DOW JONES NEWSWIRES
Jones Lang LaSalle Inc.'s (JLL) third-quarter profit soared 88%
on revenue and margin growth as well as lower one-time items than a
year earlier.
The commercial-real-estate services company's revenue exceeded
Wall Street's expectations but earnings were below analysts'
estimate.
"We posted solid results in the third quarter, as the broad
market recovery continued," said Chief Executive Colin Dyer.
Commercial real estate has suffered from rising vacancies and
declining rents and property values, but Jones Lang in July said
leasing and capital markets business improved. The company, which
provides help with sales, leasing and management of commercial
properties worldwide, has swung to the black in recent quarters on
strong revenue growth.
Earlier Tuesday, rival CB Richard Ellis Group Inc. (CBG) said
its third-quarter profit more than quadrupled on the strongest
quarterly year-over-year revenue growth since the end of 2007.
For the latest quarter, Jones Lang reported a profit of $37.1
million, or 84 cents a share, up from $19.8 million, or 46 cents a
share, a year earlier. Excluding items such as restructuring
charges, earnings rose to 86 cents from 61 cents. Revenue grew 19%
to $708.4 million.
Analysts estimated earnings of 95 cents on revenue of $690.3
million, according to a poll by Thomson Reuters.
Operating margin rose to 8.7% from 7.5%.
Revenue increased in all regions, including 30% in the Americas
and 9.7% in Europe, the Middle East and Africa.
Leasing revenue, which provided one-third of the total, climbed
36%, while property and facility management revenue, which provided
nearly one-quarter of the total, grew 10%.
Jones Lang's shares were at $85.63, up 0.3%, in after-hours
trading. The stock, which reached a three-year high this month, was
up 41% this year as of the close on the company's improved
performance.
-By Kathy Shwiff, Dow Jones Newswires; 212-416-2357;
Kathy.Shwiff@dowjones.com