Anywhere Real Estate (HOUS) Q1 2025 earnings summary

Executive summary

• Revenue increased 7% year-over-year to $1.2 billion in Q1 2025, with market share gains driven by luxury and strong performance in key regions like California and NYC.

• Net loss improved to $78 million from $101 million year-over-year, with operating EBITDA loss narrowing to $1 million from $13 million loss a year ago.

• Achieved $14 million in Q1 cost savings, on track for $100 million in 2025, and launched the Reimagine25 transformation initiative focused on technology and operational efficiency.

• Closed transaction volume increased 6% year-over-year, outperforming the 3% market growth reported by NAR, with luxury segment volume up 16%.

• Aggressively deployed generative AI and automation across business functions to enhance productivity and reduce costs.

Financial highlights

• Q1 2025 revenue was $1,204 million, up from $1,126 million year-over-year.

• Net loss was $78 million, improved from $101 million in Q1 2024; adjusted net loss was $64 million, a $21 million improvement.

• Operating EBITDA loss was $1 million, a $12 million improvement from the prior year.

• Free cash flow was negative $130 million, improved from negative $145 million year-over-year.

• Franchise Group revenue rose to $204 million (+2% YoY); Owned Brokerage Group revenue increased to $990 million (+8% YoY); Title Group revenue was $78 million (+10% YoY).

Outlook and guidance

• Expects $100 million in cost savings for 2025, with 85% of savings already identified.

• Full-year 2025 Operating EBITDA expected to be about $350 million; Q2 2025 Operating EBITDA to be similar to Q2 2024.

• Free cash flow excluding one-time items expected to be similar to 2024; one-time items estimated at $115 million in 2025.

• Guidance subject to macroeconomic, housing market, and regulatory uncertainties.

• Anticipates payments in 2025 for legal settlements ($54 million antitrust, $20 million TCPA, $41 million legacy tax matter).