PHILADELPHIA, PA — Cohen & Company Inc. (NYSE American: COHN) more than doubled second-quarter profit from a year earlier as investment banking revenue increased, while its board maintained a quarterly dividend of 25 cents per share.
Net income attributable to Cohen & Company rose to $3.6 million, or 94 cents per diluted share, for the quarter ended June 30, compared with $1.4 million, or 81 cents per diluted share, a year earlier. First-quarter net income was $1.5 million, or 42 cents per diluted share.
Revenue increased to $69.5 million from $59.9 million in the second quarter of 2025 and $57.9 million in the first quarter.
Investment banking and new issue revenue accounted for most of the company’s revenue, rising to $54.1 million from $44.2 million a year earlier and $45.8 million in the previous quarter. Cohen & Company Capital Markets generated substantially all of that revenue during the periods reported.
Chief Executive Officer Lester Brafman attributed the quarter’s performance to the investment banking business and its work on special purpose acquisition company, or SPAC, and de-SPAC transactions.
The company cited activity involving its sponsored SPACs, including Columbus Circle Capital Corp II’s June 26 agreement for a business combination with Elroy Air Inc. Columbus Circle Capital Corp III subsequently completed a $230 million initial public offering on July 9.
Net trading revenue increased to $13.9 million from $10.8 million a year earlier and $13.2 million in the first quarter. Cohen & Company attributed the sequential increase to its mortgage group and its SPAC equity and structured-notes trading desks.
The company’s gestation repurchase agreement book totaled $4.1 billion at June 30.
Asset management revenue declined to $1.8 million from $2.1 million a year earlier and $2.4 million in the first quarter. Principal transactions and other revenue produced a $300,000 loss, compared with $2.8 million of positive revenue a year earlier and a $3.4 million loss in the previous quarter.
Adjusted pre-tax income, a non-GAAP measure, increased to $10.1 million, or $1.62 per diluted share, from $5.5 million, or 94 cents per diluted share, a year earlier. First-quarter adjusted pre-tax income was $4 million, or 65 cents per diluted share.
Higher revenue also increased compensation costs. Compensation and benefits expense rose by $3.9 million from a year earlier and $6.9 million from the previous quarter, primarily because of variable incentive compensation tied to revenue.
Cohen & Company employed 129 people at June 30, compared with 118 a year earlier.
The company recorded a $3 million loss from equity-method affiliates, up from losses of $1.4 million a year earlier and $500,000 in the first quarter. The second-quarter loss was primarily associated with Columbus Circle Capital Corp II and was partly offset by a $2.1 million credit attributable to a non-convertible non-controlling interest, resulting in a $900,000 net loss to Cohen & Company.
Interest expense totaled $1.3 million, including $1.2 million related to trust preferred securities debt. Income tax expense was $100,000.
Total equity stood at $109.3 million at June 30, up from $103.1 million at the end of 2025.
The board declared a quarterly dividend of 25 cents per share, payable Sept. 2 to shareholders of record Aug. 19. Cohen & Company noted that its board evaluates the dividend policy each quarter and that future payments may depend on operating results and capital requirements.
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