RE/MAX Q2 revenue misses estimates, but adjusted EPS beats

Re/Max Holdings

29/07/2025 21:47

Overview

RE/MAX Q2 revenue falls 7.3% to $72.8 mln, missing analysts' expectations, per LSEG data

However, adjusted EPS beats analyst estimates

Total agent count rises 2.5%, driven by growth outside North America

Outlook

Company expects Q3 revenue between $71 mln and $76 mln

RE/MAX sees full-year revenue between $290 mln and $296 mln

Company forecasts Q3 adjusted EBITDA of $23.5 mln to $26.5 mln

RE/MAX anticipates full-year adjusted EBITDA of $90 mln to $95 mln

Result Drivers

ORGANIC REVENUE DECLINE - Revenue excluding Marketing Funds decreased 6.8% due to a 5.7% drop in organic revenue and 1.1% adverse foreign currency movements

AGENT COUNT - U.S. and Canada agent count fell by 5.0%, impacting revenue, while total agent count grew 2.5% due to international expansion

NEW INITIATIVES - Introduction of AI-powered global referral system and new pricing engine aimed at improving agent efficiency and customer service

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Miss
$72.80 mln
$74.20 mln (4 Analysts)
Q2 Adjusted EPS
Beat
$0.39
$0.35 (4 Analysts)
Q2 EPS
$0.23
Q2 Net Income
$4.70 mln
Q2 Adjusted EBITDA
Beat
$26.30 mln
$25.60 mln (4 Analysts)
Q2 Adjusted EBITDA Margin
36.1%


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 3 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the real estate services peer group is "buy."

Wall Street's median 12-month price target for Re/Max Holdings Inc is $9.00, about 9% above its July 28 closing price of $8.19

The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 7 three months ago

Press Release: ID:nPn9mB6n3a

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)