UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-38329 NEWMARK GROUP, INC. (Exact name of Registrant as specified in its charter) Delaware 81-4467492 (State or other Jurisdiction ...

Newmark Reports First Quarter 2024 Financial Results NEW YORK, NY - May 3, 2024 - Newmark Group, Inc. (Nasdaq: NMRK) ("Newmark" or "the Company"), a leading commercial real estate advisor and service provider to large institutional investors, global corporations, and other owners and occupiers, today, reported its financial results for the three months ended March 31, 2024, and declared its quarterly dividend. Comments from Barry M. Gosin, Chief Executive Officer of Newmark 1 "Newmark's results were led by ...

Conference Call to Discuss Results Scheduled for 10:00 a.m. ET Today NEW YORK, May 3, 2024 /PRNewswire/ -- Newmark Group, Inc. (Nasdaq: NMRK) ("Newmark" or "the Company"), a leading commercial real estate advisor and service provider to large institutional investors, global corporations, and other owners and occupiers, today, reported its financial results for the three months ended March 31, 2024, and declared its quarterly dividend. A complete and full-text financial results press release, including info ...

Wall Street expects a year-over-year increase in earnings on lower revenues when Newmark Group (NMRK) reports results for the quarter ended March 2024. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.The earnings report, which is expected to be released on May 3, 2024, might help the stock move higher if these key numbers are better than expecta ...

Economic Conditions and Market Impact - The Federal Reserve raised its target range for the federal funds rate to 5.25% to 5.50%, a cumulative increase of 525 basis points from March 2022 to July 2023, impacting credit availability [183]. - Economic conditions, including inflation and recessionary pressures, have led to reduced transaction volumes and sizes, affecting overall business performance [184]. - Higher interest rates may cause capitalization rates to increase and property valuations to decrease, negatively affecting property owners' equity and financing availability [185]. - The long-term effects of the COVID-19 pandemic continue to significantly disrupt the environment in which the company and its clients operate [29]. - Interest rate increases in response to inflation may have a material negative impact on the company's business [29]. Competition and Client Concentration - The company faces intense competition from larger firms in the commercial real estate services industry, which may impact its ability to maintain market share and fee levels [191]. - The top 10 clients accounted for approximately 11% of total revenue, indicating potential risks associated with client concentration [189]. - The company operates in a highly competitive industry, with numerous competitors that may have greater financial and operational resources [29]. Strategic Growth and Acquisitions - The company is exploring strategic alliances and acquisitions to expand its market presence, which may involve integration challenges and increased operational complexity [194]. - Future growth will depend on the availability of suitable transactional candidates at favorable prices and sufficient liquidity to fund transactions [197]. - The company may pursue strategic alliances, acquisitions, and other growth opportunities, which could present unforeseen integration obstacles or costs [29]. Financial Risks and Debt Management - As of January 15, 2024, the company's indebtedness was approximately $600.0 million, which may limit its ability to raise additional capital and react to economic changes [261]. - The company’s ability to meet debt obligations depends on refinancing, borrowing from credit facilities, and generating sufficient cash flows [265]. - A downgrade in credit ratings could increase interest rates on existing debt, making it more difficult to satisfy obligations and potentially leading to adverse effects on financial condition [267][268]. - The company has debt, which could adversely affect its ability to raise additional capital and react to changes in the economy [29]. Regulatory and Compliance Challenges - Compliance with numerous laws and regulations is critical, as non-compliance could result in significant financial penalties [211]. - The company is subject to evolving data privacy regulations, such as GDPR, which could result in significant financial penalties for non-compliance [233]. - The SEC has mandated that public companies disclose processes related to cybersecurity and material cyber-attacks, increasing regulatory scrutiny [234]. - Environmental regulations may impose costs for cleanup and compliance, potentially affecting the company's operations [214]. Operational Risks and Management - Integration of recent and future acquisitions may strain management and operational infrastructure, impacting growth potential [198]. - Employee turnover and the retention of key personnel are critical to the company's success, with potential adverse effects on business performance if not managed effectively [239]. - The company may experience operational disruptions if third-party software licenses are terminated or contain material defects, adversely affecting its business operations [227]. - The company relies on its subsidiaries for operating cash flow and liquidity, making it vulnerable to their financial performance [253]. Market and Investment Considerations - The company has authorized repurchases of shares and limited partnership interests up to $400 million, which may impact liquidity and financial flexibility [274]. - A quarterly cash dividend of $0.03 per share was declared on February 21, 2024, which may affect the attractiveness of the stock for investors seeking high short-term yields [275]. - The dual class structure of common stock may adversely affect the market price of Class A common stock due to concentrated voting control [278][283]. - The company may experience significant dilution for purchasers of Class A common stock due to potential sales of shares, which could adversely affect prevailing market prices [309]. Risks Related to Cantor and Corporate Governance - The company is controlled by Cantor, whose interests may conflict with those of the company [30]. - Potential conflicts of interest may arise due to Cantor's control over management and affairs, including decisions on acquisitions and business expansions [291]. - The corporate opportunity policy in the Certificate of Incorporation allows Cantor to pursue business opportunities without obligation to the company, potentially leading to competition [300]. International and Political Risks - International operations expose the company to political, economic, and regulatory risks, including instability and foreign currency fluctuations [201]. - The U.K. exit from the EU (Brexit) may adversely impact customer relationships and financial conditions due to regulatory changes [202]. - The company is exposed to risks related to political, economic, legal, and regulatory factors, particularly in foreign countries [29].

Financial Performance - Newmark's total revenues for Q4 2023 reached $747.4 million, a 23.1% increase compared to $607.3 million in Q4 2022[5] - The company reported a GAAP net income of $52.9 million for Q4 2023, representing a 493.4% increase from $8.9 million in Q4 2022[5] - Revenues from leasing and other commissions grew by 19.6% year-on-year, despite a more than 10% decline in industry-wide leasing activity[8] - Newmark's investment sales revenues increased by 20.7% year-on-year, while commercial mortgage origination revenues surged by 45.9%[8] - Total revenues for FY 2023 were $2,470.4 million, with an expected year-over-year growth of 3% to 7% for FY 2024[19] - Adjusted EBITDA for FY 2023 was $398.3 million, with a projected increase of 5% to 9% in FY 2024[19] - Newmark's adjusted EBITDA for Q4 2023 was $166.2 million, a 62.6% increase from $102.2 million in Q4 2022[5] - Net income available to common stockholders for Q4 2023 was $36.5 million, compared to $6.4 million in Q4 2022, representing a 468.5% increase[53] - Basic earnings per share for Q4 2023 was $0.21, up from $0.04 in Q4 2022, indicating a significant improvement in profitability[53] - Adjusted Earnings before noncontrolling interests and taxes for Q4 2023 reached $133,871,000, up from $84,573,000 in Q4 2022, marking a 58% increase[96] Operational Highlights - The company completed the $50 billion Signature portfolio sale, marking the largest real estate loan sale in U.S. history[2] - Newmark's capital markets platform outperformed the industry, gaining significant market share despite overall declines in investment sales and commercial/multifamily originations[12] - Newmark's investment sales volumes increased by 168% in Q4 2023, while overall industry volumes declined by 41% year-on-year[41] - The company's total debt volumes increased by 185% in Q4 2023, with a decline of 24% if excluding the Signature transactions[42] - The company recognized approximately $35 million in cost savings in 2023 and expects an additional $25 million in 2024[19] Shareholder Returns - The company declared a quarterly dividend of $0.03 per share, payable on March 22, 2024[10] - The company declared dividends of $0.03 per share for both Q4 2023 and Q4 2022, maintaining a consistent dividend policy[53] - The company repurchased 644 thousand shares for $5.2 million in Q4 2023 and 5.8 million shares for $37.4 million in FY 2023[16] Financial Position - Newmark's total equity increased to $1,594.9 million as of December 31, 2023, up from $1,541.4 million a year earlier[18] - Cash and cash equivalents decreased to $164.9 million as of December 31, 2023, from $233.0 million a year earlier[18] - Newmark's net leverage was 1.0 times as of December 31, 2023[18] - The company's total assets reached $4.47 billion as of December 31, 2023, up from $3.94 billion in 2022[51] - As of December 31, 2023, total corporate debt was $547.3 million, resulting in a net leverage ratio of 1.0 times based on trailing twelve month Adjusted EBITDA of $398.3 million[115] Employee Compensation - Newmark's compensation and employee benefits expenses rose by 24.1% to $442.6 million in Q4 2023, driven by higher commissions and new hires[13] - Total compensation and employee benefits for Q4 2023 amounted to $497.5 million, up from $392.0 million in Q4 2022, marking a 27% increase[53] - Total equity-based compensation for Q4 2023 amounted to $54,886,000, compared to $35,338,000 in Q4 2022, indicating a 55% rise[96] Guidance and Future Outlook - The company anticipates industry volumes to accelerate in the second half of 2024, expecting significant earnings outperformance towards the end of the year and into 2025[3] - The expected adjusted earnings per share for FY 2024 is $1.05, with a year-over-year growth of 5% to 9%[19] - The company plans to grow its fully diluted weighted-average share count for Adjusted Earnings by 2% in 2024[20] - Newmark anticipates providing forward-looking guidance for GAAP revenues and certain non-GAAP measures, but not for other GAAP results due to forecasting difficulties[91] Market Context - The overall size of the professionally managed global real estate investment market was $13.3 trillion in 2022, with an investible market size of $19.5 trillion[45] - Approximately $405 billion of investible dry powder was held by global closed-end funds at real estate-focused institutions as of December 2023[45]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Numbers: 001-38329 NEWMARK GROUP, INC. (Exact name of Registrant as specified in its charter) (State or other Jurisdiction of Incorporatio ...

Disclaimers Other Items | --- | --- | --- | --- | --- | |-----------------------------------------------|-------|-------|-------|-------| | | | | | | | | | | | | | Third Quarter Financial Results Presentation | | | | | | Newmark Group, Inc. (NMRK ) November 1, 2023 | | | | | | | | | | | Any outlook discussed in this document is valid only as of November 1, 2023, and assumes no additional share repurchases, material acquisitions, or meaningful changes in the company's stock price. Our expectations are subjec ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 Delaware 81-4467492 (I.R.S. Employer Identification Number) 125 Park Avenue New York, New York 10017 (212) 372-2000 (Address, including zip code, and telephone number, including area code, of Registrant's principal executive offices) Securities registered pursuant to Section 12(b) of ...

Newmark Group, Inc. (NASDAQ:NMRK) Q2 2023 Earnings Conference Call July 28, 2023 10:00 AM ET Company Participants Jason McGruder - Head of IR Barry Gosin - CEO Mike Rispoli - CFO Conference Call Participants Jason Sabshon - KBW Alexander Goldfarb - Piper Sandler Patrick O'Shaughnessy - Raymond James Operator Good day, and welcome to the Newmark Second Quarter 2023 Earnings Call. Today's conference is being recorded. At this time, I'd like to turn the conference over to Mr. Jason McGruder, Head of Investo ...