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Zillow Group's Financial Performance Overview for 2025

Zillow Group, Inc. has recently unveiled its consolidated financial results for both the fourth quarter and the entirety of 2025. This announcement reflects the company's ongoing transformation of how individuals buy, sell, rent, and finance homes. With impressive metrics, Zillow Group has set a strong precedent in the residential real estate industry.

During the fourth quarter of 2025, Zillow's revenue surged to $654 million, marking an 18% increase from the previous year. Additionally, the total revenue generated for the full year reached $2.6 billion, a 16% year-over-year increase. These results notably outperformed the broader residential real estate market, which experienced only a 3% growth during the same period.

Noteworthy highlights from the financial report include a robust 11% growth in For Sale revenue reaching $475 million for Q4, and an impressive 45% increase in Rentals revenue which climbed to $168 million. The performance in the mortgages segment was equally noteworthy, with revenue soaring by 39% to reach $57 million. This growth was primarily attributed to a significant rise in purchase loan origination volume, which increased by 67%.

Operational Highlights

CEO Jeremy Wacksman emphasized the company's success in achieving all its projected financial goals for 2025, including a notable return to net profitability with a net income of $3 million for Q4, a drastic improvement compared to a net loss in the preceding year. The net income margin now stands at 0%, representing a significant increase in profitability compared to prior results.

Zillow’s adjusted EBITDA also demonstrated resilience with a 23% margin for Q4, reflecting prudent cost management alongside revenue growth. The company is strategically utilizing its strong cash flow to invest back into operations, evidenced by a reduction in cash and investments to $1.3 billion after repurchasing 3.4 million shares for $232 million in Q4.

User Engagement and Market Position

An integral aspect of Zillow’s growth narrative is its rising user engagement, with monthly unique users reaching 221 million—an 8% increase annually. The overall traffic to Zillow's digital platforms totaled approximately 2.1 billion visits, indicating sustained interest in its varied offerings across the real estate market. This heightened engagement is pivotal as the company aims to further affirm its position as a leading player in the industry.

As Zillow celebrates two decades in operation, the company reflects on its achievements and the technological advancements that have positioned it as a crucial partner for both home buyers and real estate professionals. With innovations designed to enhance consumer experiences throughout the home-buying journey, Zillow continues to redefine accessibility in real estate transactions.

Looking Ahead

The outlook for 2026 appears promising as Zillow Group prepares to host a live webcast discussing these financial results along with projections for the upcoming year. The company remains focused on executing its strategic vision and capitalizing on market opportunities to sustain its competitive edge. As it navigates the ever-evolving terrain of the real estate market, Zillow Group aims to further elevate its service delivery and operational effectiveness.

In conclusion, Zillow Group’s outstanding financial performance and strategic investments reinforce its commitment to revolutionizing the real estate industry, striving to make home ownership and rentals more attainable and streamlined for future generations.