CBRE Q4 2022 Earnings Report
Key Takeaways
CBRE Group, Inc. reported financial results for the fourth quarter and year ended December 31, 2022. Although core earnings declined significantly in the fourth quarter, they slightly exceeded the estimate provided last quarter. For all of 2022, CBRE achieved a solid, 7% growth rate in core earnings-per-share despite the more than doubling of long-term interest rates, sharp equity market decline and the credit crunch that constrained investment activity for most of the second half.
Global leasing revenue declined 7% (3% local currency), driven by the Americas.
Global sales revenue fell 47% (44% local currency) due to a highly constrained capital environment.
GWS revenue increased 7% (13% local currency), excluding revenue from Turner & Townsend.
Assets Under Management (AUM) increased $5.4 billion from third-quarter 2022 to $149.3 billion, a record high for the company.
CBRE
CBRE
CBRE Revenue by Segment
Forward Guidance
For 2023, CBRE expects core earnings-per-share to decline by low- to mid-double digits, but still to be the third-highest in CBRE’s history. While the macro environment can certainly change, CBRE expects core earnings-per-share to grow strongly in 2024, exceeding the 2022 peak and reaching a record level in just the first year after a recession.
Revenue & Expenses
Visualization of income flow from segment revenue to net income