#United States #Madison, NJ #Anywhere Real Estate #HOUS #Ryan Schneider

Overview

Anywhere Real Estate Inc. (NYSE: HOUS), a prominent player in the residential real estate market, has released its financial results for the fourth quarter and full year ending December 31, 2024. The company reported impressive numbers that underline its strength in a challenging housing market.

Key Highlights of Q4 2024

Anywhere Real Estate demonstrated a formidable presence with a revenue increase of $1.4 billion, marking a $112 million increase compared to the previous year. Notably, the Operational EBITDA reached $52 million, an uplift of $24 million year-over-year, showcasing operational efficiency and strategic resource management.

Financial Improvements

• - Net Loss Reduction: The reported net loss was $64 million, a significant improvement of $43 million from the previous year. Adjusted net loss showed a similar trend with a decrease of $5 million, finishing at $49 million.
• - Transaction Volume Growth: The company observed a 13% increase in closed transaction volume, driven by a price growth of 9% and a unit increase of around 3%.

Luxury Market Strength

Luxury real estate brands under Anywhere, including Coldwell Banker Global Luxury and Sotheby’s International Realty, thrived with an almost 20% year-on-year growth in closed transaction volume, continuing to outperform the broader market.

Full Year Overview

2024 in Numbers
Anywhere's total revenue for 2024 was $5.7 billion, reflecting a growth of $56 million from the previous year, despite significant challenges in the housing sector. The full-year net loss was recorded at $128 million, a 31 million decline from the prior year, while free cash flow totaled $50 million, down from $67 million in 2023.

• - Operational Growth: The company’s Operating EBITDA showed a healthy increase of $35 million, reaching $290 million, attributed to better operating margins and cost saving initiatives that delivered approximately $125 million in savings for the fiscal year.

Strategic Moves Ahead

As the market looks towards recovery, Anywhere plans to capitalize on its robust position by continuing to innovate with generative AI, improving customer experiences at lower costs, and focusing on luxury market leadership. The company anticipates further cost-saving measures of approximately $100 million in 2025, even as it navigates inflationary pressures.

Looking to 2025

• - Positive Expectations: Anywhere projects its Operating EBITDA for the entire year of 2025 to reach around $350 million, with performance heavily reliant on the housing market's recovery.
• - Cost Savings and Investment: The company acknowledges the potential impact of ongoing investments needed to support growth and advance its technology strategy against the prevailing backdrop of market variabilities, including the ongoing litigation commitments valued at around $115 million slated for the 2025 fiscal year.

Conclusion

Ryan Schneider, President and CEO of Anywhere, expressed enthusiasm about the future, signaling that the company is well-positioned to harness its competitive strengths and navigate the evolving real estate landscape. With continued strategic investments and innovation, Anywhere aims to enhance shareholder value and reach new heights in the rapidly changing market environment.

Overall, Anywhere Real Estate Inc. showcased remarkable resilience and operational prowess throughout 2024, setting the stage for an ambitious 2025.