Colliers International's Q1 2025: Diverging Narratives on Engineering Growth and Fundraising Strategies

Engineering segment growth, investment management fundraising outlook, organic growth expectations in engineering, engineering segment growth expectations, investment management fundraising goals are the key contradictions discussed in Colliers International's latest 2025Q1 earnings call.



Strong Financial Performance:
- Colliers International reported revenue of $1.1 billion for Q1 2025, up 16% year-on-year.
- The growth was driven by significant contributions from the Engineering segment and strong performance in capital markets activity.

Engineering Segment Growth:
- The Engineering segment achieved net revenue growth of 63%, with both acquisitions and internal growth.
- This growth was fueled by robust increases in activity, particularly with public sector clients in key end markets.

Investment Management Fundraising:
- Colliers raised $1.2 billion in new capital commitments during Q1, more than double the amount raised in the prior year.
- The increase in fundraising is attributed to improved investor interest and strong performance in traditional real estate strategies.

Real Estate Services Segment:
- The Real Estate Services segment reported a modest year-on-year increase in net revenue for Q1.
- Growth was slightly impacted by lower specialty asset transactions but is expected to normalize in subsequent quarters.

Tariff and Trade Uncertainty:
- Colliers acknowledged the impact of tariffs and trade uncertainties on clients' decision-making.
- However, the company's operations are largely unaffected due to their decentralized, country-specific service delivery model.