eXp World Holdings Reports Q3 2024 Results
eXp World Holdings reported Q3 2024 financial results with revenue increasing 2% to $1.2 billion. The company recorded a net loss of $6.5 million, impacted by an $18.0 million litigation contingency provision. Adjusted EBITDA grew 15% to $23.9 million. The company's agent count decreased 4% to 85,249, while transaction volume increased 5% to $50.8 billion. Cash and cash equivalents stood at $130.4 million. The company announced a $34.0 million settlement for industry class-action lawsuits and declared a quarterly dividend of $0.05 per share.
eXp World Holdings ha riportato i risultati finanziari del terzo trimestre del 2024, con un aumento del fatturato del 2% a 1,2 miliardi di dollari. L'azienda ha registrato una perdita netta di 6,5 milioni di dollari, influenzata da una provvista per contenziosi di 18,0 milioni di dollari. L'EBITDA corretto è cresciuto del 15% a 23,9 milioni di dollari. Il numero di agenti dell'azienda è diminuito del 4% a 85.249, mentre il volume delle transazioni è aumentato del 5% a 50,8 miliardi di dollari. Liquidità e disponibilità liquide ammontavano a 130,4 milioni di dollari. L'azienda ha annunciato un accordo di 34,0 milioni di dollari per cause legali collettive nel settore e ha dichiarato un dividendo trimestrale di 0,05 dollari per azione.
eXp World Holdings reportó los resultados financieros del tercer trimestre de 2024, con un aumento del 2% en los ingresos a 1,2 mil millones de dólares. La compañía registró una pérdida neta de 6,5 millones de dólares, afectada por una provisión de contingencia por litigios de 18,0 millones de dólares. El EBITDA ajustado creció un 15% hasta 23,9 millones de dólares. El número de agentes de la compañía disminuyó un 4% a 85,249, mientras que el volumen de transacciones aumentó un 5% a 50,8 mil millones de dólares. El efectivo y equivalentes de efectivo se situaron en 130,4 millones de dólares. La compañía anunció un acuerdo de 34,0 millones de dólares por demandas colectivas en la industria y declaró un dividendo trimestral de 0,05 dólares por acción.
eXp 월드 홀딩스가 2024년 3분기 재무 결과를 보고했으며, 매출은 2% 증가하여 12억 달러에 이르렀습니다. 회사는 650만 달러의 순손실을 기록했으며, 이는 1800만 달러의 소송 관련 충당금에 영향을 받았습니다. 조정된 EBITDA는 15% 증가하여 2390만 달러에 달했습니다. 회사의 에이전트 수는 4% 감소한 85,249명으로, 거래량은 5% 증가한 508억 달러에 이르렀습니다. 현금 및 현금성 자산은 1억 3040만 달러에 달했습니다. 회사는 산업 집단 소송에 대해 3400만 달러의 합의를 발표하며, 분기 배당금으로 주당 0,05달러를 선언했습니다.
eXp World Holdings a annoncé les résultats financiers du troisième trimestre 2024, avec un chiffre d'affaires en hausse de 2% atteignant 1,2 milliard de dollars. L'entreprise a enregistré une perte nette de 6,5 millions de dollars, impactée par une provision pour litiges de 18,0 millions de dollars. Le BAIIA ajusté a progressé de 15% pour atteindre 23,9 millions de dollars. Le nombre d'agents de l'entreprise a diminué de 4% pour atteindre 85 249, tandis que le volume des transactions a augmenté de 5% pour atteindre 50,8 milliards de dollars. La trésorerie et les équivalents de trésorerie s'élevaient à 130,4 millions de dollars. L'entreprise a annoncé un règlement de 34,0 millions de dollars pour des recours collectifs dans l'industrie et a déclaré un dividende trimestriel de 0,05 dollar par action.
eXp World Holdings hat die finanziellen Ergebnisse des dritten Quartals 2024 veröffentlicht, wobei der Umsatz um 2% auf 1,2 Milliarden Dollar gestiegen ist. Das Unternehmen verzeichnete einen Nettoverlust von 6,5 Millionen Dollar, der durch eine Rückstellung für Rechtsstreitigkeiten in Höhe von 18,0 Millionen Dollar beeinträchtigt wurde. Das bereinigte EBITDA stieg um 15% auf 23,9 Millionen Dollar. Die Anzahl der Agenten im Unternehmen sank um 4% auf 85.249, während das Transaktionsvolumen um 5% auf 50,8 Milliarden Dollar anstieg. Liquidität und liquide Mittel beliefen sich auf 130,4 Millionen Dollar. Das Unternehmen gab eine Einigung in Höhe von 34,0 Millionen Dollar für Branchenklagen bekannt und erklärte eine vierteljährliche Dividende von 0,05 Dollar pro Aktie.
- Revenue increased 2% to $1.2 billion
- Adjusted EBITDA grew 15% to $23.9 million
- Transaction volume increased 5% to $50.8 billion
- Agent Net Promoter Score improved to 76 from 74
- Cash position strengthened to $130.4 million
- Net loss of $6.5 million compared to $2.3 million profit in Q3 2023
- Agent count decreased 4% to 85,249
- $18.0 million litigation contingency provision impact
- $34.0 million settlement cost for class-action lawsuits
Insights
eXp World Holdings delivered mixed Q3 2024 results with some concerning metrics. While revenue grew
Key operational metrics show challenges - agent count declined
BELLINGHAM, Wash., Nov. 07, 2024 (GLOBE NEWSWIRE) -- eXp World Holdings, Inc. (Nasdaq: EXPI), or the “Company”, the holding company for eXp Realty®, FrameVR.io and SUCCESS® Enterprises, today announced financial results for the third quarter ended Sept. 30, 2024.
“This is an exciting and pivotal time for eXp agents worldwide,” said Glenn Sanford, eXp World Holdings Founder, Chairman and CEO. “We continue to operate the most innovative, agent-centric real estate brokerage on the planet, improving the agent value proposition by leveraging technology like generative AI to help eXp agents and employees work faster, better and smarter. Our competitive value proposition and continued strong agent NPS score indicate we are well-positioned for success as the market begins to turn. Worldwide, we continue to unlock the international opportunities by supporting tools like HomeHunter.global and our expected upcoming expansion of the eXp Realty model into Türkiye, Peru, and Egypt markets that we announced at eXpcon last week.”
“We are thrilled to announce that eXp Realty welcomed several high-achieving independent brokerages and agent teams to our platform in the third quarter,” said Leo Pareja, CEO of eXp Realty. “Leading independent brokerages, recognized as powerhouses in their regions, are choosing eXp to accelerate their growth and maximize their earnings potential. Our innovative business model and exceptional value proposition set us apart in the industry, and our strategic investments in cutting-edge programs and technology make eXp an incredibly attractive option for independent brokerages. By joining eXp, they gain access to resources and support that would be prohibitively expensive to develop independently.”
“In the third quarter, we increased our margins and profitability, despite a continued challenging market, demonstrating the strength and sustainability of our business model,” stated Kent Cheng, Principal Financial Officer and Chief Accounting Officer of eXp World Holdings. “Simultaneously, we are committed to investing in our agents by hosting inspiring events like eXpcon in the fourth quarter and continuing to lead the industry in agent technology innovations.”
Third Quarter 2024 Consolidated Financial Highlights as Compared to the Same Year-Ago Period:
- Third quarter revenue increased
2% to$1.2 billion , driven by increased home sales prices and the superior productivity of our agents. - Third quarter net (loss) income from continuing operations of (
$6.5 million ) compared to net income of$2.3 million in the third quarter of 2023. Net income was impacted unfavorably by an$18.0 million litigation contingency provision related to the antitrust settlement. Third quarter net (loss) income from continuing operations per diluted share of ($0.04) compared to$0.01 in the year-ago quarter.
- Third quarter adjusted net income1 (a non-GAAP financial measure) excluding antitrust litigation contingency provision and discontinued operations was
$7.8 million compared to adjusted net income of$2.3 million in the year-ago quarter. Third quarter adjusted net income per diluted share of$0.05 compared to adjusted$0.01 in the third quarter of 2023. - Third quarter adjusted operating costs2 (a non-GAAP financial measure) were
$78.0 million , a1% decrease compared to the third quarter of 2023. This decrease was driven by lower technology and development expenses and lower sales and marketing expenses, partially offset by increased legal expenses associated with the antitrust lawsuit. - Third quarter adjusted EBITDA3 (a non-GAAP financial measure) of
$23.9 million , an increase of15% compared to the third quarter of 2023. Adjusted EBITDA was higher year over year, due to improved business efficiencies, reduced costs, and higher revenues and gross profit. - As of Sept. 30, 2024, cash and cash equivalents totaled
$130.4 million , compared to$120.4 million in the year-ago quarter. The Company repurchased approximately$35.0 million of common stock during the third quarter of 2024. - The Company paid a cash dividend for the third quarter of 2024 of
$0.05 per share of common stock on Aug. 30, 2024. On Nov. 4, 2024, the Company’s Board of Directors declared a cash dividend of$0.05 per share of common stock for the fourth quarter of 2024, expected to be paid on Dec. 2, 2024 to stockholders of record on Nov. 18, 2024.
Third Quarter 2024 Operational Highlights as Compared to the Same Year-Ago Period:
- eXp ended the third quarter of 2024 with a global agent Net Promoter Score (aNPS) of 76, up from 74 a year ago. aNPS is a measure of agent satisfaction and an important key performance indicator (KPI) given the Company’s intense focus on improving the agent experience.
- Agents and brokers on the eXp Realty platform decreased
4% year-over-year to 85,249 as of Sept. 30, 2024 as we continue to off-board less productive agents. However, we are committed to retaining our most productive agents in the United States and Canada through the execution of our growth strategies and the end-to-end suite of services we offer our agents. - Real estate sales transactions decreased
1% year-over-year to 117,830. - Transaction volume increased
5% year-over-year to$50.8 billion . - Welcomed several independent brokerage teams to eXp Realty, including:
- Matt Fetick Team, previously ranked No. 87 nationally with Keller Williams. On the 2024 RealTrends The Thousand rankings, the Matt Fetick Team was No. 132 among Large Teams by Sides and No. 163 on the Large Teams by Volume list, with 244 sides and nearly
$116 million in volume. - Delhougne Realty Group, a leading independent brokerage in St. Louis. In 2023, the Delhougne Realty Group achieved a remarkable
$353,330,000 in sales volume with 1,160 transactions, earning over 2,000 5-star reviews on Zillow. - Polsinello Team, with 25 highly skilled agents, achieved 218 closed transactions totaling
$213 million in volume in 2023. - The Bryce Hansen Team, a leading real estate team based in the Comox Valley on Vancouver Island, has consistently delivered outstanding results, including nearly
$178.5 million in closed sales in 2023 alone. - Brandon Brittingham, a leading force in Maryland’s real estate scene, has moved his 30-person team to eXp Realty.
- Grand Lux Realty based in Westchester County, the lower Hudson Valley and Fairfield County, Connecticut. With over 200 agents, Grand Lux Realty expects to exceed
$100 million in annual sales and set new industry standards by joining forces with eXp Realty. - CanZell Realty, a multimillion-dollar independent brokerage, operates across 20 states and is renowned for its client-first approach and commitment to giving back.
- Matt Fetick Team, previously ranked No. 87 nationally with Keller Williams. On the 2024 RealTrends The Thousand rankings, the Matt Fetick Team was No. 132 among Large Teams by Sides and No. 163 on the Large Teams by Volume list, with 244 sides and nearly
- Launched Groups Within eXp Commercial for Unmatched Advisor Collaboration and Streamlined Deals.
- Named Donald Cherry Vice President of Sustainability.
Subsequent Events Highlights:
- On Oct. 1, 2024, eXp World Holdings entered into a settlement term sheet to pay
$34.0 million to settle various industry class-action lawsuits on a nationwide basis. The settlement would release the Company, its subsidiaries and affiliates, and their independent contractor real estate agents in the U.S. from the associated claims. The proposed settlement remains subject to preliminary and final court approval and will become effective only upon such final approval.
Third Quarter 2024 Results – Virtual Fireside Chat
The Company will hold a virtual fireside chat and investor Q&A with eXp World Holdings Founder and Chief Executive Officer Glenn Sanford; eXp Realty Chief Executive Officer Leo Pareja; eXp World Holdings Principal Financial Officer and Chief Accounting Officer Kent Cheng; Chief Marketing Officer Wendy Forsythe; and Chief Innovation Officer Seth Siegler on Thursday, Nov. 7, 2024 at 2 p.m. PT / 5 p.m. ET.
The investor Q&A is open to investors, current stockholders and anyone interested in learning more about eXp World Holdings and its companies. Submit questions in advance for inclusion to investors@eXpWorldHoldings.com.
Date: Thursday, Nov. 7, 2024
Time: 2 p.m. PT / 5 p.m. ET
Location: exp.world. Join at https://exp.world/earnings
Livestream: expworldholdings.com/events
About eXp World Holdings, Inc.
eXp World Holdings, Inc. (Nasdaq: EXPI) is the holding company for eXp Realty®, FrameVR.io and SUCCESS® Enterprises.
eXp Realty is the largest independent real estate company in the world with more than 85,000 agents in the United States, Canada, the United Kingdom, Australia, France, India, Mexico, Portugal, South Africa, Puerto Rico, Brazil, Italy, Hong Kong, Colombia, Spain, Israel, Panama, Germany, the Dominican Republic, Greece, New Zealand, Chile, Poland and Dubai and continues to scale internationally. As a publicly traded company, eXp World Holdings provides real estate professionals the unique opportunity to earn equity awards for production goals and contributions to overall company growth. eXp World Holdings and its businesses offer a full suite of brokerage and real estate tech solutions, including an innovative residential and commercial brokerage model, professional services, collaborative tools and personal development. The cloud-based brokerage is powered by FrameVR.io technology, offering immersive 3D platforms that are deeply social and collaborative, enabling agents to be more connected and productive. SUCCESS® Enterprises, anchored by SUCCESS® magazine and its related media properties, was established in 1897 and is a leading personal and professional development brand and publication.
For more information, visit https://expworldholdings.com.
eXp World Holdings, Inc. intends to use its Investor Relations website, its X (formerly Twitter) feed (@eXpWorldIR), Facebook page (https://www.facebook.com/eXpWorldHoldings), Instagram account (@eXpWorldHoldings), LinkedIn page (https://www.linkedin.com/company/expworldholdings/), as well as eXp Realty, LLC’s X (formerly Twitter) feed (@eXpRealty), Facebook page (https://www.facebook.com/eXpRealty), Instagram account (@eXpRealty_), and LinkedIn account (https://www.linkedin.com/company/exp-realty/) as a means of disclosing material non-public information and to comply with its disclosure obligations under Regulation FD.
Use of Non-GAAP Financial Measures
To provide investors with additional information regarding our financial results, this press release includes references to adjusted EBITDA, adjusted net income, and adjusted operating costs which are non-U.S. GAAP financial measures that may be different from similarly titled measures used by other companies. These measures are presented to enhance investors’ overall understanding of the Company’s financial performance and should not be considered a substitute for, or superior to, the financial information prepared and presented in accordance with U.S. GAAP.
The Company’s non-GAAP financial measure provides useful information about financial performance, enhances the overall understanding of past performance and future prospects, and allows for greater transparency with respect to key metrics used by management for financial and operational decision-making. This measure may also provide additional tools for investors to use in comparing core financial performance over multiple periods with other companies in the industry.
- Adjusted EBITDA helps identify underlying trends in the business that could otherwise be masked by the effect of the expenses excluded in adjusted EBITDA. In particular, the Company believes the exclusion of stock and stock option expenses provides a useful supplemental measure in evaluating the performance of operations and provides better transparency into results of operations. The Company defines adjusted EBITDA to mean net income (loss) from continuing operations, excluding other income (expense), income tax benefit (expense), depreciation, amortization, impairment charges, litigation contingency expenses, stock-based compensation expense, and stock option expense.
- Adjusted net income helps identify underlying trends in the business that could otherwise be masked by the effect of significant non-operating related expenses that management does not consider ongoing. The Company defines adjusted net (loss) income to mean net (loss) income adjusted for net loss from discontinued operations and the after tax impact of the litigation contingency accrual.
- Adjusted operating cost helps the reader understand the trends in our general, administrative, technology and other costs. The Company defines adjusted operating costs as operating costs excluding commissions and other agent-related costs and the litigation contingency.
Adjusted EBITDA, adjusted net income, and adjusted operating costs should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with U.S. GAAP.
Safe Harbor Statement
The statements contained herein may include statements of future expectations and other forward-looking statements that are based on management’s current views and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. These statements include, but are not limited to, statements about future cost saving measures; improvements in technology and operational processes; revenue growth; dividends; statements relating to the settlement of antitrust lawsuits; and financial performance. Such forward-looking statements speak only as of the date hereof, and the Company undertakes no obligation to revise or update them. Such statements are not guarantees of future performance. Important factors that may cause actual results to differ materially and adversely from those expressed in forward-looking statements include changes in business or other market conditions; outcomes of ongoing litigation; the difficulty of keeping expense growth at modest levels while increasing revenues; and other risks detailed from time to time in the Company’s Securities and Exchange Commission filings, including but not limited to the most recently filed Quarterly Report on Form 10-Q and Annual Report on Form 10-K.
Media Relations Contact:
eXp World Holdings, Inc.
mediarelations@expworldholdings.com
Investor Relations Contact:
Denise Garcia
investors@expworldholdings.com
EXP WORLD HOLDINGS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except share amounts and per share data)
| Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Revenues | ||||||||||||||||
| Commissions and other agent-related costs | 1,143,535 | 1,130,070 | 3,205,949 | 3,042,523 | ||||||||||||
| General and administrative expenses | 61,390 | 60,363 | 185,132 | 179,905 | ||||||||||||
| Technology and development expenses | 13,804 | 15,480 | 43,413 | 44,428 | ||||||||||||
| Sales and marketing expenses | 2,792 | 3,175 | 8,962 | 8,962 | ||||||||||||
| Litigation contingency | 18,000 | - | 34,000 | - | ||||||||||||
| Total operating expenses | 1,239,521 | 1,209,088 | 3,477,456 | 3,275,818 | ||||||||||||
| Operating (loss) income | (8,334 | ) | 3,705 | (7,971 | ) | 16,544 | ||||||||||
| Other (income) expense | ||||||||||||||||
| Other (income) expense, net | (801 | ) | (702 | ) | (3,738 | ) | (2,871 | ) | ||||||||
| Equity in losses of unconsolidated affiliates | 281 | 354 | 804 | 839 | ||||||||||||
| Total other (income) expense, net | (520 | ) | (348 | ) | (2,934 | ) | (2,032 | ) | ||||||||
| (Loss) income before income tax expense | (7,814 | ) | 4,053 | (5,037 | ) | 18,576 | ||||||||||
| Income tax (benefit) expense | (1,333 | ) | 1,788 | 3,508 | 2,962 | |||||||||||
| Net (loss) income from continuing operations | (6,481 | ) | 2,265 | (8,545 | ) | 15,614 | ||||||||||
| Net loss from discontinued operations | (2,025 | ) | (916 | ) | (3,217 | ) | (3,390 | ) | ||||||||
| Net (loss) income | ( | ) | ( | ) | ||||||||||||
| Earnings (loss) per share | ||||||||||||||||
| Basic, net (loss) income from continuing operations | ( | ) | ( | ) | ||||||||||||
| Basic, net (loss) income from discontinued operations | (0.01 | ) | (0.01 | ) | (0.02 | ) | (0.02 | ) | ||||||||
| Basic, net (loss) income | (0.06 | ) | 0.01 | (0.08 | ) | 0.08 | ||||||||||
| Diluted, net (loss) income from continuing operations | (0.04 | ) | 0.01 | (0.06 | ) | 0.10 | ||||||||||
| Diluted, net (loss) income from discontinued operations | (0.01 | ) | (0.01 | ) | (0.02 | ) | (0.02 | ) | ||||||||
| Diluted, net (loss) income | ( | ) | ( | ) | ||||||||||||
| Weighted average shares outstanding | ||||||||||||||||
| Basic | 153,259,842 | 153,392,005 | 153,858,160 | 153,065,727 | ||||||||||||
| Diluted | 153,259,842 | 158,183,888 | 153,858,160 | 156,834,985 | ||||||||||||
| Comprehensive (loss) income: | ||||||||||||||||
| Net (loss) income | ( | ) | ( | ) | ||||||||||||
| Other comprehensive income (loss): | ||||||||||||||||
| Foreign currency translation gain (loss), net of tax | 915 | (527 | ) | (872 | ) | 180 | ||||||||||
| Comprehensive (loss) income attributable to eXp World Holdings, Inc. | ( | ) | ( | ) | ||||||||||||
| CONSOLIDATED US-GAAP NET INCOME TO ADJUSTED NET INCOME RECONCILIATION | ||||||||||||||
| (In thousands) | ||||||||||||||
| Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||
| Net (loss) income | ( | ) | ( | ) | ||||||||||
| Add back: | ||||||||||||||
| Net loss from discontinued operations | 2,025 | 916 | 3,217 | 3,390 | ||||||||||
| Litigation contingency | 18,000 | — | 34,000 | — | ||||||||||
| Tax benefit on litigation contingency | (3,769 | ) | — | (7,120 | ) | — | ||||||||
| Adjusted net income | ||||||||||||||
| Earnings per share: | ||||||||||||||
| Adjusted diluted, net income | ||||||||||||||
| Weighted average shares outstanding | ||||||||||||||
| Basic | 153,259,842 | 153,392,005 | 153,858,160 | 153,065,727 | ||||||||||
| Diluted | 156,884,855 | 158,183,888 | 156,683,964 | 156,834,985 | ||||||||||
| CONSOLIDATED US-GAAP NET INCOME TO ADJUSTED EBITDA RECONCILIATION | ||||||||||||||||
| (In thousands) | ||||||||||||||||
| Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Net (loss) income from continuing operations | ( | ) | ( | ) | ||||||||||||
| Total other (income) expense, net | (520 | ) | (348 | ) | (2,934 | ) | (2,032 | ) | ||||||||
| Income tax (benefit) expense | (1,333 | ) | 1,788 | 3,508 | 2,962 | |||||||||||
| Depreciation and amortization | 2,379 | 2,790 | 7,742 | 8,148 | ||||||||||||
| Litigation contingency | 18,000 | — | 34,000 | — | ||||||||||||
| Stock compensation expense (1) | 9,910 | 11,764 | 28,067 | 29,912 | ||||||||||||
| Stock option expense | 1,987 | 2,533 | 5,959 | 7,659 | ||||||||||||
| Adjusted EBITDA | ||||||||||||||||
| (1) This includes agent growth incentive stock compensation expense and stock compensation expense related to business acquisitions. | ||||||||||||||||
EXP WORLD HOLDINGS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, except share amounts)
| September 30, 2024 | December 31, 2023 | |||||||
| ASSETS | ||||||||
| CURRENT ASSETS | ||||||||
| Cash and cash equivalents | ||||||||
| Restricted cash | 65,308 | 44,020 | ||||||
| Accounts receivable, net of allowance for credit losses of | 105,148 | 85,343 | ||||||
| Prepaids and other assets | 7,709 | 9,275 | ||||||
| Current assets of discontinued operations | 988 | 1,964 | ||||||
| TOTAL CURRENT ASSETS | 309,585 | 266,475 | ||||||
| Property, plant, and equipment, net | 11,488 | 12,967 | ||||||
| Other noncurrent assets | 10,832 | 7,410 | ||||||
| Intangible assets, net | 6,322 | 7,012 | ||||||
| Deferred tax assets | 69,937 | 69,253 | ||||||
| Goodwill | 19,866 | 16,982 | ||||||
| Noncurrent assets of discontinued operations | 4,599 | 5,569 | ||||||
| TOTAL ASSETS | ||||||||
| LIABILITIES AND EQUITY | ||||||||
| CURRENT LIABILITIES | ||||||||
| Accounts payable | ||||||||
| Customer deposits | 67,060 | 44,550 | ||||||
| Accrued expenses | 109,531 | 86,483 | ||||||
| Litigation contingency | 34,000 | - | ||||||
| Other liabilities | 20 | 10 | ||||||
| Current liabilities of discontinued operations | 274 | 1,809 | ||||||
| TOTAL CURRENT LIABILITIES | 221,532 | 141,640 | ||||||
| Long-term payable | - | 20 | ||||||
| TOTAL LIABILITIES | ||||||||
| EQUITY | ||||||||
| Common Stock, | 2 | 2 | ||||||
| Additional paid-in capital | 924,570 | 804,833 | ||||||
| Treasury stock, at cost: 39,007,902 and 28,937,671 shares held, respectively | (661,840 | ) | (545,559 | ) | ||||
| Accumulated deficit | (51,095 | ) | (16,769 | ) | ||||
| Accumulated other comprehensive (loss) income | (540 | ) | 332 | |||||
| Total eXp World Holdings, Inc. stockholders' equity | 211,097 | 242,839 | ||||||
| Equity attributable to noncontrolling interest | - | 1,169 | ||||||
| TOTAL EQUITY | 211,097 | 244,008 | ||||||
| TOTAL LIABILITIES AND EQUITY | ||||||||
| EXP WORLD HOLDINGS, INC. | ||||||||
| CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||
| (In thousands) | ||||||||
| Nine Months Ended September 30, | ||||||||
| 2024 | 2023 | |||||||
| OPERATING ACTIVITIES | ||||||||
| Net income (loss) | ( | ) | ||||||
| Reconciliation of net income (loss) to net cash provided by operating activities: | . | |||||||
| Depreciation expense | 5,887 | 6,299 | ||||||
| Amortization expense - intangible assets | 1,855 | 1,849 | ||||||
| Loss on disposition of business | - | 472 | ||||||
| Allowance for credit losses on receivables/bad debt on receivables | (870 | ) | (2,211 | ) | ||||
| Equity in loss of unconsolidated affiliates | 804 | 839 | ||||||
| Agent growth incentive stock compensation expense | 28,067 | 29,912 | ||||||
| Stock option compensation | 5,961 | 7,659 | ||||||
| Agent equity stock compensation expense | 85,997 | 104,548 | ||||||
| Deferred income taxes, net | (684 | ) | 3,435 | |||||
| Changes in operating assets and liabilities: | ||||||||
| Accounts receivable | (18,935 | ) | (23,401 | ) | ||||
| Prepaids and other assets | 1,978 | (3,966 | ) | |||||
| Customer deposits | 22,510 | 16,421 | ||||||
| Accounts payable | 1,858 | (1,069 | ) | |||||
| Accrued expenses | 21,114 | 28,039 | ||||||
| Long term payable | - | (4,692 | ) | |||||
| Litigation contingency | 34,000 | - | ||||||
| Other operating activities | 20 | 158 | ||||||
| NET CASH PROVIDED BY OPERATING ACTIVITIES | 177,800 | 176,516 | ||||||
| INVESTING ACTIVITIES | ||||||||
| Purchases of property, plant, and equipment | (4,408 | ) | (4,193 | ) | ||||
| Purchase of business | (3,150 | ) | - | |||||
| Proceeds from sale of business | - | 330 | ||||||
| Investments in unconsolidated affiliates | (4,236 | ) | (5,525 | ) | ||||
| Capitalized software development costs in intangible assets | (1,165 | ) | (1,930 | ) | ||||
| NET CASH USED IN INVESTING ACTIVITIES | (12,959 | ) | (11,318 | ) | ||||
| FINANCING ACTIVITIES | ||||||||
| Repurchase of common stock | (116,281 | ) | (134,625 | ) | ||||
| Proceeds from exercise of options | 1,644 | 4,761 | ||||||
| Transactions with noncontrolling interests | (1,169 | ) | - | |||||
| Dividends declared and paid | (22,564 | ) | (20,979 | ) | ||||
| NET CASH USED IN FINANCING ACTIVITIES | (138,370 | ) | (150,843 | ) | ||||
| Effect of changes in exchange rates on cash, cash equivalents and restricted cash | (624 | ) | 403 | |||||
| Net change in cash, cash equivalents and restricted cash | 25,847 | 14,758 | ||||||
| Cash, cash equivalents and restricted cash, beginning balance | 169,893 | 159,383 | ||||||
| CASH, CASH EQUIVALENTS AND RESTRICTED CASH, ENDING BALANCE | ||||||||
| SUPPLEMENTAL DISCLOSURE OF CASH FLOWS INFORMATION: | ||||||||
| Cash paid for income taxes | 2,198 | 2,382 | ||||||
| SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES: | ||||||||
| Termination of lease obligation - operating lease | - | 855 | ||||||
| Contingent consideration for disposition of business | - | 1,209 | ||||||
| Property, plant and equipment increase due to transfer of right-of-use lease asset | - | 1,100 | ||||||
| Property, plant and equipment purchases in accounts payable | - | 27 | ||||||
1 A reconciliation of adjusted net income to net income and a discussion of why management believes adjusted net income, a non-GAAP measure, is useful is included below.
2 A discussion of why management believes adjusted operating costs, a non-GAAP measure, is useful is included below. Adjusted operating costs exclude commissions, other agent-related costs, and the litigation contingency.
3 A reconciliation of adjusted EBITDA to net income and a discussion of why management believes adjusted EBITDA, a non-GAAP measure, is useful is included below.
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/bd09128e-8ac4-44aa-9b04-d6b2283b8272
FAQ
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