Information Services – The Company renamed "Communications and Information Services" to "Technology and Information Services" on the Unaudited Condensed Consolidated Statements of Operations and reclassified $ 9,851 and $ 18,860 of technology and related expenses from "Professional Fees" to "Technology and Information Services" for the three and six months ended June 30, 2024, respectively. The prior period reclassifications from "Professional Fees" to "Technology and Information Services" are as follows: $ 10,223 for the three months ended March 31, 2025; $ 9,009 , $ 9,851 , $ 10,465 and $ 10,196 for the three months ended March 31, 2024, June 30, 2024, September 30, 2024 and December 31, 2024, respectively, and $ 39,521 for the twelve months ended December 31, 2024; $ 8,567 , $ 8,186 , $ 9,241 and $ 9,066 for the three months ended March 31, 2023, June 30, 2023, September 30, 2023 and December 31, 2023, respectively, and $ 35,060 for the twelve months ended December 31, 2023. Note 3 – Recent Accounting Pronouncements ASU 2023-07 – In November 2023, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2023-07, "Improvements to Reportable Segment Disclosures" ("ASU 2023-07"). ASU 2023-07 provides amendments to Accounting Standards Codification ("ASC") 280, "Segment Reporting" ("ASC 280"), which require disclosure of incremental segment information on an annual and interim basis, and require that all annual disclosures currently required by ASC 280 about a reportable segment's profit or loss and assets are also provided in interim periods. The amendments in this update are effective for fiscal years beginning after December 15, 2023 and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. The amendments should be applied on a retrospective basis. The Company adopted ASU 2023-07 on January 1, 2024. The adoption of ASU 2023-07 resulted in the Company providing disclosure of incremental segment information, including significant segment expenses that are regularly provided to the Company's Chief Operating Decision Maker ("CODM"). See Note 19 for further information. ASU 2023-09 – In December 2023, the FASB issued ASU No. 2023-09, "Improvements to Income Tax Disclosures" ("ASU 2023-09"). ASU 2023-09 provides amendments to ASC 740, "Income Taxes," which require greater disaggregation of information in a reporting entity's effective tax rate reconciliation, require disaggregation of income taxes paid by federal, state, and foreign jurisdictions and add or modify certain other disclosure requirements. The amendments in this update are effective for annual periods beginning after December 15, 2024. While ASU 2023-09 implements further 10 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) income tax disclosure requirements, it does not change how an entity determines its income tax obligation, and it will have no impact on the Company's financial condition, results of operations or cash flows. ASU 2024-01 – In March 2024, the FASB issued ASU No. 2024-01, "Compensation – Stock Compensation (Topic 718): Scope Application of Profits Interest and Similar Awards" ("ASU 2024-01"). ASU 2024-01 provides amendments to ASC 718, "Compensation – Stock Compensation," which provide guidance in determining whether profits interest and similar awards should be accounted for as share-based arrangements within the scope of Topic 718. The amendments in this update are effective for annual periods beginning after December 15, 2024. The amendments should be applied on a prospective or retrospective basis. The Company adopted ASU 2024-01 on January 1, 2025 on a prospective basis. The adoption of ASU 2024-01 did not have a material impact on the Company's financial condition, results of operations and cash flows, or disclosures thereto. ASU 2024-03 – In November 2024, the FASB issued ASU No. 2024-03, "Income Statement – Reporting Comprehensive Income – Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses" ("ASU 2024-03"). ASU 2024-03 provides amendments to ASC 220, "Income Statement – Reporting Comprehensive Income" , which require disaggregated disclosure of certain income statement expense captions into specified categories within the notes to the financial statements. The amendments in this update are effective for annual periods beginning after December 15, 2026, with early adoption permitted. The amendments should be applied on a prospective or retrospective basis. The Company is currently assessing the impact of this update on the Company's financial condition, results of operations and cash flows, or disclosures thereto. ASU 2025-03 – In May 2025, the FASB issued ASU No. 2025-03, "Business Combinations (Topic 805) and Consolidation (Topic 810): Determining the Accounting Acquirer in the Acquisition of a Variable Interest Entity" ("ASU 2025-03"). ASU 2025-03 provides amendments to ASC 805, "Business Combinations", and to ASC 810, "Consolidation", which revise the guidance for determining the accounting acquirer in a transaction effected primarily by exchanging equity interests in which the legal acquiree is a VIE that meets the definition of a business. The amendments in this update are effective for fiscal years beginning after December 15, 2026 and interim periods within those fiscal years, with early adoption permitted. The amendments should be applied on a prospective basis. The Company is currently assessing the impact of this update on the Company's financial condition, results of operations and cash flows, or disclosures thereto. Note 4 – Revenue and Accounts Receivable The following table presents revenue recognized by the Company for the three and six months ended June 30, 2025 and 2024: For the Three Months Ended June 30, For the Six Months Ended June 30, 2025 2024 2025 2024 Investment Banking & Equities: Advisory Fees $ 697,744 $ 568,231 $ 1,255,093 $ 998,069 Underwriting Fees 32,206 30,999 86,461 86,534 Commissions and Related Revenue 58,272 53,199 113,382 101,437 Total Investment Banking & Equities $ 788,222 $ 652,429 $ 1,454,936 $ 1,186,040 Investment Management: Asset Management and Administration Fees: Wealth Management $ 20,684 $ 19,200 $ 41,667 $ 37,899 Total Investment Management $ 20,684 $ 19,200 $ 41,667 $ 37,899 Contract Balances The change in the Company’s contract assets and liabilities during the following periods primarily reflects timing differences between the Company’s performance and the client’s payment. The Company’s receivables, contract assets and deferred revenue (contract liabilities) for the six months ended June 30, 2025 and 2024 are as follows: 11 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) For the Six Months Ended June 30, 2025 Receivables (Current) (1) Receivables (Long-term) (2) Contract Assets (Current) (3) Contract Assets (Long-term) (2) Deferred Revenue (Contract Liabilities) (4) Balance at January 1, 2025 $ 421,502 $ 101,314 $ 62,379 $ 14,477 $ 3,582 Increase 62,473 11,644 14,969 1,726 2,695 Balance at June 30, 2025 $ 483,975 $ 112,958 $ 77,348 $ 16,203 $ 6,277 For the Six Months Ended June 30, 2024 Receivables (Current) (1) Receivables (Long-term) (2) Contract Assets (Current) (3) Contract Assets (Long-term) (2) Deferred Revenue (Contract Liabilities) (4) Balance at January 1, 2024 $ 371,606 $ 93,689 $ 85,401 $ 5,845 $ 3,524 Increase (Decrease) ( 10,487 ) ( 6,568 ) ( 24,073 ) ( 2,937 ) 2,292 Balance at June 30, 2024 $ 361,119 $ 87,121 $ 61,328 $ 2,908 $ 5,816 (1) Included in Accounts Receivable on the Unaudited Condensed Consolidated Statements of Financial Condition. (2) Included in Other Assets on the Unaudited Condensed Consolidated Statements of Financial Condition. (3) Included in Other Current Assets on the Unaudited Condensed Consolidated Statements of Financial Condition. (4) Included in Other Current Liabilities on the Unaudited Condensed Consolidated Statements of Financial Condition. The Company's contract assets represent arrangements in which an estimate of variable consideration has been included in the transaction price and thereby recognized as revenue that precedes the contractual due date. Under ASC 606, "Revenue from Contracts with Customers" ("ASC 606"), revenue is recognized when all material conditions for completion have been met and it is probable that a significant revenue reversal will not occur in a future period. The Company recognized revenue of $ 5,931 and $ 11,041 on the Unaudited Condensed Consolidated Statements of Operations for the three and six months ended June 30, 2025, respectively, and $ 5,484 and $ 10,349 for the three and six months ended June 30, 2024, respectively, that was initially included in deferred revenue within Other Current Liabilities on the Company’s Unaudited Condensed Consolidated Statements of Financial Condition. Generally, performance obligations under client arrangements will be settled within one year ; therefore, the Company has elected to apply the practical expedient in ASC 606-10-50-14. The allowance for credit losses for the three and six months ended June 30, 2025 and 2024 is as follows: For the Three Months Ended June 30, For the Six Months Ended June 30, 2025 2024 2025 2024 Beginning Balance $ 3,183 $ 4,758 $ 2,253 $ 5,603 Bad debt expense, net of reversals 940 1,538 3,530 971 Write-offs, foreign currency translation and other adjustments ( 229 ) ( 1,305 ) ( 1,889 ) ( 1,583 ) Ending Balance $ 3,894 $ 4,991 $ 3,894 $ 4,991 The change in the balance during the three and six months ended June 30, 2025 is primarily related to an increase in the Company's reserve for credit losses and the write-off of aged receivables. For long-term accounts receivable and long-term contract assets, the Company monitors clients’ creditworthiness based on collection experience and other internal metrics. The following table presents the Company’s long-term accounts receivable and long-term contract assets, primarily from the Company's private and secondary fund advisory businesses, as of June 30, 2025, by year of origination: 12 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) Amortized Carrying Value by Origination Year 2025 2024 2023 2022 2021 Total Long-term Accounts Receivable and Long-term Contract Assets $ 35,801 $ 69,204 $ 16,659 $ 7,253 $ 244 $ 129,161 Note 5 – Business Changes and Developments On July 29, 2025, the Company entered into an agreement to acquire Robey Warshaw, an independent advisory firm headquartered in the United Kingdom. The transaction, which is expected to close at the beginning of the fourth quarter 2025, is subject to customary closing conditions. As consideration for the acquisition, the Company will deliver to the sellers £ 71,250 at closing (in the form of Class A common stock ("Class A Shares")), a portion of which is subject to repayment if they fail to provide service over a four-year period following the acquisition, £ 74,813 due on the first anniversary of the closing (in Class A Shares or cash), as well as contingent consideration payable on various dates between closing and shortly following the six th anniversary of closing, dependent on the achievement of certain performance thresholds over a multi-year period. A portion of the contingent consideration, the amount of the payment at closing subject to repayment, as well as retention awards granted to Robey Warshaw employees joining the Company will be treated as compensation for accounting purposes. The Company recognized $ 1,637 for the three and six months ended June 30, 2025 as Acquisition and Transition Costs incurred in connection with acquisitions, divestitures and other ongoing business development initiatives. These costs are primarily comprised of professional fees for legal and other services. Note 6 – Related Parties Advisory Fees includes fees earned from clients that have the Company's Senior Managing Directors, certain Senior Advisors and executives as a member of their Board of Directors of $ 1,271 for the six months ended June 30, 2025 and $ 923 and $ 1,734 for the three and six months ended June 30, 2024, respectively. Other Assets on the Unaudited Condensed Consolidated Statements of Financial Condition includes the long-term portion of loans receivable from certain employees of $ 32,465 and $ 29,357 as of June 30, 2025 and December 31, 2024, respectively. See Note 15 for further information. Note 7 – Investment Securities and Certificates of Deposit The Company's Investment Securities and Certificates of Deposit as of June 30, 2025 and December 31, 2024 were as follows: June 30, 2025 December 31, 2024 Debt Securities $ 387,946 $ 813,804 Equity Securities 190 298 Debt Securities Carried by EGL 488,381 459,916 Investment Funds 158,331 178,703 Total Investment Securities, at fair value $ 1,034,848 $ 1,452,721 Certificates of Deposit, at contract value 82,399 66,660 Total Investment Securities and Certificates of Deposit $ 1,117,247 $ 1,519,381 Debt Securities Debt Securities are classified as available-for-sale securities within Investment Securities and Certificates of Deposit on the Unaudited Condensed Consolidated Statements of Financial Condition. These securities, which are primarily comprised of U.S. Treasury securities, are stated at fair value with unrealized gains and losses included in Accumulated Other Comprehensive Income (Loss) on the Unaudited Condensed Consolidated Statements of Financial Condition and realized gains and losses included in Other Revenue, Including Interest and Investments, on the Unaudited Condensed Consolidated Statements of Operations, on a specific identification basis. 13 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) Gross unrealized gains included in Accumulated Other Comprehensive Income (Loss) were $ 19 and $ 297 as of June 30, 2025 and December 31, 2024, respectively. Gross unrealized losses included in Accumulated Other Comprehensive Income (Loss) were ($ 12 ) as of June 30, 2025. Net unrealized gains (losses) included in Other Comprehensive Income were $ 8 and ($ 293 ) for the three and six months ended June 30, 2025, respectively, and ($ 12 ) and ($ 157 ) for the three and six months ended June 30, 2024, respectively. Gross realized gains included within Other Revenue, Including Interest and Investments, were $ 3 for the six months ended June 30, 2025. Gross realized losses included within Other Revenue, Including Interest and Investments, were ($ 20 ) for the six months ended June 30, 2025 and ($ 47 ) for the six months ended June 30, 2024. Proceeds from the sales and maturities of available-for-sale securities, including interest, were $ 25,925 and $ 841,964 for the three and six months ended June 30, 2025, respectively, and $ 747,511 for the six months ended June 30, 2024. Scheduled maturities of the Company's available-for-sale debt securities as of June 30, 2025 and December 31, 2024 were as follows: June 30, 2025 December 31, 2024 Amortized Cost Fair Value Amortized Cost Fair Value Due within one year $ 387,939 $ 387,946 $ 813,507 $ 813,804 Total $ 387,939 $ 387,946 $ 813,507 $ 813,804 The Company has the ability and intent to hold available-for-sale securities until a recovery of fair value is equal to an amount approximating its amortized cost, which may be at maturity. Further, the securities are all U.S. Treasury securities and the Company has not incurred credit losses on its securities. As such, the Company does not consider these securities to be impaired at June 30, 2025 and has not recorded a credit allowance on these securities. Equity Securities Equity Securities are carried at fair value with changes in fair value recorded in Other Revenue, Including Interest and Investments, on the Unaudited Condensed Consolidated Statements of Operations. The Company had net unrealized losses of ($ 19 ) and ($ 108 ) for the three and six months ended June 30, 2025, respectively, and ($ 43 ) and ($ 121 ) for the three and six months ended June 30, 2024, respectively. Debt Securities Carried by EGL EGL invests in a fixed income portfolio consisting primarily of U.S. Treasury securities. These securities are carried at fair value, with changes in fair value recorded in Other Revenue, Including Interest and Investments, on the Unaudited Condensed Consolidated Statements of Operations, as required for broker-dealers in securities. The Company had net realized and unrealized gains (losses) of ($ 53 ) and ($ 157 ) for the three and six months ended June 30, 2025, respectively, and $ 50 and ($ 85 ) for the three and six months ended June 30, 2024, respectively. Investment Funds The Company invests in a portfolio of exchange-traded funds as an economic hedge against its deferred cash compensation program. See Note 15 for further information. These securities are carried at fair value, with changes in fair value recorded in Other Revenue, Including Interest and Investments, on the Unaudited Condensed Consolidated Statements of Operations. The Company had net realized and unrealized gains of $ 15,085 and $ 9,154 for the three and six months ended June 30, 2025, respectively, (of which $ 15,085 and ($ 13,454 ), respectively, were net unrealized gains (losses)) and $ 6,216 and $ 21,111 for the three and six months ended June 30, 2024, respectively, (of which $ 5,464 and $ 10,679 , respectively, were net unrealized gains). Certificates of Deposit At June 30, 2025 and December 31, 2024, the Company held certificates of deposit of $ 82,399 and $ 66,660 , respectively, with certain banks with original maturities of seven months or less when purchased. 14 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) Note 8 – Investments The Company's investments reported on the Unaudited Condensed Consolidated Statements of Financial Condition consist of investments in unconsolidated affiliated companies, other investments in private equity partnerships and equity securities in private companies. The Company's investments are relatively high-risk and illiquid assets. The Company's investments in Atalanta Sosnoff, Seneca Evercore, ABS (through July 2024) and Luminis (through September 2024) are in voting interest entities. The Company's share of earnings (losses) from these investments is included within Income from Equity Method Investments on the Unaudited Condensed Consolidated Statements of Operations. The Company also has investments in private equity partnerships which consist of investment interests in private equity funds which are voting interest entities. Realized and unrealized gains and losses on private equity investments are included within Other Revenue, Including Interest and Investments, on the Unaudited Condensed Consolidated Statements of Operations. Equity Method Investments A summary of the Company's investments accounted for under the equity method of accounting as of June 30, 2025 and December 31, 2024 was as follows: June 30, 2025 December 31, 2024 Atalanta Sosnoff $ 10,993 $ 11,155 Seneca Evercore 1,268 1,462 Total $ 12,261 $ 12,617 Atalanta Sosnoff The Company has an investment accounted for under the equity method of accounting in Atalanta Sosnoff. At June 30, 2025, the Company's ownership interest in Atalanta Sosnoff was 49 %. This investment resulted in earnings of $ 804 and $ 1,721 for the three and six months ended June 30, 2025, respectively, and $ 681 and $ 1,316 for the three and six months ended June 30, 2024, respectively, included within Income from Equity Method Investments on the Unaudited Condensed Consolidated Statements of Operations. Seneca Evercore The Company has an investment accounted for under the equity method of accounting in Seneca Evercore. At June 30, 2025, the Company's ownership interest in Seneca Evercore was 20 %. This investment resulted in earnings (losses) of $ 11 and ($ 27 ) for the three and six months ended June 30, 2025, respectively, and $ 10 and $ 130 for the three and six months ended June 30, 2024, respectively, included within Income from Equity Method Investments on the Unaudited Condensed Consolidated Statements of Operations. This investment is subject to currency translation from the Brazilian real to the U.S. dollar, included in Accumulated Other Comprehensive Income (Loss), on the Unaudited Condensed Consolidated Statements of Financial Condition . ABS In July 2024, the Company sold its remaining 26 % ownership interest in ABS for cash of $ 18,113 . This investment resulted in earnings of $ 1,029 and $ 2,031 for the three and six months ended June 30, 2024, respectively, included within Income from Equity Method Investments on the Unaudited Condensed Consolidated Statements of Operations. Luminis In September 2024, the Company agreed to the redemption of its interest in Luminis, such that it no longer has an equity interest in Luminis following the redemption. The Company received no consideration in respect of the redemption. This investment was subject to currency translation from the Australian dollar to the U.S. dollar, included in Accumulated Other Comprehensive Income (Loss), on the Unaudited Condensed Consolidated Statement of Financial Condition. This investment resulted in earnings of $ 137 and $ 705 for the three and six months ended June 30, 2024, respectively, included within Income from Equity Method Investments on the Unaudited Condensed Consolidated Statements of Operations. 15 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) Other The Company allocates the purchase price of its equity method investments, in part, to the inherent finite-lived identifiable intangible assets of the investees. The Company's share of the earnings of the investees has been reduced by the amortization of these identifiable intangible assets of $ 62 and $ 124 for the three and six months ended June 30, 2025, respectively, and $ 79 and $ 158 for the three and six months ended June 30, 2024, respectively. The Company assesses each of its equity method investments for impairment annually, or more frequently if circumstances indicate impairment may have occurred. Investments in Private Equity Private Equity Funds The Company's investments related to private equity partnerships and associated entities include investments in Glisco Partners II, L.P. ("Glisco II"), Glisco Partners III, L.P. ("Glisco III"), Glisco Capital Partners IV ("Glisco IV"), Trilantic Capital Partners Associates IV, L.P. ("Trilantic IV") and Trilantic Capital Partners V, L.P. ("Trilantic V"). Portfolio holdings of the private equity funds are carried at fair value. Accordingly, the Company reflects its pro rata share of unrealized gains and losses occurring from changes in fair value, as well as its pro rata share of realized gains, losses and carried interest associated with any investment realizations. A summary of the Company's investments in the private equity funds as of June 30, 2025 and December 31, 2024 was as follows: June 30, 2025 December 31, 2024 Glisco II, Glisco III and Glisco IV $ 1,928 $ 3,569 Trilantic IV and Trilantic V 1,703 1,862 Total Private Equity Funds $ 3,631 $ 5,431 Net realized and unrealized losses on private equity fund investments were ($ 114 ) and ($ 1,094 ) for the three and six months ended June 30, 2025, respectively, and ($ 174 ) and ($ 101 ) for the three and six months ended June 30, 2024, respectively. In the event the funds perform poorly, the Company may be obligated to repay certain carried interest previously distributed. As of June 30, 2025, there was no previously distributed carried interest received from the funds subject to repayment. General Partners of Private Equity Funds which are VIEs The Company has concluded that Glisco Capital Partners II, Glisco Capital Partners III and Glisco Manager Holdings LP are VIEs and that the Company is not the primary beneficiary of these VIEs. The Company's assessment of the primary beneficiary of these entities included assessing which parties have the power to significantly impact the economic performance of these entities and the obligation to absorb losses, which could be potentially significant to the entities, or the right to receive benefits from the entities that could be potentially significant. Neither the Company nor its related parties will have the ability to make decisions that significantly impact the economic performance of these entities. Further, as a limited partner in these entities, the Company does not possess substantive participating rights. The Company had assets of $ 1,330 and $ 2,956 included in its Unaudited Condensed Consolidated Statements of Financial Condition at June 30, 2025 and December 31, 2024, respectively, related to these unconsolidated VIEs, representing the carrying value of the Company's investments in the entities. The Company's exposure to the obligations of these VIEs is generally limited to its investments in these entities. The Company's maximum exposure to loss as of June 30, 2025 and December 31, 2024 was $ 3,512 and $ 5,138 , respectively, which represents the carrying value of the Company's investments in these VIEs, as well as any unfunded commitments to the current and future funds. Other Investments In certain instances, the Company makes investments in private companies in exchange for equity securities and warrants, or receives equity securities in private companies in exchange for advisory services. These investments, which had a balance of $ 1,686 and $ 625 as of June 30, 2025 and December 31, 2024, respectively, are accounted for at their cost minus impairment, if any, plus or minus changes resulting from observable price changes. 16 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) Note 9 – Leases Operating Leases – The Company leases office space under non-cancelable lease agreements, which expire on various dates through 2035. The Company reflects lease expense over the lease terms on a straight-line basis, which include options to extend the lease when it is reasonably certain that the Company will exercise that option. Occupancy lease agreements, in addition to base rentals, generally are subject to escalation provisions based on certain costs incurred by the landlord. The Company does not have any leases with variable lease payments. Occupancy and Equipment Rental on the Unaudited Condensed Consolidated Statements of Operations includes operating lease cost for office space of $ 18,039 and $ 35,392 for the three and six months ended June 30, 2025, respectively, and $ 14,436 and $ 28,839 for the three and six months ended June 30, 2024, respectively, and variable lease cost, which principally include costs for real estate taxes, common area maintenance and other operating expenses of $ 2,051 and $ 3,706 for the three and six months ended June 30, 2025, respectively, and $ 1,376 and $ 2,904 for the three and six months ended June 30, 2024, respectively. In conjunction with the lease of office space, the Company has entered into letters of credit in the amount of $ 5,941 and $ 5,886 as of June 30, 2025 and December 31, 2024, respectively, which are secured by cash that is included in Other Assets on the Unaudited Condensed Consolidated Statements of Financial Condition. The Company has entered into various operating leases for the use of office equipment (primarily computers, printers, copiers and other information technology related equipment). Occupancy and Equipment Rental on the Unaudited Condensed Consolidated Statements of Operations includes operating lease cost for office equipment of $ 1,836 and $ 3,386 for the three and six months ended June 30, 2025, respectively, and $ 1,568 and $ 3,042 for the three and six months ended June 30, 2024, respectively. The Company uses its secured incremental borrowing rate to determine the present value of its right-of-use assets and lease liabilities. The determination of an appropriate incremental borrowing rate requires significant assumptions and judgment. The Company's incremental borrowing rate was calculated based on the Company's recent debt issuances and current market conditions. The Company scales the rates appropriately depending on the life of the leases. The Company incurred net operating cash outflows of $ 36,763 and $ 21,632 for the six months ended June 30, 2025 and 2024, respectively, related to its operating leases, which was net of cash received from lease incentives of $ 4,054 and $ 1,684 for the six months ended June 30, 2025 and 2024, respectively. Other information as it relates to the Company's operating leases is as follows: For the Three Months Ended June 30, For the Six Months Ended June 30, 2025 2024 2025 2024 New Right-of-Use Assets obtained in exchange for new operating lease liabilities $ 5,754 $ 1,073 $ 24,228 $ 1,944 June 30, 2025 June 30, 2024 Weighted-average remaining lease term - operating leases 9.7 years 10.4 years Weighted-average discount rate - operating leases 4.80 % 4.59 % As of June 30, 2025, the maturities of the undiscounted operating lease liabilities for which the Company has commenced use are as follows: 17 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) 2025 (July 1 through December 31) $ 43,171 2026 84,546 2027 75,012 2028 65,319 2029 55,603 Thereafter 389,489 Total lease payments 713,140 Less: Tenant Improvement Allowances ( 18,019 ) Less: Imputed Interest ( 142,737 ) Present value of lease liabilities 552,384 Less: Current lease liabilities ( 60,211 ) Long-term lease liabilities $ 492,173 The Company has entered into certain lease agreements which have not yet commenced and thus are not yet included on the Company's Unaudited Condensed Consolidated Statements of Financial Condition as right-of-use assets and lease liabilities. The Company anticipates that these leases will commence in 2025 and will have lease terms of 3 years once they have commenced. The additional future payments under these arrangements are $ 1,033 as of June 30, 2025. In September 2024, the Company entered into a binding agreement affirming its intent to lease office space in London, United Kingdom. The Company anticipates signing the lease in 2026, following construction of the building, and anticipates that it will take possession of this space by the end of 2026. The lease term will end in 2041. The expected approximate additional annual expense under this lease agreement, net of certain lease incentives, is £ 12,000 , and the aggregate expected additional future payments under this arrangement are £ 175,000 . Note 10 – Fair Value Measurements ASC 820, "Fair Value Measurements and Disclosures" ("ASC 820") establishes a hierarchical disclosure framework which prioritizes and ranks the level of market price observability used in measuring investments at fair value. Market price observability is affected by a number of factors, including the type of investment and the characteristics specific to the investment. Investments with readily-available active quoted prices, or for which fair value can be measured from actively quoted prices, generally will have a higher degree of market price observability and a lesser degree of judgment used in measuring fair value. Investments measured and reported at fair value are classified and disclosed in one of the following categories: Level 1 – Quoted prices are available in active markets for identical investments as of the reporting date. The type of investments included in Level 1 include listed equities, listed derivatives and U.S. Treasury securities. As required by ASC 820, the Company does not adjust the quoted price for these investments, even in situations where the Company holds a large position and a sale could reasonably impact the quoted price. Level 2 – Pricing inputs are other than quoted prices in active markets, which are either directly or indirectly observable as of the reporting date, and fair value is determined through the use of models or other valuation methodologies. Periodically, the Company holds investments in corporate bonds, municipal bonds and other debt securities, the estimated fair values of which are based on prices provided by external pricing services. The Company also periodically holds foreign exchange currency forward contracts, the estimated fair value of which is based on foreign currency exchange rates provided by external services. Level 3 – Pricing inputs are unobservable for the investment and includes situations where there is little, if any, market activity for the investment. The inputs into the determination of fair value require significant management judgment or estimation. The following table presents the categorization of investments and certain other financial assets measured at fair value on a recurring basis as of June 30, 2025 and December 31, 2024: 18 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) June 30, 2025 Level 1 Level 2 Level 3 Total Debt Securities Carried by EGL $ 488,381 $ — $ — $ 488,381 Other Debt and Equity Securities (1) 399,468 — — 399,468 Investment Funds 158,331 — — 158,331 Total Assets Measured At Fair Value $ 1,046,180 $ — $ — $ 1,046,180 December 31, 2024 Level 1 Level 2 Level 3 Total Debt Securities Carried by EGL $ 459,916 $ — $ — $ 459,916 Other Debt and Equity Securities (1) 824,069 — — 824,069 Investment Funds 178,703 — — 178,703 Total Assets Measured At Fair Value $ 1,462,688 $ — $ — $ 1,462,688 (1) Includes $ 11,332 and $ 9,967 of U.S. Treasury securities classified within Cash and Cash Equivalents on the Unaudited Condensed Consolidated Statements of Financial Condition as of June 30, 2025 and December 31, 2024, respectively. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, an investment's level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The Company's assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the investment. The carrying amount and estimated fair value of the Company's financial instrument assets and liabilities, which are not measured at fair value on the Unaudited Condensed Consolidated Statements of Financial Condition, are listed in the tables below. 19 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) June 30, 2025 Carrying Estimated Fair Value Amount Level 1 Level 2 Level 3 Total Financial Assets: Cash and Cash Equivalents $ 605,966 $ 605,966 $ — $ — $ 605,966 Certificates of Deposit 82,399 — 82,399 — 82,399 Receivables (1) 596,933 — 592,572 — 592,572 Contract Assets (2) 93,551 — 92,765 — 92,765 Closely-held Equity Securities 1,686 — — 1,686 1,686 Financial Liabilities: Accounts Payable and Accrued Expenses $ 40,495 $ — $ 40,495 $ — $ 40,495 Payable to Employees and Related Parties 92,322 — 92,322 — 92,322 Notes Payable (3) 377,237 — 363,031 — 363,031 December 31, 2024 Carrying Estimated Fair Value Amount Level 1 Level 2 Level 3 Total Financial Assets: Cash and Cash Equivalents $ 863,078 $ 863,078 $ — $ — $ 863,078 Certificates of Deposit 66,660 — 66,660 — 66,660 Receivables (1) 522,816 — 518,485 — 518,485 Contract Assets (2) 76,856 — 76,184 — 76,184 Closely-held Equity Securities 625 — — 625 625 Financial Liabilities: Accounts Payable and Accrued Expenses $ 29,041 $ — $ 29,041 $ — $ 29,041 Payable to Employees and Related Parties 48,494 — 48,494 — 48,494 Notes Payable (3) 373,895 — 356,531 — 356,531 (1) Includes Accounts Receivable, as well as long-term receivables, which are included in Other Assets on the Unaudited Condensed Consolidated Statements of Financial Condition. (2) Includes current and long-term contract assets included in Other Current Assets and Other Assets on the Unaudited Condensed Consolidated Statements of Financial Condition. (3) Includes current and long-term Notes Payable included in Current Portion of Notes Payable and Notes Payable on the Unaudited Condensed Consolidated Statements of Financial Condition. Note 11 – Notes Payable On March 30, 2016, the Company issued an aggregate of $ 170,000 of senior notes, including: $ 38,000 aggregate principal amount of its 4.88 % Series A senior notes which were due March 30, 2021 (the "Series A Notes"), $ 67,000 aggregate principal amount of its 5.23 % Series B senior notes which were originally due March 30, 2023 ("Series B Notes"), $ 48,000 aggregate principal amount of its 5.48 % Series C senior notes due March 30, 2026 (the "Series C Notes") and $ 17,000 aggregate principal amount of its 5.58 % Series D senior notes due March 30, 2028 (the "Series D Notes" and together with the Series A Notes, the Series B Notes and the Series C Notes, the "2016 Private Placement Notes"), pursuant to a note purchase agreement (the "2016 Note Purchase Agreement") dated as of March 30, 2016, among the Company and the purchasers party thereto in a private placement exempt from registration under the Securities Act of 1933. On August 1, 2019, the Company issued $ 175,000 and £ 25,000 of senior unsecured notes through private placement. These notes include: $ 75,000 aggregate principal amount of its 4.34 % Series E senior notes due August 1, 2029 (the "Series E Notes"), $ 60,000 aggregate principal amount of its 4.44 % Series F senior notes due August 1, 2031 (the "Series F Notes"), $ 40,000 aggregate principal amount of its 4.54 % Series G senior notes due August 1, 2033 (the "Series G Notes") and £ 25,000 aggregate principal amount of its 3.33 % Series H senior notes due August 1, 2033 (the "Series H Notes" and together with the Series E Notes, the Series F Notes and the Series G Notes, the "2019 Private Placement Notes"), each of which were issued 20 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) pursuant to a note purchase agreement dated as of August 1, 2019 (the "2019 Note Purchase Agreement"), among the Company and the purchasers party thereto in a private placement exempt from registration under the Securities Act of 1933. On March 29, 2021, the Company issued $ 38,000 aggregate principal amount of its 1.97 % Series I senior notes due August 1, 2025 (the "Series I Notes" or the "2021 Private Placement Notes"), pursuant to a note purchase agreement (the "2021 Note Purchase Agreement") dated as of March 29, 2021, among the Company and the purchasers party thereto in a private placement exempt from registration under the Securities Act of 1933. In August 2025, the Company repaid the $ 38,000 aggregate principal amount of its Series I Notes. On June 28, 2022, the Company issued $ 67,000 aggregate principal amount of its 4.61 % Series J senior notes due November 15, 2028 (the "Series J Notes" or the "2022 Private Placement Notes"), pursuant to a note purchase agreement (the "2022 Note Purchase Agreement") dated as of June 28, 2022, among the Company and the purchasers party thereto in a private placement exempt from registration under the Securities Act of 1933. Interest on the above issuances is payable semi-annually and the notes are guaranteed by certain of the Company's domestic subsidiaries. The Company may, at its option, prepay all, or from time to time any part of, the notes (without regard to Series), in an amount not less than 5 % of the aggregate principal amount of each of the individual issuances then outstanding at 100 % of the principal amount thereof plus an applicable "make-whole amount." Upon the occurrence of a change of control, the holders of the notes will have the right to require the Company to prepay the entire unpaid principal amounts held by each holder of the notes plus accrued and unpaid interest to the prepayment date. The respective Note Purchase Agreements contain customary covenants, including financial covenants requiring compliance with a maximum leverage ratio, a minimum tangible net worth and a minimum interest coverage ratio (for the 2016 Private Placement Notes only), and customary events of default. As of June 30, 2025, the Company was in compliance with all of these covenants. Notes Payable is comprised of the following as of June 30, 2025 and December 31, 2024: Carrying Value (1) Note Maturity Date Effective Annual Interest Rate June 30, 2025 December 31, 2024 Evercore Inc. 5.48 % Series C Senior Notes 3/30/2026 5.64 % $ 47,944 $ 47,908 Evercore Inc. 5.58 % Series D Senior Notes 3/30/2028 5.72 % 16,939 16,929 Evercore Inc. 4.34 % Series E Senior Notes 8/1/2029 4.46 % 74,657 74,619 Evercore Inc. 4.44 % Series F Senior Notes 8/1/2031 4.55 % 59,659 59,635 Evercore Inc. 4.54 % Series G Senior Notes 8/1/2033 4.64 % 39,741 39,728 Evercore Inc. 3.33 % Series H Senior Notes 8/1/2033 3.42 % 34,140 31,073 Evercore Inc. 1.97 % Series I Senior Notes 8/1/2025 2.20 % 37,993 37,951 Evercore Inc. 4.61 % Series J Senior Notes 11/15/2028 5.02 % 66,164 66,052 Total $ 377,237 $ 373,895 Less: Current Portion of Notes Payable ( 85,937 ) ( 37,951 ) Notes Payable $ 291,300 $ 335,944 (1) Carrying value has been adjusted to reflect the presentation of debt issuance costs as a direct reduction from the related liability. On July 24, 2025, the Company issued an aggregate of $ 250,000 of senior notes, including: $ 125,000 aggregate principal amount of its 5.17 % Series K senior notes due July 24, 2030 (the "Series K Notes") and $ 125,000 aggregate principal amount of its 5.47 % Series L senior notes due July 24, 2032 (the "Series L Notes" and together with the Series K Notes, the "2025 Private Placement Notes"), pursuant to a note purchase agreement (the "2025 Note Purchase Agreement") dated as of July 10, 2025, among the Company and the purchasers party thereto in a private placement exempt from registration under the Securities Act of 1933. The Company intends to use a portion of the net proceeds from the issuance and sale of the 2025 Private Placement Notes to repay maturing notes in the next twelve months issued under prior note purchase agreements. The remaining net proceeds will be used for general corporate purposes. 21 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) Interest on the 2025 Private Placement Notes is payable semi-annually and the 2025 Private Placement Notes are guaranteed by certain of the Company's domestic subsidiaries. The Company may, at its option, prepay all, or from time to time any part of, the 2025 Private Placement Notes (without regard to Series), in an amount not less than 5 % of the aggregate principal amount of the 2025 Private Placement Notes then outstanding at 100 % of the principal amount thereof plus an applicable "make-whole amount." The 2025 Private Placement Notes also allow for prepayment within six months of maturity without an applicable "make-whole amount." Upon the occurrence of a change of control, the holders of the 2025 Private Placement Notes will have the right to require the Company to prepay the entire unpaid principal amounts held by each holder of the 2025 Private Placement Notes plus accrued and unpaid interest to the prepayment date. The 2025 Private Placement Notes contain customary covenants, including financial covenants requiring compliance with a maximum leverage ratio and a minimum tangible net worth, and customary events of default. Interest on the 2025 Private Placement Notes is subject to certain escalation provisions in the event that the leverage ratio exceeds certain thresholds. In conjunction with this issuance, the Company also amended its existing notes to provide for the same covenants and interest escalation provisions as the 2025 Private Placement Notes. Note 12 – Evercore Inc. Stockholders' Equity Dividends – On July 29, 2025, the Company's Board of Directors declared a quarterly cash dividend of $ 0.84 per share to the holders of record of shares of Class A Shares as of August 29, 2025, which will be paid on September 12, 2025. During the three and six months ended June 30, 2025, the Company declared and paid dividends of $ 0.84 and $ 1.64 per share, respectively, totaling $ 32,420 and $ 63,636 , respectively, and accrued deferred cash dividends on unvested and vested restricted stock units ("RSUs") totaling $ 3,909 and $ 7,672 , respectively. The Company also paid deferred cash dividends of $ 219 and $ 15,455 during the three and six months ended June 30, 2025, respectively. During the three and six months ended June 30, 2024, the Company declared and paid dividends of $ 0.80 and $ 1.56 per share, respectively, totaling $ 30,638 and $ 59,947 , respectively, and accrued deferred cash dividends on unvested and vested RSUs totaling $ 4,002 and $ 8,030 , respectively. The Company also paid deferred cash dividends of $ 271 and $ 14,198 during the three and six months ended June 30, 2024, respectively. Treasury Stock – During the three months ended June 30, 2025, the Company purchased 13 Class A Shares from employees at an average cost per share of $ 213.30 , primarily for the net settlement of stock-based compensation awards, and 170 Class A Shares at an average cost per share of $ 237.79 pursuant to the Company's share repurchase program. The aggregate 183 Class A Shares were purchased at an average cost per share of $ 236.05 and the result of these purchases was an increase in Treasury Stock of $ 43,205 on the Company's Unaudited Condensed Consolidated Statement of Financial Condition as of June 30, 2025. During the six months ended June 30, 2025, the Company purchased 929 Class A Shares from employees at an average cost per share of $ 283.64 , primarily for the net settlement of stock-based compensation awards, and 809 Class A Shares at an average cost per share of $ 229.62 pursuant to the Company's share repurchase program. The aggregate 1,738 Class A Shares were purchased at an average cost per share of $ 258.50 and the result of these purchases was an increase in Treasury Stock of $ 449,165 on the Company's Unaudited Condensed Consolidated Statement of Financial Condition as of June 30, 2025. During the first and second quarter of 2025, the Company entered into an agreement to purchase 200 and 170 Class A Shares, respectively, from Ed Hyman, who until February 10, 2025 was an executive officer of the Company, at a price of $ 206.19 and $ 237.79 per share, respectively, resulting in a total purchase price of $ 41,238 and $ 40,425 , respectively. These purchases were made pursuant to the Company's share repurchase program and are included within the above treasury stock purchases for the three and six months ended June 30, 2025. Evercore LP Units – During the three and six months ended June 30, 2025, 87 and 110 Evercore LP partnership units ("LP Units"), respectively, were exchanged for Class A Shares, resulting in an increase to Class A Common Stock of $ 1 for each of the three and six months ended June 30, 2025, and an increase to Additional Paid-In Capital of $ 8,771 and $ 10,966 for the three and six months ended June 30, 2025, respectively, on the Company's Unaudited Condensed Consolidated Statement of Financial Condition. See Note 13 for further information. During the six months ended June 30, 2025, the Company issued 2 Class A limited partnership units of Evercore LP ("Class A LP Units"). See Note 13 for further information. Accumulated Other Comprehensive Income (Loss) – As of June 30, 2025, Accumulated Other Comprehensive Income (Loss) on the Company's Unaudited Condensed Consolidated Statement of Financial Condition includes an accumulated Unrealized Gain (Loss) on Securities and Investments, net, and Foreign Currency Translation Adjustment Gain (Loss), net, of ($ 42 ) and ($ 10,875 ), respectively. 22 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) Note 13 – Noncontrolling Interest Noncontrolling Interest recorded in the unaudited condensed consolidated financial statements of the Company relates to the following approximate interests in certain consolidated subsidiaries, which are not owned by the Company. In circumstances where the governing documents of the entity to which the noncontrolling interest relates require special allocations of profits or losses to the controlling and noncontrolling interest holders, the net income or loss of these entities is allocated based on these special allocations. Noncontrolling ownership interests for the Company's subsidiaries were as follows: As of June 30, 2025 2024 Evercore LP 6 % 6 % Evercore Wealth Management ("EWM") 27 % 26 % The Noncontrolling Interests for Evercore LP and EWM have rights, in certain circumstances, to convert into Class A Shares. The Company has outstanding Class A LP Units, Class E limited partnership units of Evercore LP ("Class E LP Units"), Class I limited partnership units of Evercore LP ("Class I LP Units") and Class K limited partnership units of Evercore LP ("Class K LP Units"), which give the holders the right to receive Class A Shares upon exchange on a one -for-one basis. See Note 14 for further information. Changes in Noncontrolling Interest for the three and six months ended June 30, 2025 and 2024 were as follows: For the Three Months Ended June 30, For the Six Months Ended June 30, 2025 2024 2025 2024 Beginning balance $ 245,095 $ 203,454 $ 234,166 $ 205,556 Comprehensive Income: Net Income Attributable to Noncontrolling Interest 9,738 7,975 17,344 15,406 Other Comprehensive Income (Loss) 1,390 ( 66 ) 2,029 ( 365 ) Total Comprehensive Income 11,128 7,909 19,373 15,041 Evercore LP Units Exchanged for Class A Shares ( 8,772 ) ( 2,507 ) ( 10,967 ) ( 8,653 ) Amortization and Vesting of LP Units and EWM Class A Units (see Note 15) 19,847 9,479 32,574 15,829 Other Items: Distributions to Noncontrolling Interests ( 4,944 ) ( 6,535 ) ( 13,309 ) ( 15,973 ) Issuance of Noncontrolling Interest 1,100 282 1,617 282 Purchase of Noncontrolling Interest ( 39 ) ( 67 ) ( 39 ) ( 67 ) Total Other Items ( 3,883 ) ( 6,320 ) ( 11,731 ) ( 15,758 ) Ending balance $ 263,415 $ 212,015 $ 263,415 $ 212,015 Other Comprehensive Income – Other Comprehensive Income (Loss) Attributed to Noncontrolling Interest includes unrealized gains (losses) on securities and investments, net, of ($ 17 ) for the six months ended June 30, 2025 and $ 2 and ($ 4 ) for the three and six months ended June 30, 2024, respectively, and foreign currency translation adjustment gains (losses), net, of 23 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) $ 1,390 and $ 2,046 for the three and six months ended June 30, 2025, respectively, and ($ 68 ) and ($ 361 ) for the three and six months ended June 30, 2024, respectively. Evercore LP Units – During the three and six months ended June 30, 2025, 87 and 110 LP Units, respectively, were exchanged for Class A Shares. This resulted in a decrease to Noncontrolling Interest of $ 8,772 and $ 10,967 for the three and six months ended June 30, 2025, respectively, an increase to Class A Common Stock of $ 1 for each of the three and six months ended June 30, 2025, and an increase to Additional Paid-In Capital of $ 8,771 and $ 10,966 for the three and six months ended June 30, 2025, respectively, on the Company's Unaudited Condensed Consolidated Statement of Financial Condition. See Note 12 for further information. During the six months ended June 30, 2025, the Company issued 2 Class A LP Units. This resulted in an increase to Noncontrolling Interest of $ 517 for the six months ended June 30, 2025 on the Company's Unaudited Condensed Consolidated Statement of Financial Condition as of June 30, 2025. See Note 12 for further information. EWM Class A Units – During the second quarter of 2025 and 2024, the Company granted 395 and 297 EWM Class A Units, respectively, which generally vest ratably over three years . Compensation expense related to EWM Class A Units was $ 836 and $ 1,074 for the three and six months ended June 30, 2025, respectively, and $ 457 for the three and six months ended June 30, 2024. Interests Issued – During the second quarter of 2025, certain employees of EWM purchased EWM Class A Units, at fair value, resulting in an increase to Noncontrolling Interest of $ 1,100 on the Company's Unaudited Condensed Consolidated Statement of Financial Condition as of June 30, 2025. Interests Purchased – During the second quarter of 2025, the Company purchased, at fair value, an additional 0.1 % of the EWM Class A Units for $ 1,259 . This purchase resulted in a decrease to Noncontrolling Interest of $ 39 and a decrease to Additional Paid-In Capital of $ 1,220 on the Company's Unaudited Condensed Consolidated Statement of Financial Condition as of June 30, 2025. During the second quarter of 2024, the Company purchased, at fair value, an additional 0.3 % of the EWM Class A Units for $ 1,036 . This purchase resulted in a decrease to Noncontrolling Interest of $ 67 and a decrease to Additional Paid-In Capital of $ 969 on the Company's Unaudited Condensed Consolidated Statement of Financial Condition as of June 30, 2024. Note 14 – Net Income Per Share Attributable to Evercore Inc. Common Shareholders The calculations of basic and diluted net income per share attributable to Evercore Inc. common shareholders for the three and six months ended June 30, 2025 and 2024 are described and presented below. 24 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) For the Three Months Ended June 30, For the Six Months Ended June 30, 2025 2024 2025 2024 Basic Net Income Per Share Attributable to Evercore Inc. Common Shareholders Numerator: Net income attributable to Evercore Inc. common shareholders $ 97,201 $ 73,758 $ 243,385 $ 159,451 Denominator: Weighted average Class A Shares outstanding, including vested RSUs 38,715 38,502 38,717 38,470 Basic net income per share attributable to Evercore Inc. common shareholders $ 2.51 $ 1.92 $ 6.29 $ 4.14 Diluted Net Income Per Share Attributable to Evercore Inc. Common Shareholders Numerator: Net income attributable to Evercore Inc. common shareholders $ 97,201 $ 73,758 $ 243,385 $ 159,451 Noncontrolling interest related to the assumed exchange of LP Units for Class A Shares (1) — — — — Associated corporate taxes related to the assumed elimination of Noncontrolling Interest described above (1) — — — — Diluted net income attributable to Evercore Inc. common shareholders $ 97,201 $ 73,758 $ 243,385 $ 159,451 Denominator: Weighted average Class A Shares outstanding, including vested RSUs 38,715 38,502 38,717 38,470 Assumed exchange of LP Units for Class A Shares (1) — — — — Additional shares of the Company's common stock assumed to be issued pursuant to non-vested RSUs, as calculated using the Treasury Stock Method (2) 1,666 2,180 2,070 2,333 Shares that are contingently issuable (3) 832 175 849 166 Diluted weighted average Class A Shares outstanding 41,213 40,857 41,636 40,969 Diluted net income per share attributable to Evercore Inc. common shareholders $ 2.36 $ 1.81 $ 5.85 $ 3.89 (1) The Company has outstanding Class A, E, I and K LP Units, which give the holders the right to receive Class A Shares upon exchange on a one -for-one basis. During the three and six months ended June 30, 2025 and 2024, these LP Units were antidilutive and consequently the effect of their exchange into Class A Shares has been excluded from the calculation of diluted net income per share attributable to Evercore Inc. common shareholders. The units that would have been included in the denominator of the computation of diluted net income per share attributable to Evercore Inc. common shareholders if the effect would have been dilutive were 2,321 and 2,323 for the three and six months ended June 30, 2025, respectively, and 2,557 and 2,583 for the three and six months ended June 30, 2024, respectively. The adjustment to the numerator, diluted net income attributable to Class A common shareholders, if the effect would have been dilutive, would have been $ 6,480 and $ 16,036 for the three and six months ended June 30, 2025, respectively, and $ 5,014 and $ 11,226 for the three and six months ended June 30, 2024, respectively. In computing this adjustment, the Company assumes that all Class A, E, I and K LP Units are converted into Class A Shares, that all earnings attributable to those shares are attributed to Evercore Inc. and that the Company is subject to the statutory tax rates of a C-Corporation under a conventional corporate tax structure in the U.S. at prevailing corporate tax rates. The Company does not anticipate that the Class A, E, I and K LP Units will result in a dilutive computation in future periods. 25 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) (2) During the three and six months ended June 30, 2025, certain shares of the Company's common stock assumed to be issued pursuant to non-vested RSUs, as calculated using the Treasury Stock Method, were antidilutive and consequently the effect of their exchange into Class A Shares has been excluded from the calculation of diluted net income per share attributable to Evercore Inc. common shareholders. The shares that would have been included in the treasury stock method calculation if the effect would have been dilutive were 1,184 and 1,144 for the three and six months ended June 30, 2025, respectively. (3) The Company has outstanding Class K-P units of Evercore LP ("Class K-P Units") which are contingently exchangeable into Class K LP Units, and ultimately Class A Shares, as they are subject to certain performance thresholds being achieved. The Company also has certain outstanding RSUs which vest contingent upon certain performance thresholds being achieved. See Note 15 for further information. For the purposes of calculating diluted net income per share attributable to Evercore Inc. common shareholders, the Company's Class K-P Units and these certain outstanding RSUs are included in diluted weighted average Class A Shares outstanding, as calculated using the Treasury Stock Method, as of the beginning of the period in which all necessary performance conditions have been satisfied. If all necessary performance conditions have not been satisfied by the end of the period, the number of shares that are included in diluted weighted average Class A Shares outstanding is based on the number of shares that would be issuable if the end of the reporting period were the end of the performance period. The shares of Class B common stock have no right to receive dividends or a distribution on liquidation or winding up of the Company. The shares of Class B common stock do not share in the earnings of the Company and no earnings are allocable to such class. Accordingly, basic and diluted net income per share of Class B common stock have not been presented. Note 15 – Share-Based and Other Deferred Compensation LP Units Class K-P Units – The Company has awarded the following Class K-P Units to certain employees: • In June 2019, the Company awarded 220 Class K-P Units. These Class K-P Units convert into a number of Class K LP Units (which are exchangeable on a one -for-one basis to Class A Shares) contingent and based upon the achievement of certain defined benchmark results and continued service through February 4, 2023 for the first tranche, which consisted of 120 Class K-P Units, and February 4, 2028 for the second tranche, which consists of 100 Class K-P Units. In February 2023, the first tranche of 120 Class K-P Units converted into 193 Class K LP Units upon the achievement of certain performance and service conditions. The second tranche of these Class K-P Units may convert into a maximum of 173 Class K LP Units, contingent upon the achievement of defined benchmark results and continued service as described above. • In December 2021, the Company awarded 400 Class K-P Units. These Class K-P Units convert into a number of Class K LP Units (which are exchangeable on a one -for-one basis to Class A Shares) contingent and based upon the achievement of certain market conditions, defined benchmark results and continued service through December 31, 2025. As this award contains market, performance and service conditions, the expense for this award will be recognized over the service period of the award and will reflect the fair value of the underlying units as determined at the award's grant date, taking into account the probable outcome of the market condition being achieved, as well as the probable outcome of the performance condition. These Class K-P Units may convert into a maximum of 800 Class K LP Units, contingent upon the achievement of certain market conditions, defined benchmark results and continued service as described above. • In December 2022, the Company awarded 200 Class K-P Units. These Class K-P Units are segregated into four tranches of 50 Class K-P Units each. The first three tranches each convert into 50 Class K LP Units (which are exchangeable on a one -for-one basis to Class A Shares) contingent and based upon the achievement of certain market conditions and continued service through February 28, 2025, 2026 and 2027, respectively, while the final tranche converts into a number of Class K LP Units (which are exchangeable on a one -for-one basis to Class A Shares) contingent and based upon the achievement of certain market conditions, defined benchmark results and continued service through February 28, 2028. In February 2025, the first tranche of 50 Class K-P Units converted into 50 Class K LP Units upon the achievement of certain market and service conditions. As this award contains market, performance and service conditions, the expense for this award will be recognized over the service period of the award and will reflect the fair value of the underlying units as determined at the award's grant date, taking into account the probable outcome of the market condition being achieved, as well as the probable outcome of the performance condition. The remaining Class K-P Units may convert into a maximum of 270 Class K LP Units, 26 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) contingent upon the achievement of certain market conditions, defined benchmark results and continued service as described above. • In June 2023, the Company awarded 60 Class K-P Units. These Class K-P Units convert into a number of Class K LP Units (which are exchangeable on a one -for-one basis to Class A Shares) contingent and based upon the achievement of certain market conditions, defined benchmark results and continued service through June 30, 2027. As this award contains market, performance and service conditions, the expense for this award will be recognized over the service period of the award and will reflect the fair value of the underlying units as determined at the award's grant date, taking into account the probable outcome of the market condition being achieved, as well as the probable outcome of the performance condition. These Class K-P Units may convert into 60 Class K LP Units contingent upon the achievement of certain market conditions and continued service, while additional units may be received upon conversion based on the level of defined benchmark results achieved. • In June 2024, the Company awarded 328 Class K-P Units. These Class K-P Units convert into a number of Class K LP Units (which are exchangeable on a one -for-one basis to Class A Shares) contingent and based upon the achievement of certain market conditions, defined benchmark results and continued service through April 1, 2029. As this award contains market, performance and service conditions, the expense for this award will be recognized over the service period of the award and will reflect the fair value of the underlying units as determined at the award's grant date, taking into account the probable outcome of the market condition being achieved, as well as the probable outcome of the performance condition. These Class K-P Units may convert into 328 Class K LP Units contingent upon the achievement of certain market conditions and continued service, while additional units may be received upon conversion based on the level of defined benchmark results achieved. • In February 2025, the Company awarded 35 Class K-P Units. These Class K-P Units convert into a number of Class K LP Units (which are exchangeable on a one -for-one basis to Class A Shares) contingent and based upon the achievement of certain market conditions, defined benchmark results and continued service through April 1, 2029 for the first tranche, which consists of 17.5 Class K-P Units, and April 1, 2030 for the second tranche, which consists of 17.5 Class K-P Units. As this award contains market, performance and service conditions, the expense for this award will be recognized over the service period of the award and will reflect the fair value of the underlying units as determined at the award's grant date, taking into account the probable outcome of the market condition being achieved, as well as the probable outcome of the performance condition. These Class K-P Units may convert into a maximum of 100 Class K LP Units contingent upon the achievement of certain market conditions, defined benchmark results and continued service as described above. • In February 2025, the Company also awarded 20 Class K-P Units. These Class K-P Units convert into a number of Class K LP Units (which are exchangeable on a one -for-one basis to Class A Shares) contingent and based upon the achievement of certain market conditions, defined benchmark results and continued service through March 1, 2030 for the first tranche, which consists of 10 Class K-P Units, and March 1, 2031 for the second tranche, which consists of 10 Class K-P Units. As this award contains market, performance and service conditions, the expense for this award will be recognized over the service period of the award and will reflect the fair value of the underlying units as determined at the award's grant date, taking into account the probable outcome of the market condition being achieved, as well as the probable outcome of the performance condition. These Class K-P Units may convert into a maximum of 100 Class K LP Units contingent upon the achievement of certain market conditions, defined benchmark results and continued service as described above. As of June 30, 2025, 1,093 unvested Class K-P Units were outstanding. The Company determined the grant date fair value of these awards probable to vest as of June 30, 2025 to be $ 284,252 , related to 1,969 Class K LP Units which were probable of achievement, and recognizes expense for these units over the respective service periods. Aggregate compensation expense related to the Class K-P Units was $ 19,011 and $ 31,500 for the three and six months ended June 30, 2025, respectively, and $ 8,976 and $ 15,255 for the three and six months ended June 30, 2024, respectively. Class L Interests In January 2023, 2024 and 2025, the Company's Board of Directors approved the issuance of Class L Interests of Evercore LP ("Class L Interests") to certain of the named executive officers of the Company, pursuant to which the named executive officers received a discretionary distribution of profits from Evercore LP, paid in the first quarters of 2024, 2025 and 2026, respectively. Distributions pursuant to these interests are made in lieu of any cash incentive compensation payments 27 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) which may otherwise have been made to the named executive officers of the Company in respect of their service for 2023, 2024 and 2025, respectively. Following the distributions, the Class L Interests are cancelled pursuant to their terms. The Company records expense related to these Class L Interests as part of its accrual for incentive compensation within Employee Compensation and Benefits on the Unaudited Condensed Consolidated Statements of Operations. Stock Incentive Plan During 2024, the Company's stockholders approved the Third Amended and Restated 2016 Evercore Inc. Stock Incentive Plan (the "Third Amended 2016 Plan"), which amended the Second Amended and Restated 2016 Evercore Inc. Stock Incentive Plan. The Third Amended 2016 Plan, among other things, authorizes the grant of an additional 6,000 of the Company's Class A Shares and permits the Company to grant to certain employees, directors and consultants incentive stock options, non-qualified stock options, stock appreciation rights, restricted stock, RSUs and other awards based on the Company's Class A Shares. The Company intends to use newly-issued Class A Shares to satisfy any awards under the Third Amended 2016 Plan and its predecessor plan. Class A Shares underlying any award granted under the Third Amended 2016 Plan that expire, terminate or are canceled or satisfied for any reason without being settled in stock again become available for awards under the plan. The total shares available to be granted in the future under the Third Amended 2016 Plan was 6,969 as of June 30, 2025. The Company also grants, at its discretion, dividend equivalents, in the form of deferred cash dividends or unvested RSU awards, concurrently with the payment of dividends to the holders of Class A Shares, on all unvested and vested RSU grants. The dividend equivalents have the same vesting and delivery terms as the underlying RSU award. The Company estimates forfeitures in the aggregate compensation cost to be amortized over the requisite service period of its awards. The Company periodically monitors its estimated forfeiture rate and adjusts its assumptions to the actual occurrence of forfeited awards. A change in estimated forfeitures is recognized through a cumulative adjustment in the period of the change. Equity Grants During the six months ended June 30, 2025, pursuant to the Third Amended 2016 Plan, the Company granted employees 1,695 RSUs that are subject to service-based vesting requirements ("Service-based Awards"). Service-based Awards granted during the six months ended June 30, 2025 had grant date fair values of $ 193.07 to $ 277.52 per share, with an average value of $ 256.80 per share, for an aggregate fair value of $ 435,238 , and generally vest ratably over four years . During the six months ended June 30, 2025, 2,053 Service-based Awards vested and 29 Service-based Awards were forfeited. Compensation expense related to Service-based Awards was $ 100,068 and $ 180,132 for the three and six months ended June 30, 2025, respectively, and $ 82,500 and $ 154,678 for the three and six months ended June 30, 2024, respectively. In addition, in June 2024, the Company granted 30 RSUs which may convert into a maximum of 80 RSUs contingent and based upon the achievement of certain defined benchmark results and continued service through April 1, 2031. The grant date fair value of these awards probable to vest as of June 30, 2025 was $ 8,530 , related to 44 RSUs which were probable of achievement, and compensation expense related to these units was $ 609 and $ 952 for the three and six months ended June 30, 2025, respectively, and $ 87 for the three and six months ended June 30, 2024. Deferred Cash Deferred Cash Compensation Program – The Company's deferred cash compensation program provides participants the ability to elect to receive a portion of their deferred compensation in cash, which is indexed to notional investment portfolios selected by the participant and generally vests ratably over four years and requires payment upon vesting. The Company granted $ 83,007 of deferred cash awards pursuant to the deferred cash compensation program during the first quarter of 2025. Compensation expense related to the Company's deferred cash compensation program was $ 38,332 and $ 76,892 for the three and six months ended June 30, 2025, respectively, and $ 44,111 and $ 88,105 for the three and six months ended June 30, 2024, respectively. As of June 30, 2025, the Company expects to pay an aggregate of $ 340,935 related to the Company's deferred cash compensation program at various dates through 2029 and total compensation expense not yet recognized related to these awards was $ 215,394 . The weighted-average period over which this compensation cost is expected to be recognized is 30 months. Amounts due pursuant to this program are expensed over the requisite service period of the award and are reflected in Accrued Compensation and Benefits on the Unaudited Condensed Consolidated Statement of Financial Condition. 28 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) Other Deferred Cash Awards – During the first quarter of 2025, 2024 and 2022, the Company granted $ 11,410 , $ 6,662 and $ 19,861 , respectively, of deferred cash awards to certain employees. These awards generally vest ratably over one to two years . Compensation expense related to other deferred cash awards was $ 2,959 and $ 6,017 for the three and six months ended June 30, 2025, respectively, and $ 2,444 and $ 6,470 for the three and six months ended June 30, 2024, respectively. Long-term Incentive Plan The Company's Long-term Incentive Plans provide for incentive compensation awards for Investment Banking Senior Managing Directors, excluding executive officers of the Company, who exceed defined benchmark results over four-year performance periods beginning January 1, 2021 (the "2021 Long-term Incentive Plan") and January 1, 2025 (the "2025 Long-term Incentive Plan", which was approved by the Company's Board of Directors in April 2025). As of June 30, 2025, the Company has accrued $ 122,271 pursuant to the above Long-term Incentive Plans, including $ 72,261 within Accrued Compensation and Benefits and $ 50,010 within Other Long-term Liabilities, on the Unaudited Condensed Consolidated Statement of Financial Condition. The performance period for the 2021 Long-term Incentive Plan ended on December 31, 2024 and in conjunction with this plan, the Company distributed cash payments of $ 71,522 in the six months ended June 30, 2025. Remaining amounts due pursuant to these plans are to be paid in cash or Class A Shares, at the Company's discretion, in the first quarter of 2026 and 2027 (for the 2021 Long-term Incentive Plan), and in the first quarter of 2029, 2030 and 2031 (for the 2025 Long-term Incentive Plan), subject to employment at the time of payment. The Company periodically assesses the probability of the benchmarks being achieved and expenses the probable payout over the requisite service period of the award. The Company recorded compensation expense related to these plans of $ 16,377 and $ 26,855 for the three and six months ended June 30, 2025, respectively, and $ 8,796 and $ 19,750 for the three and six months ended June 30, 2024, respectively. As of June 30, 2025, the total remaining expense to be recognized for the 2021 Long-term Incentive Plan over the future vesting period ending March 15, 2027 is $ 31,477 . As of June 30, 2025, the total remaining expense to be recognized for the 2025 Long-term Incentive Plan over the future vesting period ending March 14, 2031, based on the current anticipated probable payout for the plan, is $ 260,193 . Employee Loans Receivable Periodically, the Company provides new and existing employees with cash payments in the form of loans and/or other cash awards which are subject to ratable vesting terms with service requirements ranging from one to five years , and in certain circumstances are also subject to the achievement of performance requirements. Generally, these awards, based on the terms, include a requirement of either full or partial repayment by the employee if the service or other requirements of the agreements with the Company are not achieved. In circumstances where the employee meets the Company's minimum credit standards, the Company amortizes these awards to compensation expense over the relevant service period, which is generally the period they are subject to forfeiture. Compensation expense related to these awards was $ 12,589 and $ 21,541 for the three and six months ended June 30, 2025, respectively, and $ 11,717 and $ 18,332 for the three and six months ended June 30, 2024, respectively. As of June 30, 2025, the total compensation cost not yet recognized related to these awards was $ 65,995 . Separation and Transition Benefits The following table presents the change in the Company's liability related to separation benefits, stay arrangements and accelerated deferred cash compensation (together, "Termination Costs") for the six months ended June 30, 2025 and 2024: For the Six Months Ended June 30, 2025 2024 Beginning Balance $ 1,181 $ 2,824 Termination Costs Incurred 5,219 6,138 Cash Benefits Paid ( 4,995 ) ( 4,710 ) Non-Cash Charges ( 168 ) ( 63 ) Ending Balance $ 1,237 $ 4,189 29 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) In addition to the above Termination Costs incurred, the Company also incurred expenses related to the acceleration of the amortization of share-based payments previously granted to affected employees of $ 2,749 and $ 5,944 for the three and six months ended June 30, 2025, respectively, (related to 51 RSUs) and $ 1,658 and $ 3,493 for the three and six months ended June 30, 2024, respectively, (related to 32 RSUs) recorded in Employee Compensation and Benefits, principally within the Investment Banking & Equities segment, on the Company's Unaudited Condensed Consolidated Statements of Operations. Note 16 – Commitments and Contingencies For a further discussion of the Company's commitments, refer to the Company's Annual Report on Form 10-K for the year ended December 31, 2024. Private Equity – As of June 30, 2025, the Company had unfunded commitments for capital contributions of $ 2,552 to private equity funds. These commitments will be funded as required through the end of each private equity fund's investment period, subject to certain conditions. Such commitments are satisfied in cash and are generally required to be made as investment opportunities are consummated by the private equity funds. Lines of Credit – On July 10, 2025, the Company amended its $ 85,000 revolving credit facility Evercore Partners Services East L.L.C. ("East") held with PNC Bank, National Association ("PNC") such that the aggregate principal amount was increased to up to $ 225,000 (the "PNC Facility") to be used for working capital and other corporate activities. The facility is unsecured. In addition, the agreement contains certain reporting covenants, as well as certain debt covenants, that prohibit East and the Company from incurring other indebtedness, subject to specified exceptions. Drawings for this facility bear interest at Daily SOFR plus 130 basis points and the maturity date was extended to July 10, 2028. There were no drawings under this facility at June 30, 2025. EGL maintains a subordinated revolving credit facility with PNC, as amended on October 25, 2024, in an aggregate principal amount of up to $ 75,000 , to be used as needed in support of capital requirements from time to time of EGL. This facility is unsecured and is guaranteed by Evercore LP and other affiliates, pursuant to a guaranty agreement, which provides for certain reporting requirements and debt covenants consistent with the PNC Facility. The interest rate provisions are Daily SOFR plus 145 basis points and the maturity date is October 28, 2026. There were no drawings under this facility at June 30, 2025. In addition, EGL's clearing broker provides temporary funding for the settlement of securities transactions. Restricted Cash – The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the Unaudited Condensed Consolidated Statements of Financial Condition that sum to the total of amounts shown in the Unaudited Condensed Consolidated Statements of Cash Flows: June 30, 2025 2024 Cash and Cash Equivalents $ 617,298 $ 631,619 Restricted Cash included in Other Assets 9,951 8,839 Total Cash, Cash Equivalents and Restricted Cash shown in the Statement of Cash Flows $ 627,249 $ 640,458 Restricted Cash included in Other Assets on the Unaudited Condensed Consolidated Statements of Financial Condition primarily represents letters of credit which are secured by cash as collateral for the lease of office space and security deposits for certain equipment. The restrictions will lapse when the leases end. Self-Funded Medical Insurance Program – Effective January 1, 2023, the Company changed its medical insurance plan in the U.S. from a fully insured to a self-funded plan. The Company is liable for the funding of claims under the self-funded plan. The Company also maintains stop-loss insurance for its medical plan to provide coverage for claims over a defined financial threshold. The estimated present value of incurred but not reported claims is $ 3,585 and $ 3,268 as of June 30, 2025 and December 31, 2024, respectively, which is included within Accrued Compensation and Benefits on the Unaudited Condensed Consolidated Statements of Financial Condition. Foreign Exchange – Periodically, the Company enters into foreign currency exchange forward contracts as an economic hedge against exchange rate risk for foreign currency denominated accounts receivable or other commitments. The Company 30 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) entered into a foreign currency exchange forward contract during the third quarter of 2023 to buy 30,000 British Pounds sterling for $ 36,675 , which settled during the first quarter of 2024, and resulted in a loss of $ 347 for the six months ended June 30, 2024. Contingencies In the normal course of business, from time to time, the Company and its affiliates are involved in judicial or regulatory proceedings, arbitration or mediation concerning matters arising in connection with the conduct of its businesses, including contractual and employment matters. In addition, United Kingdom, German, Hong Kong, Singapore, Canadian, Dubai, Indonesian and United States government agencies and self-regulatory organizations, as well as state securities commissions in the United States, conduct periodic examinations and initiate administrative proceedings regarding the Company's business, including, among other matters, accounting and operational matters, that can result in censure, fine, the issuance of cease-and-desist orders or the suspension or expulsion of a broker-dealer, investment advisor, or its directors, officers or employees. In view of the inherent difficulty of determining whether any loss in connection with such matters is probable and whether the amount of such loss can be reasonably estimated, particularly in cases where claimants seek substantial or indeterminate damages or where investigations and proceedings are in the early stages, the Company cannot estimate the amount of such loss or range of loss, if any, related to such matters, how or if such matters will be resolved, when they will ultimately be resolved, or what the eventual settlement, fine, penalty or other relief, if any, might be. Subject to the foregoing, the Company believes, based on current knowledge and after consultation with counsel, that it is not currently party to any material pending proceedings, individually or in the aggregate, the resolution of which would have a material effect on the Company. Provisions for losses are established in accordance with ASC 450, "Contingencies" ("ASC 450") when warranted. Once established, such provisions are adjusted when there is more information available or when an event occurs requiring a change. The Company and its subsidiaries are subject to employment and tax laws, regulations and treaties in various U.S. and non-U.S. jurisdictions. These laws, regulations and treaties are complex, and the manner in which they apply to the Company’s facts and circumstances is open to evolving interpretation. Although management believes it has applied these laws, regulations and treaties in a compliant manner, a recent interpretation reached by a judicial authority has challenged the employment tax treatment of members of a partnership which is not affiliated with the Company. While that challenge remains subject to a judicial review process, and the Company and its subsidiaries are not a party to the proceedings, the ultimate outcome may adversely impact the Company’s tax position. Note 17 – Regulatory Authorities EGL is a U.S. registered broker-dealer and is subject to the net capital requirements of Rule 15c3-1 under the Securities Exchange Act of 1934, as amended (the "Exchange Act"). Under the Alternative Net Capital Requirement, EGL's minimum net capital requirement is $ 250 . EGL's regulatory net capital as of June 30, 2025 and December 31, 2024 was $ 368,623 and $ 475,936 , respectively, which exceeded the minimum net capital requirement by $ 368,373 and $ 475,686 , respectively. Evercore Trust Company, N.A. ("ETC"), which is limited to fiduciary activities, is regulated by the Office of the Comptroller of the Currency ("OCC") and is a member bank of the Federal Reserve System. The Company, Evercore LP and ETC are subject to written agreements with the OCC that, among other things, require the Company and Evercore LP to maintain at least $ 5,000 in Tier 1 capital in ETC (or such other amount as the OCC may require) and maintain liquid assets in ETC in an amount at least equal to the greater of $ 3,500 or 180 days coverage of ETC's operating expenses. The Company was in compliance with the aforementioned agreements as of June 30, 2025. Evercore U.K., our U.K. Advisory affiliate, and Evercore ISI U.K., our U.K. Equities affiliate, are regulated by the Financial Conduct Authority. The aggregate regulatory net capital of these affiliates as of June 30, 2025 and December 31, 2024 was $ 298,795 and $ 232,039 , respectively, which exceeded the minimum requirement by $ 196,896 and $ 139,208 , respectively. Certain other non-U.S. subsidiaries are subject to various securities and banking regulations and capital adequacy requirements promulgated by the regulatory and exchange authorities of the countries in which they operate. These subsidiaries are in excess of their local capital adequacy requirements at June 30, 2025. Note 18 – Income Taxes The Company's Provision for Income Taxes was $ 44,265 and $ 2,538 for the three and six months ended June 30, 2025, respectively, and $ 28,367 and $ 21,688 for the three and six months ended June 30, 2024, respectively. The effective tax rate 31 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) was 29.3 % and 1.0 % for the three and six months ended June 30, 2025, respectively, and 25.8 % and 11.0 % for the three and six months ended June 30, 2024, respectively. The effective tax rate reflects the recognition of net excess tax benefits associated with appreciation in the Company's share price upon vesting of employee share-based awards above the original grant price of $ 74,954 and $ 30,930 for the six months ended June 30, 2025 and 2024, respectively, which resulted in a reduction in the effective tax rate of 28.5 and 15.7 percentage points for the six months ended June 30, 2025 and 2024, respectively. The effective tax rate for 2025 and 2024 also reflects the effect of certain non-deductible expenses and state and local apportionment adjustments. In October 2021, members of the Organization for Economic Co-operation and Development ("OECD") agreed on a two-pillar tax framework to realign international taxation with economic activities, including a coordinated set of rules designed to ensure large multinational enterprises pay a minimum 15% tax rate across all jurisdictions, known as Pillar Two. The U.S. has not yet adopted these rules, but several countries have enacted Pillar Two with an effective date beginning January 1, 2024. The impact of Pillar Two on the Company's effective tax rate during the year was not material and it is not expected to materially impact the Company's effective tax rate in the future. Additionally, the Company is subject to the income tax effects associated with the global intangible low-taxed income ("GILTI") provisions in the period incurred. For the three and six months ended June 30, 2025 and 2024, no additional income tax expense associated with the GILTI provisions has been recognized and it is not expected to be material to the Company's effective tax rate for the year. The Company recorded an increase in deferred tax assets of $ 71 associated with changes in Unrealized Gain (Loss) on Securities and Investments and a decrease of $ 9,106 associated with changes in Foreign Currency Translation Adjustment Gain (Loss), in Accumulated Other Comprehensive Income (Loss), for the six months ended June 30, 2025. The Company recorded an increase in deferred tax assets of $ 13 associated with changes in Unrealized Gain (Loss) on Securities and Investments and an increase of $ 1,557 associated with changes in Foreign Currency Translation Adjustment Gain (Loss), in Accumulated Other Comprehensive Income (Loss), for the six months ended June 30, 2024. The Company classifies interest relating to tax matters and tax penalties as a component of income tax expense in its Unaudited Condensed Consolidated Statements of Operations. As of June 30, 2025, there were $ 509 of unrecognized tax benefits that, if recognized, $ 414 would affect the effective tax rate. Related to the unrecognized tax benefits, the Company accrued interest and an adjustment to penalties of $ 210 and ($ 13 ), respectively, during the three months ended June 30, 2025. On July 4, 2025, the United States enacted House Resolution 1 of the 119th Congress ("the Act"). The Act makes permanent key elements of the Tax Cuts and Jobs Act, including 100% bonus depreciation, domestic research cost expensing, and beginning after December 31, 2025, updates for Net CFC Testing Income (formerly GILTI). The Company is still evaluating the impact of the Act which is not expected to materially impact the Company’s effective tax rate for the year. Note 19 – Segment Operating Results Business Segments – The Company's business results are categorized into the following two segments: Investment Banking & Equities and Investment Management. The Investment Banking & Equities segment includes providing advice to clients on significant mergers, acquisitions, divestitures and other strategic corporate transactions, as well as services related to securities underwriting, private placement services and commissions for agency-based equity trading services and equity research. The Investment Banking & Equities segment also includes an interest in Seneca Evercore, which is accounted for under the equity method of accounting, and previously included an interest in Luminis (through September 2024). The Investment Management segment includes Wealth Management and interests in private equity funds which are not managed by the Company, as well as an interest in Atalanta Sosnoff, which is accounted for under the equity method of accounting, and previously included an interest in ABS (through July 2024). The Company's segment information is prepared using the following methodology: • Revenue, expenses and income (loss) from equity method investments directly associated with each segment are included in determining pre-tax income. • Expenses not directly associated with specific segments are allocated based on the most relevant measures applicable, including headcount, square footage and other performance and time-based factors. • Segment assets are based on those directly associated with each segment, or for certain assets shared across segments, those assets are allocated based on the most relevant measures applicable, including headcount and other factors. 32 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) • Investment gains and losses, interest income and interest expense are allocated between the segments based on the segment in which the underlying asset or liability is held. Other Revenue, net, included in each segment's Net Revenues includes the following: • Interest income, including accretion, and income (losses) on investment securities, including the Company's investment funds (which are used as an economic hedge against the Company's deferred cash compensation program), certificates of deposit, cash and cash equivalents and long-term accounts receivable • Gains (losses) resulting from foreign currency exchange rate fluctuations and foreign currency exchange forward contracts used as an economic hedge against exchange rate risk for foreign currency denominated accounts receivable or other commitments • Realized and unrealized gains and losses on interests in private equity funds which are not managed by the Company • Interest expense associated with the Company’s Notes Payable and lines of credit • Adjustments to amounts due pursuant to the Company’s tax receivable agreement, subsequent to its initial establishment, related to changes in enacted tax rates Each segment's expenses include: a) employee compensation and benefits expenses that are incurred directly in support of the segment and b) non-compensation expenses, which include expenses for premises and occupancy, professional fees, travel and entertainment, technology and information services, execution, clearing and custody fees, equipment and indirect support costs (including compensation and other operating expenses related thereto) for corporate services. Such corporate services include, but are not limited to, accounting, tax, legal, technology, human capital, facilities management and senior management activities. The prior period reclassifications from "Professional Fees" to "Technology and Information Services" for the Investment Banking & Equities segment are as follows: $ 9,950 for the three months ended March 31, 2025; $ 8,792 , $ 9,598 , $ 10,199 and $ 9,947 for the three months ended March 31, 2024, June 30, 2024, September 30, 2024 and December 31, 2024, respectively, and $ 38,536 for the twelve months ended December 31, 2024; $ 8,356 , $ 7,960 , $ 8,987 and $ 8,843 for the three months ended March 31, 2023, June 30, 2023, September 30, 2023 and December 31, 2023, respectively, and $ 34,146 for the twelve months ended December 31, 2023. See Note 2 for further information. The prior period reclassifications from "Professional Fees" to "Technology and Information Services" for the Investment Management segment are as follows: $ 273 for the three months ended March 31, 2025; $ 217 , $ 253 , $ 266 and $ 249 for the three months ended March 31, 2024, June 30, 2024, September 30, 2024 and December 31, 2024, respectively, and $ 985 for the twelve months ended December 31, 2024; $ 211 , $ 226 , $ 254 and $ 223 for the three months ended March 31, 2023, June 30, 2023, September 30, 2023 and December 31, 2023, respectively, and $ 914 for the twelve months ended December 31, 2023. See Note 2 for further information. The Company evaluates segment results based on net revenues and pre-tax income. The Company's resources are allocated and performance is assessed by the Company's CEO and Chairman, whom the Company has determined to be the CODM. For both segments, the CODM reviews net revenues and pre-tax income against current and past performance on a quarterly basis when making decisions about allocating resources to the segments, inclusive of decisions regarding new hires, expansion into new geographical locations and entering into material contracts, including lease agreements and significant investments in technology. The CODM also uses these measures in determining appropriate levels of employee compensation. No client accounted for more than 10% of the Company's Consolidated Net Revenues for the three and six months ended June 30, 2025 and 2024, respectively. The following information presents each segment's contribution. 33 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) For the Three Months Ended June 30, For the Six Months Ended June 30, 2025 2024 2025 2024 Investment Banking & Equities Net Revenues (1) $ 812,171 $ 670,010 $ 1,486,703 $ 1,231,738 Employee Compensation and Benefits 535,447 448,064 983,476 825,351 Non-Compensation (2) 130,773 118,304 250,547 223,855 Operating Income 145,951 103,642 252,680 182,532 Income (Loss) from Equity Method Investments 11 147 ( 27 ) 835 Pre-Tax Income $ 145,962 $ 103,789 $ 252,653 $ 183,367 Identifiable Segment Assets $ 3,575,400 $ 3,176,797 $ 3,575,400 $ 3,176,797 Investment Management Net Revenues (1) $ 21,659 $ 19,214 $ 41,956 $ 38,301 Employee Compensation and Benefits 13,164 10,871 24,960 21,289 Non-Compensation (2) 4,057 3,742 8,103 7,181 Operating Income 4,438 4,601 8,893 9,831 Income from Equity Method Investments 804 1,710 1,721 3,347 Pre-Tax Income $ 5,242 $ 6,311 $ 10,614 $ 13,178 Identifiable Segment Assets $ 114,259 $ 139,201 $ 114,259 $ 139,201 Total Net Revenues (1) $ 833,830 $ 689,224 $ 1,528,659 $ 1,270,039 Employee Compensation and Benefits 548,611 458,935 1,008,436 846,640 Non-Compensation (2) 134,830 122,046 258,650 231,036 Operating Income 150,389 108,243 261,573 192,363 Income from Equity Method Investments 815 1,857 1,694 4,182 Pre-Tax Income $ 151,204 $ 110,100 $ 263,267 $ 196,545 Identifiable Segment Assets $ 3,689,659 $ 3,315,998 $ 3,689,659 $ 3,315,998 (1) Net Revenues include Other Revenue, net, allocated to the segments as follows: For the Three Months Ended June 30, For the Six Months Ended June 30, 2025 2024 2025 2024 Investment Banking & Equities (A) $ 23,949 $ 17,581 $ 31,767 $ 45,698 Investment Management 975 14 289 402 Total Other Revenue, net $ 24,924 $ 17,595 $ 32,056 $ 46,100 (A) Other Revenue, net, from the Investment Banking & Equities segment includes interest expense on the Notes Payable and lines of credit of $ 4,210 and $ 8,403 for the three and six months ended June 30, 2025, respectively, and $ 4,189 and $ 8,377 for the three and six months ended June 30, 2024, respectively. (2) Non-Compensation expenses are as follows: 34 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) For the Three Months Ended June 30, For the Six Months Ended June 30, 2025 2024 2025 2024 Investment Banking & Equities Occupancy and Equipment Rental $ 26,261 $ 21,240 $ 51,364 $ 42,643 Professional Fees (A) 22,059 23,368 43,203 44,639 Travel and Related Expenses 23,729 21,171 45,540 40,144 Technology and Information Services (A) 35,411 28,517 67,663 55,773 Depreciation and Amortization 6,342 6,342 12,235 12,551 Execution, Clearing and Custody Fees 2,729 2,633 5,612 5,556 Acquisition and Transition Costs 1,637 — 1,637 — Other Operating Expenses 12,605 15,033 23,293 22,549 Total Non-Compensation $ 130,773 $ 118,304 $ 250,547 $ 223,855 Investment Management Occupancy and Equipment Rental $ 653 $ 561 $ 1,281 $ 1,102 Professional Fees (B) 1,074 1,069 2,320 2,008 Travel and Related Expenses 255 213 462 462 Technology and Information Services (B) 1,176 920 2,291 1,840 Depreciation and Amortization 108 97 191 181 Execution, Clearing and Custody Fees 451 418 914 836 Other Operating Expenses 340 464 644 752 Total Non-Compensation $ 4,057 $ 3,742 $ 8,103 $ 7,181 Total Occupancy and Equipment Rental $ 26,914 $ 21,801 $ 52,645 $ 43,745 Professional Fees (C) 23,133 24,437 45,523 46,647 Travel and Related Expenses 23,984 21,384 46,002 40,606 Technology and Information Services (C) 36,587 29,437 69,954 57,613 Depreciation and Amortization 6,450 6,439 12,426 12,732 Execution, Clearing and Custody Fees 3,180 3,051 6,526 6,392 Acquisition and Transition Costs 1,637 — 1,637 — Other Operating Expenses 12,945 15,497 23,937 23,301 Total Non-Compensation $ 134,830 $ 122,046 $ 258,650 $ 231,036 (A) The Company reclassified $ 9,598 and $ 18,390 of technology and related expenses from "Professional Fees" to "Technology and Information Services" in the Investment Banking & Equities segment for the three and six months ended June 30, 2024, respectively, to conform to the current presentation. See Note 2 for further information. (B) The Company reclassified $ 253 and $ 470 of technology and related expenses from "Professional Fees" to "Technology and Information Services" in the Investment Management segment for the three and six months ended June 30, 2024, respectively, to conform to the current presentation. See Note 2 for further information. (C) The Company reclassified $ 9,851 and $ 18,860 of technology and related expenses from "Professional Fees" to "Technology and Information Services" for the three and six months ended June 30, 2024, respectively, to conform to the current presentation. See Note 2 for further information. 35 Table of Contents EVERCORE INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (amounts in thousands, except per share amounts, unless otherwise noted) Geographic Information – The Company manages its business based on the profitability of the enterprise as a whole. The Company's revenues were derived from clients located and managed in the following geographical areas: For the Three Months Ended June 30, For the Six Months Ended June 30, 2025 2024 2025 2024 Net Revenues: (1) Americas (2) $ 674,845 $ 569,072 $ 1,262,750 $ 1,048,219 Europe, Middle East and Africa ("EMEA") 126,428 92,075 199,085 162,596 Asia-Pacific 7,633 10,482 34,768 13,124 Total $ 808,906 $ 671,629 $ 1,496,603 $ 1,223,939 (1) Excludes Other Revenue, Including Interest and Investments, and Interest Expense. (2) Primarily includes revenue attributable to the United States of $ 617,681 and $ 1,177,482 for the three and six months ended June 30, 2025, respectively, and $ 534,510 and $ 989,746 for the three and six months ended June 30, 2024, respectively. The Company's total assets are located in the following geographical areas: June 30, 2025 December 31, 2024 Total Assets: Americas (1) $ 3,017,561 $ 3,496,519 EMEA (2) 610,505 614,494 Asia-Pacific 61,593 62,958 Total $ 3,689,659 $ 4,173,971 (1) Primarily includes assets located in the United States. (2) Primarily includes assets located in the United Kingdom. 36 Table of Contents