CoStar Group (CSGP) Q4 2025 earnings summary

Executive summary

• Full year 2025 revenue reached $3.2 billion, up 19% year-over-year, with Q4 revenue at $900 million, a 27% increase, marking 59 consecutive quarters of double-digit growth.

• Adjusted EBITDA for 2025 was $442 million, up 83% year-over-year, exceeding guidance; net income for 2025 was $7 million, $25 million above guidance.

• Record annualized net new sales bookings in 2025 reached $308 million, up 23% year-over-year; Homes.com Network became the second largest residential portal in the U.S. with 108 million average monthly unique visitors.

• Major investments in AI, product innovation, and global expansion, including the launch of Homes AI and integration of Matterport and Domain acquisitions.

• Company sites reached 139 million average monthly unique visitors in Q4 2025.

Financial highlights

• Commercial segment revenue was $1.79 billion in 2025, up 18% year-over-year; residential segment revenue was $1.46 billion, up 20% year-over-year (12% organic).

• Apartments.com revenue grew 11% for both Q4 and full year 2025; Homes.com delivered 63% year-over-year growth.

• LoopNet revenue increased 17% in Q4 and 11% for the full year; BizBuySell generated $36 million in revenue with a 37% EBITDA margin.

• Matterport and Domain contributed about 10 percentage points to commercial segment growth.

• Company completed a $500 million share buyback in 2025 and authorized a new $1.5 billion repurchase program, with $700 million planned for 2026.

Outlook and guidance

• 2026 revenue guidance: $3.78–$3.82 billion (16–18% growth); Q1 2026 revenue expected at $890–$900 million (22–23% growth year-over-year).

• 2026 adjusted EBITDA guidance: $740–$800 million (20–21% margin); Q1 2026 adjusted EBITDA expected at $95–$227 million.

• 2026 adjusted EPS guidance: $1.22–$1.33 per share.

• Commercial segment 2026 revenue expected at $1.955–$1.975 billion (9–11% growth); residential segment at $1.825–$1.845 billion (25–26% growth).

• Adjusted EBITDA margins for 2026: commercial 33–34%, residential 5–7%; CapEx expected at $175–$225 million.