CoStar Group (CSGP) investor relations material

Executive summary

• Q2 2026 marked a profitability inflection point, with revenue up 18% year-over-year to $925 million and net income rising to $55 million, an 817% increase from Q2 2025.

• Adjusted EBITDA more than doubled year-over-year to $184 million, the second highest in company history.

• Residential segment achieved positive Adjusted EBITDA for the first time since Homes.com launch, improving $41 million sequentially.

• Strategic cost management reduced projected 2026 expenses by $100 million, supporting long-term EBITDA targets.

• Major acquisitions completed (Domain, Matterport) and Zonda acquisition agreement announced, expected to close in H2 2026.

Financial highlights

• Q2 2026 revenue reached $925 million (up 18% YoY); net income was $55 million (up from $6 million YoY); Adjusted EBITDA was $184 million (20% margin).

• Year-to-date revenue: $1.82 billion (up 20% YoY); year-to-date net income: $58 million.

• Adjusted Net Income for Q2 2026 was $128 million, or $0.32 per diluted share.

• Net new bookings were $69 million, up 3% sequentially but down 26% year-over-year.

• Gross profit for Q2 2026 was $728 million (79% margin), up 19% year-over-year.

Outlook and guidance

• Q3 2026 revenue guidance: $935–$945 million (+13% YoY at midpoint); Adjusted EBITDA: $190–$210 million (21% margin).

• Full-year 2026 revenue guidance revised to $3.715–$3.755 billion (+15% YoY at midpoint); Adjusted EBITDA guidance affirmed at $780–$820 million.

• Full-year 2026 Adjusted EPS guidance raised to $1.32–$1.39; Q3 2026 Adjusted EPS expected at $0.31–$0.34.

• Residential revenue growth expected to accelerate in 2026 due to Domain and Homes.com memberships; commercial growth to moderate.

• Zonda acquisition expected to close in H2 2026, funded with cash on hand.