Anywhere(US:HOUS)2025-11-05 11:56Financial Performance - For the three months ended September 30, 2025, net revenues increased to $1,626 million, up from $1,535 million in the same period of 2024, representing a growth of 5.9%[32] - Gross commission income for the nine months ended September 30, 2025, was $3,680 million, compared to $3,525 million in 2024, reflecting an increase of 4.4%[32] - The company reported a net loss of $13 million for the three months ended September 30, 2025, compared to a net income of $7 million in the same period of 2024[34] - For the nine months ended September 30, 2025, Anywhere Real Estate Inc. reported a net loss of $63 million, compared to a net loss of $64 million for the same period in 2024[37] - Total consolidated net revenues for Q3 2025 reached $1,626 million, a 5.9% increase from $1,535 million in Q3 2024[134] - For the nine months ended September 30, 2025, total consolidated net revenues were $4,512 million, a 4.2% increase from $4,330 million in the same period of 2024[139] Expenses and Losses - Total expenses for the nine months ended September 30, 2025, were $4,598 million, an increase from $4,417 million in 2024, marking a rise of 4.1%[32] - The company incurred restructuring and merger-related costs of $14 million for the three months ended September 30, 2025, compared to $6 million in the same period of 2024[32] - Total expenses rose by $111 million or 7% in Q3 2025, primarily due to $14 million in restructuring and merger-related costs compared to $6 million in Q3 2024[177] - The company incurred $5 million in merger-related costs associated with the pending merger with Compass, primarily for legal and advisory services[138] Cash Flow and Liquidity - Cash and cash equivalents as of September 30, 2025, were $139 million, up from $118 million at the end of 2024, indicating a growth of 17.8%[36] - The net cash used in operating activities was $(15) million for the nine months ended September 30, 2025, a decrease from $37 million provided in the same period of 2024[37] - Cash provided by operating activities was $(15) million for the nine months ended September 30, 2025, compared to $37 million in 2024[206] - Cash and cash equivalents increased by $21 million, primarily due to debt transactions[208] Assets and Liabilities - Total assets increased to $5,743 million as of September 30, 2025, compared to $5,636 million as of December 31, 2024, representing a growth of 1.9%[36] - The company’s accumulated deficit increased to $3,283 million as of September 30, 2025, from $3,219 million at the end of 2024[36] - The company’s long-term debt as of September 30, 2025, was $2,125 million, a slight decrease from $2,031 million at the end of 2024[36] - Total short-term and long-term debt as of September 30, 2025, is $2,576 million, up from $2,521 million as of December 31, 2024[79] Shareholder Information - Weighted average common shares outstanding for the three months ended September 30, 2025, were 112.0 million, compared to 111.3 million in the same period of 2024[32] - The company has a share repurchase program authorized for up to $300 million, with $203 million remaining available for repurchase as of September 30, 2025[123] - The company has not repurchased any shares under the share repurchase programs since 2022[123] Mergers and Acquisitions - Anywhere Real Estate Inc. entered into a Merger Agreement with Compass on September 22, 2025, where each share of the Company's common stock will convert into 1.436 shares of Compass class A common stock[43] - The Merger Agreement includes a termination fee of $200 million payable by either party under certain conditions, and a fee of $350 million if regulatory clearances are not obtained[45] Legal Matters - The company is involved in various legal proceedings, including antitrust litigation, which may have significant financial implications[99] - The Anywhere Settlement, related to antitrust claims, received final court approval on May 9, 2024, but has been appealed by several parties[103] - The settlement mandates practice changes for Company-owned brokerages and recommends similar changes for franchisees, to be implemented within six months after final court approval[108] Operational Performance - The Franchise Group generated net revenues of $1,340 million in Q3 2025, a 6.5% increase from $1,258 million in Q3 2024[134] - The Owned Brokerage segment reported net revenues of $495 million for the nine months ended September 30, 2025, up from $490 million in the same period of 2024[139] - Operating EBITDA for the Franchise Group increased by $15 million to $415 million, with an operating EBITDA margin of 56%[195] Market Conditions - The U.S. Federal Reserve lowered the target federal funds rate to a range of 3.75% to 4.00% in September and October 2025[157] - As of September 25, 2025, the U.S. weekly average rate for a 30-year conventional fixed-rate mortgage was 6.30%[158]