Colliers International Group Inc. · TSX:CIGI
Colliers International — Q2 2023 Earnings Presentation
18 slides from Colliers International's earnings presentation, Aug 2, 2023
Slide 1: Second Quarter 2023 Financial Results
1 Second Quarter 2023 Financial Results August 2, 2023
Slide 2: Forward-Looking Statements
Colliers 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
Slide 3: Highlights
Colliers 3 Highlights High value recurring revenues continue to scale (US$ millions, except per share amounts) Three months ended %Change 2023 2022 June 30 USD LC (1) Robust growth in Investment Management and Outsourcing & Revenue 1,078.0 1,127.8 -4% -4% Advisory Adjusted EBITDA 147.1 161.3 -9% -8%
Slide 4: Broad Diversification
Colliers 4 Broad Diversification Trailing twelve months ended June 30, 2023 TTM Q2 2023 Revenue by Service TTM Q2 2023 AEBITDA by Service 25% 33% 45% 56% 65% 35% Recurring Recurring 19% 11% 32% Outsourcing & Advisory Leasing Leasing and Capital Markets Investment Management Capital Markets Please re
Slide 5: Consolidated Revenues
Colliers 5 Consolidated Revenues Second Quarter (US$ millions) % Change over Q2 2022 USD LC Investment Management (1) 58% 58% Investment 11 . Management (1) .1 Outsourcing & Advisory 9% 10% Leasing -7% -7% . Capital Markets -39% -38% Outsourcing & 1 . Total -4% -4% Advisory Revenue Mix Q2 2023 Q2 20
Slide 6: Geographic Mix
Colliers 6 Geographic Mix Second Quarter (US$ millions) Q2 2023 Revenues Q2 2022 Revenues Q2 2023 AEBITDA Q2 2022 AEBITDA (1) Q2 2023 GAAP Operating Earnings: $46.5M Americas, ($5.1M) EMEA, $19.6M Asia Pacific, $26.4M Investment Management (2) Q2 2022 GAAP Operating Earnings: $81.1M Americas, $4.2M
Slide 7: Americas
Colliers 7 Americas Second Quarter (US$ millions) Revenues AEBITDA Capital Markets and, to a lesser extent, Leasing declined relative to a record prior year quarter Outsourcing & Advisory growth led by Engineering & 302.0 Design and Project Management Outsourcing & 311. Advisory Adjusted EBITDA bene
Slide 8: EMEA
Colliers 8 EMEA Second Quarter (US$ millions) Revenues AEBITDA Higher Outsourcing & Advisory (including recent acquisitions), partially offset by declines in Capital Markets and Leasing, in line with market conditions Outsourcing & . 120.0 Adjusted EBITDA impacted by reduction in higher-margin Advis
Slide 9: APAC
Colliers 9 APAC Second Quarter (US$ millions) Revenues AEBITDA Leasing and Outsourcing & Advisory (including recent acquisitions) growth more than offset a modest decline in Capital Markets Outsourcing & . .2 Advisory Foreign exchange headwinds impacted revenues by 6% Leasing 32.1 2 .3 Adjusted EBIT
Slide 10: Investment Management
Colliers 10 Investment Management Second Quarter (US$ millions) Revenues AEBITDA Growth driven by acquisitions and higher management fees from increased assets under management year over year 0.0 $99.0 billion AUM as of June 30, 2023 • Up 1% versus March 31, 2023 1. Pass-through 11 . • Up 44% versus
Slide 11: Investment Management
Colliers 11 Investment Management Focus on long-duration, highly differentiated AUM AUM: $99.0B | FPAUM: $52.3B AUM by Asset Class AUM by Strategy AUM by Geography 50% 37% 78% 20% 22% 50% 4% 13% 26% Alternatives Infrastructure Traditional Real Estate Credit Perpetual Capital Long-dated Funds Managed
Slide 12: Capitalization & Capital Allocation
Colliers 12 Capitalization & Capital Allocation (US$ millions) June 30, 2023 December 31, 2022 June 30, 2022 Highlights Cash $ 172.4 $ 173.7 $ 171.3 • Leverage ratio of 2.4x Total Debt 1,668.4 1,439.1 1,040.0 Net Debt $ 1,496.1 $ 1,265.4 $ 868.7 • Early redemption of 4% convertible notes; Substantia
Slide 13: Outlook for 2023
Colliers 13 Outlook for 2023 (US$ millions) • Maintaining outlook previously provided in May 2023 • Lower Capital Markets and Leasing transaction volumes to persist for the remainder of the year • Robust growth (including the impact of recent acquisitions) in high value recurring service lines Measu
Slide 14: Appendix
Appendix Reconciliation of non-GAAP measures
Slide 15: Reconciliation of GAAP earnings to adjusted EBITDA
Colliers 15 Reconciliation of GAAP earnings to adjusted EBITDA Three months ended Six months ended (US$ thousands) June 30, 2023 June 30, 2022 June 30, 2023 June 30, 2022 Net earnings $ 35,001 $ 66,731 $ 34,094 $ 88,048 Income tax 16,477 28,610 20,016 44,937 Other income, including equity earnings f
Slide 16: Reconciliation of GAAP earnings to adjusted net earnings and adjusted EPS
Colliers 16 Reconciliation of GAAP earnings to adjusted net earnings and adjusted earnings per share Three months ended Six months ended (US$ thousands) June 30, 2023 June 30, 2022 June 30, 2023 June 30, 2022 Net earnings $ 35,001 $ 66,731 $ 34,094 $ 88,048 Non-controlling interest share of earnings
Slide 17: Reconciliation of net cash flow from operations to free cash flow
Colliers 17 Reconciliation of net cash flow from operations to free cash flow Three months ended Six months ended (US$ thousands) June 30, 2023 June 30, 2022 June 30, 2023 June 30, 2022 Net cash provided by (used in) operating activities $ 98,973 $ 32,399 $ (33,595) $ (248,310) Contingent acquisitio
Slide 18: Other Non-GAAP Measures
Colliers 18 Other Non-GAAP Measures Local currency revenue growth rate Fee paying assets under management and internal revenue growth rate measures We use the term fee paying assets under management (“FPAUM”) to represent only the Percentage revenue and AEBITDA variances presented on a local currenc
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