Marcus & Millichap(MMI) - 2024 Q4 - Annual Results

Financial Performance - Total revenue for Q4 2024 was $240.1 million, an increase of 44.4% compared to $166.2 million in Q4 2023[6] - Net income for Q4 2024 was $8.5 million, or $0.22 per diluted share, compared to a net loss of $10.2 million, or $0.27 loss per diluted share, in Q4 2023[11] - Total revenue for the full year 2024 was $696.1 million, a 7.8% increase from $645.9 million in 2023[12] - The Company reported a net loss of $12.4 million for 2024, an improvement from a net loss of $34.0 million in 2023[12] - Adjusted EBITDA for Q4 2024 was $18.0 million, compared to $(4.5) million in Q4 2023, reflecting improved operating income[11] - Adjusted EBITDA for Q4 2024 was $18,034,000, compared to a loss of $4,504,000 in Q4 2023[38] - Net income for Q4 2024 was $8,548,000, a significant improvement from a net loss of $10,233,000 in Q4 2023[38] Brokerage and Sales Performance - Brokerage commissions for Q4 2024 reached $202.8 million, a 40.3% increase year-over-year, driven by a 40.8% rise in total sales volume[7] - Total sales volume for Q4 2024 reached approximately $18.4 billion, with 2,485 transactions, including $12.3 billion from real estate brokerage[30] - Total sales volume in the real estate brokerage business increased by 40.8% for the three months ended December 31, 2024[40] - For the year ended December 31, 2024, total sales volume increased by 9.1%[40] Transaction Metrics - The average commission per transaction in real estate brokerage increased to $116,433 in Q4 2024, up from $102,306 in Q4 2023[30] - The average transaction size in real estate brokerage was $7.0 million in Q4 2024, compared to $6.2 million in Q4 2023[30] - Average transaction size in the real estate brokerage business increased by 14.2% for the three months ended December 31, 2024[40] - For the year ended December 31, 2024, average transaction size increased by 9.7%[40] Operating Expenses and Financial Metrics - Total operating expenses for Q4 2024 were $233.4 million, up from $183.4 million in Q4 2023[27] - Interest income and other for Q4 2024 was $(4,987,000), compared to $(4,689,000) in Q4 2023[38] - Depreciation and amortization for Q4 2024 was $5,288,000, up from $3,315,000 in Q4 2023[38] - Stock-based compensation for Q4 2024 was $6,037,000, compared to $8,338,000 in Q4 2023[38] Market and Strategic Focus - The Private Client Market continues to represent over 80% of all commercial property sales transactions, providing long-term growth opportunities[17] - The Company plans to focus on strategic acquisitions and technology investments, including further adoption of A.I., to enhance long-term shareholder value[5] Workforce and Assets - The company had 1,610 investment sales professionals and 102 financing professionals as of December 31, 2024[30] - Total assets decreased to $869.8 million as of December 31, 2024, from $878.4 million in 2023[34] - The total stockholders' equity was $630.8 million as of December 31, 2024, down from $645.3 million in 2023[34]