Zillow Shares Surge Following Q1 Results

Shares of

rose 5 percent in after-hours trading after the company reported results for the first quarter. The Seattle, Washington-based company posted a quarterly net loss of $58.4 million, or $1.19 per share, versus a year-ago loss of $6.3 million, or $0.16 per share. Pro forma net loss per share for the quarter was $0.31, versus a year-ago pro forma loss per share of $0.42. Excluding non-recurring items, the company's non-GAAP earnings came in at $0.05 per share. Its revenue surged to $127.3 million from $66.2 million, while pro forma revenue climbed 35 percent year-over-year to $162.5 million. Analysts were expecting a loss of $0.12 per share on revenue of $135.67 million. The average estimate among 58 Estimize users was for a loss of $0.07 per share and revenue of $143.39 million. Pro forma marketplace revenue climbed 42 percent year-over-year to $136.9 million in the quarter, while pro forma real estate revenue jumped 54 percent to $113.4 million. Pro forma mortgages revenue gained 33 percent to $10 million, while pro forma market leader revenue slipped 11 percent to $13.6 million. Pro forma display revenue gained 5 percent to $25.6 million in the quarter. Pro forma adjusted EBITDA climbed to $24.5 million in the first quarter, from $12.1 million. "The combined team at Zillow Group is executing extremely well across all of our brands and marketplaces," said Zillow Group CEO Spencer Rascoff. "Our already massive audience of home shoppers continues to grow throughout our network of brands, and we are rapidly recognizing the benefits of scale. We have integrated the Zillow mortgage and rentals products into Trulia, giving our advertisers and partners access to an even wider consumer audience. And most importantly, we are on track to combine our agent advertising business by the end of 2015, setting us up to fully realize the potential of Zillow Group's huge and growing audience." For the full-year 2015, the company reaffirmed its pro forma revenue guidance of $690 million and pro forma adjusted EBITDA of $80 million to $85 million. Zillow shares rose 5 percent to $102.88 in the after-hours trading session.