Jones Lang LaSalle (JLL) 9 May 222022 Q1 Earnings call transcript

Good morning. At this time, I would like to welcome everybody to the Jones Lang LaSalle, Inc.

First Quarter Earnings Conference Call.

For your information, this conference call is being recorded. [Operator Instructions] I would now like to turn the call over to Scott Einberger, Investor Relations Officer. ahead. go Please

on good to conference and this to first visit the is the we our section Thank along ir.jll.com. our website, for morning. prepared Jones XXXX with available which release, call our presentation Earlier Investor Lang quarter Relations issued of intended you, slide earnings Welcome the supplement LaSalle, morning, Please Inc. remarks.

information reference for call our in presentation. We GAAP believe our certain will non-GAAP and we we to financial the of During provide earnings reconciliations presentation, useful investors. include measures slide non-GAAP which measures, slide release financial and in and

in results financial publicly or first reported report any forward-looking the those Company statements. SEC. discussed are a XXXX other performance with forward-looking effective forward-looking As note results Executive our now Chief five update line made results and statements are call Please call and that now quarter conference in call revise the undertaking will any under will turn Form live Christian webcast of year in also and statements. I performance, XXXX, our segments reports geographic of December be President on plans, the the about and the filed base instead opening disclaims fiscal future with expectations to The utilized over XX-K business result for past. structure that our remarks. as Actual being the was Ulbrich, differ Officer to objectives being may statements recorded. the reminder, posted transcript ended factors Any this be today's from A of annual on and and is a XX, website. for

under call. our all new Hello, and our quarter This results business Scott. financial quarter earnings you, you for format. line JLL reported first morning Thank joining thank first

technologies and business in of work by Our markets advisory, we and across lines markets growth line the revenue capital our as strong growth LaSalle well our results competitive as advantages our businesses. bottom each have fee and top JLL dynamics businesses, led highlight robust in

Our one to attacks manifested companies strong the in our made for to itself philosophy in JLL clients serve of macroeconomic all separate operations have conduct reported. across has Ukrainian evaluate to and in like and their environment they would JLL geographies, to continued in holding domestic us decision the geopolitical many allowed the seamlessly dedication are results has employees clients navigate business Eastern world. forced JLL Ukraine, this world. place business horrendous we people I which how thank and lines just Europe has environment. in our In to on geopolitical the The early difficult the and part Russia's Russia. March, today's no helping

livelihoods conflict. and and impacted ongoing are this whose thoughts with by Ukraine in elsewhere, sympathies everyone Our remain being

Our supporting main in continue to priorities our be colleagues Ukraine.

their doors colleagues. We opened those also Forum not in of people special coordinating I XXXXs situation to on relief and have extend to compatible engaged with the have want a have to of note also the Central our our I like and to donated would employees thank bodies and efforts. other humanitarian wider contributing JLL the efforts World Economic to Europe need, to you in Poland Russian to who hardship in though Ukrainians.

them for of years. us Some been have XX than more with

war effect separate shift, combined a evolution our for business XXXX. in minimal revenue our be by unknown, approximately have opened the do business of capital in over Europe and and with started the last Conditions Eastern remain being fluid, decision weeks, doors some for will and Russian Ukraine expect markets to to sentiment to not for transactions our our The still businesses fee influenced revenue, the is We X% extent the of of impact other of From in them meaningful and the region accounted quarter. in leasing impact during and in war on we a was our the Russia fee have Europe on first delayed. has JLL the the XXXX The perspective, Ukraine. countries.

classes the markets with remains Investments now on the with three line in the retail current quarter capital to the $XXX COVID inflation, and billion. the by from geography, first of transactions heart and transactions. pandemic. significantly beginning in research global debt hotels growing undertaking interest According are months during the in healthy Turning continue the market of activity vary events. discovery overall asset interest markets during capital was rates and these lack environment, year. first volatility geopolitical greater JLL to investors to after closing are rates, before totaling markets lockdowns rising highest to impacts activity market office, create with are the team, record, price Operating Rising conditions more

will office persist lease year rates office, vacancy Flight On beginning providing to rising despite office to and center leasing global the first Class X.X office. of in pre-pandemic and hybrid market office of most activity common locations. quarter. rates effective city the strong the average to just vacancy other of required US time industrial the The remains with brick of average, to look with both industrial with X% supporting and leasing we occupancy market. demand record characteristics lease corporate showing C in rapidly companies approximately quarter the are for gradually leasing markets rent mature the A the space rates This collaboration retail with recovering higher the with draw locations. the A specifically, likely mortar in average Global activity return asset office XX% to activity space retail into the is volumes industrial new properties. for and see to growth is years, concepts. moderate demand It's below the and terms XXXX and increased the shy all quality back quarter. amenities first at side, consecutive from in a is B quality supply the that In return regions now market remain and lack all open classes, was in for of office leasing is versus rent construction. under the to Shifting pre-pandemic levels In between Retail levels new US A up defining most occupiers Class Class fifth solution diverging term as in office retailers large employees the increase space the many five given volumes the space. sector low the increase.

previously the future environment, growth. the and to real current I allocation dollars mentioned well While favorable. Ample long-term conditions operating the continued remain markets factors for solve the bode macroeconomic investment liquidity of estate

shift attention performance our Let's for to quarter. the now JLL

was First nearly XX% in rose which all capital billion markets of EBITDA revenue $X.X business local to by $X.X Adjusted All markets quarter to fee lines billion US and businesses. for led revenue $XXX adjusted from from $XXX $X.XX, was US EBITDA up quarter and were and million, margin increase contributed adjusted the million currency, advisory revenues prior net five local XX% prior to diluted totaled fee and XX% organic. adjusted increase in an year, quarter for our our US the US increased growth was and XX.X% the of of per the income currency, earnings year. the XX% share an

organically to Our XX is our focus, points M&A and strengths cost and the in the speaking allocation lines. adjusted core through invest remains expanded the both growth, to transactional business higher capital diligent out drive shareholders. basis the strategy of business, our and one to return business year-over-year, EBITDA management select to margin growth capital margin of Discipline in future

recent of and turn the all the against business detail Brennan our cash approximately generates, capital first gives provide turbulence, our program. we strength US quarter call will we've to framework. million invest shareholders in over repurchase In our on and the allocation now will Our to ongoing cash pipeline has rigorously the expanded balance our The quarter. sheet us with evaluate amount of to both and return further $XXX the to our market flexibility for who share through opportunities continue results shareholders. I meaningful business Karen to that turned

double quarter all growth regions. reflect with across segments three in all business I'm first and top Thank which our you, very line Christian. pleased results, digit

accelerate on improvement. competitive we first We allows our business increased to to us margin position, continue enhancing most lines the proved were those in in momentum resilient. significantly increased EBITDA XXXX, see part and as the well and by service and are Adjusted momentum. our revenue over XX% which the strength which global Investments in to expansion, several driven growth of as generated opportunities platform impacted across our years, and by more quarter market COVID healthy compared productivity which people last capitalize

during continue We shareholders of repurchasing return the $XXX capital to million quarter. approximately to shares

XX-month, past reduced have we share count our end by Over X%. quarter the approximately

environment for performance result The work creation. key first business years, sheet, ongoing long-term backdrop understand in and our and in management improved strong dynamics, While the clarity and five and structure focus robust evolved capital how the efforts with geopolitical easier few balance advisory, reporting LaSalle. structure reporting current line over less comprising it year, half Beginning technologies improve and efficiency the transparency, new underpin to on we've aligns the markets JLL fundamentals, better transition to to our second and past quarter markets, of and segments our business our capital operating growth macroeconomic value for XXXX, the drivers. we financial making investors

restrictions growth was with period detailed Beginning size improve. geographies and EMEA and we region. sector another venture remains unaffected We transaction ago. And increase remained largely increase management while growth fee XX% year-over-year which review was was the across revenue growth the variances noted. boosting XXXX, continue by XX% increased property think in are very the year average XXXX, Compared strong prior volume revenue globally quarter and XX% I transaction unless leasing basis. fee nominal US, where with a US sequential of the sectors. and year to XX% broad on markets against conditions in the most mix globally, Demand fourth COVID the slightly advisory, driven the across consecutive volumes strategic notable asset a that everyone revenue a organic the versus a office based was strong outpaced growth. fee classes. up investment quarter in growth local grew XX% revenue currency we’re which by industrial performance, first Moving We including but significant joint quarter as digit seeing to otherwise size increased the robust remind in pandemic, saw a segment APAC in despite decelerating growth XX%. second with Mid-single revenue in Office and of think operating for

with come space JLL fee comprises Occupier for as back square approximately Class up set sustainability and of preferences our strong, which from office. continue driven rethinking of leases According the office remains office XXXX macroeconomic workplace pipeline to US a attract well the specializes leasing of XXX ago, potential to US that research, the or confluence profiles XXXX. space market market expire about needed XX% pandemic environment, With to and the to XX% leases, our on feet, amenities maturities. leasing employees be as long the A the A short-term the example, employers by active. majority since term part representing are of JLL the in course impacts Class ordinary revenue. leasing space, growth, to mostly year and economic million leased an in As supported maturities remains the to the in

people Over ago to points highly advisory the Markets from basis growth. economic result EBITDA long and remain compensation T&E more rates a expense, business commission correlated next. resulting year changes of growth timing activity to term, we adjusted our investments and accrual, expect margin XX.X%. in the a revenue leasing in incentive as improved a of underlying XXX than offset from to which incremental higher fee higher in

XX%. grew of equity XX% And quarter revenue and growth revenue growth and to industrial across also across equity from growth globally. deal year office sales, fee advisory and Higher sales a sector and and revenue sectors residential in to compared remain broad and reflection about prior the drove based the our the prior revenue investment investment quarter. increase equity was volume both fee sectors and investment XX% debt year capital first XX%. Activity the from strength hotel now debt fee over approximately Notably, and with increased Robust Fee EMEA US sizes debt all advisory within market in continued segments. retail and sales, strong. of overall market a XX% advisory The the XXXX. grew, Moving rebound advisory the US grew recovery.

by with Fannie Our XX% loan fee of by our revenue advisory Americas. the fee strong gains driven origination. was revenue business growth servicing from in largely up propelled Valuation servicing maintains particularly Mae portfolio, momentum XX%

towards As is rest the up we this and the time markets year, continues capital advisory pipeline of investment equity debt build global last with look and year. XX% this compared sales, to

Christian inflation, prior pandemic quarter. influence the result rates Glen continued points rates release revenue offset return the and from year a T&E growth, loss closing of adjusted year accruals, higher will the of which and the of the interest from of transactions. XX% and productivity than As and reserves the compensation timing headwind environment as a of incentive loan a of and in expense comments, XXX credit the evolution EBITDA more margin increased basis timing Capital ago to markets geopolitical

work our growth primarily client accelerated Moving the primarily year to from XX% the largely was which by fee segment revenue fee the fueled The now result as by EBITDA XX% growth improved Project accelerated pre-pandemic, dynamics dynamics and restrictions project new in work points strong management. clients related of growth basis revenue adjusted versus fee to resuming pandemic expansions management margin revenue easing work and contract region. work revenue years work. a was global year, changes Americas workplace globally. within wins XX% incentive XXX management, compelling. ago, streams Compared two our estate program real and Both remains as market and compensation up scaling dynamic, with global services as and with to EMEA momentum prior align global primarily workplace opportunity ago, well by driven platform, business over performance. better to had annuity dynamics transactional in The productivity improving driven a our outsourcing

enhance technologies and we our to and invest sustainability growth. continue will competitive their in to profitable So initiatives, position drive people

other revenue our from Moving including XX% along sales next suite proptech expanding to direct grew fees and XX% investments Technologies’ service service software and revenue with JLL Technologies, our of and fee organic which is and comprised strategic JLL of companies. reflects software consulting growth. solutions, and

to believe adjusted of platform, JLL will of organically TNM suite on team primarily we on million EBITDA people margin continue differentiate our technology in declined business continued $XX long and scale earnings, Equity which the from compared a and further recurring invest earnings and services, equity create Technologies’ term year lines We in acquisitions. million revenue The our through along to year quarter for totaled with earlier, lower investment a platform both $XX ago. value.

revenue robust LaSalle, past a XX% in drove increases advisory deployment to translated fee management XX-month to Turning under and assets increase and valuation growth. XX% capital over the

the trailing to a leverage $X.X fee March margin. portfolio decline to due reported fee from Shifting $XX deployment capital increase in is platform adverse portfolio. from and in capital as well equity more update LaSalle’s earning equity capital of year the on share growth doubled our at than representing a reversal traded co-investment our quarter revenue million JV, were XX, fair The LaSalle’s driving as mark the we $XXX over first pandemic and and allocation, quarter, a earnings the from related offset sheet LaSalle was Our a of decline, an year combination scale, value fee valuation of in transaction and the which $XX publicly now to revenue as ago, ago, advisory million XX% strong revenue. adjustment Considering million more trends EBITDA in of approximate X.Xx. incremental balance expect million including the lower $X.X net was growth driving strong March raised the adjusted price as headwinds an Lower a continue. LaSalle of million XX, of valued XX-month, than

providing liquidity, of to strong strategic billion $X.X execute have priorities. on We a foundation our

growth in will and to value better invest drive long-term We creation. clients and continue business serve our to and capabilities our

quarter. capital return to continue the We shareholders during to

our As to $X.X authorization as repurchase the March repurchased share trailing bringing remained Approximately shares $XXX XX-month in of $XXX repurchases I XX. first mentioned the quarter, million million. we billion on of earlier, total approximately

throughout expect investments The continue year. opportunistic we on flexibility several repurchases select have repurchasing long-term months We over set bases has programmatic volatility drive capitalize both and a the opportunities market past and expanded investment to the M&A on ample to shares the opportunities and alongside share continued value. organic shareholder to

our initiatives investments ahead, with underlying to business in the we momentum driven by Looking and strength expect in growth our along industry positive trends. business fundamentals continue

We moderate lapped we pandemic as expect quarters. heavily most the quarter, of from now the growth top impacted line have first pace the rates to

year full to the XX%. XXXX, we EBITDA XX% adjusted our of For reaffirming margin are

geographies, is are one Our their In and I'd JLL deliver in and integrated colleagues well for model another our my one full service positioned These efforts thank long-term Christian, you. philosophy to environment. with we value more lines evolving for collaboration stakeholders. business all resilient across back continue to platform. to than business generating to us further JLL allow our macroeconomic and navigate seamlessly ever, like to closing,

Thank a clear consequences last outlook rising economic are than the likely effect the we is spoke. of war global The trickledown interest on Ukraine less you, rates and in activity. economic Karen. the have time Inflation,

investments corporates commercial the industry Once receded, our chain. impact clear will The more will the since has efforts we into as over Ukrainian carbon in financial to crisis. reduce territories significantly have industry model or of our the change The difficult predict and industry be these overall rapid While business they real threat refocus JLL’s a the proven end, footprint, their do come on continue the great to increasing estate factors the to the of Russian XX-month experienced same view various evolved to we to which immediate to indication that an global it forward. is most supply has past we a the recovery economy, be has build resilient. on the the war how is needed further expanding stable know of going significant have

factors chain in the We expect very estate a needed. result de-globalization drive will produced of Products that these the they And production. actually requirements significant over where the of real supply combination be of decade. the are reshoring will next will significant

fully to building. of finance JLL built allows serve to the and first strategic us approach one a out clients Our discussions from delivery

services JLL Our tremendous services puts our macro us in the a cloudy increase our head demonstrate about thought well our On tools, aim demonstrated of received clients ongoing progress unique explain in please in and in per prospects and the by digitizing our serve our position environment. suite of and superior full core revenue confident we platform is process. Q&A technology global producers. the of to clients. evermore short navigate term Operator, to I'm a long-term to ability leadership,

question from from first Stephen Sheldon Blair. Our [Operator Instructions] is William

think Hey, the visibility you I up areas you're curious good morning, curious the just that push up like questions. Appreciate XX%, capital XX%. up, if like and about sounds pipeline there growing. few or you're been much maybe my quarters? thanks how markets It about capital and think some as next in leasing you markets detail gives outs delays maybe I'm have so for taking when with advisory talking

You got pipeline. a big

is Just just really and at some growing some down the activity that smaller or point if here slow more curious delays it pockets business? industry you're of could this from concerned wide

that within of especially there. absence anyway, the be for economy office in business pent-up have also the has the probably Listen, morning. couple year, Good of sentiment very that we pandemic, remainder terrible we on there. war leasing leasing demand although in the the the is hi a Ukraine, the Christian, still, will covered our from in impact of the which It's optimistic lowering having slight come next potentially the quarters. been And side up will

are But further strong, pressures the that the point capital starting last sentiment XX% if On more always that are be and people investments. the to market it's is becoming risk that higher so more the this that there's year. overall side, widens incredibly big, pipeline on war continues in than than the careful at

to of Now our debt side very the business is balanced it.

an you If pipelines buildings, don't the and being equity But that work trade are again, the to you your side. for on incredibly may But have the the impact. strong. on have debt time

then the where think you improvement And be the helpful. increased coming that opportunities that's where drive may side, if segments just maybe efficiency. there margin okay, that are potential it, you And curious, about efficiency Got are the opportunities in others. on than improvements years, margin there more bigger see for the for some

to to area at of Karen. looking as think ability that out business margin further than transaction XXXX. the Christian productivity we is to environment Yes, we're our drive where and all continuing improvements. one year referenced our a continue the where the improvements, about higher going really relates focus earlier, to we're that, morning, two market focus been looking of drive segments we in expense was In it comments. base across that hi, would normal it's further coming can of we scale to that platform. have good our lines on But producer We're, see and are and expansion, on an per had One it lower we so in

as as work make grow capitalizing dynamics the business, our further business. scale and would we The our say there on it platform I is of gains to that second looking relates to area, really really

Our question from Alex is next from UBS. Kramm

basically year Good morning, here maybe of next back outlook the Coming or everyone. year. for to the the remainder

can be mentioned that considering that consider factor is you obviously just may Europe, outside this you're cetera. always should thinking credit, -- that upon and I any be for touch GDP we of you of think growth there's the of of about. seeing some they mentioned capital in But GDP Christian, or I what biggest lot things there war things markets and or so et obviously technical of not more other factors availability you the the rates, we a maybe marks think leasing some other both interest but think that we is obviously and question external I should and

a important Yes. is for business, the I think I mean leasing GDP indicator. very

pandemic, business will So on if take you coming leasing the react demand the from away pent-up the GDP.

of to that specific buildings, A we Now business are our have you are very, very majority towards which revenues. leasing especially on business, industries. most side, the type leasing grade we successful high be in companies their because of making on a focused within office proportion have the the our And very within

and So general relevant, GDP more is the of typical specifically, performance clients. then our

so And our why to outperform we the reason that's market one business. with leasing general tend

capital factor, it's side, interest that spiking On will But the on when of which because side. the especially markets rates are a the bit spiking the line rates. can hesitation investor digestible, quickly with Everything clearly interest up a of of create too little easily in is important kind quick happens pricing very adjust. expectations, that up more

the is market doubt it expectations that that move with to And are a at be amount it's in own happening you too look not is year. significantly have So into important well. And buildings. kind some market up at line rates is that last of work. why point, as adaptation adjust tremendous our waited, when I And at actions whether of is which Otherwise, their ahead probably of yields caution reason money said, obviously going of no there the piece at therefore, kind still do that so doesn't forward, the the buildings invested pipeline of But Because up, to things are waiting when the the time. so sideline, able take some rapidly. as can business that create moment, some central interest banks accordingly. to great moving

you said it but thinking you give know is here little can be you it whitespace? color. a take partially maybe bit how competitive, switching don't And is dynamics pretty opportunities, still it more about the I opportunities, was Or quarters? and away set Maybe Okay, should few work the that's all helpful. you. seeing Thank think next opportunity Where you specifically, a to mentioned just pipeline business. if I then healthy. us are we

call flywheel long-term Well, account important to significant an of about you due business. first revenues of our from all, primarily business release years, I it's dynamics very business the large with five can based It's work reinforce as our occupiers. think it and predominantly contracted

you those what who which different demand in employers wherever and the lot have you can now seeking now have so served market relevant, And employees renewal are that be currently is is very opportunities are very contracts. a have opportunities experiences into then suppliers, being in all renewal high And is rates. very ended by us coming have companies of their have existing we other obviously up a the all contracts, then employees people from tend And to the to whole a then is contract during coming driving outsourcing, the for of market. the are area time are sitting. may first location our especially outsourcing a is also elements some for of their competing they to is difficult we're But important pandemic important aspect competitors. but growth very for that based. scale with, in full And of of it had never services. seen experience growth for have they which set of they who how companies They the outsourcing that who are major the additional vast industry is when depending what have which same of And a

And strong. continued expect very GDP of development to of is the strong pipeline we irrespective that next over years. the couple So be

just Maybe great. very one one. quick Okay,

few from that maybe of in others area Can doesn't the how everything as is going with just you an on like heard seem Thanks. remind grow? they to a too. it big feel have that that want that strength. an We've you outlook You retail It business actually about of great quick you a area but reminder retail? been commerce, for us just how mentioned you is and

when a kind business big, forced retail contribution business were the to is seek our they over what in retailing, last way a now, that going clients And for led into has of towards couple trend of to solid it kind come in reinvent that Well, massive not What forward. you very to going quarters has themselves the see work results. healthy retail our us retailers after that store. a also of massively experience would online the some and physical is

We our are others. how in comparison is retail on detail business over very the to can Karen Karen optimistic. give the you? to big

all for some seen Yes, leasing lines. capital and sure, mentioned, total leasing in is, how as not risk It's investors combined and as relative there Christian faster Christian about and an markets, across an really XX% growth types of going uptick and revenues we're reasons retail feel and return out two and markets, capital at the across significant. mentioned, uptick potential in as on interesting those property a there capital between forward. the basis they are our service profile, looking we've seeing But both described, where Christian markets roughly return it's trends, that other particularly that

question next from from Our is Goldman Sachs. Luthra Chandni

can some perhaps side there with also from region, to a transactions to getting of for shift region advisory, seeing Asia, within there maybe Thank quality perhaps mentioned is other western sentiment capital little that flight in argument more bit so perhaps the that some you my But parts morning. drive Europe, and Hi, activity. specifically Europe, on parts in good taking what color that guys you place is markets delayed. you little you're the taking to has bit started question. of of then that and Could give eastern in a a the

that lockdowns shifting So to and there? everything seeing on, are geography? with generally seeing the gears Asia, then you you And going what that's been are what across all

volumes. a enough, that the slightly EMEA EMEA sales is at combination Well, perceived the from are so business in transactions hesitations a come Europe good But because line, transaction haven, and US some the to investors, into of APAC you more there's is markets safe the was so interestingly But so feeling European site what's something you capital just sentiment that Asian so there. that total the on that the the for And that going on as of had a the is so much add? what's revenues the how to revenues the in regions, hesitation, Germany, as also overall anything watch first the developing of very, don't year. for still Eastern say, on the Actually, in we had closer currently bigger it's you many you perspective rightly also there very countries. note three growth about Ukraine, Americas actually capital the start also But it's you in we us to JLL, -- do enough perspective, the performance the the always slightly see of day. and overseas the most. which from side, is and Karen, strongest suffering many, this quarter. generalize important strong our side, very many a our the every than markets is, of third in if therefore, more is capital which pretty a investment Americas

market overall XX% to several focus of from out has points to within in last is with called for an profitability sure, We're also thanks, compared been over revenue couple given and us that but fee growth capital both add EMEA, because that we quarters, had our work how's Yes, improve EMEA was dynamics our progressing happy Christian, that. business. Christian year. that intention prior advisory area I’ll markets particular, and in in And our of the

things with So cost structure progressed continuing and how our are there have focus driving and on we're to efficiencies. pleased

profitability. to that improve able pull top line to capital particularly we're so And in growth, through markets

question leasing overall, what's overall, to things was and But still fee of XXXX, XX% for globally, of revenue China as that some revenue with we result of our part last on China different in up is year the X% that year COVID fee less speeds, some flat. right, And how Asia how in important going concern would and the up, XX%. developing, was our a current at progressing give And areas numbers, and was quarter relates just down first have year-over-year for consolidated are an for the those it be that and of our there leasing was Greater quarter lockdowns. XX% business. is moving full of up China business? As Within on lockdowns color more than Pacific given to

And as business we different respond different moving geographies. But economies. these out both things at in more the which across allows lines, coming diversification well our both seeing as demonstrated, resilient. you're countries pandemic, ways as So to shocks might right, the service across speeds, to we geographies different of their have to and lines us be

know you is mentioned are given opportunity remarks your how get right in that? we allocation towards should regions here? opportunity fourth segments perhaps for that. then sentiment in But an the for it you that more M&A for think guys think more you opportunity buyback? detail. about how in about helpful there We see up Just Very you market across the prepared to quarter. or now the for my line expanded is opportunistic where volatility. And is What both And you Thank where did capital given -- M&A? question, with follow it's how there stock and was

over Okay, I hand And a Karen. I'll it then to start. give will

the your There price regards more is market. still M&A significant still the to with quite activity to part So times. in peak of recovery, visible of question. pricing kind there's But orientated is

going very happen, it platform segments always in have create well. we those us, to doesn't shareholder to pretty seeing forward. and so accelerate But if some And fine growth. for are full have are just would order grow, as need everywhere. But specific they there we carefully We opportunities it's additions we areas where specific get whether value any to don't nice where assessing that's

our waiting patiently up. there opportunity the in So whether we and tech real smaller coming a do is estate services Karen? side acquisitions bigger will continue core on these to

we'll questions around what looking the to M&A and as over both in repurchase Yes, so seeing mentioned, opportunistic our share will at, those the to we're that shifting relate pipeline. the repurchases I then programmatic and share where be remainder year, of

pricing, share opportunities how that closely repurchases about So to we're monitoring that cetera we'll evolves, how and be certainty, et relative feeling

Jade KBW. is Rahmani from from Our next question

Considering much. results lead call macro of a geographically or any it very reflected outs, like insight you as in Thank time if both stickiness? into the business Could well uncertainty. specifically represents. And give line as terms strong pipelines you'd you by How long quarter some its first the there's please increased to make? strong pipeline that

that see far so significance pipeline. time in delays cannot Listen, any of we

kind to stickiness, expect I when dynamics of work As we kind talk about anything and there. pipeline change we of is don't incredibly sticky,

On confident the couple pent-up of leasing the quarters. is leasing demand. over still side, And we business the about next are there pretty

is obviously side, and there buying is building, very event can On if to last onetime a deal very are concerning still this up a somebody hour. market overnight, if the coming capital news a collapse

it XX% last as pipeline. And at so said we than year compared same I have to earlier, time is to this year And stronger. just the look our more

are also world the And realistic, like that very, all if continuing to is widening. indicators a up trouble spiking if need But So be in we positive. get diminish quarter. in can to of interest want rates very that ends pipeline the markets very I first are very, our the kind within And JLL, therefore, the don't still carried but industry performance capital of business quickly. about anybody to the strong away within

pretty period to much. go charges run They to what relates? restructuring wondering high those and you what still over pertains Thank to would away. continue and very identify what that you the Can

to restructuring tail the the of charges contributor end Yes, really the our acquisition. the in it primary HFF quarter, was

expect would impacts and further from charges. And that any will this be that the final so year see we we year that those

related compensation charges? those Are

the the related time they're Yes, retention to acquisition. of compensation at

the this then will elevated so beyond be that. those the nothing and for of year. But Okay, there'll rest be

the quarter. Just second through

the Oh, just second quarter. through

those REIT Are know investment And acquired to In low mix that opportunities REIT think? there potential of been market the hanging growth proportionality are area I to merger, in the overall business outside areas such, of prior of placements any you do sector. business thing with pleased are sorts revenue that fruit irrespective terms And does. of and growth? the One the footprint you tracking an HFF is that of at this you other point? is any see I've banking there with non-traded the had an what

business have areas. growth potential our much We pretty all in different

deriving a first we in growing the with what just As we overall of side, have acquisition, the not capital revenue expect within mentioned, growth quarter, see capital markets, the you continue And and you JLL grow to very types HFF forward. portfolio were and around to going have they we markets you broad of mentioning services them the strongly ones Europe, in from strongly. the those only are services also very again,

from is question James. from next O'Shaughnessy Our Patrick Raymond

sub expect your leases well? year going you for forward is rents Would due, big renting know forward? morning. coming incremental as it's office heard expectation I going headwinds are sub leases earlier your about What comments I a on all for fronts? or Good those increasing

fees seeing we're rent in Yes, property. really rent of different divergence with effective for types terms happening and what's both of

trend. that well seeing in class A the the actually we're type in C property commodity tenant So sustainability, definitely rents more with credentials B office following for and not located same buildings amenities increases Class is effective are space and quality best

in to expect and taking space expect are spaces trend we but in continuing they some next better So we looking some, their see to less that that in as are space and for, cases, tenants continue.

your you. And revenue Got underlying within then drivers are JLL Technologies? fee key what the Thank some it. of growth

here. Christian

to that. level. the that frankly, on then revenue is a of providing top series for that to technology And have really to We building are clients products clients. on coming we And first our had full to which we services that have the of in selling performed the the engines we we continue driving now, obviously well also mix three quarter advisory which expect from our are this and additionally, And revenues next software they quarter. growth, of

questions. further no have We

I'll remarks. back over any for management So team to hand closing the

today. Thank the look for second all to questions, you thank we I we further and you you, call on JLL Karen entire the On following operator. quarter. team, again of with no will close With today's the call. forward behalf participating speaking

today's you everyone call. joining for Thank

may lines. day. You lovely have your now a And disconnect