In This Article:
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Total Revenue: $78.5 million for Q3 2024.
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Adjusted EBITDA: $27.3 million, up 2% over Q3 2023.
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Adjusted EBITDA Margin: 34.8%, an increase of 190 basis points over Q3 2023.
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Adjusted Diluted EPS: $0.38.
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Revenue Excluding Marketing Funds: $58.4 million, a decrease of 3.3% compared to Q3 2023.
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Negative Organic Growth: 3% decrease, impacted by lower US agent count and reduced revenues from previous acquisitions.
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Selling, Operating and Administrative Expenses: Decreased by $7.2 million or 16.6% to $35.9 million.
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Total Leverage Ratio: Now under 4.5:1.
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International Agent Count: Increased nearly 6% over last year's Q3, totaling over 67,000 agents outside the US and Canada.
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Canada Agent Count: Almost 25,400 agents as of September 30, a record.
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Fourth Quarter Revenue Guidance: Reduced by approximately $1 million to $1.5 million due to hurricane impacts.
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Fourth Quarter Revenue Range: $71 million to $76 million.
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Fourth Quarter Adjusted EBITDA Range: $20.5 million to $23.5 million.
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Full Year Revenue Range: $306 million to $311 million.
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Full Year Adjusted EBITDA Range: $95 million to $98 million.
Release Date: November 01, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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RE/MAX Holdings Inc (NYSE:RMAX) reported better-than-forecasted financial performance for the second consecutive quarter, indicating strong operational execution.
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The company achieved strong cash flow generation, driven by effective cost management and improved collections.
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International agent count increased by nearly 6% over the previous year's Q3, reaching a record high of over 67,000 agents outside the US and Canada.
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The MAX/Tech Lead Concierge program is showing early signs of success, with thousands of agents opting in and initial leads converting well.
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RE/MAX Holdings Inc (NYSE:RMAX) is optimistic about 2025, with plans to drive efficiency and growth, improve agent count, and monetize digital assets.
Negative Points
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The US agent count has been declining, attributed to industry-wide agent attrition and lower productivity among some agents.
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The company reduced its fourth quarter and full-year revenue guidance due to the financial impact of recent hurricanes.
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Motto Mortgage business faced challenges with elevated mortgage rates, leading to a slight decline in the number of open offices.
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Negative organic growth was reported, primarily due to lower US agent count and reduced revenues from previous acquisitions.
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The real estate industry is navigating significant changes due to the NAR settlement, creating uncertainty and requiring adaptation.