JLL is the latest big agency to see its revenue hit by a “sharp decline” in deal activity, posting a fall of more than a third in its capital markets income during the end of 2022.
Groupwide revenue over the final three months of 2022 came in at $5.6bn (£4.6bn), down by 6% in US dollar terms year-on-year, with fee revenue falling by a fifth to $2.2bn. That left full-year revenue at $20.8bn, 8% ahead of 2021, and fee revenue at $8.3bn, up by 4%.
“JLL’s fourth-quarter performance reflected the industry-wide slowdown in investment sales and leasing volumes caused by the rapid increase in interest rates and the peak of recent inflationary pressures,” said chief executive Christian Ulbrich.
Capital markets revenue of $607.9m marked a 38% drop from the fourth quarter of 2021, the sharpest fall of any business line.
Markets advisory revenue fell by 13% to $1.2bn, while revenue from LaSalle declined by 27% to $118.7m. Revenue from the work dynamics segment, which handles workplace strategies and project management, was up by 7% at $3.6bn. JLL Technologies revenue stood at $57.3m, up by 29%.
To send feedback, e-mail tim.burke@eg.co.uk or tweet @_tim_burke or @EGPropertyNews
