The following discussion should be read in conjunction with Lazard’s condensed consolidated financial statements and the related notes included elsewhere in this Quarterly Report on Form 10-Q (the “Form 10-Q”), as well as Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”) included in our Annual Report on Form 10-K for the year ended December 31, 2025 (the “Form 10-K”). All references to “2026,” “2025,” “second quarter,” “first half” or “the period” refer to, as the context requires, the three month and six month periods ended June 30, 2026 and 2025. Forward-Looking Statements and Certain Factors that May Affect Our Business Management has included in Parts I and II of this Form 10-Q, including in its MD&A, statements that are forward-looking statements. In some cases, forward-looking statements can be identified by the use of forward-looking terminology such as “may,” “might,” “will,” “should,” “could,” “would,” “expect,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” “target,” “goal,” “pipeline,” or “continue,” and the negative of these terms and other comparable terminology. These forward-looking statements, which are subject to known and unknown risks, uncertainties and assumptions about us, may include projections of our future financial performance based on our growth strategies, business plans and initiatives and anticipated trends in our business. These forward-looking statements are only predictions based on our current expectations and projections about future events. There are important factors that could cause our actual results, level of activity, performance or achievements to differ materially from the results, level of activity, performance or achievements expressed or implied by the forward-looking statements. These factors include, but are not limited to, those discussed in our Form 10-K under the caption “Risk Factors,” including the following: •adverse general economic conditions or adverse conditions in global or regional financial markets; •changes in international trade policies and practices, including the implementation of tariffs, proposed further tariffs, and responses from other jurisdictions, the risk of potential government shutdowns, and the economic impacts, volatility and uncertainty resulting therefrom; •a decline in our revenues, for example due to a decline in overall M&A activity, our share of the M&A market or our assets under management (“AUM”); •losses caused by financial or other problems experienced by third parties; •losses due to unidentified or unanticipated risks; •a lack of liquidity, i.e., ready access to funds, for use in our businesses; •competitive pressure on our businesses and on our ability to retain and attract employees at current compensation levels; and •changes in relevant tax laws, regulations or treaties or an adverse interpretation of those items. These risks and uncertainties are not exhaustive. Other sections of the Form 10-K and this Form 10-Q describe additional factors that could adversely affect our business and financial performance. Moreover, we operate in a very competitive and rapidly changing environment. New risks and uncertainties emerge from time to time, and it is not possible for our management to predict all risks and uncertainties, nor can management assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. As a result, there can be no assurance that the forward-looking statements included in this Form 10-Q will prove to be accurate or correct. Although we believe the statements reflected in the forward-looking statements are reasonable, we cannot guarantee future results, level of activity, performance, achievements or events. Moreover, neither we nor any other person assumes responsibility for the accuracy or completeness of any of these forward-looking statements. You should not rely upon forward-looking statements as predictions of future events. We are under no duty to update any of these forward-looking statements after the date of this Form 10-Q to conform our prior statements to actual results or revised expectations and we do not intend to do so. Forward-looking statements include, but are not limited to, statements about: •financial objectives, including the ratios of adjusted compensation and benefits expense to adjusted net revenue; •ability to deploy surplus cash through dividends, share repurchases and debt retirements; 43 •ability to offset stockholder dilution through share repurchases; •possible or assumed future results of operations and operating cash flows; •strategies and investment policies; •financing plans and the availability of short-term borrowing; •competitive position; •future acquisitions or other strategic transactions, the pending acquisition of Campbell Lutyens Holdings Limited (“Campbell Lutyens”) (including the consideration to be paid, the expected timing of consummation and the anticipated benefits to the transaction); •potential growth opportunities available to our businesses; •potential impact of investments in our technology infrastructure and data science capabilities; •recruitment and retention of our managing directors and employees; •potential levels of expense, including adjusted compensation and benefits expense, and adjusted non-compensation expense; •potential operating performance, achievements, productivity improvements, efficiency and cost reduction efforts; •likelihood of success and impact of litigation; •expected tax rates, including effective tax rates; •changes in interest and tax rates; •potential impact of AI and related third-party technologies on our business, operations, compliance and reputation; •availability of certain tax benefits, including certain potential deductions; •potential impact of certain events or circumstances on our financial statements and operations; •changes in foreign currency exchange rates; •changes in international trade policies and practices, including the implementation of tariffs, proposed further tariffs, and responses from other jurisdictions, the risk of potential government shutdowns, and the economic impacts, volatility and uncertainty resulting therefrom; •the expected timing and levels of funding of awarded institutional mandates; •the pipeline in M&A, restructuring and other financial advisory transactions; •expectations with respect to the economy, the securities markets, the market for mergers, acquisitions, restructuring, private credit and other financial advisory activity, the market for asset management activity and other macroeconomic, regional and industry trends; •effects of competition on our business; and •impact of new or future legislation and regulation, including tax laws and regulations, on our business. The Company is committed to providing timely and accurate information to the investing public, consistent with our legal and regulatory obligations. To that end, Lazard and its operating companies use their websites and other social media sites to convey information about their businesses, including the anticipated release of quarterly financial results, quarterly financial, statistical and business-related information, and the posting of updates of AUM in various mutual funds, hedge funds and other investment products managed by Lazard Asset Management LLC (together with its subsidiaries) (“LAM”) and Lazard Frères Gestion SAS (“LFG”). Investors can link to Lazard, Inc., Lazard Group and their operating company websites through http://www.lazard.com. Our websites and social media sites and the information contained therein or connected thereto shall not be deemed to be incorporated into this Form 10-Q. Recent Developments On April 30, 2026, the Company entered into a Sale and Purchase Agreement (the “Purchase Agreement”) pursuant to which the Company agreed to acquire all of the issued share capital of Campbell Lutyens, a global private 44 markets advisor focused on fund placement, secondary advisory, and GP capital advisory services. The aggregate consideration for the transaction consists of (i) initial closing consideration of $460 million based on the Company’s stock price at announcement, and subject to adjustments for cash, debt and working capital as of closing; (ii) deferred consideration of $115 million payable on the second anniversary of closing; and (iii) earn-out consideration of up to $85 million based on the achievement of defined performance criteria over a multi-year period and subject to continuing employment by certain selling shareholders. Both initial and deferred consideration include portions that are subject to additional lock-up arrangements. The aggregate consideration is payable in a combination of the Company’s common stock, cash, and loan notes, subject to the terms of the Purchase Agreement, including limitations on share issuance. The transaction is expected to close in the second half of 2026, subject to regulatory approvals and other customary closing conditions. Under certain circumstances, if the Purchase Agreement is terminated, the Company may be required to pay Campbell Lutyens a termination fee of $50 million. Business Summary Founded in 1848, Lazard is a global financial advisory and asset management firm, with operations in North and South America, Europe, the Middle East, Asia, and Australia. Lazard provides advice on mergers and acquisitions, capital markets and capital solutions, restructuring and liability management, geopolitics, and other strategic matters, as well as asset management and investment solutions to institutions, corporations, governments, partnerships, family offices, and high net worth individuals. We aim to deliver independent, differentiated advice and solutions grounded in contextual alpha—the broad insight and judgment needed to navigate macroeconomic, geopolitical, and other factors that we believe help leaders see beyond what the world sees today. Our mission is to provide trusted, independent financial advice and investment solutions to our clients, backed by the intellectual capital of our firm. During our more than 175-year history, we have built a global network of relationships with key decision makers in business, government and investing institutions. This network is both a competitive strength and a powerful resource for Lazard and our clients. As a firm that competes on the quality of our advice, we have two fundamental assets: our people and our reputation. We operate in cyclical businesses across multiple geographies, industries and asset classes. In recent years, we have deepened our sector expertise, enhanced our specialized insights in geopolitical advisory, and increased connectivity to private capital in our financial advisory business. In addition, we have invested in our global investment and distribution platform in our asset management business to further drive performance. Business and government leaders and global investors seek trusted advisors, and we believe that our business model as an independent advisor will continue to create opportunities for us to attract new clients and key personnel. Our principal sources of revenue are derived from activities in the following business segments: •Financial Advisory, which offers corporate, partnership, institutional, government, sovereign and individual clients across the globe a wide array of financial advisory services including M&A advisory, strategic capital solutions, shareholder advisory, sovereign advisory, geopolitical advisory, restructuring and liability management, capital raising and placement, and other strategic matters; and •Asset Management, which offers a broad range of global investment solutions and investment and wealth management services in equity and fixed income strategies, asset allocation strategies, alternative investments and private equity funds to corporations, public funds, sovereign entities, endowments and foundations, labor funds, financial intermediaries and private wealth clients. We also invest our own capital from time to time to seed our Asset Management strategies. In addition, we record selected other activities in our Corporate segment, including cash management, certain investments, deferred tax assets, outstanding indebtedness and certain contingent obligations. See “Business Segments” below for discussion of the adjusted operating results of our Financial Advisory, Asset Management and Corporate segments. Business Environment and Outlook Economic and global financial market conditions can materially affect our financial performance. As described above, our principal sources of revenue are derived from activities in our Financial Advisory and Asset Management business segments. Our Financial Advisory revenues are primarily dependent on the successful completion of merger, 45 acquisition, sale, restructuring, capital raising or similar transactions, and our Asset Management revenues are primarily driven by the levels of AUM. Weak or uncertain global economic and financial market conditions can create a challenging environment for M&A and capital-raising activity and may also pressure our Asset Management business. However, these conditions may generate increased opportunities for our restructuring business. Additionally, heightened equity market volatility can create compelling investment opportunities for Asset Management. We operate in a competitive, global environment. Geopolitical uncertainty, developments in international trade policies and practices, along with shifting domestic governmental priorities, have increased uncertainty relative to prior years. We believe our broad set of capabilities, diversified business model, and the competitive advantage provided by Lazard’s contextual alpha—our ability to incorporate geopolitical, regulatory, and macroeconomic insight into our advice—position us well to meet evolving client needs across varying economic environments. Unpredictability and the potential for related impacts, however, could create or exacerbate market volatility, contribute to weakened economic and business conditions, and reduce our clients’ ability to finalize decision-making or execute on investment priorities. New risks and uncertainties emerge continuously, and it is not possible for our management to predict all risks and uncertainties, nor can we assess the impact of all potentially applicable factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. See Item 1A, “Risk Factors” in our Form 10-K. Furthermore, net income and revenue in any period may not be indicative of full-year results or the results of any other period and may vary significantly from year to year and quarter to quarter. Overall, we continue to focus on the development of our business, including the generation of revenue growth, earnings growth and shareholder returns, the evaluation of potential growth opportunities, the investment in new technology to support the development of existing and new business opportunities, the evaluation of other strategic alternatives, the prudent management of our costs and expenses, the efficient use of our assets and the return of capital to our shareholders. 46 Certain industry-wide market data with respect to our Financial Advisory and Asset Management businesses is included below. Financial Advisory The following table sets forth global M&A and restructuring industry statistics for completed and announced M&A transactions and completed restructuring transactions. Three Months Ended June 30, Six Months Ended June 30, 2026 2025 % Incr / (Decr) 2026 2025 % Incr / (Decr) ($ in billions) Completed M&A Transactions: All deals: Value $ 1,246 $ 964 29 % $ 2,620 $ 1,802 45 % Number 8,719 10,491 (17) % 19,347 20,704 (7) % Deals Greater than $500 million: Value $ 1,061 $ 757 40 % $ 2,210 $ 1,395 58 % Number 357 326 10 % 730 640 14 % Announced M&A Transactions: All deals: Value $ 1,758 $ 1,066 65 % $ 3,184 $ 2,200 45 % Number 9,824 11,155 (12) % 21,370 21,993 (3) % Deals Greater than $500 million: Value $ 1,530 $ 840 82 % $ 2,706 $ 1,763 53 % Number 442 355 25 % 829 701 18 % Completed Restructuring Transactions: All deals: Value $ 43 $ 76 (43) % $ 93 $ 172 (46) % Number 52 100 (48) % 110 207 (47) % ____________________________________ Source: Dealogic as of July 2, 2026. Another measure of global restructuring activity is the number of corporate defaults, which decreased during the first half of 2026 as compared to the first half of 2025. The number of defaulting issuers was 64 in the first half of 2026, according to Moody’s Investors Service, Inc., as compared to 68 in the first half of 2025. Net revenue trends in Financial Advisory are generally correlated to the level of completed industry-wide M&A transactions and restructuring transactions occurring subsequent to corporate debt defaults. However, deviations from this relationship can occur in any given year for a number of reasons. For instance, our results can diverge from industry-wide activity where there are material variances from the level of industry-wide M&A activity in a particular market where Lazard has greater or lesser relative market share, or regarding the relative number of our advisory engagements with respect to larger-sized transactions, and where we are involved in non-public or sovereign advisory assignments. 47 Asset Management The percentage change in major equity market indices at June 30, 2026, as compared to such indices at December 31, 2025 and at June 30, 2025 is shown in the table below: Percentage Changes June 30, 2026 vs. March 31, 2026 December 31, 2025 June 30, 2025 MSCI World Index 14 % 10 % 21 % Euro Stoxx 16 % 12 % 23 % MSCI Emerging Market 24 % 24 % 44 % S&P 500 15 % 10 % 22 % The fees that we receive for providing investment management and advisory services are primarily driven by the level of AUM and the nature of the AUM product mix. Accordingly, market movements, foreign currency exchange rate volatility and changes in our AUM product mix will impact the level of revenues we receive from our Asset Management business when comparing periodic results. A substantial portion of our AUM is invested in equities. Movements in AUM during the period generally reflect the changes in equity market indices. Financial Statement Overview Net Revenue The majority of Lazard’s Financial Advisory net revenue historically has been earned from advice and other services provided in M&A transactions. The amount of the fee earned can vary depending upon the type, size and complexity of the transaction Lazard is advising on. M&A fees can be earned as a retainer, working fee, announcement fee, milestone fee, opinion fee or transaction completion fee. Most fees are paid upon completion of a transaction, the timing of which can be impacted by delays due to securing financing, board approvals, regulatory approvals, shareholder votes, changing market conditions or other factors. Our restructuring and liability management team advises on situations where our clients are financially distressed, providing advice on financial debt restructurings, liability management and M&A. Bankruptcy proceedings may require court approval of our fees. We also advise on both public and private debt and structured equity transactions, while the private capital advisory team provides fundraising and secondary advisory services for private equity, private credit, real estate and real assets-focused investment firms. Additionally, Lazard earns fees from providing strategic advice to clients, which may include shareholder advisory, geopolitical advisory and other strategic advisory matters, with such fees not being dependent on the completion of a transaction. Our Financial Advisory businesses may be impacted by overall M&A activity levels in the market, the level of corporate debt defaults and the environment for capital raising activities, among other factors. Significant fluctuations in Financial Advisory net revenue can occur over the course of any given year, because a significant portion of such net revenue is earned upon the successful completion of a transaction, restructuring or capital raising activity, the timing of which is uncertain and is not subject to Lazard’s control. Lazard’s Asset Management segment principally includes LAM, LFG, Lazard Frères Banque SA (“LFB”) and the Edgewater Funds (“Edgewater”). On February 13, 2026, the Company completed the sale of a controlling stake in the Edgewater management vehicles, resulting in the deconsolidation of the related entities. Asset Management net revenue is derived from fees for investment management and advisory services provided to clients. As noted above, the main driver of Asset Management net revenue is the level and product mix of AUM, which is generally influenced by the performance of the global equity markets and, to a lesser extent, fixed income markets as well as Lazard’s investment performance, which impacts its ability to successfully attract and retain assets. As a result, fluctuations (including timing thereof) in financial markets and client asset inflows and outflows for any reason have a direct effect on Asset Management net revenue and operating income. Asset Management fees are generally based on the level of AUM measured daily, monthly or quarterly, and an increase or reduction in AUM, due to market price fluctuations, currency fluctuations, changes in product mix, or net client asset flows will result in a corresponding increase or decrease in management fees. Our investment advisory contracts are generally terminable at any time or on notice of 30 days or less. Institutional and individual clients, and firms with which we have strategic alliances, can terminate their relationship with us, reduce the aggregate amount of AUM or shift their funds to other types of accounts with different rate structures for a number of reasons, including investment 48 performance, changes in prevailing interest rates and financial market performance. Moreover, it is possible that awarded institutional mandates may not be funded in the amounts and at the times initially anticipated, or at all. In addition, as Lazard’s AUM includes significant amounts of assets that are denominated in currencies other than U.S. Dollars, changes in the value of the U.S. Dollar relative to foreign currencies will impact the value of Lazard’s AUM and the overall amount of management fees generated by the AUM. Fees vary with the type of assets managed and the vehicle in which they are managed, with higher fees earned on equity assets and alternative investment funds, such as hedge funds and private equity funds, and lower fees earned on fixed income and cash management products. The Company earns performance-based incentive fees on various investment products, including traditional products and alternative investment funds, such as hedge funds and private equity funds. For hedge funds, incentive fees are calculated based on a specified percentage of a fund’s net appreciation, in some cases in excess of established benchmarks or thresholds. The Company records incentive fees on traditional products and hedge funds at the end of the relevant performance measurement period, when potential uncertainties regarding the ultimately realizable amounts have been determined. The incentive fee measurement period is generally an annual period (unless an account terminates or redemption occurs during the year). The incentive fees received at the end of the measurement period are not subject to reversal or payback. Incentive fees on hedge funds are often subject to loss carryforward provisions in which losses incurred by the hedge funds in any year are applied against certain gains realized by the hedge funds in future periods before any further incentive fees can be earned. Corporate segment net revenue consists primarily of interest and dividend income and interest expense, as well as gains and losses on investments held in connection with Lazard Fund Interests (“LFI”). In addition, in 2025, Corporate net revenue included investment gains and losses on the Company’s investments to seed strategies in our Asset Management business, net of hedging activities, which beginning in the first quarter of 2026 is reported in the Asset Management segment (comparable prior year information has not been recast because the impact was not material). Corporate net revenue can fluctuate due to changes in the fair value of debt and equity securities, as well as due to changes in interest rates and the levels of cash, investments and indebtedness, among other factors. We use “adjusted net revenue”, a non-GAAP measure, for comparison of revenues between periods. For the reconciliations and calculations with respect to “adjusted net revenue” and related ratios to “adjusted net revenue,” see the table under “Consolidated Results of Operations” below. Operating Expenses The majority of Lazard’s operating expenses relate to compensation and benefits for managing directors and employees. Our compensation and benefits expense includes (i) salaries and benefits, (ii) amortization of the relevant portion of previously granted deferred incentive compensation awards, including (a) share-based incentive compensation under Lazard’s 2018 Incentive Compensation Plan, as amended (the “2018 Plan”) and (b) LFI and other similar deferred compensation arrangements, (iii) a provision for discretionary or guaranteed cash bonuses and profit pools and (iv) when applicable, severance payments and cash retention awards. Compensation expense in any given period is dependent on many factors, including general economic and market conditions, our actual and forecasted operating and financial performance, staffing levels (including investment in strategic senior hires), estimated forfeiture rates, competitive pay conditions and the nature and level of revenues earned, as well as the mix between current and deferred compensation. See Note 13 of Notes to Condensed Consolidated Financial Statements. In the first quarter of 2026, we changed our accounting principle for recognizing compensation expense on certain incentive compensation awards to the straight-line attribution method, which we believe more appropriately reflects the pattern of service provided by the employee. See Note 1 of Notes to Condensed Consolidated Financial Statements. We also changed the vesting period for certain incentive compensation awards granted in the first quarter of 2026, such that they vest to employees ratably over three years. See Note 13 of Notes to Condensed Consolidated Financial Statements. We expect the combined effect of these two changes within compensation and benefits expense to be predominantly offsetting. We use “adjusted compensation and benefits expense” and the ratio of “adjusted compensation and benefits expense” to “adjusted net revenue,” both non-GAAP measures, for comparison of compensation and benefits expense between periods. For the reconciliations and calculations with respect to “adjusted compensation and benefits expense” and related ratios to “adjusted net revenue,” see the table under “Condensed Consolidated Results of Operations” below. 49 Compensation and benefits expense is the largest component of our operating expenses. We seek to maintain discipline with respect to compensation, including the rate at which we award deferred compensation. We focus on a ratio of adjusted compensation and benefits expense to adjusted net revenue to manage costs, balancing a view of current conditions in the market for talent alongside our objective to drive long-term shareholder value. Our practice is to pay our employees competitively to foster retention and motivate performance and, in doing so, we look to the market for talent and other factors, which are typically correlated with industry revenues, but may vary year by year. At the same time, the amount of compensation we award in a particular year is, in part, deferred and amortized over the successive years. Increased competition for professionals, changes in the macroeconomic environment or the financial markets generally, lower adjusted net revenue resulting from, for example, a decrease in M&A activity, our share of the M&A market or our AUM levels, changes in the mix of revenues from our businesses, investments in our businesses or various other factors could prevent us from achieving our compensation objectives. Our operating expenses also include “non-compensation expense”, which includes costs for occupancy and equipment, marketing and business development, technology and information services, professional services, fund administration and outsourced services, and other expenses. Our occupancy costs represent a significant portion of our aggregate operating expenses and are subject to change from time to time, particularly as leases for real property expire and are renewed or replaced with new, long-term leases for the same or other real property. We believe that “adjusted non-compensation expense”, a non-GAAP measure, when presented in conjunction with measures prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”), provides a meaningful and useful basis for our investors to assess our operating results. For calculations with respect to “adjusted non-compensation expense”, see the table under “Consolidated Results of Operations” below. Provision for Income Taxes Lazard, Inc. is subject to U.S. federal income taxes on all of its income and, through its subsidiaries, is also subject to state and local taxes on its income apportioned to various state and local jurisdictions. Lazard Group LLC operates principally through subsidiary corporations including through those domiciled outside the U.S. that are subject to local income taxes in foreign jurisdictions. In addition, Lazard Group LLC is subject to Unincorporated Business Tax attributable to its operations apportioned to New York City. Additionally, the Organization for Economic Cooperation and Development (the “OECD”) reached agreement among various countries, including the EU member states, to establish a 15% minimum tax on certain multinational companies, commonly called “Pillar Two”. We are continuing to monitor Pillar Two legislative developments and their impact on future periods. See “Critical Accounting Policies and Estimates—Income Taxes” below and Notes 15 and 17 of Notes to Condensed Consolidated Financial Statements for additional information regarding income taxes, our deferred tax assets and the tax receivable agreement obligation. Net Income Attributable to Noncontrolling Interests Noncontrolling interests primarily consist of (i) consolidated VIE interests held by employees, and (ii) up to February 13, 2026, amounts related to Edgewater’s management vehicles that the Company was deemed to control but not own. See Notes 12 and 20 of Notes to Condensed Consolidated Financial Statements for information regarding the Company’s noncontrolling interests and consolidated VIEs and Note 1 of Notes to Condensed Consolidated Financial Statements for information regarding the sale and deconsolidation of Edgewater. Consolidated Results of Operations Lazard’s condensed consolidated financial statements are presented in U.S. Dollars. Many of our non-U.S. subsidiaries have a functional currency (i.e., the currency in which operational activities are primarily conducted) that is other than the U.S. Dollar, generally the currency of the country in which the subsidiaries are domiciled. Such subsidiaries’ assets and liabilities are translated into U.S. Dollars using exchange rates as of the respective balance sheet date, while revenue and expenses are translated at average exchange rates during the respective periods based on the daily closing exchange rates. Adjustments that result from translating amounts from a subsidiary’s functional currency are reported as a component of stockholders’ equity. Foreign currency remeasurement gains and losses on transactions in non-functional currencies are included in the condensed consolidated statements of operations. 50 The condensed consolidated financial statements are prepared in conformity with U.S. GAAP. Selected financial data derived from the Company’s reported condensed consolidated results of operations is set forth below, followed by a more detailed discussion of both the consolidated and business segment results. Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 ($ in thousands) Net Revenue $ 807,669 $ 795,997 $ 1,564,251 $ 1,444,048 Operating Expenses: Compensation and benefits 562,409 519,208 1,054,303 949,478 Non-compensation 207,657 183,708 382,771 346,854 Total operating expenses 770,066 702,916 1,437,074 1,296,332 Operating Income 37,603 93,081 127,177 147,716 Provision for income taxes 23,871 31,764 12,882 24,410 Net Income 13,732 61,317 114,295 123,306 Less - Net Income Attributable to Noncontrolling Interests 8,924 5,971 8,571 7,585 Net Income Attributable to Lazard $ 4,808 $ 55,346 $ 105,724 $ 115,721 Operating Income, as a % of net revenue 4.7 % 11.7 % 8.1 % 10.2 % The tables below describe the components of adjusted net revenue, adjusted compensation and benefits expense, adjusted non-compensation expense, adjusted operating income and related key ratios, which are non-GAAP measures used by the Company to manage its business. We believe such non-GAAP measures in conjunction with U.S. GAAP measures provide a meaningful and useful basis for comparison between present, historical and future periods, as described above. Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 ($ in thousands) Lazard, Inc. Adjusted Net Revenue: Net revenue - U.S. GAAP basis $ 807,669 $ 795,997 $ 1,564,251 $ 1,444,048 Adjustments: Revenue related to noncontrolling interests and similar arrangements (a) (9,269) (12,000) (12,895) (18,011) Gains related to LFI and other similar arrangements (b) (9,921) (10,509) (11,703) (15,752) Distribution fees, reimbursable deal costs, provision for credit losses and other (c) (26,925) (24,717) (49,854) (39,298) Interest expense (d) 22,430 21,095 45,158 42,064 Gain on sale and deconsolidation of Edgewater (e) 2,482 – (75,508) – Total adjustments (f) (21,203) (26,131) (104,802) (30,997) Adjusted net revenue (g) $ 786,466 $ 769,866 1,459,449 1,413,051 ____________________________________ (a)Revenue related to the consolidation of noncontrolling interests and similar arrangements are excluded from adjusted net revenue because the Company has no economic interest in such amounts. (b)Represents changes in the fair value of investments held in connection with LFI and other similar deferred compensation arrangements, for which a corresponding equal amount is excluded from compensation and benefits expense. 51 (c)Represents certain distribution, introducer and management fees paid to third parties, reimbursable deal costs and provision for credit losses relating to fees and other receivables that are deemed uncollectible, for which an equal amount is excluded for purposes of determining adjusted non-compensation expense. (d)Interest expense (excluding interest expense incurred by LFB) is added back in determining adjusted net revenue because such expense relates to corporate financing activities and is not considered to be a cost directly related to the revenue of our business. (e)Represents a non-cash gain on the sale and deconsolidation of the Edgewater management vehicles. (f)Total adjustments equal the “other segment items” in Note 19 of Notes to Condensed Consolidated Financial Statements. (g)Adjusted net revenue is a non-GAAP measure. Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 ($ in thousands) Lazard, Inc. Adjusted Compensation and Benefits Expense: Total compensation and benefits expense $ 562,409 $ 519,208 $ 1,054,303 $ 949,478 Adjustments: Compensation and benefits expense related to noncontrolling interests and similar arrangements (a) (142) (4,436) (3,012) (8,177) Charges pertaining to LFI and other similar arrangements (b) (9,921) (10,509) (11,703) (15,752) Expenses associated with senior management transition (c) (2,775) – (19,433) – Adjusted compensation and benefits expense (d) $ 549,571 $ 504,263 $ 1,020,155 $ 925,549 Adjusted compensation and benefits expense, as a % of adjusted net revenue (d) 69.9 % 65.5 % 69.9 % 65.5 % ____________________________________ (a)Expenses related to the consolidation of noncontrolling interests and similar arrangements are excluded because the Company has no economic interest in such amounts. (b)Represents changes in the fair value of the compensation liability recorded in connection with LFI and other similar deferred incentive compensation awards, for which a corresponding equal amount is excluded from adjusted net revenue. (c)Represents expenses associated with the departure of certain executive officers. (d)Adjusted compensation and benefits expense and adjusted compensation and benefits expense, as a percentage of adjusted net revenue are non-GAAP measures. 52 Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 ($ in thousands) Lazard, Inc. Adjusted Non-Compensation Expense: Total non-compensation expense $ 207,657 $ 183,708 $ 382,771 $ 346,854 Adjustments: Non-compensation expense related to noncontrolling interests and similar arrangements (a) (204) (1,594) (1,314) (2,251) Distribution fees, reimbursable deal costs, provision for credit losses and other (b) (26,925) (24,717) (49,854) (39,298) Expenses related to the pending acquisition of Campbell Lutyens (c) (8,808) – (11,208) – Other – (26) – (52) Adjusted non-compensation expense (d) $ 171,720 $ 157,371 $ 320,395 $ 305,253 Adjusted non-compensation expense, as a % of adjusted net revenue (d) 21.8 % 20.4 % 22.0 % 21.6 % ____________________________________ (a)Expenses related to the consolidation of noncontrolling interests and similar arrangements are excluded because the Company has no economic interest in such amounts. (b)Represents certain distribution, introducer and management fees paid to third parties, reimbursable deal costs and provision for credit losses relating to fees and other receivables that are deemed uncollectible, for which an equal amount is included for purposes of determining adjusted net revenue. (c)Represents expenses related to the pending acquisition of Campbell Lutyens. (d)Adjusted non-compensation expense and adjusted non-compensation expense, as a percentage of adjusted net revenue are non-GAAP measures. Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 ($ in thousands) Lazard, Inc. Adjusted Operating Income: Operating income $ 37,603 $ 93,081 $ 127,177 $ 147,716 Adjustments: Operating income related to noncontrolling interests and similar arrangements (8,923) (5,970) (8,569) (7,583) Interest expense 22,430 21,095 45,158 42,064 Other – 26 – 52 Gain on sale and deconsolidation of Edgewater 2,482 – (75,508) – Expenses associated with senior management transition 2,775 – 19,433 – Expenses related to the pending acquisition of Campbell Lutyens 8,808 – 11,208 – Adjusted operating income (a) $ 65,175 $ 108,232 $ 118,899 $ 182,249 Adjusted operating income, as a % of adjusted net revenue (a) 8.3 % 14.1 % 8.1 % 12.9 % ____________________________________ (a)Adjusted operating income and adjusted operating income, as a percentage of adjusted net revenue are non-GAAP measures. 53 Headcount information is set forth below: As of June 30, 2026 December 31, 2025 June 30, 2025 Headcount: Managing Directors: Financial Advisory 226 216 204 Asset Management 131 124 129 Corporate 20 22 22 Total Managing Directors 377 362 355 Other Business Segment Professionals and Support Staff: Financial Advisory 1,359 1,358 1,312 Asset Management 1,124 1,160 1,140 Corporate 419 429 427 Total 3,279 3,309 3,234 Lazard, Inc. Operating Results The Company’s quarterly revenue and profits can fluctuate materially depending on the number, size and timing of completed transactions on which it advised, as well as seasonality, the performance of equity markets and other factors. Accordingly, the revenue and profits in any particular quarter may not be indicative of future results. Lazard management believes that annual results are the most meaningful basis for comparison among present, historical and future periods. Three Months Ended June 30, 2026 versus June 30, 2025 Net revenue increased $12 million, or 1%, with adjusted net revenue increasing $17 million, or 2%, as compared to the 2025 period. Investment banking and other advisory fees decreased $45 million, or 9%, as compared to the 2025 period. Asset management fees, including incentive fees, increased $59 million, or 22%, as compared to the 2025 period. In the aggregate, interest income, other revenue and interest expense decreased $3 million as compared to the 2025 period. Compensation and benefits expense increased $43 million, or 8%, as compared to the 2025 period. Adjusted compensation and benefits expense (which excludes certain items and which we believe allows for improved comparability between periods, as described above) was $550 million, an increase of $45 million, or 9%, as compared to $504 million in the 2025 period. The ratio of adjusted compensation and benefits expense to adjusted net revenue was 69.9% for the 2026 period, as compared to 65.5% for the 2025 period. Non-compensation expense, which includes $9 million of expenses related to the pending acquisition of Campbell Lutyens, increased $24 million, or 13%, as compared to the 2025 period. Adjusted non-compensation expense increased $14 million, or 9%, as compared to the 2025 period. Such increases in non-compensation expense and adjusted non-compensation expense were primarily due to increased fund administration and outsourced services and marketing and business development expenses. The ratio of adjusted non-compensation expense to adjusted net revenue was 21.8% for the 2026 period, as compared to 20.4% for the 2025 period. Operating income decreased $55 million, or 60%, as compared to the 2025 period. Adjusted operating income decreased $43 million, or 40%, as compared to the 2025 period, and, as a percentage of adjusted net revenue, was 8.3% for the 2026 period, as compared to 14.1% in the 2025 period. The provision for income taxes reflects an effective tax rate of 63.5%, as compared to 34.1% for the 2025 period. The change in the effective tax rate compared to the 2025 period principally relates to changes in the geographic mix of earnings and certain elevated factors, including the effect of a current period catch-up adjustment from the tax benefit related to the vesting of share-based incentive compensation awards in the first quarter of 2026. Net income attributable to noncontrolling interests increased $3 million, or 49%, as compared to the 2025 period. 54 The Company reported net income attributable to Lazard of $5 million, as compared to net income attributable to Lazard of $55 million in the 2025 period. Six Months Ended June 30, 2026 versus June 30, 2025 Net revenue increased $120 million, or 8%, with adjusted net revenue increasing $46 million, or 3%, as compared to the 2025 period. Fee revenue from investment banking and other advisory activities decreased $48 million, or 6%, as compared to the 2025 period. Asset management fees, including incentive fees, increased $122 million, or 23%, as compared to the 2025 period. In the aggregate, interest income, other revenue and interest expense increased $46 million, as compared to the 2025 period primarily due to a non-cash gain of $76 million on the sale and deconsolidation of the Edgewater management vehicles in the 2026 period. Compensation and benefits expense increased $105 million, or 11%, as compared to the 2025 period. Adjusted compensation and benefits expense (which excludes certain items and which we believe allows for improved comparability between periods, as described above) was $1,020 million, an increase of $95 million, or 10%, as compared to $926 million in the 2025 period. The ratio of adjusted compensation and benefits expense to adjusted net revenue was 69.9% for the 2026 period, as compared to 65.5% for the 2025 period. Non-compensation expense, which includes $11 million of expenses related to the pending acquisition of Campbell Lutyens, increased $36 million, or 10%, as compared to the 2025 period. Adjusted non-compensation expense increased $15 million, or 5%, as compared to the 2025 period. Such increases in non-compensation expense and adjusted non-compensation expense were primarily due to increased fund administration and outsourced services, technology and information services and marketing and business development expenses. The ratio of adjusted non-compensation expense to adjusted net revenue was 22.0% for the 2026 period, as compared to 21.6% for the 2025 period. Operating income decreased $21 million, or 14%, as compared to the 2025 period. Adjusted operating income decreased $63 million, or 35%, as compared to the 2025 period, and, as a percentage of adjusted net revenue, was 8.1% for the 2026 period, as compared to 12.9% in the 2025 period. The provision for income taxes reflects an effective tax rate of 10.1%, as compared to 16.5% for the 2025 period. The change in the effective tax rate compared to the 2025 period principally relates to the impact of discrete tax benefits for share-based incentive compensation awards during the first quarter and changes in the geographic mix of earnings. Net income attributable to noncontrolling interests increased $1 million, or 13%, as compared to the 2025 period. The Company reported net income attributable to Lazard of $106 million, as compared to net income attributable to Lazard of $116 million in the 2025 period. For additional discussion of the drivers of our adjusted operating results for the period, see “Business Segments” below. Business Segments The following is a discussion of net revenue, adjusted net revenue, adjusted compensation and benefits expense, adjusted non-compensation expense, and adjusted operating income (loss) for the Company’s segments: Financial Advisory, Asset Management and Corporate. Adjusted compensation and benefits expense and adjusted non-compensation expense include costs directly incurred by each segment, with certain adjustments. Adjusted net revenue, adjusted operating income (loss), and adjusted operating income as a percentage of adjusted net revenue, are non-GAAP measures in the tables below. 55 Financial Advisory The following table summarizes the adjusted operating results attributable to the Financial Advisory segment: Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 ($ in thousands) Net revenue - U.S. GAAP basis $ 450,167 $ 497,306 $ 809,735 $ 864,665 Adjustments: Reimbursable deal costs, provision for credit losses and other (4,848) (5,952) (8,247) (3,771) Interest expense – 5 – 8 Total adjustments (a) (4,848) (5,947) (8,247) (3,763) Adjusted net revenue (b) 445,319 491,359 801,488 860,902 Adjusted compensation and benefits expense 312,735 317,036 582,682 557,004 Adjusted non-compensation expense 59,141 52,426 110,226 104,987 Adjusted operating income (b) $ 73,443 $ 121,897 $ 108,580 $ 198,911 Adjusted operating income, as a % of adjusted net revenue (b) 16.5 % 24.8 % 13.5 % 23.1 % _______________________________________ (a)Total adjustments equal the “other segment items” in Note 19 of Notes to Condensed Consolidated Financial Statements. See “Consolidated Results of Operations” above for further information on the adjustments. (b)Adjusted net revenue, adjusted operating income, and adjusted operating income as a percentage of adjusted net revenue are non-GAAP measures. Certain Lazard fee and transaction statistics for the Financial Advisory segment are set forth below: Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Lazard Statistics: Number of clients with fees greater than $1 million: Financial Advisory 93 99 160 177 Percentage of total Financial Advisory net revenue from top 10 clients 34 % 36 % 25 % 26 % Number of M&A transactions completed with values greater than $500 million (a) 15 16 29 36 ________________________________________ (a)Source: Dealogic as of July 2, 2026. 56 The geographical distribution of Financial Advisory adjusted net revenue is set forth below in percentage terms and is based on the Lazard offices that generate Financial Advisory adjusted net revenue and therefore may not be reflective of the geography in which the clients are located. Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Americas 64 % 56 % 62 % 60 % EMEA 36 43 38 39 Asia Pacific – 1 – 1 Total 100 % 100 % 100 % 100 % The Company’s managing directors and many of its professionals have significant experience, and many of them are able to use this experience to advise on a combination of M&A, restructuring and other strategic advisory matters, depending on clients’ needs. This adaptability enables Lazard to more effectively deploy its professionals based on the often counter-cyclical nature of restructuring as compared to our M&A business. While Lazard measures revenue by practice area, Lazard does not separately measure the costs or profitability of M&A services as compared to restructuring or other services. Accordingly, Lazard measures performance in its Financial Advisory segment based on overall segment adjusted net revenue and adjusted operating income margins. Financial Advisory Results of Operations Financial Advisory’s quarterly revenue and profits can fluctuate materially depending on the number, size and timing of completed transactions on which it advised, as well as seasonality and other factors. Accordingly, the revenue and profits in any particular quarter or period may not be indicative of future results. Lazard management believes that annual results are the most meaningful basis for comparison among present, historical and future periods. Three Months Ended June 30, 2026 versus June 30, 2025 Financial Advisory net revenue decreased $47 million, or 9%, as compared to the 2025 period. Financial Advisory adjusted net revenue decreased $46 million, or 9%, as compared to the 2025 period. The decreases in Financial Advisory net revenue and adjusted net revenue reflected lower fees from M&A transactions as compared to the 2025 period. Adjusted compensation and benefits expense decreased $4 million, or 1%, as compared to the 2025 period, as increases related to our ongoing investment in strategic senior hires were more than offset by the effect of reduced revenues. Adjusted non-compensation expense increased $7 million, or 13%, as compared to the 2025 period primarily due to an increase in travel and entertainment. Adjusted operating income was $73 million, a decrease of $48 million, or 40%, as compared to adjusted operating income of $122 million in the 2025 period, and, as a percentage of adjusted net revenue, was 16.5%, as compared to 24.8% in the 2025 period. Six Months Ended June 30, 2026 versus June 30, 2025 Financial Advisory net revenue decreased $55 million, or 6%, as compared to the 2025 period. Financial Advisory adjusted net revenue decreased $59 million, or 7%, as compared to the 2025 period. The decreases in Financial Advisory net revenue and adjusted net revenue reflected lower fees from M&A transactions as compared to the 2025 period. Adjusted compensation and benefits expense increased $26 million, or 5%, as compared to the 2025 period, primarily driven by our ongoing investment in strategic senior hires. Adjusted non-compensation expense increased $5 million, or 5%, as compared to the 2025 period primarily due to an increase in travel and entertainment and recruitment fees. 57 Adjusted operating income was $109 million, a decrease of $90 million, or 45%, as compared to adjusted operating income of $199 million in the 2025 period, and, as a percentage of adjusted net revenue, was 13.5%, as compared to 23.1% in the 2025 period. Asset Management Assets Under Management AUM primarily consists of debt and equity instruments, which have a value that is readily available based on either prices quoted on a recognized exchange or prices provided by external pricing services. Prices of equity and debt securities and other instruments that comprise our AUM are provided by independent, third-party vendors. Such third-party vendors rely on prices provided by external pricing services which are obtained from recognized exchanges or markets, or, for certain fixed income securities, from evaluated bids or other similarly sourced prices. Either directly, or through our third-party vendors, we perform a variety of regular due diligence procedures on our pricing service providers. The following table shows the composition of AUM for the Asset Management segment (see Item 1, “Business—Principal Business Lines—Asset Management—Investment Strategies” in our Form 10-K): As of June 30, 2026 December 31, 2025 (a) ($ in millions) AUM by Asset Class: Equity: Emerging Markets $ 51,153 $ 41,146 Global / International 136,748 117,746 U.S. 26,467 25,580 Total Equity 214,368 184,472 Fixed Income 34,977 35,065 Multi Asset 24,480 24,783 Alternative Investments 10,825 9,980 Total AUM $ 284,650 $ 254,300 _______________________________________ (a)In 2026, AUM asset classes have been expanded to include a multi asset classification. The comparable prior period information has been recast to reflect the current presentation. Total AUM at June 30, 2026 was $285 billion, an increase of $31 billion, or 12%, as compared to total AUM of $254 billion at December 31, 2025 primarily due to market appreciation and net inflows and an increase attributable to acquiring a controlling interest in Elaia Partners, a venture capital asset management entity (“Elaia”), partially offset by foreign exchange depreciation and the sale and deconsolidation of the Edgewater management vehicles. Average AUM for the second quarter of 2026 increased 17% as compared to the three month period ended June 30, 2025, and average AUM for the first six months of 2026 increased 16% as compared to the six month period ended June 30, 2025. As of both June 30, 2026 and December 31, 2025, approximately 46% of our AUM was managed on behalf of institutional clients, including corporations, labor unions, pension funds, insurance companies, Endowments and Foundations (E&F)/Healthcare and also includes certain Family Office clients. As of June 30, 2026, approximately 45% of our AUM was managed on behalf of financial intermediary clients, including banks, mutual fund sponsors, sub-advisory relationships, broker-dealers, wealth platforms, registered investment advisors (RIAs), and other investors in pooled vehicles as compared to approximately 44% as of December 31, 2025. As of June 30, 2026, approximately 9% of our AUM was managed on behalf of individual client relationships, compared to approximately 10% as of December 31, 2025. 58 As of June 30, 2026, AUM with foreign currency exposure represented approximately 68% of our total AUM as compared to 67% at December 31, 2025. AUM with foreign currency exposure generally declines in value with the strengthening of the U.S. Dollar and increases in value as the U.S. Dollar weakens, with all other factors held constant. The following is a summary of changes in AUM by asset class for the three month and six month periods ended June 30, 2026 and 2025: Three Months Ended June 30, 2026 AUM Beginning Balance Inflows Outflows Net Flows Acquisitions/Divestitures (a) Market Value Appreciation/ (Depreciation) Foreign Exchange Appreciation/ (Depreciation) AUM Ending Balance ($ in millions) Equity $ 193,049 $ 10,998 $ (12,772) $ (1,774) $ – $ 23,735 $ (642) $ 214,368 Fixed Income 34,423 1,752 (2,223) (471) – 1,221 (196) 34,977 Multi Asset 23,113 632 (764) (132) – 1,690 (191) 24,480 Alternative Investments 8,602 1,142 (379) 763 1,033 465 (38) 10,825 Total $ 259,187 $ 14,524 $ (16,138) $ (1,614) $ 1,033 $ 27,111 $ (1,067) $ 284,650 ______________________________________ (a)Related to the acquisition of a controlling interest in and consolidation of Elaia. For the three months ended June 30, 2026, net flows were primarily driven by the US Equity and Alternative Investments platforms. Six Months Ended June 30, 2026 (a) AUM Beginning Balance Inflows Outflows Net Flows Acquisitions/Divestitures (b) Market Value Appreciation/ (Depreciation) Foreign Exchange Appreciation/ (Depreciation) AUM Ending Balance ($ in millions) Equity $ 184,472 $ 30,438 $ (23,352) $ 7,086 $ – $ 25,415 $ (2,605) $ 214,368 Fixed Income 35,065 3,963 (4,156) (193) – 817 (712) 34,977 Multi Asset 24,783 1,181 (1,572) (391) – 713 (625) 24,480 Alternative Investments 9,980 1,536 (647) 889 (459) 520 (105) 10,825 Total $ 254,300 $ 37,118 $ (29,727) $ 7,391 $ (459) $ 27,465 $ (4,047) $ 284,650 _______________________________________ (a)In 2026, AUM asset classes have been expanded to include a multi asset classification. The comparable prior period information has been recast to reflect the current presentation. (b)Related to the sale and deconsolidation of the Edgewater management vehicles and the acquisition of a controlling interest in and consolidation of Elaia. For the six months ended June 30, 2026, net flows were primarily driven by the Global/International Equity and Alternative Investments platforms. 59 Three Months Ended June 30, 2025 (a) AUM Beginning Balance Inflows Outflows Net Flows Acquisitions/Divestitures Market Value Appreciation/ (Depreciation) Foreign Exchange Appreciation/ (Depreciation) AUM Ending Balance ($ in millions) Equity $ 163,330 $ 14,522 $ (13,649) $ 873 $ – $ 10,745 $ 4,692 $ 179,640 Fixed Income 32,287 1,888 (2,098) (210) – 561 1,896 34,534 Multi Asset 22,990 627 (880) (253) – 533 1,560 24,830 Alternative Investments 8,820 442 (175) 267 – 47 222 9,356 Total $ 227,427 $ 17,479 $ (16,802) $ 677 $ – $ 11,886 $ 8,370 $ 248,360 _______________________________________ (a)In 2026, AUM asset classes have been expanded to include a multi asset classification. The comparable prior period information has been recast to reflect the current presentation. Six Months Ended June 30, 2025 (a) AUM Beginning Balance Inflows Outflows Net Flows Acquisitions/Divestitures Market Value Appreciation/ (Depreciation) Foreign Exchange Appreciation/ (Depreciation) AUM Ending Balance ($ in millions) Equity $ 162,901 $ 22,153 $ (23,251) $ (1,098) $ – $ 10,922 $ 6,915 $ 179,640 Fixed Income 32,730 3,933 (5,777) (1,844) – 861 2,787 34,534 Multi Asset 22,133 1,277 (1,624) (347) – 759 2,285 24,830 Alternative Investments 8,557 750 (443) 307 – 169 323 9,356 Total $ 226,321 $ 28,113 $ (31,095) $ (2,982) $ – $ 12,711 $ 12,310 $ 248,360 _______________________________________ (a)In 2026, AUM asset classes have been expanded to include a multi asset classification. The comparable prior period information has been recast to reflect the current presentation. Average AUM for the three month and six month periods ended June 30, 2026 and 2025 for each significant asset class is set forth below. Average AUM generally represents the average of the monthly ending AUM balances for the period. Three Months Ended June 30, (a) Six Months Ended June 30, (a) 2026 2025 2026 2025 ($ in millions) Average AUM by Asset Class: Equity $ 210,297 $ 172,472 $ 202,621 $ 169,369 Fixed Income 35,398 33,307 35,337 33,292 Multi Asset 23,784 23,555 23,997 22,978 Alternative Investments 9,637 9,218 9,211 8,981 Total Average AUM $ 279,116 $ 238,552 $ 271,166 $ 234,620 _______________________________________ (a)In 2026, AUM asset classes have been expanded to include a multi asset classification. The comparable prior period information has been recast to reflect the current presentation. 60 The following table summarizes the adjusted operating results attributable to the Asset Management segment: Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 ($ in thousands) Net revenue - U.S. GAAP basis $ 351,031 $ 292,478 $ 760,794 $ 580,578 Adjustments: Revenue related to noncontrolling interests and similar arrangements (147) (5,225) (3,593) (12,075) Distribution fees and other (22,077) (18,765) (41,607) (35,527) Interest expense 19 3 60 9 Gain on sale and deconsolidation of Edgewater (a) 2,482 – (75,508) – Total adjustments (b) $ (19,723) $ (23,987) $ (120,648) $ (47,593) Adjusted net revenue (c) 331,308 268,491 640,146 532,985 Adjusted compensation and benefits expense 185,287 139,655 345,679 282,482 Adjusted non-compensation expense 71,596 63,597 135,399 122,808 Adjusted operating income (c) $ 74,425 $ 65,239 $ 159,068 $ 127,695 Adjusted operating income, as a % of adjusted net revenue (c) 22.5 % 24.3 % 24.8 % 24.0 % _______________________________________ (a)Represents a non-cash gain on the sale and deconsolidation of the Edgewater management vehicles. (b)Total adjustments equal the “other segment items” in Note 19 of Notes to Condensed Consolidated Financial Statements. See “Consolidated Results of Operations” above for further information on the adjustments. (c)Adjusted net revenue, adjusted operating income, and adjusted operating income as a percentage of adjusted net revenue are non-GAAP measures. The geographical distribution of Asset Management adjusted net revenue is set forth below in percentage terms, and is based on the Lazard offices that manage and distribute the respective AUM amounts. Such geographical distribution may not be reflective of the geography of the investment products or clients. Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Americas 45 % 42 % 43 % 41 % EMEA 40 44 42 45 Asia Pacific 15 14 15 14 Total 100 % 100 % 100 % 100 % Asset Management Results of Operations Asset Management’s quarterly revenue and profits in any particular quarter or period may not be indicative of future results and may fluctuate based on the performance of the equity and other capital markets. Lazard management believes that annual results are the most meaningful basis for comparison among present, historical and future periods. Three Months Ended June 30, 2026 versus June 30, 2025 Asset Management net revenue increased $59 million, or 20%, as compared to the 2025 period. Asset Management adjusted net revenue increased $63 million, or 23%, as compared to the 2025 period. Management fees, on an adjusted basis, were $310 million, an increase of $58 million, or 23%, as compared to $252 million in the 2025 period primarily due to an increase in average AUM and product mix. Incentive fees, on an adjusted basis, were $5 million, an 61 increase of $1 million as compared to $4 million in the 2025 period. Other revenue, on an adjusted basis, was $16 million, an increase of $3 million as compared to $13 million in the 2025 period. Adjusted compensation and benefits expense increased $46 million, or 33%, as compared to the 2025 period primarily driven by increased adjusted net revenue. Adjusted non-compensation expense increased $8 million, or 13%, as compared to the 2025 period primarily due to higher mutual fund servicing fees, which were largely driven by an increase in AUM. Asset Management adjusted operating income was $74 million, an increase of $9 million, or 14%, as compared to adjusted operating income of $65 million in the 2025 period, and, as a percentage of adjusted net revenue, was 22.5%, as compared to 24.3% in the 2025 period. Six Months Ended June 30, 2026 versus June 30, 2025 Asset Management net revenue, which included a non-cash gain of $76 million on the sale and deconsolidation of the Edgewater management vehicles in the first quarter of 2026, increased $180 million, or 31%, as compared to the 2025 period. Asset Management adjusted net revenue increased $107 million, or 20%, as compared to the 2025 period. Management fees, on an adjusted basis, were $606 million, an increase of $116 million, or 24%, as compared to $490 million in the 2025 period primarily due to an increase in average AUM and product mix. Incentive fees, on an adjusted basis, were $17 million, an increase of $4 million as compared to $13 million in the 2025 period. Other revenue, on an adjusted basis, was $17 million, a decrease of $13 million as compared to $31 million in the 2025 period. Adjusted compensation and benefits expense increased $63 million, or 22%, as compared to the 2025 period primarily driven by increased adjusted net revenue. Adjusted non-compensation expense increased $13 million, or 10%, as compared to the 2025 period primarily due to higher mutual fund servicing fees, which were largely driven by an increase in AUM, and investments in technology. Asset Management adjusted operating income was $159 million, an increase of $31 million, or 25%, as compared to adjusted operating income of $128 million in the 2025 period, and, as a percentage of adjusted net revenue, was 24.8%, as compared to 24.0% in the 2025 period. Corporate The following table summarizes the reported adjusted operating results attributable to the Corporate segment: Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 ($ in thousands) Net revenue (loss) - U.S. GAAP basis $ 6,471 $ 6,213 $ (6,278) $ (1,195) Adjustments: Revenue related to noncontrolling interests and similar arrangements (9,122) (6,775) (9,302) (5,936) Gains related to LFI and other similar arrangements (9,921) (10,509) (11,703) (15,752) Interest expense 22,411 21,087 45,098 42,047 Total adjustments (a) 3,368 3,803 24,093 20,359 Adjusted net revenue (b) 9,839 10,016 17,815 19,164 Adjusted compensation and benefits expense 51,549 47,572 91,794 86,063 Adjusted non-compensation expense 40,983 41,348 74,770 77,458 Adjusted operating loss (b) $ (82,693) $ (78,904) $ (148,749) $ (144,357) _________________________________ (a)Total adjustments equal the “other segment items” in Note 19 of Notes to Condensed Consolidated Financial Statements. See “Consolidated Results of Operations” above for further information on the adjustments. 62 (b)Adjusted net revenue and adjusted operating loss are non-GAAP measures. Corporate Results of Operations Corporate’s quarterly results in any particular quarter or period may not be indicative of future results and may fluctuate based on a variety of factors. Lazard management believes that annual results are the most meaningful basis for comparison among present, historical and future periods. Three Months Ended June 30, 2026 versus June 30, 2025 Corporate net revenue and Corporate adjusted net revenue were substantially the same as compared to the 2025 period. Adjusted compensation and benefits expense, including centrally managed costs, increased $4 million, or 8%, as compared to the 2025 period. Adjusted non-compensation expense, including centrally managed costs, was substantially the same as compared to the 2025 period. Six Months Ended June 30, 2026 versus June 30, 2025 Corporate net revenue decreased $5 million as compared to the 2025 period. Corporate adjusted net revenue decreased $1 million, or 7%, as compared to the 2025 period. Adjusted compensation and benefits expense, including centrally managed costs, increased $6 million, or 7%, as compared to the 2025 period. Adjusted non-compensation expense, including centrally managed costs, decreased $3 million, or 3%, as compared to the 2025 period. Cash Flows The Company’s cash flows are influenced primarily by the timing of the receipt of Financial Advisory and Asset Management fees, the timing of distributions to shareholders, payments of incentive compensation to managing directors and employees and purchases of common stock. M&A and other advisory and Asset Management fees are generally collected within 60 days of billing, while Restructuring fee collections may extend beyond 60 days, particularly those that involve bankruptcies with court-ordered holdbacks. Fees from our Private Capital Advisory activities are generally collected over a four-year period from billing and typically include an interest component. The Company makes cash payments for a significant portion of its compensation with respect to the prior year’s results during the first three months of each calendar year. See the Condensed Consolidated Financial Statements—Consolidated Statements of Cash Flows for further detail. 63 Summary of Cash Flows: Six Months Ended June 30, 2026 2025 ($ in millions) Cash Provided By (Used In): Operating activities: Net income $ 114 $ 123 Adjustments to reconcile net income to net cash provided by operating activities (a) 235 265 Other operating activities (b) (365) (556) Net cash used in operating activities (16) (168) Investing activities (51) (49) Financing activities (c) (278) (231) Effect of exchange rate changes (23) 87 Net Decrease in Cash and Cash Equivalents and Restricted Cash (368) (361) Cash and Cash Equivalents and Restricted Cash (d): Beginning of Period 1,671 1,609 End of Period $ 1,303 $ 1,248 ________________________________________ (a)Consists primarily of amortization of deferred expenses and share-based incentive compensation, noncash lease expenses, depreciation and amortization of property, deferred tax benefit, and in 2026, a gain on the sale and deconsolidation of business. (b)Includes net changes in operating assets and liabilities. (c)Consists primarily of purchases of shares of common stock, tax withholdings related to the settlement of vested RSUs, common stock dividends, changes in customer deposits, and activity related to borrowings. (d)Consists of cash and cash equivalents, deposits with banks and short-term investments and restricted cash. Liquidity and Capital Resources Sources and Uses of Liquidity Net revenue, operating income and cash receipts fluctuate significantly between periods and could be affected by various risks and uncertainties. While cash flow from Asset Management activities is relatively stable, in the case of Financial Advisory, fee receipts are generally dependent upon the successful completion of client transactions, the occurrence and timing of which is not subject to Lazard’s control. Liquidity is significantly impacted by cash payments for compensation, a significant portion of which are made during the first three months of the year. As a consequence, cash on hand generally declines in the beginning of the year and gradually builds over the remainder of the year. We also make payments during the year on behalf of certain managing directors for their estimated taxes, which serve to reduce their respective incentive compensation payments. Liquidity is also affected by the level of LFB customer-related demand deposits, primarily from clients and funds managed by LFG. To the extent that such deposits rise or fall, and assuming unchanged asset allocation, this has a corresponding impact on liquidity held at LFB, with the majority of such amounts generally being recorded in “deposits with banks and short-term investments”. LFB is subject to, and in compliance with, regulatory liquidity coverage ratios and liquidity levels are monitored on a daily basis. We regularly monitor our liquidity position, including cash levels, lease obligations, investments and related hedges, credit lines, commitments related to business acquisitions (see Recent Developments) and principal investments, interest and principal payments on debt, capital expenditures, dividend payments, purchases of shares of common stock, compensation and other matters relating to liquidity and compliance with regulatory net capital requirements. At June 30, 2026, Lazard had approximately $1,100 million of cash and cash equivalents, including approximately $553 million held at Lazard’s operations outside the U.S. Lazard provides for income taxes on substantially all of its foreign earnings and we 64 expect that no material amount of additional taxes would be recognized upon receipt of dividends or distributions of such earnings from our foreign operations. As of June 30, 2026, the Company’s remaining lease obligations were $42 million for 2026 (July 1 through December 31), $162 million from 2027 through 2028, $145 million from 2029 through 2030 and $206 million from 2031 through 2039. In addition, as discussed in Note 11 of Notes to Condensed Consolidated Financial Statements, we entered into a lease agreement for additional office facilities that have not yet commenced, with aggregate undiscounted future lease payments of approximately $100 million. As of June 30, 2026, Lazard had approximately $210 million in unused lines of credit available to it, including a $200 million, five-year, senior revolving credit facility under the Second Amended and Restated Credit Agreement, among Lazard Group LLC, the banks from time to time party thereto and Citibank, N.A., as Administrative Agent (as amended from time to time, the “Second Amended and Restated Credit Agreement”). The Second Amended and Restated Credit Agreement contains customary terms and conditions, including limitations on consolidations, mergers, indebtedness and certain payments, as well as financial condition covenants relating to leverage and interest coverage ratios. Lazard Group’s obligations under the Second Amended and Restated Credit Agreement may be accelerated upon customary events of default, including non-payment of principal or interest, breaches of covenants, cross-defaults to other material debt, a change in control and specified bankruptcy events. Borrowings under the Second Amended and Restated Credit Agreement generally will bear interest at adjusted term SOFR plus an applicable margin for specific interest periods determined based on Lazard Group’s highest credit rating from an internationally recognized credit agency. The Second Amended and Restated Credit Agreement includes financial covenants that require that Lazard Group LLC not permit (i) its Consolidated Leverage Ratio (as defined in the Second Amended and Restated Credit Agreement) for the 12-month period ending on the last day of any fiscal quarter to be greater than 3.25 to 1.00, provided that the Consolidated Leverage Ratio may be greater than 3.25 to 1.00 for four (consecutive or nonconsecutive) quarters so long as it is not greater than 3.50 to 1.00 on the last day of any such quarter, or (ii) its Consolidated Interest Coverage Ratio (as defined in the Second Amended and Restated Credit Agreement) for the 12-month period ending on the last day of any fiscal quarter to be less than 3.00 to 1.00. No amounts were outstanding under the Second Amended and Restated Credit Agreement as of June 30, 2026. In addition, the Second Amended and Restated Credit Agreement contains certain other covenants (none of which relate to financial condition), events of default and other customary provisions. At June 30, 2026, the Company was in compliance with all financial and nonfinancial provisions. Lazard’s annual cash flow generated from operations historically has been sufficient to enable it to meet its annual obligations. We believe that the sources of liquidity described above should be sufficient for us to fund our current obligations for the next 12 months. See also Notes 11, 13, 14, 15, 17 and 18 of Notes to Condensed Consolidated Financial Statements regarding information in connection with commitments, incentive plans, employee benefit plans, income taxes, tax receivable agreement obligations and regulatory requirements, respectively. 65 Senior Debt The table below sets forth our corporate indebtedness as of June 30, 2026 and December 31, 2025. The agreements with respect to this indebtedness are discussed in more detail in our condensed consolidated financial statements and related notes included elsewhere in this Form 10-Q and in our Form 10-K. Outstanding as of June 30, 2026 December 31, 2025 Senior Debt Annual Interest Rate Principal Unamortized Debt Costs Carrying Value Principal Unamortized Debt Costs Carrying Value ($ in millions) Lazard Group 2028 Senior Notes 4.50 % $ 500.0 $ 2.3 $ 497.7 $ 500.0 $ 2.8 $ 497.2 Lazard Group 2029 Senior Notes 4.375 % 500.0 2.5 497.5 500.0 3.0 497.0 Lazard Group 2031 Senior Notes 6.00 % 400.0 3.1 396.9 400.0 3.4 396.6 Lazard Group 2035 Senior Notes 5.625 % 300.0 2.6 297.4 300.0 2.8 297.2 $ 1,700.0 $ 10.5 $ 1,689.5 $ 1,700.0 $ 12.0 $ 1,688.0 The indenture and supplemental indentures relating to Lazard Group LLC’s senior notes contain certain covenants (none of which relate to financial condition), events of default and other customary provisions. At June 30, 2026, the Company was in compliance with all of these provisions. We may, to the extent required and subject to restrictions contained in our financing arrangements, use other financing sources, which may cause us to be subject to additional restrictions or covenants. Guarantor Information Lazard, Inc. has provided an unconditional and irrevocable guarantee for the repayment of all the senior notes listed in the table above, and has amended the Second Amended and Restated Credit Agreement, to provide an unconditional and irrevocable guarantee for Lazard Group's obligations under the Second Amended and Restated Credit Agreement. See Note 10 of Notes to Condensed Consolidated Financial Statements for additional information regarding senior debt. As permitted under Rule 13-01 of Regulation S-X, Lazard, Inc. has excluded summarized financial information for Lazard Group because the combined assets, liabilities and results of operations of Lazard, Inc. and Lazard Group for the period were not materially different than the corresponding amounts in Lazard, Inc.’s condensed consolidated financial statements presented herein and management believes such summarized financial information would be repetitive and would not provide incremental value to investors. 66 Stockholders’ Equity At June 30, 2026, total stockholders’ equity was $905 million, as compared to $906 million at December 31, 2025, including $914 million and $869 million attributable to Lazard, Inc. on the respective dates. The net activity in stockholders’ equity during the six month period ended June 30, 2026 is reflected in the table below (in millions of dollars): Stockholders’ Equity - January 1, 2026 $ 906 Increase (decrease) due to: Net income (a) 106 Other comprehensive loss (7) Amortization of share-based incentive compensation 233 Purchase of common stock (52) Settlement of share-based incentive compensation (b) (132) Common stock dividends (96) Sale and deconsolidation of business (47) Other - net (6) Stockholders’ Equity - June 30, 2026 $ 905 ________________________________________ (a)Excludes net loss associated with redeemable noncontrolling interests of $9 million. (b)The tax withholding portion of share-based compensation is settled in cash, not shares. See the Consolidated Financial Statements—Condensed Consolidated Statements of Changes in Stockholders’ Equity and Redeemable Noncontrolling Interests for further detail. The Board of Directors of Lazard has issued a series of authorizations to repurchase common stock, which help offset the dilutive effect of our share-based incentive compensation plans. The Company aims to repurchase shares to offset dilution from the shares it expects to issue pursuant to such compensation plans in respect of year-end incentive compensation over time. The rate at which the Company purchases shares in connection with this annual objective may vary from period to period due to a variety of factors. Purchases with respect to such program are set forth in the table below: Six Months Ended June 30: Number of Shares Purchased Average Price Per Share 2025 859,849 $ 46.44 2026 1,180,585 $ 43.79 As of June 30, 2026, a total of $57 million of share repurchase authorization remained available under Lazard, Inc.’s share repurchase program which will expire on December 31, 2026. On July 22, 2026, the Board of Directors authorized additional share repurchases of $200 million, which expire as of December 31, 2028, bringing the total outstanding share repurchase authorization to approximately $257 million. During the six month period ended June 30, 2026, Lazard, Inc. had in place trading plans under Rule 10b5-1 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), pursuant to which it effected stock repurchases in the open market. On July 22, 2026, the Board of Directors of Lazard declared a quarterly dividend of $0.50 per share on our common stock. The dividend is payable on August 14, 2026 to stockholders of record on August 3, 2026. See Notes 12 and 13 of Notes to Condensed Consolidated Financial Statements for additional information regarding Lazard’s stockholders’ equity and incentive plans, respectively. 67 Regulatory Capital We actively monitor our regulatory capital base. Our principal subsidiaries are subject to regulatory requirements in their respective jurisdictions to ensure their general financial soundness and liquidity, which require, among other things, that we comply with rules regarding certain minimum capital requirements. These regulatory requirements may restrict the flow of funds to and from affiliates. See Note 18 of Notes to Condensed Consolidated Financial Statements for further information. These regulations differ in the U.S., the U.K., France and other countries in which we operate. Our capital structure is designed to provide each of our subsidiaries with capital and liquidity consistent with its business and regulatory requirements. For a discussion of regulations relating to us, see Item 1, “Business—Regulation” included in our Form 10-K. Critical Accounting Policies and Estimates The preparation of Lazard’s condensed consolidated financial statements, in conformity with U.S. GAAP, requires us to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue and expenses, and related disclosure of contingent assets and liabilities. On an ongoing basis, Lazard evaluates its estimates, including those related to revenue recognition, the allowance for credit losses, compensation liabilities, income taxes (including the impact on the tax receivable agreement obligation), and goodwill. Lazard bases these estimates on historical experience and various other assumptions that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments, including judgments regarding the carrying values of assets and liabilities, that are not readily apparent from other sources. Actual results may differ from these estimates. The following is a description of Lazard’s critical accounting estimates and judgments used in the preparation of its condensed consolidated financial statements. Revenue Recognition Lazard generates substantially all of its revenue from providing Financial Advisory and Asset Management services to clients. Lazard recognizes revenue in accordance with the criteria in Note 2 of Notes to Consolidated Financial Statements in our Form 10-K. Assessment of these criteria requires the application of judgment in determining the timing and amount of revenue recognized, including the probability of collection of fees. Allowance for Credit Losses We maintain an allowance for credit losses to provide coverage for estimated losses from our receivables. We determine the adequacy of the allowance under the current expected credit losses (“CECL”) guidance by (i) applying a charge-off rate based on historical credit loss experience; (ii) estimating the probability of loss based on our analysis of the client’s creditworthiness resulting in specific reserves against exposures where we determine the receivables are uncollectible, which may include situations where a fee is in dispute or litigation has commenced; and (iii) performing qualitative assessments to monitor economic risks that may require additional adjustments. The allowance for credit losses involves judgment including the incorporation of historical loss experience and assessment of risk characteristics of our clients. The charge-off rate based on historical credit loss experience is an average annual rate estimated using the most recent two years of charge-off data. When assessing risk characteristics of individual clients, we considered the macroeconomic environment in the local market, our collection experience and recent communication with the client, as well as any potential future engagement with the client. Compensation Liabilities Annual discretionary compensation represents a significant portion of our annual compensation and benefits expense. We allocate the estimated amount of such annual discretionary compensation to interim periods by segment in proportion to the amount of adjusted net revenue earned in such periods based on an estimated annual ratio of adjusted compensation and benefits expense to adjusted net revenue. See “Financial Statement Overview—Operating Expenses” for more information on our periodic compensation and benefits expense and Note 1 of Notes to Condensed Consolidated Financial Statements for additional information regarding the change in accounting principle in the first quarter of 2026 for recognizing compensation expense on certain incentive compensation awards. 68 Income Taxes As part of the process of preparing our consolidated financial statements, we estimate our income taxes for each of our tax-paying entities in its respective jurisdiction. In addition to estimating actual current tax liabilities for these jurisdictions, we also must account for the tax effects of differences between the financial reporting and tax reporting of items, such as basis adjustments, compensation and benefits expense, and depreciation and amortization. Differences which are temporary in nature result in deferred tax assets and liabilities. Significant judgment is required in determining our interim and annual provisions for income taxes, our deferred tax assets and liabilities, any valuation allowance recorded against our deferred tax assets and our unrecognized tax benefits. We recognize a deferred tax asset if it is more likely than not (defined as a likelihood of greater than 50%) that a tax benefit will be accepted by the relevant taxing authority. The measurement of deferred tax assets and liabilities is based upon currently enacted tax rates in the applicable jurisdictions. Subsequent to the initial recognition of deferred tax assets, we also must continually assess the likelihood that such deferred tax assets will be realized. If we determine that we may not fully derive the benefit from a deferred tax asset, we consider whether it would be appropriate to apply a valuation allowance against the applicable deferred tax asset, taking into account all available information. The ultimate realization of a deferred tax asset for a particular entity depends, among other things, on the generation of taxable income by such entity in the applicable jurisdiction. We consider multiple possible sources of taxable income when assessing a valuation allowance against a deferred tax asset. See Note 2 of Notes to Consolidated Financial Statements in our Form 10-K for additional information on sources of taxable income, and the information considered when assessing whether a valuation allowance is required. The weight we give to any particular item is, in part, dependent upon the degree to which it can be objectively verified. We give greater weight to the recent results of operations of a relevant entity. Pre-tax operating losses on a three year cumulative basis or lack of sustainable profitability are considered objectively verifiable evidence and will generally outweigh a projection of future taxable income. Certain of our tax-paying entities have individually experienced losses on a cumulative three year basis or have tax attributes that may expire unused. In addition, some of our tax-paying entities have recorded a valuation allowance on substantially all of their deferred tax assets due to the combined effect of operating losses in certain subsidiaries of these entities as well as foreign taxes that together limit their ability to eliminate residual U.S. tax liability. Taking into account all available information, we cannot determine that it is more likely than not that deferred tax assets held by these entities will be realized. Consequently, we have recorded valuation allowances on deferred tax assets held by these entities as of December 31, 2025. We record tax positions taken or expected to be taken in a tax return based upon our estimates regarding the amount that is more likely than not to be realized or paid, including in connection with the resolution of any related appeals or other legal processes. Accordingly, we recognize liabilities for certain unrecognized tax benefits based on the amounts that are more likely than not to be settled with the relevant taxing authority. Such liabilities are evaluated periodically as new information becomes available and any changes in the amounts of such liabilities are recorded as adjustments to “income tax expense”. Liabilities for unrecognized tax benefits involve significant judgment and the ultimate resolution of such matters may be materially different from our estimates. In addition to the discussion above regarding deferred tax assets and associated valuation allowances, as well as unrecognized tax benefit liability estimates, other factors affect our interim and annual provisions for income taxes, including changes in the geographic mix of our business, the level of our projected and actual annual pre-tax income, transfer pricing and intercompany transactions. See Item 1A, “Risk Factors” in our Form 10-K and Note 15 of Notes to Condensed Consolidated Financial Statements for additional information related to income taxes. Tax Receivable Agreement The Second Amended and Restated Tax Receivable Agreement, dated as of October 26, 2015 (the “TRA”), between Lazard and LTBP Trust (the “Trust”) provides for payments by our subsidiaries to the owners of the Trust, who include one of our executive officers. 69 The amount of the TRA liability is an undiscounted amount based upon current tax laws and the structure of the Company and various assumptions regarding potential future operating profitability. The assumptions reflected in the estimate involve significant judgment, and as such, the actual amount and timing of payments under the TRA could differ materially from our estimates. See Note 17 of Notes to Condensed Consolidated Financial Statements for additional information regarding the TRA. Goodwill Goodwill has an indefinite life and is tested for impairment annually, as of October 1, or more frequently if circumstances indicate impairment may have occurred. The Company performs a qualitative assessment about whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount in lieu of actually calculating the fair value of the reporting unit. The qualitative assessment includes significant judgment on the business outlook assumptions of each reporting unit based on historical data, current economic conditions, stock performance and industry trends. If events indicate that it is more likely than not that the reporting unit’s fair value is less than its carrying value, the Company performs a quantitative assessment to determine the fair value of the reporting unit and compares it to its carrying values. If the carrying value of a reporting unit exceeds its fair value, the Company would recognize an impairment loss equal to the excess. The goodwill impairment tests indicated no reporting units were at risk of impairment. See Note 9 of Notes to Condensed Consolidated Financial Statements for additional information regarding goodwill. Consolidation The condensed consolidated financial statements include entities in which Lazard has a controlling financial interest. Lazard determines whether it has a controlling financial interest in an entity by first evaluating whether the entity is a voting interest entity (“VOE”) or a variable interest entity (“VIE”) under U.S. GAAP. •Voting Interest Entities. VOEs are entities in which (i) the total equity investment at risk is sufficient to enable the entity to finance itself independently and (ii) the equity holders have the obligation to absorb losses, the right to receive residual returns and the right to make decisions about the entity’s activities. Lazard is required to consolidate a VOE if it holds a majority of the voting interest in such VOE. •Variable Interest Entities. VIEs are entities that lack one or more of the characteristics of a VOE. If Lazard has a variable interest, or a combination of variable interests, in a VIE, it is required to analyze whether it needs to consolidate such VIE. Lazard is required to consolidate a VIE if we are the primary beneficiary having (i) the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance and (ii) the obligation to absorb losses of, or receive benefits from, the VIE that could be potentially significant to the VIE. Lazard’s involvement with various entities that are VOEs or VIEs primarily arises from LFI investments, seed and other investments in our Asset Management business. Lazard consolidates these entities when it has a controlling financial interest. The impact of seed and LFI investment entities that require consolidation on the condensed consolidated financial statements, including any consolidation or deconsolidation of such entities, is not material to our financial statements. Our exposure to loss from entities in which we have made such investments is limited to the extent of our investment in, or investment commitment to, such entities. Generally, when the Company initially invests to seed an investment entity, the Company is the majority owner of the entity. Our majority ownership in seed investment entities represents a controlling financial interest, except when we are the general partner in such entities and the third-party investors have the right to replace the general partner. To the extent material, we consolidate seed and LFI investment entities in which we own a controlling financial interest, and we would deconsolidate any such entity when we no longer have a controlling financial interest in such entity. Seed investments held in entities in which the Company maintained a controlling financial interest were $146 million in twelve entities as of June 30, 2026, as compared to $183 million in thirteen entities as of December 31, 2025. LFI investments held in entities in which the Company maintained a controlling financial interest were $31 million in nine entities as of June 30, 2026, as compared to $63 million in nine entities as of December 31, 2025. As of June 30, 2026 and December 31, 2025, the Company did not consolidate any seed investment entities or LFI investment entities, with the exception of the consolidation of certain LFI funds (see Note 20 of Notes to Condensed Consolidated Financial Statements). As such, seed investments and substantially all of LFI investments included in 70 “investments” on the condensed consolidated statements of financial condition represented the Company’s economic interest in the seed and LFI investments. Risk Management Investments Investments consist primarily of debt and equity securities, and interests in alternative investment, debt, equity and private equity funds. These investments are carried at fair value on the condensed consolidated statements of financial condition, and any increases or decreases in the fair value of these investments are reflected in earnings. The fair value of investments is generally based upon market prices or the net asset value (“NAV”) or its equivalent for investments in funds. Investments also include those investments accounted for under the equity method of accounting. Any increases or decreases in the Company’s share of net income or losses pertaining to its equity method investments are reflected in earnings. See Note 6 of Notes to Condensed Consolidated Financial Statements for additional information on the measurement of the fair value of investments. Lazard is subject to market and other risks on investments held. As such, gains and losses on investment positions held, which arise from sales or changes in the fair value of the investments, are not predictable and can cause periodic fluctuations in net income. Data relating to investments is set forth below: June 30, 2026 December 31, 2025 ($ in thousands) Seed investments by asset class: Debt $ 1,752 $ 1,729 Equity (a) 246,872 215,237 Fixed income 21,945 24,493 Alternative investments 22,621 29,856 Private equity 9,679 20,144 Total seed investments 302,869 291,459 Other investments owned: Private equity 13,594 7,468 Other 1,687 1,653 Total other investments owned 15,281 9,121 Subtotal 318,150 300,580 Private equity consolidated, not owned – 21,493 Equity method 6,307 18,752 LFI 216,177 285,021 Total investments $ 540,634 $ 625,846 _______________________ 71 (a)At June 30, 2026 and December 31, 2025, seed investments in directly owned equity securities were invested as follows: June 30, 2026 December 31, 2025 Percentage invested in: Financials 17 % 17 % Consumer 24 28 Industrial 15 14 Technology 26 23 Other 18 18 Total 100 % 100 % The Company makes investments primarily to seed strategies in our Asset Management business or to reduce exposure arising from LFI and other similar deferred compensation arrangements. The Company manages its net economic exposure to market and other risks arising from seed investments and other investments owned. The Company does not hedge investments associated with LFI and other similar deferred compensation arrangements, or investments in funds owned entirely by the noncontrolling interest holders as there is no net economic exposure. The market risk associated with investments held in connection with LFI and other similar deferred compensation arrangements is equally offset by the market risk associated with the derivative liability with respect to awards expected to vest. The Company is subject to market risk associated with any portion of such investments that employees may forfeit. See “—Risk Management—Risks Related to Derivatives” for risk management information relating to derivatives. Risk sensitivities include the effects of economic hedging. For equity market price risk, investment portfolios and their corresponding hedges are beta-adjusted to the All-Country World equity index. Interest rate and credit spread risk and foreign exchange rate risk are hedged using relevant benchmark indices. Private equity risk is not hedged due to lack of proxy hedging instruments. Fair value and sensitivity measurements presented herein are based on various portfolio exposures at a particular point in time and may not be representative of future results. Risk exposures may change as a result of ongoing portfolio activities and changing market conditions, among other things. Equity Market Price Risk—At June 30, 2026 and December 31, 2025, the Company’s exposure to equity market price risk in its investment portfolio, which primarily relates to investments in equity securities, equity funds and hedge funds, was approximately $286 million and $259 million, respectively. The Company hedges market exposure arising from a significant portion of our equity investment portfolios by entering into total return swaps. The Company estimates that a hypothetical 10% adverse change in market prices would result in a net decrease of approximately $1.9 million and $1.0 million as of June 30, 2026 and December 31, 2025, respectively, in the carrying value of such investments, including the effect of the hedging transactions. Interest Rate and Credit Spread Risk—At June 30, 2026 and December 31, 2025, the Company’s exposure to interest rate and credit spread risk in its investment portfolio related to investments in debt securities or funds which invest primarily in debt securities was $19 million and $22 million, respectively. The Company hedges market exposure arising from a portion of our debt investment portfolios by entering into total return swaps. The Company estimates that a hypothetical 100 basis point adverse change in interest rates or credit spreads would result in a net decrease of approximately $0.5 million and $0.7 million as of June 30, 2026 and December 31, 2025, respectively, including the effect of the hedging transactions. Foreign Exchange Rate Risk—At June 30, 2026 and December 31, 2025, the Company’s exposure to foreign exchange rate risk in its investment portfolio, which primarily relates to investments in foreign currency denominated equity and debt securities and private equity investments was $126 million and $114 million, respectively. A significant portion of the Company’s foreign currency exposure related to our equity and debt investment portfolios is hedged through the aforementioned total return swaps. The Company estimates that a 10% adverse change in foreign exchange rates versus the U.S. Dollar would result in a net decrease of approximately $2.7 million and $2.0 million in the carrying value of such investments as of June 30, 2026 and December 31, 2025, respectively, including the effect of the hedging transactions. Private Equity—The Company invests in private equity primarily as a part of its co-investment activities and in connection with certain legacy businesses. At June 30, 2026 and December 31, 2025, the Company’s exposure to changes in fair value of such investments was approximately $23 million and $28 million, respectively. The Company estimates 72 that a hypothetical 10% adverse change in fair value would result in a decrease of approximately $2.3 million and $2.8 million, respectively, in the carrying value of such investments as of June 30, 2026 and December 31, 2025. For additional information regarding risks associated with our investments, see Item 1A, “Risk Factors—Other Business Risks—Our results of operations may be affected by fluctuations in the fair value of positions held in our investment portfolios” in our Form 10-K. Risks Related to Receivables We maintain an allowance for credit losses to provide coverage for expected losses from our receivables. At June 30, 2026, total receivables amounted to $765 million, net of an allowance for credit losses of $24 million. As of that date, Financial Advisory and Asset Management fees, and customers and other receivables comprised 76% and 24% of total receivables, respectively. At December 31, 2025, total receivables amounted to $898 million, net of an allowance for credit losses of $23 million. As of that date, Financial Advisory and Asset Management fees, and customers and other receivables comprised 79% and 21% of total receivables, respectively. See also “Critical Accounting Policies and Estimates—Revenue Recognition” above and Note 4 of Notes to Condensed Consolidated Financial Statements for additional information regarding receivables. LFG and LFB offer wealth management and banking services to high net worth individuals and families. At both June 30, 2026 and December 31, 2025, customers and other receivables included $142 million. Such LFB loans are fully collateralized and monitored for counterparty creditworthiness, with such collateral having a fair value in excess of the carrying amount of the loans. Therefore, there was no allowance for credit losses required at those dates related to such receivables. Credit Concentrations The Company monitors its exposures to individual counterparties and diversifies where appropriate to reduce the exposure to concentrations of credit. Risks Related to Derivatives Lazard enters into forward foreign currency exchange contracts and interest rate swaps to hedge exposures to currency exchange rates and interest rates and uses total return swap contracts on various equity and debt indices to hedge a portion of its market exposure with respect to certain investments that seed strategies in our Asset Management business. Derivative contracts are recorded at fair value. In entering into derivative agreements, the Company is subject to counterparty risk. Net derivative assets amounted to $2 million and $0.5 million at June 30, 2026 and December 31, 2025, respectively, and net derivative liabilities, excluding the derivative liability arising from the Company’s obligation pertaining to LFI and other similar deferred compensation arrangements, amounted to $20 million and $30 million at June 30, 2026 and December 31, 2025, respectively. The Company also records derivative liabilities relating to its obligations pertaining to LFI awards and other similar deferred compensation arrangements, the fair value of which is based on the value of the underlying investments, adjusted for estimated forfeitures. Changes in the fair value of the derivative liabilities are equally offset by the changes in the fair value of investments which are expected to be delivered upon settlement of LFI awards. Derivative liabilities relating to LFI amounted to $121 million and $189 million at June 30, 2026 and December 31, 2025, respectively. Risks Related to Cash and Cash Equivalents and Corporate Indebtedness A significant portion of the Company’s indebtedness has fixed interest rates, while its cash and cash equivalents typically bear interest at market interest rates. Based on account balances as of June 30, 2026, Lazard estimates that its annual operating income relating to cash and cash equivalents would increase by approximately $11 million in the event interest rates were to increase by 1% and decrease by approximately $11 million if rates were to decrease by 1%. As of June 30, 2026, the Company’s cash and cash equivalents totaled approximately $1,100 million. Substantially all of the Company’s cash and cash equivalents were invested in (i) highly liquid institutional money market funds (a significant majority of which were invested solely in U.S. Government or agency money market funds), (ii) in short-term interest bearing and non-interest bearing accounts at a number of leading banks throughout the world, (iii) overnight reverse repurchase agreements and (iv) in short-term certificates of deposit from such banks. Cash and cash 73 equivalents are continuously monitored. On a regular basis, management reviews its investment profile as well as the credit profile of its list of depositor banks in order to adjust any deposit or investment thresholds as necessary. Operational Risk Operational risk is inherent in all of our businesses and may, for example, manifest itself in the form of errors, breaches in the system of internal controls, employee misconduct, business interruptions, fraud, including fraud perpetrated by third parties, legal actions due to operating deficiencies, noncompliance or cyber attacks. The Company maintains a framework including policies and a system of internal controls designed to monitor and manage operational risk and provide management with timely and accurate information. Management within each of our operating subsidiaries is primarily responsible for its operational risk programs. The Company has in place business continuity and disaster recovery programs that manage its capabilities to provide services in the case of a disruption. We purchase insurance policies designed to help protect the Company against accidental loss and other losses that may significantly affect our financial objectives, personnel, property or our ability to continue to meet our responsibilities to our various stakeholder groups. See Item 1A, “Risk Factors” in our Form 10-K for more information regarding operational risk in our business and Item 1C, “Cybersecurity” in our Form 10-K for more information on the Company’s processes to identify, assess and manage cybersecurity risks.