Perella Weinberg Partners (NASDAQ:PWP) reported full-year 2025 revenue of $751 million and fourth-quarter revenue of $219 million, executives said on the firm’s earnings call. While revenue declined 14% from the company’s record 2024 results, Chief Executive Officer Andrew Bednar characterized 2025 as the firm’s third-highest revenue year in its 20-year history, citing the benefits of continued investment in a “focused and differentiated platform” designed to perform across market conditions.
2025 results and business momentum
Bednar said the firm had a productive year expanding and deepening M&A coverage and expertise, but noted that results fell short of internal revenue ambitions because “several large transactions we advised on did not complete as we had hoped.” In response to an analyst question about the impact of large-deal activity, Bednar compared industry conditions across years and said that in the prior year there were 70 transactions over $10 billion, versus 35 the year before. He added that in Perella Weinberg’s record year the firm advised on four transactions over $10 billion, while in 2025 it was not involved in any. “This year, out of the gate, we’re in 1 already,” he said, adding that the firm is generally optimistic heading into 2026 and referenced a recently announced $15 billion transaction.
Restructuring outlook: Liability management remains active
Asked about 2026 expectations for restructuring, Bednar said the firm feels “very, very good” about the environment across sectors and is “not seeing any slowdown,” particularly in liability management engagements. He framed much of the work as proactive rather than bankruptcy-driven, describing finance managers assessing maturities and covenants and looking to enhance balance sheets. He also pointed to “some of the disruption” seen in software as a potential contributor to credit concerns in that sector that could lead to additional activity.
Talent investments, hiring, and the Devon Park integration
Management repeatedly emphasized hiring and investment in senior talent. Bednar said 2025 was a record year for both recruiting and promoting senior bankers, with 23 new senior bankers added during the year. He noted that early in 2026 the firm added two partners—one tied to building out healthcare services and another to strengthen U.S. software coverage following a recent partner addition in Europe.
On the Devon Park acquisition and expansion into private capital-related capabilities, Bednar said the combination has gone “very well” culturally, financially, and strategically. He said early conversations with private equity, credit, and real estate clients have been positive, and that the combined team has already won new mandates. However, he cautioned that it is still early, describing the firm as being only in “month four.”
Regarding the broader recruiting environment, Bednar said hiring is a continuous exercise and a core part of the strategy, noting the firm has “a lot of open space” with 77 partners covering roughly 1,500 to 2,000 clients. He said the pipeline of interested candidates remains strong, but he expects 2026 to be a “more normal year” for hiring activity relative to the above-average pace in 2025.
Expenses, compensation, and capital returns
Chief Financial Officer Alex Gottschalk said fourth-quarter revenue included $18.5 million related to closings that occurred in the first few days of 2026 but were recorded in the fourth quarter under applicable accounting principles.
Gottschalk reported an adjusted compensation margin of 68% for full-year 2025, compared with 67% in 2024. He said the firm maintained discipline over its compensation ratio despite what Bednar described as record talent investment, including Devon Park. Gottschalk also emphasized alignment with shareholders, stating that partners and the broader team own over 30% of the firm.
On expenses, Gottschalk said adjusted non-compensation expense was $159 million for 2025, down 2% year-over-year and “well below” the single-digit growth range the firm had projected earlier in the year. Looking to 2026, he said that with certain non-recurring items behind the company, management expects a further single-digit percentage decrease.
In response to questions about compensation dynamics, Bednar said the firm has demonstrated “comp leverage” in prior periods, citing flexing the ratio in 2021 and lowering it by 300 basis points in 2024 versus 2023. However, he said the firm was not able to do so in 2025 due to missing revenue targets and investing heavily in growth. He also described some compensation spending as akin to capital expenditures, noting a mismatch where investment precedes revenue.
On capital management, Gottschalk said the firm returned more than $163 million to equity holders in 2025 through dividends, RSU settlements, share repurchases, and unit exchanges. He said the company retired 6.5 million shares during the year, ending 2025 with 67 million Class A shares and 22 million partnership units outstanding. The firm finished the year with $256 million in cash and no debt, he added.
Management declared a quarterly dividend of $0.07 per share.
Pipeline and 2026 positioning
Looking ahead, Bednar said the firm’s gross pipeline is at record highs and that “announced impending backlog is strong and building.” He described sentiment as positive across corporate and sponsor clients and said the firm sees momentum building as it enters its 20th year.
- Full-year 2025 revenue: $751 million
- Fourth-quarter 2025 revenue: $219 million (including $18.5 million from early-2026 closings recorded in Q4)
- Adjusted compensation margin (2025): 68% (vs. 67% in 2024)
- Adjusted non-compensation expense (2025): $159 million (down 2% year-over-year)
- Capital returned to equity holders (2025): Over $163 million
- Year-end cash/debt: $256 million in cash, no debt
- Quarterly dividend declared: $0.07 per share
Bednar closed the call by thanking clients, investors, and employees, and said the firm looks forward to providing an update next quarter.
About Perella Weinberg Partners (NASDAQ:PWP)
Perella Weinberg Partners L.P. is a global, partner-led advisory firm specializing in strategic and financial counsel. Founded in 2006 by Joseph R. Perella and Peter Weinberg—both veterans of leading Wall Street institutions—the firm delivers independent advice on mergers and acquisitions, financing, restructuring and capital markets. As an independent entity, it emphasizes senior banker involvement throughout every transaction, ensuring clients benefit from depth of experience and continuity of service.
The firm’s core offerings encompass M&A advisory, debt and equity financing, corporate restructuring and capital markets solutions.
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