Shares experienced a 6% drop in after-hours trading before rebounding. Zillow’s mortgage and rentals units played a key role in driving growth, with a 41% increase to $48 million and a 36% increase to $159 million, respectively. The company’s core Residential business also grew by 6% to $434 million.
Zillow’s mobile apps and websites attracted 5% more traffic, totaling 243 million average monthly unique users. CEO Jeremy Wacksman noted that the company’s total revenue growth surpassed internal expectations and outperformed the stagnant housing and mortgage market.
With a mid-teens revenue growth projection for 2025, Zillow’s stock has risen by over 15% in the last month. However, the company faces legal challenges from industry giants CoStar and Compass, involving copyright infringement and listing disputes, respectively.
