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EMPLOYEE BENEFIT PLANS | 9 Months Ended
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Dec. 31, 2024
Share-Based Payment Arrangement [Abstract] |
EMPLOYEE BENEFIT PLANS | Employee Benefit Plans Defined Contribution Plans The Company sponsors a 401(k) defined contribution savings plan for its domestic employees and defined contribution retirement plans for its international employees. The Company contributed approximately $3,352 and $3,471 to these plans during the three months ended December 31, 2024 and 2023, respectively, and $9,758 and $9,583 during the nine months ended December 31, 2024 and 2023, respectively. Share-Based Incentive Plans Awards of restricted shares and restricted stock units have been and will be made under the Amended and Restated Houlihan Lokey, Inc. 2016 Incentive Award Plan (the "2016 Incentive Plan"), which became effective in August 2015 and was amended in October 2017. Under the 2016 Incentive Plan, it is anticipated that the Company will continue to grant cash and equity-based incentive awards to eligible service providers in order to attract, motivate and retain the talent necessary to operate the Company's business. Equity-based incentive awards issued under the 2016 Incentive Plan generally vest over a four-year period. Restricted shares of Class A common stock were granted under the 2016 Incentive Plan to (i) six independent directors in the first quarter of the fiscal year ended March 31, 2024, at $87.60 per share and (ii) six independent directors in the first quarter of the fiscal year ending March 31, 2025, at $134.08 per share. No excess tax benefit was recognized during the three months ended December 31, 2024 and 2023. An excess tax benefit of $21,921 and $7,299 was recognized during the nine months ended December 31, 2024 and 2023, respectively, as a component of the provision for income taxes and an operating activity on the Consolidated Statements of Cash Flows. The excess tax benefits recognized during the nine months ended December 31, 2024 and 2023 were related to shares vested in May 2024 and May 2023, respectively. The share awards are classified as equity awards at the time of grant unless the number of shares granted is unknown. Awards that are settleable in shares based upon a future determinable stock price are classified as liabilities until the price is established and the resulting number of shares is known, at which time they are re-classified from liabilities to equity awards. Activity in equity-classified share awards which relate to the 2016 Incentive Plan during the nine months ended December 31, 2024 and 2023 was as follows:
Unvested Share Awards |  | Shares |  | Weighted Average Grant Date Fair Value
Balance, April 1, 2024 |  | 4,519,024 |  |  | $ | 83.37 |
Granted |  | 975,043 |  |  | 136.04 |
Vested |  | (1,619,144) |  |  | 80.49 |
Forfeited/Repurchased |  | (208,753) |  |  | 90.69 |
Balance, December 31, 2024 |  | 3,666,170 |  |  | $ | 98.24 |
Balance, April 1, 2023 |  | 5,281,779 |  |  | $ | 79.57 |
Granted |  | 1,244,902 |  |  | 87.60 |
Vested |  | (1,639,703) |  |  | 74.21 |
Forfeited/Repurchased |  | (321,337) |  |  | 84.21 |
Balance, December 31, 2023 |  | 4,565,641 |  |  | $ | 83.36 |
Activity in liability-classified share awards during the nine months ended December 31, 2024 and 2023 was as follows:
Awards Settleable in Shares |  | Fair Value
Balance, April 1, 2024 |  | $ | 17,184 |
Offer to grant |  | 1,198 |
Share price determined-converted to cash payments |  | (5) |
Share price determined-transferred to equity grants |  | (3,896) |
Forfeited |  | (3,128) |
Balance, December 31, 2024 |  | $ | 11,353 |
Balance, April 1, 2023 |  | $ | 11,971 |
Offer to grant |  | 9,094 |
Share price determined-converted to cash payments |  | (3) |
Share price determined-transferred to equity grants |  | (6,172) |
Forfeited |  | — |
Balance, December 31, 2023 |  | $ | 14,890 |
Activity in Restricted Stock Unit awards during the nine months ended December 31, 2024 and 2023 was as follows:
Restricted Stock Units |  | RSUs |  | Weighted Average Grant Date Fair Value
RSUs as of April 1, 2024 |  | 843,730 |  |  | $ | 95.09 |
Issued |  | 68,601 |  |  | 134.08 |
Forfeitures |  | (27,056) |  |  | 94.81 |
Vested |  | (273,210) |  |  | 94.75 |
RSUs as of December 31, 2024 |  | 612,065 |  |  | $ | 99.63 |
RSUs as of April 1, 2023 |  | 1,050,646 |  |  | $ | 95.46 |
Issued |  | 94,286 |  |  | 87.60 |
Forfeitures |  | (32,682) |  |  | 90.82 |
Vested |  | (266,883) |  |  | 94.38 |
RSUs as of December 31, 2023 |  | 845,367 |  |  | $ | 95.09 |
Compensation expenses for the Company associated with both equity-classified and liability-classified awards totaled $45,586 and $43,974 for the three months ended December 31, 2024 and 2023, respectively, and $123,982 and $126,123 for the nine months ended December 31, 2024 and 2023, respectively. As of December 31, 2024 and 2023, there was $421,133 and $460,973, respectively, of total unrecognized compensation cost related to unvested share awards granted under the 2016 Incentive Plan. These costs are recognized over a weighted average period of 1.2 years and 3.2 years, as of December 31, 2024 and 2023, respectively. On October 24, 2024, our board of directors approved an amendment (the “Amendment”) to the 2016 Incentive Plan reducing the number of shares of common stock available for issuance under the 2016 Incentive Plan. Under the Amendment, the aggregate number of shares of common stock that are available for issuance under awards granted pursuant to the 2016 Incentive Plan on or after October 24, 2024 is equal to 8.0 million. In addition, the number of shares available for issuance will be increased on April 1, 2025 by an amount equal to the lowest of: •6,540,659 shares of our Class A common stock and Class B common stock; •Six percent of the shares of Class A common stock and Class B common stock outstanding on March 31, 2025, assuming the conversion of any shares of preferred stock, and including shares issuable upon the exercise or payment of stock options, warrants and other equity securities with respect to which shares have not actually been issued; and •such smaller number of shares as determined by our board of directors, which may be issued as shares of Class A common stock or shares of Class B common stock, as determined by the Administrator in its sole discretion and to the extent such class of common stock exists from time to time.

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- Definition The entire disclosure for an entity's employee compensation and benefit plans, including, but not limited to, postemployment and postretirement benefit plans, defined benefit pension plans, defined contribution plans, non-qualified and supplemental benefit plans, deferred compensation, share-based compensation, life insurance, severance, health care, unemployment and other benefit plans. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 710 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//710/tableOfContent Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 712 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//712/tableOfContent Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 715 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//715/tableOfContent Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 718 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//718/tableOfContent + Details
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