Cbre Group Inc · NYSE:CBRE
Cbre — Investor Presentation (November 2014)
10 slides from Cbre's investor presentation, Nov 19, 2014
Slide 1: Financial Outlook
FINANCIAL OUTLOOK Jim Groch Chief Financial Officer & Global Director, Corporate Development
Slide 2: Outlook
Positive trends Strong momentum across our business lines Underlying fundamentals continue to improve Market sentiment remains positive Considerations Remain attentive to concerns about slowing economic growth outside the U.S. 2014 Adjusted EPS guidance for 2014 of $1.65 - $1.701 (as announced in co
Slide 3: Positioned for Long Term Growth
Consolidation Leasing and capital markets remain highly fragmented Outsourcing Still in early stage of client penetration Continued move toward account-based services across product lines Capability With scale, investment and focus we continue to extend our capability to add more value for our clien
Slide 4: Track Record of Long Term Growth
Track record of long-term growth Revenue increased four fold from 2003 to 20131 Normalized EBITDA2 increased approximately 5.6x from 2003 to 2013 Year to date performance (through Q3 2014 vs same period in 2013): Revenue is up 26%, or 14% without contribution from Norland Adjusted EPS increased 32%
Slide 5: Growth and Diversification
From 2006 to TTM Q3 2014, contractual revenue increased 4.0x. GROWTH AND DIVERSIFICATION Total Revenue: $4,032 Total Revenue: $8,4974 4.0x REVENUE MIX BY BUSINESS See slide 10 for footnotes.
Slide 6: TTM Q3 2014 Business Line Revenue
TTM Q3 2014 BUSINESS LINE REVENUE Contractual revenue plus leasing, which is largely recurring, is 77% of total revenue Revenue ($ in millions) Contractual Revenue Sources Leasing Capital Markets Other Global Corporate Services and Asset Services2 Investment Management Appraisal & Valuation Leasing
Slide 7: Key Strategic Priorities
Capitalize on our unique leadership position to widen our competitive advantage in the marketplace Continue to: Drive market share gains in core leasing and capital markets businesses Expand depth and breadth of our Global Corporate Services business Enhance our operating platform (IT, Research, Mar
Slide 8: Mergers & Acquisitions Strategy
Evaluation of acquisition candidates based on: Strategic rationale/value proposition for clients Financial metrics Cultural fit Ability to integrate Transactions generally fall into two categories: Strategic in-fill acquisitions sourced principally by lines of business Larger, transformational trans
Slide 9: Key Takeaways
CBRE leads an industry with strong underlying growth dynamics Positioned to continue our track record of long term growth Our business model has evolved significantly Contractual revenue has increased 4.0x from 2006 to TTM Q3 2014 Contractual revenues and Leasing, which is largely recurring, represe
Slide 10: Footnotes
FOOTNOTES Slide 5 Other includes Development Services (1% in both 2006 and TTM Q3 2014) and Other (1% in both 2006 and TTM Q3 2014). Capital Markets includes Sales (31% in 2006 and 17% in TTM Q3 2014) and Commercial Mortgage Services (3% in 2006 and 4% TTM Q3 2014). Contractual Revenues include Glob