Zillow Group, Inc. (NASDAQ: Z) (NASDAQ: ZG) reported a smaller-than-expected loss, outperforming in its new home-flipping business. The Company lost USD .33 a share for the first quarter on revenue of USD 454 Million, compared to USD .35 a share loss on USD 433 Million, anticipated by Wall Street analysts. First quarter revenue is up 51% year-over-year.
Revenue was mainly driven by Zillow Offers, where the Company buys and sells homes. Zillow Offers will expand to 14 new markets in the fall, including Atlanta, Miami, Houston and Denver.
“We delivered strong first quarter results that met or exceeded our own expectations in all segments as our plan to streamline the real estate transaction comes together,” said Rich Barton, co-founder and CEO of Zillow Group, Inc. “Zillow Offers’ incredible consumer demand and rapid growth gives us confidence we’re in the early stages of something important. I’m quite pleased with our whole team’s execution and overall consumer and industry response to the investments we’re making in Premier Agent, Zillow Offers, and now Zillow Home Loans. The Zillow Group portfolio is more than just the sum of our business segments. We are aligning our entire portfolio to deliver a seamless, integrated transaction experience to help today’s on-demand consumers buy, sell, rent and finance homes faster and easier than ever before.”
For the second quarter, the company expects revenue to increase 79% year over year ranging from USD 230 Million to USD 240 Million due to good performance in the homes segment.