RE/MAX recently reported its fourth quarter and full-year operating results for 2020.
Full-Year 2020 Highlights
– Total agent count increased 5.3% to 137,792 agents
– U.S. and Canada combined agent count decreased 0.5% to 84,250 agents
– Total open Motto Mortgage franchises increased 27.0% to 141 offices
– Total Revenue of $266.0 million; revenue excluding the marketing funds decreased 4.0% to $201.6 million
– Net income attributable to RE/MAX Holdings, Inc. of $11.0 million and earnings per diluted share (GAAP EPS) of $0.60
– Adjusted EBITDA of $92.6 million, adjusted EBITDA margin of 34.8% and adjusted earnings per diluted share of $1.88
Fourth Quarter 2020 Highlights
– Total revenue of $72.4 million; revenue excluding the marketing funds increased 7.6% to $54.6 million
– Net income attributable to RE/MAX Holdings, Inc. of $1.3 million and earnings per diluted share of $0.07
– Adjusted EBITDA of $23.8 million, adjusted EBITDA margin of 32.8% and adjusted earnings per diluted share of $0.47
Operating Statistics as of Jan. 31, 2021
– Total agent count increased 5.3% to 137,742 agents
– U.S. and Canada combined agent count decreased 112 agents to 83,991 agents
– Total open Motto Mortgage franchises increased 21.4% to 142 offices
“A surging housing market underpinned strong fourth quarter results and provided a nice tailwind heading into 2021,” stated Adam Contos, RE/MAX Holdings chief executive officer. “Despite the pandemic, we delivered good organic growth, resulting in better-than-expected fourth-quarter revenue and profit, as well as robust free cash flow generation. Overall, RE/MAX agent count and Motto franchise sales continued to grow in the fourth quarter, with our Canadian agent count increasing nicely during the period. Agent count outside the U.S. and Canada also accelerated during the fourth quarter and grew an impressive 16% year-over-year. Motto Mortgage had an especially memorable year and finished off strong. We sold over 70 Motto franchises during 2020, a record, and over 35% higher than in 2019.”
Contos continued, “We expect the macro housing environment will remain buoyant in the coming year with ongoing amplified demand continuing to outpace supply. The battle for listings will stay highly competitive, and agents who are experienced, productive and armed with seller-focused tools, such as our First app, should enjoy an edge in that regard. We continue to support the productivity of our networks by enhancing our value proposition and strengthening our technology and data core. At the same time, we are also creating additional promising revenue possibilities, both by organic means and through strategic acquisitions, such as wemlo and Gadberry Group. Overall, we believe we are poised for meaningful growth in 2021 and beyond.”
For more information, please visit www.remax.com.
