CoStar Group (CSGP) Q2 2025 earnings summary

Executive summary

• Q2 2025 revenue reached $781 million, up 15% year-over-year, marking the 57th consecutive quarter of double-digit growth and surpassing guidance.

• Net new bookings hit a record $93 million, up 65% sequentially and 38% year-over-year, driven by strong performance in Apartments.com and Homes.com.

• Adjusted EBITDA for Q2 2025 was $85 million, up 108% year-over-year, with an 11% margin.

• Net income for Q2 2025 was $6.2 million, with diluted EPS of $0.01, reflecting higher operating expenses and acquisition-related costs.

• Major acquisitions included Matterport and Visual Lease, with a binding agreement to acquire the remaining 83% of Domain Holdings Australia for A$2.4 billion, expected to close in Q3 2025.

Financial highlights

• Q2 2025 revenue: $781 million, up 15% year-over-year; six-month revenue: $1.51 billion, up 13%.

• Adjusted EBITDA: $85 million (11% margin); gross profit: $613.5 million (79% margin); operating expenses: $640.7 million.

• Net income: $6.2 million in Q2 2025; non-GAAP net income: $74 million ($0.17/share).

• Commercial information and marketplace brands margin: 43% (excludes Homes.com, OnTheMarket, Matterport).

• Matterport revenue: $44 million in Q2 2025; pro forma net loss: $(37.6) million.

Outlook and guidance

• Full-year 2025 revenue guidance: $3.135–$3.155 billion, implying 15% annual growth.

• Q3 2025 revenue expected at $800–$805 million, 16% year-over-year growth.

• Adjusted EBITDA guidance for 2025 raised to $370–$390 million.

• Full-year non-GAAP net income per diluted share expected at $0.76–$0.80.

• Domain acquisition expected to close in Q3 2025, subject to regulatory and shareholder approvals.