The Real Brokerage (REAX) Q4 2025 earnings summary

Executive summary

• Revenue reached $2.0B in 2025, up 56% year-over-year, with closed transactions up 54% to 185,314 and agent count rising 31% to 31,739 at year-end.

• Adjusted EBITDA for 2025 was $62.9M, up 57%, and net loss narrowed to $8.1M for the year; platform scaling prioritized revenue and gross profit growth over OpEx increases.

• Maintained a debt-free balance sheet, ending 2025 with $49.9M in unrestricted cash and positive operating cash flow of $65.9M.

• Expanded ancillary services (mortgage, title, wallet) to enhance margins and diversify revenue streams.

• Launched HeyLeo AI-powered consumer portal and appointed new CEO for One Real Mortgage.

Financial highlights

• Q4 2025 revenue was $505.1M (+44% YoY); gross profit $39.0M (+30% YoY); full-year gross profit $166M (+44%).

• Adjusted EBITDA reached $14.2M in Q4; operating expenses were $44.3M in Q4 (+22% YoY) and $174.9M for 2025 (+25% YoY).

• Gross margin improved to 12% in Q4 2025, up from 8.6% in Q4 2024.

• Adjusted OpEx per transaction declined 22% YoY to $440 in Q4.

• Revenue per full-time employee was $1.49M in Q4 2025.

Outlook and guidance

• Management targets continued organic growth, margin expansion, and disciplined capital allocation for long-term value.

• Q1 2026 revenue, operating loss, and Adjusted EBITDA expected to decline sequentially due to weather impacts, with margins normalizing in the second half of 2026.

• Focus remains on technology investment and expanding ancillary services to boost agent productivity and engagement.

• Agent optimism index rose to 70.8 in December 2025, indicating strong confidence in the market outlook.