BRR

Growth was primarily propelled by Cohen & Company Capital Markets (CCM), which saw revenue increase 370% year-over-year, now representing 67% of total company revenue. The firm maintained a dominant market position in the SPAC sector, ranking number one in SPAC IPO underwritings by left book-run deals and leading in de-SPAC advisory and PIPE transactions. Management attributed the 246% total revenue increase to the expansion of the client franchise into frontier technologies, including digital assets, energy transition, and natural resources. Operational efficiency reached $2,300,000 of revenue per employee in 2025, supported by a lean headcount of 126 staff members. Strategic leadership expansion focused on adding managing directors in high-growth verticals such as aerospace, space technology, and communications infrastructure. The firm successfully closed the business combination of its sponsored SPAC, Columbus Circle Capital Corp I, which contributed $33,000,000 in principal transactions revenue. Management expects first quarter 2026 revenue to trend substantially higher than the first quarter of 2025, citing a robust transaction pipeline. A primary strategic goal for 2026 is to reduce dependency on the SPAC product by expanding into traditional M&A mandates and capital markets advisory. The firm plans to scale its fixed income trading business with a target revenue range of $60,000,000 to $65,000,000, contingent on potential interest rate cuts providing a tailwind. Hiring initiatives for 2026 include adding approximately eight people to the fixed income team and roughly five new members to the investment banking division. The Board intends to evaluate future dividends quarterly, noting that decisions will be sensitive to operating results and capital requirements. Implemented a reporting change where realized or unrealized gains/losses on financial instruments received as service consideration are now reclassified into investment banking revenue. Recorded $16,500,000 in compensation expense and $8,500,000 in non-controlling interest expense specifically tied to the allocation of founder shares from the ProCap Financial merger. Reported a $5,100,000 loss from equity method affiliates, largely driven by mark-to-market losses within a SPAC series fund investment. Distributed significant capital to shareholders via a $2.00 per share special dividend in Janua...