$JLL earnings report

JLL reported a strong third quarter, with revenue of $7,281.2 million, up 12%, and operating income of $391.0 million, up 43%. Net income attributable to common shareholders increased 44% to $319.8 million. Diluted earnings per share rose 49% to $6.85, while Adjusted diluted earnings per share increased 50% to $6.76. Adjusted EBITDA increased 33% to $460.2 million, reflecting higher revenues, incremental profit contributions from Real Estate Management Services and enhanced platform leverage.

Revenue growth was concentrated in Advisory activities. Leasing Advisory revenue increased 27% to $941.8 million, led by U.S. industrial, office and data center activity and a meaningful uptick in average deal size. Capital Markets Services revenue increased 20% to $736.8 million, with investment sales, debt advisory and equity advisory all contributing. Real Estate Management Services, the largest segment, grew 9% to $5,497.4 million as Workplace Management increased 10% and Project Management increased 14%.

Profit growth outpaced revenue growth in the transaction-oriented businesses. Leasing Advisory Adjusted EBITDA increased 47% to $201.8 million and Capital Markets Services Adjusted EBITDA increased 46% to $131.1 million. Capital Markets profitability also benefited from $6.8 million of lower loan-related expenses, including the absence of loan losses recognized in the prior-year quarter. Investment Management was the exception: revenue declined 9% to $105.2 million and Adjusted EBITDA declined 24% to $17.9 million, driven by lower incentive and transaction fees.

Cash generation was substantial in the quarter, although third-quarter operating cash flow of $609.7 million and Free Cash Flow of $556.0 million were each slightly below the prior-year quarter. For the nine months, operating cash flow increased 88% to $342.8 million and Free Cash Flow increased 297% to $174.2 million. Net Debt declined to $858.7 million from $1,190.3 million at June 30, 2026, and the Net Leverage Ratio was 0.5x. JLL repurchased $551.7 million of shares in the first nine months and intends to execute a new $500 million accelerated share repurchase.

Management raised its full-year Adjusted EPS target range, though the release did not disclose the numerical range. The stated target reflects 37% growth at the midpoint. The company cited strength in pipelines and operating trends, positioning Leasing Advisory and Capital Markets Services as the principal areas to monitor for continuation of the third-quarter momentum, alongside the pace of recovery in Investment Management incentive and transaction fees.

JLL reported a strong second quarter, with revenue of $ 6,927.9, up 11 % in USD and 10 % in LC. Demand was broad across the operating platform. Advisory revenue growth accelerated to 21%, while Resilient revenues increased 8%. Leasing Advisory and Capital Markets Services were the largest growth contributors, and Real Estate Management Services benefited from Workplace Management mandate expansions and new wins.

Profit growth exceeded revenue growth. Net income attributable to common shareholders reached $ 215.6, up 92 % in USD, and diluted earnings per share was $ 4.59, up 98 % in USD. Adjusted EBITDA increased 32 % in USD to $ 386.3. Management attributed higher Adjusted EBITDA and margin primarily to Capital Markets Services and Leasing Advisory revenue growth and enhanced platform leverage. The absence of $14 million of prior-year loan loss expense also supported profit and margin growth.

The recurring-oriented Real Estate Management Services business grew $ 5,368.4, up 8 % in USD and LC. Workplace Management revenue grew 11 % in USD and 10 % in LC, the fastest of the reported business lines within the segment. Capital Markets Services increased $ 620.2, up 19 % in USD and LC, while Leasing Advisory rose $ 836.9, up 24 % in USD and LC. Investment Management was the exception, with revenue of $ 102.4, down (1) % in USD.

Cash generation strengthened materially in the quarter. Cash flows from operating activities were $ 488.1 and Free Cash Flow was 438.0, with both improving year over year. The company used $ 110.0 for quarterly repurchases and $ 410.0 in the first half, while Net Debt declined to $ 1,190.3 as of June 30, 2026 from $ 1,489.1 as of March 31, 2026. Management raised its full-year Adjusted EPS target range and stated that the mid-point reflects 34% year-over-year growth, but the actual target range was not included in the available filing text.