Group 1 - Newmark Group, Inc. has appointed Stephen Merkel as the new Chairman of the Board of Directors following Howard W. Lutnick's resignation due to his confirmation as the 41st Secretary of Commerce [1][2] - Stephen Merkel has been with Newmark since its acquisition by BGC Partners and will continue to serve as Executive Vice President and Chief Legal Officer [2][3] - Kyle Lutnick, previously Global Managing Director of Knotel, Inc., will join the Board of Directors [6] Group 2 - Stephen Merkel has over 30 years of experience and has been a close advisor to Howard Lutnick, indicating strong leadership continuity within the company [3] - Merkel's background includes significant roles at Cantor Fitzgerald and Goldman Sachs, enhancing his qualifications for the Chairman position [4] - Newmark generated revenues of nearly $2.8 billion for the twelve months ended December 31, 2024, and operates approximately 170 offices with over 8,000 professionals globally [8]

Core Viewpoint - Newmark Group, Inc. announces that CEO Barry M. Gosin will also take on the role of Chairman of Newmark & Company Real Estate, Inc., following the resignation of Howard Lutnick as Executive Chairman and Board member due to his confirmation as the U.S. Secretary of Commerce [1][2][3]. Company Leadership and Growth - Barry M. Gosin has been CEO since 1979 and has played a crucial role in Newmark's strategic direction and expansion, including its sale to BGC Partners in 2011, IPO in 2017, and spin-off from BGC in 2018 [3][4]. - Under Gosin's leadership, Newmark has experienced over 1,000% growth in annual revenues since 2011, making it the fastest-growing commercial real estate services company [3][9]. - The company has expanded its commercial and multifamily origination market share approximately sixfold and increased its investment sales share by more than two and a half times over the past decade [3][9]. Company Overview - Newmark generated nearly $2.8 billion in revenues for the twelve months ending December 31, 2024, and operates approximately 170 offices with over 8,000 professionals across four continents [6].

Kyle Lutnick will also join the BoardNEW YORK, Feb. 18, 2025 /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 announced Stephen Merkel has been named Chairman of the Board of Directors. Howard W. Lutnick, who was confirmed today by the United States Senate as the 41st Secretary of Commerce, has stepped down as Executive Cha ...

Core Viewpoint - Howard W. Lutnick has been confirmed as the 41st Secretary of Commerce, stepping down from his roles at Newmark Group, Inc., where he significantly transformed the company into a leading commercial real estate services firm [1][2][3] Company Overview - Newmark Group, Inc. is a prominent commercial real estate advisor and service provider, catering to large institutional investors, global corporations, and other owners and occupiers [1][8] - For the twelve months ending December 31, 2024, Newmark generated revenues of nearly $2.8 billion and has a market capitalization of $3.7 billion [2][9][11] Leadership Transition - Lutnick's leadership was pivotal in increasing Newmark's revenues from $230 million to nearly $2.8 billion since its acquisition in 2011 for approximately $100 million [2][11] - He facilitated over 55 acquisitions and recruited hundreds of industry professionals, establishing Newmark as a global leader in commercial real estate services [2][3] Contributions and Achievements - Lutnick's strategic vision allowed Newmark to capitalize on unique market opportunities, positioning the company for sustainable growth [3] - Under his guidance, Newmark expanded its operations globally, operating from approximately 170 offices with over 8,000 professionals across four continents [9] Future Outlook - Lutnick has agreed to divest his interests in Newmark to comply with U.S. government ethics rules, ensuring a smooth transition as he takes on his new role [3]

Financial Data and Key Metrics Changes - Revenues increased by 18.8% to $888.3 million, reflecting strong performance across all business lines despite challenging comparisons [16] - Adjusted EPS rose by 19.6% to $0.55, indicating solid earnings growth [20] - Adjusted EBITDA was $182.9 million, up 10.1%, with a margin improvement of approximately 55 basis points to 16.2% for the full year [21][24] Business Line Data and Key Metrics Changes - Management services, servicing, and other revenues grew by 21.1%, marking the sixth consecutive period of year-on-year improvement [17] - Leasing revenues increased by 15.1%, driven by strong growth in office transactions [17] - Capital markets revenues grew by 20%, with total capital markets volumes increasing by 113.2% when excluding the Signature transactions [18][10] Market Data and Key Metrics Changes - U.S. debt market share increased by approximately 300 basis points to 9%, significantly up from 1.5% in 2015 [10] - The company anticipates industry capital markets volumes to see double-digit gains due to stabilization of interest rates and significant U.S. debt maturities [11] Company Strategy and Development Direction - The company is focused on expanding its market share and enhancing its brand as a key adviser for complex transactions [12] - Newmark aims to achieve at least $630 million in adjusted EBITDA by 2026, with a target of $1.75 in adjusted EPS by 2026, representing over 40% earnings growth [26][27] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in strong revenue and earnings growth for 2025, despite potential market headwinds [12][49] - The company is optimistic about the industrial sector, driven by reshoring and investment in advanced manufacturing [51][52] Other Important Information - The company ended the year with $197.7 million in cash and cash equivalents and a net leverage of 1.1 times [23] - Newmark repurchased 18.6 million shares for $224.9 million at an average price of $12.09 [22] Q&A Session Summary Question: Impact of Howard's departure on G&A and D&O premiums - Management confirmed that Howard's departure is reflected in guidance, including any premium increases in D&O [30] Question: Data centers growth and challenges - Management highlighted significant business in data centers, driven by reshoring and AI investments, while acknowledging long-term power issues [33] Question: Low forgivable loan spend in Q4 - Management explained that the low spend in Q4 is a point in time, with over $200 million spent for the year, and expects continued investment in growth [40] Question: Leadership turnover at FHFA and multifamily activity - Management noted that any changes in Fannie and Freddie's ownership structure would not significantly impact their outlook for multifamily activity [43] Question: Capital markets activity and guidance for 2025 - Management indicated strong pipelines across all businesses, expecting double-digit growth in capital markets despite market headwinds [49] Question: Debt deals from banks and market trends - Management anticipates a gradual trickle of CRE loans from banks over the next five years, with a shift towards private capital [59] Question: Profitability of international expansion - Management expressed confidence that profit margins internationally could be equal to or better than those in the U.S. [72]

NEW YORK, Feb. 14, 2025 /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, announces the firm acted as lead commercial real estate advisor to Blackstone in its acquisition of Retail Opportunity Investments Corp ("ROIC"). The transaction closed Wednesday, February 12.   Newmark Co-Head of U.S. Capital Markets Doug Harmon, Head of Re ...

Newmark Group (NMRK) came out with quarterly earnings of $0.55 per share, beating the Zacks Consensus Estimate of $0.48 per share. This compares to earnings of $0.46 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 14.58%. A quarter ago, it was expected that this provider of commercial real estate services would post earnings of $0.31 per share when it actually produced earnings of $0.33, delivering a surprise of 6.45%.Over the ...

Financial Performance - Newmark reported total revenues of $888.3 million for Q4 2024, an increase of 18.8% compared to $747.4 million in Q4 2023, and $2,754.1 million for FY 2024, up 11.5% from $2,470.4 million in FY 2023[4]. - The company achieved a GAAP net income of $65.7 million for Q4 2024, a 24.3% increase from $52.9 million in Q4 2023, and $61.2 million for FY 2024, representing a 43.8% increase from $42.6 million in FY 2023[4]. - Adjusted EBITDA for Q4 2024 was $182.9 million, a 10.1% increase from $166.2 million in Q4 2023, and $445.3 million for FY 2024, up 11.8% from $398.3 million in FY 2023[4]. - Newmark's fee revenues grew by 16.9% to $756.0 million in Q4 2024 and by 10.2% to $2.3 billion for FY 2024[9]. - The company recorded a 209% increase in Mortgage Brokerage and Debt Placement volumes and an 85% rise in GSE/FHA origination volumes, excluding Signature transactions[3]. - Newmark's consolidated net income for the year ended December 31, 2024, was $85,491,000, a 37.0% increase compared to $62,375,000 in 2023[46]. - Adjusted Earnings before noncontrolling interests and taxes for Q4 2024 reached $160.4 million, a 19.7% increase from $133.9 million in Q4 2023[87]. - Adjusted EBITDA for the year ended December 31, 2024, was $445.3 million, a 11.8% increase from $398.3 million in 2023[97]. Growth and Expansion - The company experienced a 21% growth in Management and Servicing, a 20% increase in Capital Markets, and a 15% rise in Leasing for Q4 2024[3]. - Newmark's pipeline remains strong, with expectations of at least $630 million in Adjusted EBITDA by 2026[4]. - The company acquired London-based real estate advisory firm Gerald Eve on March 10, 2023, enhancing its capabilities in capital markets and corporate real estate advisory[33]. - Newmark's acquisition of the remaining 49% of Spring11 in Q1 2023 significantly expanded its servicing and asset management portfolio[34]. - The company arranged $2.3 billion in construction financing for a 206 MW build-to-suit data center, showcasing its active role in significant transactions[36]. Expenses and Liabilities - Total expenses under GAAP for Q4 2024 were $785.1 million, a 15.8% increase from $677.7 million in Q4 2023, and $2,597.7 million for FY 2024, up 10.1% from $2,359.0 million in FY 2023[10]. - For the full year 2024, non-compensation expenses rose 6.2% under GAAP and 4.4% for Adjusted Earnings, while total expenses grew 8.6% and 6.7% respectively[12]. - Newmark's total liabilities increased to $3,179,691,000 in 2024, up from $2,876,649,000 in 2023, indicating a rise of 10.5%[44]. Cash Flow and Liquidity - Net cash provided by operating activities for Q4 2024 was $402.6 million, compared to $220.0 million in Q4 2023, representing an increase of 82.7%[48]. - Cash and cash equivalents at the end of Q4 2024 were $304.9 million, up from $258.7 million at the end of Q4 2023, an increase of 17.9%[48]. - The company reported a net increase in cash and cash equivalents of $20.5 million in Q4 2024, compared to a decrease of $25.4 million in Q4 2023[48]. - The company clarified its non-GAAP measures, including adjustments for non-recurring items to better reflect underlying operating performance starting from Q3 2023[52]. - Newmark's liquidity is defined as the sum of cash and cash equivalents, marketable securities, and reverse repurchase agreements, minus securities lent out[82]. Shareholder Returns - Newmark repurchased 2.1 million shares for $31.4 million in Q4 2024 and 18.6 million shares for $224.9 million at an average price of $12.09 for the full year[14]. - The Board declared a quarterly dividend of $0.03 per share payable on March 17, 2025[17]. - The company continues to target annual share count growth of 2% or less over time[20]. Future Outlook - The FY 2025 outlook for total revenues is projected between $2,900 million and $3,100 million, representing a year-over-year increase of 5% to 13%[20]. - Adjusted Earnings Per Share for FY 2025 is expected to be between $1.40 and $1.50, reflecting a year-over-year increase of 14% to 22%[20]. - Management believes that certain compensation and tax-related matters will not materially impact the earnings outlook for 2024[18]. - The company anticipates providing forward-looking guidance for GAAP revenues and certain non-GAAP measures, but not for other GAAP results due to forecasting difficulties[84]. Tax and Adjusted Earnings - Newmark's effective tax rate for Adjusted Earnings was 13.9% in Q4 2024, down from 14.8% a year earlier[11]. - The provision for income taxes for Adjusted Earnings in Q4 2024 was $22.3 million, up from $19.9 million in Q4 2023, reflecting a 12.1% increase[89]. - Adjusted Earnings are used by management to evaluate financial performance and exclude certain non-cash items and expenses that do not reflect ongoing operations[54]. - Adjusted Earnings and Adjusted EBITDA are not intended to replace GAAP financial results but provide additional insights into financial performance[75].

Core Viewpoint - Newmark Group, Inc. reported its financial results for the year ending December 31, 2024, and announced a quarterly dividend, highlighting its position as a leading commercial real estate advisor and service provider [1][3]. Financial Performance - For the twelve months ended December 31, 2024, Newmark generated revenues of nearly $2.8 billion [3]. - The company is scheduled to discuss its financial results in a conference call at 10:00 a.m. ET today [1]. Company Overview - Newmark operates approximately 170 offices with over 8,000 professionals across four continents, providing a comprehensive suite of services tailored to various clients, including owners, occupiers, investors, and corporations [3]. - The company emphasizes its global reach and market intelligence in both established and emerging property markets [3].

Shares of Newmark Group (NMRK) have gained 5.6% over the past four weeks to close the last trading session at $13.63, but there could still be a solid upside left in the stock if short-term price targets of Wall Street analysts are any indication. Going by the price targets, the mean estimate of $18.67 indicates a potential upside of 37%.The average comprises three short-term price targets ranging from a low of $18 to a high of $19, with a standard deviation of $0.58. While the lowest estimate indicates an ...