PHILADELPHIA, PA, and NEW YORK — Cohen & Company Inc. (NYSE American: COHN) has reported financial results for the first quarter ending March 31, 2025. The company posted $28.7 million in revenue, a sharp increase from $18.5 million in the previous quarter and $18.6 million in the same period last year. Net income attributable to the company was $0.3 million, or $0.19 per diluted share, compared to a $2.0 million loss, or $1.21 per diluted share, in the prior quarter.
Adjusted pre-tax income was $1.3 million, or $0.22 per diluted share, a turnaround from an adjusted pre-tax loss of $7.7 million in the prior quarter and a decrease from $7.7 million in adjusted pre-tax income recorded in Q1 2024.
Segment Performance
Cohen & Company Capital Markets (CCM), the full-service boutique investment banking operation, generated $20.1 million of net revenue in the quarter, underlining its strong contribution to overall results. New issue and advisory revenue stood at $33.2 million, representing a significant rise from both the prior quarter and the same period last year.
Net trading revenue reached $9.2 million, up $0.3 million from the previous quarter but slightly below the $9.8 million recorded in Q1 2024. Principal transactions and other revenue were negative $15.7 million, largely reflecting non-cash considerations related to CCM, while asset management revenue was $2.0 million, down from $2.7 million in the prior-year period due to deferred performance fees.
Compensation and benefits expenses rose by $8.7 million compared to the previous quarter due to the company’s expanded workforce and increased incentive payouts.
Strategic Growth Initiatives
CEO Lester Brafman commented, “We are encouraged by our first quarter results, reflecting strong performance from our full-service boutique investment banking operation, Cohen & Company Capital Markets (‘CCM’), which generated $20.1 million of net revenue. In April this year, we announced the launch of a new SPAC-focused equity trading desk, creating a synergistic opportunity to build on CCM’s momentum and further leverage its insights and capabilities.”
Brafman further emphasized the company’s focus on disciplined execution despite market challenges, saying, “Despite ongoing mark-to-market headwinds in our principal investing portfolio, we remain focused on disciplined execution and are well positioned for continued growth. We remain confident in our future earnings potential and committed to enhancing long-term, sustained value for our stockholders, through the continued return of capital, including our quarterly dividend.”
Dividend and Equity Update
Cohen & Company’s Board of Directors declared a quarterly dividend of $0.25 per share, payable on June 2, 2025, to stockholders of record as of May 16, 2025. The Board reaffirmed its commitment to evaluating the dividend policy quarterly based on operational results and capital requirements.
At the end of the quarter, total equity stood at $85.7 million, reflecting a slight decline from $90.3 million in the fourth quarter of 2024. This includes the impact of changes in non-controlling interest, as well as other operational factors.
With new strategic initiatives and a focus on executing its growth plans, Cohen & Company continues to position itself as a leader in providing innovative solutions to clients while delivering value to shareholders.
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