Core Insights - Colliers has appointed Brian Rosen as President of the U.S. Northeast Region Brokerage, effective January 1, 2026, in addition to his current role as President and CEO of Colliers Canada [1][2] - This appointment highlights Colliers' strategy to accelerate growth in key markets, particularly in the U.S. Northeast, which is seen as a significant opportunity for expansion [2][4] - Rosen has a strong background and experience in both U.S. and Canadian markets, having joined Colliers in 2019 and successfully growing the Canadian business despite challenges [3][4] Company Overview - Colliers is a global diversified professional services and investment management company, operating through three main platforms: Real Estate Services, Engineering, and Investment Management [5] - The company has achieved approximately 20% compound annual returns for shareholders over the past 30 years, with annual revenues of $5.5 billion and $108 billion in assets under management [5] - Colliers employs a team of 24,000 professionals and maintains a culture focused on growth and value creation [5]

Financial Data and Key Metrics Changes - The company's Q3 revenues were $1.46 billion, representing a 23% year-over-year increase, driven by engineering and real estate services segments [6][9] - Adjusted EBITDA for the quarter was $191 million, a 24% increase from the previous year [6] - Overall internal growth for the quarter was 13% [6] Business Line Data and Key Metrics Changes - Engineering segment revenues increased by 36%, with internal growth of 6% [7] - Real estate services segment revenues rose by 13%, with capital markets up 21% and leasing revenues up 14% [6][7] - Outsourcing revenues increased by 8%, led by valuation and advisory practices [7] Market Data and Key Metrics Changes - Assets under management reached $108 billion, a 10% increase from the previous year [5] - The company raised $1 billion in new capital commitments during the quarter, with total year-to-date fundraising at $4.4 billion [8] Company Strategy and Development Direction - The company is focused on unifying operations under the Harrison Street Asset Management brand, which is expected to strengthen the business and deliver value to shareholders [4][5] - The engineering sector is seen as a significant growth area, with plans to double revenue and profitability in the coming years [25][94] - The company is actively pursuing acquisitions in various segments, particularly in engineering, to capitalize on growth opportunities in fragmented markets [25][94] Management's Comments on Operating Environment and Future Outlook - Management anticipates an increase in business activity as interest rates stabilize and investor confidence builds [4] - The capital markets recovery is described as gradual, with expectations for continued growth in Q4 and beyond [41][46] - Management remains confident in meeting full-year guidance despite slight expected declines in investment management margins due to integration costs [9][40] Other Important Information - The company has $9 billion in dry powder available for deployment, which is expected to drive future growth [5][86] - The integration of IAM under the Harrison Street platform has received positive client feedback, indicating a successful transition [33] Q&A Session Summary Question: Inquiry about engineering margins and service mix - Management noted that engineering margins were slightly impacted by service mix, with a net margin decrease of 20 to 30 basis points [14][15] Question: Discussion on investment management margins and future outlook - Management indicated that integration costs would impact margins for the next two to three quarters, but they are focused on long-term growth [16][18] Question: Organic growth in engineering - Year-to-date organic growth in engineering is around 8%, with expectations to maintain mid-high single-digit growth for the year [22][23] Question: Capital markets activity and pipeline - The capital markets pipeline is solid, with expectations to exceed last year's performance in Q4 [41][42] Question: Construction activity and market conditions - Management indicated that construction activity is currently soft, particularly in condominiums, but there is ongoing activity in data centers and related infrastructure [61] Question: Performance of recent acquisitions - The integration of Triovest and Asterisk is ongoing, with positive early results noted for both acquisitions [96][98]

Financial Data and Key Metrics Changes - Third-quarter revenues were $1.46 billion, representing a 23% year-over-year increase, driven by engineering and real estate services segments [6][4] - Adjusted EBITDA for the quarter was $191 million, a 24% increase from the previous year [6] - Overall internal growth for the quarter was 13% [6] Business Line Data and Key Metrics Changes - Engineering segment revenues increased by 36%, with internal growth of 6% [7] - Real estate services segment revenues rose by 13%, with capital markets up 21% and leasing revenues up 14% [6][7] - Outsourcing revenues increased by 8%, led by valuation and advisory practices [7] Market Data and Key Metrics Changes - Assets under management reached $108 billion, a 10% increase from the previous year [5] - Capital markets showed strong growth, particularly in the U.K., Japan, and Canada [6] - Debt finance activity was robust, especially in U.S. multifamily originations [6] Company Strategy and Development Direction - The company is focused on unifying operations under the Harrison Street Asset Management brand to strengthen its business and deliver value to shareholders [4] - The engineering sector is seen as a significant growth opportunity, with plans to double revenue and profitability in the coming years [25][94] - The company is actively pursuing acquisitions in fragmented markets to enhance its service offerings [25][94] Management's Comments on Operating Environment and Future Outlook - Management anticipates a gradual recovery in capital markets as interest rates stabilize and investor confidence builds [4] - The company expects to meet its full-year outlook despite slight adjustments in investment management due to integration costs [9] - Management remains optimistic about the future, citing strong backlogs and a solid pipeline across geographic markets [7][9] Other Important Information - The company raised $1 billion in new capital commitments during the third quarter, with an additional $1.2 billion raised since quarter-end [8] - The leverage ratio was 2.3 times as of September 30, with expectations to decline to just under two times by year-end [9] Q&A Session Summary Question: Inquiry about engineering margins and service mix - Management noted that engineering margins were slightly impacted by service mix, with a decline of 20 to 30 basis points due to low-margin pass-through costs [14][15] Question: Discussion on investment management margins and future outlook - Management indicated that integration costs would impact margins for the next two to three quarters, but they are focused on long-term growth [16][18] Question: Organic growth in engineering - Year-to-date organic growth in engineering is around 8%, with expectations for continued growth in infrastructure-oriented markets [22][23] Question: Capital markets activity and pipeline - Management expressed confidence in the capital markets pipeline for the fourth quarter, expecting to exceed last year's performance [41][42] Question: Leasing activity and geographic performance - Leasing was led by the U.S., with strong performance in industrial and office sectors, and management expects continued growth [34][35] Question: Data centers as a growth opportunity - Management highlighted their comprehensive capabilities in the data center sector, emphasizing their full-cycle involvement beyond traditional real estate services [56][57] Question: Construction activity outlook - Management noted that construction activity is currently soft, particularly in condominiums, but there is ongoing activity in data centers and multifamily projects [61] Question: Operating leverage and capacity - Management confirmed a 22% operating leverage on incremental revenue in Q3, with expectations for continued leverage as revenues increase [65][66] Question: Future growth in engineering and acquisitions - Management sees significant growth potential in the engineering sector across various regions, particularly in the U.S. and Europe [92][94]

Financial Data and Key Metrics Changes - The company reported Q3 revenues of $1.46 billion, a 23% increase year over year, driven by growth in engineering and real estate services segments [7][10] - Adjusted EBITDA for the quarter was $191 million, reflecting a 24% increase from the previous year [7] - Assets under management reached $108 billion, a 10% increase from the previous year [6][10] Business Line Data and Key Metrics Changes - Engineering segment revenues increased by 36%, with internal growth of 6% and significant contributions from acquisitions [9] - Real estate services segment revenues rose by 13%, with capital markets up 21% and leasing revenues increasing by 14% [8][9] - Outsourcing revenues grew by 8%, led by valuation and advisory practices [9] Market Data and Key Metrics Changes - Strong sales growth was noted in the U.K., Japan, and Canada, particularly in capital markets and leasing [8] - Debt finance activity was robust, especially in U.S. multifamily originations [8] Company Strategy and Development Direction - The company is focused on unifying operations under the Harrison Street Asset Management brand, which is expected to strengthen the business and enhance shareholder value [5][10] - The engineering sector is seen as a significant growth opportunity, with plans to double revenue and profitability in the coming years [29][101] - The company maintains a decentralized operating model that allows for flexibility and responsiveness to market opportunities [5][29] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in meeting full-year guidance despite slight expected declines in investment management margins due to integration costs [10][41] - The capital markets recovery is viewed as a multi-year process, with expectations for continued growth in Q4 and beyond [48][50] - Management highlighted the importance of long-term value creation over short-term margin pressures [41][42] Other Important Information - The company raised $1 billion in new capital commitments during the quarter, with total year-to-date fundraising reaching $4.4 billion [10] - The leverage ratio was reported at 2.3 times, with expectations to decline to just under two times by year-end [11] Q&A Session Summary Question: Inquiry about engineering margins and service mix - Management noted that engineering margins were slightly impacted by service mix, with a net margin decrease of 20 to 30 basis points [16][18] Question: Discussion on investment management business and future margins - Management indicated that integration costs would impact margins for the next two to three quarters, but they remain focused on long-term growth [20][21] Question: Organic growth in engineering - Year-to-date organic growth in engineering was reported at around 8%, with expectations for continued growth in the mid-high single-digit range [24][25] Question: Capital markets activity and fourth-quarter outlook - Management expressed confidence in exceeding last year's capital markets performance, with a solid pipeline for Q4 [43][46] Question: Leasing activity and geographical performance - Strong leasing activity was noted in the U.S., particularly in industrial and office sectors, with expectations for continued growth [37][38] Question: Feedback on integration of investment management - Client feedback on the integration process has been positive, with increased capital allocations from investors [34][36] Question: Construction activity outlook - Management indicated that construction activity is currently soft, particularly in condominiums, but there is ongoing activity in data centers and related infrastructure [66][67] Question: Future growth potential in engineering across regions - Management highlighted significant growth opportunities in the U.S., Canada, Australia, and Europe, emphasizing the fragmented nature of the engineering market [100][101]

Financial Performance Highlights - Revenues for the third quarter of 2025 reached $14631 million, a 24% increase compared to $11791 million in the third quarter of 2024[2] - Net Revenues for the third quarter of 2025 were $12589 million, up 19% from $10580 million in the same period of 2024[2] - Adjusted EBITDA for Q3 2025 was $1911 million, a 24% increase year-over-year from $1546 million[2] - Adjusted EPS for Q3 2025 increased by 24% to $164, compared to $132 in Q3 2024[2] - GAAP Operating Earnings for Q3 2025 decreased by 5% to $1047 million, compared to $1097 million in Q3 2024[2] - For the nine months ended September 30, 2025, GAAP diluted EPS decreased by 52% to $082, compared to $173 in the same period of 2024[2] Segment Performance - Engineering revenue increased by 54% to $4881 million in Q3 2025, driven by strategic acquisitions and organic performance[8, 9] - Real Estate Services revenue increased by 14% to $8386 million in Q3 2025, driven by transaction activity[8, 9] - Investment Management revenue increased by 7% to $1363 million in Q3 2025, supported by higher fee-paying assets under management[8, 9] Capitalization and Liquidity - The company's leverage ratio is 23x[20, 21] - The company has $950 million of available liquidity under revolving credit facility[21]

Core Insights - Colliers International (CIGI) reported a revenue of $1.46 billion for the quarter ended September 2025, marking a year-over-year increase of 24.1% and exceeding the Zacks Consensus Estimate by 7.75% [1] - The earnings per share (EPS) for the same period was $1.64, up from $1.32 a year ago, representing a surprise of 3.8% over the consensus EPS estimate of $1.58 [1] Revenue Performance - Corporate revenues were reported at $0.18 million, surpassing the average estimate of $0.1 million [4] - Real Estate Services generated revenues of $838.57 million, exceeding the estimated $814.9 million [4] - Engineering revenues reached $488.06 million, compared to the average estimate of $423.28 million [4] - Investment Management revenues were $136.29 million, slightly above the average estimate of $134 million [4] Adjusted EBITDA Analysis - Adjusted EBITDA for Real Estate Services was $88.04 million, exceeding the average estimate of $78.23 million [4] - Corporate Adjusted EBITDA was reported at -$4.09 million, better than the average estimate of -$8.41 million [4] - Adjusted EBITDA for Investment Management was $53.58 million, below the average estimate of $57.75 million [4] - Engineering Adjusted EBITDA was $53.58 million, slightly below the average estimate of $53.68 million [4] Stock Performance - Shares of Colliers International have returned +4.1% over the past month, outperforming the Zacks S&P 500 composite's +2.1% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Core Insights - Colliers International reported quarterly earnings of $1.64 per share, exceeding the Zacks Consensus Estimate of $1.58 per share, and showing an increase from $1.32 per share a year ago, resulting in an earnings surprise of +3.80% [1] - The company achieved revenues of $1.46 billion for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 7.75%, compared to $1.18 billion in the same quarter last year [2] - Colliers International shares have increased approximately 16.7% year-to-date, slightly outperforming the S&P 500's gain of 16.5% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $2.51 on revenues of $1.64 billion, while for the current fiscal year, the estimate is $6.67 on revenues of $5.49 billion [7] - The estimate revisions trend for Colliers International was mixed prior to the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] Industry Context - The Real Estate - Operations industry, to which Colliers International belongs, is currently ranked in the top 27% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8]

Financial Performance - Third quarter consolidated revenues were $1.46 billion, up 24% year-over-year, with net revenues at $1.26 billion, up 19%[3] - Adjusted EBITDA for the third quarter was $191.1 million, reflecting a 24% increase compared to the prior year quarter[3] - Adjusted EPS for the third quarter was $1.64, an increase of 24% over the prior year quarter[3] - For the nine months ended September 30, 2025, revenues reached $3.95 billion, up 19%, and net revenues were $3.44 billion, up 16%[4] - Revenues for Q3 2025 reached $1,463.1 million, a 24.1% increase from $1,179.1 million in Q3 2024[21] - Net revenues for Q3 2025 were $1,258,852, compared to $1,058,042 in Q3 2024, reflecting a year-over-year increase of about 18.9%[32] - Adjusted EBITDA for Q3 2025 was $191,115, up from $154,636 in Q3 2024, indicating a growth of approximately 23.5%[34] - For the nine months ended September 30, 2025, total revenues were $3,951,917, an increase from $3,320,407 in the same period of 2024, representing a growth of approximately 19.0%[31] - Net revenues for the nine months ended September 30, 2025, were $3,438,480, compared to $2,966,769 in the same period of 2024, reflecting an increase of about 15.9%[31] - Adjusted EBITDA for the nine months ended September 30, 2025, was $487,368, up from $418,955 in the same period of 2024, indicating a growth of approximately 16.3%[34] Earnings and Cash Flow - More than 70% of the company's earnings came from recurring revenues, with a free cash flow conversion rate of 96% of adjusted net earnings[5] - GAAP diluted net earnings per share for the third quarter were $0.82, compared to $0.73 in the prior year quarter[3] - Net earnings attributable to the company for Q3 2025 were $42.2 million, up 13.5% from $37.2 million in Q3 2024[21] - The company reported net earnings of $65,134 for Q3 2025, a decrease from $69,377 in Q3 2024, representing a decline of about 3.5%[35] - The company’s net earnings for the nine months ended September 30, 2025, were $138,023, down from $155,440 in the same period of 2024, reflecting a decrease of approximately 11.3%[35] - Adjusted EPS for the nine months ended September 30, 2025, was $4.24, up from $3.46 in the same period of 2024, indicating a year-over-year increase of 22.5%[36] - Free cash flow for the three months ended September 30, 2025, was $115.192 million, compared to $106.521 million in Q3 2024, reflecting a growth of 8.3%[38] - Net cash provided by operating activities for the nine months ended September 30, 2025, was $73.447 million, down from $110.702 million in 2024, a decrease of 33.7%[38] - Trailing twelve months free cash flow as of September 30, 2025, reached $317.092 million[39] Segment Performance - Engineering segment revenues grew by 54% to $488.1 million, driven by acquisitions and strong internal growth[11] - Real Estate Services revenues totaled $838.6 million, up 14%, with Capital Markets revenues increasing by 21%[10] - Investment Management revenues were $136.3 million, up 7%, with assets under management reaching $108.3 billion, a 10% increase from December 31, 2024[12] Debt and Acquisitions - Total debt as of September 30, 2025, was $1,840.5 million, up from $1,508.5 million at the end of 2024[24] - The net debt to pro forma adjusted EBITDA ratio was 2.3 as of September 30, 2025, compared to 2.0 at the end of 2024[24] - The company incurred $168.7 million in cash for acquisitions in Q3 2025, compared to $454.6 million in Q3 2024[28] - The company reported a contingent acquisition consideration paid of $896 thousand for Q3 2025, compared to $69 thousand in Q3 2024[38] Future Outlook - The company expects low-teens percentage revenue growth and mid-teens Adjusted EBITDA growth for the full year 2025[14] - The company plans to continue focusing on market expansion and new product development to drive future growth[30] Asset Management - Total assets as of September 30, 2025, were $6,805.6 million, an increase from $6,100.6 million at the end of 2024[23] - Cash and cash equivalents increased to $212.5 million from $176.3 million at the end of 2024[23] - Operating earnings for Q3 2025 were $104.7 million, slightly down from $109.7 million in Q3 2024[21] - Cash collections on AR Facility deferred purchase price for the nine months ended September 30, 2025, totaled $119.249 million, up from $101.805 million in 2024, an increase of 17.0%[38] Performance Metrics - The company emphasizes free cash flow as a key metric for evaluating operating performance and ability to service debt, fund acquisitions, and pay dividends[37] - Adjusted EBITDA growth rates are calculated on a local currency basis to exclude the effects of foreign currency fluctuations and acquisitions, providing a clearer view of operational performance[40]

Core Insights - Colliers has acquired Greenhill Engineers Pty Ltd, enhancing its geographic footprint and scale in the South Australian market [1][2][3] - The acquisition allows Colliers Engineering to integrate Greenhill's operations and rebrand as "Colliers Engineering & Design," while Greenhill's leadership will continue as shareholders under Colliers' partnership model [2][3] Company Overview - Greenhill, founded in 2004, employs 65 professionals providing civil engineering, electrical infrastructure, transport infrastructure, and landscape architecture services [3] - Colliers operates through three platforms: Real Estate Services, Engineering, and Investment Management, with over $5.0 billion in annual revenues and more than $100 billion in assets under management [4] Strategic Implications - The acquisition aligns with Colliers' long-term growth ambitions and enhances its technical capabilities and geographic reach [2][3] - Greenhill's leadership expressed that Colliers' values and entrepreneurial culture align with their own, making the partnership a natural fit [3]

Company Overview - Colliers International (CIGI) shares increased by 3.8% to close at $169.29, with trading volume significantly higher than usual, compared to a 3.2% gain over the past four weeks [1] - The company's investment management arm, Harrison Street Asset Management, has integrated its North American businesses, aiming to create a streamlined global platform for better performance in real assets [2] Earnings Expectations - Colliers International is projected to report quarterly earnings of $1.58 per share, reflecting a year-over-year increase of 19.7%, with revenues expected to reach $1.36 billion, up 15.3% from the previous year [3] - The consensus EPS estimate for Colliers has remained unchanged over the last 30 days, indicating that stock price movements may not sustain without trends in earnings estimate revisions [4] Industry Context - Colliers International is part of the Zacks Real Estate - Operations industry, which includes other companies like Mobile Infrastructure Corporation (BEEP), which saw a 0.8% increase in its stock price [4] - Mobile Infrastructure Corporation's consensus EPS estimate has remained at -$0.08, representing a 33.3% decline from the previous year, and it currently holds a Zacks Rank of 3 (Hold) [5]