Business
The Real Brokerage Inc. Announces Second Quarter 2022 Financial Results
TORONTO & NEW YORK--(BUSINESS WIRE)-- The Real Brokerage Inc. ("Real" or the "Company") (NASDAQ: REAX) (TSX: REAX), an international, technology-powered real
About this update from The Real Brokerage, Inc.
[{"type":"text","content":" TORONTO & NEW YORK--(BUSINESS WIRE)--\nThe Real Brokerage Inc. (\"Real\" or the \"Company\") (NASDAQ: REAX) (TSX: REAX), an international, technology-powered real estate brokerage, is pleased to announce it has filed its financial results for the three and six months ended June 30, 2022.\n\nAdditional information concerning Real's unaudited consolidated financial statements and related management's discussion and analysis for the six months ended June 30, 2022 can be found on the Company's profile at www.sedar.com.\n\nSecond Quarter Financial Highlights\n\n\nRevenue increased 386% year-over-year to $112.4 million.\n\n\nGross profit grew 283% year-over-year to $9.3 million.\n\n\nNet operating loss was $4.2 million, compared to $2.8 million in Q2 2021.\n\n\nOperating expense as percentage of revenue decreased to 12%, compared to 23% in Q2 2021.\n\n\nNet loss attributable to owners of the Company was $4.2 million, compared to $2.9 million in Q2 2021.\n\n\nLoss per share was $0.02, compared to $0.03 in Q2 2021.\n\n\nAdjusted EBITDA loss was $2.0 million compared to an Adjusted EBITDA loss of $0.5 million in Q2 2021.\n\n\nCash flow from operations increased 86% year-over-year to $1.3 million, while free cash flow increased 49% year-over-year to just over $1.0 million.\n\n\nAs of June 30, 2022, the Company held $32.5 million in cash and cash equivalents and an additional $4.4 million held in investments in securities.\n\n\nThe Company repurchased $1.2 million of common shares pursuant to its normal course issuer bid.\n\n\n\"We are pleased that Real continued to grow at a tremendous pace above many of our competitors in the industry during the second quarter,\" said Tamir Poleg, Chairman and Chief Executive Officer. \"While we remain cautious in the current economic environment, we believe our strong agent count growth will likely offset any pressure from a potential market downturn. Our agent compensation structure along with our best-in-class technology and enterprising culture make us the right platform for agents through market cycles.”\n\nOperational Highlights\n\n\nSurpassed 5,600 agents at the end of Q2 2022, a 129% year-over-year increase.\n\n\nSubsequent to the end of the quarter in August, we reached the 6,000 agent milestone.\n\n\nThe value of completed real estate transactions grew 357% year-over-year to $4.1 billion.\n\n\...