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Zillow reported earnings Thursday.
Zillow Group Inc.
Zillow Group Inc. reported its largest quarterly profit on record Thursday, as the real-estate market continues to sustain through online services, and shares shot toward record highs in late trading.
Zillow Z, +3.90% reported earnings of $39.6 million, or 17 cents a share, up from a loss of 31 cents a share a year ago. The company had not produced a quarterly GAAP profit since the same quarter three years ago, when it produced a then-record $9.2 million, according to FactSet records. On an adjusted basis, Zillow reported earnings of 39 cents a share, up from an adjusted loss of 12 cents a share a year ago and more than triple analysts’ expectations.
Total revenue was $656.7 million, down from $745 million a year ago, but well ahead of Zillow’s guidance of $543 million to $581 million. Analysts on average were expecting adjusted earnings of 12 cents a share on sales of $573 million, according to FactSet.
For the fourth quarter, Zillow predicted revenue of $709 million to $748 million, again outpacing analysts’ expectations, which called for sales of $683 million on average.
Zillow shares gained more than 9% in after-hours trading following the announcement, after closing with a 3.9% gain at $103.85, and were topping intraday record highs. The stock was up 8% premarket Friday.
It has already more than doubled this year, gaining 126.1% in 2020 as the S&P 500 index SPX, +1.94% has increased 6.6%.
