CBRE Group (CBRE) 2Q26 First Take Strength Across Platform Leads to Raised Guidance

Equity Research 29 July 2026 | 5:22AM PDT

CBRE Group (CBRE): 2Q26 First Take: Strength Across Platform Leads to Raised Guidance

CBRE reported 2Q26 Adj. EPS and Adj. EBITDA of $1.56 and $836mm, respectively. Julien Blouin | These results were +1%/+4% above our expectations and +5%/+9% above Visible Goldman Sachs & Co. LLC Alpha Consensus Data. This outperformance versus our expectations was primarily Ryan Treais driven by better leasing, advisory sales, and project management (as well as better | Goldman Sachs & Co. LLC than expected SOP margins across all segments). Shikhar Gupta | 2026 Guidance increased: CBRE increased 2026 Core EPS by 2% at the MP, Goldman Sachs India SPL establishing a new 2026 Core EPS range between $7.80-$7.90 ($7.85 MP), vs $7.60-$7.80 previously with midpoint of $7.70 (vs GS expectation of $7.74), due to strong YTD results (including transactional and project management results), and higher data center land site monetizations in 3Q26.

n Advisory: ~20% SOP growth vs prev high teens SOP growth in advisory services with the second half raised to low-teens growth over tougher comps. n BOE: (Unchanged) ~25% SOP growth vs previously 25% growth in BOE (high-teens excluding D&A re-class). n Project Management: Mid-teens SOP growth vs low teens previously. n REI: SOP higher than last year vs. in-line with 2025 previously led by Development gains in 3Q26.

Segment Results vs. GSe Advisory Services segment revenue came in 8.1% ahead of GSe while SOP was 13.1% ahead of GSe. The components of the beat are outlined below:

n Advisory Sales: Outsized US sales revenue at 24% while global revenue lagged slightly at 20%. US transaction volumes was somewhat telegraphed by strong MSCI data going into the print. n Advisory Leasing: Leasing revenues for the quarter came in 14% above GSe. This performance was driven by both EMEA and USA, with revenues up 27% and 24% respectively.

Building Operations & Experience saw net revenue growth -0.7% below GSe while SOP was 10% ahead of GSe. The components of the beat are outlined below:

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Goldman Sachs CBRE Group (CBRE)

n Facilities Management: Net Revenue growth came in at 13% in-line with GSe at 13%. n Property Management: Net Revenue growth came in at 8% below GSe at 15%. n Critical Infrastructure: Net Revenue growth came in at +108% and was above GSe at +95%. This newly defined segment will continue to see outsized YoY growth until the Pearce acquisition is lapped. Management noted that data center services remain strong and will contribute to the outsized growth of this segment.

Project Management saw revenue growth of 15.8% and was ahead of GSe at 13.0% while SOP was 11.7% ahead GSe. The segment was driven by strong infrastructure activity across transportation and utility projects.

Implication: We expect shares to outperform on Thursday 07/29 given the strong beat and raise quarter, and believe these results have strong read-throughs for the rest of the sector.

Share repurchases: The company announced it has repurchased nearly $1 billion worth of shares to-date (and $460mn in 2Q26 vs GSe of $250Mn in 2Q26).