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; net income for 2025 was $7 million, with Q4 net income at $47 million.

• Net new sales bookings reached a record $308 million in 2025, up 23% year-over-year.

• Company sites reached 139 million average monthly unique visitors in Q4 2025; Homes.com Network reached 108 million.

• The company is leveraging AI across its platforms, launching Homes AI and integrating advanced data capabilities.

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.

• 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; Matterport and Domain acquisitions contributed significantly to growth.

• Q4 adjusted EBITDA was $177 million (20% margin); full year adjusted EBITDA margin was 14%.

• Cash and cash equivalents at year-end 2025 were $1.63 billion, down from $4.68 billion at year-end 2024, mainly due to acquisitions and share repurchases.

Outlook and guidance

• 2026 revenue guidance is $3.78–$3.82 billion, implying 16%–18% annual growth; Q1 2026 revenue expected at $890–$900 million, up 22%–23% year-over-year.

• 2026 adjusted EBITDA guidance is $740–$800 million (20%–21% margin), with margins expected to rise by five percentage points each quarter.

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

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

• CapEx for 2026 projected at $175–$225 million, mainly for Richmond campus completion.