Colliers International lifts revenue and earnings

Colliers International saw revenues rise 7% in the second quarter to $311.7 mln (€234 mln) compared with the year-earlier period.

Adjusted EBITDA surged 40% year-on-year to $25.1 mln. Parent company FirstService Corporation attributed the increase primarily to improved productivity and efficiency.

Organic growth (+4%) and recent acquisitions (+4%) each accounted for half the revenue growth, while currency effects had a negative impact of -1%. In the second quarter, Colliers completed the consolidation of all of its operations in Germany.

Internal growth was primarily driven by year over year increases in investment sales brokerage and appraisal in the Americas region.

The earnings performance helped lift second-quarter revenues for FirstService Corporation by 1% to $601.9 mln relative to the same quarter in the prior year. Adjusted Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) rose 13% to $46.4 mln while adjusted Earnings Per Share (EPS) grew 29% to $0.58.

Commenting on the performance, Jay S. Hennick, founder and Chief Executive Officer of FirstService said the residential property management business completed a significant milestone by re-branding all 18 regional operations across North America as FirstService Residential.

Other highlights included the simplification of the capital structure by eliminating outstanding preferred shares; and the institution of the company’s first ever dividend on its common shares. ‘Looking forward, we expect FirstService to deliver strong year over year EBITDA and EPS growth for the balance of the year,’ he concluded.

FirstService generates over $2.3 bn in annual revenues.