Investor Highlights
Unaudited
Reconciliation of U.S. GAAP Operating Income to Earnings from Operations, Awarded Basis
($ in millions)
Net Revenue U.S. GAAP Basis
Adjustments (a):
Revenue related to noncontrolling interests
5
Interest expense
MBA Lazard acquisition and Private Equity revenue adjustment
Operating revenue
2005
2006
2007
2008
2009
Asset Management
2010
2011
2012
2013
2014
2015
$466
$553
$725
$615
$602
$850
$897
$896
$1,039
$1,135
$1,111
(2)
(5)
(8)
13
(7)
(15)
(14)
(14)
(15)
(15)
(16)
1
1
1
(12)
$464
$549
$717
$629
$596
$835
$883
$882
$1,024
$1,120
$1,083
$116
$135
$185
($63)
$97
$265
$268
$237
$335
$385
$374
Operating Income - U.S. GAAP Basis
Adjustments:
Sum of Adjustments - Revenue - U.S. GAAP vs. Operating revenue (from above)
(2)
(4)
(8)
14
(6)
(15)
(14)
(14)
(15)
(15)
(28)
1
Sum of Adjustments - Compensation and benefits expense, as adjusted to awarded basis (b, c)
Charges pertaining to cost saving initiatives
(31)
(20)
(54)
(24)
17
(34)
(20)
4
(15)
(8)
(4)
13
Private Equity incentive compensation"
4
12
7
2010 adjustments
Operating expenses related to noncontrolling interests5
Amortization and other acquisition-related costs 14
LAM Equity Charge
2005 Adjustments
23
7
Corporate support group allocations to business segments
Total adjustments
Earnings from Operations, Awarded basis
Operating Margin, Awarded basis
2
1
5
199
358
6
6
6
6
7
12
8
10
7
(11)
(c)
47
51
55
64
58
62
67
74
78
81
82
3
27
(7)
254
76
29
51
91
76
71
64
$119
$162
$178
$191
$173
$294
$319
$328
$411
$456
$438
26%
30%
25%
30%
29%
35%
36%
37%
40%
41%
40%
LAZARD
Notes: (a) See "Reconciliation of U.S. GAAP Net Revenue to Operating Revenue" on page 40.
(b) See "Reconciliation of U.S. GAAP Compensation to Adjusted/Awarded Compensation" on page 41.
(c) Operating margins for Financial Advisory and Asset Management reflect a reallocation of expenses from
Corporate to the business segments.
For all numerical footnotes, see endnotes for information regarding non-GAAP adjustments.
48View entire presentation