Compass shares fall as Q1 loss exceeds estimates despite revenue beat

Published 08/05/2025, 21:48
Compass shares fall as Q1 loss exceeds estimates despite revenue beat

NEW YORK - Compass Inc. (NYSE:COMP) reported mixed first quarter results on Thursday, with revenue beating expectations but earnings falling short of analyst estimates.

The real estate technology company’s shares dropped 3.3% in after-hours trading following the release.

Compass posted a loss of $0.09 per share for Q1 2025, wider than the $0.06 loss per share analysts were expecting. However, revenue came in at $1.4 billion, surpassing the consensus estimate of $1.34 billion and representing a 28.7% increase YoY.

The company’s quarterly market share grew 125 basis points YoY to a record 6.0%, while organic share was up 82 basis points. Compass also reported strong cash flow generation, with operating cash flow growing 169% YoY to $23.1 million in Q1.

"Despite the heightened market volatility in Q1, Compass achieved record Q1 free cash flow, record Q1 Adjusted EBITDA and grew revenue by 28.7% year-over-year," said Robert Reffkin, Founder and CEO of Compass.

For the second quarter, Compass expects revenue between $2.0 billion and $2.15 billion, compared to analyst expectations of $2.129 billion.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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