Jones Lang Lasalle Incorporated · NYSE:JLL

Jones Lang Lasalle — Q4 2019 Earnings Presentation

22 slides from Jones Lang Lasalle's earnings presentation, Feb 11, 2020

  1. Slide 1: Supplemental Information 4th Quarter 2019 Earnings

    Supplemental Information 4th Quarter 2019 Earnings February 11, 2020

  2. Slide 2: JLL Research market performance summary

    JLL Research market performance summary Americas EMEA APAC Global Gross Leasing Volumes (square footage) Q4 2019 (12)% (7)% 12% (7)% FY 2019 (6)% 2% (12)% (5)% FY 2020 (5-10)% (5-10)% (5)% (5-10)% Outlook Direct Commercial Real Estate Investment Sales Volumes ($) Q4 2019 15% 11% (4)% 10% FY 2019 12%

  3. Slide 3: JLL Research 2020 real estate market outlook

    JLL Research 2020 real estate market outlook 2020 Global real estate outlook ▪ Fundamentals supported by stable economic growth, significant capital availability and low interest rates ▪ Investment volumes forecast remains elevated in 2020 but expected to moderate from record levels in 2019 ▪ Contin

  4. Slide 4: Balance sheet

    Balance sheet Balance Sheet ($ in Highlights 12/31/2019 9/30/2019 12/31/2018 millions) • Total net debt reduction of Cash and Cash approximately $600M in Q4 $452 $402 $481 Equivalents 2019 due to strong cash Short Term Borrowings 120 100 33 generation Credit Facility (1) 525 1,125 — Senior Notes $27

  5. Slide 5: HFF acquisition update

    HFF acquisition update • Transformative acquisition bolsters full-service Capital Markets business • Increasing the scale of Capital Markets business is a key priority in Beyond strategic vision to drive long-term sustainable and profitable growth • Strong HFF revenue and margin performance in first

  6. Slide 6: Segment Details

    Segment Details © 2020 Jones Lang LaSalle IP, Inc. All rights reserved.

  7. Slide 7: Q4 2019 Real Estate Services financial results

    Q4 2019 Real Estate Services financial results Notes: • Refer to pages 21 - 24 for definitions and reconciliations of non-GAAP financial measures • Total Revenue, Fee Revenue and Adjusted EBITDA in millions 7 • Percent changes are shown in local currency and compares results for the three months end

  8. Slide 8: Q4 2019 Real Estate Services fee revenue

    Q4 2019 Real Estate Services fee revenue ($ in millions; % change over Q4 2018) Americas EMEA Asia Pacific Total RES % Change % Change % Change % Change USD LC USD LC USD LC USD LC Leasing $594 —% 1% $110 (7)% (5)% $96 (15)% (15)% $800 (3)% (2)% Capital Markets $356 n.m. n.m. $157 (8)% (7)% $81 49%

  9. Slide 9: LaSalle Investment Management results

    LaSalle Investment Management results Financials Highlights $180 • Advisory fees growth drives strong Fee Revenue ($M) $145 annuity earnings foundation • Strong Private Equity raise in 2019 of $8B supports future AUM growth Q4 2019 Q4 2018 Adj EBITDA ($M) $54 Assets Under Management $36 ($ in billio

  10. Slide 10: Q4 2019 fee revenue growth drivers

    Q4 2019 fee revenue growth drivers Organic M&A YoY Growth Currency Growth Contribution USD Impact LC LC Americas 22% 3% 20% —% EMEA (2)% (1)% —% (1)% APAC 1% 2% —% (1)% RES 11% 1% 10% (1)% LaSalle 25% 22% 2% 1% Consolidated 12% 3% 10% (1)% Notes: • Refer to pages 21 - 24 for definitions and reconcil

  11. Slide 11: Appendix

    Appendix © 2020 Jones Lang LaSalle IP, Inc. All rights reserved.

  12. Slide 12: FY 2019 consolidated summary financial results

    FY 2019 consolidated summary financial results Notes: • Refer to pages 21 - 24 for definitions and reconciliations of non-GAAP financial measures • Percent changes are shown in local currency and compares results for the twelve months ended December 31, 2019, to the same period in the prior year; 12

  13. Slide 13: FY 2019 Real Estate Services financial results

    FY 2019 Real Estate Services financial results Notes: • Refer to pages 21 - 24 for definitions and reconciliations of non-GAAP financial measures • Percent changes are shown in local currency and compares results for the three months ended December 31, 2019, to the same period in the prior year; 13

  14. Slide 14: FY 2019 Real Estate Services fee revenue

    FY 2019 Real Estate Services fee revenue ($ in millions; % change over FY 2018) Americas EMEA Asia Pacific Total RES % Change % Change % Change % Change USD LC USD LC USD LC USD LC Leasing $1,912 12% 12% $296 (9)% (5)% $248 (8)% (6)% $2,456 7% 8% Capital Markets $889 81% 81% $392 (11)% (8)% $197 22%

  15. Slide 15: FY 2019 fee revenue growth drivers

    FY 2019 fee revenue growth drivers Organic M&A YoY Growth Currency Growth Contribution USD Impact LC LC Americas 21% 9% 13% —% EMEA (3)% 1% —% (4)% APAC 3% 7% (1)% (3)% RES 11% 6% 7% (2)% LaSalle (2)% (5)% 5% (1)% Consolidated 10% 5% 7% (2)% Notes: • Refer to pages 21 - 24 for definitions and reconc

  16. Slide 16: Q4 2019 Real Estate Services revenue

    Q4 2019 Real Estate Services revenue ($ in millions; % change over Q4 2018) Americas EMEA Asia Pacific Total RES % Change % Change % Change % Change USD LC USD LC USD LC USD LC Leasing $606 1% 1% $112 (7)% (6)% $99 (17)% (16)% $818 (3)% (3)% Capital Markets $361 n.m. n.m. $163 (7)% (6)% $88 49% 50%

  17. Slide 17: FY 2019 Real Estate Services revenue

    FY 2019 Real Estate Services revenue ($ in millions; % change over FY 2018) Americas EMEA Asia Pacific Total RES % Change % Change % Change % Change USD LC USD LC USD LC USD LC Leasing $1,961 12% 12% $303 (9)% (5)% $261 (8)% (6)% $2,525 6% 7% Capital Markets $914 83% 83% $412 (11)% (8)% $216 19% 22%

  18. Slide 18: Reconciliation of GAAP Net Income to Adjusted Net Income and Diluted EPS

    Reconciliation of GAAP Net Income to Adjusted Net Income and Diluted Earnings Per Share Three Months Ended December 31, Year Ended December 31, ($ in millions except per share data) 2019 2018 2019 2018 GAAP net income attributable to common shareholders $ 273.7 $ 201.1 $ 534.4 $ 484.1 Shares (in 000

  19. Slide 19: Reconciliation of GAAP Net Income to Adjusted EBITDA

    Reconciliation of GAAP Net Income attributable to common shareholders to Adjusted EBITDA Three Months Ended December 31, Year Ended December 31, ($ in millions) 2019 2018 2019 2018 GAAP net income attributable to common shareholders $ 273.7 $ 201.1 $ 534.4 $ 484.1 Interest expense, net of interest i

  20. Slide 20: Non-GAAP Measures

    Non-GAAP Measures Management uses certain non-GAAP financial measures to develop budgets and forecasts, measure and reward performance against those budgets and forecasts, and enhance comparability to prior periods. These measures are believed to be useful to investors and other external stakeholder

  21. Slide 21: Cautionary note regarding forward-looking statements

    Cautionary note regarding forward-looking statements Statements in this news release regarding, among other things, future financial results and performance, achievements, plans, objectives and dividend payments may be considered forward-looking statements within the meaning of the Private Securitie

  22. Slide 22: © 2020 Jones Lang LaSalle IP, Inc. All rights reserved.

    © 2020 Jones Lang LaSalle IP, Inc. All rights reserved.

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