Marcus & Millichap Inc. reported third-quarter results on Tuesday that beat Wall Street expectations. The Calabasas commercial real estate brokerage firm said in the quarter ended Sept. 30, net income grew to $15.5 million (39 cents a share) from $15.1 million (39 cents a share) for the same period in the prior year. That beat analysts’ expected earnings of 34 cents a share, according to Thomson Financial Network. Revenues rose 1.5 percent to more than $183 million from nearly $181 million a year ago. That also outpaced the $180 million analysts had expected. The firm attributed the growth to a 2.2 percent increase in real estate brokerage commissions. Chief Executive Hessam Nadji said in the earnings conference call that the company gained modestly on its top and bottom lines despite having to compare them to last year’s quarterly robust performance, and an apprehensive and slower sales market. Nadji also referred to the firm’s plan to grow by expanding into specialty properties, such as hospitality, self-storage and seniors housing as well as larger deals, and extending its financing division, Marcus & Millichap Capital Corp. Shares of Marcus & Millichap (MMI) closed Tuesday up 2 cents, or a fraction of a percent, to $29.02 on the New York Stock Exchange.
Marcus & Millichap Increases Earnings, Revenue