REMAX Holdings closed out what is likely its final quarter as a standalone public company the same way it has closed most recent ones: with less revenue, fewer U.S. agents and more agents abroad.
The Denver-based franchisor reported Thursday that revenue fell 5.8 percent in the second quarter compared to a year ago, to $68.5 million. It posted a net loss of $4.3 million.
There was no earnings call and no guidance. Shareholders of both companies are set to vote Aug. 14 on the merger with the Real Brokerage.
Global agent count rose 1.5 percent to 149,267, but the growth came entirely from outside North America. Agents in independent regions abroad grew 5.3 percent to 76,299, and they account for a slight majority of the REMAX network.
U.S. agent count fell 5 percent to 47,170, down 2,499 from a year ago and lower in each of the nine quarters REMAX disclosed in its earnings tables — a drop of more than 6,200 agents, or roughly 12 percent, since June 2024.
Canada grew 3.3 percent to 25,798, but not enough to offset the drop in the U.S.; the combined U.S. and Canada count fell 2.2 percent, to 72,968.
Continuing franchise fees dropped 11.4 percent to $25.7 million, and recurring revenue — franchise fees plus annual dues — fell 9.9 percent and now makes up 63.9 percent of revenue excluding the marketing funds, down from 67.3 percent a year ago.
REMAX attributed the organic revenue decline partly to its own doing: modifications to its standard fee models, including the Aspire and Ascend programs, designed to make the brand more affordable for newer and team-based agents, along with the smaller U.S. roster and lower Motto Mortgage revenue.
Broker fees, which scale with transactions and sale prices, rose 4.9 percent to $14.1 million on higher average transactions per agent and higher average U.S. home sale prices.
The company ended June with $112.4 million in cash and $435 million in debt.
Real also reported its earnings on Thursday. Its revenue was up 30 percent, to $700.6 million, agent count was up 26 percent to 35,348 and more than 36,000 by early August.
It reported a net loss, in part because it incurred $11.6 million in deal costs producing an $8 million net loss.
