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The year has been rough for the real estate industry, but it hasn’t slowed down Compass, with the brokerage revealing Wednesday it saw metrics including revenue and agent count improve in the third quarter of 2024.
The company published the numbers in its Q3 earning report, which covers July, August and September of this year. During that time period,
The New York-based brokerage drove $1.5 billion in revenue — a 11.7 percent improvement over the same period in 2023, according to a third-quarter earnings report spanning July, August and September.
The company also revealed ithat transactions rose 16.1 year over year during the quarter, to 55,872, which happened even as “transactions declined by 1.9 percent for the entire residential real estate market.”
Other improving metrics for the company included principal agent count, which rose 20 percent year over year to 17,542.
Compass did still lose money in the quarter, suffering a net loss of $1.7 million. However, that too represents a year-over-year improvement compared to the $39.4 million net loss the company suffered in the third quarter of 2023.
Robert Reffkin
In the report, Compass CEO Robert Reffkin noted that despite a “challenging environment” for the housing business, Compass continues “to grow faster than the market.” He also predicted even stronger numbers in the near future.
“When the market recovers,” Reffkin continued, “we believe the combination of our cost discipline and structural advantages, which include our end-to-end proprietary technology platform, national scale, network of top agents and depth of inventory, positions Compass to capture significant upside at attractive unit economics.”
Heading into Wednesday’s earnings report, shares in Compass were trading in the mid $5 range. That was up slightly for the day, but a significant improvement compared to six months ago when shares were trading in the low $3 range.
Credit: Google
Compass had a market cap of about $2.8 billion as of Wednesday afternoon.
Compass last reported earnings in July. At the time, the brokerage posted what it described as a best-ever performance. Revenue in Q2 came in at $1.7 billion — a 14 percent increase compared to the same period in 2023. The company attributed the higher second quarter revenue to an 11.4 percent increase in transactions, with the report noting that the uptick happened despite a decline in the overall market.
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