Zillow Group, Inc. announced its consolidated financial results for the three months ended March 31, 2020. The company’s consolidated quarterly revenue grew by 148 percent year over year, driven by increasing Zillow Offers sales velocity and strong performance in the Premier Agent business, despite headwinds in March because of the coronavirus pandemic.
Complete financial results and outlook for the second quarter of 2020 can be found in the company’s shareholder letter and in the investor relations section of Zillow Group’s website at investors.zillowgroup.com.
“During Q1, we learned the true value of home. We also learned real estate is resilient as we’re seeing clear signals that people are still shopping for homes and want to move,” said Rich Barton, CEO and co-founder of Zillow Group. “Our Q1 results met or beat our outlook on all measures despite some volatility in the second half of March. We started the year strong, coming off a solid 2019 and ended the first quarter with an even stronger balance sheet, including a record cash balance. There is light on the horizon, and we’re well positioned to move faster to the future, offering our customers and partners innovative products and services, such as our proprietary 3D Home Tours, to enable seamless and safe transactions in a more virtual world. The virtual tools home shoppers need for safety today will become their expectations for convenience tomorrow.”
First quarter 2020 highlights include:
– Total consolidated revenue grew 148 percent year over year to $1.1 billion.
– Segment loss before income taxes was $41.5 million, $98 million and $13.1 million for the IMT, Homes and Mortgages segments, respectively.
– Adjusted EBITDA beat company expectations for all three segments.
– The company exited the quarter with a strong balance sheet, growing cash and investments to $2.6 billion from $2.4 billion as of the end of 2019.
– Premier Agent year-over-year revenue growth accelerated to 11 percent from 6 percent in Q4 2019 driven by strategy execution to connect our customers with high-performing partners.
– Homes segment revenue and Adjusted EBITDA outperformed company expectations significantly, delivering nearly $770 million in revenue. The company achieved the highest sales velocity since Zillow Offers launched.
– During the quarter, the company sold 2,394 homes and purchased 1,479 homes through Zillow Offers, ending Q1 with 1,791 homes in inventory, intentionally down from 2,707 homes at the end of the fourth quarter.
– Traffic to Zillow Group’s mobile apps and websites reached 192.5 million average monthly unique users, an increase of 6 percent year-over-year, driving 2.1 billion visits during the quarter.
For more information, please visit www.zillow.com.