Newmark continued its successful trajectory in 2026 as a leading global real estate advisory firm, surpassing earnings forecasts for the second consecutive quarter. This was largely due to a significant recovery in the company's capital markets business.
The company reported adjusted earnings per share of 39 cents for the second quarter, exceeding Wall Street estimates of 38 cents. Revenue increased by 17 per cent year-on-year to US$884 million, marking a record for Newmark in a second quarter. This figure also surpassed analyst estimates of US$852.28 million.
Barry Gosin, Newmark's CEO, expressed optimism during a conference call regarding the second-quarter results: "Given Newmark's strong results and healthy transaction pipeline, we continue to expect double-digit revenue and earnings growth for 2026 for the third consecutive year." He also emphasised that investments in recurring revenue business lines, ongoing international expansion, improving industry fundamentals, and the company's skilled professionals will drive Newmark's long-term growth trajectory and market share gains.
Revenue from capital markets activities rose by 16 per cent. Newmark attributed this to a significant increase in investment activity within the multifamily sector, particularly in seniors' housing and affordable housing properties. Gosin highlighted that Newmark is the number one investment sales platform in the affordable housing sector. A large percentage of this portfolio consists of properties supported by Section 8 and Low-Income Housing Tax Credits. He stressed that affordable housing is experiencing strong tailwinds due to bipartisan political support in Washington, D.C., to address affordability issues. Gosin explained that the importance of affordable housing is undisputed between Democrats and Republicans. Newmark proactively embraced this segment, much like data centres two or three years ago, which is now giving the company additional momentum in the multifamily segment.
Newmark's gains in capital markets business through sales were partially offset by lower debt origination placements. However, the company attributed this to a historical increase of 135 per cent in the second quarter of 2025. Newmark stated that total debt volumes in the first half of 2026, combined from the first and second quarters, increased by 26.7 per cent compared to the first half of 2025.
Newmark also performed exceptionally well in its leasing business in the second quarter. Leasing fees rose by 17.2 per cent to US$278 million, benefiting from increased activity in the office sector. Companies in AI, technology, and financial services were increasingly seeking expanding spaces. Newmark reported “significantly higher” office leasing volumes in New York City, the San Francisco Bay Area, and Los Angeles.
Lou Alvarado, Chief Operating Officer at Newmark, noted that strong growth opportunities in leasing exist not only for Class A properties but also for older buildings. This is due to the trend of 'flight to quality' in the office market. He explained that property owners are modernising their portfolios to remain competitive. Therefore, Class B properties are also being considered and equipped with amenities to compete with A-class properties. Alvarado added that there continues to be demand for B and C properties from tenants who cannot afford the prices of A-class assets. While these buildings will continue to generate some volume, the majority of activity is concentrated in the A-class.
