Marcus & Millichap, Inc. Reports Results for Second Quarter 2023
Second Quarter 2023 Highlights Compared to Second Quarter 2022
-
Total revenue of
$162.9 million 58.9% , a difficult comparable to a record second quarter 2022 where revenue was up39.0% compared to second quarter 2021-
Brokerage commissions of
$140.3 million 60.4% compared to second quarter 2022, which was up40.2% compared to second quarter 2021 -
Private Client Market brokerage revenue of
$96.2 million 54.1% compared to second quarter 2022, which was up32.7% compared to second quarter 2021 -
Middle Market and Larger Transaction Market brokerage revenue of
$39.4 million 71.5% compared to second quarter 2022, which was up58.5% compared to second quarter 2021 -
Financing fees of
$17.9 million 51.4% compared to second quarter 2022, which was up30.5% compared to second quarter 2021
-
Brokerage commissions of
-
Net loss of
$8.7 million $0.23 $42.2 million $1.04 - Earnings were impacted by expenses related to growth initiatives, including talent acquisition and retention
-
Adjusted EBITDA of
$(1.1) million $62.9 million
Six Months 2023 Highlights Compared to Six Months 2022
-
Total revenue of
$317.7 million 55.6% , a difficult comparable to a record first half 2022 where revenue was up52.6% compared to first half 2021-
Brokerage commissions of
$275.4 million 57.1% compared to first half 2022, which was up54.3% compared to first half 2021 -
Private Client Market brokerage revenue of
$186.7 million 49.7% compared to first half 2022, which was up40.7% compared to first half 2021 -
Middle Market and Larger Transaction Market brokerage revenue of
$78.9 million 69.4% compared to first half 2022, which was up86.6% compared to first half 2021 -
Financing fees of
$33.8 million 46.6% compared to first half 2022, which was up37.4% compared to first half 2021
-
Brokerage commissions of
-
Net loss of
$14.6 million $0.37 $75.0 million $1.85 - Earnings were impacted by expenses related to growth initiatives, including talent acquisition and retention
-
Adjusted EBITDA of
$(8.5) million $114.8 million
“The widened bid/ask spread and restrictive lending environment severely hindered trading and financing volumes during the second quarter,” said Hessam Nadji, president and chief executive officer. “Our results reflected this challenging market as well as the comparative effect of our outsized growth in the second quarter of 2022, which marked the second highest revenue quarter in our history. Our strategy, shaped by our playbook of perseverance through multiple cycles in our 52-year history, is unwavering. This includes doubling-down on client outreach, retaining and supporting our sales force, investing in proprietary technology, expanding our sales force and pursuing strategic acquisitions,” he added. “We are confident that the combination of these initiatives, all of which moved forward as planned during the quarter, will position MMI to accelerate growth in the recovery and beyond.”
Mr. Nadji continued, “We are seeing record amounts of capital on the sidelines as evidenced by multiple offers in transactions that are priced appropriately for today’s market. We are encouraged by progress on bringing down inflation and the Fed’s tightening cycle nearing its end, which should lead to gradual improvements in market conditions. Although it is difficult to forecast the timing for a full-scale recovery in trading volumes, we remain focused on further growing the brand and enhancing the MMI platform. Moreover, we continue to return capital to shareholders in the form of dividends and share repurchases. With this balanced approach we are able to take full advantage of the market dislocation to further enhance our competitive position and be well positioned to deliver long-term value for our shareholders.”
Second Quarter 2023 Results Compared to Second Quarter 2022
Total revenue for the second quarter 2023 was
For real estate brokerage commissions, the average transaction size and the average commission per transaction decreased by
Financing activity experienced an increase in the average fee per transaction by
Total operating expenses for the second quarter 2023 were
Selling, general and administrative expenses for the second quarter 2023 were
Net loss for the second quarter 2023 was
Six Months 2023 Results Compared to Six Months 2022
Total revenues for the six months ended June 30, 2023 were
Capital Allocation
On August 1, 2023, the Board of Directors declared a semi-annual regular dividend of
During the six months ended June 30, 2023, the Company repurchased 1,098,561 shares of common stock at an average price of
After accounting for shares repurchased through August 1, 2023, Marcus & Millichap has approximately
Business Outlook
The economy and commercial real estate transaction market are expected to remain choppy through the third quarter of 2023 as higher interest rates and lender caution lengthen the price discovery process and the buyer/seller expectation gap remains wide. However, the Company believes it remains well positioned to achieve long-term growth.
The Company benefits from its experienced management team, infrastructure investments, industry-leading market research and proprietary technology. The size and fragmentation of the Private Client Market segment continues to offer long-term growth opportunities through consolidation. This highly fragmented market segment consistently accounts for over
Key factors that may influence the Company’s business during the remainder of 2023 include:
-
Volatility in market sales and investor sentiment driven by:
- The elevated cost and availability of debt capital
- Higher interest rate fluctuations and the heightened bid-ask spread between buyers and sellers
- Risks of potential recession and the resulting reduction of CRE space demand that results from uncertainty
- Possible impact to investor sentiment related to potential tax and other policy changes which may contribute to transaction acceleration and/or future fluctuations in sales and financing activity
- Rising operating costs driven by wages, insurance, taxes and construction materials
- Volatility in each of the Company’s market segments
- Increase in costs related to in-person events, client meetings, and conferences
- Global geopolitical uncertainty, which may cause investors to refrain from transacting
- The potential for acquisition activity and subsequent integration
Webcast and Call Information
Marcus & Millichap will host a live webcast today to discuss the financial results at 7:30 a.m. Pacific Time/10:30 a.m. Eastern Time. The webcast will be accessible through the Investor Relations section of Marcus & Millichap's website at ir.marcusmillichap.com and will be archived upon completion of the call. The Company encourages the use of the webcast due to potential extended wait times to access the conference call via dial-in.
For those unable to access the webcast, callers from
Replay Information
For those unable to participate during the live broadcast, a telephonic replay of the call will also be available from 1:30 p.m. Eastern Time on Friday, August 4, 2023 through 11:59 p.m. Eastern Time on Friday, August 18, 2023 by dialing 1-844-512-2921 in
About Marcus & Millichap, Inc.
Marcus & Millichap, Inc. is a leading national brokerage firm specializing in commercial real estate investment sales, financing, research and advisory services. As of June 30, 2023, the Company had 1,865 investment sales and financing professionals in 80 offices who provide investment brokerage and financing services to sellers and buyers of commercial real estate. The Company also offers market research, consulting and advisory services to our clients. Marcus & Millichap closed 3,753 transactions during the six months ended June 30, 2023, with a sales volume of
SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS
This release includes forward-looking statements, including the Company’s business outlook for 2023, the anticipation of further interest rate increases and inflation, the execution of our capital return program, and expectations for market share growth. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends affecting the financial condition of our business. Forward-looking statements should not be read as a guarantee of future performance or results and will not necessarily be accurate indications of the times at, or by, which such performance or results may be achieved. Forward-looking statements are based on information available at the time those statements are made and/or management’s good faith belief as of that time with respect to future events and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in or suggested by the forward-looking statements. Important factors that could cause such differences include, but are not limited to:
- general uncertainty in the capital markets, a worsening of economic conditions, and the rate and pace of economic recovery following an economic downturn;
- changes in our business operations;
- market trends in the commercial real estate market or the general economy, including the impact of rising inflation and higher interest rates;
- our ability to attract and retain qualified senior executives, managers and investment sales and financing professionals;
- the effects of increased competition on our business;
- our ability to successfully enter new markets or increase our market share;
- our ability to successfully expand our services and businesses and to manage any such expansions;
- our ability to retain existing clients and develop new clients;
- our ability to keep pace with changes in technology;
- any business interruption or technology failure, including cyber and ransomware attacks, and any related impact on our reputation;
- changes in interest rates, availability of capital, tax laws, employment laws or other government regulation affecting our business;
- our ability to successfully identify, negotiate, execute and integrate accretive acquisitions; and
- other risk factors included under “Risk Factors” in our most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q.
In addition, in this release, the words “believe,” “may,” “will,” “estimate,” “continue,” “anticipate,” “intend,” "goal," “expect,” “predict,” “potential,” “should” and similar expressions, as they relate to our Company, our business and our management, are intended to identify forward-looking statements. In light of these risks and uncertainties, the forward-looking events and circumstances discussed in this release may not occur and actual results could differ materially from those anticipated or implied in the forward-looking statements.
Forward-looking statements speak only as of the date of this release. You should not put undue reliance on any forward-looking statements. We assume no obligation to update forward-looking statements to reflect actual results, changes in assumptions or changes in other factors affecting forward-looking information, except to the extent required by applicable laws. If we update one or more forward-looking statements, no inference should be drawn that we will make additional updates with respect to those or other forward-looking statements. We have not filed our Form 10-Q for the quarter ended June 30, 2023. As a result, all financial results described in this earnings release should be considered preliminary, and are subject to change to reflect any necessary adjustments or changes in accounting estimates, that are identified prior to the time we file our Form 10-Q.
MARCUS & MILLICHAP, INC. |
||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS |
||||||||||||||||
(in thousands, except per share amounts) |
||||||||||||||||
(Unaudited) |
||||||||||||||||
|
Three Months Ended
|
|
Six Months Ended
|
|||||||||||||
|
2023 |
|
2022 |
|
2023 |
|
2022 |
|||||||||
Revenue: |
|
|
|
|
|
|
|
|||||||||
Real estate brokerage commissions |
$ |
140,330 |
|
|
$ |
354,685 |
|
|
$ |
275,376 |
|
|
$ |
641,594 |
|
|
Financing fees |
|
17,896 |
|
|
|
36,811 |
|
|
|
33,764 |
|
|
|
63,264 |
|
|
Other revenue |
|
4,640 |
|
|
|
4,461 |
|
|
|
8,518 |
|
|
|
10,563 |
|
|
Total revenue |
|
162,866 |
|
|
|
395,957 |
|
|
|
317,658 |
|
|
|
715,421 |
|
|
Operating expenses: |
|
|
|
|
|
|
|
|||||||||
Cost of services |
|
101,163 |
|
|
|
256,042 |
|
|
|
196,590 |
|
|
|
452,810 |
|
|
Selling, general and administrative |
|
68,910 |
|
|
|
79,841 |
|
|
|
141,129 |
|
|
|
154,376 |
|
|
Depreciation and amortization |
|
3,468 |
|
|
|
3,332 |
|
|
|
6,675 |
|
|
|
7,243 |
|
|
Total operating expenses |
|
173,541 |
|
|
|
339,215 |
|
|
|
344,394 |
|
|
|
614,429 |
|
|
Operating (loss) income |
|
(10,675 |
) |
|
|
56,742 |
|
|
|
(26,736 |
) |
|
|
100,992 |
|
|
Other income (expense), net |
|
4,890 |
|
|
|
(461 |
) |
|
|
9,700 |
|
|
|
(11 |
) |
|
Interest expense |
|
(216 |
) |
|
|
(158 |
) |
|
|
(431 |
) |
|
|
(318 |
) |
|
(Loss) income before provision (benefit) for income taxes |
|
(6,001 |
) |
|
|
56,123 |
|
|
|
(17,467 |
) |
|
|
100,663 |
|
|
Provision (benefit) for income taxes |
|
2,728 |
|
|
|
13,955 |
|
|
|
(2,905 |
) |
|
|
25,712 |
|
|
Net (loss) income |
$ |
(8,729 |
) |
|
$ |
42,168 |
|
|
$ |
(14,562 |
) |
|
$ |
74,951 |
|
|
|
|
|
|
|
|
|
|
|||||||||
(Loss) earnings per share: |
|
|
|
|
|
|
|
|||||||||
Basic |
$ |
(0.23 |
) |
|
$ |
1.05 |
|
|
$ |
(0.37 |
) |
|
$ |
1.87 |
|
|
Diluted |
$ |
(0.23 |
) |
|
$ |
1.04 |
|
|
$ |
(0.37 |
) |
|
$ |
1.85 |
|
|
Weighted average common shares outstanding: |
|
|
|
|
|
|
|
|||||||||
Basic |
|
38,538 |
|
|
|
40,048 |
|
|
|
38,867 |
|
|
|
40,018 |
|
|
Diluted |
|
38,538 |
|
|
|
40,342 |
|
|
|
38,867 |
|
|
|
40,390 |
|
|
MARCUS & MILLICHAP, INC.
KEY OPERATING METRICS SUMMARY
(Unaudited)
Total sales volume was approximately
|
Three Months Ended
|
|
Six Months Ended
|
|||||||||||||
Real Estate Brokerage |
2023 |
|
2022 |
|
2023 |
|
2022 |
|||||||||
Average Number of Investment Sales Professionals |
|
1,757 |
|
|
|
1,822 |
|
|
|
1,769 |
|
|
|
1,839 |
|
|
Average Number of Transactions per Investment Sales Professional |
|
0.81 |
|
|
|
1.47 |
|
|
|
1.53 |
|
|
|
2.62 |
|
|
Average Commission per Transaction |
$ |
98,686 |
|
|
$ |
132,099 |
|
|
$ |
101,954 |
|
|
$ |
133,056 |
|
|
Average Commission Rate |
|
1.86 |
% |
|
|
1.79 |
% |
|
|
1.88 |
% |
|
|
1.73 |
% |
|
Average Transaction Size (in thousands) |
$ |
5,303 |
|
|
$ |
7,399 |
|
|
$ |
5,433 |
|
|
$ |
7,688 |
|
|
Total Number of Transactions |
|
1,422 |
|
|
|
2,685 |
|
|
|
2,701 |
|
|
|
4,822 |
|
|
Total Sales Volume (in millions) |
$ |
7,542 |
|
|
$ |
19,868 |
|
|
$ |
14,674 |
|
|
$ |
37,073 |
|
|
|
Three Months Ended
|
|
Six Months Ended
|
|||||||||||||
Financing (1) |
2023 |
|
2022 |
|
2023 |
|
2022 |
|||||||||
Average Number of Financing Professionals |
|
95 |
|
|
|
87 |
|
|
|
94 |
|
|
|
86 |
|
|
Average Number of Transactions per Financing Professional |
|
2.99 |
|
|
|
8.01 |
|
|
|
5.99 |
|
|
|
14.15 |
|
|
Average Fee per Transaction |
$ |
52,166 |
|
|
$ |
44,985 |
|
|
$ |
49,382 |
|
|
$ |
44,198 |
|
|
Average Fee Rate |
|
0.90 |
% |
|
|
0.70 |
% |
|
|
0.82 |
% |
|
|
0.75 |
% |
|
Average Transaction Size (in thousands) |
$ |
5,786 |
|
|
$ |
6,453 |
|
|
$ |
5,986 |
|
|
$ |
5,882 |
|
|
Total Number of Transactions |
|
284 |
|
|
|
697 |
|
|
|
563 |
|
|
|
1,217 |
|
|
Total Financing Volume (in millions) |
$ |
1,643 |
|
|
$ |
4,498 |
|
|
$ |
3,370 |
|
|
$ |
7,158 |
|
|
(1) |
Operating metrics exclude certain financing fees not directly associated to transactions. |
The following table sets forth the number of transactions, sales volume and revenue by commercial real estate market segment for real estate brokerage:
|
Three Months Ended June 30, |
|
|
||||||||||||||||||||||||
|
2023 |
|
2022 |
|
Change |
||||||||||||||||||||||
Real Estate Brokerage |
Number |
|
Volume |
|
Revenue |
|
Number |
|
Volume |
|
Revenue |
|
Number |
|
Volume |
|
Revenue |
||||||||||
|
|
|
(in millions) |
|
(in thousands) |
|
|
|
(in millions) |
|
(in thousands) |
|
|
|
(in millions) |
|
(in thousands) |
||||||||||
< |
209 |
|
$ |
120 |
|
$ |
4,665 |
|
279 |
|
$ |
168 |
|
$ |
6,672 |
|
(70 |
) |
|
$ |
(48 |
) |
|
$ |
(2,007 |
) |
|
Private Client Market
|
1,070 |
|
|
3,571 |
|
|
96,238 |
|
2,021 |
|
|
7,348 |
|
|
209,868 |
|
(951 |
) |
|
$ |
(3,777 |
) |
|
$ |
(113,630 |
) |
|
Middle Market
|
77 |
|
|
1,021 |
|
|
17,425 |
|
209 |
|
|
2,819 |
|
|
56,456 |
|
(132 |
) |
|
$ |
(1,798 |
) |
|
$ |
(39,031 |
) |
|
Larger Transaction Market
|
66 |
|
|
2,830 |
|
|
22,002 |
|
176 |
|
|
9,533 |
|
|
81,689 |
|
(110 |
) |
|
$ |
(6,703 |
) |
|
$ |
(59,687 |
) |
|
|
1,422 |
|
$ |
7,542 |
|
$ |
140,330 |
|
2,685 |
|
$ |
19,868 |
|
$ |
354,685 |
|
(1,263 |
) |
|
$ |
(12,326 |
) |
|
$ |
(214,355 |
) |
|
|
Six Months Ended June 30, |
|
|
||||||||||||||||||||||||
|
2023 |
|
2022 |
|
Change |
||||||||||||||||||||||
Real Estate Brokerage |
Number |
|
Volume |
|
Revenue |
|
Number |
|
Volume |
|
Revenue |
|
Number |
|
Volume |
|
Revenue |
||||||||||
|
|
|
(in millions) |
|
(in thousands) |
|
|
|
(in millions) |
|
(in thousands) |
|
|
|
(in millions) |
|
(in thousands) |
||||||||||
< |
392 |
|
$ |
236 |
|
$ |
9,703 |
|
485 |
|
$ |
296 |
|
$ |
12,459 |
|
(93 |
) |
|
$ |
(60 |
) |
|
$ |
(2,756 |
) |
|
Private Client Market
|
2,040 |
|
|
6,825 |
|
|
186,741 |
|
3,627 |
|
|
13,044 |
|
|
370,899 |
|
(1,587 |
) |
|
$ |
(6,219 |
) |
|
$ |
(184,158 |
) |
|
Middle Market
|
143 |
|
|
1,921 |
|
|
34,793 |
|
393 |
|
|
5,322 |
|
|
103,216 |
|
(250 |
) |
|
$ |
(3,401 |
) |
|
$ |
(68,423 |
) |
|
Larger Transaction Market
|
126 |
|
|
5,692 |
|
|
44,139 |
|
317 |
|
|
18,411 |
|
|
155,020 |
|
(191 |
) |
|
$ |
(12,719 |
) |
|
$ |
(110,881 |
) |
|
|
2,701 |
|
$ |
14,674 |
|
$ |
275,376 |
|
4,822 |
|
$ |
37,073 |
|
$ |
641,594 |
|
(2,121 |
) |
|
$ |
(22,399 |
) |
|
$ |
(366,218 |
) |
|
MARCUS & MILLICHAP, INC. |
||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS |
||||||||
(in thousands, except for shares and par value) |
||||||||
|
June 30, 2023
|
|
December 31,
|
|||||
Assets |
|
|
|
|||||
Current assets: |
|
|
|
|||||
Cash, cash equivalents, and restricted cash |
$ |
171,220 |
|
|
$ |
235,873 |
|
|
Commissions receivable |
|
9,954 |
|
|
|
8,453 |
|
|
Prepaid expenses |
|
8,872 |
|
|
|
9,411 |
|
|
Income tax receivable |
|
17,491 |
|
|
|
8,682 |
|
|
Marketable debt securities, available-for-sale (amortized cost of |
|
164,856 |
|
|
|
253,434 |
|
|
Advances and loans, net |
|
3,497 |
|
|
|
4,005 |
|
|
Other assets, current |
|
5,850 |
|
|
|
7,282 |
|
|
Total current assets |
|
381,740 |
|
|
|
527,140 |
|
|
Property and equipment, net |
|
28,462 |
|
|
|
27,644 |
|
|
Operating lease right-of-use assets, net |
|
102,741 |
|
|
|
87,945 |
|
|
Marketable debt securities, available-for-sale (amortized cost of |
|
70,711 |
|
|
|
68,595 |
|
|
Assets held in rabbi trust |
|
10,365 |
|
|
|
9,553 |
|
|
Deferred tax assets, net |
|
35,933 |
|
|
|
41,321 |
|
|
Goodwill and other intangible assets, net |
|
53,525 |
|
|
|
55,696 |
|
|
Advances and loans, net |
|
181,944 |
|
|
|
169,955 |
|
|
Other assets, non-current |
|
18,092 |
|
|
|
15,859 |
|
|
Total assets |
$ |
883,513 |
|
|
$ |
1,003,708 |
|
|
Liabilities and stockholders’ equity |
|
|
|
|||||
Current liabilities: |
|
|
|
|||||
Accounts payable and accrued expenses |
$ |
11,893 |
|
|
$ |
11,450 |
|
|
Deferred compensation and commissions |
|
43,351 |
|
|
|
75,321 |
|
|
Operating lease liabilities |
|
17,838 |
|
|
|
16,984 |
|
|
Accrued bonuses and other employee related expenses |
|
11,088 |
|
|
|
38,327 |
|
|
Other liabilities, current |
|
4,899 |
|
|
|
9,933 |
|
|
Total current liabilities |
|
89,069 |
|
|
|
152,015 |
|
|
Deferred compensation and commissions |
|
41,299 |
|
|
|
64,461 |
|
|
Operating lease liabilities |
|
78,707 |
|
|
|
65,109 |
|
|
Other liabilities, non-current |
|
10,519 |
|
|
|
8,614 |
|
|
Total liabilities |
|
219,594 |
|
|
|
290,199 |
|
|
Commitments and contingencies |
|
— |
|
|
|
— |
|
|
Stockholders’ equity: |
|
|
|
|||||
Preferred stock, |
|
|
|
|||||
Authorized shares – 25,000,000; issued and outstanding shares – none at June 30, 2022 and December 31, 2022, respectively |
|
— |
|
|
|
— |
|
|
Common stock, |
|
|
|
|||||
Authorized shares – 150,000,000; issued and outstanding shares – 38,460,595 and 39,255,838 at June 30, 2022 and December 31, 2022, respectively |
|
4 |
|
|
|
4 |
|
|
Additional paid-in capital |
|
140,142 |
|
|
|
131,541 |
|
|
Retained earnings |
|
526,373 |
|
|
|
585,581 |
|
|
Accumulated other comprehensive loss |
|
(2,600 |
) |
|
|
(3,617 |
) |
|
Total stockholders’ equity |
|
663,919 |
|
|
|
713,509 |
|
|
Total liabilities and stockholders’ equity |
$ |
883,513 |
|
|
$ |
1,003,708 |
|
|
MARCUS & MILLICHAP, INC.
OTHER INFORMATION
(Unaudited)
Adjusted EBITDA Reconciliation
Adjusted EBITDA, which the Company defines as net (loss) income before (i) interest income and other, including net realized gains (losses) on marketable debt securities, available-for-sale and cash, cash equivalents, and restricted cash, (ii) interest expense, (iii) provision (benefit) for income taxes, (iv) depreciation and amortization, and (v) stock-based compensation. The Company uses Adjusted EBITDA in its business operations to evaluate the performance of its business, develop budgets and measure its performance against those budgets, among other things. The Company also believes that analysts and investors use Adjusted EBITDA as a supplemental measure to evaluate its overall operating performance. However, Adjusted EBITDA has material limitations as a supplemental metric and should not be considered in isolation or as a substitute for analysis of the Company’s results as reported under
A reconciliation of the most directly comparable
|
Three Months Ended
|
|
Six Months Ended
|
|||||||||||||
|
2023 |
|
2022 |
|
2023 |
|
2022 |
|||||||||
Net (loss) income |
$ |
(8,729 |
) |
|
$ |
42,168 |
|
|
$ |
(14,562 |
) |
|
$ |
74,951 |
|
|
Adjustments: |
|
|
|
|
|
|
|
|||||||||
Interest income and other (1) |
|
(4,090 |
) |
|
|
(979 |
) |
|
|
(8,480 |
) |
|
|
(1,594 |
) |
|
Interest expense |
|
216 |
|
|
|
158 |
|
|
|
431 |
|
|
|
318 |
|
|
Provision (benefit) for income taxes |
|
2,728 |
|
|
|
13,955 |
|
|
|
(2,905 |
) |
|
|
25,712 |
|
|
Depreciation and amortization |
|
3,468 |
|
|
|
3,332 |
|
|
|
6,675 |
|
|
|
7,243 |
|
|
Stock-based compensation |
|
5,351 |
|
|
|
4,275 |
|
|
|
10,362 |
|
|
|
8,131 |
|
|
Adjusted EBITDA |
$ |
(1,056 |
) |
|
$ |
62,909 |
|
|
$ |
(8,479 |
) |
|
$ |
114,761 |
|
|
(1) |
Other includes net realized gains (losses) on marketable debt securities available-for-sale. |
Glossary of Terms
-
Private Client Market segment: transactions with values from
$1 million $10 million -
Middle Market segment: transactions with values from
$10 million $20 million -
Larger Transaction Market segment: transactions with values of
$20 million - Acquisitions: acquisition of businesses accounted for as a business combination in accordance with generally accepted accounting standards
Certain Adjusted Metrics
Real Estate Brokerage
During the six months ended June 30, 2023, we closed a portfolio of large transactions in our real estate brokerage business in excess of
|
Three Months Ended
|
Six Months Ended
|
||||||||||
(actual) |
(as adjusted) |
(actual) |
(as adjusted) |
|||||||||
Total Sales Volume Decrease |
(62.0 |
)% |
(60.1 |
)% |
(60.4 |
)% |
(57.5 |
)% |
||||
Average Commission Rate Increase |
3.9 |
% |
— |
% |
8.7 |
% |
3.3 |
% |
||||
Average Transaction Size Decrease |
(28.3 |
)% |
(24.7 |
)% |
(29.3 |
)% |
(24.3 |
)% |
||||
View source version on businesswire.com: https://www.businesswire.com/news/home/20230804194131/en/
Investor Relations
InvestorRelations@marcusmillichap.com
Source: Marcus & Millichap, Inc.
