Colliers International Group Inc. · TSX:CIGI
Colliers International — Q4 2020 Earnings Presentation
23 slides from Colliers International's earnings presentation, Feb 11, 2021
Slide 1: Fourth Quarter 2020 Financial Results
February 11, 2021 Colliers International Group Inc. Fourth Quarter 2020 Financial Results $FFHOHUDWLQJVXFFHVV
Slide 2: Forward-looking statements
This presentation includes or may include forward - looking statements. Forward - looking statements include the Company’s financial performance outlook and statements regarding goals, beliefs, strategies, objectives, plans or current expectations. These statements involve known and unknown r isk s,
Slide 3: Resilience during the pandemic
Resilience during the pandemic Better than anticipated fourth quarter and full year 2020 financial results, despite the ongoing impact of the pandemic Majority of revenues and Adjusted EBITDA generated from high quality recurring services Geographic diversification provides further resilience Other
Slide 4: Fourth Quarter Consolidated Revenues
215.5 292.5 277.3 259.9 377.2 331.2 43.7 44.7 913.7 928.3 Q4 2020 Q4 2019 Fourth Quarter Consolidated Revenues Colliers 4 Outsourcing & Advisory Investment Management (1) Capital Markets Leasing (US$ millions) % Change over Q4 2019 USD LC Investment Management (1) -2% -3% Outsourcing & Advisory 14%
Slide 5: Full Year Consolidated Revenues
686.5 946.4 700.9 775.9 1,226.9 1,148.9 172.6 174.6 2,786.9 3,045.8 2020 2019 Colliers 5 % Change over 2019 USD LC Investment Management (1) -1% -1% Outsourcing & Advisory 7% 7% Capital Markets -10% -10% Leasing -27% -28% Total -9% -9% Revenue Mix 2020 2019 Investment Management 6% 6% Outsourcing &
Slide 6: Full Year Service Diversification
43% 39% 18% 61% Recurring 45% 24% 25% 6% Full Year Service Diversification Colliers 6 2020 Revenue By Service Line 2020 AEBITDA By Service Line Revenue and AEBITDA include the full year impact of acquisitions completed in 2020 Leasing Capital Markets & Leasing Outsourcing & Advisory Investment Manag
Slide 7: Fourth Quarter Geographic Mix
Americas 524.9 EMEA 182.5 Asia Pacific 162.6 Investment Management 43.7 57% 20% 18% 5% Americas 486.0 EMEA 225.6 Asia Pacific 171.7 Investment Management 44.7 52% 24% 19% 5% Americas 50.2 EMEA 51.2 Asia Pacific 32.5 Investment Management 16.5 33% 34% 22% 11% Americas 70.3 EMEA 35.6 Asia Pacific 36.0
Slide 8: Americas
Revenue up 8% in local currency Revenue growth driven by recent acquisitions with modest internal revenue growth in Outsourcing & Advisory and Capital Markets Adjusted EBITDA increased by 40% and included the impact of recent acquisitions and measures implemented to manage operating costs Americas C
Slide 9: EMEA
Revenue down 24% in local currency Declines experienced across all service lines attributable to the pandemic Margin impact mitigated by measures implemented to manage operating costs EMEA Colliers 9 GAAP Operating Earnings: Q4 2020 $26.4M at 14.5% margin; Q4 2019 $42.7M at 18.9% margin 43.8 51.5 53
Slide 10: APAC
Revenue down 11% in local currency Pandemic - related decline in transactional businesses partially offset by growth in the Outsourcing & Advisory service line Margin increase from measures implemented to manage operating costs APAC Colliers 10 GAAP Operating Earnings: Q4 2020 $30.4M at 18.7% margin
Slide 11: Investment Management
18.4 16.5 42.2% 36.9% 0.0% 20.0% 40.0% 60.0% 80.0% 100.0% 120.0% 140.0% 160.0% 180.0% 200.0% 0.0 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 50.0 Q4 2020 Q4 2019 Revenue up 4% in local currency, excluding pass - through historical carried interest Strong growth in both open and closed - end funds se
Slide 12: Capitalization & Capital Allocation
(US$ millions) Capitalization & Capital Allocation (1) Net debt for financial leverage ratio excludes restricted cash, warehouse credit facilities and convertible notes, in acc ord ance with debt agreements (2) Includes business acquisitions, contingent acquisition consideration and purchases of non
Slide 13: 2021 Outlook
(US$ millions) 2021 Outlook Colliers 13 • The impact of the COVID - 19 pandemic is expected to subside over the course of 2021, although the timing and extent remain uncertain • Transactional revenues are anticipated to rebound in the second half of the year, while Outsourcing & Advisory and Investm
Slide 14: Appendix: Reconciliation of non-GAAP measures
Appendix Reconciliation of non - GAAP measures Colliers 14
Slide 15: Reconciliation of GAAP earnings to adjusted EBITDA
Reconciliation of GAAP earnings to adjusted EBITDA Colliers 15 (US$ thousands) Net earnings $ 49,568 $ 67,877 $ 94,489 $ 137,585 Income tax 22,980 25,742 42,046 53,013 Other income, net (1,427) (868) (2,906) (1,853) Interest expense, net 8,322 6,677 30,949 29,452 Operating earnings 79,443 99,428 164
Slide 16: Reconciliation of GAAP earnings to adjusted net earnings and adjusted EPS
Reconciliation of GAAP earnings to adjusted net earnings and adjusted earnings per share Colliers 16 (US$ thousands) Net earnings $ 49,568 $ 67,877 $ 94,489 $ 137,585 Non-controlling interest share of earnings (15,666) (12,930) (29,572) (26,829) Interest on Convertible Notes 2,300 - 5,673 - Amortiza
Slide 17: Appendix: Full year regional details
Appendix Full year regional details Colliers 17
Slide 18: Full Year Geographic Mix
Full Year Geographic Mix Colliers 18 Americas 1,626.4 EMEA 516.5 Asia Pacific 470.6 Investment Management 172.6 58% 19% 17% 6% Americas 1,690.5 EMEA 636.5 Asia Pacific 542.6 Investment Management 174.6 55% 21% 18% 6% Americas 151.3 EMEA 80.3 Asia Pacific 76.2 Investment Management 61.9 41% 22% 20% 1
Slide 19: Americas
Revenue down 3% in local currency Lower Leasing revenues partially offset by contributions from recent acquisitions AEBITDA increased by 19% and included the impact of recent acquisitions and measures implemented to manage operating costs Americas Colliers 19 GAAP Operating Earnings: 2020 $121.4M at
Slide 20: EMEA
Revenue down 20% in local currency Lower activity across all service lines due to the impact of the pandemic Margin impact mitigated by measures implemented to manage operating costs EMEA Colliers 20 GAAP Operating Earnings: 2020 $8.4M at 1.6% margin; 2019 $48.5M at 7.6% margin 107.9 139.1 136.5 192
Slide 21: APAC
Revenue down 15% in local currency Pandemic - related decline in Capital Markets and Leasing activity Margin increase from measures implemented to manage operating costs in the early stages of the pandemic APAC Colliers 21 GAAP Operating Earnings: 2020 $45.2M at 9.6% margin; 2019 $67.1M at 12.4% mar
Slide 22: Investment Management
69.5 61.9 40.3% 35.5% 0.0% 20.0% 40.0% 60.0% 80.0% 100.0% 120.0% 140.0% 160.0% 180.0% 200.0% 0.0 20.0 40.0 60.0 80.0 100.0 120.0 140.0 160.0 180.0 200.0 2020 2019 168.4 155.4 4.2 19.2 172.6 174.6 2020 2019 Revenue up 8% in local currency, excluding pass - through historical carried interest Strong f
Slide 23: Accelerating success
$FFHOHUDWLQJ VXFFHVV Colliers 23
Colliers International Group — Q4 2020 Earnings Presentation on 6ix