Jones Lang LaSalle Incorporated · NYSE:JLL
Jones Lang LaSalle — FY2013 Earnings Presentation
32 slides from Jones Lang LaSalle's earnings presentation, Mar 18, 2014
Slide 1: Form 8-K Current Report - Jones Lang LaSalle Incorporated
SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934 Date of report (Date of earliest event reported): March 18, 2014 JONES LANG LASALLE INCORPORATED (Exact name of registrant as specified in its char
Slide 2: Item 7.01 Regulation FD Disclosure
ITEM 7.01. REGULATION FD DISCLOSURE Additional information of the registrant is attached as Exhibit 99.1 to this report and is incorporated herein by reference. The registrant undertakes no obligation to update this information, including any forward-looking statements, to reflect subsequently occur
Slide 3: Signatures
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Dated: March 18, 2014 JONES LANG LASALLE INCORPORATED By: /s/ Joseph J. Romenesko Name: Josep
Slide 4: Exhibit Index
EXHIBIT INDEX Exhibit 99.1 JLL March 2014 Investor Relations Presentation
Slide 5: Exhibit 99.1 - One global platform, March 2014
Exhibit 99.1 Exhibit 99 1 Investor Presentation 53 000 employees 200 offices 75 countries 1 global platform March 2014
Slide 6: Who we are
Who 6% Growth investment Strong 21% wecash oriented are EMEA (LaSalle) generator JLL 28% isglobally a leading Operational 45% Disciplined integrated Americas provider excellence acquirer firm 2013 of real Advisor Fee Long Productivity estate Revenue term and services value service =focus $4and creat
Slide 7: How we got here
How we public Staubach operations offering got combine Enhances here initial Company premier strength LaSalle brand operations and merge depth andPartners global of andservice Largest platform to create capabilities merger 1760 and Jones 1783 in in JLLthe Jones 1968 history UK1997 Lang and transform
Slide 8: Long history of profitable growth
Fee482 $4 ~8x ~7x ~4x $5 $389 $942 2003 Long 10 50+ Post Investment Experienced Six 300+ Note: 4 027 year member Revenue mergers Great $59 2013 International history Allcompound $685 amounts 2003 Recession grade Global executive and of Adjusted profitable 2013 acquisitions financial in Directors ann
Slide 9: Investment thesis
Investment Corporate and Disciplined Value commitment 5 Solutions thesis capital to Growth allocations diversity LaSalle Focused Investment Productivity Dividend Long Management payout term Opportunities revenue Increased Global growth Infrastructure Profitability Brand Market Superior share leverag
Slide 10: Our global market opportunities
Our global market opportunities Global Corporate Growth share Solutions strategy and and Drivers invest challenges for Grow continued Build strategically LaSalle Strategy our local success Investment as2020 and industry JLL regional Pursue Actions Management’s consolidates business Markets Balance a
Slide 11: Full Year Forecast
Full Year Forecast Expected 21% ~ 15% Americas Market Leasing 7 Volumes & (UCapital S only) FYMarkets 7% 20135 v10% market FYEMEA 2012: volumes Actual (Europe 2014 FYonly) Improved 20144% v FY 5Leasing 10% 2013: Asia Forecast Volume PacificAnticipated Capital (selectMarkets markets) Gross Americas A
Slide 12: G1: Leasing and Americas growth
G1 since rate Development Leasing $753 Staubach Scale Americas Revenue Company 2007: andTetris $108 leadership Consolidated ($ acquired business in$203 millions) in CAGR local Services: annual = 15% Asia $593 markets revenue and Pacific model $133 Americas Competitive EMEA =25% expanding $375 $173 =
Slide 13: G2: Corporate Solutions
G2Expansions capitalize World markets 43 Global class International across Capabilities outsourcing 18onRenewals services deskScalable propels Integrated 17 market Wins Corporate platform trends 59 Service 9 & Transaction Solutions market Lease administration Scalable Competitive management executio
Slide 14: G3: Capital Markets and EMEA opportunity
G3 $203 Sturge global $60 revenue Capturing Hotels expanded = $235 $260&$81 market million Hospitality UK$229 and share 10$196 EMEA brand in$58 growing opportunity JLL $141 Capital global $107Increased $217 Markets capital $136flows Revenue Asia $169 Pacific Competitive $114 ($ intransparency $84 mi
Slide 15: G4: LaSalle Investment Management
G4 5Performance Competitive Proven Diversified Consistent Financial Successful Building Global Healthy Crisis Fees $278 $242 2006 $0 $100 $178 $223 $228 $200 $245 Assets Separate $23 Note: 11 $300 to $245 $238 2007 AUM $Advisory Under Financial performance 13 2013 Markets Accounts Advisory backing c
Slide 16: G5: Diversified business lines
G5 Differentiated Advisory Other Hong Asia Europe &Pacific Other United 10% (23%) &States sustainable Project Kong) 9% & 42% (1) Development business Gross 4% Germany revenue lines;9% delivering 5% 12 Services France integrated 18% 14%33%3%services Other CapitalAsia Markets globally United Leasing 2
Slide 17: Consolidated Fee Revenue
Consolidated Fee Revenue $4 $3 2012 Gross •FY 2013 Asia 21% Americas EMEA LaSalle 28% Notes: (2) 13Full Growth Adjusted Successful 0B 6B Percentage 2013 Adjusted Pacific 6% 45% Revenue year revenue: revenue $285M $245M (1)Net Performance led 2013 operating EBITDA fee capital by Income earnings Adjus
Slide 18: Strong balance sheet
StrongDebt Renewed maturities consecutive maximum Bank (Cash (primarily from balance bank in IT) allowable $Operations year 2018 27 8% credit sheet $with 49 Co (credit ratio position $facility Investment net 344 = $832m facility) debt ofLT3in 2013 5x reduction Senior October; plus (1) Balance and Hi
Slide 19: Full Year revenue by service line
Full$274 Markets Gross 4% 17% revenue excludes Year $847 Revenue exclude and gross 22013 622% 14% Hotels contract Real $518 $92 Equity $3&Estate 772 34 Hospitality 19% 20% costs earnings 1 12% Services $555 $240 15Gross (losses) 44$217 15% 34% Revenue Revenue 3Advisory $440 29% Fee ($ revenue 7$333
Slide 20: Americas
Americas $1 Management 60 revenue with 9B 2012 basis basis Real $1points &See Estate 6BHotels Appendix $167M over Services up Q4 10 up2012 for 2% 14% 2013 calculation $209M 2013 on Feea Revenue fee Revenue 12 of revenue 7%fee FY Contribution Operating revenue 2013 basisPerformance Operating 16 Incom
Slide 21: EMEA
EMEARussia revenue based Contribution adjusted calculation Real :to$1exclude of3B Estate France for fee2012 the revenue Services $2 and 16% $952M and year Germany 17 $52013 $59M million the led Fee 12% 6 Netherlands of 2% AdjKing Russia $76M Operating Sturge 4% 8 Adjusted 0% 5%intangibles Income FY
Slide 22: Asia Pacific
Asia Pacific $966M share calculated Thailand fee2012 Other gains; with Real $781M Asia on revenue Estate a 8New $65M feeCapital Services Zealand 4% 8 4% inup 2012 $78M 2013 Note: performance 2013 Fee 10 Margin 0% Operating Revenue FYMarkets is 2013 calculated Contribution Income Performance & Hotels
Slide 23: LaSalle Investment Management
LaSalle=25Investment $72M outlook earnings AUM remains $47 in 2%2014 6B $74M Note: stable Q4Management 25 2013 AUM for 9%Assets 2014 FYdata 2013 with 2013 Under reported Performance longer Fee Management on Operating term a one growth Winning quarter Income ($ in potential new billions) lagOperating
Slide 24: Appendix
Appendix
Slide 25: JLL Property Clocks
JLL Paulo Houston Values Sao Tokyo Property Milan Los asSan of San Angeles Q4 Francisco Mumbai ClocksSM Francisco 2013New Mexico Paris Frankfurt Leasing York Moscow Brussels City Paris Values Rental Capital Singapore Beijing Milan value asvalue of Mumbai Shanghai Q4 Chicago Rental Capital 2013Istanb
Slide 26: Consolidating results and acquisitions
Consolidating Results and million years EPS local accretive EBITDA A$9 The market Staubach million within industry 8 tenant 0x Price notional 12 Company leads rep 18Payment scale months to7 JLL 5x King particularly notional 36% Maintain opportunity Sturge upfront; 7Meghraj investment in 5xStrategic
Slide 27: Q4 2013 revenue by service line
Q4 2013 Hotels 35% $178 15% earnings costs $87 Gross 623 & 25% (losses) Real 9Hospitality 82% Revenue Advisory Estate $128 Fee$641 Services $78 revenue 5Consulting 28% 6032% 17% $386 Revenue presentation $129 $491 & 2 40% Other 18($ 33% 35% Property inof $36 millions; $59 Property $310 3 015% & 59%
Slide 28: Full Year 2013 revenue by service line
Full Hotels and Revenue $274 $847 revenue excludes Year 26 25% 9% exclude gross $518 2013 & $3 $92 Hospitality 772 4contract Real 19% Equity 3 11% 1 10% Estate $240 costs $555 earnings $217 Gross 4Services 34% 424 314% Revenue 29% (losses) $440 Revenue Advisory $333 7 $1 Fee 11% 3918 42% ($ revenue
Slide 29: Fee revenue and operating expenses
Fee2revenue increasing Expenses 76 Project Consolidated acquisition margin Americas & expansion 251Development steadily charges 313 / Fee revenue expense Project 6 1based inMargins as 097 the and well reconciliation &Services 8Operating base Development 4fee as 092 diluted business intangible revenu
Slide 30: Reconciliation of adjusted net income and EPS
Reconciliation millions) 2 earnings 6 9 8 13per 2013 7 34 share of 2012 1 Intangible GAAP $ 32013 33 26 net $2012 2amortization income 60 38 GAAP $ 65 32 98 to $adjusted Net 54net 48 63 income 026 GAAP 4net 0 5attributable income 1Net 6 3income 7and Adjusted to calculations attributable common net i
Slide 31: Reconciliation of adjusted operating income and EBITDA
Reconciliation December Intangible income Restructuring 8 1amortization 31 10and December 3of34 GAAP acquisition 7 3502operating 31 6Provision 0 ($ 6charges 2in2millions) 4income for 93Adjusted 6income 13to2013 0adjusted 18taxes Operating 2012 3 4550 operating 42013 Adjusted 4 34 Income 2012 7 92 in
Slide 32: Forward dividend and forward-looking statements
Forward dividend and expressed Regarding Securities record disclaims in mechanically without “Management’s events unknown and prior looking payments any © and or Forward payment Jones implied written or risks obligation Exchange Discussion otherwise statements Lang may uncertainties Looking dates by