CoStar Group Reports 12% Revenue Growth in Q1 2025, Adjusted EBITDA Soars Despite Net Loss

CoStar Group, Inc. (NASDAQ: CSGP) reported first-quarter 2025 revenue of $732 million, reflecting a 12% increase compared to the same period last year. The company posted a net loss of $14.8 million or $0.04 per diluted share, largely driven by $31 million in costs associated with its acquisition of Matterport. However, adjusted EBITDA rose sharply to $65.6 million, a 429% increase from the prior year quarter.

Core commercial platforms continued to deliver robust results, with CoStar and LoopNet showing annualized net new bookings growth of 68% and 200%, respectively. Apartments.com added 4,300 new properties, the highest quarterly addition since 2016. Homes.com expanded its salesforce to 370 representatives and recorded a demo-to-close rate exceeding 50%, the highest in CoStar’s sales history.

The Homes.com network became the second-largest residential platform in the U.S., reaching 104 million monthly unique visitors. Unaided consumer awareness rose to 36%, up from 4% the year before.

For the full year 2025, CoStar expects revenue between $3.115 billion and $3.155 billion and adjusted EBITDA in the range of $355 million to $385 million. Q2 revenue is projected between $770 million and $775 million, with adjusted EBITDA guidance of $50 million to $60 million.