JONES LANG LaSalle, the commercial real estate agency, saw a 30 per cent drop in turnover and a 43 per cent drop in pretax profits during 2009, according to accounts just filed.
Pretax profits were €1.75 million, down from €2.9 million the previous year.
Operating revenues were €10.2 million, down from €14.62 million. At year’s end, shareholders’ funds were €27.97 million.
The notes to the accounts say the chief risk faced by the company is the downturn in the Irish economy and commercial property market.
“With the impact of the global economic downturn, this decline is expected to continue well into 2010, resulting in a need for the company to focus on cost control and client interests to maintain profitability and grow market share.”
Jones Lang LaSalle acted as advisor in many of the largest commercial property deals during the boom.
Its former chairman, John Mulcahy, acted in the sale of the Irish Glass Bottle site in Ringsend, Dublin, as well as in other large deals during the period.
Mr Mulcahy is now head of portfolio management with the National Asset Management Agency.
The Jones Lang accounts record that Mr Mulcahy resigned as a director on February 15th, six days after his appointment to Nama was announced.
At the end of the period covered by the accounts, Mr Mulcahy had 41,508 shares in the property company’s US parent, Jones Lang LaSalle Inc, according to the accounts.
The company operates a scheme whereby some of its employees are part of the parent company’s share option scheme.
During the year, the company had 62 employees, down from 72 the previous year.
Payroll costs were €6.8 million, down from €9.4 million.
Directors emoluments were €4.4 million, down from €6.7 million. As per the accounts, the company has 11 directors.
