Zillow Group (Z) Q4 2025 Earnings
How Did Z Stock React to Q4 2025 Earnings?
S&P 500 over the same 30 days: −3.31%.
Did Z Beat Earnings? Q4 2025 Results
No. Zillow Group reported Q4 2025 earnings of $0.39 a share on Feb 10, 2026, missing the $0.41 consensus estimate by 5.6%. Revenue was $654.0M against a $650.5M estimate.
Zillow Group closed out Q4 2025 with a beat on both top and bottom lines, reporting revenue of $654 million, up 18.1% year over year, against a consensus estimate of $650.50 million, while adjusted EPS of $0.39 edged past the $0.38 estimate by 1.80%. The headline story behind the quarter's strength was the explosive performance in Rentals, where revenue surged 45% year over year to $168 million, powered by multifamily revenue growth of 63% as the company's multifamily property count reached 72,000 at year-end. Equally notable, Zillow achieved full-year GAAP profitability for the first time in 2025, flipping from a $112 million net loss in 2024 to net income of $23 million. Despite the strong results, shares slid in premarket trading, reflecting investor caution around a challenging housing backdrop and elevated legal expenses flagged as near-term headwinds. Looking ahead, Zillow guided Q1 2026 revenue of $575 million to $590 million and continues to target mid-teens total revenue growth for the full year, with Rentals expected to grow approximately 30%.
- Multifamily rentals revenue grew 63% year over year in Q4, the primary driver of Rentals segment growth
- Enhanced Markets expanded to 44% of connections in Q4, up from 21% a year ago
- Purchase loan origination volume grew 67% year over year to $1.5 billion in Q4
- Zillow Home Loans loan officer productivity increased 11% in 2025 despite adding 40% more loan officers
- Traffic to Zillow Group apps and sites grew 8% year over year to 221 million average monthly unique users
- Zillow Showcase was on 3.7% of new listings in Q4, up from 1.7% a year ago
- Revenue outperformed the residential real estate industry by 1,500 basis points in Q4
“We delivered strong results in the fourth quarter and throughout 2025, achieving all our reported full-year financial targets, including positive net income, while continuing to gain share in both For Sale and Rentals.”
Zillow Group CEO, on the earnings call
What Was Zillow Group's Outlook in Q4 2025?
For Q1 2026, Zillow expects total revenue of $575 million to $590 million and Adjusted EBITDA of $35 million to $50 million. For Sale year-over-year revenue growth in Q1 is expected to be in line with or slightly better than the 11% Q4 growth, driven by Residential revenue growth in the high single-digit range and Mortgages revenue growth of approximately 40%. Rentals revenue is expected to grow approximately 40% year over year in Q1. Q1 Adjusted EBITDA expenses are expected to be $535 million to $540 million, with elevated legal expenses contributing approximately 200 basis points of headwind to Q1 Adjusted EBITDA margin. For full-year 2026, Zillow expects mid-teens total revenue growth year over year, Rentals year-over-year revenue growth of approximately 30%, a fixed cost base of approximately $1 billion growing with inflation, Adjusted EBITDA margin expansion year over year, and share-based compensation to decrease by more than 10% year over year. The outlook reflects expectations that challenging housing market conditions will continue.
Z YoY Financials
| Metric | Q4 2025 | Q4 2024 | Year over year |
|---|---|---|---|
| Revenue | $654.0M | $554.0M | +18.1% |
| Gross Profit | $476.0M | $420.0M | +13.3% |
| Operating Income | −$11.0M | −$6.0M | +84.1% |
| Net Income | $3.0M | $1.5M | +105.8% |
Z Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.