Piper Sandler Reports 16.9% Revenue Growth to $398.6 Million in Latest Quarter

Piper Sandler Companies reported significant financial performance in its latest quarterly filing, with total revenues reaching $398.6 million for the three months ended June 30, 2025, marking a 16.9% increase from $340.8 million in the same period last year. The firm’s net income attributable to Piper Sandler Companies was $42.2 million, a 21.3% rise compared to $34.8 million in the prior year. For the first half of 2025, total revenues were $757.1 million, up 10.5% from $685.3 million in the first half of 2024, while net income increased by 38.6% to $107.1 million from $77.3 million.

The company experienced notable changes in its revenue streams, particularly in investment banking and institutional brokerage. Investment banking revenues increased by 9.0% to $283.1 million, driven by a 12.1% rise in advisory services revenues, which reached $206.2 million. However, corporate financing revenues fell by 30.9% to $35.0 million due to fewer completed transactions. Institutional brokerage revenues also saw a 22.5% increase to $112.4 million, with equity brokerage revenues rising by 11.5% and fixed income services revenues increasing by 36.9%.

Piper Sandler has made strategic moves to enhance its market position, including the acquisition of Aviditi Capital Advisors in August 2024, which expanded its private capital advisory capabilities. Additionally, the company announced a definitive agreement to acquire G Squared Capital Partners LLC, a boutique investment bank specializing in government services and defense technology, with the transaction expected to close in the third quarter of 2025. These acquisitions are part of Piper Sandler's strategy to diversify its service offerings and strengthen its market presence.

Operationally, the company reported an increase in its employee headcount, with 17,690,540 shares of common stock outstanding as of July 30, 2025. The firm also noted a decrease in cash and cash equivalents, which fell to $123.3 million from $482.8 million at the end of 2024, primarily due to the payment of annual incentive compensation. The company’s total assets decreased to $1.96 billion from $2.26 billion, reflecting changes in its financial instruments and other inventory positions.

Looking ahead, Piper Sandler anticipates continued growth in its advisory services, supported by a robust pipeline of announced and in-process transactions. The firm expects its advisory services revenues in the third quarter of 2025 to remain consistent with the second quarter. However, it also acknowledges potential challenges in corporate financing activity due to sector-specific factors. Overall, the company remains optimistic about its performance in the latter half of 2025, contingent on favorable market conditions and successful execution of its strategic initiatives.