PHILADELPHIA, PA — Cohen & Company Inc. (NYSE American: COHN) reported first-quarter net income of $1.5 million as revenue rose to $57.9 million, and its board declared a quarterly dividend of $0.25 per share.
Net income attributable to the company was $1.5 million, or $0.42 per diluted share, for the three months ended March 31, 2026, compared with $0.3 million, or $0.19 per diluted share, a year earlier and $8.1 million, or $1.48 per share, in the prior quarter.
Adjusted pre-tax income was $4.0 million, or $0.65 per diluted share, compared with $1.3 million, or $0.22 per share, a year earlier and $18.3 million, or $2.97 per share, in the fourth quarter.
Revenue declined from $102.7 million in the prior quarter but more than doubled from $28.7 million in the first quarter of 2025, reflecting the absence of a prior-quarter transaction tied to a SPAC business combination.
Investment banking and new issue revenue totaled $45.7 million, down $9.0 million from the fourth quarter and up $25.5 million year over year, driven by activity at Cohen & Company Capital Markets.
Net trading revenue was $13.2 million, down $0.6 million sequentially and up $4.0 million from a year earlier, with higher contributions from mortgage, SPAC equity, collateralized mortgage obligation and preferred equity trading.
Asset management revenue was $2.4 million, compared with $2.7 million in the prior quarter and $2.0 million a year earlier.
Principal transactions and other revenue was negative $3.4 million, compared with positive $31.5 million in the prior quarter and negative $2.7 million a year earlier, reflecting the absence of gains related to a SPAC transaction completed in the fourth quarter.
Compensation and benefits expense declined $16.5 million from the prior quarter but increased $19.6 million from a year earlier, reflecting changes in revenue and incentive compensation.
Interest expense totaled $1.3 million, primarily related to trust preferred securities debt.
Loss from equity method affiliates was $0.5 million, compared with a $5.1 million loss in the prior quarter and $2.4 million of income a year earlier.
The company reported an income tax benefit of $0.2 million, compared with a $2.3 million benefit in the prior quarter and a $0.1 million expense a year earlier.
Total equity was $100.1 million as of March 31, 2026, down from $103.1 million at year-end, with equity excluding non-controlling interests at $97.8 million.
The dividend of $0.25 per share is payable June 2, 2026, to shareholders of record as of May 18, 2026.
Chief Executive Officer Lester Brafman said underlying operating trends improved year over year despite the impact of one-time items, including professional fees and adjustments related to SBA origination costs and servicing assets.
The firm’s gestation repo business reached $3.9 billion during the quarter, and its sponsored SPAC, Columbus Circle Capital Corp. II, completed a $230 million initial public offering.
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