PART I FINANCIAL INFORMATION [Item 1. Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited condensed consolidated financial statements for Q1 2020, including operations, balance sheets, cash flows, and detailed notes on accounting policies, acquisitions, and debt [Condensed Consolidated Statements of Operations](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Q1 2020 revenues grew **19.3%** to **$391.8 million**, but increased operating expenses led to a decline in income from operations to **$75.9 million** and net income to **$72.8 million** Q1 2020 vs Q1 2019 Statement of Operations (in thousands, except per share data) | Metric | Three Months Ended March 31, 2020 | Three Months Ended March 31, 2019 | | :--- | :--- | :--- | | **Revenues** | **$391,847** | **$328,425** | | Gross Profit | $312,938 | $257,272 | | Income from Operations | $75,864 | $93,492 | | **Net Income** | **$72,793** | **$85,169** | | Net Income Per Share - Diluted | $1.98 | $2.33 | [Condensed Consolidated Balance Sheets](index=6&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of March 31, 2020, total assets increased to **$4.68 billion**, driven by a rise in cash to **$1.93 billion**, largely funded by **$745 million** in new long-term debt, increasing total liabilities to **$1.22 billion** Balance Sheet Highlights (in thousands) | Account | March 31, 2020 | December 31, 2019 | | :--- | :--- | :--- | | **Total Assets** | **$4,684,597** | **$3,853,986** | | Cash, cash equivalents and restricted cash | $1,927,923 | $1,070,731 | | Goodwill | $1,873,987 | $1,882,020 | | **Total Liabilities** | **$1,221,786** | **$448,393** | | Long-term debt | $745,000 | $— | | **Total Stockholders' Equity** | **$3,462,811** | **$3,405,593** | [Condensed Consolidated Statements of Cash Flows](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Q1 2020 net cash from operating activities decreased to **$131.5 million**, while **$745 million** in long-term debt proceeds significantly boosted the company's overall cash position Q1 2020 vs Q1 2019 Cash Flow Summary (in thousands) | Cash Flow Activity | Three Months Ended March 31, 2020 | Three Months Ended March 31, 2019 | | :--- | :--- | :--- | | Net cash provided by operating activities | $131,464 | $148,494 | | Net cash provided by (used in) investing activities | $2,694 | $(9,429) | | Net cash provided by (used in) financing activities | $725,151 | $(6,618) | | **Net increase in cash** | **$857,192** | **$132,401** | [Notes to Condensed Consolidated Financial Statements](index=10&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) The notes detail accounting policies, revenue disaggregation, the pending RentPath acquisition, the **$745 million** debt incurrence, segment performance, and the emerging impact of the COVID-19 pandemic - The company operates in two segments: North America (U.S. and Canada) and International (Europe, Asia-Pacific, Latin America). Its services, primarily subscription-based, provide information, analytics, and online marketplaces for the commercial real estate industry[25](index=25&type=chunk) Disaggregated Revenue by Service (Q1 2020 vs Q1 2019, in thousands) | Service Type | Q1 2020 Revenue | Q1 2019 Revenue | | :--- | :--- | :--- | | CoStar Suite | $164,956 | $147,701 | | Information services | $32,382 | $18,850 | | Multifamily | $137,460 | $114,268 | | Commercial property and land | $57,049 | $47,606 | | **Total Revenues** | **$391,847** | **$328,425** | - On February 11, 2020, the company entered into an agreement to acquire RentPath Holdings, Inc. for **$588 million** in cash, subject to bankruptcy court and regulatory approvals[86](index=86&type=chunk)[88](index=88&type=chunk) - In March 2020, the company borrowed **$745 million** under its revolving credit facility to fund the pending RentPath acquisition, other potential acquisitions, and for general corporate purposes[115](index=115&type=chunk) - The COVID-19 pandemic, declared in March 2020, did not materially affect the Q1 2020 financial statements, but the company acknowledges that future estimates and assumptions may evolve as the situation changes[130](index=130&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=28&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q1 2020 performance, noting a **19%** revenue increase but a **15%** net income decline due to increased operating expenses, while addressing the COVID-19 pandemic's impact and the strategic **$745 million** credit facility draw for the RentPath acquisition - The company is closely monitoring the impact of the COVID-19 pandemic, having shifted to a remote workplace in mid-March 2020. Management anticipates potential negative effects, including decreased new sales, increased customer cancellations, and higher credit losses[138](index=138&type=chunk)[142](index=142&type=chunk) Q1 2020 vs Q1 2019 Performance Summary (in thousands) | Metric | Q1 2020 | Q1 2019 | % Change | | :--- | :--- | :--- | :--- | | Total Revenues | $391,847 | $328,425 | 19% | | Gross Profit | $312,938 | $257,272 | 22% | | Income from Operations | $75,864 | $93,492 | (19)% | | Net Income | $72,793 | $85,169 | (15)% | - Operating expenses rose significantly, driven by a **$22 million** increase in marketing spend (primarily for multifamily), a **$13 million** increase in sales personnel costs, and a **$12 million** increase in software development personnel costs[185](index=185&type=chunk)[186](index=186&type=chunk) - The company's cash position increased to **$1.9 billion**, primarily due to a **$745 million** draw on its revolving credit facility, intended to fund the pending RentPath acquisition and provide financial flexibility amid COVID-19 uncertainty[197](index=197&type=chunk)[200](index=200&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=40&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company's primary market risks include foreign currency fluctuations, with foreign currency revenues representing approximately **5%** of total revenue, and potential impairment of **$2.3 billion** in goodwill and intangible assets - Revenues denominated in foreign currencies accounted for approximately **5%** of total revenue for Q1 2020, where a hypothetical **10%** U.S. dollar strengthening would have decreased revenues by about **$2 million**[213](index=213&type=chunk) - As of March 31, 2020, the company had approximately **$2.3 billion** of goodwill and intangible assets, which are subject to impairment risk if economic conditions or business performance deteriorates[215](index=215&type=chunk) [Item 4. Controls and Procedures](index=41&type=section&id=Item%204.%20Controls%20and%20Procedures) The CEO and CFO concluded that disclosure controls and procedures were effective as of March 31, 2020, while the company implements a new financial system and monitors COVID-19's impact on internal controls - The CEO and CFO concluded that the company's disclosure controls and procedures were effective at a reasonable assurance level as of March 31, 2020[218](index=218&type=chunk) - The company is implementing a new financial system to improve operational and financial accounting processes and is monitoring the effects of the COVID-19 pandemic on its internal controls[219](index=219&type=chunk)[220](index=220&type=chunk) PART II OTHER INFORMATION [Item 1. Legal Proceedings](index=42&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in incidental litigation but does not anticipate any current proceedings to have a material adverse effect on its financial position or results - Management does not believe any current litigation is likely to have a material adverse effect on the company's financial position or results of operations[222](index=222&type=chunk) [Item 1A. Risk Factors](index=42&type=section&id=Item%201A.%20Risk%20Factors) This section updates risk factors, primarily focusing on the COVID-19 pandemic's evolving risks and its potential material adverse impact on business operations, client demand, collections, and overall financial results - The global spread of COVID-19 is identified as a primary risk factor, creating significant economic volatility, uncertainty, and disruption that could materially adversely impact the business[224](index=224&type=chunk) - Specific pandemic-related risks include negative impacts on client demand, business failures among customers, clients' ability to pay, and disruptions to marketing and service delivery due to remote work and health restrictions[224](index=224&type=chunk) - The company began to see an increase in customer requests for cancellations or suspensions and a reduction in new sales towards the end of Q1 2020 as a result of the pandemic's economic impact[225](index=225&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=44&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) During Q1 2020, the company repurchased **45,971** shares of common stock, primarily to satisfy employees' minimum tax withholding obligations from restricted stock grants Issuer Purchases of Equity Securities (Q1 2020) | Period | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | January 2020 | 2,002 | $651.69 | | February 2020 | 14,537 | $670.83 | | March 2020 | 29,432 | $639.59 | | **Total** | **45,971** | **$651.52** | [Item 6. Exhibits](index=45&type=section&id=Item%206.%20Exhibits) This section lists all exhibits filed with the Form 10-Q, including the Asset Purchase Agreement for RentPath and Sarbanes-Oxley Act certifications from the CEO and CFO - Key exhibits filed with this report include the Asset Purchase Agreement for RentPath Holdings, Inc. and Sarbanes-Oxley Act certifications from the CEO and CFO[236](index=236&type=chunk)

CoStar Group, Inc. (NASDAQ:CSGP) Q1 2020 Earnings Conference Call April 28, 2020 5:00 PM ET Company Participants Sarah Spray - IR Andy Florance - CEO, Founder Scott Wheeler - CFO Conference Call Participants Mario Cortellacci - Jefferies Peter Christiansen - Citi Stephen Sheldon - William Blair Andrew Jeffrey - SunTrust Mayank Tandon - Needham Bill Warmington - Wells Fargo Ryan Tomasello - KBW George Tong - Goldman Sachs Brett Huff - Stephens Sterling Auty - JPMorgan Joe Goodwin - JMP Securities Operator La ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2019 OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 ☐ For the transition period from ______ to ______ Commission file number 0-24531 CoStar Group, Inc. (Exact name of registrant as specified in its charter) Delaware 52-2091509 (State or other jurisdiction of in ...

CoStar Group, Inc. (NASDAQ:CSGP) Q4 2019 Earnings Conference Call February 25, 2020 5:00 PM ET Company Representatives Andy Florance - Chief Executive Officer, Founder Scott Wheeler - Chief Financial Officer Sarah Spray - Investor Relations Conference Call Participants Ryan Tomasello - KBW Jackson Ader - JPMorgan Stephen Sheldon - William Blair Mario Cortellacci - Jefferies Brett Huff - Stephens Pete Christiansen - Citi George Tong - Goldman Sachs Andrew Jeffrey - SunTrust Kyle Peterson - Needham Bill Warmi ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______ to ______ Commission file number 0-24531 CoStar Group, Inc. (Exact name of registrant as specified in its charter) Delaware 52-2091509 (State or other jurisdi ...

CoStar Group, Inc. (NASDAQ:CSGP) Q3 2019 Earnings Conference Call October 22, 2019 5:00 PM ET Company Participants Rich Simonelli - Investor Relations Andy Florance - Chief Executive Officer & Founder Scott Wheeler - Chief Financial Officer Conference Call Participants Brett Huff - Stephens Andrew Jeffrey - SunTrust Bill Warmington - Wells Fargo George Tong - Goldman Sachs Pete Christiansen - Citi Ryan Tomasello - KBW Mayank Tandon - Needham & Company Sterling Auty - JPMorgan Operator Ladies and gentlemen, ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______ to ______ Commission file number 0-24531 CoStar Group, Inc. (Exact name of registrant as specified in its charter) Delaware 52-2091509 (State or other jurisdiction ...

CoStar Group, Inc. (NASDAQ:CSGP) Q2 2019 Earnings Conference Call July 23, 2019 5:00 PM ET Company Participants Rich Simonelli - VP, IR Andy Florance - Founder & CEO Scott Wheeler - CFO Conference Call Participants Peter Christiansen - Citi Bill Warmington - Wells Fargo George Tong - Goldman Sachs Andrew Jeffrey - SunTrust Sterling Auty - JPMorgan Joe Goodwin - Securities Scott Buck - B.Riley FBR Operator Ladies and gentlemen, thank you for standing by, and welcome to the CoStar Second Quarter Financial Res ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2019 OR [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______ to ______ Commission file number 0-24531 CoStar Group, Inc. (Exact name of registrant as specified in its charter) Delaware 52-2091509 (State or other jurisdi ...

CoStar Group, Inc. (NASDAQ:CSGP) Q1 2019 Earnings Conference Call April 23, 2019 5:00 PM ET Company Participants Rich Simonelli - Vice President, Investor Relations Andy Florance - Chief Executive Officer & Founder Scott Wheeler - Chief Financial Officer Conference Call Participants George Tong - Goldman Sachs Bill Warmington - Wells Fargo David Ridley-Lane - Bank of America Peter Christiansen - Citi Andrew Jeffrey - SunTrust Stephen Sheldon - William Blair Mayank Tandon – Needham Joe Goodwin - Securities S ...