Jones Lang Lasalle Incorporated · NYSE:JLL
Jones Lang Lasalle — Investor Presentation (May 2011)
39 slides from Jones Lang Lasalle's investor presentation, May 6, 2011
Slide 1: Investor Presentation
Exhibit 99.1 May 2011 Investor Presentation ..40,000 employees….185 offices….60 countries….1 global platform..
Slide 2: Forward looking statements
Forward looking statements Statements in this presentation regarding, among other things, future financial results and performance, achievements, plans and objectives and dividend payments may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act
Slide 3: Table of Contents
Table of Contents I. Company Description II. Financial Overview III. Market Environment IV. Global Growth Strategy V. 2011 Priorities 3
Slide 4: Company Description
Company Description () Jones LANG LASALLE
Slide 5: Jones Lang LaSalle company history
Jones Lang LaSalle Company history 1783 1968 1997 19992008Present Jones Lang Wootton founded in London LaSalle Partners founded, operating primarily in the Americas LaSalle Partners initial public offering LaSalle Partners and Jones Lang Wootton merge to create Jones Lang LaSalle Integrated global p
Slide 6: Jones Lang LaSalle diversified service lines
Jones Lang LaSalle Medium-term outlook continues to benefit from cyclical recovery 2010 Revenue = $2.9 billion • Consolidator inaconsolidating industry - morethan LaSalle 30 mergers and acquisitions since 2005 Property & Facility Inv. Mgmt. Management 9% Advisory • Corporate Solutions driving growth
Slide 7: Market Share and Service Line Expansion
Market Share and Service Line Expansion More than 30 acquisitions since 2005 Staubach Spaulding & Slye Standard Group Klatskin Zietsman Market share growth CRA ECD GGP PCA • Middle Market Corporate Solutions TCF Americas HIA • Leasing Alkas Meghraj Area Zero • Capital Markets Rogers Chapman Sallmann
Slide 8: LaSalle Investment Management
LaSalle Investment Management A decade of accomplishments • Globalplatform:Morethan300institutionalclientsworldwide- investorbasegreaterthan90%institutional • Investment Expertise:Core,valueadd,opportunisticprivateinvestingacrossmajorpropertytypes • Consistentclientservice delivery system - worldwid
Slide 9: More than 40,000 employees driving growth across service lines
Jones Lang LaSalle More than 40,000 employees driving growth across service lines Investment assets Property and corporate facilities under management $41B under management (s.f.) 1.8B LaSalle Inv. LEED-accredited professionals 585 Property & Facility Mgmt. 9% Management 24% Annual energy savings fo
Slide 10: Financial Overview
Financial Overview () Jones LANG LASALLE
Slide 11: Consolidated Earnings Scorecard
Consolidated Earnings Scorecard Demonstrating competitive strength 2010 Highlights FY 2010 FY 2009 • Record revenue of $2.9 billion , up 18% over 2009 Revenue $2.9B $2.5B % change 18% (8%) • Global Leasing revenue reaches $1 billion; up 28% over 2009 Net Income $154M ($4M) (1) Adjusted Net Income $1
Slide 12: FY 2010 Revenue Performance
FY 2010 Revenue Performance ($ in millions) Americas EMEA Asia Pacific LaSalle $1,261.5 $1,031.6 18% Consolidated Note: Equity losses of $58.9M and $11.4M in 2009 and 2010, respectively, are included in segment results, however, are excluded from Consolidated totals. 12
Slide 13: 2010 Real Estate Services Revenue
2010 Real Estate Services Revenue ($ in millions) Americas EMEA Asia Pacific Total RES Revenue Leasing $637.9 28% $202.6 17% $159.4 42% $999.9 28% Capital Markets & $84.1 120% $141.2 32% $80.4 38% $305.7 50% Hotels Property & Facility $269.4 19% $142.9 5% $303.7 14% $716.0 14% Management Project & $
Slide 14: Local and Regional Real Estate Services
Local and Regional Real Estate Services Asia Pacific Leasing and Capital Markets capturing incremental revenue EMEA Americas Leasing Capital Markets (1) (1) Q1 2011: 23% Q1 2011: 26% ($ in millions) ($ in millions) $1,000 $753 $781 $593 $557 $317 $306 $203 Full Year Comparison Full Year Comparison (
Slide 15: Q1 2011 Real Estate Services Revenue
Q1 2011 Real Estate Services Revenue ($ in millions) Americas EMEA Asia Pacific Total RES Revenue Leasing $143.1 35% $37.2 4% $29.8 17% $210.1 23% Capital Markets & $19.8 108% $28.7 10% $17.5 5% $66.0 26% Hotels Property & Facility $66.7 15% $35.9 4% $83.9 24% $186.5 16% Management Project & $37.2 1
Slide 16: Solid Cash Flows and Balance Sheet
Solid Cash Flows and Balance Sheet Positioned to drive growth and investment ($ in millions) 2010 Free Cash Flow (1) Disciplined CapEx spending Effective tax management Opportunity to grow and (24% effective tax rate) invest in the business $440 Investment grade balance sheet (1) Freecashflowcalcula
Slide 17: Solid Cash Flows and Balance Sheet Position
Solid Cash Flows and Balance Sheet Position ($ in millions) Cash Flows Q1 2011 Q1 2010 Q1 2011 Highlights Cash from Earnings $42 $46 Working Capital (239) (192) • Healthy position after Q1 2011 Cash used in Operations ($197) ($146) incentive compensation payments Primary Uses (1) Capital Expenses (1
Slide 18: Market Environment
Market Environment () Jones LANG LASALLE
Slide 19: Capital Markets Leading Real Estate Fundamentals
Capital Markets Leading Real Estate Fundamentals Increasingly synchronized recovery Capital Values Leasing Fundamentals Shanghai Beijing London Amsterdam, Capital Value Capital Value Hong Kong, Rental growth Rental growth Washington DC, growth slowing falling Sao Paulo, slowing falling Sao Paulo Lon
Slide 20: Prime Offices
Prime Offices Q1 2010 Q – 1 2011 rental change % change BasedonrentsforGradeA spaceinCBDor equivalent.Inlocalcurrency. Source:JonesLangLaSalle,April2011GlobalMarketPerspective AmericasEurope Asia Pacific 20
Slide 21: Global Markets Perspective
Global Markets Perspective Prime officesprojected – value change in 2011 Rental Values Capital Values Hong Kong, Moscow + 20% Hong Kong, Moscow San Francisco, Washington DC Shanghai, Singapore, Washington DC Shanghai, Singapore + 10-20% San Francisco, London*, New York*, New York*, Toronto Toronto,
Slide 22: Global Growth Strategy
Global Growth Strategy () Jones LANG LASALLE
Slide 23: Global strategy for renewed growth
Jones Lang LaSalle Global strategy for renewed growth G1 Build our leading local and regional market positions G2 Grow our leading positions in Corporate Solutions G3 Capturetheleadingshareofglobalcapitalflowsforinvestmentsales G4 Strengthen LaSalle Investment Management’s leadership position G5 Con
Slide 24: G1 Staubach merger transforms U.S. local markets position
Local and Regional Services G1 Staubach merger transforms U.S. local markets position Merger Impact: Tenant Representation Market Leadership • Reinforced JLL’s position as the high quality brand for occupier clients • Significantly improved our market position; 990 brokers in the field today; up mor
Slide 25: Local and Regional Services: European retail acquisitions
Local and Regional Services European retail acquisitions providing scale in key markets Fully integrated approach maximizing client value • Managing 81 million sq ft of retail assets • Leasing 75 million sq ft of space in 200 shopping centers • Valuation of 450 shopping centres of 97 million sq ft •
Slide 26: G2 Global Corporate Solutions
G2 Global Corporate Solutions Leading position with unique expertise across services & geographies • Accelerate new client wins and innovate for existing clients to broaden relationship - 60 new wins, 33 expansions and 32 renewals in 2010 - More than 700 million sq ft under management as of December
Slide 27: Global Corporate Solutions
Global Corporate Solutions Asia Pacific gaining share with local and multinational corporates Sanyo Alcatel-Lucent Wipro Sony Philips Infosys Citi Merck Telestra AFP Centrelink Fonterra 27
Slide 28: G3 Capture Global Capital Flows for Investment Sales
G3 Capture Global Capital Flows for Investment Sales Positioned to leverage leading share as markets recover Development & Strategic Construction Review Management 2011 volumes expected to increase a further 35-40% Investment Sales Research on Local Martkets Direct Commercial Real Estate Investment,
Slide 29: G4 LaSalle Investment Management
G4 LaSalle Investment Management A premier global investment manager New Business Activity nd • $5 billion of net new capital raised in 2010, best 2year in LaSalle history • Strong capital raising continues, $1.5 billion of net new capital commitments in Q1 2011 • Momentum continues with new separat
Slide 30: G5 Connecting Across the Firm and With Clients
G5 Connecting Across the Firm and With Clients Technology enabling value added connections JLL Brand Extensive Market Capabilities Knowledge & Connecting & Products Experience JLL to add value for clients Colleagues Thought Sharing Leadership & Relationships Research Technology JLL OneView www.jones
Slide 31: G5 Energy and Sustainability Services
G5 Energy and Sustainability Services Energy conservation and cost savings a growing priority Making an Impact • Nearly 600 LEED Accredited Professionals • 116 LEED projects globally, including st • 1 LEED Platinum high-rise; One Bryant Park, New York st • 1 LEED building registered in India; Sohrab
Slide 32: 2011 Priorities
2011 Priorities () Jones LANG LASALLE
Slide 33: 2011 Priorities: Enhance margin and strengthen income quality
2011 Priorities Enhance margin and strengthen income quality • Leverage strengthening local markets positions • Continue growing scale in Corporate Solutions • Maintain LaSalle Investment Management’s stable advisory fee margins; enhance with transaction and incentive fees • Grow operating margin to
Slide 34: 2011 Priorities and Consolidation Opportunities
2011 Priorities and Consolidation Opportunities Capture opportunities reappearing in the marketplace Strategy Opportunity Target Financial Objective G1 Secure market leadershipGoal– to be #1, #2 or #3 in targeted local and regional market services • Major growth to G2 Provide specialized technical s
Slide 35: Leading brand well positioned for growth
Jones Lang LaSalle Leading brand well positioned for growth Market Trends Jones Lang LaSalle Opportunity Leverage leading global market positions for improved Early stages of cyclical recovery transactional revenue Outsourcing trend continuing and Continue Corporate Solutions leadership; capture eme
Slide 36: Appendix
Appendix @ Jones LANG LASALLE
Slide 37: Reconciliation of GAAP Net Income (Loss) to Adjusted Net Income
Reconciliation of GAAP Net Income (Loss) to Adjusted Net Income ($ in millions) FY 2010 FY 2009 GAAP net income (loss) $ 153.5 $ (4.1) Shares (in 000's) 44,084 38,543 GAAP earnings (loss) per share $ 3.48 $ (0.11) GAAP net income (loss) $ 153.5 $ (4.1) Restructuring, net of tax 4.9 35.6 Non-cash co-
Slide 38: Reconciliation of GAAP Operating Income to Adjusted EBITDA
Reconciliation of GAAP Operating Income to Adjusted Operating Income and Net Income (Loss) to EBITDA and Adjusted EBITDA ($ in millions) FY 2010 FY 2009 GAAP Operating Income $ 260.7$ 116.4 Restructuring charges 6.4 47.4 Adjusted Operating Income $ 267.1$ 163.8 Net income (loss) $ 153.5$ (4.1) Inter
Slide 39: Reconciliation of GAAP Net Income to EBITDA and Free Cash Flows
Reconciliation of GAAP Net Income (Loss) to EBITDA ($ in millions) and Free Cash Flows FY 2010 FY 2009 Net Income (Loss) $154 ($4) Interest Expense, net of interest income 46 55 Provision (benefit) for income taxes 49 6 Depreciation and amortization 72 83 EBITDA $321 $140 Change in working capital 6
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