The Real Brokerage Inc. Announces Fourth Quarter and Full Year 2024 Financial Results

Rhea-AI Summary

The Real Brokerage (NASDAQ: REAX) reported strong Q4 and full-year 2024 results, showcasing significant growth across key metrics. Q4 revenue increased 93% to $350.6 million, while full-year revenue grew 84% to $1.26 billion.

The company achieved notable operational milestones with total transaction value reaching $14.6 billion in Q4 (up 115%) and $49.0 billion for the full year (up 90%). Agent count grew 77% to 24,140 by Q4 end.

Despite growth, the company reported a Q4 net loss of $(6.6) million, improved from $(12.0) million in Q4 2023. Full-year net loss was $(26.5) million. The company launched Real Wallet, its proprietary fintech platform, and announced fee model adjustments effective April/May 2025.

Positive

• Revenue grew 93% YoY to $350.6M in Q4
• Transaction value up 115% to $14.6B in Q4
• Agent count increased 77% to 24,140
• Gross profit up 93% to $30M in Q4
• Net loss improved from $12M to $6.6M in Q4
• No debt on balance sheet

Negative

• Net loss of $26.5M for full year 2024
• Operating expenses increased 36% to $36.4M in Q4
• Cash and equivalents decreased to $32.8M
• Reducing agent stock purchase plan bonus from 20% to 15%
• Implementing fee increases across U.S. and Canadian markets

Insights

Financial Analyst

The Real Brokerage's Q4 and full-year 2024 results demonstrate exceptional growth across all key operational metrics. Revenue surged 93% to $350.6 million in Q4, while full-year revenue reached $1.26 billion, up 84% year-over-year. More impressively, gross profit maintained pace with revenue growth, increasing 93% to $30 million in Q4.

The company's operational metrics reveal even stronger performance, with Q4 transaction value increasing 115% to $14.6 billion and agent count growing 77% to 24,140. Their platform is clearly gaining significant market traction.

While still reporting a net loss of $6.6 million for Q4 and $26.5 million for the full year, these represent meaningful improvements from 2023. The company's Adjusted EBITDA reached $9.1 million in Q4 and $40 million for the full year, showing substantial progress toward profitability.

The launch of Real Wallet represents a strategic expansion into fintech, with 2,500 agents already utilizing the platform and $7 million in average deposits. The upcoming fee model adjustments should further strengthen revenue, with the U.S. Compliance and Broker Review fee increasing from $30 to $40 per transaction starting April/May 2025.

With no debt and $32.8 million in cash/investments, Real maintains financial flexibility while demonstrating disciplined capital allocation through its share repurchase program, which bought back 8.2 million shares for $36.3 million in 2024.

Real Estate Industry Expert

Real's agent count growth to 24,140 (now 26,200) represents extraordinary penetration in the competitive real estate brokerage landscape. The 77% year-over-year agent growth far outpaces traditional brokerages and most tech-focused competitors, reflecting the company's compelling value proposition for agents.

The more revealing metric is Real's transaction growth of 99% in Q4, significantly exceeding agent growth, which indicates improving productivity per agent. With transaction value increasing 115% to $14.6 billion, Real's agents are handling higher-value transactions as well.

Real's technology investments, particularly the Real Wallet fintech platform, address a critical need for real estate professionals who often face cash flow challenges between commissions. By integrating financial services with their brokerage platform, Real is creating an ecosystem that increases agent dependency on their system, potentially improving retention rates.

The planned fee increases represent a calculated risk. While the $10 per transaction increase in the U.S. is modest in context of typical commission values, timing this after achieving scale demonstrates confidence in their value proposition. Most agents will accept moderate fee increases if the platform continues delivering superior technology and support.

The operational efficiency improvements are particularly notable, with adjusted operating expense per transaction dropping to $565, an 11% improvement. This demonstrates Real's platform is achieving economies of scale precisely when traditional brokerages are struggling with compressed margins and rising costs.

TORONTO & NEW YORK--(BUSINESS WIRE)-- The Real Brokerage Inc. (NASDAQ: REAX) (“Real” or the “Company”), a technology platform reshaping real estate for agents, home buyers, and sellers, announced today financial results for the fourth quarter and full year ended December 31, 2024.

“Real delivered record results in 2024, capping it off with another quarter of exceptional growth,” said Tamir Poleg, Real’s Chairman and Chief Executive Officer. “Our unwavering commitment to innovation and agent success continues to set us apart in the industry. From launching Real Wallet, our proprietary fintech platform, to rolling out AI-powered tools that enhance agent productivity, we’re building the future of real estate.”

“We continue to attract and empower top-performing agents at an industry-leading pace,” said Sharran Srivatsaa, President of Real. “Our proprietary technology, competitive economics, world-class resources, and collaborative culture are driving momentum, further cementing Real as the platform of choice for entrepreneurial agents.”

“Our strong fourth quarter and record full-year results reflect the power of our platform and our disciplined approach to growth,” said Michelle Ressler, Real’s Chief Financial Officer. “With our recent fee model changes now established, we’re ensuring we can continue investing in cutting-edge technology and agent support, while driving sustainable year over year improvements in our operating and financial performance.”

Q4 and Full Year 2024 Operational Highlights¹

• The total value of completed real estate transactions reached $14.6 billion in the fourth quarter of 2024, an increase of 115% from $6.8 billion in the fourth quarter of 2023. For the full year 2024, the total value of completed real estate transactions reached $49.0 billion, an increase of 90% from $25.9 billion for the full year 2023.
• The total number of transactions closed was 35,370 in the fourth quarter of 2024, an increase of 99% from 17,749 in the fourth quarter of 2023. For the full year 2024, the total number of transactions closed was 120,601, an increase of 81% from 66,646 for the full year 2023.
• The total number of agents on the platform increased to 24,140 at the end of the fourth quarter of 2024, an increase of 77% from the fourth quarter of 2023. As of March 6, 2025, approximately 26,200 agents are now on the Real platform.

Q4 2024 Financial Highlights

• Revenue rose to $350.6 million in the fourth quarter of 2024, an increase of 93% from $181.3 million in the fourth quarter of 2023.
• Gross profit reached $30.0 million in the fourth quarter of 2024, an increase of 93% from $15.5 million in the third quarter of 2023.
• Net loss attributable to owners of the Company was $(6.6) million in the fourth quarter of 2024, compared to $(12.0) million in the fourth quarter of 2023.
• Adjusted EBITDA² was $9.1 million in the fourth quarter of 2024. This compares to $8.5 million in the fourth quarter of 2023, which included the positive impact of a $6.2 million non-recurring stock based compensation balance sheet adjustment during the period. Excluding this impact, the comparable adjusted EBITDA in the fourth quarter of 2023 was $2.3 million.
• Operating expenses, which include General & Administrative, Marketing, and Research and Development expenses, totaled $36.4 million in the fourth quarter of 2024, a 36% increase from $26.8 million in the fourth quarter of 2023.
• Revenue share expense, which is included in Marketing expenses, was $9.5 million in the fourth quarter of 2024, a 39% increase compared to $6.8 million in the fourth quarter of 2023.
• Adjusted operating expenses, which reflect operating expenses less revenue share expense, stock based compensation, depreciation, expenses related to the settlement of antitrust litigation, and other unique or non-cash expenses, were $20.0 million in the fourth quarter of 2024, an increase of 78% from $11.2 million in the fourth quarter of 2023.
  • Adjusted operating expense per transaction was $565 in the fourth quarter of 2024, a decline of (11)% from $632 in the fourth quarter of 2023.
• Loss per share was $(0.03) in the fourth quarter of 2024, compared to a loss per share of $(0.07) in the fourth quarter of 2023.
• The Company repurchased 1.1 million common shares for $5.9 million in the fourth quarter of 2024, pursuant to its normal course issuer bid.

Full Year 2024 Financial Highlights

• Revenue for the full year 2024 was $1.26 billion, an increase of 84% from $689.2 million for the full year 2023.
• Gross profit for the full year 2024 rose to $114.7 million, an increase of 82% from $62.9 million for the full year 2023.
• Net loss attributable to owners of the Company for the full year 2024 was $(26.5) million, compared to a loss of $(27.5) million for the full year 2023.
• Adjusted EBITDA² was $40.0 million for the full year 2024, compared to $13.9 million for the full year 2023, or $7.6 million excluding the impact of the non-recurring stock based compensation balance sheet adjustment recorded in 2023, which totaled $6.2 million.
• Operating expenses for the full year 2024 increased by 57% to $140.0 million, up from $88.9 million for the full year 2023.
• Revenue share expense, which is included in Marketing expenses, was $42.7 million for the full year 2024, a 53% increase from $27.9 million in 2023.
• Adjusted operating expense for the full year 2024 was $65.1 million, a 52% increase from $42.8 million in 2023.
  • For the full year 2024 adjusted operating expense per transaction was $540, a (16)% improvement from $642 in 2023.
• Loss per share was $(0.14) for the full year 2024, compared to a $(0.15) loss per share in 2023.
• For the full year 2024 the Company repurchased 8.2 million shares for $36.3 million.
• As of December 31, 2024, Real held cash and cash equivalents of $32.8 million, consisting of $23.4 million of unrestricted cash and $9.4 million held in investments in financial assets.
• Real continues to have no debt.

Business Highlights and Recent Updates

• Real Wallet Expansion. During the fourth quarter of 2024, Real launched the Real Wallet, a financial technology platform that centralizes an agent’s access to certain Company-branded financial products. Real Wallet currently includes:
  • Business checking accounts for select U.S. agents with Thread Bank, Member FDIC, including a Company-branded debit card.
  • Credit lines for select Canadian agents, based on their earnings history with Real.

As of the end of February 2025:

• Approximately 2,500 Real agents are utilizing Real Wallet business checking accounts.
• The average deposit balance held in all Real Wallet checking accounts was approximately $7M.

Real Wallet represents a significant step in Real’s strategy to integrate fintech solutions into its platform, providing agents with greater financial flexibility.

• Business Model Adjustments. Beginning in April 2025 (for new agents) and in May 2025 (for existing agents), Real will implement several adjustments to its brokerage model.
  • In the U.S., the Broker review, E&O insurance, and Transaction Processing fee, will be renamed the Compliance and Broker Review (“CBR”) Fee and increase from $30 to $40 per transaction.
  • In Canada, a $40 CAD CBR Fee will be introduced, the annual cap will increase from $12,000 CAD to $15,000 CAD, post-cap transaction fees will rise from $275 CAD to $375 CAD, and Post-Elite transaction fees will increase from $129 CAD to $175 CAD.

These adjustments align Canadian fees more closely with U.S. fees and exchange rates. Additionally, in both the U.S. and Canada, the post-cap restricted share unit bonus for agents who participate in Real’s Agent Stock Purchase Plan will decrease from 20% to 15%, effective April 2025. These updates reflect Real’s ongoing commitment to investing in technology, support, and infrastructure to enhance agent services and long-term business sustainability.

1All dollar references are in U.S. dollars.

2There are references to “Adjusted EBITDA” and “Adjusted Operating Expense” in this press release, which are non-GAAP measures. See accompanying note under the heading “Non-GAAP Measures” for an explanation of the composition of these non-GAAP measures.

The Company will discuss the fourth quarter and full year results on a conference call and live webcast today at 8:30 a.m. ET.

Conference Call Details:
Date:					Thursday, March 6, 2025
Time:					8:30 am ET
Dial-in Number:					North American Toll Free: 888-506-0062 International: 973-528-0011
Access Code:					951707
Webcast:					https://www.webcaster4.com/Webcast/Page/2699/51907
Replay Information:
Replay Number:					North American Toll Free: 877-481-4010 International: 919-882-2331
Access Code:					51907
Replay Link:					https://www.webcaster4.com/Webcast/Page/2699/51907

Non-GAAP Measures

This news release includes references to “Adjusted EBITDA”, and “Adjusted Operating Expense”, which are non-U.S. generally accepted accounting principles (“GAAP”) financial measures. Non-GAAP measures are not recognized measures under GAAP, do not have a standardized meaning prescribed by GAAP, and are therefore unlikely to be comparable to similar measures presented by other companies.

Adjusted EBITDA is used as an alternative to net income by removing major non-cash items, such as depreciation, amortization, interest, stock-based compensation, current and deferred income tax expenses and other items management considers unique and/or non-operating in nature.

Adjusted Operating Expense is used as an alternative to operating expenses by removing major non-cash items such as stock-based compensation, depreciation, and other unique or non-cash expenses, while retaining ongoing fixed operating expenses and excluding variable cash expenses associated with revenue share.

Adjusted EBITDA and Adjusted Operating Expense have no direct comparable GAAP financial measures. The Company has used or included these non-GAAP measures solely to provide investors with added insight into Real’s financial performance. Readers are cautioned that such non-GAAP measures may not be appropriate for any other purpose. Non-GAAP measures should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP. Our Adjusted EBITDA is reconciled to the most comparable GAAP measure for the three months and year ended December 31, 2024 and 2023 and is presented in the table below labeled Reconciliation of Net Loss to Adjusted EBITDA. Our Adjusted Operating Expense reconciled to the most comparable GAAP measure is presented for the three months ended December 31, 2024 and on a quarterly basis for the prior two fiscal years in the table below labeled Reconciliation of Operating Expense to Adjusted Operating Expense.

THE REAL BROKERAGE INC.
CONSOLIDATED BALANCE SHEETS
(Expressed in thousands of U.S. dollars)
	As of
	December 31, 2024				December 31, 2023
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	23,376			$	14,707
Restricted cash		24,089				12,948
Investments in financial assets		9,449				14,222
Trade receivables		14,235				6,441
Other receivables		117				63
Prepaid expenses and deposits		1,645				2,132
TOTAL CURRENT ASSETS		72,911				50,513
NON-CURRENT ASSETS
Intangible assets		2,575				3,442
Goodwill		8,993				8,993
Property and equipment		2,116				1,600
TOTAL NON-CURRENT ASSETS		13,684				14,035
TOTAL ASSETS		86,595				64,548
LIABILITIES AND EQUITY
CURRENT LIABILITIES
Accounts payable		1,374				571
Accrued liabilities		25,939				13,374
Customer deposits		24,089				12,948
Other payables		3,050				302
TOTAL CURRENT LIABILITIES		54,452				27,195
NON-CURRENT LIABILITIES
Warrants liability		-				269
TOTAL NON-CURRENT LIABILITIES		-				269
TOTAL LIABILITIES		54,452				27,464
Commitments and contingencies		-			-
EQUITY
EQUITY ATTRIBUTABLE TO OWNERS
Common Shares, $0 par value, unlimited Common Shares authorized, 202,941 Shares issued and 202,499 outstanding (in thousands) at December 31, 2024; and 183,605 Shares issued and 183,430 outstanding (in thousands) at December 31, 2023		-				-
Additional Paid in Capital		138,639				115,504
Deficit		(104,746	)			(78,205	)
Accumulated other comprehensive income (loss)		708				(167	)
Treasury stock, at cost		(2,455	)			(257	)
EQUITY ATTRIBUTABLE TO OWNERS		32,146				36,875
Non-controlling interests		(3	)			209
TOTAL EQUITY		32,143				37,084
TOTAL LIABILITIES AND EQUITY		86,595				64,548

THE REAL BROKERAGE INC.
INTERIM CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
(Expressed in thousands of U.S. dollars, except for per share amounts)
	Three Months Ended December 31, (unaudited)								For the Year Ended
		2024				2023				2024				2023
Revenues	$	350,630			$	181,341			$	1,264,639			$	689,158
Cost of Sales		320,645				165,810				1,149,898				626,285
Gross Profit		29,985				15,531				114,741				62,873
General and administrative expenses		18,632				15,387				61,084				42,913
Marketing expenses		13,698				9,084				57,477				38,611
Research and development expenses		4,042				2,325				12,156				7,359
Settlement of litigation		—				—				9,250				—
Operating Expenses		36,372				26,796				139,967				88,883
Operating Loss		(6,386	)			(11,265	)			(25,226	)			(26,010	)
Other income		115				(693	)			496				(587	)
Finance expenses, net		(434	)			(32	)			(1,723	)			(619	)
Net Loss		(6,705	)			(11,990	)			(26,453	)			(27,216	)
Net income attributable to noncontrolling interests		(62	)			(26	)			88				285
Net Loss Attributable to the Owners of the Company		(6,643	)			(11,964	)			(26,541	)			(27,501	)
Other comprehensive income/(loss); Items that will be reclassified subsequently to profit or loss:
Unrealized gain on investments in financial assets		(16	)			116				81				330
Foreign currency translation adjustment		529				(38	)			794				(28	)
Total Comprehensive Loss Attributable to Owners of the Company		(6,131	)			(11,886	)			(25,666	)			(27,199	)
Total Comprehensive Income Attributable to NCI		(62	)			(26	)			88				285
Total Comprehensive Loss		(6,192	)			(11,912	)			(25,578	)			(26,914	)
Loss per share
Basic and diluted loss per share		(0.03	)			(0.07	)			(0.14	)			(0.15	)
Weighted-average shares, basic and diluted		200,144				182,450				191,172				178,127

THE REAL BROKERAGE INC.
INTERIM CONSOLIDATED STATEMENT OF CASH FLOWS
(U.S. dollar in thousands)
	Three Months Ended December 31, (unaudited)								For the Year Ended
		2024				2023				2024				2023
OPERATING ACTIVITIES
Net Loss	$	(6,705	)		$	(11,990	)		$	(26,453	)		$	(27,216	)
Adjustments for:
Depreciation and amortization		372				298				1,396				1,128
Impairment of goodwill		—				723				-				723
Equity-settled share-based payment		15,119				19,423				52,916				38,403
Finance costs		338				(88	)			376				64
Change in fair value of warrants liability		-				23				600				27
Changes in operating asset and liabilities:
Contingent consideration		-				-				-				(600	)
Funds Held in Restricted Escrow Account		9,250				-				-				-
Trade receivables		3,070				(3,902	)			(7,794	)			(4,894	)
Other receivables		(74	)			12				(54	)			11
Prepaid expenses and deposits		746				(807	)			487				(1,603	)
Accounts payable		241				(82	)			803				97
Accrued liabilities		(5,052	)			(4,316	)			12,565				7,752
Customer deposits		(3,427	)			(3,385	)			11,141				5,467
Other payables		(9,793	)			(1,770	)			2,748				(382	)
NET CASH PROVIDED BY OPERATING ACTIVITIES		4,085				(5,861	)			48,731				18,977
INVESTING ACTIVITIES
Purchase of property and equipment		(81	)			(182	)			(1,045	)			(629	)
Purchase of financial assets		1,155				(81	)			(1,692	)			(6,847	)
Sale of financial assets		(220	)			2				6,546				847
NET CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES		854				(261	)			3,809				(6,629	)
FINANCING ACTIVITIES
Purchase of common shares for Restricted Share Unit (RSU) Plan		(5,947	)			(1,104	)			(36,283	)			(2,865	)
Payment of employee taxes on certain share-based arrangements		(1,355	)			(362	)			(2,832	)			(362	)
Proceeds from exercise of stock options		658				(90	)			6,275				502
Distributions to non-controlling interest		(129	)			(36	)			(300	)			(339	)
NET CASH USED IN FINANCING ACTIVITIES		(6,774	)			(1,592	)			(33,140	)			(3,064	)
Net change in cash, cash equivalents and restricted cash		(1,835	)			(7,714	)			19,400				9,284
Cash, cash equivalents and restricted cash, beginning of period		49,096				35,339				27,655				18,327
Effect of foreign exchange rate changes on cash and cash equivalents		204				30				410				44
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, ENDING BALANCE	$	47,465			$	27,655			$	47,465			$	27,655

THE REAL BROKERAGE INC.
RECONCILIATION OF NET LOSS TO ADJUSTED EBITDA
(Expressed in thousands of U.S. dollars)
Unaudited
	For the Three Months Ended				For the Year Ended
	December 31, 2024		December 31, 2023		December 31, 2024		December 31, 2023
Net Loss	(6,705)		(11,990)		(26,453)		(27,216)
Add/(Deduct):
Finance Costs	169		(6)		1,723		591
Depreciation and Amortization	372		298		1,396		1,128
Stock-Based Compensation	15,119		19,423		52,916		38,403
Goodwill Impairment	-		723		-		723
Restructuring Expenses	-		58		-		223
Expenses related to Anti-Trust Litigation Settlement	118		-		10,377		-
Adjusted EBITDA	9,073		8,506		39,959		13,852
Non-recurring Stock-Based Compensation Adjustments	-		6,208		-		6,208
Adjusted EBITDA Excluding Non-Recurring Stock Based Compensation Adjustment	9,073		2,298		39,959		7,644

THE REAL BROKERAGE INC.
BREAKOUT OF REVENUE BY SEGMENT
(Expressed in thousands of U.S. dollars)
Unaudited
	For the Three Months Ended				For the Year Ended
	December 31, 2024		December 31, 2023		December 31, 2024		December 31, 2023
Main revenue streams
Commissions	348,083		180,417		1,255,799		684,873
Title	1,338		480		4,788		2,990
Mortgage Income	1,167		444		4,010		1,295
Wallet	42		—		42		—
Total Revenue	350,630		181,341		1,264,639		689,158

THE REAL BROKERAGE INC.
RECONCILIATION OF OPERATING EXPENSE TO ADJUSTED OPERATING EXPENSE BY QUARTER
(Expressed in thousands of U.S. dollars)
Unaudited
	2023									2024
	Q1		Q2		Q3		Q4			Q1		Q2		Q3		Q4
Operating Expense	17,846		21,499		22,742		26,796			36,477		32,512		34,607		36,371
Less: Revenue Share Expense	5,434		7,684		7,946		6,840			9,064		12,475		11,651		9,537
Revenue Share Expense (% of revenue)	5.0	%	4.1	%	3.7	%	3.8	%		4.5	%	3.7	%	3.1	%	2.7	%
Less:
Stock-Based Compensation - Employees	1,019		1,214		285		6543			1,493		2,265		3,139		3,405
Stock-Based Compensation - Agent	1,541		1,640		2,769		1,830			2,137		2,335		2,665		2,940
Depreciation Expense	269		284		277		298			326		340		358		372
Restructuring Expense	41		44		80		58			—		—		—		—
Expenses Related to Anti-Trust Litigation Settlement	—		—		—		—			9,857		369		33		118
Subtotal	2,870		3,182		3,411		8,729			13,813		5,309		6,195		6,835
Adjusted Operating Expense1	9,542		10,633		11,385		11,227			13,600		14,728		16,761		19,998
Adjusted Operating Expense (% of revenue)	8.8	%	5.7	%	5.3	%	6.2	%		6.8	%	4.3	%	4.5	%	5.7	%
1Adjusted operating expense excludes revenue share, stock-based compensation, depreciation and other non-recurring or non-cash expenses.

THE REAL BROKERAGE INC.
KEY PERFORMANCE METRICS BY QUARTER
(Dollar amounts expressed in U.S. dollars)
Unaudited
		2023								2024
		Q1		Q2		Q3		Q4		Q1		Q2		Q3		Q4
Transaction Data
Closed Transaction Sides		10,963		17,537		20,397		17,749		19,032		30,367		35,832		35,370
Total Value of Home Side Transactions ($, billions)		4.0		7.0		8.1		6.8		7.5		12.6		14.4		14.6
Median Home Sales Price ($, thousands)		$350		$369		$370		$355		$372		$384		$383		$380
Agent Metrics
Total Agents		10,000		11,500		12,175		13,650		16,680		19,540		21,770		24,140
Agent Churn Rate (%)		8.3		6.5		10.8		6.2		7.9		7.5		7.3		6.8
Revenue Churn Rate (%)		4.3		3.8		4.5		4.9		1.9		1.6		2.0		1.8
Headcount and Efficiency Metrics
Full-Time Employees		127		145		162		159		151		231		240		264
Full-Time Employees, Excluding One Real Title and One Real Mortgage		88		102		120		118		117		142		155		178
Headcount Efficiency Ratio		1:114		1:113		1:101		1:116		1:143		1:138		1:140		1:136
Revenue Per Full Time Employee ($, thousands)		$1,226		$1,817		$1,789		$1,537		$1,716		$2,400		$2,403		$1,970
Operating Expense Excluding Revenue Share ($, thousands)		$12,412		$13,815		$14,796		$19,956		$27,413		$20,037		$22,956		$26,835
Operating Expense Per Transaction Excluding Revenue Share ($)		$1,132		$788		$725		$1,124		$1,440		$660		$641		$759
Adjusted Operating Expense ($, thousands)		$9,542		$10,633		$11,385		$11,226		$13,600		$14,728		$16,761		$19,998
Adjusted Operating Expense Per Transaction ($)		$870		$606		$558		$632		$715		$485		$468		$565
1Defined as the ratio of full-time brokerage employees excluding One Real Title and One Real Mortgage employees to the number of agents on our platform.
2Reflects total company revenue divided by full-time brokerage employees (excludes One Real Title and One Real Mortgage employees).
3Adjusted operating expense excludes revenue share, stock-based compensation, depreciation and other non-recurring or non-cash expenses.

Forward-Looking Information

This press release contains forward-looking information within the meaning of applicable Canadian securities laws. Forward-looking information is often, but not always, identified by the use of words such as “seek”, “anticipate”, “believe”, “plan”, “estimate”, “expect”, “likely” and “intend” and statements that an event or result “may”, “will”, “should”, “could” or “might” occur or be achieved and other similar expressions. These statements reflect management’s current beliefs and are based on information currently available to management as at the date hereof. Forward-looking information in this press release includes, without limiting the foregoing, information relating to Real’s expectation regarding increasing the number of agents, revenue growth and profitability and the business, strategic plans of Real and expectations regarding Real Wallet, Leo CoPilot and Leo for Clients, including their anticipated features.

Forward-looking information is based on assumptions that may prove to be incorrect, including but not limited to Real’s business objectives, expected growth, results of operations, performance, business projects and opportunities and financial results. Real considers these assumptions to be reasonable in the circumstances. However, forward-looking information is subject to known and unknown risks, uncertainties and other factors that could cause actual results, performance or achievements to differ materially from those expressed or implied in the forward-looking information. Important factors that could cause such differences include, but are not limited to, slowdowns in real estate markets, economic and industry downturns, Real’s ability to attract new agents and retain current agents, Real’s inability to successfully launch new products and features, including Real Wallet, Leo CoPilot and Leo for Clients and those risk factors discussed under the heading “Risk Factors” in the Company’s Annual Information Form dated March 6, 2025, and “Risks and Uncertainties” in the Company’s Quarterly Management’s Discussion and Analysis for the period ended December 31, 2024, copies of which are available under the Company’s SEDAR+ profile at www.sedarplus.ca.

These factors should be carefully considered and readers should not place undue reliance on the forward-looking statements. Although the forward-looking statements contained in this press release are based upon what management believes to be reasonable assumptions, Real cannot assure readers that actual results will be consistent with these forward-looking statements. These forward-looking statements are made as of the date of this press release, and Real assumes no obligation to update or revise them to reflect new events or circumstances, except as required by law.

About Real

Real (NASDAQ: REAX) is a real estate experience company working to make life’s most complex transaction simple. The fast-growing company combines essential real estate, mortgage and closing services with powerful technology to deliver a single seamless end-to-end consumer experience, guided by trusted agents. With a presence in all 50 states throughout the U.S. and Canada, Real supports over 26,000 agents who use its digital brokerage platform and tight-knit professional community to power their own forward-thinking businesses. Additional information can be found on its website at www.onereal.com.

The Real Brokerage is a real estate technology company and is not a bank. Banking services provided by Thread Bank, Member FDIC. The Real Wallet Visa debit card is issued by Thread Bank, Member FDIC, pursuant to a license from Visa U.S.A. Inc. and may be used anywhere Visa cards are accepted.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250306001918/en/

For additional information, please contact:

Ravi Jani

Vice President, Investor Relations and Financial Planning & Analysis

investors@therealbrokerage.com

908.280.2515

For media inquiries, please contact:

Elisabeth Warrick

Senior Director, Marketing, Communications & Brand

elisabeth@therealbrokerage.com

201.564.4221

Source: The Real Brokerage Inc.

FAQ

What were The Real Brokerage's (REAX) Q4 2024 financial results?

REAX reported Q4 2024 revenue of $350.6M (up 93%), gross profit of $30.0M (up 93%), and a net loss of $6.6M, improved from $12.0M loss in Q4 2023.

How many agents does The Real Brokerage (REAX) have as of Q4 2024?

REAX had 24,140 agents at the end of Q4 2024, representing a 77% increase from Q4 2023.

What changes is REAX implementing to its fee structure in 2025?

Starting April/May 2025, REAX will increase U.S. CBR Fee from $30 to $40 per transaction and introduce a CAD$40 CBR Fee in Canada, along with other fee adjustments.

What is Real Wallet and how is it performing for REAX?

Real Wallet is REAX's fintech platform offering business checking accounts and credit lines. By February 2025, about 2,500 agents were using it with approximately $7M in average deposit balance.

How many real estate transactions did REAX complete in 2024?

REAX completed 120,601 transactions in 2024, an 81% increase from 66,646 transactions in 2023.