Jones Lang LaSalle Incorporated

JLL reported Q2 2026 revenue growth of 11% as reported in U.S. dollars and 10% in local currency, almost entirely organic. Adjusted EBITDA increased 33% and adjusted EPS increased 61%. Free cash flow totaled $438 million, up 52% from a year ago, and reported net leverage improved to 0.7x with $3.4 billion of corporate liquidity. By segment, real estate management services grew 8%, advisory revenue grew 21%, and capital markets saw debt advisory revenue up 44%, investment sales up 20%, and equity advisory up 53%. For the full year, management affirmed mid- to high single-digit revenue growth for Real Estate Management Services, targeted mid- to high teens revenue growth for Leasing & Advisory, mid-teens revenue growth for Capital Market Services, and low single-digit advisory fee growth for Investment Management. Management meaningfully raised full-year 2026 adjusted EPS guidance to $24.60-$25.90, and said the midpoint implies 34% growth.

Christian Ulbrich framed the quarter as proof that Accelerate 2030 is taking hold, emphasizing that JLL’s mix of resilient recurring businesses and faster-growing advisory businesses is creating operating leverage. He repeatedly pointed to data, AI, automation, and the One JLL approach as strategic differentiators, saying the company is gaining share because clients want an integrated partner across the real estate lifecycle. His tone was confident and upbeat, but he also stressed disciplined capital allocation and a willingness to pursue M&A only when it clears a high bar.

Kelly Howe highlighted 11% reported revenue growth, 10% local-currency growth, and strong margin expansion driven by mix, higher EBITDA, and platform leverage. She said free cash flow of $438 million was up 52% year over year, free cash flow conversion is trending comfortably above the long-term average of over 80%, net leverage improved to 0.7x, and JLL had $3.4 billion of corporate liquidity. She also noted $110 million of share repurchases in the quarter, $410 million in first-half repurchases, and said the company is “meaningfully increasing” its full-year adjusted EPS target range to $24.60-$25.90.

Analysts focused on margin durability, capital raising and whether a slow CRE fundraising environment could later pressure transaction activity, interest-rate sensitivity, Europe and Asia weakness tied to geopolitical conflict, and whether JLL’s outperformance reflected durable share gains versus deal timing. Management said margin gains are being supported by operating leverage from platform investments, and that commission tier headwinds should moderate in the second half and reset in January. On capital markets, management said rates need to stay stable more than at any particular level, saw no meaningful transaction impact from the rate outlook, and said Europe is seeing elongation rather than deals falling out of pipeline; they also said clients continue to want integrated outsourcing, with no sign of service unbundling.