BrokerageIndustry News

Realogy posts $237M Q1 loss, operating income rises 14%

Company reports $62M in earnings for franchise services
Published on May 4, 2011

Real estate brokerage and franchise giant Realogy Corp. reported a $237 million first-quarter loss today, as interest expenses on the company's debt outweighed improvements in operating income.

Realogy reported that excluding the costs of recent debt restructuring, its operating income -- earnings before interest, taxes, depreciation and amortization, or EBITDA -- rose 14 percent from a year ago, to $25 million.

The biggest components of Realogy's loss were interest expenses on its $7.3 billion debt (which totaled $179 million), followed by depreciation and amortization expenses of $46 million. Realogy reported that it took a $36 million loss on the early extinguishment of debt in its restructuring.

Revenue for the quarter was up 1 percent from a year ago, to $831 million.

Most of that revenue came from 740 company-owned real estate brokerage offices, whose 43,000 sales agents generated $587 million in revenue, down 2 percent from a year ago.

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