The Real Brokerage (REAX) Q1 2026 earnings summary

Executive summary

• Revenue reached $466 million in Q1 2026, up 32% year-over-year, with strong agent and transaction growth despite a soft housing market.

• Adjusted EBITDA rose 80% to $14.9 million, and operating loss improved by $1.8 million to $3.4 million.

• Agent count grew to over 33,900 by early May, with nearly 42,000 transactions closed, both up 25% year-over-year.

• Announced a definitive agreement to acquire RE/MAX Holdings, aiming to combine technology and brand strength and form Real REMAX Group.

• Gross market value for the last twelve months was $78.6B, with a median home sale price of $385,000.

Financial highlights

• Gross profit increased 24% to $42.2 million; gross margin was 9.1%.

• Operating expenses rose 17% to $45.6 million, but as a percentage of revenue, improved to 9.8% from 11.1%.

• Cash flow from operations was $23.3 million; unrestricted cash and investments reached $62.9 million with no debt.

• LTM revenue as of Q1 2026 was $2.1B; LTM adjusted EBITDA was $70M.

• Ancillary revenue grew 34% to $3 million, with Real Wallet revenue up nearly 250% year-over-year.

Outlook and guidance

• Q2 revenue expected to improve sequentially, following normal seasonal housing patterns.

• Gross margin anticipated to decline through the year as more agents reach commission caps.

• Q2 operating expenses will rise due to RE/MAX acquisition-related costs, disclosed as non-recurring items.

• Management expects the REMAX acquisition to create significant value for agents, franchisees, consumers, and shareholders.

• Focus remains on disciplined cost management and adjusted EBITDA improvement.