Press Release: Douglas Elliman Inc. Reports Fourth Quarter and Full Year 2024 Financial Results

Dow Jones
11 Mar

Douglas Elliman Inc. Reports Fourth Quarter and Full Year 2024 Financial Results

Company builds momentum on revenue base and continues thoughtful expense reductions, driving meaningful improvement in Net Loss and Adjusted EBITDA as well as overall growth

MIAMI--(BUSINESS WIRE)--March 11, 2025-- 

Douglas Elliman Inc. ("Douglas Elliman" or the "Company") (NYSE:DOUG) today announced financial results for the three months and year ended December 31, 2024.

"I am very proud of our performance in the fourth quarter -- we increased revenue and year-over-year gross transaction value, while reducing operating losses," said Michael S. Liebowitz, Chief Executive Officer of Douglas Elliman Inc. "Our strong momentum has carried into 2025, with cash receipts in January and February up about 30% from the same time last year. By building a strong revenue base, expanding our footprint and continuing to reduce costs, we will drive earnings and create long-term value for our stockholders, employees, agents, and clients."

Bryant Kirkland, Chief Financial Officer of Douglas Elliman, added, "Douglas Elliman's financial results continued to improve in the fourth quarter, with strong revenue growth and a meaningful improvement in net loss and Adjusted EBITDA. We continued to see the impact of thoughtful expense reductions and, in the fourth quarter, began to realize the benefits of significant investments we made in the Development Marketing division in recent years. With a combined $145 million of cash and U.S. Treasury securities at December 31, 2024, Douglas Elliman's strong balance sheet provides us with a competitive advantage as we implement our strategy."

GAAP Financial Results

Three months ended December 31, 2024. Fourth quarter 2024 revenues were $243.3 million, compared to revenues of $214.1 million in the fourth quarter of 2023. The Company recorded an operating loss of $16.3 million in the fourth quarter of 2024, compared to $23.6 million in the fourth quarter of 2023. Net loss attributed to Douglas Elliman for the fourth quarter of 2024 was $6.0 million, or $0.07 per diluted common share, compared to $14.8 million, or $0.18 per diluted common share, in the fourth quarter of 2023.

Year ended December 31, 2024. For the year ended December 31, 2024, revenues were $995.6 million, compared to revenues of $955.6 million for the year ended December 31, 2023. The Company recorded an operating loss of $68.8 million for the year ended December 31, 2024, compared to $64.5 million for the year ended December 31, 2023. Net loss attributed to Douglas Elliman for the year ended December 31, 2024 was $76.3 million, or $0.91 per diluted common share, compared to $42.6 million, or $0.52 per diluted common share, for the year ended December 31, 2023.

Non-GAAP Financial Measures

Reconciliations of non-GAAP financial measures to the comparable GAAP financial results for the three months and year ended December 31, 2024 and 2023 are included in Tables 2 and 3.

Three months ended December 31, 2024 compared to the three months ended December 31, 2023

Adjusted EBITDA attributed to Douglas Elliman (as described in Table 2 attached hereto) were a loss of $5.4 million for the fourth quarter of 2024, compared to a loss of $16.7 million for the fourth quarter of 2023.

Adjusted Net Income (loss) attributed to Douglas Elliman (as described in Table 3 attached hereto) was $2.4 million, or $0.03 per diluted share, for the fourth quarter of 2024, compared to $(13.7) million, or $(0.17) per diluted share, for the fourth quarter of 2023.

Year ended December 31, 2024 compared to the year ended December 31, 2023

Adjusted EBITDA attributed to Douglas Elliman (as described in Table 2 attached hereto) were a loss of $17.8 million for the year ended December 31, 2024, compared to a loss of $39.9 million for the year ended December 31, 2023.

Adjusted Net loss attributed to Douglas Elliman (as described in Table 3 attached hereto) was $24.0 million, or $0.29 per diluted share, for the year ended December 31, 2024, compared to $40.1 million, or $0.49 per diluted share, for the year ended December 31, 2023.

Gross Transaction Value

For the three months ended December 31, 2024, Douglas Elliman's subsidiary, Douglas Elliman Realty, LLC, achieved gross transaction value of approximately $8.8 billion, compared to approximately $7.9 billion for the three months ended December 31, 2023. For the three months ended December 31, 2024, Douglas Elliman Realty, LLC reported an average price per transaction of $1.64 million.

For the year ended December 31, 2024, Douglas Elliman Realty, LLC achieved gross transaction value of approximately $36.4 billion, compared to approximately $34.4 billion for the year ended December 31, 2023. For the year ended December 31, 2024, Douglas Elliman Realty, LLC reported an average price per transaction of $1.67 million. Further detail on Gross Transaction Value is included in Table 4.

Consolidated Balance Sheet

Douglas Elliman maintained a strong balance sheet with cash and cash equivalents of $135.7 million and investment securities at fair value of $9.8 million at December 31, 2024 for a total of $145.5 million.

Conference Call to Discuss Fourth Quarter and Full Year 2024 Results

As previously announced, the Company will host a conference call and webcast to discuss its fourth quarter 2024 results on Tuesday, March 11, 2025 at 9:00 a.m. $(ET)$.

Investors may access the call via live webcast at https://join.eventcastplus.com/eventcastplus/Douglas-Elliman-Inc-Fourth-Quarter-and-Full-Year-Earnings-Call. Please join the webcast at least 10 minutes prior to the start time.

A replay of the webcast will be available shortly after the call ends on March 11, 2025 through March 25 at https://join.eventcastplus.com/eventcastplus/Douglas-Elliman-Inc-Fourth-Quarter-and-Full-Year-Earnings-Call.

Non-GAAP Financial Measures

Adjusted EBITDA attributed to Douglas Elliman, Adjusted Net Loss attributed to Douglas Elliman, and financial measures for the year ended December 31, 2024 (referred to as the "Non-GAAP Financial Measures") are financial measures not prepared in accordance with generally accepted accounting principles ("GAAP"). The Company believes that the Non-GAAP Financial Measures are important measures that supplement discussion and analysis of its results of operations and enhance an understanding of its operating performance.

The Company believes the Non-GAAP Financial Measures provide investors and analysts with a useful measure of operating results unaffected by differences in capital structures and ages of related assets among otherwise comparable companies.

Management uses the Non-GAAP Financial Measures as measures to review and assess operating performance of the Company's business, and management does and investors should review both the overall performance (GAAP net income) and the operating performance (the Non-GAAP Financial Measures) of the Company's business. While management considers the Non-GAAP Financial Measures to be important, they should be considered in addition to, but not as substitutes for or superior to, other measures of financial performance prepared in accordance with GAAP, such as operating income, net income and cash flows from operations. In addition, the Non-GAAP Financial Measures are susceptible to varying calculations and the Company's measurement of the Non-GAAP Financial Measures may not be comparable to those of other companies. Attached hereto as Tables 2 and 3 is information relating to the Company's Non-GAAP Financial Measures for the three months and full years ended December 31, 2024 and 2023.

About Douglas Elliman Inc.

Douglas Elliman Inc. (NYSE: DOUG, "Douglas Elliman") owns Douglas Elliman Realty, LLC, which is one of the largest residential brokerage companies in the United States with operations in New York City, Long Island, Westchester, Connecticut, New Jersey, the Hamptons, Massachusetts, Florida, California, Texas, Colorado, Nevada, Maryland, Virginia, and Washington, D.C. In addition, Douglas Elliman sources, uses and invests in early-stage, disruptive property technology ("PropTech") solutions and companies and provides other real estate services, including development marketing, property management and settlement and escrow services in select markets. Additional information concerning Douglas Elliman is available on its website, investors.elliman.com.

Investors and others should note that we may post information about Douglas Elliman on our website at investors.elliman.com or, if applicable, on our accounts on Facebook, Instagram, LinkedIn, TikTok, X, YouTube or other social media platforms. It is possible that the postings or releases could include information deemed to be material information. Therefore, we encourage investors, the media and others interested in Douglas Elliman to review the information we post on our website at investors.elliman.com and on our social media accounts.

Forward-Looking and Cautionary Statements

This press release includes forward-looking statements within the meaning of the federal securities law. All statements other than statements of historical or current facts made in this document are forward-looking. We identify forward-looking statements in this document by using words or phrases such as "anticipate," "believe," "estimate," "expect," "intend," "may be," "continue" "could," "potential," "objective," "plan," "seek," "predict," "project" and "will be" and similar words or phrases or their negatives. Forward-looking statements reflect our current expectations and are inherently uncertain. Actual results could differ materially for a variety of reasons.

Risks and uncertainties that could cause our actual results to differ significantly from our current expectations are described in our Annual Report on Form 10-K for the year ended December 31, 2023 and, when filed, our Annual Report on Form 10-K for the year ended December 31, 2024. We undertake no responsibility to publicly update or revise any forward-looking statement, except as required by applicable law.

 
                            TABLE 1 
             DOUGLAS ELLIMAN INC. AND SUBSIDIARIES 
             CONSOLIDATED STATEMENTS OF OPERATIONS 
                          (Unaudited) 
        (Dollars in Thousands, Except Per Share Amounts) 
---------------------------------------------------------------- 
 
                     Three Months Ended         Year Ended 
                        December 31,           December 31, 
                      2024       2023       2024        2023 
                    ---------  ---------  ---------  ----------- 
Revenues: 
Commissions and 
 other brokerage 
 income             $231,905   $202,289   $946,557   $906,069 
Property 
 management            9,084      8,693     36,785     35,542 
Other ancillary 
 services              2,332      3,154     12,285     13,967 
                     -------    -------    -------    ------- 
         Total 
          revenues   243,321    214,136    995,627    955,578 
 
Expenses: 
   Real estate 
    agent 
    commissions      179,213    159,413    743,819    706,162 
   Sales and 
    marketing         19,915     19,500     82,606     83,670 
   Operations and 
    support           14,770     17,267     70,342     70,605 
   General and 
    administrative    37,243     33,076    117,773    125,447 
   Technology          6,085      6,011     23,386     23,788 
   Depreciation 
    and 
    amortization       1,928      1,995      7,736      8,026 
   Litigation 
   settlement             --         --     17,750         -- 
   Restructuring         425        445      1,041      2,377 
                     -------    -------    -------    ------- 
      Operating 
       loss          (16,258)   (23,571)   (68,826)   (64,497) 
 
Other income 
(expenses): 
   Interest 
    expense           (1,464)        (6)    (2,939)       (28) 
   Interest income     1,544      1,559      5,533      5,841 
   Equity in 
    earnings 
    (losses) from 
    equity-method 
    investments          (13)       (25)        36       (168) 
   Change in fair 
    value of 
    derivative 
    embedded 
    within 
    convertible 
    debt               5,188         --    (14,978)        -- 
   Investment 
    gains              4,664        524      5,289        633 
                     -------    -------    -------    ------- 
Loss before 
 provision for 
 income taxes         (6,339)   (21,519)   (75,885)   (58,219) 
   Income tax 
    (benefit) 
    expense             (251)    (6,501)     1,117    (15,053) 
                     -------    -------    -------    ------- 
 
Net loss              (6,088)   (15,018)   (77,002)   (43,166) 
 
Net loss 
 attributed to 
 non-controlling 
 interest                 91        175        686        614 
                     -------    -------    -------    ------- 
 
Net loss 
 attributed to 
 Douglas Elliman 
 Inc.               $ (5,997)  $(14,843)  $(76,316)  $(42,552) 
                     =======    =======    =======    ======= 
 
Per basic common 
share: 
 
   Net loss 
    applicable to 
    common shares 
    attributed to 
    Douglas 
    Elliman Inc.    $  (0.07)  $  (0.18)  $  (0.91)  $  (0.52) 
                     =======    =======    =======    ======= 
 
Per diluted common 
share: 
 
   Net loss 
    applicable to 
    common shares 
    attributed to 
    Douglas 
    Elliman Inc.    $  (0.07)  $  (0.18)  $  (0.91)  $  (0.52) 
                     =======    =======    =======    ======= 
 
 
                           TABLE 2 
            DOUGLAS ELLIMAN INC. AND SUBSIDIARIES 
              RECONCILIATION OF ADJUSTED EBITDA 
                         (Unaudited) 
                    (Dollars in Thousands) 
-------------------------------------------------------------- 
 
                   Three Months Ended         Year Ended 
                      December 31,           December 31, 
                     2024      2023       2024        2023 
                   --------  ---------  ---------  ----------- 
 
Net loss 
 attributed to 
 Douglas Elliman 
 Inc.              $(5,997)  $(14,843)  $(76,316)  $(42,552) 
Interest expense     1,464          6      2,939         28 
Interest income     (1,544)    (1,559)    (5,533)    (5,841) 
Income tax 
 (benefit) 
 expense              (251)    (6,501)     1,117    (15,053) 
Net loss 
 attributed to 
 non-controlling 
 interest              (91)      (175)      (686)      (614) 
Depreciation and 
 amortization        1,928      1,995      7,736      8,026 
                    ------    -------    -------    ------- 
EBITDA             $(4,491)  $(21,077)  $(70,743)  $(56,006) 
 
Equity in losses 
 (earnings) from 
 equity-method 
 investments(a)         13         25        (36)       168 
Change in fair 
 value of 
 derivatives 
 embedded within 
 convertible 
 debt               (5,188)        --     14,978         -- 
Stock-based 
 compensation 
 expense            (4,143)     3,409      6,574     13,075 
Litigation, 
 settlement and 
 related 
 settlement 
 expenses(b)        10,630        770     33,333        770 
Executive 
 employee 
 severance and 
 separation 
 expenses            2,010         --      2,010         -- 
Restructuring          425        445      1,041      2,377 
Other, net          (4,664)      (524)    (5,289)      (633) 
                    ------    -------    -------    ------- 
Adjusted EBITDA     (5,408)   (16,952)   (18,132)   (40,249) 
Adjusted EBITDA 
 attributed to 
 non-controlling 
 interest                5        263        349        326 
                    ------    -------    -------    ------- 
Adjusted EBITDA 
 attributed to 
 Douglas Elliman 
 Inc.              $(5,403)  $(16,689)  $(17,783)  $(39,923) 
                    ======    =======    =======    ======= 
 
 
 
(a) Represents equity in losses (earnings) recognized from the Company's 
investments in equity method investments that are accounted for under the 
equity method and are not consolidated in the Company's financial results. 
(b) Represents unusual litigation expense, settlement and related expenses 
incurred in connection with industry-wide antitrust class action lawsuits and 
other matters related to employees and agents. The Company has increased 
unusual litigation expense, settlement and related expenses amounts reported 
in previous earnings press releases for each of the three months ended 
December 31, 2023 as well as March 31, 2024, June 30, 2024 and September 30, 
2024, respectively, by $770, $645, $534 and $3,774, respectively. 
 
 
                           TABLE 3 
            DOUGLAS ELLIMAN INC. AND SUBSIDIARIES 
         RECONCILIATION OF ADJUSTED NET INCOME (LOSS) 
                         (Unaudited) 
       (Dollars in Thousands, Except Per Share Amounts) 
-------------------------------------------------------------- 
 
                   Three Months Ended         Year Ended 
                      December 31,           December 31, 
                     2024      2023       2024        2023 
                   --------  ---------  ---------  ----------- 
 
   Net loss 
    attributed to 
    Douglas 
    Elliman Inc.   $(5,997)  $(14,843)  $(76,316)  $(42,552) 
 
   Restructuring       425        445      1,041      2,377 
   Change in fair 
    value of 
    derivatives 
    embedded 
    within 
    convertible 
    debt            (5,188)        --     14,978         -- 
   Non-cash 
    amortization 
    of debt 
    discount on 
    convertible 
    debt               496         --        983         -- 
   Litigation, 
    settlement 
    and related 
    settlement 
    expenses(a)     10,630        770     33,333        770 
   Executive 
    employee 
    severance and 
    separation 
    expenses         2,010         --      2,010         -- 
                    ------    -------    -------    ------- 
   Total 
    adjustments      8,373      1,215     52,345      3,147 
                    ------    -------    -------    ------- 
 
   Tax expense 
    related to 
    adjustments         --        (89)        --       (678) 
                    ------    -------    -------    ------- 
   Adjusted net 
    income (loss) 
    attributed to 
    Douglas 
    Elliman Inc.   $ 2,376   $(13,717)  $(23,971)  $(40,083) 
                    ======    =======    =======    ======= 
 
Per diluted 
common share: 
   Adjusted net 
    income (loss) 
    applicable to 
    common shares 
    attributed to 
    Douglas 
    Elliman Inc.   $  0.03   $  (0.17)  $  (0.29)  $  (0.49) 
                    ======    =======    =======    ======= 
 
 
(a) Represents unusual litigation expense, settlement and related expenses 
incurred in connection with industry-wide antitrust class action lawsuits and 
other matters related to employees and agents. The Company has increased 
unusual litigation expense, settlement and related expenses amounts reported 
in previous earnings press releases for each of the three months ended 
December 31, 2023 as well as March 31, 2024, June 30, 2024 and September 30, 
2024, respectively, by $770, $645, $534 and $3,774, respectively. 
 
 
                            TABLE 4 
             DOUGLAS ELLIMAN INC. AND SUBSIDIARIES 
              REVENUES AND GROSS TRANSACTION VALUE 
                          (Unaudited) 
   (Dollars in Thousands, Except for Gross Transaction Value) 
---------------------------------------------------------------- 
 
                        Three Months Ended        Year Ended 
                           December 31,          December 31, 
                          2024        2023      2024      2023 
                      ------------  --------  --------  -------- 
Revenues: 
Commissions and 
 other brokerage 
 income                $   231,905  $202,289  $946,557  $906,069 
Property management          9,084     8,693    36,785    35,542 
Other ancillary 
 services                    2,332     3,154    12,285    13,967 
                          --------   -------   -------   ------- 
   Total revenues      $   243,321  $214,136  $995,627  $955,578 
                          ========   =======   =======   ======= 
 
Statistical 
Measures (KPI): 
Gross transaction 
 value (in 
 billions)             $       8.8  $    7.9  $   36.4  $   34.4 
Total transactions           5,337     5,022    21,781    21,606 
 

View source version on businesswire.com: https://www.businesswire.com/news/home/20250310345493/en/

 
    CONTACT:    Stephen Larkin, Douglas Elliman Inc. 

917-902-2503

Olivia Snyder/Catherine Livingston,

FGS Global,

212-687-8080

Bryant Kirkland, Douglas Elliman Inc.

305-579-8000

 
 

(END) Dow Jones Newswires

March 11, 2025 08:00 ET (12:00 GMT)

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