Anywhere focuses on growth, AI as Compass merger looms
The brokerage and franchisor delivered 6% higher revenue, which Anywhere execs credited to increased luxury sales and retention of top agents.
Anywhere Real Estate entered the homestretch of a newsy year with an abbreviated third-quarter earnings report highlighting positive momentum and advances in artificial intelligence as it looks to its future under the Compass umbrella.
Execs didn't take questions or offer forward-looking guidance, but CEO Ryan Schneider's scripted remarks highlighted the landmark deal the company has made to merge with the industry's largest brokerage.
"The proposed merger with Compass advances that journey by bringing together two of the most innovative and respected organizations in real estate," Schneider said during an investor call Nov. 4. "We expect to create a platform where agents, franchisees and employees can thrive while delivering even greater value to home buyers and sellers."
This was Anywhere's first earnings report since the announcement of its all-stock merger with Compass, a deal expected to close in the second half of 2026, pending shareholder and regulatory approval.
The company reported a 6% increase in revenue, to $1.6 billion, driven by higher transaction volume, gains in luxury and strong agent retention across its network.
What the company had to say
"We are executing momentum across multiple growth sectors, transforming the transaction experience through innovation and generative AI, delivering better experiences faster and at a lower cost," Schneider said.
In Q3, Anywhere launched an AI-powered tool that pulls listing agreements directly into their systems, Schneider said, cutting entry time from 10-15 minutes to 60 seconds. "We are leveraging the same technology on the buy side," he added. We see an opportunity to turn the buyers agreements, a perceived market risk, into an opportunity by leveraging it to promote our differentiated service offerings."
CFO Charlotte Simonelli highlighted ongoing cost reduction efforts, noting that Anywhere has achieved $67 million in cost savings and is on track to reach its $100 million target for 2025.
Key numbers
Revenue: $1.6 billion, up 6% year over year.
Operating EBITDA: $100 million, down $8 million from a year ago, primarily due to higher long-term incentive costs tied to share price increases.
Free cash flow: $92 million, down $7 million year over year.
Closed transaction volume: Up 7% year over year, outperforming National Association of Realtors' reported market volume growth by more than two percentage points.
Luxury sales: Up 12% year over year; with 345 homes priced at $10 million or more sold, a 30% increase from Q3 2024.
Agent retention: 95% among the top half of producing agents, one of Anywhere's highest levels to date.
Advisor segment: Negative $11 million in operating EBITDA (flat year over year), with underlying margin of 6% excluding inter-company payments.
Title and escrow revenue: Up 7% year over year, reflecting increased transaction units.
Franchise revenue: Up 2% year over year, with 13 new U.S. franchisees and one international expansion.
Notable moves
The merger with Compass dominated headlines, but it wasn't Anywhere's only noteworthy news in the past quarter.
Former Douglas Elliman CEO Scott Durkin rejoined Corcoran in October, a significant move for one of Anywhere's flagship luxury brands. Durkin, who spent nearly 27 years with Corcoran before jumping to Elliman in 2025, took a role as an associate broker based out of Corcoran's East Side office in New York City.
Coldwell Banker CEO Kamini Lane, meanwhile, defended the brand's commitment to listings transparency while acknowledging to Real Estate News that there are "limited circumstances" where a private listing strategy makes sense. Compass is at the forefront of advocacy for "pre-marketing" of listings in the name of seller choice.