Cushman & Wakefield : First Quarter 2026 Slides

Published: 2026-05-07 07:35:05 ET CWK

Published on 05/07/2026 at 07:35 am EDT

PRESENTATION

CUS HMA N & WAK E FI E L D

O1 2026

EARNINGS

MAY 7, 2026

BeHer never seHles

The Company uses the following measures, which are considered "non-GAAP financial measures" under SEC guidelines:

Adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA"};

Adjusted net income and Adjusted earnings per share;

Free cash flow and Free cash flow conversion;

Local currency; and

Net debt.

Management principally uses these non-GAAP financial measures to evaluate operating performance, develop budgets and forecasts, improve comparability of results and assist our investors in analyzing the underlying performance of our business. These measures are not measurements recognized under GAAP. When analyzing our operating results, investors should use these measures in addition to, but not as an alternative for, the most directly comparable financial results calculated and presented in accordance with GAAP. Because the Company's calculation of these non-GAAP financial measures may differ from other companies, our presentation of these measures may not be comparable to similarly titled measures of other companies.

The Company believes that these measures provide a more complete understanding of ongoing operations, enhance comparability of current results to prior periods and may be useful for investors to analyze our financial performance. The measures eliminate the impact of certain items that may obscure trends in the underlying performance of our business. The Company believes that they are useful to investors for the additional purposes described below.

Adjusted EBITDA also excludes the effects of financings, income taxes and the non-cash accounting effects of depreciation and intangible asset amortization.

Free cash flow and Free cash flow conversion: Free cash flow is a financial performance metric that is calculated as net cash provided by (used in) operating activities, less capital expenditures (reflected as Payment for property and equipment in the investing activities section of the Condensed Consolidated Statements of Cash FlowsJ. Free cash flow conversion, a non-GAAP measure of liquidity as a percentage of profit, is measured against Adjusted net income.

Net debt: Net debt is used as a measure of our liquidity and is calculated as total debt minus cash and cash equivalents.

Durinp the periods presented in this presentation, we had the following adjustments:

Unrealized loss on investments, net represents net unrealized gains and losses on real estate investments.

Impairment of investments reflects certain one-time impairment charges related to investments, equity method investments or other assets.

Acquisition related costs includes certain direct costs incurred in connection with acquiring businesses.

Servicing liability, fees and amortization reflects the additional non-cash servicing liability accrued in connection with the A/R Securitization amendment in March 2026, net of amortization, along with related fees incurred to execute the amendment. The liability will be amortized through March 2029.

Pension buy-out settlement loss represents a non-cash settlement charge related to a pension buy-out arrangement in the United Kingdom.

Non-operating items related to the Greystone JV reflects certain non-operating activity presented within (loss) earnings from equity method investments related to the Greystone JV for (i) gains recognized from the retention of mortgage servicing rights ("MSRs"J upon the origination and sale of mortgage loans, (iiJ increases or decreases in the fair value of the MSRs and (iiiJ estimated provisions for credit losses related to mortgage loans. This activity is specific to the Greystone JV rather than all of the Company's equity method investments based on the Greystone JV's specialized industry, namely, multi-family lending and loan servicing solutions. Starting in the second quarter of 2025, the Company has excluded such activity from the calculation of its non-GAAP financial measures as it is non-cash in nature and does not represent the underlying operating performance of the business. This activity is reported entirely within the Americas reportable segment.

The interim financial information for the three months ended March 31, 2026 and 2025 is unaudited. All adjustments, consisting of normal recurring adjustments, except as otherwise noted, considered necessary for a fair presentation of the unaudited interim condensed consolidated financial information for these periods have been included. Users of all of the aforementioned unaudited interim financial information should refer to the audited Consolidated Financial Statements of the Company and notes thereto for the year ended December 31, 2025 in the Company's Annual Report on Form 10-K.

Please see the appendix at the end of this presentation for reconciliations of our non-GAAP financial measures to the most closely comparable GAAP measures.

FIRST OUARTER FINANCIAL OVERVIEW

Revenue

$2,536

$2,285

11%

Adjusted EBITDA

$111

$96

16%

15O/O

Adjusted Net Income

$35

$21

69%

Adjusted EPS (Diluted)

$0.15

$0.09

67%

FIRST OUARTER 2026 OVERVIEW*') AND FY 2026 OUTLOOK

First Quarter 2026

Q1'26 revenue of $2.5 billion, up 9%

Leasing revenue up 17%

Capital markets revenue up 14%

Services revenue up 7%

2026 Full Year Outlook

Revenue Growth of 6-8%

Adjusted EPS Growth of 15-20%

Free Cash Flow Conversion of 60-8O%(2)

Adjusted EBITDA of $111 million, up 15%

Adjusted EPS of $0.15, up 67OXi

Generated trailing twelve-month free cash flow of

$204 million

Liquidity at the end of Q1'26 was $1.6 billion, consisting of $0.6 billion of cash and $1.0 billion revolving credit facility (undrawn)

I. Percent changes are shown in local currency and compare results for the three months ended March II, 2026 to the same period in the prior year

2. Calculated as a percentage of Adjusted Net Income

O1'26 PERFORMANCE BY SEGMENT

In USD $m

Total Revenue

Revenue by Segment

Americas

EMEA

APAC

Growth % LC*1*

Q1'25

Q1'26

Q1'25

Q1'26

Q1'25

21%

Q1'26

Q1'25

Q1'26

Total Adjusted EBITDA Adjusted EBITDA by Segment

Americas

EMEA

APAC

Growth % LC*1*

Q1'25

150/O

Q1'26

Q1'25

23%

Q1'26

Q1'25

n.m.

Q1'26

Q1'25

(56)%

Q1'26

O1'26 LEASING PERFORMANCE BY SEGMENT

Highlights

Leasing improved across all segments

Americas growth driven by office and industrial performance, including data centers, with broad strength across all deal sizes and geographies

EMEA growth driven by strength in Germany and the Netherlands

APAC growth primarily driven by improvements in Greater China

/n USD $m

Leasing Revenue

Americas

Leasing Revenue by Segment

EMEA

APAC

Growth % LC*'*

Q1'25

17%

Q1'26 Q1'25

19%

Q1'26

Q1'25

1 OO/O

Q1'26

Q1'25

O?'26

O1'26 CAPITAL MARKETS PERFORMANCE BY SEGMENT

Highlights

Capital markets grew in the Americas and EDIEA as healthy transaction markets, combined with improved platform strength contributed to growth

Americas performance reflects ongoing investments in talent and our platform. Growth was led by office with industrial also performing well.

APAC decrease largely due to a difficult comparison in Japan, partially offset by strength in Australia and India

/n USD $m

Capital Markets Revenue

Americas

Capital Markets Revenue by Segment

EMEA

APAC

Growth % LC*'*

Q1'25

14%

Q1'26

Q1'25

22%

Q1'26

QI'25

1 OO

Q1'26 Q1'25

(15)OO

Q1'26

O1'26 SERVICES PERFORMANCE BY SEGMENT

Highlights

Americas performance driven by new wins and mandate expansions in facilities management

EMEA growth primarily driven by improved facilities management in the UK&I and strong project management in France

APAC increase driven largely by strength in facilities management and project management in Australia and India

/n USD $m

Services Revenue

Americas

Services Revenue by Segment

EMEA

APAC

Q1'25

Q1'26 Q1'25

Q1'26

Q1'25

Q1'26 Q1'25

Q1'26

Growth % LC*'*

1 OO/O

O1'26 VALUATION & OTHER PERFORMANCE BY SEGMENT

Highlights

Valuation and other growth driven by improvements in EDIEA and APAC

EMEA growth driven by strength in the UK and the Netherlands

Australia and India drove positive performance in APAC

/n USD $m

Valuation & Other Revenue

Americas

Valuation & Other Revenue by Segment

EMEA

APAC

Q1'25

Q1'26

Q1'25

Q1'26

Q1'25

Q1'26

Q1'25

Q1'26

Growth % LC*'*

(1)00

CAPITAL STRUCTURE

Net Debt / Adj. EBITDA!1)

Debt Maturity ProfiIe^1)(2^

in USD $m

2023

2024

2025

LTD Q1'25 LTM Q1'26

t $1,OOO t

2026 2027

Senior Secured Notes

2028

2029 2030 2031

Term Loans Undrawn Revolving

('30 Nlaturity) Credit Facility W J

Liquidity of $1.6 billion, with $1.0 billion revolving credit facility (undrawn) and $0.6 billion of cash

I. All numbers shown as of March 3I, 2026

2. Debt presented net of deferred financing fees

THREE-YEAR VALUE CREATION FRAMEWORK

FY26-28 TARGETS

@-@">**o

Revenue Growth

@0-80">*o

FCF

Conversion(1)

2028 Net Debt Leverage*^

Calculated as a percentage of Adjusted Net Income

Calculated as Net Debt divided by Annual Adjusted EBITDA

SUPPLEMENTAL SLIDES AND

RECONCILIATIONS OF GAAP TO

NON-GAAP FINANCIAL MEASURES

CUSH M AN & WAK E F IE L D

APPENDIX

DEBT AND LEVERAGE

Term Loans(!*

$1,668.2

$1,667.1

$1,936.1

$1,960.2

$2,157.7

2028 Senior Secured Notes(2

646.9

646.6

645.5

645.1

643.7

2031 Senior Secured Notes*^*

395.3

395.1

394.4

394.2

393.3

Total Debt

$2,71O.4

$2,7O8.8

$2,976.O

$2,999.5

$3,194.7

Less: Cash and cash equivalents

(600.6)

(784.2}

(623.2}

(793.3J

(767.7)

Net debt

$2,109.8

$1,924.6

$2,352.8

$2,206.2

$2,427.0

TTM Adjusted EBITDA

671.3

6562

599.9

581.9

57O.1

Net leverage

3.1x

2.9x

3.9x

3.8X

4.3x

RECONCILIATION OF NET (LOSS) INCOME TO ADJUSTED EBITDA

Net {loss) income

$12.6)

$1.9

$73.7

$88.2

$162.0

$131.3

$(35.4)

Adjustments:

Depreciation and amortization

25.5

26.7

102.8

104.2

116.4

122.2

145.6

Interest expense, net of interest income

49.2

52.3

213.1

216.2

223.5

229.9

281.1

Provision for income taxes

3.0

3.1

25.9

26.0

45.3

44.5

5.4

Unrealized loss (gain) on investments, net

1.1

0.7

(25.7)

(26.1)

O.5

0.8

27.8

Impairment of investments

6.5

177.0

18Z.5

6.5

Loss on dispositions

18.4

1.8

Integration and other costs related to merger Pre-IPO stock-based compensation

Acquisition related costs

0.4

0.8

0.4

11.2

14.2

Cost savings initiatives System implementation costs

CEO transition costs

5.6

21.7

28.9

55.6

Servicing liability, fees and amortization

11.2

11.7

Pension buy-out settlement loss

Lepal and compliance matters

16.6

25.0

Loss (gain) from insurance proceeds, net of lepal fees

2.7

(16.5)

1.1

Non-operating items related to the Greystone JV

12.9

50.3

37.4

Other

4.6

17.7

21.7

22.4

18.7

Adjusted EBITDA

s111.3

596.2

5671.3

5656.2

5599.9

5581.9

5570.1

RECONCILIATION OF NET (LOSS) INCOME TO ADJUSTED NET INCOME

AND ADJUSTED EARNINGS PER SHARE

Three Months Ended Twelve Months Ended

(USD $m, except per share datas

March 31, 2026

March 31, 2025

March 31, 2026

March 31, 2025

Net {loss} income

5£12.G}

573.7

5162.0

Adjustments:

Merger and acquisition related depreciation and amortization

10.1

10.2

40.7

43.9

Financing and other facility fees

2.9

Unrealized loss (gain) on investments, net

1.1

0.7

(25.7}

0.5

Impairment of investments

6.5

177.0

6.5

Loss on dispositions

Acquisition related costs

0.4

18.4

O.4

Cost savings initiatives

21.7

System innplementation costs

5.6

Servicing liability, fees and amortization

11.2

Pension buy-out settlement loss

16.6

Loss (gain) from insurance proceeds, net of legal fees

2.7

(16.5)

Non-operating items related to the Greystone JV

12.9

5O.3

Other

4.6

17.7

21.7

Tax impact of adjusted items(!*

(9.2)

(3.8)

(70.8J

(29.2)

Adjusted net income

53a.7

520.5

5299.4

5232.3

Weighted average shares outstanding, basic

232.8

230.4

Weighted average shares outstanding, diIuted*2*

235.5

232.3

(LossJ earnings per share, diluted(2*(^*

$(0.05s

$0.01

Adjusted earnings per share, diIuted*2*

TO.15

TO.09

I. ReflectiVe of management's estimation of an annual adjusted effectiVe tax rate of 26% and 25% for the three months ended March 3I, 20:26 and:2O25, respectiVely.

Weighted average shares outstanding, diluted is calculated by taking basic weighted average shares outstanding and adding dilutiVe shares of2.7 million and 1.9 million for the three months ended March 3I, 2026 and 2025, respectiVely.

For all periods with a GAAP net loss, weighted aVerage shares outstanding, diluted is only used to calculate Adjusted earnings per share, diluted. For all periods with a GAAP net loss, all potentially dilutiVe shares would be anti-dilutiVe,' therefore, both basic and diluted loss per share are calculated using weighted average shares outstanding, basic.

FREE CASH FLOW AND FREE CASH FLOW CONVERSION

Three Months Ended Twelve Months Ended

(USD $m)

March 31, 2026

March 31, 2025

March 31, 2026

March 31, 2025

Net cash used in operating activities

$(243.5)

$(162.0)

$258.9

$171.1

Payment for property and equipment

(12.2)

(4.6)

(5s.o)

(35.1)

Free cash flow

$(255.7)

${166.6)

$203.9

$13s.o

Adjusted net income

34.7

20.5

299.4

232.3

Free cash flow conversion

n.m.

68%

59%

CUSH MAN &

WAK E F I E L D

About Cushman & Wakefield

Cushman & Wakefield (NYSE: CWK) is a leading global commercial real estate services firm for occupiers

and investors with approximately 55,OOO employees in over 35O offices and nearly 6O countries. In 2O25,

the firm reported revenue of $1O.5 billion across its core service lines of Services, Leasing, Capital markets,

and Valuation and other. Built around the belief that Better neVer settles, the firm receives numerous

industry and business accolades for its award-winning culture. For additional information, visit

https://www.cushmanwakefieId.com.

BcHci- never scHlcs

Cushman & Wakefield

Disclaimer

Cushman & Wakefield Ltd. published this content on May 07, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on May 07, 2026 at 11:32 UTC.