NASDAQ$EXPI

eXp World Holdings Inc · Q1 2020 earnings

Q1 2020 earnings · · Investor relations

Briefing

Achieved positive net income and increased revenue.

eXp World Holdings reported a profitable first quarter with net income of $0.2 million, marking the second consecutive profitable quarter. Revenue grew 73% year-over-year, driven by agent growth and increased transactions.

  • Revenue increased 73% to $271 million compared to the previous year.
  • Gross profit increased 93% to $28.0 million.
  • Net income was reported at $0.2 million, compared to a net loss in the previous year.
  • The number of agents and brokers increased 59% to 28,449.

Headline financials

Total Revenue

$271M

Previous: $157M+72.8%
EPS (adj)

$0.00

Previous: -$0.05+100.0%
Capital Expenditures

-$1.36M

Previous: -$828K-63.7%
Free Cash Flow

-$1.19M

Previous: -$7.12M+83.3%
Net Income

$165K

Previous: -$6.3M+102.6%
Operating Income

$211K

Previous: -$6.1M+103.5%
Gross Profit

$28M

Previous: $157M-82.2%
Cash & Equivalents

$44.3M

Previous: $20.8M+113.2%
Total Assets

$111M

Previous: $70.6M+56.7%

Revenue & EPS history

eXp World · Revenue · Quarterly

$271M

Q1 2020+72.8%vs Q1 2019
Beat estimate in 10 of 13 quarters(77%)
ActualEstimate

Forward guidance

The company anticipates revenue growth and home transaction sides to slow compared to the prior year as the impacts from COVID-19 continue to affect the economy and housing market. However, the company anticipates that eXp Realty will continue to add agents at levels above competing national brokerages.

Tailwinds

  • eXp is uniquely positioned to adapt.
  • VirBELA supports people and teams working together seamlessly without ever needing to leave their homes.
  • VirBELA has experienced a dramatic increase in use and adoption due to its effectiveness in supporting remote work and virtual events during this time of social distancing.
  • Accelerated growth opportunities as companies embrace the new normal for how business is conducted as the need and desire for physical distancing takes center stage.
  • eXp Realty will continue to add agents at levels above competing national brokerages.

Headwinds

  • Volatile year for many industries.
  • The backdrop of the global health crisis will change how people will work together and even how they socialize.
  • Potential of changing how consumers approach the home-buying and -selling process.
  • Revenue growth and home transaction sides to slow compared to the prior year.
  • Impacts from COVID-19 continue to affect the economy and housing market.

Historical earnings impact

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

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2020

Historical avgQ1 2020

+1.3%

Avg return

Earnings day

+1.1%

Avg return

5 days after

+4.1%

Avg return

30 days after

43%

19 / 44 earnings

Positive

+42.1%

Q2 2021

Best reaction

-14.0%

Q1 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-8.9%-28.0%
Q4 2025-2.7%-7.9%-19.8%
Q3 2025+11.2%+11.3%+12.8%
Q1 2025-14.0%-9.8%+1.8%
Q4 2024-9.5%-7.8%-12.2%
Q3 2024-2.5%+1.1%-7.6%
Q2 2024-9.6%-10.8%-17.2%
Q1 2024+13.0%+20.2%+12.6%
Q4 2023-1.4%+11.0%-11.8%
Q3 2023+7.0%+2.2%-2.1%
Q2 2023+0.1%+2.2%-21.3%
Q1 2023+11.1%+13.2%+33.2%
Q4 2022-6.5%-2.0%-3.2%
Q3 2022-13.7%-15.6%-1.6%
Q2 2022-4.6%+7.2%-20.7%
Q1 2022+2.2%-8.2%-2.8%
Q4 2021+11.9%+12.5%-8.1%
Q3 2021-11.1%-12.3%-33.1%
Q2 2021+42.1%+52.9%+41.8%
Q1 2021-8.5%-13.0%+9.9%
Q4 2020+14.3%-32.7%-30.9%
Q3 2020-13.6%-7.7%+22.7%
Q2 2020+16.0%+28.4%+69.2%
Q1 2020+2.7%+1.5%+36.4%
Q4 2019+18.8%+10.6%-4.0%
Q3 2019+0.0%+4.6%+22.8%
Q2 2019-9.8%-6.1%-17.0%
Q1 2019-1.3%-4.9%+0.3%
Q4 2018+6.2%+5.1%-3.1%
Q3 2018-5.1%-0.8%-19.3%
Q2 2018-6.0%-6.9%+0.1%
Q4 2017+9.6%+16.5%+46.5%
Q1 2018+9.6%+16.5%+46.5%
Q3 2017+0.0%-1.7%+24.0%
Q2 2017+2.4%+3.2%-11.8%
Q1 2017+0.0%-1.4%-15.6%
Q4 2016-1.1%+0.8%-3.3%
Q3 2016-1.8%+3.7%+0.2%
Q2 2016-1.4%-3.4%+41.2%
Q1 2016+5.5%
Q4 2015+10.6%
Q3 2015-6.8%
Q2 2015+1.2%
Q4 2014+0.0%

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