Lincoln International reported record results for the third quarter of 2026, with revenue of $293.7 million increasing 57% year-over-year. Adjusted diluted EPS of $0.46 beat analyst expectations of $0.39, driven by robust middle-market M&A activity and the continued integration of the MarshBerry acquisition. The firm demonstrated significant operating leverage, a key investor focus, as revenue growth outpaced expense increases.
Key Highlights
- Investment Banking Advisory revenue surged 70% to $239.9 million, fueled by a higher volume of completed transactions and increased average fee sizes.
- Adjusted operating margins expanded significantly, as the adjusted compensation ratio improved to 61.0% from 68.5% in the prior-year period.
- Valuations and Opinions segment revenue grew 18% to $53.8 million, driven by rising demand for private market portfolio valuations and transaction opinions.
- The company maintained a strong balance sheet with $363.1 million in cash and a net cash position of $261.2 million after debt.