 Investment Management, Outsourcing Advisory demonstrate resilience, diversificationOperating highlights: Three months ended Six months ended June 30 June 30 in millions of US, except EPS2020 2019 2020 2019 Revenues550.2 745.5 1,180.8 1,380.6 Adjusted EBITDA note 1 60.0 87.3 114.4 130.9 Adjusted EPS note 2 0.70 1.10 1.25 1.61 GAAP operating earnings 14.5 57.2 33.1 70.6 GAAP EPS 0.26 0.60 0.14 0.63 TORONTO, Aug. 06, 2020 GLOBE NEWSWIRE -- Colliers International Group Inc. NASDAQ and TSX: CIGI today announced operating and financial results for the quarter ended June 30, 2020, which were significantly impacted by the global COVID-19 pandemic. All amounts are in US dollars.For the second quarter ended June 30, 2020, revenues were 550.2 million, down 26 25 in local currency relative to the same quarter in the prior year, adjusted EBITDA note 1 was 60.0 million, down 31 30 in local currency and adjusted EPS note 2 was 0.70, down 36 versus the prior year period. Second quarter adjusted EPS would have been approximately 0.02 higher excluding foreign exchange impacts. GAAP operating earnings were 14.5 million, relative to 57.2 million in the prior year quarter. GAAP EPS was a loss of 0.26 per share, relative to 0.60 per share in the prior year quarter. Second quarter GAAP EPS would have been approximately 0.02 higher excluding changes in foreign exchange rates.For the six months ended June 30, 2020, revenues were 1.18 billion, down 14 13 in local currency relative to the same period in the prior year, adjusted EBITDA note 1 was 114.4 million, down 13 11 in local currency and adjusted EPS note 2 was 1.25, down 22 versus the prior year period. Year-to-date adjusted EPS would have been approximately 0.04 higher excluding foreign exchange impacts. GAAP operating earnings were 33.1 million, relative to 70.6 million in the prior year period. GAAP EPS for the six month period was a loss of 0.14 per share, relative to 0.63 per share in the prior year period. Second quarter GAAP EPS would have been approximately 0.04 higher excluding changes in foreign exchange rates.Colliers reported better than expected results across all segments and regions during the second quarter despite the unprecedented impact of COVID-19, especially in Leasing and Capital Markets. Fortunately, the majority of our earnings now come from Investment Management and Outsourcing Advisory high value-add professional services that are recurring and contractual providing us with more resilience and service line diversification than ever, said Jay S. Hennick, Global Chairman and CEO of Colliers International. Pandemic uncertainty in Leasing and Capital Markets continue to impact our results, though we expect gradual improvement for the balance of the year. During the quarter, we completed a 230 million offering of convertible notes to fortify our balance sheet and completed the acquisitions of Dougherty, a US commercial real estate debt finance, loan servicing and securities platform now rebranded as Colliers Mortgage and Maser Consulting, a leading US engineering design and service firm focused on real estate assets and related infrastructure. With a highly diversified and balanced global business, strong balance sheet, entrepreneurial culture, and significant insider ownership, we are confident that Colliers will emerge from this crisis stronger than ever, he concluded.About Colliers International Group Inc. Colliers International NASDAQ, TSX: CIGI is a leading real estate professional services and investment management company. With operations in 68 countries, our more than 15,000 enterprising professionals work collaboratively to provide expert advice to maximize the value of property for real estate occupiers, owners and investors. For more than 25 years, our experienced leadership, owning approximately 40 of our equity, has delivered compound annual investment returns of almost 20 for shareholders. In 2019, corporate revenues were more than 3.0 billion 3.5 billion including affiliates, with 33 billion of assets under management in our investment management segment.Learn more about how we accelerate success at corporate.colliers.com, Twitter Colliers or LinkedIn.Consolidated Revenues by Line of Service With the closing of Colliers Mortgage acquisition, Colliers has renamed its Sales Brokerage service line to Capital Markets, which now includes sales brokerage, mortgage origination and mortgage investment banking revenues. In addition, the Company added mortgage loan servicing under its Outsourcing Advisory revenues. Three months ended Six months ended in thousands of US June 30ChangeChange June 30ChangeChange LC local currency 2020 2019in US in LC 2020 2019in US in LC Outsourcing Advisory 257,044 281,638-9-6 534,334 540,022-11 Investment Management 41,389 46,902-12-12 87,214 89,992-3-3 Leasing 136,768 253,374-46-45 301,278 435,158-31-30 Capital Markets 115,005 163,603-30-28 258,008 315,468-18-17 Total revenues 550,206 745,517-26-25 1,180,834 1,380,640-14-13 Consolidated revenues for the second quarter declined 25 on a local currency basis, driven primarily by expected declines in transactional Leasing and Capital Markets activity due to the COVID-19 pandemic. Consolidated internal revenues measured in local currencies were down 26 note 3.For the six months ended June 30, 2020, consolidated revenues declined 13 on a local currency basis, with the impact of the pandemic beginning in March 2020. Consolidated internal revenues measured in local currencies were down 15 note 3.Segmented Quarterly Results Revenues in the Americas region totalled 308.9 million for the second quarter compared to 421.4 million in the prior year quarter, down 27 26 in local currency on reduced Leasing and Capital Markets activity across the region. Outsourcing Advisory revenues were flat in the quarter. Adjusted EBITDA was 24.4 million, versus 36.2 million in the prior year quarter. GAAP operating earnings were 3.4 million, relative to 25.6 million in the prior year quarter.Revenues in the EMEA region totalled 99.6 million for the second quarter compared to 151.6 million in the prior year quarter, down 34 32 in local currency on lower activity in each service line, including Outsourcing Advisory which was impacted by delays in executing on-site turnkey project management assignments due to the pandemic. Adjusted EBITDA was 6.3 million, versus 19.0 million in the prior year. GAAP operating earnings were a loss of 3.3 million as compared to 10.8 million in the second quarter of 2019.Revenues in the Asia Pacific region totalled 100.1 million for the second quarter compared to 125.1 million in the prior year quarter, down 20 16 in local currency on lower Leasing and Capital Markets activity. Outsourcing Advisory revenues were up slightly in the quarter, including incremental revenues from the recent Synergy acquisition, now rebranded as Colliers Project Leaders. Adjusted EBITDA was 12.3 million, down from 14.2 million. GAAP operating earnings were 5.1 million, down from 12.5 million in the prior year quarter.Investment Management revenues for the second quarter were 41.4 million compared to 46.9 million in the prior year quarter, down 12 12 in local currency. The second quarter revenue decline was primarily attributable to a 4.3 million reduction in pass-through revenue from legacy carried interest versus the prior year quarter. Adjusted EBITDA was 17.4 million relative to 19.2 million in the prior year quarter, attributable to the timing of certain European transaction fees, which were elevated in the prior year quarter. GAAP operating earnings were 10.6 million in the quarter, versus 12.2 million in the prior year quarter. Assets under management were 35.7 billion at June 30, 2020, up 2 from 35.1 billion at March 31, 2020 and up 18 from 30.3 billion at June 30, 2019.Unallocated global corporate costs as reported in Adjusted EBITDA were 0.3 million in the second quarter, relative to 1.3 million in the prior year quarter, and were favourably impacted by lower insurance costs and lower variable expenses. The corporate GAAP operating loss for the quarter was 1.4 million, relative to 4.1 million in the second quarter of 2019.Impact of COVID-19 Pandemic The full impact of the pandemic continues to remain uncertain. The Company is updating the working assumption previously provided to reflect: i better than anticipated results for the second quarter across all service lines and regions; and ii the recently completed acquisitions of Colliers Mortgage and Maser Consulting. The updated working assumption for the full year 2020 relative to 2019, is as follows: PreviousUpdatedAdd acquisitionsUpdated with acquisitions Revenue-15 to -25-15 to -255-10 to -20 Adjusted EBITDA-25 to -35-20 to -305-15 to -25 This working assumption is based on the best available information and is subject to change based on numerous macroeconomic, health, social, political and related factors.Transactional Leasing and Capital Markets revenues are expected to remain below 2019 levels, although the scale of decline should moderate in the third and fourth quarters. Investment Management and Outsourcing Advisory are expected to remain relatively stable for the balance of the year with some variability depending on market conditions.The Company has taken significant steps to adjust costs to expected revenues across all service lines, including reductions to support, administrative and leadership and related costs. 