Increased Agent Count 4%
Grew Revenue 5% and Adjusted EBITDA 13%
Completed IPO in October 2013
Denver, Colorado, November 13, 2013. RE/MAX Holdings, Inc. (the "Company" or “RE/MAX”) (NYSE: RMAX), one of the world's leading franchisors of real estate brokerage services, today announced strong operating results for the third quarter ended September 30, 2013.
“We are extremely pleased with the continued positive momentum in our business during the third quarter” stated Margaret Kelly, Chief Executive Officer of RE/MAX. “We grew agent count, revenue and our adjusted EBITDA margin from the prior year quarter. These results highlight our ability to attract and retain talented agents and generate revenue growth with consistently high margins through our franchise model.”
Kelly continued, “With the completion of our initial public offering and the acquisition of two regional franchises in October 2013, we remain well-positioned to capitalize on current real estate market conditions by leveraging our deep industry knowledge and our premier market presence to grow our agent count and franchise network in the coming years.”
Third Quarter 2013 Highlights
- Increased total agent count to 92,731, up 4% compared to the prior year quarter
- Grew revenue to $40.3 million, up 5% compared to the prior year quarter
- Adjusted EBITDA1 increased to $22.1 million, up 13% compared to the prior year quarter
- Adjusted EBITDA1 margin was 50% for the nine months ended September 30, 2013, compared to 45% in the prior year period
- Successful completion of initial public offering (“IPO”) and two acquisitions shortly after the end of the third quarter
About the RE/MAX Network
RE/MAX was founded in 1973 by Dave and Gail Liniger, with an innovative, entrepreneurial culture affording its agents and franchisees the flexibility to operate their businesses with great independence. Over 92,000 agents provide RE/MAX a global reach of more than 90 countries. Nobody sells more real estate than RE/MAX.
RE/MAX, LLC, one of the world’s leading franchisors of real estate brokerage services, is a subsidiary of RE/MAX Holdings, Inc. (NYSE: RMAX).
This press release includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of words such as “anticipate,” “believe,” “intend,” “expect,” “estimate,” “plan,” “outlook,” “project” and other similar words and expressions that predict or indicate future events or trends that are not statements of historical matters. These forward-looking statements include any statements regarding the Company’s strategic and operational plans. Forward-looking statements should not be read as a guarantee of future performance or results, and will not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved. Forward looking statements are based on information available at the time those statements are made and/or management’s good faith belief as of that time with respect to future events, and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in or suggested by the forward looking statements. Such risks and uncertainties include, without limitation, (1) changes in business and economic activity in general, (2) changes in the real estate market, including changes due to interest rates and availability of financing, (3) our ability to attract and retain quality franchisees, (4) our franchisees’ ability to recruit and retain agents, (5) changes in laws and regulations that may affect our business or the real estate market, (6) failure to maintain, protect and enhance the RE/MAX brand, as well as those risks and uncertainties described in the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operation” in the final prospectus relating to the Company’s IPO included in the Company’s registration statement on Form S-1 filed with the Securities and Exchange Commission (“SEC”) and similar disclosures in subsequent reports filed with the SEC, which are available on the investor relations page of our website at www.remax.com and on the SEC website at www.sec.gov. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date on which they are made. Except as required by law, the Company does not intend, and undertakes no duty, to update this information to reflect future events or circumstances.