Newmark Group, Inc. reported fourth‑quarter and full‑year 2025 results that surpassed expectations, with total revenue of $3.294 billion and a quarterly revenue of $1.006 billion. Adjusted earnings per share rose to $0.68, beating the consensus estimate of $0.65 by $0.03. The company lifted its 2026 revenue outlook to $3.7 billion–$3.8 billion and adjusted EPS guidance to $1.82–$1.92, both above analyst forecasts.
Segment performance drove the strong results. Capital Markets revenue grew 35.3% for the full year, reflecting gains in investment sales and a broader share of the market. Management Services, Servicing, and Other revenues increased 12.4%, driven by higher recurring fees and a growing client base. Leasing revenue also contributed to the top‑line, with each major service line exceeding $1 billion in annual revenue for the first time.
Operating margin expanded to 12.3% in Q4, up from 10% a year earlier, as higher‑margin capital‑market transactions offset modest cost increases. Adjusted EBITDA margin improved by 32 basis points in the quarter and 81 basis points for the full year, underscoring efficient cost management and a favorable mix of high‑margin services.
Management guided for continued double‑digit growth in 2026, citing strong demand in recurring services and a favorable macro environment for commercial real‑estate transactions. The company also declared a quarterly dividend of $0.03 per share and increased its share‑repurchase authorization to $400 million, signaling confidence in cash‑flow generation.
In its earnings call, CEO Barry M. Gosin highlighted that “Newmark achieved record quarterly and full‑year revenues, with strong gains in every major service line, as our annual top‑line in Management and Servicing, Leasing, and Capital Markets each surpassed $1 billion.” CFO Michael J. Rispoli noted that the company’s recurring businesses grew 13%, marking the best‑ever quarter for those segments. Analysts welcomed the guidance, noting that the upside in revenue and EPS reflects both market‑share gains and a robust recurring‑revenue base.
The results reinforce Newmark’s diversified business model and its focus on recurring revenue, positioning the company to capture further upside from AI integration and data‑driven services. A conservative balance sheet, with net leverage of 0.8x, provides a cushion for continued investment in growth initiatives while maintaining shareholder returns.
The content on EveryTicker is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.