HOULIHAN LOKEY, INC. Administration’s Dialogue and Evaluation of Monetary Situation and Outcomes of Operations (kind 10-Okay)

This Administration's Dialogue and Evaluation of Monetary Situation and Outcomes of
Operations must be learn along with our historic monetary statements and
associated notes included elsewhere on this Type 10-Okay. Precise outcomes and the
timing of occasions could differ considerably from these expressed or implied in any
forward-looking statements resulting from quite a few components, together with these set forth
within the sections entitled "Danger Elements" and "Cautionary Observe Concerning
Ahead-Wanting Statements" and elsewhere on this Type 10-Okay. For dialogue
associated to adjustments in monetary situation and the outcomes of operations for
fiscal yr 2020-related objects, confer with Half II, Merchandise 7. Administration's
Dialogue and Evaluation of Monetary Situation and Outcomes of Operations in our
Annual Report on Type 10-Okay for fiscal yr 2021, which was filed with the
Securities and Alternate Fee on Could 21, 2021.

Govt Overview

Established in 1972, Houlihan Lokey is a number one international unbiased funding
financial institution with experience in mergers and acquisitions, capital markets, monetary
restructurings, and monetary and valuation advisory. With workplaces the United
States, Europe, the Center East, and the Asia-Pacific area, the Firm serves
a various set of shoppers together with companies, monetary sponsors and
authorities businesses worldwide. Houlihan Lokey's monetary professionals ship
significant and differentiated recommendation to shoppers on technique and monetary
selections using a rigorous analytical method coupled with deep product and
business experience.

We function in three segments: Company Finance ("CF"); Monetary Restructuring
("FR"); and Monetary and Valuation Advisory ("FVA"). In our CF enterprise
section, we consider we're a longtime chief in M&A and capital markets
advisory providers. By our FR enterprise section, we advise on a number of the
largest and most advanced restructurings world wide. Our FVA enterprise
section is likely one of the largest and most revered valuation, monetary opinion
and monetary consulting practices in the USA.

As of March 31, 2022, we served our shoppers globally with 1,686 monetary
professionals, together with 289 Managing Administrators. We plan to proceed to develop our
agency throughout business sectors, geographies and merchandise to ship high quality recommendation
and progressive options to our shoppers, each organically and thru
acquisitions. Acquisitions during the last a number of years embrace: Leonardo & Co.
NV in November 2015 in Germany, the Netherlands and Spain, and Leonardo's
funding banking operations in Italy in June 2019 (collectively, "Leonardo"),
which allow us to offer a a lot larger breadth of providers and protection to
our shoppers each in continental Europe and throughout the globe; Fidentiis Capital
in November 2019, an unbiased advisory enterprise offering unbiased
company finance advisory providers regarding mergers and acquisitions,
capital elevating, and financing; Freeman & Co. in December 2019, an unbiased
advisory enterprise offering mergers and acquisitions advisory, capital elevating,
and different funding banking advisory providers for the monetary providers
sector; MVP Capital, LLC, in August 2020, an unbiased advisory agency that
supplies a spread of economic advisory providers to shoppers within the know-how,
media, and telecommunications sectors; and in October 2021, GCA Company
("GCA"), a worldwide technology-focused funding financial institution offering M&A advisory and
capital markets advisory providers in Europe, Japan/Asia, and the USA.
The addition of GCA considerably will increase the Firm's place within the
know-how sector, which is important to assembly the wants of our shoppers as
know-how more and more touches each enterprise sector.

We generate revenues primarily from offering advisory providers on transactions
which might be topic to individually negotiated engagement letters that set forth
our charges. A good portion of our engagements embrace Progress Charges (as
outlined herein) consisting of each periodic and milestone-related funds. The
prevalence and timing of milestone-related funds, reminiscent of upon the closing of
a transaction, are usually not inside our management. Accordingly, income and
internet earnings in any interval will not be indicative of full yr outcomes or the
outcomes of another interval and will range considerably from yr to yr and
quarter to quarter.

Company bills characterize bills that aren’t allotted to particular person
enterprise segments reminiscent of workplace of the executives, accounting, data
know-how, compliance and authorized, advertising, human capital, together with associated
compensation expense for company workers.

Enterprise Surroundings and Outlook

Financial and international monetary circumstances can materially have an effect on our operational
and monetary efficiency. See "Danger Elements" for a dialogue of a number of the
components that may have an effect on our efficiency.

Our fiscal yr ends on March 31 of every yr. For the fiscal yr ended March
31, 2022, we earned revenues of $2.27 billion, a rise of 49% from the $1.53
billion earned throughout the fiscal yr ended March 31, 2021. For our fiscal yr
ended March 31, 2021, revenues elevated 32% over our fiscal yr ended March
31, 2020 revenues of $1.16 billion.

For the fiscal years ended March 31, 2022, 2021, and 2020, we earned revenues of
$579 million, $333 million, and $184 million, respectively, from our
worldwide operations.

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Based mostly on historic expertise, we consider present financial circumstances present a
steady setting for M&A and capital markets actions, however the continued
menace from inflation and the conflict in Ukraine present a measure of uncertainty in
the approaching quarters. In the USA, our dialogue with shoppers who're
evaluating strategic alternate options stays measured as we proceed to see good
exercise in M&A because of the supply of capital within the mid-cap area,
however considerations stay across the macro-economic components talked about above.

Our Monetary Restructuring exercise has reasonably improved because of the
components talked about above (inflation and the conflict in Ukraine). It's too early to
inform if and when this enchancment will end in revenues, be we proceed to
stay optimistic in regards to the present restructuring outlook over the medium and
long run resulting from report ranges of firm leverage, inflation, supply-chain
points, current geopolitical occasions, and contracting financial coverage. We're
poised to deal with any improve in market exercise if and when markets shift.

Key Monetary Measures

Revenues

Revenues embrace charge revenues and reimbursements of bills (see Observe 2 and
Observe 3 included in Half II, Merchandise 8 of this Type 10-Okay). Revenues mirror revenues
from our CF, FR, and FVA enterprise segments that considerably include charges
for advisory providers.

Revenues for all three enterprise segments are acknowledged upon satisfaction of the
efficiency obligation and could also be glad over time or at a cut-off date. The
quantity and timing of the charges paid range by the kind of engagement. Generally,
advisory charges are paid on the time an engagement letter is signed ("Retainer
Charges"), throughout the course of the engagement ("Progress Charges"), or upon the
profitable completion of a transaction or engagement ("Completion Charges").

CF supplies common monetary advisory providers along with recommendation on mergers
and acquisitions and capital markets choices. We advise private and non-private
establishments on all kinds of conditions, together with buy-side and sell-side
transactions, in addition to leveraged loans, non-public mezzanine debt, high-yield
debt, preliminary public choices, follow-ons, convertibles, fairness non-public
placements, non-public fairness, and legal responsibility administration transactions, and advise
monetary sponsors on all kinds of transactions. The vast majority of our CF revenues
consists of Completion Charges. A CF transaction can fail to be accomplished for a lot of
causes which might be outdoors of our management. In these cases, our charges are
usually restricted to Retainer Charges and in some instances Progress Charges which will have
been obtained.

FR supplies recommendation to debtors, collectors and different parties-in-interest in
reference to recapitalization/deleveraging transactions carried out each
by way of chapter proceedings and thru out-of-court exchanges, consent
solicitations or different mechanisms, in addition to in distressed mergers and
acquisitions and capital markets actions. As a part of these engagements, our
FR enterprise section gives a variety of advisory providers to our shoppers,
together with: the structuring, negotiation, and affirmation of plans of
reorganization; structuring and evaluation of trade gives; company viability
evaluation; dispute decision and knowledgeable testimony; and procuring
debtor-in-possession financing. Though atypical, FR transactions can fail to
be accomplished for a lot of causes which might be outdoors of our management. In these
cases, our charges are usually restricted to the Retainer Charges and/or Progress
Charges.

FVA primarily supplies valuations of varied property, together with: firms;
illiquid debt and fairness securities; and mental property (amongst different
property and liabilities). These valuations are used for monetary reporting, tax
reporting, and different functions. As well as, our FVA enterprise section renders
equity opinions in reference to mergers and acquisitions and different
transactions, and solvency opinions in reference to company spin-offs and
dividend recapitalizations, and different kinds of monetary opinions in connection
with different transactions. Additionally, our FVA enterprise section supplies dispute
decision providers to shoppers the place charges are normally primarily based on the hourly charges
of our monetary professionals. In contrast to our CF or FR segments, the charges generated
in our FVA section are usually not contingent on the profitable completion of
a transaction.

Working Bills

Our working bills are categorised as worker compensation and advantages
expense and non-compensation expense; income and headcount are the first
drivers of our working bills. Reimbursements of sure out-of-pocket deal
bills are recorded on a gross foundation and are subsequently included in each
Revenues and Working bills on the Consolidated Statements of Complete
Revenue.
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Worker Compensation and Advantages Expense. Our worker compensation and
advantages expense, which accounts for almost all of our working bills, is
decided by administration primarily based on revenues earned, headcount, the
competitiveness of the prevailing labor market, and anticipated compensation
expectations of our workers. These components could fluctuate, and consequently, our
worker compensation and advantages expense could fluctuate materially in any
specific interval. Accordingly, the quantity of worker compensation and advantages
expense acknowledged in any specific interval will not be in step with prior
intervals or indicative of future intervals.

Our worker compensation and advantages expense consists of base wage, payroll
taxes, advantages, annual incentive compensation payable as money bonus awards,
deferred money bonus awards, and the amortization of equity-based bonus awards.
Base wage and advantages are paid ratably all year long. Our annual
equity-based bonus awards embrace fastened share compensation awards and legal responsibility
categorised fastened greenback awards as a element of the annual bonus awards for
sure workers. These fairness awards are usually topic to annual vesting
necessities over a four-year interval starting on the date of grant, which
sometimes happens within the first quarter of every fiscal yr; accordingly, bills
are amortized over the said vesting interval. In most circumstances, the
unvested portion of those awards is topic to forfeiture ought to the worker
depart from the Firm, and in sure instances if sure monetary metrics are
not met. Money bonuses, that are accrued month-to-month, are discretionary and
dependent upon quite a few components together with the Firm's efficiency and are
usually paid within the first quarter of every fiscal yr with respect to prior
yr efficiency. Usually, a portion of the money bonus is deferred and paid in
the third quarter of the fiscal yr through which the bonus is awarded. We confer with
the ratio of our worker compensation and advantages bills to our revenues as
our "Compensation Ratio."

Non-Compensation Expense. The steadiness of our working bills consists of prices
for journey, meals and leisure, hire, depreciation and amortization,
data know-how and communications, skilled charges, and different
working bills. We confer with all of those bills as non-compensation
bills. A portion of our non-compensation bills fluctuates in response to
adjustments in headcount.

Different (Revenue)/Expense, Internet

Different (earnings)/expense, internet consists of (i) curiosity earnings earned on
non-marketable and funding securities, money and money equivalents, loans
receivable from associates, worker loans, and business paper, (ii) curiosity
expense and costs on our 2019 Line of Credit score (outlined herein), (iii) curiosity
expense on the mortgage payable to affiliate, loans payable to former shareholders,
and the mortgage payable to non-affiliates, (iv) fairness earnings and/or beneficial properties or
losses from funds and partnership pursuits the place we've greater than a minor
possession curiosity or greater than minor affect over operations, however do not need
a controlling curiosity and aren't the first beneficiary, and (v) beneficial properties and/or
losses related to the discount/improve of earnout liabilities.

Outcomes of Consolidated Operations

The next is a dialogue of our outcomes of operations for the years ended
March 31, 2022 and 2021. For a extra detailed dialogue of the components that
affected the revenues and the working bills of our CF, FR, and FVA enterprise
segments in these intervals, see "Enterprise Segments" under.

                                                                          Yr Ended March 31,                Change
($ in 1000's)                                                     2022                 2021                            '21-'22
Revenues                                                        $ 2,269,958$ 1,525,452                                 49  %
Working bills:
Worker compensation and advantages                                1,408,634              971,195                                 45  %
Non-compensation bills                                           248,460              146,100                                 70  %
Whole working bills                                          1,657,094            1,117,295                                 48  %
Working earnings                                                    612,864              408,157                                 50  %
Different (earnings)/expense, internet                                           8,926               (1,071)                              (933) %
Revenue earlier than provision for earnings taxes                            603,938              409,228                                 48  %
Provision for earnings taxes                                          165,614               96,457                                 72  %
Internet earnings                                                          438,324              312,771                                 40  %
Internet earnings attributable to noncontrolling curiosity                     (573)                   -                                100  %
Internet earnings attributable to Houlihan Lokey, Inc.                 $   437,751$   312,771                                 40  %



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Yr Ended March 31, 2022 versus March 31, 2021

Revenues have been $2,270 million for the yr ended March 31, 2022, in contrast with
$1,525 million for the yr ended March 31, 2021, representing a rise of
49%. For the yr ended March 31, 2022, CF revenues elevated 98%, FR revenues
decreased (27)%, and FVA revenues elevated 51% when put next with the yr
ended March 31, 2021.

Working bills have been $1,657 million for the yr ended March 31, 2022,
in contrast with $1,117 million for the yr ended March 31, 2021, a rise of
48%. Worker compensation and advantages expense, as a element of working
bills, was $1,409 million for the yr ended March 31, 2022, in contrast with
$971 million for the yr ended March 31, 2021, a rise of 45%. The rise
in worker compensation and advantages expense was primarily because of the improve
in revenues for the fiscal yr. The Compensation Ratio was 62% and 64% for the
years ended March 31, 2022 and 2021, respectively. Non-compensation bills, as
a element of working bills, have been $248 million for the yr ended March
31, 2022, in contrast with $146 million for the yr ended March 31, 2021, an
improve of 70%. The rise in non-compensation bills was primarily a
results of non-compensation bills attributable to GCA, amortization of
intangible property acknowledged in reference to the acquisition of GCA,
integration and acquisition associated prices related to our acquisition of GCA
and a rise in different working bills.

Different (earnings)/expense, internet elevated to an expense of $8.9 million for the yr
ended March 31, 2022, in contrast with earnings of $(1.1) million for the yr ended
March 31, 2021. The rise in different (earnings)/expense, internet was primarily resulting from
a loss acknowledged in reference to the rise within the honest worth of an
earnout legal responsibility related to one among our earlier acquisitions, with no
comparable improve for the yr ended March 31, 2021.

The availability for earnings taxes for the yr ended March 31, 2022 was $165.6
million, which mirrored an efficient tax charge of 27%. The availability for earnings
taxes for the yr ended March 31, 2021 was $96.5 million, which mirrored an
efficient tax charge of 24%. The rise within the Firm's tax charge throughout the
yr ended March 31, 2022 relative to the yr ended March 31, 2021 was
primarily a results of elevated state taxes, elevated overseas taxes and
decreased inventory compensation deductions.
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Enterprise Segments

The next desk presents revenues, bills, and contributions from our
persevering with operations by enterprise section. The revenues by section represents
every section's revenues, and the revenue by section represents revenue for every
section earlier than company bills, Different (earnings)/expense, internet, and earnings
taxes.

                                                     Yr Ended March 31,            Change
($ in 1000's)                                   2022             2021                      21-'22
Revenues by section
Company Finance                              $ 1,593,083$   802,853                     98  %
Monetary Restructuring                            392,818          534,747                    (27) %
Monetary and Valuation Advisory                   284,057          187,852                     51  %
Revenues                                       $ 2,269,958$ 1,525,452                     49  %
Phase revenue (1)
Company Finance                              $   606,268$   250,513                    142  %
Monetary Restructuring                            100,882          224,215                    (55) %
Monetary and Valuation Advisory                    88,136           46,642                     89  %
Whole section revenue                               795,286          521,370                     53  %
Company bills (2)                             182,422          113,213                     61  %
Different (earnings)/expense, internet                          8,926           (1,071)                  (933) %

Revenue earlier than provision for earnings taxes $ 603,938$ 409,228

                    48  %

Phase Metrics:
Variety of Managing Administrators
Company Finance                                      202                120                   68  %
Monetary Restructuring                                 53                 47                   13  %
Monetary and Valuation Advisory                        34                 31                   10  %
Variety of closed transactions/Payment Occasions (3)
Company Finance                                      600                360                   67  %
Monetary Restructuring                                 90                138                  (35) %
Monetary and Valuation Advisory                     2,183              1,540                   42  %


(1)We regulate the compensation expense for a enterprise section in conditions the place
an worker residing in a single enterprise section is performing work in one other
enterprise section the place the revenues are accrued. Phase Revenue could range
considerably between intervals relying on the degrees of collaboration among the many
completely different segments.
(2)Company bills characterize bills that aren't allotted to particular person
enterprise segments reminiscent of workplace of the executives, accounting, data
know-how, compliance, authorized, advertising, and human capital.
(3)Payment Occasions relevant to FVA solely; a Payment Occasion consists of any engagement that
includes income exercise throughout the measurement interval with a income minimal
of one thousand {dollars}. References to closed transactions must be understood
to be the identical as transactions which might be "successfully closed" as described in
Observe 2 of our Consolidated Monetary Statements.

Company Finance

Yr Ended March 31, 2022 In comparison with the Yr Ended March 31, 2021

Revenues for CF have been $1,593 million for the yr ended March 31, 2022, in contrast
with $803 million for the yr ended March 31, 2021, representing a rise of
98%. The rise in revenues was primarily a results of (i) the completion of
our acquisition of GCA throughout the third quarter ended December 31, 2021,
ensuing within the consolidation of their revenues into our CF enterprise section,
(ii) a big improve within the variety of transactions that closed, and (iii)
a rise within the common transaction charge on closed transactions for the yr
ended March 31, 2022, in contrast with the yr ended March 31, 2021.

Phase revenue for CF was $606 million for the yr ended March 31, 2022,
in contrast with $251 million for the yr ended March 31, 2021, representing an
improve of 142%. The rise in section revenue was primarily a results of
larger revenues and decrease compensation and non-compensation bills as a
share of revenues for the yr ended March 31, 2022, in contrast with the yr
ended March 31, 2021.

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Monetary Restructuring

Yr Ended March 31, 2022 In comparison with the Yr Ended March 31, 2021

Revenues for FR have been $393 million for the yr ended March 31, 2022, in contrast
with $535 million for the yr ended March 31, 2021, representing a lower of
(27)%. The lower in revenues was primarily resulting from a lower within the variety of
closed transactions, partially offset by a rise within the common transaction
charge for the yr ended March 31, 2022, in contrast with the yr ended March 31,
2021.

Phase revenue for FR was $101 million for the yr ended March 31, 2022,
in contrast with $224 million for the yr ended March 31, 2021, a lower of
(55)%. The lower in section revenue was primarily a results of a lower in
revenues and elevated compensation bills as a share of revenues for
the yr ended March 31, 2022, in contrast with the yr ended March 31, 2021.

Monetary and Valuation Advisory

Yr Ended March 31, 2022 In comparison with the Yr Ended March 31, 2021

Revenues for FVA have been $284 million for the yr ended March 31, 2022, in contrast
with $188 million for the yr ended March 31, 2021, representing a rise of
51%. The rise in revenues was primarily resulting from a rise within the variety of
charge occasions for the yr ended March 31, 2022, in contrast with the yr ended March
31, 2021.

Phase revenue for FVA was $88 million for the yr ended March 31, 2022,
in contrast with $47 million for the yr ended March 31, 2021, representing an
improve of 89%. The rise in section revenue was primarily a results of the
improve in revenues and decrease compensation bills as a share of revenues
for the yr ended March 31, 2022, in contrast with the yr ended March 31, 2021.

Company Bills

Yr Ended March 31, 2022 In comparison with the Yr Ended March 31, 2021

Company bills have been $182 million for the yr ended March 31, 2022, in contrast
with $113 million for the yr ended March 31, 2021, representing a rise of
61%. The rise in company bills was primarily a results of
non-compensation bills attributable to GCA, amortization of intangible property
acknowledged in reference to the acquisition of GCA and integration and
acquisition associated prices related to the acquisition of GCA.

Liquidity and Capital Assets

Our present property comprise money and money equivalents, funding securities,
receivables from associates, accounts receivable, and unbilled work in progress
associated to charges earned from offering advisory providers. Our present liabilities
embrace deferred earnings, accounts payable and accrued bills, accrued salaries
and bonuses, earnings taxes payable, and present portion of mortgage obligations.

Our money and money equivalents embrace money held at banks. We keep average
ranges of money readily available in help of regulatory necessities for our registered
broker-dealer. As of March 31, 2022 and 2021, we had $477 million and $283
million of money in overseas subsidiaries, respectively. Our extra money could also be
invested briefly time period investments, together with treasury securities, business
paper, certificates of deposit, funding grade company debt securities, and
particular function acquisition firms. Please confer with Observe 6 for additional
element.

As of March 31, 2022 and 2021, our Money and money equivalents, Funding
securities, and Restricted money have been as follows:

(In 1000's)                                                     March 31, 2022           March 31, 2021
Money and money equivalents                                        $       833,697$       846,851
Funding securities                                                    109,143                  208,618

Whole unrestricted money and money equivalents, together with
funding securities

                                                    942,840                1,055,469
Restricted money (1)                                                          373                      373

Whole money, money equivalents, and restricted money, together with
funding securities

                                            $       

943,213 $ 1,055,842

(1)Represents a deposit in help of a letter of credit score issued for our
Frankfurt workplace.

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As of every fiscal yr finish, a cloth portion of our Money and money equivalents
is reserved to cowl accrued, however unpaid bonuses, which might be paid the next
Could and November.

Our liquidity is extremely dependent upon money receipts from shoppers which might be
usually dependent upon the profitable completion of transactions in addition to
the timing of receivables collections, which usually happen inside 60 days of
billing. As of March 31, 2022 and 2021, we had $144 million and $108 million of
Accounts receivable, internet of credit score losses, respectively. As of March 31,
2022 and 2021, we had $105 million and $118 million of Unbilled work in
progress, internet of credit score losses, respectively.

Subsequent to the tip of fiscal 2022, our Board of Administrators declared a
quarterly money dividend of $0.53 per share of frequent inventory, payable on June 15,
2022 to shareholders of report as of the shut of enterprise on June 2, 2022.

On August 23, 2019, the Firm entered into a brand new syndicated revolving line of
credit score with the Financial institution of America, N.A. and sure different monetary establishments
get together thereto, which permits for borrowings of as much as $100 million (and, topic
to sure circumstances, supplies the Firm with an growth choice, which, if
exercised in full, would supply for a complete credit score facility of $200 million)
and matures on August 23, 2022 (the "2019 Line of Credit score"). As of March 31,
2022, no principal was excellent below the 2019 Line of Credit score. The settlement
governing this facility supplies that borrowings bear curiosity at an annual charge
of LIBOR plus 1.00%, dedication charges apply to unused quantities, and incorporates debt
covenants which require that the Firm keep sure monetary ratios. The
mortgage settlement requires compliance with sure mortgage covenants together with however not
restricted to the upkeep of minimal consolidated earnings earlier than curiosity,
taxes, depreciation and amortization of at least $150 million as of the tip
of any quarterly 12-month interval and sure leverage ratios together with a
consolidated leverage ratio of lower than 2.00 to 1.00. As of March 31, 2022, we
have been, and anticipate to proceed to be, in compliance with such covenants.

The vast majority of the Firm's cost obligations and commitments pertain to
routine working leases. The Firm additionally has varied obligations regarding
notes payable and contingent consideration issued in reference to companies
beforehand acquired (see Observe 10 included in Half II, Merchandise 8 of this Type 10-Okay).

In reference to sure acquisitions, sure workers could also be entitled to
deferred consideration, primarily within the type of retention funds, ought to
sure service and/or efficiency circumstances be met sooner or later. Because of this
of those circumstances, such deferred consideration can be expensed as
compensation in present and future intervals and has been accrued as liabilities
on the Consolidated Steadiness Sheets as of March 31, 2022 and 2021.
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Money Flows

Our working money flows are primarily influenced by the quantity and timing of
receipt of advisory charges and the cost of working bills, together with
funds of incentive compensation to our workers. We pay a big
portion of our incentive compensation throughout the first and third quarters of
every fiscal yr. A abstract of our working, investing, and financing money
flows is as follows:

                                                                                   Yr Ended March 31,
(In 1000's)                                                            March 31, 2022           March 31, 2021
Working actions:
Internet earnings                                                              $       438,324$       312,771
Non-cash fees                                                                115,902                   86,837
Different working actions                                                      182,378                  180,229
Internet money supplied by working actions                                       736,604                  579,837
Internet money utilized in investing actions                                          (273,914)                 (99,748)
Internet money utilized in financing actions                                          (459,060)                 (26,823)
Results of trade charge adjustments on money and money equivalents                   (16,784)                  13,212

Internet improve/(lower) in money, money equivalents, and restricted money

     (13,154)                 466,478
Money, money equivalents and restricted money - starting of interval                847,224                  380,746
Money, money equivalents and restricted money - finish of interval              $       834,070$       847,224



Yr Ended March 31, 2022

Working actions resulted in a internet influx of $736.6 million for the yr
ended March 31, 2022, primarily resulting from elevated internet earnings. Investing
actions resulted in a internet outflow of $(273.9) million for the yr ended
March 31, 2022, primarily resulting from money consideration used for the acquisition of
GCA. Financing actions resulted in a internet outflow of $(459.1)
million primarily resulting from share repurchases accomplished throughout the yr ended March
31, 2022.

Yr Ended March 31, 2021

Working actions resulted in a internet influx of $579.8 million for fiscal 2021,
which was larger than the prior yr due primarily to larger internet earnings for the
yr and a rise in accrued salaries and bonuses. Investing actions
resulted in a internet outflow of $(99.7) million for fiscal 2021, primarily resulting from
purchases of recent funding securities, partially offset by the sale or maturity
of funding securities and acquisitions of property and tools. Financing
actions resulted in a internet outflow of $(26.8) million primarily associated to (i)
dividend distributions, (ii) share repurchases, and (iii) funds to settle
worker tax obligations on share-based awards, partially offset by the proceeds
from the Firm's Could 2020 providing.

Vital Accounting Insurance policies and Estimates

We consider that the important accounting insurance policies and practices included under
are each most necessary to the portrayal of the Firm's monetary situation
and outcomes, and require administration's most troublesome, subjective, or advanced
judgments, typically because of the necessity to make estimates in regards to the results of
issues which might be inherently unsure. For a dialogue of those and different
vital accounting insurance policies and their impression on our consolidated monetary
statements, see Observe 2 included partly II, Merchandise 8 of this Type 10-Okay.

The preparation of consolidated monetary statements and associated disclosures in
conformity with GAAP requires administration to make estimates and assumptions that
have an effect on the reported quantities of property and liabilities and disclosure of
contingent property and liabilities on the date of the monetary statements, and
the reported quantities of revenues and bills throughout the reporting interval.
Precise outcomes could differ from these estimates. Estimates and assumptions are
reviewed periodically, and the consequences of revisions are mirrored within the interval
for which they're decided to be needed.

Recognition of Income

The Firm adopted ASU 2014-09, Income from Contracts with Clients, on April
1, 2018, which requires an entity to acknowledge income to depict the switch of
promised items or providers to prospects in an quantity that displays the
consideration to which the entity expects to be entitled in trade for these
items or providers. The Firm used the modified retrospective technique that
resulted within the Firm prospectively altering the presentation of
reimbursements of sure out-of-pocket bills from a internet presentation inside
non-compensation bills to a gross foundation in revenues.

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CF supplies common monetary advisory providers along with recommendation on mergers
and acquisitions and capital markets choices. We advise private and non-private
establishments on all kinds of conditions, together with buy-side and sell-side
transactions, in addition to leveraged loans, non-public mezzanine debt, high-yield
debt, preliminary public choices, follow-ons, convertibles, fairness non-public
placements, non-public fairness, and legal responsibility administration transactions, and advise
monetary sponsors on all kinds of transactions. The vast majority of our CF revenues
consists of Completion Charges. A CF transaction can fail to be accomplished for a lot of
causes which might be outdoors of our management. In these cases, our charges are
usually restricted to Retainer Charges and in some instances Progress Charges which will have
been obtained.

FR supplies recommendation to debtors, collectors and different parties-in-interest in
reference to recapitalization/deleveraging transactions carried out each
by way of chapter proceedings and thru out-of-court exchanges, consent
solicitations or different mechanisms, in addition to in distressed mergers and
acquisitions and capital markets actions. As a part of these engagements, our
FR enterprise section gives a variety of advisory providers to our shoppers,
together with: the structuring, negotiation, and affirmation of plans of
reorganization; structuring and evaluation of trade gives; company viability
evaluation; dispute decision and knowledgeable testimony; and procuring
debtor-in-possession financing. Though atypical, FR transactions can fail to
be accomplished for a lot of causes which might be outdoors of our management. In these
cases, our charges are usually restricted to the Retainer Charges and/or Progress
Charges.

FVA primarily supplies valuations of varied property, together with: firms;
illiquid debt and fairness securities; and mental property (amongst different
property and liabilities). These valuations are used for monetary reporting, tax
reporting, and different functions. As well as, our FVA enterprise section renders
equity opinions in reference to mergers and acquisitions and different
transactions, and solvency opinions in reference to company spin-offs and
dividend recapitalizations, and different kinds of monetary opinions in connection
with different transactions. Additionally, our FVA enterprise section supplies dispute
decision providers to shoppers the place charges are normally primarily based on the hourly charges
of our monetary professionals. In contrast to our CF or FR segments, the charges generated
in our FVA section are usually not contingent on the profitable completion of
a transaction.

See Observe 2 included in Half II, Merchandise 8 of this Type 10-Okay for added
data.

Provision for Revenue Taxes

The Firm information consolidated federal earnings tax returns, in addition to
consolidated and separate returns in state and native jurisdictions, and the
Firm stories earnings tax expense on this foundation.

See Observe 12 included in Half II, Merchandise 8 of this Type 10-Okay for added
data.

Enterprise Mixtures

Accounting for enterprise mixtures requires administration to make vital
estimates and assumptions. Vital estimates in valuing sure intangible
property embrace, however aren't restricted to, future anticipated money flows, anticipated
asset lives, geographic threat premiums, low cost charges, and extra. The quantities and
helpful lives assigned to acquisition-related intangible property impression the quantity
and timing of future amortization expense.

Latest Accounting Developments

For added data on not too long ago issued accounting developments and their
impression or potential impression on our consolidated monetary statements, see Observe 2
included in Half II, Merchandise 8 of this Type 10-Okay.

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