FIRST QUARTER RESULTS FOR RE/MAX HOLDINGS INC.
RE/MAX Holdings Incorporated, parent company of RE/MAX, one of the world’s leading franchisors of real estate brokerage services, recently announced operating results for the quarter ended March 31, 2020.
According to the report, the group’s total agent count increased 5.0% to 131,816 agents compared to first quarter 2019. RE/MAX Holdings Inc. brought in a total Revenue of $70.3 million. Revenue excluding the Marketing Funds increased by 0.7% to $52.8 million. The net income attributable to RE/MAX Holdings, Inc. amounted to $2.6 million and an earnings per diluted share (GAAP EPS) of $0.15
“The housing market experienced a strong start to 2020, but that momentum was unfortunately interrupted by the COVID-19 pandemic,” stated Adam Contos, RE/MAX Holdings Chief Executive Officer. “In the current environment, the health and well-being of our employees, affiliates, home buyers and sellers and the communities in which they live remain our top priority […] Real estate professionals, using technology and adhering to social distancing guidelines, are effectively leading consumers through the buying or selling process in a safe and largely virtual way. What has become clear is the expertise of a skilled real estate professional has never been more important.”
Another thing that has become clear is the appeal of a well-established brand such as RE/MAX. As of March 31, 2020, the brand’s agent count outside the U.S. & Canada amounted to 47,625. This is an increase of over 6,000 agents compared to the same period last year (41,501 agents outside the U.S. & Canada). Locally, RE/MAX of Southern Africa had an agent count of 2,457 as at March 31, 2020. As at 30 April 2020, this number grew by 26 agents.
“One would expect that the number of sales associates would shrink over April considering that no agent in the country could earn a single cent in sales commission owing to the Deeds Office closure. Now more than ever, the backing of a well-established brand becomes invaluable to agents who are struggling to remain productive during the lockdown. A well-established brand that offers a wide net of brand exposure, as well as a host of resources, technology and training, gives real estate professionals a better chance at survival,” explains Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Africa.
According to the global CEO, the RE/MAX group has ample reason to be confident in its ability to navigate through this challenging environment. “We have the advantages of strong brands, a resilient business model, a healthy balance sheet, two highly entrepreneurial networks – including one that virtually spans the globe. We’ve experienced economic downturns before, and the lessons we’ve learned will help us through this one. We continue to invest in the success of our affiliates – providing financial support, maintaining our brand presence, and developing relevant new tools, training, and technology. The goal: helping our people emerge from this crisis in a position of strength,” Contos concludes.
To read the full report, click here.