FINANCIAL SUPPLEMENT
2021 Second Quarter
July 28, 2021
TABLE OF CONTENTS | 1. | COWEN INC. |
- REVENUE METRICS (NON-GAAP, UNAUDITED) | ||
- SUMMARY OPERATING AND OTHER FINANCIAL INFORMATION (NON-GAAP, UNAUDITED) | ||
- RECONCILIATION OF US GAAP AND ECONOMIC INCOME (NON-GAAP, UNAUDITED) | ||
2. | OPERATING CO | |
- REVENUE METRICS (NON-GAAP, UNAUDITED) | ||
- SUMMARY OPERATING AND OTHER FINANCIAL INFORMATION (NON-GAAP, UNAUDITED) | ||
3. | ASSET CO | |
- REVENUE METRICS (NON-GAAP, UNAUDITED) | ||
- SUMMARY OPERATING AND OTHER FINANCIAL INFORMATION (NON-GAAP, UNAUDITED) | ||
4. | APPENDIX | |
- RETURN ON COMMON EQUITY (ROCE) DEFINITION | ||
- DEFINITION OF US GAAP TO NON-GAAP MEASURES |
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1. COWEN INC.
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Revenue Metrics (Non-GAAP Unaudited) - Cowen Inc.
2019 | |
$ thousands | FY |
INVESTMENT BANKING REVENUE | $351,085 |
Advisory Revenue | $132,188 |
M&A | |
Revenue | $83,152 |
Total transactions | 48 |
Average fee (implied) | 1,732 |
Median fee | $1,008 |
Transaction value (in M) | $10,443 |
Capital Markets Advisory1 | |
Revenue | $49,036 |
Total transactions | 27 |
Average fee (implied) | $1,816 |
Median fee | $900 |
Underwriting Revenue2 | |
Revenue | $218,897 |
Total transactions | 114 |
Average fee (implied) | $1,920 |
Median fee | $1,477 |
BROKERAGE REVENUE | $459,143 |
Institutional brokerage3 | $323,965 |
Institutional services | $135,178 |
Prime Services Management Fees4 | $2,996 |
Miscellaneous Markets Fees4 | $3,414 |
Total Markets Revenue4 | $465,553 |
Markets revenue per trading day | $1,847 |
# Trading days | 252 |
# Publishing analysts5 | 52 |
MANAGEMENT FEE | $42,297 |
Monthly run rate for period | $3,525 |
INCENTIVE INCOME | $45,732 |
INVESTMENT INCOME | $35,726 |
OTHER REVENUE | $5,843 |
TOTAL REVENUE6 | $939,827 |
2020 | ||||
Q1 | Q2 | Q3 | Q4 | FY |
$99,197 | $190,430 | $185,151 | $254,402 | $729,180 |
$33,472 | $55,694 | $62,098 | $137,782 | $289,046 |
$19,773 | $30,983 | $32,476 | $87,669 | $170,901 |
12 | 9 | 10 | 17 | 48 |
$1,648 | $3,443 | $3,248 | $5,157 | 3,560 |
$1,201 | $1,295 | $1,685 | $2,800 | $1,723 |
$1,114 | $4,742 | $6,011 | $25,641 | $37,508 |
$13,699 | $24,711 | $29,622 | $50,113 | $118,145 |
7 | 7 | 11 | 12 | 37 |
$1,957 | $3,530 | $2,693 | $4,176 | $3,193 |
$1,350 | $1,880 | $2,250 | $3,465 | $2,225 |
$65,725 | $134,736 | $123,053 | $116,620 | $440,135 |
24 | 48 | 50 | 44 | 166 |
$2,739 | $2,807 | $2,461 | $2,650 | $2,651 |
$2,309 | $2,206 | $2,033 | $1,690 | $2,007 |
$132,672 | $167,067 | $167,084 | $185,824 | $652,647 |
$97,961 | $119,064 | $113,313 | $132,344 | $462,682 |
$34,711 | $48,003 | $53,771 | $53,480 | $189,965 |
$826 | $647 | $802 | $792 | $3,067 |
($1,113) | $1,448 | ($445) | $1,730 | $1,620 |
$132,385 | $169,162 | $167,441 | $188,346 | $657,334 |
$2,135 | $2,685 | $2,616 | $2,943 | $2,598 |
62 | 63 | 64 | 64 | 253 |
53 | 54 | 54 | 53 | 53 |
$13,320 | $14,402 | $14,636 | $16,742 | $59,100 |
$4,440 | $4,801 | $4,879 | $5,581 | $4,925 |
($4,086) | $46,375 | ($1,302) | $44,375 | $85,362 |
$(31,103) | $140,486 | $(90,488) | $10,328 | $29,223 |
$562 | $(60) | $(794) | $1,074 | $782 |
$210,562 $558,700 $274,287 $512,745 $1,556,294
2021
Q1 Q2 YTD
$293,488 | $214,427 | $507,914 |
$132,848 | $128,360 | $261,208 |
$55,655 | $85,009 | $140,664 |
10 | 28 | 38 |
$5,566 | $3,036 | 3,702 |
$1,580 | $1,050 | $1,488 |
$11,866 | $21,029 | $11,887 |
$77,193 | $43,351 | $120,544 |
15 | 18 | 33 |
$5,146 | $2,408 | $3,653 |
$2,450 | $1,310 | $1,850 |
$160,640 | $86,067 | $246,707 |
63 | 40 | 103 |
$2,550 | $2,152 | $2,395 |
$1,825 | $1,740 | $1,805 |
$221,848 | $175,845 | $397,692 |
$156,157 | $119,783 | $275,940 |
$65,691 | $56,062 | $121,752 |
$782 | $923 | $1,705 |
($631) | $627 | -$3 |
$221,999 | $177,395 | $399,394 |
$3,639 | $2,816 | $3,221 |
61 | 63 | 124 |
51 | 51 | 51 |
$27,200 | $18,124 | $45,325 |
$9,067 | $6,041 | $3,777 |
$108,711 | ($31,052) | $77,658 |
$35,008 | $5,478 | $40,487 |
$1,163 | $7,307 | $8,470 |
$687,418 | $390,129 | $1,077,546 |
- "Capital Markets Advisory" includes private placements, PIPEs, private debt financings, debt advisory and other advisory fees
- "Capital Markets Underwriting" includes IPOs, secondary offerings, convertible bonds, ATM offerings and publicly rated debt
- "Institutional Brokerage" includes: cash and electronic trading, options, ADR, special situations and credit; "Institutional Services" includes: prime services, clearing, securities finance, commission management and recapture.
- "Markets Revenue" includes brokerage revenue as well as management fees for prime services and miscellaneous fees presented in management fees and other revenue in economic income (loss) respectively
- Includes equity, credit and macro publishing analysts
- Total revenue is the sum of investment banking, brokerage, management fee, incentive income, investment income and other revenue
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Summary Operating and Other Financial Information (Non-GAAP Unaudited) - Cowen Inc.
2019 | 2020 | 2021 | ||||||||||
FY | Q1 | Q2 | Q3 | Q4 | FY | Q1 | Q2 | YTD | ||||
SUMMARY ECONOMIC INCOME DATA ($ thousands) | ||||||||||||
Economic proceeds | $939,827 | $210,562 | $558,700 | $274,287 | $512,745 | $1,556,291 | $687,418 | $390,129 | $1,077,546 | |||
Pre-tax economic income (loss)1 | $50,490 | $(10,882) | $162,962 | $33,460 | $134,498 | $320,038 | $196,831 | $67,202 | $264,034 | |||
Economic income tax expense | $0 | $0 | $0 | $0 | $0 | $0 | $52,751 | $18,010 | $70,760 | |||
Economic income (loss)2 | $43,698 | $(12,580) | $161,264 | $31,762 | $132,800 | $313,245 | $142,382 | $47,494 | $189,878 | |||
Economic operating income (loss)2 | $64,137 | $(7,145) | $166,927 | $37,437 | $138,705 | $335,922 | $145,568 | $50,836 | $196,406 |
RETURN ON AVERAGE COMMON EQUITY
Annualized return on average common equity3
PER COMMON SHARE INFORMATION
Economic income per share (basic) Economic Income per share (diluted)
Economic operating income per share (basic) Economic operating income per share (diluted)
9.0 % | (4.1)% | 90.0 % | 18.6 % | 66.1 % | 43.4 % | |
$1.48 | $(0.44) | $5.76 | $1.15 | $4.93 | $11.54 | |
$1.40 | $(0.44) | $5.50 | $1.06 | $4.38 | $10.86 | |
$2.17 | $(0.25) | $5.97 | $1.35 | $5.15 | $12.35 | |
$2.05 | $(0.25) | $5.69 | $1.25 | $4.58 | $11.63 |
62.2 % 21.7 % 41.9 %
$5.20 | $1.77 | $6.79 |
$4.24 | $1.40 | $5.63 |
$5.32 | $1.89 | $7.02 |
$4.34 | $1.50 | $5.83 |
NON-INTEREST EXPENSES (EX. D&A) Compensation expenses
Non-compensation expenses
Fixed non-compensation expenses (ex. D&A) Variable non-compensation expenses
Floor brokerage & trade execution expenses Client services & business development expenses Other variable non-compensation expenses
$537,535 |
$298,540 |
$146,671 |
$151,869 |
$102,337 |
$41,305 |
$8,227 |
$125,707 | $305,082 | $153,786 | $279,947 | $864,520 |
$80,784 | $75,682 | $72,126 | $83,930 | $312,523 |
$37,484 | $34,860 | $34,384 | $39,845 | $146,574 |
$43,300 | $40,822 | $37,742 | $44,085 | $165,949 |
$32,666 | $34,795 | $33,603 | $37,470 | $138,534 |
$9,371 | $1,824 | $1,522 | $2,717 | $15,435 |
$1,263 | $4,203 | $2,617 | $3,898 | $11,981 |
$388,397 $220,413
$89,336 $87,864
$37,390 $41,902
$51,946 $45,962
$45,480 $38,695
$2,694 $3,404
$3,772 $3,863
$608,809 |
$177,202 |
$79,292 |
$97,910 |
$84,175 |
$6,098 |
$7,637 |
DEPRECIATION & AMORTIZATION
Depreciation
Amortization
EXPENSE RATIOS
Compensation to revenue ratio
Non-compensation expenses to revenue ratio
Fixed non-compensation expense to revenue ratio (ex. D&A) Variable non-compensation expense to revenue ratio
$7,310 | $2,240 | $2,389 | $3,227 | $2,598 | $10,454 | |
$13,122 | $3,194 | $3,274 | $2,448 | $3,307 | $12,223 | |
57.2 % | 59.7 % | 54.6 % | 56.1 % | 54.6 % | 55.6 % | |
31.8 % | 38.4 % | 13.5 % | 26.3 % | 16.4 % | 20.1 % | |
15.6 % | 17.8 % | 6.2 % | 12.5 % | 7.8 % | 9.4 % | |
16.2 % | 20.6 % | 7.3 % | 13.8 % | 8.6 % | 10.7 % |
$2,565 | $2,671 | $5,236 |
$1,789 | $1,894 | $3,683 |
56.5 % | 56.5 % | 56.5 % |
13.0 % | 22.5 % | 16.4 % |
5.4 % | 10.7 % | 7.4 % |
7.6 % | 11.8 % | 9.1 % |
- Pre-taxeconomic income (loss) excludes preferred dividend payments
- Economic Income (Loss) is calculated net of associated taxes. The Company has utilized all available federal net operating losses not subject to limitation during 2020.
- See "Return on Common Equity (ROCE) Definition" page
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Cowen Inc. published this content on 28 July 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 28 July 2021 11:13:03 UTC.