Revenue

6 Months Ended

Jun. 30, 2020

Revenue from Contract with Customer [Abstract]

Revenue

Note 5: Revenue

Revenue is recognized upon transfer of control of promised services to clients in an amount that reflects the consideration the Company expects to receive in exchange for those services. The Company enters into contracts and earns revenue from its Property, facilities and project management, Leasing, Capital markets and Valuation and other service lines. Revenue is recognized net of any taxes collected from customers.

A performance obligation is a promise in a contract to transfer a distinct service to the client and is the unit of account. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. The Company allocates the contract’s transaction price to each performance obligation using the best estimate of the standalone selling price of each distinct service in the contract.

Contract Balances

The Company receives payments from customers based upon contractual billing schedules; accounts receivable are recorded when the right to consideration becomes unconditional. Contract assets include amounts related to the contractual right to consideration for completed performance not yet invoiced or able to be invoiced. As stated in Note 2, the Company adopted Topic 326 on January 1, 2020. Topic 326 replaces the impairment assessment requirement for contract assets with a methodology that reflects expected credit losses. As a result of adopting Topic 326, the Company records contract assets net of expected credit losses which are estimated based on historical experience, current available information and expectations of future economic conditions. The contract asset allowance is recorded in Operating, administrative, and other in the consolidated statement of operations. Contract liabilities are recorded when cash payments are received in advance of performance, including amounts which are refundable. The majority of contract liabilities are recognized as revenue within 90 days. The Company had no material asset impairment charges related to contract assets in the periods presented.

As of June 30, 2020 and December 31, 2019, the Company had contract assets of $324.1 million and $313.4 million and $20.3 million and $26.7 million, which were recorded in Other current assets and Other non-current assets, respectively, in the unaudited Condensed Consolidated Balance Sheets.

As of June 30, 2020 and December 31, 2019, the Company had contract liabilities of $52.1 million and $54.4 million which were recorded in Accounts payable and accrued expenses in the unaudited Condensed Consolidated Balance Sheets.

Disaggregation of Revenue

The following tables disaggregate revenue by reportable segment and service line (in millions):

		Three Months Ended June 30, 2020
	Revenue recognition timing	Americas		EMEA		APAC		Total
Property, facilities and project management	Over time	$	945.8	$	102.5	$	214.3	$	1,262.6
Leasing	At a point in time	193.4		41.5		32.3		267.2
Capital markets	At a point in time	75.9		24.0		13.3		113.2
Valuation and other	At a point in time or over time	33.4		37.1		30.1		100.6
Total revenue		$	1,248.5	$	205.1	$	290.0	$	1,743.6

		Three Months Ended June 30, 2019
	Revenue recognition timing	Americas		EMEA		APAC		Total
Property, facilities and project management	Over time	$	892.5	$	95.8	$	292.5	$	1,280.8
Leasing	At a point in time	389.0		57.0		45.7		491.7
Capital markets	At a point in time	170.9		33.2		33.1		237.2
Valuation and other	At a point in time or over time	40.5		42.9		28.6		112.0
Total revenue		$	1,492.9	$	228.9	$	399.9	$	2,121.7

		Six Months Ended June 30, 2020
	Revenue recognition timing	Americas		EMEA		APAC		Total
Property, facilities and project management	Over time	$	1,912.1	$	209.1	$	442.6	$	2,563.8
Leasing	At a point in time	435.5		82.3		55.1		572.9
Capital markets	At a point in time	223.2		45.6		27.3		296.1
Valuation and other	At a point in time or over time	72.5		78.1		55.6		206.2
Total revenue		$	2,643.3	$	415.1	$	580.6	$	3,639.0

		Six Months Ended June 30, 2019
	Revenue recognition timing	Americas		EMEA		APAC		Total
Property, facilities and project management	Over time	$	1,761.8	$	183.7	$	568.2	$	2,513.7
Leasing	At a point in time	689.1		105.9		72.5		867.5
Capital markets	At a point in time	312.0		59.6		57.0		428.6
Valuation and other	At a point in time or over time	77.6		82.3		55.0		214.9
Total revenue		$	2,840.5	$	431.5	$	752.7	$	4,024.7

Exemptions

Remaining performance obligations represent the aggregate transaction prices for contracts where the performance obligations have not yet been satisfied. In accordance with Topic 606, the Company does not disclose unsatisfied performance obligations for (i) contracts with an original expected length of one year or less and (ii) variable consideration for services performed as a series of daily performance obligations, such as those performed within the Property, facilities and project management services lines. Performance obligations within these businesses represent a significant portion of the Company's contracts with customers not expected to be completed within 12 months.