Overview
- Jefferies reported net income of about $156 million, or 70 cents per share, with total revenue rising to $2.02 billion on stronger investment banking.
- Investment banking net revenue climbed 45% to $1.02 billion on robust underwriting, including lead roles on IPOs for York Space and Forgent.
- The firm logged $17 million in losses tied to collapsed lender Market Financial Solutions and bankrupt auto-parts supplier First Brands, and said its exposure to First Brands is now zero.
- Management increased the share repurchase authorization to $250 million, signaling a plan to return more cash to shareholders.
- Media floated a possible Jefferies takeover by Sumitomo Mitsui Financial Group, but follow-up reports disputed active talks, and the stock is down about 35% this year as investors weighed credit losses.