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Dec 31, 2022

CoStar Q4 2022 Earnings Report

CoStar Group's Q4 2022 earnings were released, with revenue increasing by 13% year-over-year and Apartments.com experiencing significant growth.

Key Takeaways

CoStar Group reported a 13% increase in revenue for Q4 2022, reaching $573 million. The company's Apartments.com platform saw substantial growth, with net new bookings increasing by 177% compared to the same period in 2021.

CoStar Group's Q4 2022 revenue increased by 13% year-over-year.

Apartments.com experienced a 16% year-over-year revenue growth in Q4 2022.

Net new bookings for Apartments.com in Q4 2022 increased by 177% compared to the same period in 2021.

Traffic to Homes.com network has passed 20 million unique monthly visitors.

Total Revenue
$573M
Previous year: $507M
+13.1%
EPS
$0.38
Previous year: $0.35
+8.6%
Adjusted EBITDA
$182M
Previous year: $193M
-5.9%
Gross Profit
$464M
Previous year: $420M
+10.4%
Cash and Equivalents
$4.97B
Previous year: $3.83B
+29.8%
Free Cash Flow
$181M
Previous year: $150M
+20.6%
Total Assets
$8.4B
Previous year: $7.26B
+15.8%

CoStar

CoStar

CoStar Revenue by Segment

CoStar Revenue by Geographic Location

Forward Guidance

The Company expects revenue in the range of $2.46 billion to $2.48 billion for the full year of 2023, representing growth of approximately 13% year-over-year at the midpoint of the range.

Positive Outlook

  • Revenue in the range of $2.46 billion to $2.48 billion for the full year of 2023
  • Revenue growth of approximately 13% year-over-year at the midpoint of the range.
  • Revenue for the first quarter of 2023 in the range of $575 million to $580 million
  • Revenue growth of approximately 12% year-over-year at the midpoint of the range.
  • Adjusted EBITDA in the range of $500 million to $520 million for the full year of 2023.

Challenges Ahead

  • Adjusted EBITDA in the range of $500 million to $520 million for the full year of 2023.
  • Adjusted EBITDA in the range of $111 million to $116 million for the first quarter of 2023.
  • Full year 2023 non-GAAP net income per diluted share in a range of $1.06 to $1.09 based on 408 million shares.
  • First quarter of 2023, the Company expects non-GAAP net income per diluted share in a range of $0.25 to $0.26 based on 407 million shares.
  • These ranges include an estimated non-GAAP tax rate of 26% for the full year and the first quarter of 2023.

Revenue & Expenses

Visualization of income flow from segment revenue to net income