Zillow

ZG Q1 2025 Earnings

Reported May 7, 2025 at 4:07 PM ET · SEC Source

Q1 25 EPS

$0.41

BEAT +10.81%

Est. $0.37

Q1 25 Revenue

$598.0M

BEAT +1.51%

Est. $589.1M

vs S&P Since Q1 25

-82.4%

TRAILING MARKET

ZG -52.6% vs S&P +29.8%

Market Reaction

Did ZG Beat Earnings? Q1 2025 Results

Zillow Group opened 2025 with a clean beat across the board, reporting first-quarter earnings per share of $0.41 against a consensus estimate of $0.37, a 10.81% positive surprise, while revenue of $598.00 million topped the $589.09 million expectatio… Read more Zillow Group opened 2025 with a clean beat across the board, reporting first-quarter earnings per share of $0.41 against a consensus estimate of $0.37, a 10.81% positive surprise, while revenue of $598.00 million topped the $589.09 million expectation by 1.51% and climbed 13.0% year over year. The headline story beneath the numbers was the company's return to GAAP profitability, with $8.00 million in net income marking a 500-basis-point improvement in net income margin year over year. The single biggest growth engine was Rentals, where revenue hit an all-time high of $129.00 million, up 33% year over year, fueled by a 47% surge in multifamily revenue. Adjusted EBITDA reached $153.00 million at a 26% margin, up 200 basis points year over year, underscoring disciplined cost management alongside top-line momentum. Still, shares fell after the print, with analysts pointing to the broader housing market's limited recovery as a near-term overhang. Looking ahead, Zillow guided Q2 revenue of $580.00 million to $600.00 million and maintained its full-year outlook for low- to mid-teens revenue growth with positive GAAP net income.

Key Takeaways

  • 13% year-over-year total revenue growth outpacing industry transaction value growth of 3-6%
  • Multifamily Rentals revenue grew 47% year over year, the main driver of Rentals segment growth
  • Purchase loan origination volume grew 32% year over year to $791 million
  • For Sale revenue per total transaction value expanded to 10.2 basis points from 9.7 basis points a year ago
  • Adjusted EBITDA margin expanded 200 basis points year over year to 26%
  • Cost discipline with fixed expenses up only 3% year over year
  • Traffic grew 5% year over year to 227 million average monthly unique users
24/7 Wall St

ZG YoY Financials

Q1 2025 vs Q1 2024, source: SEC Filings

24/7 Wall St

ZG Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26

“Our strong Q1 results surpassed our expectations and demonstrate how well we're executing. We are on track to meet our full-year 2025 goals, and we're well-positioned to deliver sustainable profitable growth.”

— Jeremy Wacksman, Q1 2025 Earnings Press Release