Company: JLL
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001037976-25-000071
Chunk: 103

Company: JONES LANG LASALLE INC
Filing Date: 2025-11-05
Form: 10-Q
Item: Item 8
Chunk 103
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 by strong contributions from Japan and Australia for the quarter and India and MENA for the year to date. Globally, investment sales were up 22% for the quarter, significantly outpacing the broader investment sales market, which grew 12% over the same period according to JLL Research.

The increases in segment operating expenses for the third quarter and first nine months of 2025 were largely driven by higher commission expense, correlated to the revenue growth described above. In addition, $7.2 million of incremental expense associated with loan-related losses, including an increase in loan loss reserves, was recorded in the current quarter. In October 2025, the underlying asset for the loan repurchased in August 2024 was sold; the $3.6 million expense impact - reflecting final pricing and expected closing costs - was included in the aforementioned loan-related losses recognized this quarter.

On a year-to-date basis, in addition to the loan-related losses described above, we recognized approximately $14.0 million of incremental expense associated with an enhanced loss-share agreement with Fannie Mae for a specific three-loan portfolio. The impact of this item is more than offset by the $18.0 million of loan-related expenses recognized in the first half of 2024.

Adjusted EBITDA increases for the quarter and first nine months of 2025 were primarily attributable to the revenue growth described above, net of associated commission expenses, partially offset by the impact of incremental loan-related losses.

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Investment Management

% ChangeThree Months Ended September 30,Change inin Local($ in millions)20252024U.S. dollarsCurrencyAdvisory fees$93.0 92.7 0.3 — %(1)%Transaction fees and other5.9 8.6 (2.7)(31)(30)Incentive fees16.5 — 16.5 n.m.n.m.Revenue$115.4 101.3 14.1 14 %12 %Platform compensation and benefits$68.0 59.8 8.2 14 %12 %Platform operating, administrative and other16.1 18.7 (2.6)(14)(15)Depreciation and amortization2.7 1.9 0.8 42 46 Segment platform operating expenses86.8 80.4 6.4 8 6 Gross contract costs7.8 9.3 (1