CoStar Group (CSGP) KBW Fintech Conference summary

Leadership and strategic direction

• New CFO and head of investor relations bring fresh perspectives, with deep experience in real estate and finance.

• Company mission is to digitalize real estate markets, with significant runway for growth in both U.S. and global markets.

• Focus remains on investing in core platforms and expanding capabilities to strengthen market position.

Core business performance and market dynamics

• Core information product (CoStar Suite) has shown resilience, growing mid-single digits despite a challenging commercial real estate environment.

• Expansion of total addressable market (TAM) through new modules and under-penetrated segments supports ongoing growth.

• Domestic market remains primary growth driver, but international expansion is underway, with full integration in Europe targeted by year-end 2025 and meaningful impact expected in 2026-2027.

• Competitive moat has deepened due to product enhancements and data capabilities, outpacing rivals.

Apartments and multifamily business

• Apartments.com continues to benefit from high vacancy rates, with significant TAM remaining in the 50+ unit market.

• Platform offers best-in-class lead generation and leasing efficiency, supporting dominant market share.

• Growth remains attractive, though at a lower rate due to scale, and competitive pressures from other players are not materially impacting performance.

• Sales force to be increased by 25% to capture remaining TAM.