Financial Data and Key Metrics Changes - Total revenue for Q2 2025 was $72.8 million, with adjusted EBITDA of $26.3 million and an adjusted EBITDA margin of 36.1%, an increase of 30 basis points compared to 2024 [20][21] - Revenue excluding marketing funds decreased by 6.8% year-over-year, primarily due to negative organic growth of 5.7% and adverse foreign currency movements of 1.1% [20][21] - Selling, operating, and administrative expenses decreased by $1 million or 2.8% to $33.9 million, attributed to lower personnel expenses [21] Business Line Data and Key Metrics Changes - The decline in organic growth was mainly due to lower U.S. agent count, broker fees, and revenue from previous acquisitions, partially offset by new revenue streams from REMAX Media Network and lead concierge initiatives [20][21] - The company reported a record high of over 147,000 agents in its global network, marking the best U.S. agent count performance since 2022 [3][9] Market Data and Key Metrics Changes - U.S. existing home sales have been slow to recover, but inventory levels increased by 30% compared to June 2024, with new listings growing year-over-year for the sixteenth consecutive month [5] - The company noted challenges in the housing market due to tariffs, inflation, and high mortgage rates, which tempered expectations for a housing rebound in the latter half of the year [5][6] Company Strategy and Development Direction - The company is focused on enhancing its value proposition and expanding its global agent network, particularly in the U.S. and Canada [16] - Recent strategic moves include the introduction of the Aspire onboarding program aimed at attracting and developing new agents, which has seen nearly 60% of U.S. and Canadian brokerages sign up [11][12] - The company is investing in technology and tools to empower agents, including a new AI-powered global referral system and a pricing engine for mortgage brokerage [14][15] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, citing solid momentum and resilience despite a challenging macro environment [4][16] - The company tightened its revenue and profit range expectations for the rest of the year but raised agent count expectations due to strong international growth [23][24] Other Important Information - The company is strategically reinvesting in the business and building cash reserves while working to lower its total leverage ratio [21][22] - The REMAX Media Network is beginning to contribute to the top line, although its launch has been slower than anticipated due to the macro environment [14] Q&A Session Summary Question: What drove the reduced guidance range? - Management indicated that the reduced guidance was influenced by a delay in the ramp-up of the REMAX Media Network, a tempered outlook on broker fees, and near-term impacts from the Aspire program [27][30] Question: How did different geographies contribute to the agent count change? - The international expansion was identified as a key driver for the agent count guidance, with significant contributions from the U.S. and a recent large-scale conversion in Hawaii [31][33] Question: How is the Aspire program resonating with agents? - The Aspire program has seen positive adoption, with nearly two-thirds of eligible brokerages participating, and it is helping to attract younger agents and those transferring books of business [36][39] Question: What is the engagement level with the new tools launched? - While it is early to assess the stickiness of multiple tool usage, management noted good adoption rates for the tools deployed, including the global referral platform and lead concierge [41][44]