Newmark Reports Third Quarter 2026 Financial Results
NEWMARK GROUP, INC. (NMRK) filed an SEC Form 8-K — Results of Operations and Financial Condition. /////////;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;;; 1 Newmark Reports Third Quarter 2026 Financial Results NEW YORK, NY - October 29, 2026 - Newmark Group, Inc. (Nasdaq: NMRK) ("Newmark" or "the Company"), a leading commercial real estate advisor and service provid
How this was made
The 30-second read
Why it matters
The earnings beat and revised outlook provide fresh data for traders evaluating exposure to the real‑estate services sector.
Market read
The results reinforce a bullish stance on Newmark and may lift related REITs and service providers.
What to watch
Potential headwinds from higher interest rates may affect leasing activity.
Newmark reported record third-quarter revenue, with 12.7% total revenue growth and 14.3% Adjusted EPS growth, while lowering its full-year 2026 revenue, Adjusted EPS and Adjusted EBITDA outlook ranges.
Revenue, Adjusted EBITDA and Adjusted EPS grew at double-digit rates, led by Leasing and Management Services, Servicing Fees, and Other. Capital Markets declined because lower mortgage-origination activity more than offset investment-sales growth, and the company reduced its 2026 outlook because of macroeconomic uncertainty around deal-closing timing.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Total Revenues, three months ended September 30GAAP | $973.2M | – | 12.7% |
| Total Revenues, nine months ended September 30GAAP | $2.71B | – | 18.4% |
| Fees excluding Pass Through Revenues and OMSR Revenues, three months ended September 30other | $817.2M | – | 11.6% |
| Fees excluding Pass Through Revenues and OMSR Revenues, nine months ended September 30other | $2.29B | – | 18.0% |
| Income (loss) from operations, three months ended September 30GAAP | $85.2M | – | – |
| Income (loss) from operations, nine months ended September 30GAAP | $152.6M | – | – |
| Consolidated net income (loss), three months ended September 30GAAP | $59M | – | – |
| Consolidated net income (loss), nine months ended September 30GAAP | $99M | – | – |
| GAAP net income (loss) for fully diluted shares, three months ended September 30GAAP | $67.4M | – | 5.3% |
| GAAP net income (loss) for fully diluted shares, nine months ended September 30GAAP | $114.1M | – | 42.5% |
| GAAP EPS, three months ended September 30GAAP | $0.27 | – | 8.0% |
| GAAP EPS, nine months ended September 30GAAP | $0.45 | – | 40.6% |
| Basic earnings per share, three months ended September 30GAAP | $0.27 | – | – |
| Basic earnings per share, nine months ended September 30GAAP | $0.46 | – | – |
| Post-tax Adjusted Earnings to fully diluted shareholders, three months ended September 30non-GAAP | $122.1M | – | 15.3% |
| Post-tax Adjusted Earnings to fully diluted shareholders, nine months ended September 30non-GAAP | $303M | – | 27.4% |
| Adjusted EPS, three months ended September 30non-GAAP | $0.48 | – | 14.3% |
| Adjusted EPS, nine months ended September 30non-GAAP | $1.20 | – | 27.7% |
| Adjusted EBITDA, three months ended September 30non-GAAP | $166.4M | – | 14.6% |
| Adjusted EBITDA, nine months ended September 30non-GAAP | $426.7M | – | 22.5% |
| Total expenses under GAAP, three months ended September 30GAAP | $889.2M | – | 8.4% |
| Total expenses under GAAP, nine months ended September 30GAAP | $2.56B | – | 15.2% |
| Compensation and employee benefits under GAAP, three months ended September 30GAAP | $576.2M | – | 12.9% |
| Compensation and employee benefits under GAAP, nine months ended September 30GAAP | $1.63B | – | 19.5% |
| Non-compensation expenses under GAAP, three months ended September 30GAAP | $252.7M | – | 10.4% |
| Non-compensation expenses under GAAP, nine months ended September 30GAAP | $729.1M | – | 13.9% |
| Provision for income taxes, three months ended September 30GAAP | $18M | – | (4.1)% |
| Provision for income taxes, nine months ended September 30GAAP | $31M | – | 140.4% |
| Provision for income taxes for Adjusted Earnings, three months ended September 30non-GAAP | $18.1M | – | 25.4% |
| Provision for income taxes for Adjusted Earnings, nine months ended September 30non-GAAP | $49M | – | 36.2% |
| Adjusted Earnings tax rate, three months ended September 30non-GAAP | 12.9% | – | – |
| Adjusted Earnings tax rate, nine months ended September 30non-GAAP | 14.0% | – | – |
| Fully diluted weighted-average share count under GAAP, three months ended September 30GAAP | 252.7M | – | 0.4% |
| Fully diluted weighted-average share count under GAAP, nine months ended September 30GAAP | 253.5M | – | 0.1% |
| Net cash provided by (used in) operating activities, three months ended September 30GAAP | −$286.1M | – | – |
| Net cash provided by (used in) operating activities, nine months ended September 30GAAP | −$171.3M | – | – |
| Free Cash Flow, three months ended September 30non-GAAP | −$303.5M | – | – |
| Free Cash Flow, nine months ended September 30non-GAAP | −$219.7M | – | – |
| Adjusted Free Cash Flow, three months ended September 30non-GAAP | $108.7M | – | – |
| Adjusted Free Cash Flow, nine months ended September 30non-GAAP | $194.9M | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Management Services, Servicing Fees, and Other, three months ended September 30Robust organic growth in outsourcing businesses for occupiers, owners and lenders, same-store improvement from Valuation & Advisory, and six acquisitions completed since the third quarter of last year. | $376.3M | – | 18.3% |
| Leasing and Other Commissions, three months ended September 30Higher fees from industrial and office clients across several key West Coast markets and Texas; demand also rose from investor and occupier clients in artificial intelligence, data centers and other technology sectors, manufacturing, legal services, aerospace and defense, and health care. | $308.6M | – | 26.5% |
| Capital Markets, three months ended September 30Approximately 33% growth in Investment Sales volumes was offset by lower origination activity. The Origination business faced a difficult comparison following approximately 129% growth in Total Debt volumes in the third quarter of 2025 and lower industry multifamily GSE activity. | $288.2M | – | (4.4)% |
| Fees from Management Services, Servicing, and Other, three months ended September 30Management Services, Servicing Fees, and Other growth was driven by outsourcing growth, Valuation & Advisory same-store improvement, and acquisitions. | $257.1M | – | 13.0% |
| Pass Through Revenues, three months ended September 30Related to double-digit growth in the Occupier Solutions and Property Management businesses. | $119.2M | – | 31.7% |
| Investment Sales, three months ended September 30Higher multifamily volumes, particularly in seniors and affordable housing, as well as higher industrial and retail volumes. | $171.9M | – | 7.5% |
| Fees from Commercial Mortgage Origination, net, three months ended September 30Lower origination activity and lower industry multifamily GSE activity. | $79.6M | – | (21.1)% |
| OMSR Revenues, three months ended September 30Non-cash gains with respect to originated mortgage servicing rights. | $36.7M | – | (9.4)% |
| Management Services, Servicing Fees, and Other, nine months ended September 30Revenue category growth as reported. | $1.07B | – | 19.0% |
| Leasing and Other Commissions, nine months ended September 30Revenue category growth as reported. | $836.7M | – | 21.4% |
| Capital Markets, nine months ended September 30Revenue category growth as reported. | $799.9M | – | 14.5% |
FY 2026 outlook
- Revenue$3,700 - $3,800 million
- Tax rate13% - 15%
- NoteTotal Revenues YoY Change: 12% - 15%
- NoteAdjusted Earnings Per Share: $1.80 - $1.90
- NoteAdjusted Earnings Per Share YoY Change: 11% - 17%
- NoteAdjusted EBITDA: $629 - $667 million
- NoteAdjusted EBITDA YoY Change: 12% - 19%
- NoteNewmark continues to target annual share count growth of 2% or less over time.
Capital returns
- During the third quarter of 2026, Newmark repurchased 3.9 million shares for $59.4 million.
- During the first nine months of 2026, Newmark repurchased 14.3 million shares for $210.5 million.
- Newmark had $189.5 million remaining under its share repurchase and unit redemption authorization program as of September 30, 2026.
- On October 28, 2026, the Board re-authorized the Company's $400 million buy-back program.
- The Board declared a qualified quarterly dividend of $0.06 per share payable on November 30, 2026, to Class A and Class B common stockholders of record as of November 13, 2026.
- Dividends declared per share of common stock were $0.06 for the three months ended September 30, 2026 and $0.15 for the nine months ended September 30, 2026.
What drove it
- Management Services, Servicing Fees, and Other increased by 18.3% and recorded its fifth consecutive record quarter.
- Newmark expanded its total Servicing and Asset Management portfolio by 23.2% year-on-year.
- Leasing increased 26.5%.
- Third-quarter Investment Sales volumes increased by approximately 33% globally and by 31% in the U.S.
- Newmark's Agency originations were down 16% over the three months ended September 30, 2026.
- S&P Global Ratings upgraded Newmark's issuer credit rating to 'BBB-' from 'BB+' on September 16, 2026.
Concerns
- Capital Markets revenue declined 4.4% because lower origination activity offset Investment Sales growth.
- Fees from Commercial Mortgage Origination, net declined 21.1%.
- OMSR Revenues declined 9.4%.
- The company cited macroeconomic volatility as creating challenges regarding the timing and certainty of deal closings.
- GAAP operating cash flow was $(286.1) million in the quarter, reflecting loan-origination and sales activity; Adjusted Free Cash Flow was $108.7 million.
- Total corporate debt increased to $877.5 million from $671.7 million at December 31, 2025.
What to watch
- Closing timing and certainty for transaction pipelines in the challenging macroeconomic environment.
- Whether Leasing growth and recurring Management Services, Servicing Fees, and Other growth continue to offset variability in Capital Markets.
- Commercial mortgage origination activity and multifamily GSE placement activity.
- Execution against revised FY 2026 revenue of $3,700 - $3,800 million, Adjusted EPS of $1.80 - $1.90, and Adjusted EBITDA of $629 - $667 million.
- Servicing and Asset Management portfolio expansion and its expected contribution to future high-margin revenue growth.
- Share repurchases, dividend payments, debt levels and net leverage.
Balance sheet and cash flow
- Cash and cash equivalents were $240.0 million as of September 30, 2026, compared with $229.1 million as of December 31, 2025.
- Total corporate debt was $877.5 million as of September 30, 2026, compared with $671.7 million as of December 31, 2025.
- Net debt was $637.5 million as of September 30, 2026.
- Trailing twelve month Adjusted EBITDA was $640.7 million as of September 30, 2026.
- Net leverage was 1.0 times as of September 30, 2026.
- Loans held for sale, at fair value, were $1,322.1 million as of September 30, 2026, compared with $913.3 million as of December 31, 2025.
- Warehouse facilities collateralized by U.S. Government Sponsored Enterprises were $1,309.1 million as of September 30, 2026, compared with $892.4 million as of December 31, 2025.
- Net cash provided by (used in) operating activities excluding loan originations and sales was $126.1 million for the three months ended September 30, 2026 and $243.3 million for the nine months ended September 30, 2026.
Analysis
Newmark delivered record third-quarter revenue of $973.2 million, up 12.7%, while GAAP EPS increased 8.0% to $0.27 and Adjusted EPS increased 14.3% to $0.48. Adjusted EBITDA rose 14.6% to $166.4 million. For the first nine months, total revenue grew 18.4% to $2,708.1 million, Adjusted EPS increased 27.7% to $1.20, and Adjusted EBITDA increased 22.5% to $426.7 million.
The growth mix favored Leasing and recurring businesses. Management Services, Servicing Fees, and Other increased 18.3% to $376.3 million, marking the fifth consecutive record quarter for those businesses. The company cited outsourcing growth, Valuation & Advisory improvement and six acquisitions. Leasing and Other Commissions increased 26.5% to $308.6 million, supported by industrial and office client activity in key West Coast markets and Texas, alongside demand across technology-related, manufacturing, legal, aerospace and defense, and health care sectors.
Capital Markets remained the principal offset. Revenue declined 4.4% to $288.2 million as a 7.5% increase in Investment Sales revenue did not offset a 21.1% decline in Fees from Commercial Mortgage Origination, net. Newmark reported approximately 33% growth in Investment Sales volumes globally, but cited a difficult prior-year Total Debt comparison and lower industry multifamily GSE activity. OMSR Revenues also declined 9.4% to $36.7 million.
Expense growth trailed revenue growth on a GAAP basis, with total expenses up 8.4% to $889.2 million. Compensation and employee benefits increased 12.9%, reflecting higher commission-based revenue, acquired-company costs and growth investments. Non-compensation expenses increased 10.4%, including higher pass-through costs associated with Occupier Solutions and Property Management. The company reported that excluding pass-through items, total GAAP expenses would have increased by 5.5%.
Capital allocation included $59.4 million of quarterly share repurchases, a $0.06 per-share quarterly dividend, and reauthorization of a $400 million buy-back program. Cash and cash equivalents were $240.0 million and total corporate debt was $877.5 million at quarter-end, while net leverage was 1.0 times. Reported quarterly operating cash flow was negative because of loan-originations and sales activity, but Adjusted Free Cash Flow was $108.7 million.
Newmark reduced its FY 2026 outlook to revenue of $3,700 - $3,800 million, Adjusted EPS of $1.80 - $1.90, and Adjusted EBITDA of $629 - $667 million. The company attributed the revision to macroeconomic volatility that creates uncertainty around transaction-closing timing, while maintaining expectations for double-digit growth in revenue, Adjusted EBITDA and Adjusted EPS.
Management, verbatim
Newmark once again generated strong top- and bottom-line growth, including record third quarter revenues. We produced double-digit gains in Leasing and in our recurring businesses, as we progress towards our goal of over $2 billion in annual Management and Servicing revenues by 2029.
Barry M. Gosin, Chief Executive Officer of Newmark
Our transaction pipelines remain active and robust. We continue to expect double-digit growth in revenues, Adjusted EBITDA, and Adjusted EPS, and anticipate achieving our best-ever full year results for each of these metrics. However, the volatility in the macroeconomic environment creates challenges with regard to the timing and certainty of deal closings, and as a result, we are revising our 2026 outlook.
Barry M. Gosin, Chief Executive Officer of Newmark
Not in the filing
stated, not guessed- Prior-period outlook section was not separately provided; vs_prior_guidance is therefore empty.
- Gross margin was not reported.
- GAAP operating margin was not reported.
- Segment profit or segment margin was not reported.
- Quarter-over-quarter comparisons were not reported.
- GAAP free cash flow was not reported as a GAAP measure.
- Forward operating-expense guidance was not reported.
- Forward gross-margin guidance was not reported.
- Forward GAAP EPS guidance was not reported.
AlphAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
Newmark Group, a Nasdaq‑listed commercial real‑estate advisor, filed its Q3 2026 earnings on Oct 29, 2026.
Ticker impact
Newmark Group reported Q3 2026 results with 12.7% revenue growth and revised 2026 outlook.
likely modest upside as investors price in stronger earnings and revised outlook
The company posted higher revenue and earnings, updated its guidance expectations, and received an S&P rating upgrade, supporting a bullish view.
Market effects
Strong performance may boost confidence in commercial real estate services sector.
Positive for U.S. commercial real estate market participants.
Limited to investors with exposure to real estate advisory firms.
Counterpoint
Macro volatility could pressure future deal flow despite short‑term earnings strength.
Key entities
- companyNewmark Group, Inc.
Commercial real‑estate advisory and services firm.
