marcus & millichap inc (MMI) Key Developments
Marcus & Millichap, Inc. Enters into Credit Agreement with Wells Fargo Bank, National Association
Jun 24 14
On June 18, 2014, Marcus & Millichap, Inc. entered into a Credit Agreement with Wells Fargo Bank, National Association dated as of June 1, 2014.
The credit Agreement provides for a $60 million principal amount senior secured revolving credit facility that is guaranteed by all of the company's domestic subsidiaries. The Credit Facility matures on June 1, 2017. The company may borrow, repay and reborrow amounts under the Credit Facility until its maturity date, at which time all amounts outstanding under the Credit Facility must be repaid in full. The Credit Agreement is intended to provide for future liquidity needs, if needed. The company has no current plans to drawn down any commitments under the Credit Facility. The Credit Facility includes a $10 million sublimit for the issuance of standby letters of credit. Borrowings under the Credit Facility will bear interest, at the Company's option, at either the Base Rate (defined as the highest of the Wells Fargo prime rate, the Federal Funds Rate plus 1.5% and one-month LIBOR plus 1.5%), or at a variable rate between 0.875% and 1.125% above LIBOR, based upon the total funded debt to EBITDA ratio. An unused line fee of between 0.1% and 0.0% shall be payable quarterly in respect of the total amount of the unutilized Lenders' commitments under the Credit Facility, based upon the amount of the unused line left outstanding. The Credit Facility contains customary covenants, including financial covenants (which require the Company, on a combined basis with its guarantors, to maintain an EBITDAR Coverage Ratio (as defined in the Credit Agreement) of not less than 1.25:1.0 as of each quarter end and total funded debt to EBITDA not greater than 2.0:1.0), reporting requirements and events of default. The Credit Facility is secured by substantially all assets of the Company, including pledges of 100% of the stock or other equity interest of each subsidiary except to the extent such property constitutes the capital stock of a controlled foreign corporation, in which case no such pledge shall be required.
Marcus & Millichap, Inc. Presents at Second Annual New York Summer Apartment Summit, Jun-26-2014
Jun 3 14
Marcus & Millichap, Inc. Presents at Second Annual New York Summer Apartment Summit, Jun-26-2014 . Venue: The Loeb Boathouse Central Park, East 72nd Street and Park Drive North, New York, New York, United States. Speakers: J. D. Parker, Vice President and Regional Manager of Manhattan Office.
Marcus & Millichap, Inc. Presents at William Blair & Company's 34th Annual Growth Stock Conference, Jun-12-2014 10:00 AM
May 29 14
Marcus & Millichap, Inc. Presents at William Blair & Company's 34th Annual Growth Stock Conference, Jun-12-2014 10:00 AM. Venue: Four Seasons Hotel, 120 East Delaware Place, Chicago, Illinois, United States. Speakers: Hessam Nadji, Chief Strategy Officer, Martin E. Louie, Chief Financial Officer and Senior Vice President.
Marcus & Millichap, Inc. Appoints Kurt H. Schwarz as Vice President of Finance and Chief Accounting Officer
May 8 14
On May 6, 2014, the Board of Directors of Marcus & Millichap, Inc. appointed Kurt H. Schwarz as the company's Vice President of Finance and Chief Accounting Officer, effective immediately. Mr. Schwarz has served as the company's Vice President of Finance since April 2014. Prior to joining the company, Mr. Schwarz was an independent senior accounting professional.
Marcus & Millichap, Inc. Reports Unaudited Consolidated Earnings Results for the First Quarter Ended March 31, 2014
May 8 14
Marcus & Millichap, Inc. reported unaudited consolidated earnings results for the first quarter ended March 31, 2014. Revenue increased 65.2% to $114.6 million compared to $69.4 million for the first quarter of the prior year. Operating income was $12.1 million against $2.7 million last year. Income before provision for income taxes was $11.6 million against $2.9 million last year. Net income was $6.8 million, compared to $1.6 million in the first quarter of the prior year. Earnings per basic and diluted share were $0.17. Adjusted EBITDA was $13.5 million, compared to $4.1 million in the first quarter of the prior year. The increase in total revenues is primarily a result of increases in revenues from real estate brokerage commissions. Revenues from real estate brokerage commissions increased to $104.7 million for the three months ended March 31, 2014 from $61.2 million for the same period in the prior year, an increase of $43.6 million or 71.2%. This increase was primarily driven by a combination of an increase in the number of investment sales transactions (37.2%), an increase in the average commission size (24.8%) and an increase in average transaction size (10.0%) during the three months ended March 31, 2014 as compared to the same period in the prior year. Financing fees and other revenues contributed the remaining increase in total revenues.