Cushman & Wakefield plc Q1 FY2026 earnings call

• Delivered strong first quarter results with 9% revenue growth, mid-teens adjusted EBITDA growth, and 67% adjusted EPS growth. - Focus on breadth of growth in high-growth asset classes like logistics, life sciences, and AI-related industries. - AI series launch with part two examining how AI reshapes economic growth, employment, and space demand. - Consistency of execution through diversified growth, scalable margins, and disciplined capital allocation.

First quarter revenue was $2.5 million, up 9%. Leasing grew 17% in the quarter, with America's leasing up 19%. Capital markets reported 14% global growth. Services business expanded 7% globally. Leasing had solid performance in industrial including data centers, EMEA and APAC leasing increased. Capital markets had strong performance in office and industrial. Services had strength in project management in EMEA and APAC, and global occupier services in Americas had big wins.

• Remains confident in full year guidance of 15 to 20% adjusted EPS growth. - 2026 outlook unchanged, anticipating revenue growth of 6% to 8% and adjusted EPS growth of 15% to 20%. - Previous three-year fee revenue growth target transitioned to gap revenue growth target of 6 to 8% growth, expect roughly 150 basis points of margin expansion over three-year period, targets of annual adjusted EPS growth of 15% to 20%, free cash flow conversion of 60% to 80%, and net debt leverage of two times by 2028 unchanged.

Q: On leasing results and recruitment initiatives, A: Michelle talked about strong leasing performance, significant number of leasing recruits, strong industrial and office leasing dynamics.

Q: On services growth in EMEA sustainability, A: Julian was told services is doing well, improvement in margins in EMEA due to structural work.

Q: On cross-sell initiative tracking, A: Mentioned bringing together GOC, aligned on compensation structure with cross-sell KPIs.

Q: On guidance with strong first quarter, A: Michelle said pleased with first quarter, strong momentum in April, confident in achieving targets.

Q: On April-June visibility and data center business geographic differences, A: Tony was told strong in April across all lines, data center business global with projects in APAC, Americas, EMEA.

Q: On office leasing catching up and sustainability, A: Brendan was told sublease space trending lower, U.S. construction pipeline low, businesses getting more confident.

Q: On services pipeline, A: Steven was told services up 7%, strong in APAC, EMEA project management, Americas facility services had some transitions but pipeline good.

Q: On APAC profitability, A: Mentioned tough comps in capital markets Japan and one-time provision in China joint venture.

Q: On margin expansion source, A: Ron was told margin improvement from transactional business growth and services restructuring.

Q: On AI tailwind and company positioning, A: Michelle talked about AI as efficiency enabler and growth tool, strategic relationship with AI company, expecting AI to drive space demand.

Q: On hiring economics, A: Mitch was told no material shift in hiring contract structures.