CB Richard Ellis Net Income Drops 25%

Last year’s credit squeeze and the resulting slowdown in commercial property investment pushed fourth-quarter earnings down 25% at CB Richard Ellis Inc., the world’s largest commercial property broker and manager. Net income fell to $13.6 million, or 65 cents a share, from $18.2 million, or 86 cents, a year earlier, as revenue, bolstered by acquisitions, jumped 27% to $330.3 million. Earnings were “in line with our view that our results would be negatively affected by a slowdown in investment property transactions and the repercussions of the capital markets volatility on mortgage originations,” said Jim Didion, the Los Angeles-based company’s chairman and chief executive. The results, however, did exceed the 63-cent average forecast of three analysts polled by First Call Corp. CB Richard Ellis provides property brokerage, management and financial services to corporations and investors. It is the largest real estate services company in terms of revenue. The company’s shares dropped 63 cents, or 3%, to close at $17.25 on the NYSE.