Jones Lang LaSalle Incorporated · NYSE:JLL
Jones Lang LaSalle — Q1 2014 Earnings Presentation
18 slides from Jones Lang LaSalle's earnings presentation, Jul 24, 2014
Slide 1: Supplemental Information First-Quarter 2014 Earnings Call
Supplemental Information First-Quarter 2014 Earnings Call
Slide 2: Market & Financial Overview
Market & Financial Overview ()JLL
Slide 3: Q1 & FY Capital Markets & Leasing Markets Volumes
Q1 & FY Capital Markets & Leasing Markets Volumes Investment Volume Strength Varies HISTORICAL FORECAST Q1 TTM 2014 v. Q1 TTM 2013 FY 2013 v. FY 2012 FY 2014 v. FY 2013 Market Volumes Market Volumes Market Volumes Capital Markets(1) Americas 30% 18% ~ 20% EMEA 32% 37% ~ 5% Asia Pacific 18% 29% ~ 10%
Slide 4: Selected Business Wins and Expansions
Selected Business Wins and Expansions - Scania – 100 countries Multi-Regional - Credit Suisse – 5M sf - Volkswagen of America – 4.9M sf - 2550 M Street, Washington, D.C. – $86M - Amazon.com – 3.5M sf - InterContinental Barclay, New York – $300M - Commonwealth Edison – 3M sf - Zurich American, Schaum
Slide 5: Prime Offices – Projected Changes in Values, 2014
Prime Offices – Projected Changes in Values, 2014 Rental Values Capital Values + 10-20% Tokyo, New York* Singapore San Francisco, Madrid Dubai, London*, Boston, Chicago Dubai, London*, New York* + 5-10% San Francisco, Hong Kong, Tokyo Los Angeles, Frankfurt Seoul, Singapore, Frankfurt, Paris*, Bosto
Slide 6: Financial Information
Financial Information ()JLL
Slide 7: Q1 2014 Revenue Performance
Q1 2014 Revenue Performance Fee revenue ($ in millions; % change in local currency) Gross contract costs Americas EMEA Asia Pacific LaSalle 25% (20% fee) $447.3 22% (6% fee) $361.7 $406.5 $311.8 21% (11% fee) $342.4 $244.9 $214.6 $210.7 $234.0 $190.0 11% $168.0 $173.6 $64.9 $72.6 2013 2014 2
Slide 8: Q1 2014 Real Estate Services Revenue
Q1 2014 Real Estate Services Revenue ($ in millions; % change in local currency over Q1 2013) Americas EMEA Asia Pacific Total RES Leasing $188.6 24% $54.0 6% $27.8 5% $270.4 18% Capital Markets and Hotels & Hospitality $40.2 4% $54.4 (11%) $20.9 (7%) $115.5 (6%) Property & Facility
Slide 9: LaSalle Investment Management Q1 2014 Highlights
LaSalle Investment Management Q1 2014 Highlights • Capital raising momentum continues into 2014; nearly $1 billion raised with strong pipeline for the second quarter • Assets under Management and advisory fees stable with portfolio liquidations offset by new acquisitions; investor allocations to rea
Slide 10: Solid Balance Sheet Position
Solid Balance Sheet Position ($ in millions) Q1 2014 Highlights • Investment grade balance sheet; Baa2 / BBB- (Stable) – Reduced net debt by $139 million from Q1 2013 – Net debt increased from year end 2013, driven by incentive compensation payments and consistent with seasonal borrowing patterns •
Slide 11: Appendix
Appendix @) JILL
Slide 12: Prime Offices – Capital Value Clock, Q1 2013 v Q1 2014
Prime Offices – Capital Value Clock, Q1 2013 v Q1 2014 Q1 2013 Q1 2014 Mexico City, Moscow Washington DC, Toronto Toronto Hong Kong Hong Kong Amsterdam Singapore Washington DC New York, Chicago, Sao Paulo Berlin, Sydney, Shanghai Paris New York, Chicago Boston, Los Angeles, Stockholm Berlin, San Fra
Slide 13: Prime Offices – Rental Clock, Q1 2013 v Q1 2014
Prime Offices – Rental Clock, Q1 2013 v Q1 2014 Q1 2013 Q1 2014 Amsterdam, Sao Paulo Mexico City Amsterdam Moscow Toronto Paris Shanghai Stockholm Beijing Johannesburg Berlin Berlin, Frankfurt Moscow Milan Houston San Francisco Houston Rental Value San Francisco Rental Value Rental Values Dallas Ren
Slide 14: Q1 2014 Adjusted EBITDA Performance
Q1 2014 Adjusted EBITDA* Performance ($ in millions) Americas EMEA Asia Pacific LaSalle $30.3 $25.1 $16.8 $13.8 $3.4 $5.6 $4.3 $0.5 2013 2014 2013 2014 2013 2014 2013 2014 Consolidated $47.8 $52.0 2013 2014 * Refer to slide 18 for Reconciliation of GAAP Net Income to Adjusted EBITDA for the three mo
Slide 15: Q1 2014 Real Estate Services Revenue
Q1 2014 Real Estate Services Revenue ($ in millions; % change in USD over Q4 2013) Americas EMEA Asia Pacific Total RES Leasing $188.6 24% $54.0 10% $27.8 (1%) $270.4 18% Capital Markets and Hotels & Hospitality $40.2 4% $54.4 (7%) $20.9 (12%) $115.5 (4%) Property & Facility Manageme
Slide 16: Fee Revenue / Expense Reconciliation
Fee Revenue / Expense Reconciliation • Reimbursable vendor, subcontractor and out-of-pocket costs reported as revenue and expense in JLL financial statements have been increasing steadily • Gross accounting requirements increase revenue and costs without corresponding profit • Business managed on a
Slide 17: Reconciliation of GAAP Net Income to Adjusted Net Income and Earnings per Share
Reconciliation of GAAP Net Income to Adjusted Net Income and Earnings per Share Three Months Ended March 31 ($ in millions) 2014 2013 GAAP net income attributable to common shareholders $15.9 $13.2 Shares (in 000s) 45,202 45,055 GAAP diluted earnings per share $0.35 $ 0.29 GAAP net income attributab
Slide 18: Reconciliation of GAAP Net Income to Adjusted EBITDA
Reconciliation of GAAP Net Income to Adjusted EBITDA Three Months Ended March 31 ($ in millions) 2014 2013 GAAP net income $16.1 $13.3 Interest expense, net of interest income 6.6 7.9 Provision for (benefit from) income taxes (29.1) 4.4 Depreciation and amortization 22.4 19.1 EBITDA $16.0 $44.7 Rest