eXp World Holdings, the parent company of eXp Realty, announced its fourth quarter and full-year financial reports for 2023. In the fourth quarter, the company’s revenue reached $983 million with a gross profit of $70.9 million.
Revenue for the full year 2023 was down 7% to $4.3 billion with a gross profit of $324.1 million, down 12% from 2022. Adjusted EBITDA for 2023 was $57.5 million with a full-year loss per diluted share of $0.06.
“Despite a challenged real estate market, we continued to gain market share during the fourth quarter of 2023 and maintained positive Adjusted EBITDA,” said Kent Cheng, eXp World Holdings Principal Financial Officer. “And while our decision to offboard a significant number of unproductive agents during the fourth quarter resulted in a decrease in our agent count quarter-over-quarter, the retention of our most productive agent cohorts remained excellent, and our fourth quarter revenue increased 5% year-over-year. In the fourth quarter, we also took several strategic actions to improve our profitability, with expected benefits to revenue and operating expenses in 2024. Our automation and other cost savings initiatives, combined with recent revenue enhancements, represent a potential $20 million annualized benefit to our future operating results. We will remain vigilant on costs and focused on increasing our operational flexibility in light of current uncertainties in the industry.”
The company ended the year with cash and cash equivalents of $126.9 million, up from $121.6 million in 2022, and plans to continue its investments in agent productivity.
“eXp delivered solid revenue in the fourth quarter, despite continued weakness in the United States residential real estate market, thanks to our global base of highly productive agents,” said Glenn Sanford, Founder, eXp World Holdings Chairman and CEO. “Our agent-centric model and value proposition, scale and superior efficiency enable us to invest in the success of our agents.
