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Compass, Inc. Provides Anywhere Real Estate Inc. Fourth Quarter and Full Year 2025 Results
In connection with the acquisition of Anywhere, which closed on January 9, 2026, the Company is presenting selected unaudited historical financial information for Anywhere for the fourth quarter and year ended December 31, 2025. These results represent Anywhere’s standalone performance prior to the acquisition and are provided for informational purposes only. They do not reflect the results of the combined company, any purchase accounting adjustments, or the impact of post-closing integration activities. The Company’s results for the first quarter of 2026 will include Anywhere’s operating results from January 9, 2026 through March 31, 2026.


Table 1
ANYWHERE REAL ESTATE INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(In millions)
(Unaudited)
Three Months Ended
December 31,
Year Ended
 December 31,
2025202420252024
Revenues
Gross commission income
$    1,169    
$    1,104    
$    4,849    
$    4,629    
Service revenue
    150    
    140    
    607    
    574    
Franchise fees
    94    
    87    
    372    
    356    
Other
    35    
    31    
    132    
    133    
Net revenues
    1,448    
    1,362    
    5,960    
    5,692    
Expenses
Commission and other agent-related costs
    950    
    886    
    3,919    
    3,718    
Operating
    293    
    280    
    1,179    
    1,125    
Marketing
    47    
    52    
    190    
    195    
General and administrative
    101    
    89    
    404    
    392    
Former parent legacy cost (benefit), net
    —    
    1    
    (2)
    2    
Restructuring and merger-related costs, net
    16    
    8    
    54    
    32    
Impairments
    1    
    11    
    8    
    20    
Depreciation and amortization
    49    
    47    
    192    
    198    
Interest expense, net
    43    
    36    
    162    
    153    
Loss (gain) on the early extinguishment of debt
    1    
    —    
    (1)
    (7)
Other expense (income), net
    —    
    1    
    (6)
    —    
Total expenses
    1,501    
    1,411    
    6,099    
    5,828    
Loss before income taxes, equity in losses (earnings) and noncontrolling interests
    (53)
    (49)
    (139)
    (136)
Income tax (benefit) expense
    (28)
    13    
    (43)
    (2)
Equity in losses (earnings) of unconsolidated entities
    1    
    1    
    (7)
    (7)
Net loss
    (26)
    (63)
    (89)
    (127)
Less: Net income attributable to noncontrolling interests
    —    
    (1)
    (1)
    (1)
Net loss attributable to Anywhere
$    (26)
$    (64)
$    (90)
$    (128)



Table 2
ANYWHERE REAL ESTATE INC.
CONSOLIDATED BALANCE SHEETS
(In millions, except share data)
(Unaudited)
December 31,
20252024
ASSETS
Current assets:
Cash and cash equivalents
$    132    
$    118    
Restricted cash
    7    
    6    
Trade receivables (net of allowance for doubtful accounts of $22 and $17)
    117    
    101    
Relocation receivables
    154    
    150    
Other current assets
    198    
    206    
Total current assets
    608    
    581    
Property and equipment, net
    249    
    247    
Operating lease assets, net
    299    
    331    
Goodwill
    2,499    
    2,499    
Trademarks
    584    
    584    
Franchise agreements, net
    754    
    821    
Other intangibles, net
    85    
    106    
Other non-current assets
    520    
    467    
Total assets
$    5,598    
$    5,636    
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable
$    115    
$    101    
Securitization obligations
    143    
    140    
Current portion of long-term debt
    417    
    490    
Current portion of operating lease liabilities
    93    
    105    
Accrued expenses and other current liabilities
    578    
    553    
Total current liabilities
    1,346    
    1,389    
Long-term debt
    2,127    
    2,031    
Long-term operating lease liabilities
    255    
    284    
Deferred income taxes
    170    
    207    
Other non-current liabilities
    210    
    155    
Total liabilities
    4,108    
    4,066    
Commitments and contingencies
Equity:
Anywhere preferred stock: $0.01 par value; 50,000,000 shares authorized, none issued and outstanding at December 31, 2025 and December 31, 2024
    —    
    —    
Anywhere common stock: $0.01 par value; 400,000,000 shares authorized, 112,863,522 shares issued and outstanding at December 31, 2025 and 111,261,825 shares issued and outstanding at December 31, 2024
    1    
    1    
Additional paid-in capital
    4,834    
    4,827    
Accumulated deficit
    (3,309)
    (3,219)
Accumulated other comprehensive loss
    (39)
    (42)
Total stockholders' equity
    1,487    
    1,567    
Noncontrolling interests
    3    
    3    
Total equity
    1,490    
    1,570    
Total liabilities and equity
$    5,598    
$    5,636    



Table 3
ANYWHERE REAL ESTATE INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In millions)
(Unaudited)
Year Ended December 31,
20252024
Operating Activities
Net loss
$    (89)

$    (127)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization
    192    
    198    
Deferred income taxes
    (37)
    (2)
Impairments
    8    
    20    
Amortization of deferred financing costs and debt premium
    8    
    8    
Gain on the early extinguishment of debt
    (1)
    (7)
(Gain) loss on the sale of businesses, investments or other assets, net
    (5)
    3    
Equity in earnings of unconsolidated entities
    (7)
    (7)
Stock-based compensation
    19    
    17    
Other adjustments to net loss
    (2)
    (2)
Net change in assets and liabilities, excluding the impact of acquisitions and dispositions:
Trade receivables
    (14)
    4    
Relocation receivables
    (3)
    (12)
Other assets
    45    
    93    
Accounts payable, accrued expenses and other liabilities
    (14)
    (65)
Dividends received from unconsolidated entities
    14    
    3    
Other, net
    (15)
    (20)
Net cash provided by operating activities
    99    
    104    
Investing Activities
Property and equipment additions
    (101)
    (78)
Net proceeds from the sale of businesses
    1    
    —    
Proceeds from the sale of investments in unconsolidated entities
    6    
    —    
Other, net
    6    
    1    
Net cash used in investing activities
    (88)
    (77)
Financing Activities
Net change in Revolving Credit Facility
    (75)
    205    
Repayment of Term Loan A Facility
    —    
    (194)
Proceeds from issuance of Senior Secured Second Lien Notes
    500    
    —    
Repurchases of Exchangeable Senior Notes
    (395)
    —    
Repurchases and redemption of Senior Notes
    —    
    (19)
Amortization payments on term loan facilities
    —    
    (12)
Net change in securitization obligations
    3    
    25    
Debt issuance costs
    (10)
    —    
Cash paid for fees associated with early extinguishment of debt
    (2)
    —    
Taxes paid related to net share settlement for stock-based compensation
    (12)
    (3)
Proceeds from sale of equity interest in certain title and escrow entities
    19    
    —    
Other, net
    (25)
    (23)
Net cash provided by (used in) financing activities
    3    
    (21)
Effect of changes in exchange rates on cash, cash equivalents and restricted cash
    1    
    (1)
Net increase in cash, cash equivalents and restricted cash
    15    
    5    
Cash, cash equivalents and restricted cash, beginning of period
    124    
    119    
Cash, cash equivalents and restricted cash, end of period
$    139    
$    124    
Supplemental Disclosure of Cash Flow Information
Interest payments (including securitization interest of $10 for both periods presented)
$    166    
$    158    
Income tax (refunds) payments, net
    (27)
    1    



Table 4

ANYWHERE REAL ESTATE INC.
2025 KEY DRIVERS
Quarter EndedYear Ended
March 31, 2025
June 30
2025
September 30, 2025December 31, 2025December 31, 2025
Anywhere Brands - Franchise Group (a)
Closed homesale sides
    137,089    
    186,970    
    193,485    
    169,802    
    687,346    
Average homesale price
$    516,999    
$    527,356    
$    526,210    
$    531,910    
$    526,093    
Average homesale broker commission rate
    2.41    %
    2.41    %
    2.41    %
    2.40    %
    2.41    %
Net royalty per side
$    453    
$    474    
$    466    
$    476    
$    468    
Anywhere Advisors - Owned Brokerage Group
Closed homesale sides
    49,461    
    69,479    
    68,774    
    60,284    
    247,998    
Average homesale price
$    799,750    
$    800,807    
$    775,730    
$    787,852    
$    790,493    
Average homesale broker commission rate
    2.35    %
    2.38    %
    2.37    %
    2.36    %
    2.37    %
Gross commission income per side
$    19,720    
$    19,882    
$    19,235    
$    19,396    
$    19,552    
Anywhere Integrated Services - Title Group
Purchase title and closing units
    21,349    
    28,829    
    27,488    
    24,342    
    102,008    
Refinance title and closing units
    2,504    
    2,881    
    2,969    
    4,223    
    12,577    
Average fee per closing unit
$    3,476    
$    3,533    
$    3,588    
$    3,542    
$    3,538    
_______________
(a)Includes all franchisees except for Owned Brokerage Group.


Table 5a
ANYWHERE REAL ESTATE INC.
NON-GAAP RECONCILIATION - OPERATING EBITDA
THREE MONTHS ENDED DECEMBER 31, 2025 AND 2024
(In millions)
Set forth in the table below is a reconciliation of Net loss attributable to Anywhere to Operating EBITDA as defined in Table 7 for the three-month periods ended December 31, 2025 and 2024:
Three Months Ended December 31,
20252024
Net loss attributable to Anywhere
$    (26)
$    (64)
Income tax (benefit) expense
    (28)
    13    
Loss before income taxes
    (54)
    (51)
Add: Depreciation and amortization
    49    
    47    
Interest expense, net
    43    
    36    
Stock-based compensation (a)
    6    
    5    
Restructuring and merger-related costs, net (b)
    16    
    8    
Impairments (c)
    1    
    11    
Former parent legacy cost, net
    —    
    1    
Legal contingencies (d)
    —    
    (8)
Loss on the early extinguishment of debt
    1    
    —    
Loss on the sale of businesses, investments or other assets, net
    —    
    3    
Operating EBITDA
$    62    
$    52    
_______________
(a)Stock-based compensation is a non-cash expense that is based on grant date fair value, which is influenced by the Anywhere's stock price, and recognized over the requisite service period. This line does not include $26 million and $1 million of expense during the fourth quarter of 2025 and 2024, respectively, that relates to employee long-term incentives which primarily include cash-settled awards that fluctuate with Anywhere's stock price. Of these amounts, approximately $22 million of expense and $4 million of benefit during the fourth quarter of 2025 and 2024, respectively, represent cash-settled awards that fluctuate with Anywhere’s stock price.
(b)Restructuring and merger-related costs, net includes personnel-related, facility-related and other costs related to professional fees and consulting fees as a result of the Anywhere's restructure plans and transaction-related expenses incurred in connection with Merger with Compass which primarily consist of legal, advisory, accounting and other professional service fees. Includes $8 million of merger-related costs for the three months ended December 31, 2025.
(c)Non-cash impairments primarily related to leases and other assets.
(d)Legal contingencies do not include cases that are part of Anywhere's normal operating activities or legal expenses incurred in the ordinary course of business.


Table 5b
ANYWHERE REAL ESTATE INC.
NON-GAAP RECONCILIATION - OPERATING EBITDA
FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024
(In millions)
Set forth in the table below is a reconciliation of Net loss attributable to Anywhere to Operating EBITDA as defined in Table 7 for the years ended December 31, 2025 and 2024:
Year Ended December 31,
20252024
Net loss attributable to Anywhere
$    (90)
$    (128)
Income tax benefit
    (43)
    (2)
Loss before income taxes
    (133)
    (130)
Add: Depreciation and amortization
    192    
    198    
Interest expense, net
    162    
    153    
Stock-based compensation (a)
    19    
    17    
Restructuring and merger-related costs, net (b)
    54    
    32    
Impairments (c)
    8    
    20    
Former parent legacy (benefit) cost, net
    (2)
    2    
Legal contingencies (d)
    —    
    2    
Gain on the early extinguishment of debt (e)
    (1)
    (7)
(Gain) loss on the sale of businesses, investments or other assets, net
    (5)
    3    
Operating EBITDA
$    294    
$    290    
_______________
(a)Stock-based compensation is a non-cash expense that is based on grant date fair value, which is influenced by the Anywhere's stock price, and recognized over the requisite service period. This line does not include $68 million and $19 million of expense during the year ended December 31, 2025 and 2024, respectively, that relates to employee long-term incentives which primarily include cash-settled awards that fluctuate with Anywhere's stock price. Of these amounts, approximately $52 million and $4 million during the year ended December 31, 2025 and 2024, respectively, represent cash-settled awards that fluctuate with Anywhere’s stock price.
(b)Restructuring and merger-related costs, net includes personnel-related, facility-related and other costs related to professional fees and consulting fees as a result of the Anywhere's restructure plans and transaction-related expenses incurred in connection with Merger with Compass which primarily consist of legal, advisory, accounting and other professional service fees. Includes $13 million of merger-related costs for the year ended December 31, 2025.
(c)Non-cash impairments primarily related to leases and other assets.
(d)Legal contingencies do not include cases that are part of Anywhere's normal operating activities or legal expenses incurred in the ordinary course of business.
(e)Gain on the early extinguishment of debt relates to the issuance of 9.75% Senior Secured Second Lien Notes and repurchases of a portion of the Exchangeable Senior Notes that occurred during 2025, as well as the repurchases of Unsecured Notes that occurred during the third quarter of 2024.




Table 6
ANYWHERE REAL ESTATE INC.
NON-GAAP RECONCILIATION - FREE CASH FLOW
FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024
(In millions)
A reconciliation of Net cash provided by operating activities to Free Cash Flow is set forth in the following table:
Three Months Ended December 31,
Year Ended
 December 31,
2025202420252024
Net cash provided by operating activities
$    114    
$    67    
$    99    
$    104    
Property and equipment additions
    (32)
    (24)
    (101)
    (78)
Net change in securitization obligations
    (37)
    (8)
    3    
    25    
Effect of exchange rates on cash, cash equivalents and restricted cash
    —    
    (2)
    1    
    (1)
Free Cash Flow
$    45    
$    33    
$    2    
$    50    
Net cash used in investing activities
$    (32)
$    (23)
$    (88)
$    (77)
Net cash (used in) provided by financing activities
$    (88)
$    (24)
$    3    
$    (21)




Table 7
Non-GAAP Definitions
Operating EBITDA is Anywhere's primary non-GAAP measure. Anywhere defines Operating EBITDA as net income (loss) adjusted for depreciation and amortization, interest expense, net (excluding relocation services interest for securitization assets and securitization obligations), income taxes, and certain non-core items.
Non-core items include non-cash stock-based compensation, restructuring and merger-related costs, impairments, former parent legacy items, legal contingencies unrelated to normal operations which currently includes industry-wide antitrust lawsuits and class action lawsuits, gains or losses on the early extinguishment of debt, and gains or losses on discontinued operations or the sale of businesses, investments or other assets. The adjustment for stock-based compensation reflects non-cash expenses that are based on grant date fair value, which is influenced by Anywhere's stock price, and recognized over the requisite service period. The adjustment for legal contingencies excludes cases that are part of Anywhere's normal operating activities and legal expenses incurred in the ordinary course of business.
Anywhere presents Operating EBITDA because it believes it is useful as a supplemental measure in evaluating the performance of Anywhere's operating businesses and provides greater transparency into Anywhere's results of operations. Operating EBITDA should not be considered in isolation or as a substitute for net income or other statement of operations data prepared in accordance with GAAP.
Anywhere believes Operating EBITDA facilitates company-to-company operating performance comparisons by backing out potential differences caused by variations in capital structures (affecting net interest expense), taxation, the age and book depreciation of facilities (affecting relative depreciation expense) and the amortization of intangibles, as well as other items that are not core to the operating activities of Anywhere, which may vary for different companies for reasons unrelated to operating performance. Anywhere further believes that Operating EBITDA is frequently used by securities analysts, investors and other interested parties in their evaluation of companies, many of which present an Operating EBITDA measure when reporting their results.
Operating EBITDA has limitations as an analytical tool, and you should not consider Operating EBITDA either in isolation or as a substitute for analyzing Anywhere's results as reported under GAAP. Some of these limitations are:
•this measure does not reflect changes in, or cash required for, working capital needs;
•this measure does not reflect interest expense (except for interest related to securitization obligations), or the cash requirements necessary to service interest or principal payments on debt;
•this measure does not reflect income tax expense or the cash requirements to pay taxes;
•this measure does not reflect historical cash expenditures or future requirements for capital expenditures or contractual commitments;
•although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often require replacement in the future, and this measure does not reflect any cash requirements for such replacements; and
•other companies may calculate this measure differently so they may not be comparable.
Free Cash Flow is defined as net cash provided by (used in) operating activities less capital expenditures, the net change in securitization obligations and the effect of exchange rates on cash, cash equivalents and restricted cash. Anywhere uses Free Cash Flow as a liquidity measure in its internal evaluation of operating effectiveness and in making decisions regarding the allocation of resources, including assessing the Company's ability to generate cash. Free Cash Flow is not defined by GAAP and should not be considered in isolation or as an alternative to net cash provided by (used in) operating, investing and financing activities or other financial data prepared in accordance with GAAP. Free Cash Flow may differ from similarly titled measures presented by other companies.