CBRE Group Inc
CBRE · NYSE
Next quarter
Expected to report Feb 11, 2027 — estimated from last year’s reporting date.
Consensus is $2.63 EPS for Dec 2026 across 4 estimates, ranging $2.49 to $2.78.
CBRE Sep 2026
- 4.06%
- $1.97
- $2.05
- —
- $11.41B
Reported results
- $11.41B
- 17.66%
- $561.00M
- 4.92%
- $443.00M
- $1.52
Highlights
- Core earnings: Core EPS was $2.05, up 28% year over year and 4.1% above the $1.97 consensus; GAAP diluted EPS was $1.52, up 26%.
- Revenue and profit: Revenue reached $11.52 billion, up 12.7% year over year and 3.7% from Q2; operating income was $561 million and net income attributable to CBRE was $443 million.
- Critical infrastructure: BOE revenue rose 17% and segment operating profit 21%; critical infrastructure revenue surged 80%, reflecting data-center demand and Pearce Services.
- Capital markets activity: Advisory revenue increased 11%, led by property sales up 28%; leasing rose 6%. Management expects capital markets overall to be roughly flat in Q4 and the first half of 2027 as rate uncertainty delays deals.
- Real estate monetization: REI segment operating profit was $166 million versus $73 million a year earlier, driven by data-center land sales and other asset monetization; the development pipeline was $29.6 billion.
- Outlook: CBRE held 2026 core EPS guidance at $7.80–$7.90, representing 23% growth at the midpoint, and said it sees a path to 15% core EPS growth in 2027.
- Cash and capital allocation: Trailing-12-month free cash flow was $1.8 billion and net leverage was 1.36x. CBRE repurchased nearly $1.2 billion of shares year to date but expects buybacks to decline as it prioritizes acquisitions.
Analysis
CBRE delivered a strong Q3, with core EPS of $2.05 beating the $1.97 consensus by 4.1%. Revenue of $11.52 billion grew 12.7% from a year ago and 3.7% from Q2’s $11.11 billion. GAAP diluted EPS was $1.52, versus $1.21 in Q3 2025 and $0.69 in Q2; net income attributable to CBRE rose to $443 million from $363 million a year ago and $204 million in Q2. Core EBITDA increased 28.5% year over year to $1.00 billion.
The defining feature was the continued shift toward infrastructure and recurring services as real-estate capital markets became more uncertain. Critical infrastructure revenue grew 80%, helping drive BOE revenue up 17%, while Advisory benefited from a 28% increase in property sales. REI profit more than doubled to $166 million, supported by development-asset monetizations, although management cautioned that these gains are uneven. The company maintained 2026 core EPS guidance of $7.80–$7.90 and its path to 15% growth in 2027, balancing infrastructure expansion against slower capital-markets businesses. Trailing-12-month free cash flow was $1.8 billion; CBRE is prioritizing infrastructure acquisitions and expects share repurchases to moderate.
Earnings and revenue
Q3 revenue was $11.52 billion, compared with $10.22 billion in Q3 2025 and $11.11 billion in Q2 2026. Operating income was $561 million, up from $481 million a year ago and $365 million in Q2; net income attributable to CBRE was $443 million, versus $363 million and $204 million, respectively. GAAP diluted EPS of $1.52 increased 26% year over year. Core EPS of $2.05, the company’s adjusted measure, rose 28% and exceeded the $1.97 consensus supplied for the quarter by 4.1%. Core EBITDA grew 28.5% to $1.00 billion.
Infrastructure services
- Critical infrastructure: BOE’s critical infrastructure revenue increased 80%, supported by hyperscaler demand for data-center services and Pearce Services, acquired in November 2025. CBRE said Onnec, agreed to in October, would add data-center infrastructure capabilities in Europe and Asia Pacific; the deal has an initial price of about $610 million and a potential earnout of up to about $400 million.
- Broader infrastructure exposure: Management expects critical infrastructure services revenue to reach nearly $4.5 billion in 2027 and total infrastructure services revenue across the company to approach $7 billion, more than 40% above 2026. The latter includes work in Project Management and Advisory; data-center land sales are additional.
- Facilities and BOE: BOE revenue rose 17% to $6.86 billion and segment operating profit grew 21% to $349 million. Facilities management revenue increased 13% and property management rose 8%. Management flagged two large enterprise facilities accounts requiring restructuring, which it expects to weigh on Q4 earnings in that business.
Advisory and projects
- Advisory Services: Revenue increased 11% to $2.44 billion and segment operating profit rose 16% to $467 million. Property sales grew 28%, led by U.S. activity up 37%; leasing revenue rose 6%, with EMEA up 21%, U.S. up 4% and APAC up 2%. U.S. industrial leasing grew 16%, while office leasing declined 2%. CBRE expects global leasing growth at a low-double-digit rate in Q4, partly as large U.S. deals move into the quarter.
- Capital-markets caution: Management said rising rates and uncertainty led to retraded or delayed transactions, with capital markets slowing particularly in September. It expects capital markets overall to be roughly flat in Q4 and the first half of 2027, with rate stability potentially helping later in 2027.
- Project Management: Revenue grew 3% to $2.04 billion, while segment operating profit rose 9% to $162 million. Infrastructure demand and program-management work offset slower corporate real-estate spending; a client default-related one-time APAC cost reduced profit growth by six percentage points. Excluding pass-through costs, management said net revenue grew 11%.
Development monetization
- REI profit: Segment operating profit more than doubled to $166 million from $73 million, as data-center land sales and other asset monetizations lifted development results. REI revenue was down 4% to $203 million, reflecting lower development-services revenue.
- Pipeline and embedded gains: The development portfolio and pipeline stood at $29.6 billion, unchanged from Q2, or $20.2 billion excluding fee development. Management estimated about $800 million of embedded gains in the development portfolio after adjusting for higher interest rates, with data-center land sales additional but not predictable quarter to quarter.
- Investment Management: AUM ended the quarter at $155.5 billion. The business raised about $2 billion of new capital, up from $1.6 billion in Q2; higher recurring management fees were offset by lower co-investment returns, and operating profit declined to $38 million from $43 million.
Guidance and capital
- Earnings outlook: CBRE maintained 2026 core EPS guidance of $7.80–$7.90, which it said represents 23% growth at the midpoint. Management sees a path to 15% core EPS growth in 2027, while noting that slower real-estate capital markets temper Advisory growth and that REI development monetizations can vary widely.
- Cash generation and leverage: Trailing-12-month cash flow from operations was $1.40 billion and free cash flow was $1.83 billion. Net leverage was 1.36x at quarter end; management expects slightly above 1.0x at year end and said full-year free-cash-flow conversion remains on track for its 75%–85% target range.
- Capital allocation: CBRE repurchased nearly $1.2 billion of shares year to date, including $217 million in Q3. Management said repurchases slowed in anticipation of Onnec and should decline meaningfully into Q4 as it prioritizes acquisitions. Total liquidity was $5.0 billion.
