NASDAQ$CSGP

CoStar Group Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

CoStar Group reported revenue growth and the successful launch of Homes.com monetization.

CoStar Group's Q1 2024 results showed strong revenue growth, driven by the successful launch of Homes.com monetization, leading to record net new bookings. The company's revenue increased by 12% year-over-year, with Apartments.com and CoStar achieving significant revenue milestones.

  • CoStar Group's Q1 2024 revenue increased by 12% year-over-year, reaching $656 million.
  • Homes.com monetization launched successfully, contributing nearly $40 million in net new bookings.
  • The company achieved a record $86 million in net new bookings for the quarter.
  • Apartments.com and CoStar both crossed $250 million in revenue, reaching $1 billion in annualized run rate revenue.

Headline financials

Total Revenue

$656M

Previous: $584M+12.3%
EPS

$0.02

Previous: $0.29-93.1%
Adjusted EBITDA

$12.4M

Previous: $123M-89.9%
Capital Expenditures

-$377M

Previous: -$15.7M-2297.4%
Free Cash Flow

-$370M

Previous: $71.4M-618.1%
Net Income

$6.7M

Previous: $87.1M-92.3%
Operating Income

-$42.8M

Previous: $72.2M-159.3%
Gross Profit

$515M

Previous: $465M+10.8%
Total Assets

$9.03B

Previous: $8.52B+6.1%
R&D Expense

$82.4M

No prior period
Stock-Based Comp

$22.8M

Previous: $20M+14.0%

Revenue & EPS history

CoStar · Revenue · Quarterly

$656M

Q1 2024+12.3%vs Q1 2023
Beat estimate in 14 of 15 quarters(93%)
ActualEstimate

Revenue by segment

CoStar · $311M total across 3 segments · Q3 2023

  • CoStar
    $233M+9.7%
  • LoopNet
    $67.5M+14.6%
  • Residential
    $10.3M-46.8%

Forward guidance

CoStar Group provided revenue guidance for the second quarter of 2024, expecting it to be in the range of $674 million to $679 million, representing approximately 12% year-over-year growth. The company also raised its full-year revenue and adjusted EBITDA guidance.

Tailwinds

  • Full year revenue is expected to be in the range of $2.76 billion to $2.77 billion for the full year of 2024 representing revenue growth of approximately 13% year-over-year at the midpoint of the range.
  • Revenue for the second quarter of 2024 is expected in the range of $674 million to $679 million, representing revenue growth of approximately 12% year-over-year at the midpoint of the range.
  • Adjusted EBITDA for the full year of 2024 is expected in the range of $185 million to $205 million, an increase of $15 million at the midpoint of the range from previous guidance.
  • For the second quarter of 2024, adjusted EBITDA is expected in the range of $5 million to $10 million.
  • Full year 2024 non-GAAP net income per diluted share is expected in a range of $0.58 to $0.62 based on 409 million shares.

Headwinds

  • Non-GAAP net income per diluted share for the second quarter of 2024, is expected in a range of $0.09 to $0.10 based on 409 million shares.
  • These ranges include an estimated non-GAAP tax rate of 26% for the full year and the second quarter of 2024.
  • Given the risk factors, rapidly evolving economic environment, and uncertainties and assumptions discussed in this release and in our quarterly reports on Form 10-Q and annual reports on Form 10-K, actual results may differ materially.
  • The company does not intend to update its forward-looking statements until its next quarterly results announcement.
  • Forward-looking statements are based on information available to CoStar Group on the date hereof, and CoStar Group assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

+1.0%

Avg return

Earnings day

-0.3%

Avg return

5 days after

+0.0%

Avg return

30 days after

59%

39 / 66 earnings

Positive

+16.2%

Q2 2013

Best reaction

-17.6%

Q4 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.8%-4.2%-10.9%
Q4 2025+2.7%-8.1%-19.1%
Q3 2025-10.1%-11.3%-12.1%
Q2 2025+1.9%+0.3%-1.3%
Q1 2025-10.3%-6.8%-11.1%
Q4 2024+5.0%+2.7%+4.0%
Q3 2024-5.9%-3.7%-0.5%
Q2 2024+1.1%+4.0%+0.1%
Q1 2024+7.8%+8.6%+0.4%
Q4 2023+3.2%+4.2%+20.1%
Q3 2023-3.2%-3.6%+14.5%
Q2 2023-6.8%-9.8%-12.2%
Q1 2023+2.4%+9.5%+10.3%
Q4 2022-7.0%-8.8%-15.1%
Q3 2022+12.1%+16.1%+12.1%
Q2 2022+13.1%+17.9%+17.7%
Q1 2022+1.7%+1.5%-5.2%
Q4 2021-17.6%-5.0%+3.8%
Q3 2021-9.4%-13.2%-19.6%
Q2 2021-2.6%-0.5%-7.2%
Q1 2021-7.6%-8.4%-9.5%
Q4 2020-4.6%-6.0%-8.4%
Q3 2020-4.5%-0.9%+5.9%
Q2 2020+15.3%+18.2%+17.7%
Q1 2020+5.4%+0.8%+4.7%
Q4 2019-3.5%-5.6%-17.5%
Q3 2019-3.8%-4.1%-0.4%
Q2 2019+7.6%+8.6%+5.5%
Q1 2019-2.6%+0.2%+5.6%
Q4 2018+10.5%+16.0%+12.3%
Q3 2018-6.7%-7.8%-6.8%
Q2 2018+1.6%-2.1%+0.9%
Q1 2018+2.1%-2.1%+1.0%
Q4 2017-0.1%+0.4%+2.7%
Q3 2017+3.0%+4.9%+10.5%
Q2 2017-2.7%-2.3%+0.6%
Q1 2017+9.5%+12.2%+19.8%
Q4 2016-4.6%-3.5%-1.7%
Q3 2016-9.2%-11.6%-3.9%
Q2 2016-7.5%-8.3%-7.2%
Q1 2016+6.3%
Q4 2015-0.9%
Q3 2015+6.0%
Q2 2015-1.8%
Q1 2015+2.1%
Q4 2014+4.8%
Q3 2014+6.8%
Q2 2014+7.9%
Q1 2014-6.8%
Q4 2013+0.1%
Q3 2013+0.1%
Q2 2013+16.2%
Q1 2013-0.3%
Q4 2012+4.9%
Q3 2012+6.9%
Q2 2012+4.7%
Q1 2011+0.1%
Q1 2012+3.9%
Q4 2009+4.3%
Q4 2011+4.3%
Q3 2010+7.6%
Q3 2011+7.6%
Q2 2010+3.2%
Q4 2010+3.2%
Q2 2011+3.2%
Q1 2010-0.9%

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