Douglas Elliman Inc. (NYSE:DOUG) Q4 2022 Earnings Call Transcript

Bryant Kirkland: As far as the perspective of internal buyback and — because we were spun off from Vector Group at the end of 2021, our ability to buy back stock is somewhat limited until we get 2 years past that spinoff. And after that, the company, we’ll always be opportunistic. You’ve seen the insiders have bought the stock over the last year. And we always view this as a very good value because you’re buying one of the best names in real estate and Douglas Elliman.

Daniel Fannon: And then the — all the initiatives that you announced proactively around expenses, the frozen hiring, reduced sponsor, consolidated office space. And I know it’s going to come through later in the year, but is there a way to put a dollar amount around some of those initiatives?

Howard Lorber: Well, look, I mean, yes, we have eliminated certain expenses on the marketing and on the event side. I don’t think we could give you really an exact amount at this particular moment. What we do know is we do know when leases expire, okay? And that’s why we believe, for instance, that this year and next year will be the first couple of years that really show reductions in expenses with consolidation of some of our offices. And they’re somewhat large leases that we’ve been stuck with for many years and that we really don’t need that space anymore. And so when those consolidations start happening, which they will over this year and next year, I think that will really be a big help to getting our numbers more in line with where we want to be.

Daniel Fannon: And then just lastly, the — I think another number you threw out was an 87% retention rate. Was that for the fourth quarter? Or is that for the full year?

Bryant Kirkland: Full year.

Daniel Fannon: And did that change much in 4Q?

Bryant Kirkland: No, that was stable. I believe it was 88% in the — at September 30 — for the 12 months trailing September 30, 2022, Dan.

Operator: Ladies and gentlemen, those are all the questions that we have today. Thank you for joining us on Douglas Element’s fourth quarter 2022 earnings conference call. This will conclude our call. We hope you have a good day, and you may now disconnect.