Exhibit 99.1
|
News Release |
| Contact: | Lauralee Martin | |
| Title: | Chief Operating and Financial Officer | |
| Phone: | +1 312 228 2073 |
Jones Lang LaSalle Reports Record Full-Year Revenue of $3.6 Billion
2011 Adjusted EPS up 28 percent to $4.83
CHICAGO, January 31, 2012 – Jones Lang LaSalle Incorporated (NYSE: JLL) today reported record revenue for the year ended December 31, 2011.
| • | Consolidated revenue for the year increased 23 percent to $3.6 billion |
| • | Adjusted net income for the year rose 29 percent to $215 million |
| • | Americas continued delivery of strong revenue growth |
| • | Leasing revenue up 19 percent to $760 million for the year |
| • | EMEA finished the year with robust performance and successful King Sturge integration |
| • | Capital Markets & Hotels revenue increased 62 percent for the year, and nearly doubled in the fourth quarter compared with a year ago |
| • | Asia Pacific’s contributions to the Global Corporate Solutions business drove strong recurring revenue growth |
| • | Property & Facility Management revenue up 20 percent to $365 million for the year |
| Summary Financial Results ($ in millions, except per share data) |
Three Months Ended December 31, |
Twelve Months Ended December 31, |
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| 2011 | 2010 | 2011 | 2010 | |||||||||||||
| Revenue |
$ | 1,148 | $ | 956 | $ | 3,585 | $ | 2,926 | ||||||||
| Adjusted Net Income (A) |
$ | 114 | $ | 86 | $ | 215 | $ | 166 | ||||||||
| U.S. GAAP Net Income |
$ | 85 | $ | 84 | $ | 164 | $ | 154 | ||||||||
| Adjusted Earnings per Share (A) |
$ | 2.56 | $ | 1.94 | $ | 4.83 | $ | 3.77 | ||||||||
| Earnings per Share |
$ | 1.91 | $ | 1.91 | $ | 3.70 | $ | 3.48 | ||||||||
| Adjusted EBITDA (A) |
$ | 179 | $ | 143 | $ | 395 | $ | 337 | ||||||||
| (A) | See footnotes to financial statements for calculation of adjustments to U.S. GAAP Net Income, Earnings per Share and EBITDA. |
“Our strong finish to the year closed out a solid 2011 performance of record revenue and robust profit growth coupled with significantly strengthened market positions across the firm,” said Colin Dyer, President and Chief Executive Officer. “These results and the strategic actions we took during the year position us for continued growth and success in 2012,” Dyer added.
Jones Lang LaSalle Reports 2011 Results – Page 2
Consolidated Business Line Revenue Comparison
Consolidated revenue grew 23 percent for the year, 19 percent in local currency, driven by double-digit growth in all three geographic segments and the acquisition of King Sturge completed in EMEA during the second quarter of 2011. Strong conversion of the firm’s business pipelines drove growth in the transactional businesses of Leasing and Capital Markets, while Property & Facility Management revenue increased with ongoing success in corporate outsourcing. LaSalle Investment Management, which continued to perform well for its clients within a mixed investment environment, delivered solid results.
| Consolidated Revenue ($ in millions, “LC” = local currency) |
Three Months Ended December 31, |
% Change in LC |
Twelve Months Ended December 31, |
% Change in LC |
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| 2011 | 2010 | 2011 | 2010 | |||||||||||||||||||||
| Real Estate Services (“RES”) |
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| Leasing |
$ | 408.5 | $ | 359.7 | 14 | % | $ | 1,188.6 | $ | 999.9 | 17 | % | ||||||||||||
| Capital Markets & Hotels |
173.3 | 116.4 | 50 | % | 460.0 | 306.9 | 45 | % | ||||||||||||||||
| Property & Facility Management |
256.5 | 215.8 | 18 | % | 853.0 | 715.4 | 15 | % | ||||||||||||||||
| Project & Development Services |
126.9 | 99.1 | 29 | % | 441.8 | 337.4 | 28 | % | ||||||||||||||||
| Advisory, Consulting and Other |
120.5 | 98.0 | 26 | % | 369.5 | 308.9 | 17 | % | ||||||||||||||||
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| Total RES Revenue |
$ | 1,085.7 | $ | 889.0 | 23 | % | $ | 3,312.9 | $ | 2,668.5 | 21 | % | ||||||||||||
| LaSalle Investment Management |
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| Advisory Fees |
$ | 60.1 | $ | 61.4 | (2 | %) | $ | 245.0 | $ | 237.5 | (1 | %) | ||||||||||||
| Transaction Fees & Other |
2.3 | 3.9 | (39 | %) | 7.3 | 8.2 | (16 | %) | ||||||||||||||||
| Incentive Fees |
0.1 | 2.0 | n/m | 19.3 | 11.4 | 63 | % | |||||||||||||||||
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| Total LaSalle Investment Management Revenue |
$ | 62.5 | $ | 67.3 | (7 | %) | $ | 271.6 | $ | 257.1 | 2 | % | ||||||||||||
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| Total Firm Revenue |
$ | 1,148.2 | $ | 956.3 | 21 | % | $ | 3,584.5 | $ | 2,925.6 | 19 | % | ||||||||||||
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n/m – not meaningful
Operating expenses, excluding Restructuring and acquisition charges, were $3.3 billion for the year, an increase of 23 percent, 20 percent in local currency, compared with $2.7 billion in 2010. The increase was driven by higher variable compensation resulting from improved transactional revenue and by variable costs to support client wins and to continue building the firm’s pipeline for 2012.
Full-year results included $56 million of Restructuring and acquisition charges, of which $16 million related to employee retention, and $11 million of intangible amortization related to the addition of King Sturge. Restructuring and acquisition charges are excluded from segment operating results, although they are included for consolidated reporting. Intangible amortization from King Sturge is included in Depreciation and amortization in the firm’s consolidated results, as well as in EMEA’s segment results.
– more –
Jones Lang LaSalle Reports 2011 Results – Page 3
Fourth-quarter operating expenses, excluding Restructuring and acquisition charges, were $1.0 billion, an increase of 20 percent in both U.S. dollars and local currency compared with the fourth quarter of 2010.
Interest Expense and Credit Facility
Net interest expense for 2011 was $36 million, compared with $46 million in 2010. Outstanding debt on the firm’s $1.1 billion long-term credit facility was $463 million as of December 31, 2011. During the fourth quarter, the firm reduced its total net debt position by more than $180 million.
Business Segment Performance Highlights
Americas Real Estate Services
Full-year revenue in the Americas region was $1.5 billion, an increase of $264 million, or 21 percent, over the prior year. The growth was led by Capital Markets & Hotels and Leasing. Fourth-quarter revenue in the region was $510 million, compared with $429 million in the fourth quarter of 2010, an increase of 19 percent.
| Americas Revenue ($ in millions, “LC” = local currency) |
Three Months Ended December 31, |
% Change in LC |
Twelve Months Ended December 31, |
% Change in LC |
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| 2011 | 2010 | 2011 | 2010 | |||||||||||||||||||||
| Leasing |
$ | 258.4 | $ | 228.9 | 13 | % | $ | 760.2 | $ | 639.1 | 19 | % | ||||||||||||
| Capital Markets & Hotels |
48.2 | 35.1 | 38 | % | 136.1 | 84.1 | 62 | % | ||||||||||||||||
| Property & Facility Management |
115.2 | 85.7 | 35 | % | 335.6 | 268.8 | 24 | % | ||||||||||||||||
| Project & Development Services |
54.4 | 48.1 | 14 | % | 178.5 | 158.9 | 12 | % | ||||||||||||||||
| Advisory, Consulting and Other |
33.3 | 30.7 | 8 | % | 112.2 | 110.3 | 2 | % | ||||||||||||||||
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| Operating Revenue |
$ | 509.5 | $ | 428.5 | 19 | % | $ | 1,522.6 | $ | 1,261.2 | 21 | % | ||||||||||||
| Equity Earnings |
— | — | n/m | 2.7 | 0.3 | n/m | ||||||||||||||||||
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| Total Segment Revenue |
$ | 509.5 | $ | 428.5 | 19 | % | $ | 1,525.3 | $ | 1,261.5 | 21 | % | ||||||||||||
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n/m – not meaningful
Operating expenses were $1.4 billion for the year, a 22 percent increase over the prior year. The increase was impacted by higher commission expense related to the higher Leasing and Capital Markets & Hotels revenue, as well as increases in gross contract vendor costs related to corporate client activities in Property & Facility Management, $16 million of which was added in the fourth quarter. Americas operating income improved to $163 million for the year, from $148 million in 2010, while operating income margin was 10.7 percent in 2011 compared with 11.8 percent in 2010.
Operating expenses were $425 million for the fourth quarter, 18 percent more than a year ago. Operating income margin improved to 16.6 percent from 16.2 percent in the fourth quarter last year.
– more –
Jones Lang LaSalle Reports 2011 Results – Page 4
EBITDA for the year to date and quarter ended December 31, 2011, was $201 million and $94 million, compared with $184 million and $79 million, respectively. EBITDA margin was 13.2 percent for full-year 2011.
EMEA Real Estate Services
EMEA’s revenue in 2011 was $974 million, compared with $729 million in 2010, an increase of 34 percent, 29 percent in local currency, the result of strong growth in Capital Markets & Hotels and Advisory revenue and the successful integration of King Sturge. Fourth-quarter revenue in the region was $340 million, compared with $237 million in 2010, an increase of 43 percent, 45 percent in local currency.
| EMEA Revenue ($ in millions, “LC” = local currency) |
Three Months Ended December 31, |
% Change in LC |
Twelve Months Ended December 31, |
% Change in LC |
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| 2011 | 2010 | 2011 | 2010 | |||||||||||||||||||||
| Leasing |
$ | 81.0 | $ | 69.3 | 19 | % | $ | 236.1 | $ | 202.6 | 13 | % | ||||||||||||
| Capital Markets & Hotels |
103.1 | 52.0 | 101 | % | 229.1 | 141.2 | 57 | % | ||||||||||||||||
| Property & Facility Management |
42.4 | 40.7 | 6 | % | 152.8 | 142.9 | 3 | % | ||||||||||||||||
| Project & Development Services |
51.6 | 32.2 | 62 | % | 182.5 | 115.0 | 52 | % | ||||||||||||||||
| Advisory, Consulting and Other |
62.2 | 43.2 | 46 | % | 173.5 | 127.2 | 32 | % | ||||||||||||||||
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| Operating Revenue |
$ | 340.3 | $ | 237.4 | 45 | % | $ | 974.0 | $ | 728.9 | 29 | % | ||||||||||||
| Equity Losses |
— | — | n/m | (0.3 | ) | (0.1 | ) | n/m | ||||||||||||||||
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| Total Segment Revenue |
$ | 340.3 | $ | 237.4 | 45 | % | $ | 973.7 | $ | 728.8 | 29 | % | ||||||||||||
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n/m – not meaningful
Operating expenses, which include seven months of King Sturge ongoing operating expenses and $11 million of King Sturge intangibles amortization, were $946 million for the year, an increase of 33 percent from the prior year, 29 percent in local currency. Gross contract vendor costs related to the PDS business line increased by more than $40 million in the year compared with 2010. EMEA’s adjusted operating income margin, which excludes the King Sturge intangibles amortization, was 4.0 percent compared with 2.7 percent in 2010.
Fourth-quarter operating expenses were $306 million, an increase of 41 percent, 43 percent in local currency. Adjusted operating income margin, which excludes $5 million of King Sturge intangibles amortization, was 11.4 percent in the quarter compared with 8.5 percent in the same period a year ago.
EBITDA for the year was $57 million, compared with $38 million for 2010. Fourth-quarter EBITDA in 2011 was $43 million, compared with $26 million in the fourth quarter last year.
– more –
Jones Lang LaSalle Reports 2011 Results – Page 5
Asia Pacific Real Estate Services
Revenue in Asia Pacific was $816 million in 2011, compared with $679 million in 2010, an increase of 20 percent, 14 percent in local currency. Continued expansion of the firm’s market-leading positions in Greater China and India contributed to increased revenue, as did growth in Property & Facility Management. Fourth-quarter revenue in the region was $236 million in 2011, an increase of 6 percent in both U.S. dollars and local currency compared with the same period in 2010. The Capital Markets & Hotels revenue decrease in the fourth quarter resulted from lower market investment volumes overall and fewer Hotels transactions during the quarter following a very robust start to the year.
| Asia Pacific Revenue ($ in millions, “LC” = local currency) |
Three Months Ended December 31, |
% Change in LC |
Twelve Months Ended December 31, |
% Change in LC |
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| 2011 | 2010 | 2011 | 2010 | |||||||||||||||||||||
| Leasing |
$ | 69.1 | $ | 61.5 | 13 | % | $ | 192.3 | $ | 158.2 | 16 | % | ||||||||||||
| Capital Markets & Hotels |
22.0 | 29.3 | (25 | %) | 94.8 | 81.6 | 7 | % | ||||||||||||||||
| Property & Facility Management |
98.9 | 89.4 | 10 | % | 364.6 | 303.7 | 13 | % | ||||||||||||||||
| Project & Development Services |
20.9 | 18.8 | 14 | % | 80.8 | 63.5 | 23 | % | ||||||||||||||||
| Advisory, Consulting and Other |
25.0 | 24.1 | 5 | % | 83.8 | 71.4 | 12 | % | ||||||||||||||||
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| Operating Revenue |
$ | 235.9 | $ | 223.1 | 6 | % | $ | 816.3 | $ | 678.4 | 14 | % | ||||||||||||
| Equity Earnings |
— | 0.1 | n/m | 0.2 | 0.1 | n/m | ||||||||||||||||||
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| Total Segment Revenue |
$ | 235.9 | $ | 223.2 | 6 | % | $ | 816.5 | $ | 678.5 | 14 | % | ||||||||||||
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n/m – not meaningful
Operating expenses for the region were $750 million for the year, an increase of 19 percent, 13 percent in local currency, on a year-over-year basis. The increase was primarily due to staff and gross contract vendor costs that related to a higher volume of PDS work, as well as other corporate client activities. Asia Pacific’s operating income margin for the year increased to 8.1 percent from 7.3 percent a year ago.
Operating expenses were $211 million for the fourth quarter, compared with $198 million in the fourth quarter of 2010, an increase of 7 percent, 6 percent in local currency. Operating income margin was 10.7 percent in the fourth quarter compared with 11.5 percent for the same period a year ago, resulting from lower Capital Markets & Hotels revenue during the quarter.
The region’s EBITDA for the year was $78 million, compared with $62 million in 2010. Fourth-quarter EBITDA in 2011 was $28 million, compared with $29 million for the fourth quarter of 2010.
– more –
Jones Lang LaSalle Reports 2011 Results – Page 6
LaSalle Investment Management
LaSalle Investment Management’s full-year Advisory fees were $245 million, compared with $238 million in 2010. Fourth-quarter Advisory fees were $60 million, compared with $61 million in the last quarter of 2010. The business recognized higher incentive fees during the year resulting from investment performance for clients.
| LaSalle Investment Management Revenue ($ in millions, “LC” = local currency) |
Three Months Ended December 31, |
% Change in LC |
Twelve Months Ended December 31, |
% Change in LC |
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| 2011 | 2010 | 2011 | 2010 | |||||||||||||||||||||
| Advisory Fees |
$ | 60.1 | $ | 61.4 | (2 | %) | $ | 245.0 | $ | 237.5 | (1 | %) | ||||||||||||
| Transaction Fees & Other |
2.3 | 3.9 | (39 | %) | 7.3 | 8.2 | (16 | %) | ||||||||||||||||
| Incentive Fees |
0.1 | 2.0 | n/m | 19.3 | 11.4 | 63 | % | |||||||||||||||||
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| Operating Revenue |
$ | 62.5 | $ | 67.3 | (7 | %) | $ | 271.6 | $ | 257.1 | 2 | % | ||||||||||||
| Equity Earnings (Losses) |
3.7 | (0.5 | ) | n/m | 3.8 | (11.7 | ) | n/m | ||||||||||||||||
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| Total Segment Revenue |
$ | 66.2 | $ | 66.8 | (1 | %) | $ | 275.4 | $ | 245.4 | 8 | % | ||||||||||||
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n/m – not meaningful
LaSalle Investment Management raised nearly $5 billion of net equity in 2011, and assets under management were $47.7 billion at December 31, 2011. EBITDA was $60 million, compared with $43 million for full-year 2010. Fourth-quarter EBITDA was $14 million for 2011, compared with $10 million for the fourth quarter of 2010. The full-year EBITDA margin was 21.7 percent compared with 17.3 percent in 2010.
Summary
The firm finished the year with record consolidated revenue levels and solid performance in each of the geographic segments and LaSalle Investment Management. King Sturge contributed positively to EMEA results, notably in Capital Markets & Hotels and Advisory, and has been successfully integrated into the firm. Within the challenging economic conditions of many of the countries in which we operate, the firm’s strong market share and healthy pipelines across most of its businesses provide good momentum and reason for optimism entering 2012.
– more –
Jones Lang LaSalle Reports 2011 Results – Page 7
About Jones Lang LaSalle
Jones Lang LaSalle (NYSE:JLL) is a financial and professional services firm specializing in real estate. The firm offers integrated services delivered by expert teams worldwide to clients seeking increased value by owning, occupying or investing in real estate. With 2011 global revenue of $3.6 billion, Jones Lang LaSalle serves clients in 70 countries from more than 1,000 locations worldwide, including 200 corporate offices. The firm is an industry leader in property and corporate facility management services, with a portfolio of approximately 2.1 billion square feet worldwide. LaSalle Investment Management, the company’s investment management business, is one of the world’s largest and most diverse in real estate with $47.7 billion of assets under management. For further information, please visit our website, www.joneslanglasalle.com.
200 East Randolph Drive Chicago Illinois 60601 | 22 Hanover Square London W1A 2BN | 9 Raffles Place #39–00 Republic Plaza Singapore 048619
Statements in this press release regarding, among other things, future financial results and performance, achievements, plans and objectives may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements involve known and unknown risks, uncertainties and other factors which may cause actual results, performance, achievements, plans and objectives of Jones Lang LaSalle to be materially different from those expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially include those discussed under “Business,” “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” “Quantitative and Qualitative Disclosures about Market Risk,” and elsewhere in Jones Lang LaSalle’s Annual Report on Form 10-K for the year ended December 31, 2010, in the Quarterly Reports on Form 10-Q for the quarters ended March 31, 2011, and June 30, 2011, and September 30, 2011, and in other reports filed with the Securities and Exchange Commission. Statements speak only as of the date of this release. Jones Lang LaSalle expressly disclaims any obligation or undertaking to update or revise any forward-looking statements contained herein to reflect any change in Jones Lang LaSalle’s expectations or results, or any change in events.
– more –
Jones Lang LaSalle Reports 2011 Results – Page 8
Conference Call
The firm will conduct a conference call for shareholders, analysts and investment professionals on Tuesday, January 31 at 6:00 p.m. EST.
To participate in the teleconference, please dial into one of the following phone numbers five to 10 minutes before the start time:
| • U.S. callers: |
+1 877 800 0896 | |
| • International callers: |
+1 706 679 7364 | |
| • Pass code: |
41357814 | |
Webcast
Follow these steps to listen to the webcast:
| 1. | You must have a minimum 14.4 Kbps Internet connection |
| 2. | Log on to http://www.videonewswire.com/event.asp?id=84458 and follow instructions |
| 3. | Download free Windows Media Player software: (link located under registration form) |
| 4. | If you experience problems listening, send an e-mail to prnwebcast@multivu.com |
Supplemental Information
Supplemental information regarding the 2011 earnings call has been posted to the Investor Relations section of the company’s website: www.joneslanglasalle.com.
Conference Call Replay
Available: 7:00 p.m. EST Tuesday, January 31 through 11:59 p.m. EST February 7 at the following numbers:
| • U.S. callers: |
+1 855 859 2056 | |
| • International callers: |
+1 404 537 3406 | |
| • Pass code: |
41357814 | |
Web Audio Replay
Audio replay will be available for download or stream. This information and link is also available on the company’s website: www.joneslanglasalle.com.
If you have any questions, call Yvonne Peterson of Jones Lang LaSalle’s Investor Relations department at +1 312 228 2919.
###
JONES LANG LASALLE INCORPORATED
Consolidated Statements of Operations
For the Three and Twelve Months Ended December 31, 2011 and 2010
(in thousands, except share data)
(Unaudited)
| Three Months Ended December 31, | Twelve Months Ended December 31, | |||||||||||||||
| 2011 | 2010 | 2011 | 2010 | |||||||||||||
| Revenue |
$ | 1,148,175 | $ | 956,253 | $ | 3,584,544 | $ | 2,925,613 | ||||||||
| Operating expenses: |
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| Compensation and benefits |
722,467 | 610,327 | 2,330,520 | 1,899,181 | ||||||||||||
| Operating, administrative and other |
250,173 | 202,986 | 863,860 | 687,815 | ||||||||||||
| Depreciation and amortization |
22,333 | 18,584 | 82,832 | 71,573 | ||||||||||||
| Restructuring and acquisition charges |
33,984 | 885 | 56,127 | 6,386 | ||||||||||||
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| Total operating expenses |
1,028,957 | 832,782 | 3,333,339 | 2,664,955 | ||||||||||||
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| Operating income |
119,218 | 123,471 | 251,205 | 260,658 | ||||||||||||
| Interest expense, net of interest income |
8,372 | 10,063 | 35,591 | 45,802 | ||||||||||||
| Equity earnings (losses) from unconsolidated ventures |
3,704 | (442 | ) | 6,385 | (11,379 | ) | ||||||||||
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| Income before income taxes and noncontrolling interest |
114,550 | 112,966 | 221,999 | 203,477 | ||||||||||||
| Provision for income taxes |
29,525 | 28,220 | 56,387 | 49,038 | ||||||||||||
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| Net income |
85,025 | 84,746 | 165,612 | 154,439 | ||||||||||||
| Net income attributable to noncontrolling interest |
109 | 190 | 1,228 | 537 | ||||||||||||
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| Net income attributable to the Company |
$ | 84,916 | $ | 84,556 | $ | 164,384 | $ | 153,902 | ||||||||
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| Net income attributable to common shareholders |
$ | 84,767 | $ | 84,397 | $ | 163,997 | $ | 153,524 | ||||||||
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| Basic earnings per common share |
$ | 1.95 | $ | 1.98 | $ | 3.80 | $ | 3.63 | ||||||||
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| Basic weighted average shares outstanding |
43,469,543 | 42,652,006 | 43,170,383 | 42,295,526 | ||||||||||||
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| Diluted earnings per common share |
$ | 1.91 | $ | 1.91 | $ | 3.70 | $ | 3.48 | ||||||||
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| Diluted weighted average shares outstanding |
44,402,412 | 44,235,319 | 44,367,359 | 44,084,154 | ||||||||||||
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| EBITDA |
$ | 144,997 | $ | 141,264 | $ | 338,807 | $ | 319,937 | ||||||||
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Please reference attached financial statement notes.
JONES LANG LASALLE INCORPORATED
Segment Operating Results
For the Three and Twelve Months Ended December 31, 2011 and 2010
(in thousands)
(Unaudited)
| Three Months Ended December 31, | Twelve Months Ended December 31, | |||||||||||||||
| 2011 | 2010 | 2011 | 2010 | |||||||||||||
| REAL ESTATE SERVICES |
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| AMERICAS |
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| Revenue: |
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| Operating revenue |
$ | 509,480 | $ | 428,431 | $ | 1,522,607 | $ | 1,261,178 | ||||||||
| Equity earnings |
17 | 30 | 2,682 | 310 | ||||||||||||
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| 509,497 | 428,461 | 1,525,289 | 1,261,488 | |||||||||||||
| Operating expenses: |
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| Compensation, operating and administrative expenses |
415,375 | 349,751 | 1,324,115 | 1,077,556 | ||||||||||||
| Depreciation and amortization |
9,710 | 9,179 | 38,502 | 35,594 | ||||||||||||
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| 425,085 | 358,930 | 1,362,617 | 1,113,150 | |||||||||||||
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|
|
|
|
|
|
|
|||||||||
| Operating income |
$ | 84,412 | $ | 69,531 | $ | 162,672 | $ | 148,338 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| EBITDA |
$ | 94,122 | $ | 78,710 | $ | 201,174 | $ | 183,932 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| EMEA |
||||||||||||||||
| Revenue: |
||||||||||||||||
| Operating revenue |
$ | 340,293 | $ | 237,397 | $ | 974,014 | $ | 728,838 | ||||||||
| Equity earnings (losses) |
2 | (21 | ) | (304 | ) | (66 | ) | |||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| 340,295 | 237,376 | 973,710 | 728,772 | |||||||||||||
| Operating expenses: |
||||||||||||||||
| Compensation, operating and administrative expenses |
297,278 | 211,755 | 916,412 | 690,427 | ||||||||||||
| Depreciation and amortization |
9,051 | 5,529 | 29,378 | 18,778 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| 306,329 | 217,284 | 945,790 | 709,205 | |||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Operating income |
$ | 33,966 | $ | 20,092 | $ | 27,920 | $ | 19,567 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| EBITDA |
$ | 43,017 | $ | 25,621 | $ | 57,298 | $ | 38,345 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| ASIA PACIFIC |
||||||||||||||||
| Revenue: |
||||||||||||||||
| Operating revenue |
$ | 235,937 | $ | 223,135 | $ | 816,301 | $ | 678,452 | ||||||||
| Equity earnings |
28 | 55 | 178 | 55 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| 235,965 | 223,190 | 816,479 | 678,507 | |||||||||||||
| Operating expenses: |
||||||||||||||||
| Compensation, operating and administrative expenses |
207,796 | 194,528 | 738,107 | 616,101 | ||||||||||||
| Depreciation and amortization |
3,001 | 3,062 | 12,203 | 13,010 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| 210,797 | 197,590 | 750,310 | 629,111 | |||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Operating income |
$ | 25,168 | $ | 25,600 | $ | 66,169 | $ | 49,396 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| EBITDA |
$ | 28,169 | $ | 28,662 | $ | 78,372 | $ | 62,406 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| LASALLE INVESTMENT MANAGEMENT |
||||||||||||||||
| Revenue: |
||||||||||||||||
| Operating revenue |
$ | 62,465 | $ | 67,290 | $ | 271,622 | $ | 257,145 | ||||||||
| Equity earnings (losses) |
3,657 | (506 | ) | 3,829 | (11,678 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| 66,122 | 66,784 | 275,451 | 245,467 | |||||||||||||
| Operating expenses: |
||||||||||||||||
| Compensation, operating and administrative expenses |
52,192 | 57,279 | 215,745 | 202,912 | ||||||||||||
| Depreciation and amortization |
570 | 814 | 2,750 | 4,191 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| 52,762 | 58,093 | 218,495 | 207,103 | |||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Operating income |
$ | 13,360 | $ | 8,691 | $ | 56,956 | $ | 38,364 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| EBITDA |
$ | 13,930 | $ | 9,505 | $ | 59,706 | $ | 42,555 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total segment revenue |
1,151,879 | 955,811 | 3,590,929 | 2,914,234 | ||||||||||||
| Reclassification of equity earnings (losses) |
3,704 | (442 | ) | 6,385 | (11,379 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total revenue |
$ | 1,148,175 | $ | 956,253 | $ | 3,584,544 | $ | 2,925,613 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total operating expenses before restructuring and acquisition charges |
994,973 | 831,897 | 3,277,212 | 2,658,569 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Operating income before restructuring and acqusition charges |
$ | 153,202 | $ | 124,356 | $ | 307,332 | $ | 267,044 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
Please reference attached financial statement notes.
JONES LANG LASALLE INCORPORATED
Consolidated Balance Sheets
December 31, 2011 and December 31, 2010
(in thousands)
| December 31, 2011 (Unaudited) |
December 31, 2010 |
|||||||
| ASSETS |
||||||||
| Current assets: |
||||||||
| Cash and cash equivalents |
$ | 184,454 | $ | 251,897 | ||||
| Trade receivables, net of allowances |
907,772 | 721,486 | ||||||
| Notes and other receivables |
97,315 | 76,374 | ||||||
| Prepaid expenses |
45,274 | 41,195 | ||||||
| Deferred tax assets |
53,553 | 82,740 | ||||||
| Other |
12,516 | 21,149 | ||||||
|
|
|
|
|
|||||
| Total current assets |
1,300,884 | 1,194,841 | ||||||
| Property and equipment, net of accumulated depreciation |
241,415 | 198,685 | ||||||
| Goodwill, with indefinite useful lives |
1,751,207 | 1,444,708 | ||||||
| Identified intangibles, net of accumulated amortization |
52,590 | 29,025 | ||||||
| Investments in real estate ventures |
224,854 | 174,578 | ||||||
| Long-term receivables |
54,840 | 42,735 | ||||||
| Deferred tax assets |
186,605 | 149,020 | ||||||
| Other |
120,241 | 116,269 | ||||||
|
|
|
|
|
|||||
| Total assets |
$ | 3,932,636 | $ | 3,349,861 | ||||
|
|
|
|
|
|||||
| LIABILITIES AND EQUITY |
||||||||
| Current liabilities: |
||||||||
| Accounts payable and accrued liabilities |
$ | 436,045 | $ | 400,681 | ||||
| Accrued compensation |
655,658 | 554,841 | ||||||
| Short-term borrowings |
65,091 | 28,700 | ||||||
| Deferred tax liabilities |
6,044 | 3,942 | ||||||
| Deferred income |
58,974 | 45,146 | ||||||
| Deferred business acquisition obligations |
31,164 | 163,656 | ||||||
| Other |
95,641 | 99,346 | ||||||
|
|
|
|
|
|||||
| Total current liabilities |
1,348,617 | 1,296,312 | ||||||
| Noncurrent liabilities: |
||||||||
| Credit facilities |
463,000 | 197,500 | ||||||
| Deferred tax liabilities |
7,646 | 15,450 | ||||||
| Deferred compensation |
10,420 | 15,130 | ||||||
| Pension liabilities |
17,233 | 5,031 | ||||||
| Deferred business acquisition obligations |
267,896 | 134,889 | ||||||
| Minority shareholder redemption liability |
18,402 | 34,118 | ||||||
| Other |
105,042 | 79,496 | ||||||
|
|
|
|
|
|||||
| Total liabilities |
2,238,256 | 1,777,926 | ||||||
| Company shareholders’ equity: |
||||||||
| Common stock, $.01 par value per share, 100,000,000 shares authorized; 43,470,271 and 42,659,999 shares issued and outstanding as of December 31, 2011 and December 31, 2010, respectively |
435 | 427 | ||||||
| Additional paid-in capital |
904,968 | 883,046 | ||||||
| Retained earnings |
827,297 | 676,397 | ||||||
| Shares held in trust |
(7,814 | ) | (6,263 | ) | ||||
| Accumulated other comprehensive (loss) income |
(33,757 | ) | 15,324 | |||||
|
|
|
|
|
|||||
| Total Company shareholders’ equity |
1,691,129 | 1,568,931 | ||||||
| Noncontrolling interest |
3,251 | 3,004 | ||||||
|
|
|
|
|
|||||
| Total equity |
1,694,380 | 1,571,935 | ||||||
|
|
|
|
|
|||||
| Total liabilities and equity |
$ | 3,932,636 | $ | 3,349,861 | ||||
|
|
|
|
|
|||||
Please reference attached financial statement notes.
JONES LANG LASALLE INCORPORATED
Summarized Consolidated Statements of Cash Flows
For the Twelve Months Ended December 31, 2011 and 2010
(in thousands)
(Unaudited)
| Twelve Months Ended December 31, | ||||||||
| 2011 | 2010 | |||||||
| Cash provided by operating activities |
$ | 211,338 | $ | 384,270 | ||||
| Cash used in investing activities |
(389,316 | ) | (90,876 | ) | ||||
| Cash provided by (used in) financing activities |
110,535 | (110,760 | ) | |||||
|
|
|
|
|
|||||
| Net (decrease) increase in cash and cash equivalents |
(67,443 | ) | 182,634 | |||||
| Cash and cash equivalents, beginning of period |
251,897 | 69,263 | ||||||
|
|
|
|
|
|||||
| Cash and cash equivalents, end of period |
$ | 184,454 | $ | 251,897 | ||||
|
|
|
|
|
|||||
Please reference attached financial statement notes.
JONES LANG LASALLE INCORPORATED
Financial Statement Notes
| 1. | Charges excluded from U.S. GAAP (“GAAP”) net income attributable to common shareholders to arrive at adjusted net income for the quarters and years ended December 31, 2011, and December 31, 2010, are primarily Restructuring and acquisition charges, intangible amortization related to the recent King Sturge acquisition, and non-cash co-investment charges. Below are reconciliations of GAAP net income attributable to common shareholders to adjusted net income and calculations of earnings per share (“EPS”) for each net income total: |
| Three Months Ended December 31, |
Twelve Months Ended December 31, |
|||||||||||||||
| ($ in millions, except per share data) | 2011 | 2010 | 2011 | 2010 | ||||||||||||
| GAAP net income attributable to common shareholders |
$ | 84.8 | $ | 84.4 | $ | 164.0 | $ | 153.5 | ||||||||
| Shares (in 000s) |
44,402 | 44,235 | 44,367 | 44,084 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| GAAP earnings per share |
$ | 1.91 | $ | 1.91 | $ | 3.70 | $ | 3.48 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| GAAP net income attributable to common shareholders |
$ | 84.8 | $ | 84.4 | $ | 164.0 | $ | 153.5 | ||||||||
| Restructuring and acquisition charges, net |
25.2 | 0.7 | 41.9 | 4.9 | ||||||||||||
| Intangible amortization, net |
3.6 | — | 8.6 | — | ||||||||||||
| Non-cash co-investment charges, net |
— | 0.7 | — | 7.9 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Adjusted net income |
113.6 | 85.8 | 214.5 | 166.3 | ||||||||||||
| Shares (in 000s) |
44,402 | 44,235 | 44,367 | 44,084 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Adjusted earnings per share |
$ | 2.56 | $ | 1.94 | $ | 4.83 | $ | 3.77 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| 2. | Adjusted EBITDA represents earnings before interest expense, net of interest income, income taxes, depreciation and amortization, adjusted for Restructuring and acquisition charges, and non-cash co-investment charges. Although adjusted EBITDA and EBITDA are non-GAAP financial measures, they are used extensively by management and are useful to investors and lenders as metrics for evaluating operating performance and liquidity. EBITDA is used in the calculations of certain covenants related to the firm’s revolving credit facility. However, adjusted EBITDA and EBITDA should not be considered as an alternative to net income determined in accordance with GAAP. Because adjusted EBITDA and EBITDA are not calculated under GAAP, the firm’s adjusted EBITDA and EBITDA may not be comparable to similarly titled measures used by other companies. |
Below is a reconciliation of net income to EBITDA and adjusted EBITDA (in thousands):
| Three Months Ended | Twelve Months Ended | |||||||||||||||
| December 31, | December 31, | |||||||||||||||
| 2011 | 2010 | 2011 | 2010 | |||||||||||||
| Net income attributable to common shareholders |
$ | 84,767 | $ | 84,396 | $ | 163,997 | $ | 153,522 | ||||||||
| Add: |
||||||||||||||||
| Interest expense, net of interest income |
8,372 | 10,063 | 35,591 | 45,802 | ||||||||||||
| Provision for income taxes |
29,525 | 28,220 | 56,387 | 49,038 | ||||||||||||
| Depreciation and amortization |
22,333 | 18,584 | 82,832 | 71,573 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| EBITDA |
$ | 144,997 | $ | 141,263 | $ | 338,807 | $ | 319,935 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Add: |
||||||||||||||||
| Restructuring and acquisition charges |
33,984 | 885 | 56,127 | 6,386 | ||||||||||||
| Non-cash co-investment charges |
— | 901 | — | 10,433 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Adjusted EBITDA |
$ | 178,981 | $ | 143,049 | $ | 394,934 | $ | 336,754 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| 3. | For purposes of segment operating results, the allocation of restructuring charges to the segments has been determined to not be meaningful to investors, so the performance of segment results has been evaluated without allocation of these charges. |
| 4. | Each geographic region offers the firm’s full range of Real Estate Services businesses consisting primarily of tenant representation and agency leasing; capital markets; property management and facilities management; project and development services; and advisory, consulting and valuations services. The Investment Management segment provides investment management services to institutional investors and high-net-worth individuals. |
| 5. | The consolidated statements of cash flows are presented in summarized form. For complete consolidated statements of cash flows, please refer to the firm’s Annual Report on Form 10-K for the year ended December 31, 2011, to be filed with the Securities and Exchange Commission shortly. |
| 6. | EMEA refers to Europe, Middle East and Africa. MENA refers to Middle East and North Africa. Greater China includes China, Hong Kong, Macau and Taiwan. |
| 7. | Certain prior year amounts have been reclassified to conform to the current presentation. |
