11:04:08 EDT Thu 30 Jul 2026
Enter Symbol
or Name
USA
CA



COLLIERS INTERNATIONAL GROUP INC. SV
Symbol CIGI
Shares Issued 49,778,127
Close 2026-07-29 C$ 142.07
Market Cap C$ 7,071,978,503
Recent Sedar+ Documents

ORIGINAL: Colliers Reports Second Quarter Results

Double-digit revenue growth across all three platforms; 2026 outlook reaffirmed

2026-07-30 07:00 ET - News Release

Second quarter operating highlights: 

  Three months ended Six months ended
  June 30 June 30
(in millions of US$, except EPS) 2026  2025  2026  2025
             
Revenues$1,572.5  $ 1,347.6  $2,886.0  $ 2,488.8
Net Revenues (note 1)
 1,386.3
   1,185.9
  2,536.4
   2,179.6
Adjusted EBITDA (note 2) 205.3   180.2   330.1   296.3
Adjusted EPS (note 3) 1.83   1.72   2.74   2.59
             
GAAP operating earnings 98.4   99.2   133.4   130.8
GAAP diluted net earnings per share 0.56   0.08   0.09   0.00

   

TORONTO, July 30, 2026 (GLOBE NEWSWIRE) -- Colliers International Group Inc. (NASDAQ and TSX: CIGI) (“Colliers” or the “Company”) today announced financial results for the second quarter ended June 30, 2026. All amounts are in US dollars. 
 
Second quarter consolidated revenues were $1.57 billion, up 17% (16% in local currency), net revenues were $1.39 billion, up 17% (16% in local currency) and Adjusted EBITDA (note 2) was $205.3 million, up 14% (13% in local currency) compared to the prior year quarter. Consolidated internal revenue growth measured in local currencies was 8% (note 5) versus the prior year quarter.   Adjusted EPS (note 3) was $1.83, an increase of 6% over the prior year quarter. Adjusted EPS would have been approximately $0.01 lower excluding foreign exchange impacts. GAAP operating earnings were $98.4 million compared to $99.2 million in the prior year quarter, with the current period impacted by higher acquisition costs primarily related to the Ayesa Engineering acquisition. The GAAP diluted net earnings per share was $0.56, compared to $0.08 in the prior year quarter. Second quarter GAAP diluted net earnings per share would have been approximately $0.01 lower excluding foreign exchange impacts.

For the six months ended June 30, 2026, revenues were $2.89 billion, up 16% (14% in local currency), net revenues were $2.54 billion, up 16% (15% in local currency) and Adjusted EBITDA (note 2) was $330.1 million, up 11% (11% in local currency) versus the prior year. Consolidated internal revenue growth measured in local currency (note 5) was 8% versus the prior year. Adjusted EPS (note 3) was $2.74, up 6% from $2.59 in the prior year period. Adjusted EPS would have been approximately $0.01 lower excluding foreign exchange impacts. The GAAP operating earnings were $133.4 million compared to $130.8 million in the prior year. The GAAP diluted net earnings per share was $0.09 compared with nil in the prior year period. The GAAP diluted net earnings per share would have been approximately $0.01 lower excluding foreign exchange impacts. 

On a trailing twelve-month basis, the Company generated approximately 70% of its earnings from resilient businesses (note 8). For the trailing twelve-month period, free cash flow (note 4) was $365.6 million, representing 106% of adjusted net earnings, reflecting the Company’s asset-light business model and strong cash generation profile. 
 
“Colliers delivered another strong quarter, with double-digit revenue growth across all three platforms, healthy internal growth and continued improvement in earnings quality,” said Jay S. Hennick, Global Chairman & CEO. “Our results increasingly reflect the strength of our broader, more diversified professional-services platform with greater durability and multiple avenues for growth.”

“Engineering continues to demonstrate why it has become such an important differentiator for Colliers. The acquisition of Ayesa late in the quarter expanded our global capabilities and deepened our expertise across infrastructure, transportation, water, property and buildings. Engineering provides recurring and long-dated revenue growth, strong visibility and attractive secular tailwinds that complement both our commercial real estate and investment management businesses, creating new ways to serve clients across the full asset lifecycle.”

“Investment Management also continues to add strength and differentiation to Colliers. Harrison Street has evolved into a diversified global asset management platform spanning real estate, credit, infrastructure and private wealth, reflecting deliberate investments and strategic choices that are expanding opportunities for investors and creating greater long-term value for shareholders.“
 
“Overall, our second quarter results reinforce our confidence in the future. We are benefiting from improving commercial real estate markets, strong secular growth in Engineering, continued expansion of Investment Management and the advantages of a diversified business model that differentiates Colliers from others,” Mr. Hennick concluded.

About Colliers
Colliers (NASDAQ, TSX: CIGI) is a global diversified professional services and investment management company operating through three industry leading businesses: Commercial Real Estate, Engineering, and Investment Management. With greater than a 30-year track record of consistent growth and strong recurring cash flows, we scale complementary, high-value businesses that provide essential services across the full asset lifecycle.

Our unique partnership philosophy empowers exceptional leaders, preserves our entrepreneurial culture, and ensures meaningful inside ownership — driving strong alignment and sustained value creation for our shareholders.

With $6 billion in annual revenues, 28,000 professionals, and $110 billion in assets under management, Colliers is committed to accelerating the success of our clients, investors, and people worldwide. Learn more at corporate.colliers.com.

Segmented Second Quarter Results
Commercial Real Estate revenues for the second quarter totalled $997.3 million, up 12% (up 11% in local currency) versus the prior year quarter. Net revenues were $891.4 million, up 13% (up 12% in local currency). Capital Markets revenues were up 23% with strong growth across all geographies, led by the Americas and Asia Pacific. Leasing also generated strong growth across all geographies, up 23% led by the US on continued momentum in the industrial and office asset classes. Adjusted EBITDA was $105.9 million, up 14% (13% in local currency) versus the prior year quarter. The net margin increased modestly on operating leverage from higher transactional revenues. The GAAP operating earnings were $83.0 million, relative to $71.9 million in the prior year quarter.

Engineering revenues totalled $427.8 million, up 30% (30% in local currency) compared to the prior year quarter. Net revenues (excluding subconsultant and other pass-through costs) were $359.4 million, up 28% (27% in local currency) driven by a combination of recent acquisitions and solid internal growth. Adjusted EBITDA was $52.1 million, up 28% (27% in local currency) over the prior year quarter, with the net margin up slightly. The GAAP operating earnings were $20.7 million relative to $14.1 million in the prior year quarter.

Investment Management revenues were $147.2 million, up 17% (17% in local currency) relative to the prior year quarter. Net revenues (excluding pass-through performance fees) were $135.3 million, up 15% (15% in local currency) driven by internal growth and the favourable impact of a recent acquisition. Adjusted EBITDA was $49.4 million, down 1% (1% in local currency) compared to the prior year quarter, reflecting continued investments in strengthening the global platform under the Harrison Street Asset Management brand, improving the ability to raise capital, serve investors and capitalize on opportunities across real assets, infrastructure and credit strategies. These investments are expected to continue in the second half of the year. GAAP operating earnings were $20.2 million in the quarter versus $29.3 million in the prior year quarter. Total assets under management were $109.9 billion as of June 30, 2026, up 6% from June 30, 2025.

Unallocated global corporate costs as reported in Adjusted EBITDA were $2.1 million, relative to a cost of $3.1 million in the prior year quarter. The corporate GAAP operating loss was $25.5 million compared to $16.2 million in the prior year quarter.

2026 Outlook
The Company reaffirmed its outlook for 2026, which includes the impact of Ayesa. On a consolidated basis, the Company expects to generate mid-teens percentage growth in each of revenues, Adjusted EBITDA and Adjusted EPS for the full year. The outlook drivers by segment are also reaffirmed and are described in the accompanying earnings call presentation.

The financial outlook is based on the Company’s best available information as of the date of this press release, and remains subject to change based on numerous macroeconomic, geopolitical, international trade, health, social and related factors. The outlook does not include any further acquisitions.

Conference Call
Colliers will be holding a conference call on Thursday, July 30, 2026 at 11:00 a.m. Eastern Time to discuss the quarter’s results. The call will be simultaneously web cast and can be accessed live or after the call at corporate.colliers.com in the Events section.

Forward-looking Statements
This press release includes or may include forward-looking statements. Forward-looking statements include the Company’s financial performance outlook and statements regarding goals, beliefs, strategies, objectives, plans or current expectations. These statements involve known and unknown risks, uncertainties and other factors which may cause the actual results to be materially different from any future results, performance or achievements contemplated in the forward-looking statements. Such factors include: economic conditions, especially as they relate to commercial and consumer credit conditions and consumer spending, particularly in regions where the business may be concentrated; commercial real estate and real asset values, vacancy rates and general conditions of financial liquidity for real estate transactions; trends in pricing and risk assumption for commercial real estate services; the effect of significant movements in capitalization rates across different asset types; a reduction by companies in their reliance on outsourcing for their commercial real estate needs, which would affect revenues and operating performance; competition in the markets served by the Company; the utilization of artificial intelligence (AI) and machine learning technologies, including associated impacts on the Company’s services, competitive environment, ability to hire/retain specialized talent, cybersecurity, and legal and governance risks; the ability to attract new clients and to retain clients and renew related contracts; the ability to attract new capital commitments to Investment Management funds and retain existing capital under management; the ability to retain and incentivize employees; increases in wage and benefit costs; the effects of changes in interest rates on the cost of borrowing; unexpected increases in operating costs, such as insurance, workers’ compensation and health care; changes in the frequency or severity of insurance incidents relative to historical experience; the effects of changes in foreign exchange rates in relation to the US dollar on the Company’s Canadian dollar, Euro, Australian dollar and UK pound sterling denominated revenues and expenses; the impact of pandemics on client demand for the Company’s services, the ability of the Company to deliver its services and the health and productivity of its employees; the impact of global climate change; the impact of political events including elections, referenda, trade policy changes, immigration policy changes, hostilities, war and terrorism on the Company’s operations; the ability to identify and make acquisitions at reasonable prices and successfully integrate acquired operations; the ability to execute on, and adapt to, information technology strategies and trends; the ability to comply with laws and regulations, including real estate investment management and mortgage banking licensure, labour and employment laws and regulations, as well as the anti-corruption laws and trade sanctions; and changes in government laws and policies at the federal, state/provincial or local level that may adversely impact the business.

Additional information and risk factors identified in the Company’s other periodic filings with Canadian and US securities regulators are adopted herein and a copy of which can be obtained at www.sedarplus.ca. Forward looking statements contained in this press release are made as of the date hereof and are subject to change. All forward-looking statements in this press release are qualified by these cautionary statements. Except as required by applicable law, Colliers undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

Summary unaudited financial information is provided in this press release. This press release should be read in conjunction with the Company's consolidated financial statements and MD&A to be made available on SEDAR+ at www.sedarplus.ca.

This press release does not constitute an offer to sell or a solicitation of an offer to purchase an interest in any fund.

Note: The Company rounds numbers in the tables below to thousands of US dollars, except per share amounts. Accordingly, some totals may not sum exactly to the corresponding amounts.

Colliers International Group Inc.
Condensed Consolidated Statements of Earnings
(in thousands of US$, except per share amounts)
     Three months  Six months
     ended June 30  ended June 30
(unaudited)     2026   2025   2026   2025 
Revenues $1,572,499  $1,347,649  $2,885,971  $2,488,819 
               
Cost of revenues   937,394    798,064    1,726,929    1,486,554  
Selling, general and administrative expenses   436,752    372,657    841,800    720,950  
Depreciation   20,964    18,703    41,265    37,350  
Amortization of intangible assets   50,760    42,983    98,459    87,738  
Acquisition-related items (1)   27,387    16,059    42,740    25,440  
Loss on disposal of operations
  800
    -    1,331
    -  
Operating earnings  98,442    99,183    133,447    130,787  
Interest expense, net   26,417    15,515    49,285    38,063  
Equity earnings from non-consolidated investments
  (4,164
)   (3,318
)  (11,435
)   (7,052
)
Other (income) expense   135    (2,229 )   503    (3,069 )
Earnings before income tax   76,054    89,215    95,094    102,845  
Income tax   26,838    25,244    35,099    29,956  
Net earnings  49,216    63,971    59,995    72,889  
Non-controlling interest share of earnings   16,094    16,238    20,385    21,967  
Non-controlling interest redemption increment
  4,613   43,724   35,131   51,172 
Net earnings (loss) attributable to Company $28,509  $4,009  $4,479  $(250)
               
Net earnings (loss) per common share            
               
 Basic $0.56  $0.08  $0.09  $0.00 
                  
                  
 Diluted
 $
0.56
  $
0.08
  $
0.09
  $
0.00
 
                  

Adjusted EPS (2)

 $
1.83
  $
1.72
  $
2.74
  $
2.59
 
                  
Weighted average common shares (thousands)             
   Basic   51,104    50,667    51,104    50,641  
   Diluted   51,158    50,891    51,232    50,641  
                   

Notes to Condensed Consolidated Statements of Earnings
(1)   Acquisition-related items include contingent acquisition consideration fair value adjustments, contingent acquisition consideration-related compensation expense and transaction costs.
(2)   See definition and reconciliation below.


 
         
Colliers International Group Inc.         
Condensed Consolidated Balance Sheets         
(in thousands of US$)   
           
   June 30, December 31, June 30,
(unaudited) 2026 2025 2025
           
Assets         
Cash and cash equivalents
 $265,191 $207,902 $183,343
Restricted cash (1)
  53,751  48,981  51,054
Accounts receivable and contract assets   1,128,633   990,329    936,872
Mortgage warehouse receivables (2)   189,341   140,095    104,588
Prepaids and other assets   411,184   378,453    369,005
Warehouse fund assets   62,817   56,050    81,057
 Current assets
  2,110,917   1,821,810    1,725,919
Other non-current assets  282,550  249,040  232,551
Warehouse fund assets   97,908   73,785    186,602
Fixed assets   267,414   251,462    239,044
Operating lease right-of-use assets   528,502   443,404    408,419
Deferred tax assets, net   97,206   93,857    94,792
Goodwill and intangible assets      4,565,663   3,855,109    3,573,278
 Total assets
 $7,950,160    $ 6,788,467    $ 6,460,605

Liabilities and shareholders' equity
         
Accounts payable and accrued liabilities  $1,270,050  $ 1,267,118   $ 1,075,674
Other current liabilities   133,790   112,963    97,287
Long-term debt - current   19,162   8,119    16,841
Mortgage warehouse credit facilities (2)   181,126   133,259    97,103
Operating lease liabilities - current   102,930   99,696    98,651
Liabilities related to warehouse fund assets
  62,290
   33,679
   84,478
   Current liabilities  1,769,348   1,654,834    1,470,034
Long-term debt - non-current   2,486,537   1,625,392    1,723,433
Operating lease liabilities - non-current   522,202   419,198    385,860
Other liabilities   104,046   129,776    143,627
Deferred tax liabilities, net   159,299   90,996    78,937
Liabilities related to warehouse fund assets   52,515   48,782    114,934
Redeemable non-controlling interests   1,311,530   1,285,046    1,157,773
Shareholders' equity   1,544,683   1,534,443    1,386,007
 Total liabilities and equity $7,950,160  $ 6,788,467   $ 6,460,605
          
Supplemental balance sheet information         
Total debt (3)  $2,505,699  $ 1,633,511   $ 1,740,274
Total debt, net of cash and cash equivalents (3)   2,240,508   1,425,609    1,556,931
Net debt / pro forma adjusted EBITDA ratio (4)   2.8   2.0    2.3
          

Notes to Condensed Consolidated Balance Sheets
(1)  Restricted cash consists primarily of cash amounts set aside to satisfy legal or contractual requirements arising in the normal course of business.
(2)  Mortgage warehouse receivables represent mortgage loans receivable, the majority of which are offset by borrowings under mortgage warehouse credit facilities which fund loans that financial institutions have committed to purchase.
(3)   Excluding mortgage warehouse credit facilities.
(4)   Net debt for financial leverage ratio excludes restricted cash and mortgage warehouse credit facilities, in accordance with debt agreements.
  

Colliers International Group Inc.            
Condensed Consolidated Statements of Cash Flows       
(in thousands of US$)
    Three months ended  Six months ended
    June 30  June 30
(unaudited) 
 
2026   2025   2026   2025 
              
Cash provided by (used in)            
              
Operating activities            
Net earnings  $49,216   $ 63,971   $59,995   $ 72,889  
Items not affecting cash:             
  Depreciation and amortization      71,724    61,686    139,724    125,088  
  Gains attributable to mortgage servicing rights   (13,873)   (10,455 )   (25,189)   (14,494 )
  Gains attributable to the fair value of loan             
  premiums and origination fees   (8,405)   (6,676 )   (19,195)   (11,245 )
  Deferred income tax   (4,813)   (5,366 )   (10,385)   (14,550 )
  Other   36,833    17,744    70,306    37,093  
    130,682    120,904    215,256    194,781  
              
Increase in accounts receivable, prepaid             
  expenses and other assets   (137,427)   (139,954 )   (213,936)   (109,680 )
Increase (decrease) in accounts payable, accrued             
  expenses and other liabilities   85,813    11,456    81,162    (26,936 )
Increase (decrease) in accrued compensation   34,012    51,518    (186,841)   (100,959 )
Contingent acquisition consideration paid   (6,257)   (5,680 )   (9,227)   (7,948 )
Mortgage origination activities, net   10,460    7,980    17,756    11,465  
Sales to (purchases of) AR Facility, net   22,378    (1,661 )   48,065    (636 )
Net cash provided by (used in) operating activities   139,661    44,563    (47,765)   (39,913 )
              
Investing activities            
Acquisition of businesses, net of cash acquired   (725,065)   (50,218 )   (770,107)   (59,703 )
Purchases of fixed assets   (31,306)   (16,428 )   (49,602)   (31,082 )
Purchases of warehouse fund assets   (19,000)   (110,921 )   (31,475)   (121,734 )
Proceeds from disposal of warehouse fund assets   -    62,914    -    62,914  
Cash collections on AR Facility deferred purchase price   66,927    35,556    118,242    83,977  
Other investing activities   (13,963)   (22,469 )   (42,355)   (45,764 )
Net cash used in investing activities   (722,407)   (101,566 )   (775,297)   (111,392 )
              
Financing activities            
Increase in long-term debt, net   675,817    118,878    940,532    260,786  
Sales (purchases) of non-controlling interests, net   10,283    (11,916 )   (10,103)   (17,219 )
Dividends paid to common shareholders   -    -    (7,665)   (7,592 )
Distributions paid to non-controlling interests   (30,282)   (37,015 )   (41,404)   (45,473 )
Other financing activities   (4,157)   (6,263 )   (7,959)   (7,440 )
Net cash provided by financing activities   651,661    63,684    873,401    183,062  
              
Effect of exchange rate changes on cash,             
  cash equivalents and restricted cash   1,432    (13,545 )   11,720    (15,341 )
              
Net change in cash and cash             
  equivalents and restricted cash   70,347    (6,864 )   62,059    16,416  
Cash and cash equivalents and             
  restricted cash, beginning of period   248,595    241,261    256,883    217,981  
Cash and cash equivalents and             
  restricted cash, end of period  $318,942   $ 234,397   $318,942   $ 234,397  


 

Colliers International Group Inc.            
Segmented Results
(in thousands of US dollars)
                
  Commercial   Investment    
(unaudited)Real Estate Engineering Management Corporate Total
Three months ended June 30             
2026              
 Revenues$997,343 $427,805 $147,176 $175  $1,572,499
 Net Revenues 891,402  359,444  135,325  175   1,386,346
   Adjusted EBITDA 105,934  52,141  49,368  (2,105)  205,338
 Operating earnings (loss) 83,016  20,719  20,227  (25,520)  98,442
                
2025(1)              
  Revenues $ 893,177   $ 328,189   $ 126,134   $ 149    $ 1,347,649
  Net Revenues   786,233    281,828    117,734    149     1,185,944
  Adjusted EBITDA   92,730    40,604    49,989    (3,114 )    180,209
  Operating earnings (loss)   71,929    14,128    29,287    (16,161 )    99,183
                
                
  Commercial   Investment    
 Real Estate Engineering Management Corporate Total
Six months ended June 30             
2026              
 Revenues$1,838,514 $764,652 $282,442 $363  $2,885,971
 Net Revenues 1,627,658  643,786  264,591  363   2,536,398
 Adjusted EBITDA 152,115  79,031  99,918  (924)  330,140
 Operating earnings (loss) 99,465  23,180  35,626  (24,824)  133,447
                
2025(1)              
  Revenues $ 1,634,153   $ 602,059   $ 252,336   $ 271    $ 2,488,819
  Net Revenues   1,420,220    522,246    236,891    271     2,179,628
  Adjusted EBITDA   131,717    64,720    105,085    (5,269 )    296,253
  Operating earnings (loss)   85,777    10,832    62,194    (28,016 )    130,787
                

 
(1) Prior year results have been recast effective Q1 2026 to reflect local project management operations now being reported under the Commercial Real Estate segment, having previously been reported under the Engineering segment.


 

 

Non-GAAP Measures
1. Reconciliation of revenues to net revenues

Net revenues are defined as revenues excluding subconsultant and other reimbursable direct costs in Commercial Real Estate and Engineering segments as well as historical pass-through performance fees in Investment Management segment to better reflect the operating performance of the business.

  Commercial   Investment    
 Real Estate Engineering Management Corporate Total
Three months ended June 30             
2026              
 Revenues$997,343  $427,805  $147,176  $175 $1,572,499 
  Subconsultant and other direct costs (105,941)  (68,361)  -   -  (174,302)
  Historical pass-through performance fees -       -   (11,851)  -  (11,851)
 Net Revenues$891,402  $359,444  $135,325  $175 $1,386,346 
                
2025              
  Revenues $ 893,177    $ 328,189    $ 126,134    $ 149   $ 1,347,649  
  Subconsultant and other direct costs   (106,944 )    (46,361 )    -     -    (153,305 )
  Historical pass-through performance fees   -     -     (8,400 )    -    (8,400 )
  Net Revenues $ 786,233    $ 281,828    $ 117,734    $ 149   $ 1,185,944  
                
                
  Commercial   Investment    
 Real Estate Engineering Management Corporate Total
Six months ended June 30             
2026              
 Revenues$1,838,514  $764,652  $282,442  $363 $2,885,971 
 Subconsultant and other direct costs (210,856)  (120,866)  -   -  (331,722)
 Historical pass-through performance fees -   -   (17,851)  -  (17,851)
 Net Revenues$1,627,658  $643,786  $264,591  $363 $2,536,398 
                
2025              
 Revenues$1,634,153  $602,059  $252,336  $271 $2,488,819 
 Subconsultant and other direct costs (213,933)  (79,813)  -   -  (293,746)
 Historical pass-through performance fees -   -   (15,445)  -  (15,445)
 Net Revenues$1,420,220  $522,246  $236,891  $271 $2,179,628 



2. Reconciliation of net earnings to Adjusted EBITDA

Adjusted EBITDA is defined as net earnings, adjusted to exclude: (i) income tax; (ii) other income; (iii) interest expense; (iv) loss on disposal of operations; (v) depreciation and amortization, including amortization of mortgage servicing rights (“MSRs”); (vi) gains attributable to MSRs; (vii) acquisition-related items (including contingent acquisition consideration fair value adjustments, contingent acquisition consideration-related compensation expense and transaction costs); (viii) restructuring, optimization and integration costs and (ix) stock-based compensation expense, including related to the CEO’s performance-based long-term incentive plan (“LTIP”). We use Adjusted EBITDA to evaluate our own operating performance and our ability to service debt, as well as an integral part of our planning and reporting systems. Additionally, we use this measure in conjunction with discounted cash flow models to determine the Company’s overall enterprise valuation and to evaluate acquisition targets. We present Adjusted EBITDA as a supplemental measure because we believe such measure is useful to investors as a reasonable indicator of operating performance because of the low capital intensity of the Company’s service operations. We believe this measure is a financial metric used by many investors to compare companies, especially in the services industry. This measure is not a recognized measure of financial performance of the consolidated Company under GAAP in the United States, and should not be considered as a substitute for operating earnings, net earnings or cash flow from operating activities, as determined in accordance with GAAP. Our method of calculating Adjusted EBITDA may differ from other issuers and accordingly, this measure may not be comparable to measures used by other issuers. A reconciliation of net earnings to Adjusted EBITDA appears below.

  Three months ended Six months ended
 June 30 June 30
(in thousands of US$)2026  2025  2026  2025 
             
Net earnings$49,216   $ 63,971   $59,995   $ 72,889  
Income tax  26,838    25,244    35,099    29,956  
Other income, including equity earnings from non-consolidated investments  (4,029)   (5,547 )   (10,932)   (10,121 )
Interest expense, net  26,417    15,515    49,285    38,063  
Operating earnings  98,442    99,183    133,447    130,787  
Loss on disposal of operations  800    -    1,331    -  
Depreciation and amortization  71,724    61,686    139,724    125,088  
Gains attributable to MSRs  (13,873)   (10,455 )   (25,189)   (14,494 )
Equity earnings from non-consolidated investments  4,164    3,318    11,435    7,052  
Acquisition-related items  27,387    16,059    42,740    25,440  
Restructuring, optimization and integration costs  7,356    1,265    16,139    6,575  
Stock-based compensation expense  9,338    9,153    10,513    15,805  
Adjusted EBITDA$205,338   $ 180,209   $330,140   $ 296,253  



3. Reconciliation of net earnings and diluted net earnings per common share to adjusted net earnings and Adjusted EPS

Adjusted EPS is defined as diluted net earnings per share adjusted for the effect, after income tax, of: (i) the non-controlling interest redemption increment; (ii) loss on disposal of operations; (iii) amortization expense related to intangible assets recognized in connection with acquisitions and MSRs; (iv) gains attributable to MSRs; (v) acquisition-related items; (vi) restructuring, optimization and integration costs and (vii) stock-based compensation expense, including related to the CEO’s LTIP. We believe this measure is useful to investors because it provides a supplemental way to understand the underlying operating performance of the Company and enhances the comparability of operating results from period to period. Adjusted EPS is not a recognized measure of financial performance under GAAP, and should not be considered as a substitute for diluted net earnings per share from operations, as determined in accordance with GAAP. Our method of calculating this non-GAAP measure may differ from other issuers and, accordingly, this measure may not be comparable to measures used by other issuers. A reconciliation of net earnings to adjusted net earnings and of diluted net earnings per share to Adjusted EPS appears below.

  Three months ended Six months ended
 June 30 June 30
(in thousands of US$)2026  2025  2026  2025 
             
Net earnings$49,216   $ 63,971   $59,995   $ 72,889  
Non-controlling interest share of earnings  (16,094)   (16,238 )   (20,385)   (21,967 )
Loss on disposal of operations  800    -    1,331    -  
Amortization of intangible assets  50,760    42,983    98,459    87,738  
Gains attributable to MSRs  (13,873)   (10,455 )   (25,189)   (14,494 )
Acquisition-related items  27,387    16,059    42,740    25,440  
Restructuring, optimization and integration costs  7,356    1,265    16,139    6,575  
Stock-based compensation expense  9,338    9,153    10,513    15,805  
Income tax on adjustments  (12,941)   (12,210 )   (25,496)   (25,692 )
Non-controlling interest on adjustments  (8,336)   (7,008 )   (17,587)   (14,634 )
Adjusted net earnings$93,613   $ 87,520   $140,520   $ 131,660  


  Three months ended Six months ended
 June 30 June 30
(in US$)2026  2025  2026  2025 
             
Diluted net earnings per common share$0.56   $ 0.08   $0.09   $ -  
Non-controlling interest redemption increment  0.09    0.86    0.69    1.01  
Loss on disposal of operations, net of tax  0.02    -    0.02    -  
Amortization expense, net of tax  0.61    0.53    1.17    1.09  
Gains attributable to MSRs, net of tax  (0.16)   (0.12 )   (0.28)   (0.16 )
Acquisition-related items, net of tax  0.43    0.21    0.61    0.32  
Restructuring, optimization and integration costs, net of tax  0.12    0.02    0.24    0.09  
Stock-based compensation expense, net of tax  0.16    0.14    0.20    0.24  
Adjusted EPS$1.83   $ 1.72   $2.74   $ 2.59  
             
Diluted weighted average shares for Adjusted EPS (thousands)  51,158    50,891    51,232    50,900  



4. Reconciliation of net cash flow from operations to free cash flow

Free cash flow is defined as net cash flow from operating activities plus contingent acquisition consideration paid, less purchases of fixed assets, plus cash collections on AR Facility deferred purchase price less distributions to non-controlling interests. We use free cash flow as a measure to evaluate and monitor operating performance as well as our ability to service debt, fund acquisitions and pay dividends to shareholders. We present free cash flow as a supplemental measure because we believe this measure is a financial metric used by many investors to compare valuation and liquidity measures across companies, especially in the services industry. This measure is not a recognized measure of financial performance under GAAP in the United States, and should not be considered as a substitute for operating earnings, net earnings or cash flow from operating activities, as determined in accordance with GAAP. Our method of calculating free cash flow may differ from other issuers and accordingly, this measure may not be comparable to measures used by other issuers. A reconciliation of net cash flow from operating activities to free cash flow appears below.

  
 

 

 
  Three months ended Six months ended
 June 30 June 30
(in thousands of US$)2026  2025  2026  2025 
             
Net cash provided by (used in) operating activities$139,661   $ 44,563   $(47,765)  $ (39,913 )
Contingent acquisition consideration paid  6,257    5,680    9,227    7,948  
Purchases of fixed assets  (31,306)   (16,428 )   (49,602)   (31,082 )
Cash collections on AR Facility deferred purchase price  66,927    35,556    118,242    83,977  
Distributions paid to non-controlling interests  (30,282)   (37,015 )   (41,404)   (45,473 )
Free cash flow$151,257   $ 32,356   $(11,302)  $ (24,543 )


 

         
   Trailing twelve months ended
(in thousands of US$)    June 30, 2026
             
2025 Annual free cash flow          $352,326 
Add: Free cash flow for six months ended June 30, 2026            (11,302 )
Less: Free cash flow for six months ended June 30, 2025            24,543  
Trailing twelve months ended June 30, 2026 free cash flow         $365,567 



5. Local currency revenue and Adjusted EBITDA growth rate and internal revenue growth rate measures

Percentage revenue and Adjusted EBITDA variances presented on a local currency basis are calculated by translating the current period results of our non-US dollar denominated operations to US dollars using the foreign currency exchange rates from the periods against which the current period results are being compared. Internal growth, presented as percentage revenue variance, is calculated assuming no impact from acquired entities in the current and prior periods. Revenue from acquired entities, including any foreign exchange impacts, are treated as acquisition growth until the respective anniversaries of the acquisitions. We believe that these revenue growth rate methodologies provide a framework for assessing the Company’s performance and operations excluding the effects of foreign currency exchange rate fluctuations and acquisitions. Since these revenue growth rate measures are not calculated under GAAP, they may not be comparable to similar measures used by other issuers.

6. Assets under management

We use the term assets under management (“AUM”) as a measure of the scale of our Investment Management operations. AUM is defined as the gross market value of operating assets and the projected gross cost of development assets of the funds, partnerships and accounts to which we provide management and advisory services, including capital that such funds, partnerships and accounts have the right to call from investors pursuant to capital commitments. Our definition of AUM may differ from those used by other issuers and as such may not be directly comparable to similar measures used by other issuers.

7. Fee paying assets under management

We use the term fee paying assets under management (“FPAUM”) to represent only the AUM on which the Company is entitled to receive management fees. We believe this measure is useful in providing additional insight into the capital base upon which the Company earns management fees. Our definition of FPAUM may differ from those used by other issuers and as such may not be directly comparable to similar measures used by other issuers.

8. Adjusted EBITDA from resilient revenue percentage

Adjusted EBITDA from resilient revenue percentage is computed on a trailing twelve-month basis and represents the proportion of Adjusted EBITDA (note 2) that is derived from Engineering, Outsourcing and Investment Management service lines. All these service lines represent medium to long-term duration revenue streams that are either contractual or repeatable in nature. Adjusted EBITDA for this purpose is calculated in the same manner as for our debt agreement covenant calculation purposes, incorporating the expected full year impact of business acquisitions and dispositions.

COMPANY CONTACTS:
Jay S. Hennick
Global Chairman & Chief Executive Officer

Christian Mayer
Chief Financial Officer &
Chief Executive Officer,
Commercial Real Estate
(416) 960-9500


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