Real Matters, Inc. · TSX:REAL
Real Matters — Q3 2024 Earnings Presentation
8 slides from Real Matters's earnings presentation, Aug 1, 2024
Slide 1: Q3 2024 Financial Results
Q3 2024 FINANCIAL RESULTS August 1, 2024 (all amounts are expressed in U.S. dollars, excluding per share amounts and unless otherwise stated)
Slide 2: Cautionary Note Regarding Forward-Looking Information
Cautionary Note Regarding Forward-Looking Information This presentation contains “forward-looking information” within the meaning of applicable Canadian securities laws. Words such as “aim”, “could”, “forecast”, “target”, “may”, “might”, “will”, “would”, “expect”, “anticipate”, “estimate”, “intend”,
Slide 3: Q3 2024 Highlights
Q3 2024 Highlights U.S. Appraisal • Revenues +15% QoQ $49.5M • Net Revenue1 margin of 27.6% (within Target Operating Model range), Net Revenue1 +12% QoQ +17% QoQ • Strong operating leverage: Adjusted EBITDA1 +25% QoQ Consolidated Revenues • YoY market share gains with 4 top clients • Outperformed U.
Slide 4: Q3 2024 and Fiscal 2024 Financial Highlights
Q3 2024 and Fiscal 2024 Financial Highlights QoQ YoY YoY millions of U.S. dollars Q3 2024 Q2 2024 Q1 2024 Q4 2023 Q3 2023 YTD 2024 YTD 2023 Change Change Change Revenues U.S. Appraisal $37.5 $32.6 $26.8 $31.2 $33.5 15% 12% $96.9 $89.7 8% U.S. Title 2.1 2.0 2.0 2.3 2.6 5% -18% 6.2 7.2 -14% Canada 9.9
Slide 5: Q3 2024 and Fiscal 2024 Non-GAAP Measures
Q3 2024 and Fiscal 2024 Non-GAAP Measures QoQ YoY YoY millions of U.S. dollars Q3 2024 Q2 2024 Q1 2024 Q4 2023 Q3 2023 YTD 2024 YTD 2023 Change Change Change 1 Net Revenue U.S. Appraisal $10.3 $9.2 $7.5 $8.6 $9.2 12% 12% $27.0 $24.6 10% 1 Net Revenue Margin 27.6% 28.3% 27.9% 27.5% 27.5% 27.9% 27.4%
Slide 6: Target Operating Model
Target Operating Model We are establishing a Target Operating Model based on our mortgage origination transaction volumes that reflects our expectations of the U.S. Appraisal Segment U.S. Title Segment profitability of our business at higher volume levels. Real Matters annual mortgage 550,000-620,00
Slide 7: Appendix A – Non-GAAP Measures
Appendix A – Non-GAAP Measures Net Revenue represents the difference between revenues and transaction costs. Net Revenue margin is calculated as Net Revenue divided by Revenues. The reconciling items between net income or loss and Net Revenue for the periods present below were as follows: Quarter en
Slide 8: Appendix A – Non-GAAP Measures
Appendix A – Non-GAAP Measures Adjusted EBITDA represents net income or loss before stock-based compensation expense, amortization, restructuring expenses, interest expense, interest income, net foreign exchange gain or loss, gain or loss on fair value of derivatives and income tax expense or recove