Walker & Dunlop Inc 2024年度报告

ANNUALREPORT Dear Fellow Shareholders, After two years of challenging macroeconomic conditions for the commercial real estate industry due todramatic rate increases in 2022 and 2023, 2024 showed signs of an improving market as investors begantransacting more steadily and actively throughout the year, signaling the start of a new commercial realestate cycle. Walker & Dunlop’s transaction volumes and financial results improved sequentially eachquarter over the course of 2024, culminating in the strongest quarter of transaction activity in over twoyears in the fourth quarter. For the year, we generated total transaction volume of $40 billion, up 21%over 2023, and 7% growth in total revenues to $1.1 billion. 2024 diluted earnings per share was $3.19, upslightly from 2023. The strong finish to the year from our Capital Markets business, combined with theconsistent revenues from our Servicing and Asset Management business, brought annual adjustedEBITDA1to $329 million, a record for Walker & Dunlop, and up 9% over 2023. Finally, adjusted coreEPS2totaled $4.97 per share, up 6% year over year. Given the macroeconomic challenges that persisted in2024 and the typically competitive landscape, our strong financial results are a testament to the talent,teamwork, and tenacity of the Walker & Dunlop team. We ended the year as the largest Fannie Mae DUS® lender for the sixth consecutive year, the fourthlargest Freddie Mac Optigo® lender, and the second largest HUD lender – all strong market positions thatreinforce our reputation as one of the very best multifamily lenders in the United States and will benefitus greatly as transaction volumes continue to recover. In 2024, our average production per banker/brokerwas $172 million, up $35 million per banker/broker from 2023, yet still less than the $184 millionaverage prior to the pandemic in 2019. Coming out of the pandemic, when transaction activity was at itspeak in 2021, our average total transaction volume per banker/broker was $311 million. Given thestrength of our brand, expanded service offering, and investments in people and technology wehave made over the past several years, our productivity should continue marching upward from$172 million as the macro fundamentals underpinning the commercial real estate sector continue toimprove and transaction volumes grow. Walker & Dunlop operates in an enormous industry with anextremely large total addressable market, and it is our expectation that we will grow transactionvolume, revenues, and earnings in 2025 and beyond. As we enter 2025, we are confident that the Walker & Dunlop platform is extremely well positioned tomeet the market needs today and over the next several years due to continued investments in our people,brand, and technology. We recently announced the expansion of our Capital Markets team in threesignificant ways: 1) adding a hospitality-focused investment sales team to increase connectivity betweenour sales and financing teams beyond the multifamily sector, 2) hiring an exceptional affordable housingdebt financing team with deep affordable housing client relationships and expertise as we continue tobuild out our affordable platform that now includes financing, sales, structured equity and tax creditequity syndication, and 3) expanding into Europe through the addition of a London-based Capital Marketsbrokerage team, presenting a huge opportunity for connectivity to new geographies, global investors, andglobal transactions. These investments reflect our continued evolution as a firm, broadening ourcapabilities and meeting the needs of our clients within a market that is also constantly evolving. Walker & Dunlop started as a local firm, and we are now embarking internationally. We began as a purebrokerage firm, taking no principal risk on loans, and now take risk on debt and manage capital that takes risk on equity and properties. We began selling one product – debt – to our customers, and now sell debt,equity, hard assets, research, investment banking, investment management, and valuation advisoryservices. Throughout the evolution of our scale and product offerings, our primary focus was generatingalpha for our investors, partners, and clients – and we will continue to do just that. We are now in the last year of our five-year growth plan, theDrive to ‘25, which includes growing ourdebt and property sales presence and volumes, scaling our servicing and asset management businesses,and establishing several new complementary businesses, including small balance lending, valuationadvisory, and investment banking. Over the last several years, we grew the number of bankers andbrokers in our Capital Markets platform and successfully broadened the reach and recognition of ourbrand. We also acquired or built the new, strategic businesses central to our diversification strategy in theDrive to ‘25. While market conditions the last two years slowed the rate of growth for all our businesses,we remain focused on the under