Is REAL Broker Profitable In 2023?
Being the fastest growing, publicly traded brokerage in North America, it is a common question to ask if REAL Broker is profitable yet? The answer is Yes, Real Brokerage Inc. (NASDAQ: REAX) is a profitable company. They reached EBITDA profitability in Q2 2023 and continued to be profitable into Q3 2023. In Q3 they reported $3.5 million in EBITDA profitability.
REAL Broker’s 2023 Revenue Growth:
One of the standout achievements for Real Brokerage in the third quarter of 2023 was its remarkable revenue growth. The company reported a year-over-year increase in revenue of an impressive 92%, reaching $214.6 million. This substantial increase demonstrates the company's ability to attract clients and expand its market presence even in challenging market conditions.
REAL Broker’s Continuous Profitability
What's even more notable is that Real Brokerage achieved a second consecutive quarter of positive adjusted EBITDA. EBITDA (earnings before interest, taxes, depreciation, and amortization) is a key financial metric, that represents the company's earnings before certain expenses are taken into account, providing insight into its operational profitability. In Q3 2023, Real Brokerage reported an adjusted EBITDA profit of $3.5 million, marking a $3.0 million improvement from the same period in 2022. This achievement is a significant milestone.
Is REAL Broker Growing?
REAL Broker grew its agent base to 12,175 real estate agents in Q3 2023, representing an 81% year-over-year increase. Additionally, the number of transactions closed in the third quarter of 2023 grew by 82% year-over-year to 20,397, and the total value of completed real estate transactions increased by 91% year-over-year to $8.1 billion. These metrics demonstrate the company's ability to attract and support a growing number of real estate professionals and facilitate a substantial volume of real estate transactions.
What Makes REAL Broker Different?
Real Brokerage remains committed to distinguishing itself in the real estate industry. The company is actively investing in its business to transform the real estate buying and selling experience. At its annual RISE agent conference in October, Real Brokerage unveiled innovative products and features, including the "One Real" consumer-facing mobile app, the Real Wallet – a fintech product designed for agents, and Leo 2.0 – an AI-powered virtual concierge with predictive capabilities. These innovations aim to simplify the home buying process for consumers and empower agents with cutting-edge tools and technology.
Read REAL Broker’s full Q3 2023 financial state here.
