Earnings Recap — Q2 FY2026
CY Q3 2026 · Reported July 30, 2026 · Beat 2 of last 7 quarters
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Colliers' strong quarter reflects the broader recovery in commercial real estate and the growing importance of engineering and investment management in the AI infrastructure buildout. The company's ability to serve data center clients across the entire value chain—from site acquisition and engineering to capital deployment and leasing—positions it as a key beneficiary of AI-driven infrastructure demand. Harrison Street's $6B+ invested in digital and data centers underscores the capital flows supporting the buildout.
Colliers delivered strong Q2 results with double-digit revenue growth across all three platforms. Capital markets and leasing each grew over 20%, driven by improving transaction activity and market share gains. Engineering grew 27% on the Ayesa acquisition and solid internal growth, with backlog at 12 months. Investment management AUM reached $110B, with $2.2B raised in the quarter and $3B year-to-date. Adjusted EBITDA grew 14% to $205M, while adjusted EPS grew 6% to $1.83, tempered by higher interest expense. The company completed the Ayesa acquisition and ended the quarter with leverage of 2.8x.
Management reaffirmed full-year 2026 outlook, citing strong pipelines across all segments. They expect leasing revenue to grow mid-single digits and capital markets to remain strong (~15% YoY) in Q3. Engineering internal growth is expected to continue at 5% for the remainder of the year, with Ayesa contributing higher margins and reduced seasonality. Investment management margins will remain pressured through H2 due to integration costs, stabilizing in the low 40% range for 2027. Fundraising target for 2026 remains $6B–$9B, with acceleration expected in H2. Leverage is expected to decline to ~2.3x by year-end, and management may deploy capital on share buybacks given the current undervaluation, while continuing to prioritize accretive M&A.
“The engineering platform is not good. It is awesome.”
on Engineering differentiation
“We are creating more investment opportunities for our clients, and greater long-term value for our shareholders.”
on Investment management strategy
“We are very, very, very pleased with the results. All of the partners and, again, I emphasize as you know, our philosophy has always been around perpetual partnerships.”
on Harrison Street integration
What led to the strength in industrial leasing and capital markets, and how do you see momentum in Q3?
Industrial strength was driven by easier comparisons post-Liberation Day last year and continued market share gains. Momentum remains strong, but tougher comps ahead in Q3. Leasing expected up mid-single digits, capital markets up ~15% YoY.
How is engineering internal growth trending, and are cross-selling opportunities with CRE being realized?
Internal growth is 5% year-to-date and expected to continue. Jay emphasized the power of the integrated platform, noting Ayesa is already pitching business with CRE and IM, and expects the full life-cycle approach to become a differentiator over the next couple of years.
How are you prioritizing share buybacks versus M&A, and at what leverage level would you accelerate buybacks?
Management noted they will consider buybacks as leverage declines, but will always default to great acquisitions. They expect leverage to fall to ~2.3x by year-end and may deploy ~$100M on buybacks without materially impacting leverage.