The Real Brokerage, Inc. · NASDAQ:REAX
The Real Brokerage — Q2 2025 Earnings Presentation
50 slides from The Real Brokerage's earnings presentation, Aug 7, 2025
Slide 1: August 2025
August 2025 Nasdaq: REAX investors.onereal.com investors.onereal.com
Slide 2: Forward-looking statements
Certain statements herein relating to The Real Brokerage Inc. (“Real” or the Future Oriented Financial Information: To the extent any forward-looking information “Company”) constitute “forward-looking statements”, within the meaning of in this Presentation constitutes “future-oriented financial info
Slide 3: Founded in 2014, Real is a real estate technology company
, , , , , Re enue ( mm) , , uarterly Re enue ( mm) , , , , , , Founded in 2014, The Real Brokerage Inc. , (“Real”) is a real estate technology company that is disrupting the traditional real estate brokerage model by providing agents with a higher value offering at a lower cost Combining a unique cu
Slide 4: Table of Contents
Table of Contents CHAPTERS O1/ Real Overview O02 / Financial Overview OS / Frequently Asked Questions 04 / Agent Survey Highlights 05 / Appendix read
Slide 5: Chapter 01: Real Overview
CHAPTER O1 REAL OVERVIEW “Our mission at Real is empowering each agent. Through innovation, we're not just enhancing efficiency, but fostering a culture of shared success and wealth creation. Our journey is about transforming the real estate landscape to make lives better, and sharing the fruits of
Slide 6: Disruptive, software-based real estate brokerage
Disruptive, software-based real estate Unique compensation model provides Software stack developed 100% Scalable platform has enabled significant brokerage with a vision to streamline the agents with attractive financial in-house and tailored to fit diverse needs revenue and gross profit growth, dri
Slide 7: First principles approach redefining the role of a real estate brokerage
We are taking a first principles approach redefining the role of a real estate brokerage in agents’ li es and the broader housing ecosystem By empowering agents with a differentiated business model and technology interface that simplifies the transaction experience, we aim to be the destination brok
Slide 8: Higher value at a lower cost than traditional brokerage models
Our business was designed to provide real estate agents higher value at a lower cost than traditional brokerage models Traditional FRANCHISE / MODEL Brokerage Software-based platform, no need for physical Established firms, national presence, physical Unified under a larger brand but independently o
Slide 9: Leo for Clients AI-driven homebuying solution
Announced in Q4 2024, Leo for Clients is expected to provide agents and clients a seamless AI-driven solution to simplify the homebuying process Our vision is to transform the complex homebuying process into a simple, one-stop solution from discovery to close. Initially launched as the OneReal mobil
Slide 10: Revenue model lets agents earn more income and generate wealth
Our revenue model provides agents the ability to earn more income and generate wealth from multiple sources Competitive 85% / 15% Unique top-down model Stock Purchase Plan (SPP) allows agents to invest a portion of commissions into commission split in provides agents REAX shares and build equity in
Slide 11: Revenue sharing gives agents income from attracted agents
Revenue sharing gives agents the ability to earn income from commissions generated by agents whom they attract to Real Direct Referrals: If a Real agent brings in a new agent, they earn a share of the newcomer's commissions (up to a cap). This shared revenue is paid from Real's typical 15% commissio
Slide 12: Proprietary software platform reZEN
Our proprietary software platform, reZEN, offers a comprehensive range of tools tailored for today's real estate agents Proprietary transaction management Emphasis on agent branding within Community feature for agents to Automation of back-office platform provides holistic view of an their local mar
Slide 13: Leo CoPilot agent command center
In Q4 2024, Real unveiled Leo CoPilot, an innovative, proactive enhancement of its AI-powered virtual assistant for agents Leo CoPilot serves as an agent command center, anticipating each agent’s unique needs and providing personalized support. Powered by GPT Provides relevant Tailors marketing asse
Slide 14: Technology enables capital efficient growth
Real's strategic use of technology enables capital efficient growth, requiring minimal upfront investment to generate revenue growth Software platform enables near-zero upfront cost for each new agent addition, driving operating leverage and capital efficient growth Absence of physical infrastructur
Slide 15: Agent count grown over 7x since end of 2021
Real has grown agent count by over 7x since the end of 2021; today we represent less than 2% of the industry , Real gents xisting omes ales R , , , , million , , , , , , , , , , maller ri ate , , rokerages , of gents , , , , , , , caled ri ate , , rokerages , , , , , , , ublic , rokerages <2% Source
Slide 16: Ancillary services opportunity to enhance unit economics
Integrating mortgage, title, and other ancillary services provides an opportunity to enhance per-transaction unit economics and drive long-term margin expansion Other Real Estate Services ~$20-30bn (Insurance, Inspection, Renovation Financing, Staging, etc.) U.S. Residential Mortgage Commissions Gre
Slide 17: Real Wallet for U.S. and Canadian agents
Launched in Q4 2024, Real Wallet offers U.S. agents a Real- branded debit card and Canadian agents a business line of credit tied to their revenue and assets Access earnings faster – Business Checking Accounts reducing delays from legacy to help agents better manage brokerage and banking business fi
Slide 18: Empowering a vibrant agent community
By empowering a vibrant community through technology, Real agents collaborate, share best practices, and foster a uniquely tight-knit bond 18
Slide 19: Culture and values
Real prides itself on attracting like-minded people who are passionate about succeeding in real estate Kindness is a superpower and the Together, we move further and faster The technology we build serves a fuel that keeps us growing. We stand toward groundbreaking change in bigger purpose – to make
Slide 20: Leadership team experience
Real’s leadership team brings significant experience in scaling growth businesses across the Real Estate, Technology and Financial Services industries Optimum RE Blade Air Mobility Realty Crunch Orchard Rodan + Fields Lennar Corvus Insurance AOL Investments Citadel Winito Inc. Yodle Aero Greenberg T
Slide 21: Chapter: Financial Overview
CHAPTER 02 “Our focus is on driving execution, expanding margins, and allocating capital to create long-term value for agents, consumers, and shareholders.” read
Slide 22: Agent Count and Transaction Growth
FINANCIAL OVERVIEW /01/ KEY PERFORMANCE INDICATORS Agent Count and Transaction Growth End of Period Agent Count Last Twelve Months Transactions Closed 154,101 28,034 26,870 135,186 24,140 120,601 21,770 19,540 102,980 16,680 87,545 13,650 74,715 12,175 66,646 11,500 58,642 10,000 49,478 : 42,165 | Q
Slide 23: Gross Market Value and Median Sale Price
FINANCIAL OVERVIEW /02/ KEY PERFORMANCE INDICATORS Gross Market Value and Median Sale Price Last Twelve Months Gross Market Value Closed (Sbn) $62.5 $55.0 $49.0 $41.2 $34.9 $29.3 $25.9 $22.6 $18.7 $16.0 | Q123 Q223 Q323 Q423 Q124 Q224 Q324 Q424 Q125 Q225 read Median Home Sale Price (SOOOs) $350 Q123
Slide 24: Revenue and Adjusted EBITDA
, Re enue ( mm) d usted ( mm) uarterly Re enue ( mm) uarterly d usted ( mm) , , , ( ) 24
Slide 25: Seasonality in gross margin and operating expense
Re enue hare as of Re enue d usted perating xpense as of Re enue Seasonality in our gross margin is impacted by the mix of agents who Our operating expenses include revenue share, which is a variable have reached their annual cap in any given quarter – this mix tends to marketing expense. Adjusted o
Slide 26: Unrestricted cash, investments and total debt
nrestricted Cash n estments ( mm) otal ebt ( mm) Historical Net Cash Provided by Operating Activities has been restated to align with U.S. GAAP reporting requirements. 26
Slide 27: Revenue and cost structure
• Primary revenue source is commissions on transactions closed by Real agents, supplemented by brokerage fees and ancillary offerings • Costs directly associated with agents and brokers who facilitate transactions, including stock- based compensation • Agents typically receive 85% of gross commissio
Slide 28: Illustrative unit economics per transaction
$10,000 • Illustrative 2.5% agent commission on a transaction value of $400,000 $8,500 • Reflects agent’s commission split $1,500 • Reflects Real’s commission split 15% $900 • p to of Real’s commission split is paid out in Re enue hare $600 • Reflects variable profit per transaction before allocatio
Slide 29: Chapter: Frequently Asked Questions
CHAPTER 03 FREQUENTLY ASKED QUESTIONS “At Real, we attract the best people to provide the best agent experience. Guided by our ‘Work Hard. Be Kind.’ ethos, we foster a supportive and collaborative environment in order to streamline operations, and enhance efficiencies, ensuring our agents have every
Slide 30: Factors influencing agents to join Real
95% 92% Percentage of Agents Selecting 89% ‘Influential’ or ‘Very Influential’ 82% 0-2 100% 83% 83% 78% 94% 72% 74% 72% Agent Years of Experience 3-5 96% 96% 77% 85% 83% 85% 6-10 96% 94% 89% 79% 69% 70% 11-19 91% 88% 95% 84% 64% 71% 20+ 94% 94% 97% 83% 66% 70% Economics Culture Equity Technology Ref
Slide 31: Agents by U.S. state and Canadian province
, U.S. Canada , , , , , , As of June 30, 2025; state/province totals exceed reported agent count due to agents that are licensed in multiple states. 31
Slide 32: Mortgage and title licensing footprint
WA Mortgage and Title1 Mortgage Only OR MN Title Only SD WI MI PA NJ NE DC NV OH MD IL DE CA UT CO VA NC TN AZ SC GA AL MS TX LA FL 1One Real Escrow in California 32
Slide 33: Agent growth versus public brokerage peers
1 1 2 23 1 11 5 2 2 (2 (5 (5 ( PEER PEER REAX COMP DOUG FTHM EXPI HOUS RMAX REAX COMP FTHM RMAX HOUS EXPI DOUG AVERAGE AVERAGE Public brokerage peers consist of eXp World Holdings, Inc. (EXPI), RE/MAX Holdings, Inc (RMAX), Compass, Inc. (COMP), Douglas Elliman Inc. (DOUG), Anywhere Real Estate Inc.
Slide 34: Employees and agents per employee versus peers
7,805 5 324 2 Marketing & Growth Administrative 2,566 2 2,001 11 R&D 11 Operations 783 270 otal ull i e ne eal itle ne eal Mortgage ro erage ployees ployees ployees ployees HOUS COMP EXPI DOUG FTHM 5 53 41 40 13 8 Agents Per otal Agents Per otal FTHM EXPI HOUS COMP DOUG ull i e ployee ull i e ro era
Slide 35: Chapter: Real Agent Survey Highlights
CHAPTER 04 REAL AGENT SURVEY HIGHLIGHTS “We are proud to be the only real estate brokerage where 100% of our agents use our proprietary software platform. This full adoption enables us to automate manual processes, and leverage AI and machine learning to provide deeper insights, predictive analytics
Slide 36: Agent Optimism Index
76.4 76.4 73.7 73.7 74.0 74.2 The Real Monthly Agent Survey was initially 73.1 73.0 71.9 launched in January 2024. Each month, 70.4 71.4 70.4 agents are asked: “Compared to one month 69.2 69.2 68.5 68.8 ago, are you more optimistic or pessimistic 67.0 66.8 about the outlook for your primary market 6
Slide 37: Transaction Growth Index
51.3 50.8 ach month, agents are asked: “ n your 49.9 50.2 50.2 50.2 primary market, how would you describe 49.0 49.4 49.0 49.1 the number of transactions closed 48.7 48.5 48.6 48.3 47.8 47.8 47.7 compared to the same month last year?” 47.3 47.4 46.8 46.9 46.8 46.6 46.2 45.7 Scores are weighted on a
Slide 38: Buyer's, seller's or balanced market
13% ach month, agents are asked: “ s of the 15% 16% 18% 20% 20% 23% current month, would you consider your 25% 25% 27% 30% 30% 32% 33% 34% primary market to be a buyer's market, 35% 43% seller's market, or balanced market?” 48% 26% 23% 28% In June, 48% of agents said their local 33% 30% market favor
Slide 39: Biggest challenge for buyers
2% 2% 3% 2% 3% 2% 5% 4% 4% 2% 4% 3% 3% 3% 4% 4% 2% 4% 5% 4% 6% 4% 3% 5% 4% 5% 6% 2% 4% 4% 5% 5% ach month, agents are asked: “What is the 5% 6% 6% 5% 5% 5% 7% 5% 8% 10% biggest challenge currently for buyers in 8% 14% 13% 10% 15% your primary market?” 12% 18% 20% 21% 26% 23% 28% Affordability remain
Slide 40: Lead generation strategies and search portals
Responses to: As of January 2025, what is Responses to: Do you plan to use home For agents who use search portals, responses currently your most effective lead search portals (Zillow, Homes.com, to: Approximately how much do you expect to generation strategy? Realtor.com) for any of your lead genera
Slide 41: Agent use of AI tools
Responses to: How often do you use Responses to: What is the biggest benefit Responses to: What is your biggest concern AI tools in your work? you've experienced from using AI in your regarding the use of AI in real estate? work? Every Day Significant Time Savings Reduced Human Bias or Connection In
Slide 42: Importance of brokerage brand affiliation
Responses to: ow important do belie e your brokerage brand affiliation is in a client’s decision to work with you? 3% 7% 9% 9% 14% 12% Not So Somewhat Important Important 28% 21% 31% 27% 30% 38% 29% 27% 44% 31% 45% 39% 35% 36% 9% 20% 24% 6% 19% 22% 14% 15% 26% Very Important Not 7% 7% 7% 6% Importan
Slide 43: Chapter 05: Appendix
CHAPTER O05 APPENDIX “At Real, we believe in our agents and the innovative, inclusive community they create. We are deeply committed to their success, to empowering them with the resources and support they need to thrive, and to helping them rise together, because our brand is built upon who we are
Slide 44: Balance sheet
As of (Expressed in thousands of U.S. dollars) June 30, 2025 December 31, 2024 ASSETS CURRENT ASSETS Cash and cash equivalents $49,614 $23,376 Restricted cash 46,302 24,089 Investments in financial assets 5,158 9,449 Trade receivables 26,821 14,235 Other receivables 51 117 Short-term financing recei
Slide 45: Statement of operations, three months ended June 30
Three Months Ended June 30, (Expressed in thousands of U.S. dollars, except for per share amounts) 2025 2024 Revenues $540,747 $340,778 Cost of Sales 492,886 308,910 Gross Profit $47,861 $31,868 General and administrative expenses 18,900 14,015 Marketing expenses 23,284 15,889 Research and developme
Slide 46: Statement of cash flows
Three Months Ended June 30, (Expressed in thousands of U.S. dollars) 2025 2024 OPERATING ACTIVITIES Net Income (Loss) $1,550 ($1,110) Adjustments to reconcile net income (loss) to net cash provided by operating activities: Depreciation and amortization 398 340 Equity-settled stock-based payment 17,7
Slide 47: Revenue streams by quarter
2022 2023 2024 2025 (Expressed in thousands of U.S. dollars) Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Main Revenue Streams: Commissions $61,247 $111,850 $111,149 $95,622 $107,115 $184,022 $213,319 $180,417 $199,252 $338,574 $369,890 $348,083 $351,749 $537,445 Title Revenue 402 506 484 477 598 948 9
Slide 48: Adjusted EBITDA reconciliation
2022 2023 2024 2025 (Expressed in thousands of U.S. dollars) Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Net Income (Loss) ($4,252) ($4,155) ($5,169) ($6,759) ($7,315) ($3,972) ($3,939) ($11,990) ($16,097) ($1,110) ($2,541) ($6,705) ($5,121) $1,550 Add/(Deduct): Finance Expenses, Net 368 398 903 (217)
Slide 49: Adjusted operating expense reconciliation
2022 2023 2024 2025 (Expressed in thousands of U.S. dollars) Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Operating expense $10,129 $13,496 $12,886 $15,184 $17,846 $21,499 $22,742 $26,796 $36,477 $32,512 $34,607 $36,371 $39,145 $46,177 Less: Revenue Share Expense 2,703 4,376 3,876 4,020 5,434 7,684 7,9
Slide 50: Transaction, agent and efficiency metrics
2022 2023 2024 2025 (Expressed in thousands of U.S. dollars) Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Transaction Data Closed Transaction Sides 6,248 10,224 11,233 9,745 10,963 17,537 20,397 17,749 19,032 30,367 35,832 35,370 33,617 49,282 Total Value of Home Side Transactions ($, billions) $2.4 $4