How do you interpret investment management — net segment operating expenses?

A rising trend relative to revenue may signal declining margins or inefficient scaling of the investment platform.

How does investment management — net segment operating expenses compare across companies?

Comparable to 'Segment Operating Expenses' reported by diversified financial services companies.

Jones Lang LaSalle JLL Investment Management — Net Segment Operating Expenses

Discontinued — last reported Q2 '20

Similar metrics at other companies

SEICInvestment Managers — Total Segment Expenses

$133.84M+14.2%

JEFAsset Management — Noninterest Expense

$259.9M+23.8%

EVRInvestment Management — Operating Expenses

$15.84M+13.4%

SEICInvestment Managers — Expenses

$114.12M+10.2%

BKInvestment and Wealth Management — Noninterest expense

$726M+1.7%

SCIOperating Segments — Investment Income Investment Expense

$16.28M-24.2%

Other financials

Income statement

See full

Revenue$6.4B+11.1%

Operating income$204.6M+70.5%

Net income$159.4M+177%

EPS (diluted)$3.33+192%

Balance sheet

See full

Cash & equivalents$719.3M+11.6%

Total debt$3.6B-11.6%

Total equity$7.3B+6.8%

Total assets$17.9B+7.6%

Cash flow

See full

Operating cash flow-$755.0M+1.6%

CapEx$64.9M+45.8%

Free cash flow-$819.9M-1.0%

Valuation

See full

Market cap$13.79B+21.4%

Enterprise value$16.67B+13.0%

P/E15.4×-5.7×

P/S0.5×0.0×

Profitability

See full

Operating margin4.4%+0.8pp

Net margin3.3%+1.1pp

FCF margin3.6%—

Returns & leverage

See full

Return on equity12.6%+4.4pp

Debt / equity0.5×-0.1×

Current ratio1.1×0.0×

Where this comes from

Reported directly by Jones Lang LaSalle in its filing.

Tagged under the XBRL concept jll:NetSegmentOperatingExpenses.

The official record: Jones Lang LaSalle’s 10-Q, filed August 6, 2020, on SEC EDGAR. View the filing →

Questions, answered.

What does investment management — net segment operating expenses mean?: The total net cost to operate the investment management business unit.
How do you interpret investment management — net segment operating expenses?: A rising trend relative to revenue may signal declining margins or inefficient scaling of the investment platform.
How does investment management — net segment operating expenses compare across companies?: Comparable to 'Segment Operating Expenses' reported by diversified financial services companies.