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2007
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CB Richard Ellis Group, Inc. announces earnings per share up 60% for third quarter of 2006

Real Estate advisory enjoys 16th straight quarter of double-digit year-over-year organic revenue growth

Dubai, November 6th, 2006: CB Richard Ellis Limited Middle East, the global leading property advisory, announced a solid 60% per share increase for the third quarter ended September 30, 2006 in shares of their parent company CB Richard Ellis Group, INC.

Nicholas Maclean, Managing Director of CBRE, commented delightedly, “CBRE’s continuous success is a testament to the quality of services we are providing clients, locally and internationally. This success can be attributed to careful attention to our clients needs, superior and constituency of services across the globe and a results driven orientation,” he said.
CB Richard Ellis was voted as the global number one real estate firm at Euromoney Global Real Estate Awards in September 2006, a weekly publication that is read by scores of financial executives from all over the world.

Los Angeles, CA – October 25, 2006 — CB Richard Ellis Group, Inc. (NYSE:CBG) today reported revenue for the third quarter ended September 30, 2006 of $903.9 million, up 21.5% over the third quarter of 2005, and diluted earnings per share of $0.39 for the third quarter ended September 30, 2006, compared with $0.25 for the same quarter last year. Excluding one-time charges1, third quarter 2006 diluted earnings per share was $0.40, an increase of 60.0% from the $0.25 earned in the third quarter of 2005.


Third Quarter Highlights
For the third quarter of 2006, the Company generated revenue of $903.9 million, up 21.5% over the $744.2 million posted in the third quarter of 2005. The Company reported net income of $92.3 million, or $0.39 per diluted share, in the third quarter of 2006 compared with net income of $56.9 million, or $0.25 per diluted share, in the third quarter of 2005.
Excluding one-time items, the Company would have earned net income2 of $94.5 million, or $0.40 per diluted share, in the third quarter of 2006, an increase of 64.4% and 60.0%, respectively, compared with net income of $57.5 million, or $0.25 per diluted share, in the third quarter of 2005.
Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) 3 totaled $163.5 million for the third quarter of 2006, an increase of $52.3 million, or 47.0%, from the same quarter last year.
The Company’s third quarter results continue to reflect strong performance across virtually all business lines and geographies, as well as contributions from acquisitions. Of the 21.5% revenue growth, approximately two-thirds was due to organic growth and one-third was attributable to acquisitions completed in 2005 and 2006. The double-digit organic
CB Richard Ellis Press Release October 25, 2006 Page 2
growth was fueled by notably improved leasing activity in most major markets as well as increased revenue in the appraisal/valuation, mortgage brokerage, property and facilities management and investment management operations. This marks the 16th straight quarter of double-digit year-over-year organic revenue growth.
Nine-Month Results
Revenue was $2.4 billion for the nine months ended September 30, 2006, up $465.6 million, or 23.8%, compared to the same period last year. Approximately two-thirds of the improvement was due to organic growth, while acquisitions completed in 2005 and 2006 drove the remainder of the revenue increase. The Company reported net income of $193.5 million, or $0.83 per diluted share, for the nine months ended September 30, 2006 compared to net income of $121.9 million, or $0.53 per diluted share, in the same period last year.
Excluding one-time items, the Company would have earned net income of $213.8 million, or $0.91 per diluted share, for the nine months ended September 30, 2006, up 64.4% and 59.6%, respectively, over net income of $130.0 million, or $0.57 per diluted share, for the nine months ended September 30, 2005.
EBITDA was $393.1 million for the nine months ended September 30, 2006, up $125.2 million or 46.7% compared to the same period last year.

Management’s Commentary
“Our business continues to perform very well in all our major geographies around the world,” said Brett White, CB Richard Ellis’ president and chief executive officer. “Our premier brand, global platform and client-service focus have enhanced our capture of market share and have positioned us to benefit significantly from the generally strong commercial real estate markets around the world. We are assisting many companies in the expansion of their operations due to continuing economic growth, and rental rates are rising as vacancy rates decline. As discussed previously, the buoyancy of the leasing market more than offset the expected pullback in investment sales activity. Overall, our business remains very strong as we approach year-end, traditionally our busiest time of the year.”
EMEA Region
Revenue for the EMEA region, mainly consisting of operations in Europe, increased 29.3% to $193.3 million for the third quarter of 2006, compared with $149.6 million for the third quarter of 2005. Organic revenue growth accounted for nearly half of this increase, with the remainder coming from acquisitions completed in 2005 and 2006. Operating income for the EMEA segment totaled $35.1 million for the third quarter of 2006, compared with $26.7 million for the same period last year. Excluding the impact of one-time items, operating income for the EMEA region would have been $35.5 million for the third quarter of 2006, an increase of $8.7 million, or 32.2%, from the third quarter of last year. EBITDA for the EMEA region totaled $38.7 million for the third quarter of 2006, an increase of $9.8 million, or 34.0%, from last year’s third quarter. These improvements were primarily driven by significantly higher sales and leasing activities as well as higher appraisal/valuation revenues.
Notes to editor:

About CB Richard Ellis
CB Richard Ellis Group, Inc. (NYSE:CBG), a FORTUNE 1000 company headquartered in Los Angeles, is the world's largest commercial real estate services firm (in terms of 2005 revenue). The Company serves real estate owners, investors and occupiers through more than 350 offices (including affiliate and partner offices) worldwide. CB Richard Ellis offers strategic advice and execution for property sales and leasing; corporate services; mortgage banking; investment management; appraisal and valuation; and research and consulting. Please visit our Web site at www.cbre.com.

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