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Angi (ANGI) investor relations material
Angi Q2 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Executive summary
Q2 2025 revenue declined 12% year-over-year to $278.2M, reflecting ongoing quality and efficiency initiatives, including marketing optimization and sales force consolidation.
Proprietary Service Requests and Leads returned to growth for the first time since Q1 2021, with Service Requests up 7% and Leads up 16% year-over-year in Proprietary Channels.
Net earnings attributable to shareholders rose 190% year-over-year to $10.9M, and diluted EPS increased 229% to $0.23.
Adjusted EBITDA for Q2 2025 was $33.0M, down 22% year-over-year, primarily due to lower revenue and higher consumer marketing expenses.
The company completed a spin-off from IAC and a 1-for-10 reverse stock split in March 2025.
Financial highlights
Gross profit for Q2 2025 was $265.1M, down 12% year-over-year, with a gross margin of 95%.
Operating income for Q2 2025 was $17.7M, up 92% year-over-year.
Net cash provided by operating activities for the first half of 2025 was $54.0M, down from $85.0M in the prior year.
Free cash flow for the first half of 2025 was $29.2M, down from $59.5M in the prior year.
The company repurchased 5.2M shares for $78.0M in the first half of 2025.
Outlook and guidance
Service Requests and Leads are expected to grow at Q2 rates, with revenue growth driven by higher revenue per lead as legacy ads pros migrate to the main platform.
2025 capital expenditures are expected to be 15–25% higher than 2024, mainly due to increased investment in capitalized software.
Modest mid-single-digit revenue growth is expected for 2025, with similar or modestly higher EBITDA margins.
Marketing spend, especially TV, anticipated to increase 50–100% next year to support brand and growth.
Management believes existing cash and cash flows will be sufficient to fund operations and commitments for the next twelve months.
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Frequently asked questions
The world's largest marketplace operator for home services
Angi provides several marketplaces that connect consumers looking for home services with service providers for over 500 categories, such as plumbing, house cleaning, and roof repair, et cetera. Thus, the company sits in the middle of the on-demand economy with its two-sided network business model.
The company’s most well-known brands and marketplaces are Angi, HomeAdvisor, and Handy, all located in the U.S. with similar offerings. Angi also has a wide presence in Europe, with brands like Travaux in France, MyHammer in Germany, and MyBuilder in the UK. A significant majority of the company's revenue, however, stems from U.S. operations.
Several rebrandings and acquisitions
Angi was founded as Angie’s list in 1995 by Angie Hicks and William S. Oesterle. The idea came from Hicks's search for a reliable construction contractor on behalf of Oesterle, a venture capitalist and Hicks's boss at the time. In 2011, Angie’s List went public on the NASDAQ as ANGI.
From 1995 till now, the company has made several rebrandings and acquisitions. The most prominent rebranding was completed on March 17, 2021, when the company also made several drastic changes to its business. With this move, Angie's List became Angi, HomeAdvisor became HomeAdvisor, powered by Angi, and the corporate name ANGI Homeservices was changed to Angi. New logotypes, a new mobile experience that included the company's new pre-priced offering, in-app messaging, and features regarding how to get financing and make payments on the platform, summarize the major changes.
Self-regulated and network effects
Compelling for both consumers and Angi, a marketplace is usually self-regulated. If a service provider does a poor job, it will result in a bad review. This reproduces a structure where a service provider who does not deliver, and thus gets bad reviews, will have a hard time getting more jobs through the platform – incrementally increasing the overall quality of services over time.
A marketplace also entails network effects, which act as a competitive strength. An increase in demand (customers looking for home services) means that Angi will attract more supply (service providers) and vice-versa. This causes the value proposition from a two-sided marketplace to increase as it grows. The long-term vision for Angi is to be the natural cognitive reference if something is going to get done in anyone’s home – like Uber for transport, Airbnb for travel, or Amazon for eCommerce.
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