Redfin shares tumble after quarterly report, financial guidance

Redfin

04/08/2023 19:20

** Shares in Refin Corp  RDFN.O  down 23.2%, on track for
biggest one-day pct decline since March 2020 in active trading
on Friday, after quarterly report late Thursday
   **  RDFN posted quarterly loss of $0.25, narrower than
$0.32/shr loss expected by Wall St analysts on average while rev
of $275.56 mln was down 21% y/y and just shy of consensus
estimate of $275.70 mln, according to Refinitiv
   ** Redfin CEO Glenn Kelman forecast break-even on
adjusted-EBITDA basis over next 12 months rather than 2023,
described as "a setback" but projects improvement to adjusted
EBITDA this year of more than $140 million
    ** Says lost market share due to agent layoffs, closure of
RedfinNow, but expects "to return to quarter-over-quarter gains
in the second half" as Redfin.com "competing better for traffic"
    ** Says y/y change in Redfin.com visitors 17 points better
in Q2 than for two largest portals to for-sale listings and an
acceleration from Q1 advantage of 12 points
    ** Cautions guidance "subject to substantial uncertainty"
but forecast Q3 rev between $265 million and $279 million for
y/y decline between 13% and 9% 
    ** Sees Q3 net loss between $30 million and $21 million vs
net loss of $90 million Q3 2022, guidance includes ~$25 million
marketing expenses, $18 million stock-based compensation, $17
million depreciation and amortization
    ** Sees adjusted EBITDA between $4 million and $14 million,
to pay quarterly dividend of 30,640 shares of common stock to
preferred stockholder
    ** Stock last traded at $11.01 vs median PT of $10,
according to Refinitiv

 (Reporting By Sinéad Carew)
 ((sinead.carew@thomsonreuters.com; +13322191897;))