Jefferies Financial Group (JEF) Q3 2026 earnings summary

Executive summary

• Q3 net revenues rose 8.5% YoY to $2.222B; net earnings attributable to common shareholders were $283.9M after post-closing tax adjustments.

• 9M net revenues increased 22.2% to $6.446B and common net earnings rose 50.4% to $661.7M YoY.

• Record Advisory and Equities results supported stronger Investment Banking and Capital Markets performance; weaker Fixed Income and Asset Management results were offsets.

Financial highlights

• Q3 total revenues were $3.231B vs. $2.908B YoY; net revenues were $2.222B, earnings before taxes $351.0M, and net earnings $288.3M.

• Q3 common net earnings were $283.9M vs. $224.0M; diluted EPS was $1.18 for voting shares and $1.23 for non-voting shares.

• 9M earnings before taxes rose 42.3% to $878.8M; net earnings increased 48.2% to $697.6M and diluted voting-share EPS was $2.88.

• Post-closing excess share-based award tax adjustments reduced tax expense by $24.2M; common net earnings increased $23.3M for Q3 and $22.1M for 9M vs. previously reported results.

Outlook and guidance

• Investment banking backlog remained strong, with optimism for the remainder of 2026 and into 2027; realization timing and revenue may change, and transactions may be modified or cancelled.

• Hildene acquisition closing is targeted for Q1 2027, subject to customary approvals; consideration includes $340M cash and contributed interests.

• Tessellis sale to AvaTrade Markets Ltd. is expected to close in Q1 2027; migration is expected over 120 days.

• Japan joint venture with SMBC is expected to launch in January 2027, focused on wholesale equities and equity capital markets.