Slides
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October 2025 Investor Presentation
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Piper Sandler | 2 Cautionary notice regarding forward-looking statements and non-GAAP financial measures This presentation contains forward-looking statements. Statements that are not historical or current facts, including statements about beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties, and important factors could cause actual results to differ materially from those anticipated, including those factors identified in the document entitled “Risk Factors” in Part I, Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2024 and updated in our subsequent reports filed with the SEC. These reports are available atour Website at pipersandler.com and at the SEC Website at sec.gov. Forward-looking statements speak only as of the date they are made, and Piper Sandler undertakes no obligation to update them in light of new information or future events. This presentation also contains financial measures that are not prepared in accordance with U.S. generally accepted accounting principles (“GAAP”). Management believes that presenting results and measures on an adjusted basis alongside U.S. GAAP measures provides the most meaningful basis for comparison of its operating results across periods and enhances the overall understanding of our current financial performance by excluding certain items that may not be indicative of our core operating results. The non-GAAP financial measures should be considered in addition to, not as a substitute for, measures of financial performance prepared in accordance with U.S. GAAP. A reconciliation of each non-GAAP financial measure to the corresponding U.S. GAAP measure is available in Section 3 of this presentation. Piper Jaffray and Sandler O’Neill merged on January 3, 2020 to become Piper Sandler Companies Financial measures for periods ending on or prior to December 31, 2019 and presented herein, represent the results of Piper Jaffray Companies not including Sandler O’Neill. Financial results and measures beginning from the date of merger on January 3, 2020 include Sandler O’Neill. About Piper Sandler Companies Piper Sandler Companies (NYSE: PIPR) is a leading investment bank driven to help clients Realize the Power of Partnership®. Securities brokerage and investment banking services are offered in the U.S. through Piper Sandler & Co., member SIPC and NYSE; in the U.K. through Piper Sandler Ltd., authorized and regulated by the U.K. Financial Conduct Authority; in the EU through Aviditi Capital Advisors Europe GmbH, authorized and regulated by BaFin as a tied agent of AHP Capital Management GmbH; and in Hong Kong through Piper Sandler Hong Kong Limited, authorized and regulated by the Securities and Futures Commission. Alternative asset management and fixed income advisory services are offered through separately registered advisory affiliates. © 2025. Since 1895. Piper Sandler Companies. 800 Nicollet Mall, Minneapolis, Minnesota 55402-7036 For more information, please contact Kate Clune, chief financial officer at 212 466-7799 or investorrelations@psc.com Piper Sandler Investor Presentation Disclosures
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Piper Sandler | 3 1. Value Proposition 2. Overview of Business Lines 3. Reconciliation of Non-GAAP Financial Measures Contents
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01 Value Proposition
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pipersandler.com | 5 A Leading Investment Bank We enable growth and success for our clients through deep sector expertise and candid advice while delivering consistent positive returns for shareholders through a capital light diversified business model. $1.7B LTM 3Q 2025 adjusted net revenues * 1,800+ Employees across six countries 130+ Years serving clients 541% Increase in average share price since 2015 ** PIPR NYSE listed Piper Sandler | 5 * A non-GAAP financial measure. See Section 3 for a reconciliation of non-GAAP financial measures to the most directly comparable U.S. GAAP measure. ** LTM 3Q 2025 average share price of $293.68 vs. 2015 average share price of $45.79
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Piper Sandler | 6 Re-format; this should be “why invest in PIPR?” – maybe need to expand on these Investment Rationale Why Piper Sandler? Track record of profitable growth creates a destination of choice for top talent Diversified Platform by business, sectors, products and clients Disciplined operating management and capital light approach 1 2 3 Piper Sandler | 6 • We provide client value and drive shareholder returns through diversification across complementary business lines, sectors, product offerings and geographical regions. • We invest in areas where we can both enhance our offerings and position ourselves as market leaders. • Our approach has resulted in our ability to deliver strong earnings throughout cycles.
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Piper Sandler | 7 Re-format; this should be “why invest in PIPR?” – maybe need to expand on these Building a Stronger and more Durable Platform pipersa ndler.co m | 7 $1.7B Net Revenues* LTM 3Q 2025 2025 $599M Net Revenues* 2015 Advisory Revenues (in millions) Investment Banking Managing Directors Operating Margin* Adjusted Diluted EPS* 11% Compound annual growth rate (CAGR) Piper Sandler | 7* A non-GAAP financial measure. See Section 3 for a reconciliation of non-GAAP financial measures to the most directly comparable U.S. GAAP measure. $0 $200 $400 $600 $800 $1,000 LTM 3Q 2025 2015 0 40 80 120 160 200 3Q 2025 2015 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% LTM 3Q 2025 2015 $0.00 $3.50 $7.00 $10.50 $14.00 $17.50 LTM 3Q 2025 2015
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Piper Sandler | 8 What We Do Sectors Our Diversified Platform With a focus on market leadership, we offer broad product capabilities and scale across business lines BUSINESS SERVICES CHEMICALS CONSUMER EDUCATION ENERGY & POWER FINANCIAL SERVICES GOVERNMENT HEALTHCARE INDUSTRIALS INFRASTRUCTURE REAL ESTATE TECHNOLOGY INVESTMENT BANKING & PUBLIC FINANCE • Private Equity • Alternative Capital • Private Credit • Strategics • Municipalities • Non Profits EQUITY BROKERAGE & FIXED INCOME • Asset Managers/RIAs • Banks & Credit Unions • Public Entities • Hedge Funds • Insurance Companies Our Clients INVESTMENT BANKING PUBLIC FINANCE EQUITY BROKERAGE FIXED INCOME
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Piper Sandler | 9 Creating and Delivering Shareholder Value Our consistent operating discipline and capital light approach results in strong cash generation and drives shareholder returns across cycles Piper Sandler | 9 Multiple levers to manage capital: • Acquisitions – deploy capital towards growth initiatives • Share repurchases – repurchase shares to offset dilution from annual grants • Dividends – target 30% to 50% of fiscal year non-GAAP earnings between quarterly and special dividends Acquisitions completed since 2015 9 products and 5 sector/subsectors added across the platform 10 Capital returned through share repurchases since 2019 No increase to share count over the last five years $522M Capital returned through dividends paid since 2019 38% dividend payout ratio over the last five years $492M Acquisitions Share Repurchases Dividends $282 LTM 3Q 2025 Adjusted Net Income* * A non-GAAP financial measure. See Section 3 for a reconciliation of non-GAAP financial measures to the most directly comparable U.S. GAAP measure.
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Piper Sandler | 10 February 2016 Simmons & Company Energy Investment Bank Sector & Geographic August 2019 Weeden & Co. Equity Trading Product January 2020 Sandler O’Neill Financial Services Investment Bank Sector & Product April 2020 The Valence Group Chemicals M&A Practice Sector & Geographic December 2020 TRS Advisors Restructuring Advisory Product February 2022 Cornerstone Macro Macro Research & Derivatives Trading Product June 2022 Stamford Partners European Consumer M&A Boutique Geographic October 2022 DBO Partners Technology Investment Banking Sector September 2025 G Squared Technology Investment Banking Sector 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 August 2024 Aviditi Advisors Private Capital Advisory Product & Geographic Piper Sandler | 10 $346.99 PIPR Share Price as of 9/30/2025 Driving Shareholder Value Through Strategic Acquisitions Investing in Product, Sector and Geographic Expansion
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Piper Sandler | 11 Re-format; this should be “why invest in PIPR?” – maybe need to expand on these pipersandler.com $3B Net Revenues Well-Positioned for Next Stage of Growth INVESTMENT BANKING • Continued investment in sector, product and geographic expansion via corporate development and strategic hiring • Top priorities include private equity, technology and Europe PUBLIC FINANCE • Enhance market leadership with strategic hiring and the development of high-potential candidates • Priorities include segments of education, infrastructure and specialty businesses EQUITIES • Leverage our leading equities platform to drive global research distribution and expand product offerings to new and existing clients. FIXED INCOME • Continue to add specialized skill sets with top talent across a broad spectrum of products and clients including structured products, loan strategies and municipal electronic trading capabilities. Piper Sandler | 11
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02 Overview of Business Lines
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Piper Sandler | 13 16.2% CAGR Re-format; this should be “why invest in PIPR?” – maybe need to expand on these Corporate Investment Banking A Decade of Investing in Growth Piper Sandler | 13 10% managing director headcount CAGR Invest in Top Talent 6 products added to platform Core Product Diversification 2 8 2015 2025 3 groups added to platform Industry Diversification 4 7 2015 2025 13% investment banking revenue CAGR Revenue Growth 2015 LTM 3Q 2025 $310M $1.1B Significant expansion in offerings to sponsors Private Equity Revenue Growth1 183 MDs 72 MDs International Growth 2 International MDs 2015 1) Represents CAGR of advisory revenues from private equity clients for LTM 3Q 2025 vs. 2015 21 International MDs 2025 Significant increase in global leadership 2015 2025 2015 LTM 3Q 2025 16% CAGR
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Piper Sandler | 14 Re-format; this should be “why invest in PIPR?” – maybe need to expand on these Sector Diversification Through Organic and Acquisitive Growth Since 2015 Grown revenues, productivity, and market share Acquired firms have contributed talented leadership to our management teams Multiple market-leading franchises in significant industry sectors provide resiliency across cycles 3 Consumer Services & IndustrialsHealthcare Technology 2015 Piper Sandler | 14 BioPharma 2025
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Piper Sandler | 15 Re-format; this should be “why invest in PIPR?” – maybe need to expand on these A Full Range of Solutions Covering 100% of Clients’ Lifecycle Piper Sandler | 15 2015 Core Products 2025 Core Products 1 2 3 1 2 3 4 5 6 7 8 9 Mergers & Acquisitions Equity Capital Markets 45 Product focused MDs 15 Product focused MDs Since 2015 Grown revenues, productivity, and market share Acquired firms have contributed talented leadership to our management teams Non-M&A advisory growth has outpaced M&A growth
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Piper Sandler | 16 Market Leadership in U.S. M&A Piper Sandler | 161) Includes U.S. M&A announced activity across all industries with deal value <$1B; rankings based on number of deals announced for the same criteria. Source: Mergermarket. 65 77 89 103 114 106 180 149 116 135 138#11 #5 #6 #4 #2 #3 #3 #2 #2 #3 #2 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 LTM 3Q 2025 11 Piper Sandler 65 2015 1 Houlihan Lokey 245 2 Piper Sandler 138 3 Jefferies 127 4 Raymond James 104 5 Goldman Sachs 103 6 Lincoln International 103 7 William Blair 99 8 JP Morgan 98 9 Baird 91 10 Stifel 89 Top Ranked Financial Advisor in U.S. M&A1 LTM 3Q 2025 U.S. M&A Market Share Growth1 Piper Sandler Number of Deals & Ranking
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pipersandler.com | 17 Advising Prominent & Transformative Companies Across Industries $1,044,000,000 Initial Public Offering Bookrunner September 2025 $2,000,000,000 has acquired Financial Advisor August 2025 $4,000,000,000 Senior Notes Offering Co-Manager August 2025 $1,150,000,000 Convertible Debt Offering Co-Manager June 2025 $1,000,000,000 Convertible Debt Offering Co-Manager March 2025 $1,260,900,000 Confidentially Marketed Follow-On Offering Co-Manager January 2025 $1,000,000,000 Senior Notes Offering Co-Manager August 2024 $5,102,300,000 Initial Public Offering Bookrunner July 2024 $1,538,000,000 a portfolio company of Financial Advisor October 2024 has been acquired by $4,200,000,000 Chapter 11 Reorganization Investment Banker June 2024 $1,300,000,000 has acquired Financial Advisor May 2024 $1,112,500,000 Confidentially Marketed Follow-On Offering Bookrunner February 2024 $18,500,000,000 has acquired a majority stake in Financial Advisor January 2024 a subsidiary of $1,500,000,000 has been acquired by Financial Advisor July 2025 a portfolio company of $1,224,000,000 + CVR has been acquired by Financial Advisor April 2025 €11,700,000,000 has sold Financial Advisor March 2025 to $1,850,000,000 has been acquired by Financial Advisor July 2024 £910,000,000 has acquired Financial Advisor February 2024 $2,375,000,000 has sold to Financial Advisor August 2025 a portfolio company of €1,500,000,000 has sold its 50% stake in Financial Advisor June 2025 to its partner Piper Sandler | 17 $1,000,000,000 Joint Bookrunner February 2024 Senior Notes Offering
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Piper Sandler | 18 Expanding Non-M&A Capabilities Expanding opportunities to service clients and access diverse fee pools with a core focus on building out our non-M&A investment banking businesses. 4 3 2 1 Private Capital & GP Advisory • Global fundraising expertise with project management and distribution capabilities • Innovative range of secondary solutions for GPs & LPs including continuation vehicles and LP portfolio solutions • Direct equity and co-investment solutions for acquisitions and growth opportunity set for sponsor backed businesses Restructuring & Special Situations • Trusted advisor to management teams, boards of directors, sponsors, investors, creditor constituencies and other key stakeholders of financially stressed businesses or situations • Long standing history of advising municipalities & other government agencies on capital structure matters • Deep experience in amendments/covenant resets, exchange/tender offers, recapitalizations, in-court and out-of-court restructuring, expert testimony Debt Capital Markets Advisory • Leaders each with 25+ of years experience, consistent growth over 10 years on the platform • Product expertise across entire leveraged capital spectrum • Leading market share in middle market debt raises1 Equity Capital Markets • Leading underwriter of growth companies • Leading aftermarket trading support • Focused and dedicated research coverage 1) S&P Global Market Intelligence, Bloomberg, Piper Sandler Syndicate Desk. Piper Sandler | 18
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Piper Sandler | 19 Debt Capital Markets Advisory Leader in middle market debt placement 100+ New sponsors that have hired Piper Sandler DCM Group with significant repeat business 1 • Full suite of debt products with flexible use of proceeds • Provide creative solutions for earlier stage, high growth companies with breakeven or negative EBITDA in certain situations • Typical transaction ranges from $50M to $1B for clients that generally have EBITDA of $10M to $100M+ Leveraging deep industry knowledge and relationships with key decision makers to create best-in-class outcomes Significant growth in revenues 300+ Bank and credit fund relationships $50B In total proceeds across 300+ debt financings in all major industry segments 1 Piper Sandler | 19 2015 2020 LTM 3Q 2025 1. Last 10 Years
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Piper Sandler | 20 Re-format; this should be “why invest in PIPR?” – maybe need to expand on these Piper Sandler | 20 35% Engagements derived from repeat clients over the last 5 years 20+ Years of average experience across 11 managing directors 50 Professionals across five core offices globally • In 2024, Piper Sandler completed the acquisition of Aviditi Advisors, which established the private capital advisory group • Strong synergies across Piper Sandler’s private equity business will drive continued momentum for this group building on two years of record revenues • Six senior hires made in past 12 months and the expanded team is well positioned as private equity assets are expected to double between 2023 and 2029 and global secondary volumes hit record levels1 Private Capital Advisory Our comprehensive offerings across primary fundraising, secondary capital advisory, and capital solutions provide integrated, full- lifecycle support to financial sponsors and alternative investors 1) Source: Preqin research as of September 2025 2) 2020 Revenues reflect the results of Aviditi Advisors; LTM 3Q 2025 Revenues reflect the Piper Sandler private capital advisor y group Continued growth momentum and synergy amid a growing private market 2020 Revenues LTM 3Q 2025 Revenues2 2
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Piper Sandler | 21 Re-format; this should be “why invest in PIPR?” – maybe need to expand on these Restructuring & Special Situations One of the most seasoned restructuring teams on Wall Street, having advised on some of the largest and most complicated assignments over the past 20 years Piper Sandler | 21 30 Restructuring professionals Advised the FDIC on the receiverships and sales of Silicon Valley Bank and Signature Bank Advised the government of Puerto Rico on its $100+ billion debt restructuring Plan Administrator on behalf of the Wind Down Trust in connection with the estate’s pursuit of $5B+ crypto loss claims Advised 2L creditor on the company’s $40 billion debt restructuring Advisor to the UCC in the company’s $10B chapter 11 filing and restructuring Advised Yardi Systems on its control equity investment in WeWork’s take private 35 Years of experience among leadership
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Piper Sandler | 22 Best-In-Class Connectivity to Private Equity Buyers A leading private equity advisory practice Most Active Middle-Market Investment Banks to U.S. Private Equity2 LTM 3Q 2025 1 Houlihan Lokey 265 2 Jefferies 196 3 Piper Sandler 189 4 Evercore 175 5 William Blair 175 6 Raymond James 148 7 Guggenheim 133 8 Stifel 127 Leading financial sponsors covered globally 750+ M&A transactions with sponsors as buyers or sellers L5Y 660+ Advisory revenues from sponsors1 50% Dedicated sponsor coverage bankers 13 Financial sponsors hired Piper Sandler1 223 First-time sponsor clients1 107 1) LTM 3Q 2025 2) Represents transactions closed in the U.S. by middle market banks on behalf of private equity groups. Source: Pitchbook. Piper Sandler | 22
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Piper Sandler | 23 Premier Public Finance Platform Negotiated Transactions and Private Placements3 LTM 3Q 2025 1 Stifel Nicolaus & Co Inc 885 2 Piper Sandler & Co 549 3 Raymond James 492 4 RBC Capital Markets 430 5 BofA Securities Inc 360 6 D A Davidson & Co 360 7 Robert W Baird & Co Inc 331 8 J P Morgan Securities LLC 233 9 FMSbonds Inc 193 10 Wells Fargo & Co 177 Local market relationships and knowledge amplified by the strength of substantial scale and expertise • Uniquely positioned market leader with margin discipline and focus on productivity • Broad product set to meet clients’ needs • Robust distribution capabilities • Industry sector expertise in high-margin specialty sectors • 39 regional offices across the U.S. providing localized expertise 1) Public finance revenues include municipal financing and public finance advisory 2) Economic fee market share is calculated using Piper Sandler municipal financing revenues for deals < $500 million for each perio d divided by the public finance < $500 million market fee pool which is estimated using spread detail from The Bond Buyer. Source: The Bond Buyer, and Piper Sandler & Co. 3) Rank based on number of sole/senior negotiated and private placement transactions < $500 million during the LTM ended September 30, 2025. Source: Refinitiv. 2X Increase in economic fee market share2 since 2015 Piper Sandler | 23 $104M $169M 2015 LTM 3Q 2025 Public Finance Revenues1
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pipersandler.com | 24Piper Sandler | 24 Strategic Investments 2019 2020 2022 Equity Trading ONE OF THE LARGEST AND MOST EXPERIENCED TEAMS ON WALL STREET • One of the highest crossing rates on Wall Street (over 20%3), we find the true buyers and sellers in the marketplace • Experts in sourcing liquidity with a bespoke mix of top rated high touch, low-touch/algo, program and derivatives trading Equity Sales DEEP EXPERTISE, REGIONALLY FOCUSED AND INDUSTRY SPECIALIZED • Combination of generalist and specialty sales ranked top 5 in multiple industry verticals4 • Facilitate direct access between company management teams and investors via conferences, events, roadshows and one-on-one meetings (over 30,000 client touches annually) 1) 2024 Extel survey (formerly the II Research Survey) 2) GPS Revenue Report for FY 2023; Source: McLagan; Inclusive of all investment banks 3) Source: Piper Sandler, Refinitiv Autex 4) Source: Greenwich Associates Equity Trading: Acquired Weeden & Co. to be a market leader in best execution Financial Services: Acquired Sandler O’Neill, the leading financial services investment bank; strengthening our capital markets platform, fixed income and equities businesses Macro Research: Acquired Cornerstone Macro, a best-in-class macro research firm Fastest Growing Equity Platform on Wall Street No. 4 Largest domestic account base, No. 8 largest global account base2 No. 1 SMID cap liquidity provider 1 No. 1 for facilitating corporate access with investors 1
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pipersandler.com | 25 No. 3 No. 12 13,000+ 1) Source: Extel U.S. All-American Research Survey. As of 10/29/24 2) SMID cap < $5 billion; data as of March 2025. Source: Starmine 3) On average since 2020. Source: Starmine ~850 45 Top-ranked analysts by Institutional Investor/Extel and Starmine Industry-Leading Research Offering clients genuine thought leadership and unique perspectives U.S. SMID cap coverage <$5B2 total U.S. equities coverage 3 research reports published in 2024 small-, mid- and large-cap stocks publishing analysts No. 1 Michael Kantrowitz, Portfolio Strategy1 No. 2 Nancy Lazar, Economics1 No. 3 Andy Laperriere, Washington Policy1 No. 4 Craig Johnson, Technical Research1 Macro Research Our analysts utilize independent processes that provide impartial insights into economic trends, policy actions, political developments and technical analysis. Equity Research We publish collaborative, cross-sector research that provides extensive market insights. Our sector coverage includes: FINANCIAL SERVICES CONSUMER ENERGY HEALTHCARE TECHNOLOGY Piper Sandler | 25
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Piper Sandler | 26 Re-format; this should be “why invest in PIPR?” – maybe need to expand on these Market Leading Fixed Income Platform Differentiated model providing comprehensive solutions to clients Piper Sandler | 26 • Capital efficient, advice driven business model • Long-standing leader in depositories providing sales and trading as well as strategic balance sheet management for loans and securities • Provide asset managers, public entities, RIAs and insurance companies, with differentiated insights and services through our deep understanding of unique client verticals Strong revenue growth amid advice-driven, capital efficient business model Fixed Income Revenues Fixed Income Inventory1 3,000+ Clients 220+ Professionals • Closely integrated with investment banking and public finance • Access to meaningful new issue deal flow and a broad array of taxable and tax-exempt fixed income products • Continue to prioritize investment in sales and trading professionals to expand product capabilities including structured product leadership in 2024 1) Fixed income inventory represents financial instruments and other inventory positions owned excluding equity securities, conv ertible securities, and derivative contracts. $76M $211M 2015 LTM 3Q 2025 $928M $292M 2015 3Q 2025 69% IMPROVED 178% GROWTH
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03 Reconciliation of Non-GAAP Financial Measures
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Piper Sandler | 28 Reconciliation of Non-GAAP Financial Measures LTM Sept. 30, Twelve Months Ended December 31, (Amounts in thousands) 2025 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Net revenues: Net revenues – U.S. GAAP basis $1,717,433 $1,525,914 $1,347,967 $1,425,638 $2,031,061 $1,238,213 $834,566 $740,953 $823,621 $693,214 $602,264 Adjustments: Investment (income)/loss related to noncontrolling interests 25,162 15,128 (22,916) 1,575 (59,050) (12,881) (10,769) (3,621) (5,319) (11,070) (9,810) Interest expense on long-term financing - - 5,146 6,500 8,446 9,628 1,848 4,902 7,171 8,195 6,406 Adjusted net revenues $1,742,595 $1,541,042 $1,330,197 $1,433,713 $1,980,457 $1,234,960 $825,645 $742,234 $825,473 $690,339 $598,860 Compensation and benefits: Compensation and benefits – U.S. GAAP basis $1,111,578 $1,004,173 $897,034 $983,524 $1,305,166 $877,462 $516,090 $488,487 $589,637 $482,749 $388,895 Adjustments: Compensation from acquisition-related agreements (39,221) (48,727) (51,058) (87,525) (116,795) (113,396) (5,138) (29,246) (54,999) (36,241) (4,019) Adjusted compensation and benefits $1,072,357 $955,446 $845,976 $895,999 $1,188,371 $764,066 $510,952 $459,241 $534,638 $446,508 $384,876 Non-compensation expenses: Non-compensation expenses – U.S. GAAP basis $337,942 $303,329 $328,347 $307,745 $284,383 $292,203 $199,497 $179,977 $154,668 $168,821 $147,653 Adjustments: Non-compensation expenses related to noncontrolling interests (7,757) (8,546) (9,434) (7,919) (7,196) (4,029) (4,306) (4,827) (2,932) (2,864) (3,403) Restructuring and integration costs (6,876) (2,586) (7,749) (11,440) (4,724) (10,755) (14,321) - - (10,197) (10,652) Amortization of intangible assets related to acquisitions (9,364) (10,288) (19,440) (15,375) (30,080) (44,728) (4,298) (4,858) (10,178) (15,587) (1,622) Non-compensation expenses from acquisition-related agreements (2,780) (3,089) 1,102 (4,450) (249) (12,085) (114) (683) (600) - - Non-compensation expenses from regulatory settlements (587) 3,045 (21,548) - - - - - - - - Adjusted non-compensation expenses $310,578 $281,865 $271,278 $268,561 $242,134 $220,606 $176,458 $169,609 $140,958 $140,173 $131,976 Income from continuing operations before income tax expense: Income from continuing operations before income tax expense – U.S. GAAP basis $267,913 $218,412 $122,586 $134,369 $441,512 $68,548 $118,979 $72,489 $79,316 $41,644 $65,716 Adjustments: Investment (income)/loss related to noncontrolling interests 25,162 15,128 (22,916) 1,575 (59,050) (12,881) (10,769) (3,621) (5,319) (11,070) (9,810) Interest expense on long-term financing - - 5,146 6,500 8,446 9,628 1,848 4,902 7,171 8,195 6,406 Non-compensation expenses related to noncontrolling interests 7,757 8,546 9,434 7,919 7,196 4,029 4,306 4,827 2,932 2,864 3,403 Compensation from acquisition-related agreements 39,221 48,727 51,058 87,525 116,795 113,396 5,138 29,246 54,999 36,241 4,019 Restructuring and integration costs 6,876 2,586 7,749 11,440 4,724 10,755 14,321 - - 10,197 10,652 Amortization of intangible assets related to acquisitions 9,364 10,288 19,440 15,375 30,080 44,728 4,298 4,858 10,178 15,587 1,622 Non-compensation expenses from acquisition-related agreements 2,780 3,089 (1,102) 4,450 249 12,085 114 683 600 - - Non-compensation expenses from regulatory settlements 587 (3,045) 21,548 - - - - - - - - Adjusted operating income $359,660 $303,731 $212,943 $269,153 $549,952 $250,288 $138,235 $113,384 $149,877 $103,658 $82,008 Interest expense on long-term financing - - (5,146) (6,500) (8,446) (9,628) (1,848) (4,902) (7,171) (8,195) (6,406) Adjusted income before adjusted income tax expense $359,660 $303,731 $207,797 $262,653 $541,506 $240,660 $136,387 $108,482 $142,706 $95,463 $75,602
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Piper Sandler | 29 Reconciliation of Non-GAAP Financial Measures – continued LTM Sept. 30, Twelve Months Ended December 31, (Amounts in thousands) 2025 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Income tax expense: Income tax expense – U.S. GAAP basis $64,410 $60,972 $23,613 $33,189 $111,144 $19,192 $24,577 $18,046 $53,808 $10,926 $19,618 Tax effect of adjustments: Compensation from acquisition-related agreements 8,845 10,224 10,467 20,872 23,646 27,456 1,014 7,254 19,244 12,541 1,563 Restructuring and integration costs 1,580 590 2,053 2,528 1,180 2,043 3,551 - - 3,188 4,144 Amortization of intangible assets related to acquisitions 2,409 2,675 5,152 3,599 6,436 11,345 1,048 1,203 3,877 6,060 630 Non-compensation expenses from acquisition-related agreements 715 797 (292) 1,148 63 3,069 - 169 (7) - - Non-compensation expenses from regulatory settlements 150 248 411 - - - - - - - - Impact of the Tax Cuts and Jobs Act legislation - - - - - - - (952) (36,356) - - Impact of deferred tax asset valuation allowance - - - - - - - (4,650) - - - Adjusted income tax expense $78,109 $75,506 $41,404 $61,336 $142,469 $63,105 $30,190 $21,070 $40,566 $32,715 $25,955 Net income/(loss) applicable to Piper Sandler Companies: Net income/(loss) applicable to Piper Sandler Companies – U.S. GAAP basis $236,422 $181,114 $85,491 $110,674 $278,514 $40,504 $111,711 $57,036 ($61,939) ($21,952) $52,075 Adjustment to exclude net income/(loss) from discontinued operations - - - - - - 23,772 1,387 (85,060) (44,464) 12,384 Net income from continuing operations $236,422 $181,114 $85,491 $110,674 $278,514 $40,504 $87,939 $55,649 $23,121 $22,512 $39,691 Adjustments: Compensation from acquisition-related agreements 30,376 38,503 40,591 66,653 93,149 85,940 4,124 21,992 35,755 23,700 2,456 Restructuring and integration costs 5,296 1,996 5,696 8,912 3,544 8,712 10,770 - - 7,009 6,508 Amortization of intangible assets related to acquisitions 6,955 7,613 14,288 11,776 23,644 33,383 3,250 3,655 6,301 9,527 992 Non-compensation expenses from acquisition-related agreements 2,065 2,292 (810) 3,302 186 9,016 114 514 607 - - Non-compensation expenses from regulatory settlements 437 (3,293) 21,137 - - - - - - - - Impact of the Tax Cuts and Jobs Act legislation - - - - - - - 952 36,356 - - Impact of deferred tax asset valuation allowance - - - - - - - 4,650 - - - Adjusted net income $281,551 $228,225 $166,393 $201,317 $399,037 $177,555 $106,197 $87,412 $102,140 $62,747 $49,647
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Piper Sandler | 30 1) For periods prior to 2020, Piper Sandler Companies calculated earnings per common share using the two- class method, which requires the allocation of consolidated adjusted net income between common shareholders and participating security holders, which in the case of Piper Sandler Companies, represented unvested stock wit h non-forfeitable dividend rights. No allocation of undistributed earnings was made for periods in which a loss was incurred, or for periods in which the special cash dividend exceeded adjusted net income resulting i n an undistributed loss. Reconciliation of Non-GAAP Financial Measures – continued LTM Sept. 30, Twelve Months Ended December 31, (Amounts in thousands, except per share data) 2025 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Net income/(loss) applicable to Piper Sandler Companies' common shareholders: Net income/(loss) applicable to Piper Sandler Companies' common shareholders – U.S. GAAP basis $236,422 $181,114 $85,491 $110,674 $278,514 $40,504 $107,200 $49,993 ($64,875) ($21,952) $48,060 Adjustment to exclude net income/(loss) from discontinued operations - - - - - - 22,928 1,217 (85,060) (44,464) 11,429 Net income from continuing operations $236,422 $181,114 $85,491 $110,674 $278,514 $40,504 $84,272 $48,776 $20,185 $22,512 $36,631 Adjustment related to participating shares (1) - - - - - - 625 40 (614) (3,948) - $236,422 $181,114 $85,491 $110,674 $278,514 $40,504 $84,897 $48,816 $19,571 $18,564 $36,631 Adjustments: Compensation from acquisition-related agreements 30,376 38,503 40,591 66,653 93,149 85,940 3,981 19,428 30,266 19,552 2,267 Restructuring and integration costs 5,296 1,996 5,696 8,912 3,544 8,712 10,397 - - 5,782 6,006 Amortization of intangible assets related to acquisitions 6,955 7,613 14,288 11,776 23,644 33,383 3,138 3,212 5,334 7,858 916 Non-compensation expenses from acquisition-related agreements 2,065 2,292 (810) 3,302 186 9,016 110 452 514 - - Non-compensation expenses from regulatory settlements 437 (3,293) 21,137 - - - - - - - - Impact of the Tax Cuts and Jobs Act legislation - - - - - - - 837 30,774 - - Impact of deferred tax asset valuation allowance - - - - - - - 4,087 - - - Adjusted net income applicable to Piper Sandler Companies' common shareholders $281,551 $228,225 $166,393 $201,317 $399,037 $177,555 $102,523 $76,832 $86,459 $51,756 $45,820 Earnings/(loss) per diluted common share: Earnings/(loss) per diluted common share – U.S. GAAP basis $13.28 $10.24 $4.96 $6.52 $16.43 $2.72 $7.69 $3.72 ($4.99) ($1.72) $3.34 Adjustment to exclude net income/(loss) from discontinued operations - - - - - - 1.65 0.09 (6.56) (3.48) 0.79 Income from continuing operations $13.28 $10.24 $4.96 $6.52 $16.43 $2.72 $6.05 $3.63 $1.57 $1.76 $2.55 Adjustment related to participating shares (1) - - - - - - 0.04 - (0.05) (0.31) - Adjustment for inclusion of unvested acquisition-related stock (0.24) (0.20) (0.38) (0.60) (1.62) (1.89) - - - - - $13.04 $10.04 $4.58 $5.92 $14.81 $0.83 $6.09 $3.63 $1.52 $1.45 $2.55 Adjustments: Compensation from acquisition-related agreements 1.71 2.17 2.36 3.93 5.49 5.76 0.29 1.44 2.33 1.53 0.16 Restructuring and integration costs 0.30 0.11 0.33 0.53 0.21 0.58 0.75 - - 0.45 0.42 Amortization of intangible assets related to acquisitions 0.39 0.43 0.83 0.69 1.39 2.24 0.23 0.24 0.41 0.61 0.06 Non-compensation expenses from acquisition-related agreements 0.12 0.13 (0.05) 0.19 0.01 0.61 0.01 0.04 0.04 - - Non-compensation expenses from regulatory settlements 0.02 (0.19) 1.23 - - - - - - - - Impact of the Tax Cuts and Jobs Act legislation - - - - - - - 0.06 2.38 - - Impact of deferred tax asset valuation allowance - - - - - - - 0.31 - - - Adjusted earnings per diluted common share $15.58 $12.69 $9.28 $11.26 $21.92 $10.02 $7.36 $5.72 $6.68 $4.05 $3.18 Weighted average diluted common shares outstanding: Weighted average diluted common shares outstanding – U.S. GAAP basis 17,798 17,695 17,224 16,965 16,955 14,901 13,937 13,425 12,978 12,779 14,389 Adjustment: Unvested acquisition-related restricted stock with service conditions 269 293 715 909 1,251 2,814 - - - - - Adjusted weighted average diluted common shares outstanding 18,067 17,988 17,939 17,874 18,206 17,715 13,937 13,425 12,978 12,779 14,389