CB Richard Ellis has reported that its profit in the third quarter of this year fell 65% to $40.4 mln (EUR 31.5 mln) from $114.9 mln (EUR 89 mln) a year earlier. Revenue fell to $1.3 bn from $1.5 bn a year earlier. The international broker blamed the fall in profits on the crippled real estate investment market due to the credit crunch.
CB Richard Ellis has reported that its profit in the third quarter of this year fell 65% to $40.4 mln (EUR 31.5 mln) from $114.9 mln (EUR 89 mln) a year earlier. Revenue fell to $1.3 bn from $1.5 bn a year earlier. The international broker blamed the fall in profits on the crippled real estate investment market due to the credit crunch.
The broker said it would have earned profit, excluding charges, of $56.1 mln, or 27 cents per share. This beat analyst forecasts who had suggested profit of 23 cents per share. CB Richard Ellis earned $130.2 million, or 55 cents per share last year.
Brett White, president and CEO of CB Richard Ellis said the third-quarter results reflected the extremely challenging market conditions, which continued to deteriorate globally. 'However we performed reasonably well considering the extent of the negative conditions in the marketplace.'
Revenue for the EMEA region - mainly operations in Europe - totalled $271.7 mln for the third quarter of 2008, compared with $320.2 mln for the same period last year. 'Similar to the Americas, the growth of our outsourcing business in several countries, particularly the UK, Russia, France, Germany and the Netherlands, was more than offset by lower sales and leasing transaction revenue for the segment,' he said.
