Real Estate

The Biggest Wins, Losses And News From Q4 2023 Earnings

Real estate’s Q4 earnings calls have finally wrapped. From RE/MAX’s CEO exit to Airbnb’s $10 billion year, we’ve rounded up the top stories all in one place. Here’s what you might have missed.

The moment has arrived — the moment to take charge. This summer, at Inman Connect Las Vegas, July 30-Aug 1, 2024, experience the complete reinvention of the most important event in real estate. Join your peers and the industry’s best as we shape the future — together. Learn more.

The last blows of 2023 land as Q4’s earnings season ends, revealing a turbulent end to a turbulent year.

Perhaps most notably, RE/MAX made a leadership change, revealing that President and CEO Nick Bailey is out in addition to its revenue loss. CoStar Group marked its 51st consecutive quarter of revenue growth. Airbnb doubled its total revenue from 2019 (before the pandemic’s impact hit the travel sector) to the tune of $9.9 billion.

TAKE THE FEBRUARY INMAN INTEL INDEX SURVEY NOW

Is this a glimpse of hope from the previous quarter? Time will tell. For now, we’ve gathered all of our earnings updates in a handy roundup to help you keep up with the latest numbers from the biggest names in the real estate industry.

RE/MAX President and CEO Nick Bailey has been replaced as head of the franchisor, the company announced while unveiling that its revenue fell for a sixth-consecutive quarter.

Bailey had served as president for nearly three years, two of which he also spent as CEO of one of the nation’s largest real estate franchisors. He held multiple positions at RE/MAX World Holdings earlier in his career.

RE/MAX announced Amy Lessinger will succeed Bailey as president and will report directly to RE/MAX Holdings CEO Erik Carlson.

The executive change came on the same day RE/MAX announced its revenue fell 5.2 percent in the fourth quarter of 2023, compared to the same time a year before. RE/MAX earned $76.6 million in the quarter and reported a net loss of $69 million for the year.


Rocket reported a $233 million fourth-quarter net loss, driven largely by paper writedowns in the value of the company’s $509 billion mortgage servicing rights portfolio. Q4 revenue was up 44 percent from a year ago, to $694 million, and the company trimmed expenses by 5 percent, to $937 million.

For the full year, Rocket racked up a $493 million net loss as revenue dried up faster than the company could trim expenses. While 2023 revenue declined by 35 percent, to $3.8 billion, Rocket trimmed full-year expenses by 18 percent, to $4.2 billion.


EXp World Holdings revealed that its revenue rose during the fourth quarter of last year, but a difficult market still took a toll on the firm — leading to a net loss and very slow growth in agent headcount.

In total, the company — which is the parent of brokerage eXp Realty — brought in $983 million in revenue between October and December, according to a newly published earnings report. That’s up from $933 million during the fourth quarter of 2022. However, despite that uptick, the company lost $21.2 million, a significant jump from the $7 million loss one year earlier.


Redfin continued its recovery during the fourth quarter, with revenue declining 2 percent year over year to $218.1 million — a near 180° turn from its Q1 and Q2 showings, where annual revenue declines topped 20 percent.

The Seattle-based company’s earnings report showed that gross margins improved, rising 32 percent year over year to $73.2 million as gross profits from real estate services increased 14 percent year over year to $29.9 million. Gross margins from real estate services were 22.5 percent — a 20 percent increase from Q4 2022.

In total, Compass brought in $1.1 billion in revenue between October and December of 2024, according to a newly published earnings report. That represents a 1 percent year-over-year dip. The company also lost $83.7 million in the quarter, which is a 47 percent improvement over the loss of $158.1 million one year earlier.

For all of 2023, Compass brought in $4.9 billion in revenue, down from $6 billion in 2022. Compass suffered a net loss of $321.3 million for all of 2023, compared to $601.5 million in 2022.

Shares in iBuyer Offerpad rose in after-hours trading after the company said it expects to return to profitability this year as homes turn over faster from inventory and its agent partnership program grows.

Although Offerpad posted a $15.4 million fourth-quarter loss, that’s down 23 percent from Q3 and 87 percent from a year ago, when Offerpad lost $121.1 million. For the year, Offerpad’s 2023 net loss totaled $117.2 million, down from $148.6 million in 2022.

In total, CoStar brought in $640 million in revenue between October and December, according to a newly published earnings report. That’s an increase of 12 percent compared to the fourth quarter of 2022. Those results make the final three months of last year the company’s 51st straight quarter of revenue growth.

CoStar also remained profitable in Q4, earning a total of $96 million in net income. However, that is down from the $124 million in profit the company earned during the final quarter of 2022.


Matterport reported earning $158 million last year as it continued its pursuit to become the industry leader in creating digital replicas of homes, buildings and more, the company reported.

That was up 16 percent compared to 2022. Still, it wasn’t enough to offset the $65.8 million the company lost for the year as it remained focused on its rapid expansion, according to Matterport’s fourth-quarter earnings report.

A rough housing market took a toll on Opendoor in the final months of 2023, with new numbers showing that the company’s revenue fell significantly compared to one year earlier — though it still managed to trim losses.

In total, Opendoor earned $870 million in revenue during the fourth quarter, according to a newly published earnings report. That represents a 70 percent drop versus Q4 of 2022. However, the company also experienced a net loss of $91 million, which is an improvement over the loss of $399 million one year earlier.

The Q4 2023 loss was also an improvement over Q3, when Opendoor lost $106 million.

Anywhere Real Estate, the massive franchisor whose brands include Coldwell Banker, Corcoran and Century 21, posted falling revenue in the fourth quarter of 2023, capping off what CEO Ryan Schneider called an “incredibly tough housing market.”

The company reported revenue of $1.250 billion, a 6 percent decrease from the fourth quarter of 2022, when it brought in $1.323 billion in revenue, according to the earnings report.


Airbnb lost $349 million in the fourth quarter despite ongoing growth in booking value, nights booked, and other metrics that show the largest short-term rental platform continued its meteoric rise last year, according to its earnings release.

The company said the net loss for the quarter was a result of one-time tax expenses that cost over $1 billion in the quarter. Without that expense, the company said it would have inked a $489 million profit.


Jessi Healey is a freelance writer and social media manager specializing in real estate. Find her on Instagram, LinkedIn, or Threads.

What's your reaction?

Excited
0
Happy
0
In Love
0
Not Sure
0
Silly
0

You may also like

More in:Real Estate

Leave a reply

Your email address will not be published. Required fields are marked *