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CBRE Group Q3 Earnings Beat Estimates, 2025 EPS Outlook Raised
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Key Takeaways
CBRE reported Q3 core EPS of $1.61, beating estimates and rising 34.2% year over year.
Q3 revenue climbed 13.5% to $10.26B, with strong gains in leasing, property sales and facilities management.
Despite growth across key segments, Real Estate Investments revenue fell 30.1% year over year.
CBRE Group Inc. (CBRE - Free Report) reported third-quarter 2025 core earnings per share (EPS) of $1.61, ahead of the Zacks Consensus Estimate of $1.47. The reported figure also increased 34.2% year over year.
Results reflect year-over-year revenue growth across most of its business segments except the Real Estate Investments segment. CBRE’s resilient businesses generated revenue growth of 14%, surpassing the 13% increase in its transactional businesses.
Quarterly revenues increased 13.5% year over year to $10.26 billion. The metric outpaced the Zacks Consensus Estimate of $9.92 billion.
CBRE’s Quarter in Detail
CBRE Group’s Advisory Services segment reported a year-over-year revenue increase of 16.8% (15.8% in local currency) to $2.24 billion.
Global leasing revenue rose 18% (17% in local currency). The rise was driven by double-digit leasing revenue growth in the United States and Asia Pacific (APAC), and single-digit leasing revenue growth in Europe, the Middle East & Africa (EMEA).
Global property sales revenues grew 30% (28% in local currency) year over year, with the APAC, United States and EMEA registering 53%, 32% and 29% sales revenue growth, respectively. Moreover, mortgage origination revenues rose 17% (same in local currency) due to higher origination fees primarily from debt funds, CMBS lenders and banks.
The Building Operations & Experience segment registered a year-over-year increase of 12.6% (10.7% in local currency) in revenues to $5.79 billion.
Facilities management revenues rose 11% (9% in local currency), with strong growth across Enterprise and Local businesses. Property management revenues increased 30% (29% in local currency), led by the contributions from Industrious, which was acquired in January 2025.
Project Management segment revenues grew 20.4% (18.5% in local currency) to $2.03 billion year over year, with broad-based double-digit revenue growth supported by the United Kingdom, the Middle East and North America.
However, the Real Estate Investments segment experienced a decrease of 30.1% (32.1% in local currency) in revenues to $211 million.
At the end of the third quarter of 2025, assets under management increased $500 million from the second quarter of 2025 to $155.8 billion due to higher asset values, partly offset by unfavorable foreign currency movement.
Balance Sheet Position for CBRE
CBRE Group exited the third quarter of 2025 with cash and cash equivalents of $1.67 billion, up from $1.40 billion as of June 30, 2025.
As of Sept. 30, 2025, the total liquidity increased to $5.2 billion from $4.7 billion reported in the second quarter of 2025. The total liquidity comprised $1.7 billion in cash in addition to the ability to borrow a total of approximately $3.5 billion under its revolving credit facilities and commercial paper program.
The company’s net leverage ratio was 1.23X as of the same date, significantly less than CBRE’s primary debt covenant of 4.25X.
Outlook
For 2025, CBRE increased its core EPS guidance in the range of $6.25-$6.35 compared to $6.10-$6.20 in the prior guidance. The Zacks Consensus Estimate for the same is currently pegged at $6.19, which is below the guided range.
It’s time to look forward to two stocks from the real estate operation industry, Cushman & Wakefield (CWK - Free Report) and Jones Lang LaSalle (JLL - Free Report) . Cushman & Wakefield and Jones Lang are slated to report quarterly numbers on Oct. 30 and Nov. 5, respectively.
The Zacks Consensus Estimate for Cushman & Wakefield’s third-quarter 2025 EPS is pegged at 26 cents, which implies a 13% increase year over year. CWK currently sports a Zacks Rank of 1 (Strong Buy).
The Zacks Consensus Estimate for Jones Lang LaSalle’s third-quarter 2025 EPS stands at $4.27, which suggests an increase of 22% on a year-over-year basis. JLL currently carries a Zacks Rank of 2.
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CBRE Group Q3 Earnings Beat Estimates, 2025 EPS Outlook Raised
Key Takeaways
CBRE Group Inc. (CBRE - Free Report) reported third-quarter 2025 core earnings per share (EPS) of $1.61, ahead of the Zacks Consensus Estimate of $1.47. The reported figure also increased 34.2% year over year.
Results reflect year-over-year revenue growth across most of its business segments except the Real Estate Investments segment. CBRE’s resilient businesses generated revenue growth of 14%, surpassing the 13% increase in its transactional businesses.
Quarterly revenues increased 13.5% year over year to $10.26 billion. The metric outpaced the Zacks Consensus Estimate of $9.92 billion.
CBRE’s Quarter in Detail
CBRE Group’s Advisory Services segment reported a year-over-year revenue increase of 16.8% (15.8% in local currency) to $2.24 billion.
Global leasing revenue rose 18% (17% in local currency). The rise was driven by double-digit leasing revenue growth in the United States and Asia Pacific (APAC), and single-digit leasing revenue growth in Europe, the Middle East & Africa (EMEA).
Global property sales revenues grew 30% (28% in local currency) year over year, with the APAC, United States and EMEA registering 53%, 32% and 29% sales revenue growth, respectively. Moreover, mortgage origination revenues rose 17% (same in local currency) due to higher origination fees primarily from debt funds, CMBS lenders and banks.
The Building Operations & Experience segment registered a year-over-year increase of 12.6% (10.7% in local currency) in revenues to $5.79 billion.
Facilities management revenues rose 11% (9% in local currency), with strong growth across Enterprise and Local businesses. Property management revenues increased 30% (29% in local currency), led by the contributions from Industrious, which was acquired in January 2025.
Project Management segment revenues grew 20.4% (18.5% in local currency) to $2.03 billion year over year, with broad-based double-digit revenue growth supported by the United Kingdom, the Middle East and North America.
However, the Real Estate Investments segment experienced a decrease of 30.1% (32.1% in local currency) in revenues to $211 million.
At the end of the third quarter of 2025, assets under management increased $500 million from the second quarter of 2025 to $155.8 billion due to higher asset values, partly offset by unfavorable foreign currency movement.
Balance Sheet Position for CBRE
CBRE Group exited the third quarter of 2025 with cash and cash equivalents of $1.67 billion, up from $1.40 billion as of June 30, 2025.
As of Sept. 30, 2025, the total liquidity increased to $5.2 billion from $4.7 billion reported in the second quarter of 2025. The total liquidity comprised $1.7 billion in cash in addition to the ability to borrow a total of approximately $3.5 billion under its revolving credit facilities and commercial paper program.
The company’s net leverage ratio was 1.23X as of the same date, significantly less than CBRE’s primary debt covenant of 4.25X.
Outlook
For 2025, CBRE increased its core EPS guidance in the range of $6.25-$6.35 compared to $6.10-$6.20 in the prior guidance. The Zacks Consensus Estimate for the same is currently pegged at $6.19, which is below the guided range.
Currently, CBRE Group carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
CBRE Group, Inc. Price, Consensus and EPS Surprise
CBRE Group, Inc. price-consensus-eps-surprise-chart | CBRE Group, Inc. Quote
Upcoming Releases
It’s time to look forward to two stocks from the real estate operation industry, Cushman & Wakefield (CWK - Free Report) and Jones Lang LaSalle (JLL - Free Report) . Cushman & Wakefield and Jones Lang are slated to report quarterly numbers on Oct. 30 and Nov. 5, respectively.
The Zacks Consensus Estimate for Cushman & Wakefield’s third-quarter 2025 EPS is pegged at 26 cents, which implies a 13% increase year over year. CWK currently sports a Zacks Rank of 1 (Strong Buy).
The Zacks Consensus Estimate for Jones Lang LaSalle’s third-quarter 2025 EPS stands at $4.27, which suggests an increase of 22% on a year-over-year basis. JLL currently carries a Zacks Rank of 2.