Colliers says European business ‘definitely improving’
The team at Colliers is predicting a rebound in real estate dealmaking in Europe this year that should feed through to the bottom line of its regional business.
Revenue from across Europe, the Middle East and Africa during the final quarter of 2023 edged up by 3% to $235.7m (£187m), the firm said, with EBITDA flat at $35.7m. That left full-year revenue for the region at $726.9m, up by 2%, and EBITDA at $38.4m, down by 44%.
On a call with analysts, chief financial officer Christian Mayer said: “Q4 is a very strong quarter in EMEA, and a lot of transactional activity happens in Q4.
The team at Colliers is predicting a rebound in real estate dealmaking in Europe this year that should feed through to the bottom line of its regional business.
Revenue from across Europe, the Middle East and Africa during the final quarter of 2023 edged up by 3% to $235.7m (£187m), the firm said, with EBITDA flat at $35.7m. That left full-year revenue for the region at $726.9m, up by 2%, and EBITDA at $38.4m, down by 44%.
On a call with analysts, chief financial officer Christian Mayer said: “Q4 is a very strong quarter in EMEA, and a lot of transactional activity happens in Q4.
“Historically, the lion’s share of EBITDA is generated in Q4. That was, again, the trend this year.
“I expect we will have a stronger EBITDA performance throughout the year, given the expected rebound in activity levels as well as cost actions that have been taken in that region to adjust to those lower activity levels.”
Chris McLernon, chief executive for real estate services, noted that Germany and the Nordics were both “challenging” last year in terms of capital markets activity.
“It’s highly transactional for us, and it’s something we’re working on in terms of balancing the business,” McLernon added.
“Some of those markets in the cities in Germany were down 80%.
“We expect some activity to come back and it won’t be as extreme as last year – so definitely improving in Europe in 2024.”
Group chief executive Jay Hennick agreed, noting that even in tougher markets the firm was “seeing some white shoots”, before being corrected by McLernon.
“Some green shoots,” McLernon interjected.
“Green shoots,” Hennick clarified. “Green shoots.”
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