NEW YORK, Aug. 4, 2026 /PRNewswire/ -- Compass, Inc. ("Compass" or "the Company") (NYSE: COMP), a global real estate services company with a presence in every major U.S. city and approximately 120 countries and territories, announced its financial results for the second quarter ended June 30, 2026.

"Compass delivered very strong Q2 results, with Revenue and Adjusted EBITDA surpassing the high-end of our guidance range, driven by broad business strength and the successful realization of our cost synergies" said Robert Reffkin, Founder and Chief Executive Officer. Reffkin added, "in Q2, our outperformance versus the industry accelerated, with Brokerage Gross Transaction Value ("GTV") up 15.9% year-over-year on a pro forma¹ basis, compared to market volumes³ that were up 6% year-over-year, reflecting approximately 1,000 basis points of GTV outperformance compared to 580 basis points of outperformance in Q1 2026. Additionally, Brokerage transactions were up 7.4% year-over-year on a pro forma¹ basis compared to market transactions³ up 3.5% year-over-year, reflecting 390 basis points of outperformance compared to the 240 basis points of outperformance in Q1 2026. For 21 consecutive quarters, spanning our entire history as a public company, our Brokerage has outperformed the market on an organic basis for the Compass standalone brand, and now for two consecutive quarters, including Anywhere."

Reffkin continued, "our integration with Anywhere is progressing well and we have now actioned our entire Year 1 net cost synergy target of $300 million five months ahead of plan. As such, we are raising our Year 1 actioned net cost synergy target from $300 million to $330 million and our 2026 realized net cost synergy target from $200 million to $220 million. Of the $220 million, we expect to now realize $150 million through the P&L and the remaining $70 million as a Capex synergy. Our progress to date reinforces our confidence in delivering on our $500 million net cost synergy target over three years. By fully realizing these cost synergies, we believe we will be able to achieve durable profitability and de-lever our balance sheet even in a muted market, with significant upside in a housing market recovery."

Scott Wahlers, Chief Financial Officer, said, "The strength of our second quarter results reflects strong execution and focus from the entire team. We delivered $4.3 billion in Revenue, representing growth of 14% year-over-year on a pro forma¹ basis, while Adjusted EBITDA² grew to $363 million, which is an all-time record for any second quarter in our history."

Wahlers continued, "We generated $191 million in operating cash flow in Q2 and our cash balance increased by $210 million quarter-over-quarter to a healthy $694 million, with no balance on our revolver. With $694 million of cash on hand and the positive free cash flow we expect to generate in the second half of the year, we remain committed to redeeming our $500 million 9.75% Notes when they are first callable in Q2 of 2027. Deleveraging the balance sheet remains a key focus for the company and we expect to continue to make progress on this front through strong cash flow generation, bolstered by the expected $470 million in future cash tax savings from our $1.8 billion in net operating losses."

Q2 2026 Highlights:

• Revenue in Q2 2026 increased by 109% year-over-year to $4.31 billion compared to Revenue of $2.06 billion in Q2 2025. Revenue increased by 14.3% year-over-year compared to pro forma¹ Revenue of $3.77 billion in Q2 2025.
• GAAP Net Income in Q2 2026 was $92 million compared to net income of $39 million in Q2 2025.
• Adjusted EBITDA² (a non-GAAP measure) was $363 million in Q2 2026. Adjusted EBITDA in Q2 2026 excludes depreciation and amortization of $153 million, non-cash stock-based compensation expense of $38 million and $34 million in merger transaction and integration expenses.
• Operating Cash Flow / Free Cash Flow² (a non-GAAP measure): During Q2 2026, operating cash flow was $191 million and free cash flow was $180 million, driven by better than expected Adjusted EBITDA and timing-related items.
• Liquidity & Capital Structure: At the end of Q2 2026, our cash balance was $694 million, and we had no balance on our revolver. Total long-term debt at the end of Q2 2026 was $3.14 billion.

Q2 2026 Operational Highlights:

Brokerage:

• Gross Transaction Value ("GTV")⁴: Brokerage GTV was $155.2 billion in Q2 2026, an increase of 98.2% year-over-year compared to GTV of $78.3 billion in Q2 2025. Brokerage GTV increased by 15.9% year-over-year compared to pro forma¹ GTV of $133.9 billion in Q2 2025. GTV for the entire U.S. residential real estate market increased by 6%³ over the same period.
• Transactions⁴: Brokerage agents closed 153,009 total transactions in Q2 2026, an increase of 109.5% year-over-year compared to transactions of 73,024 in Q2 2025. Transactions increased by 7.4% year-over-year compared to pro forma¹ transactions of 142,504 in Q2 2025. Transactions for the entire U.S. residential real estate market increased by 3.5%¹ over the same period.
• Total Agents: At the end of Q2 2026, total Brokerage agents were 83,184 compared to 84,187 at the end of Q1 2026, and the Company added 2,816 agents on a gross basis during Q2 2026. Agent retention rate in Q2 2026 was 95.5%, an improvement compared to 94.1% in Q1 2026. The quarter-over-quarter decline in agent count was driven primarily by a strategy at a specific brand acquired through the Anywhere transaction to separate low and non-productive agents. Separations refer to agents that were in the prior quarter's ending agent count but not included in the current quarter's ending agent count. Total agent count separations and additions reflect a decision more often than not made by individual agent team leaders, rather than decisions made by the Company. Below is a detailed breakdown of the number of total agent separations and agent retention rate by gross commission income (GCI) bands.

Quarter-over-Quarter Total Separations and Separations by GCI Band:

• Total Agent Separations in Q2: 3,819
• Percentage of Q2 Total Agent Separations with $0 GCI in the last twelve months: 49%
• Percentage of Q2 Total Agent Separations with $20K or less in GCI (equivalent to less than 2 transactions on average at our price points) in the last twelve months: 72%

Total Agent Retention and Retention by GCI Band:

• Total Agent retention in Q2: 95.5%
• Total Agent retention excluding $0 GCI agents: 97.7%
• Total Agent retention excluding agents with $20K or less in GCI: 98.7%

Franchise:

• Gross Transaction Value ("GTV")⁴: Franchise GTV was $120.0 billion in Q2 2026 compared to GTV of $8.8 billion in Q2 2025, an increase of 1,264% year-over-year. Franchise GTV increased by 11.7% year-over-year compared to pro forma¹ GTV of $107.4 billion in Q2 2025.
• Transactions⁴: The Franchise network closed 203,207 total transactions in Q2 2026 compared to transactions of 8,850 in Q2 2025, an increase of 2,196% year-over-year. Franchise transactions increased by 3.8% year-over-year compared to pro forma¹ transactions of 195,821 in Q2 2025.
• Net Royalty Rate Per Side⁴: Net royalty rate per side was $505 in Q2 2026 compared to net royalty rate per side of $591 in Q2 2025, a decrease of 14.6% year-over-year driven primarily by the franchise transactions from the newly acquired brands that have a lower average sales price compared to the Christie's International Real Estate network. Net royalty per side increased by 5.4% year-over-year compared to the pro forma¹ net royalty rate of $479 in Q2 2025.

Integrated Services:

• Title and Escrow ("T&E"): Total Title and Escrow transactions were 42,608 in Q2 2026 compared to T&E transactions of 7,881 in Q2 2025, an increase of 441% year-over-year primarily due to the addition of T&E transactions from Anywhere. T&E transactions increased by 7.6% year-over-year compared to pro forma¹ transactions of 39,591 in Q2 2025. Average revenue per transaction was $3,654 in Q2 2026, up 1.5% year-over-year compared to pro forma¹ average revenue per transaction of $3,600 in Q2 2025.
  • T&E Purchase Transactions⁴ were 38,406 in Q2 2026 compared to T&E Purchase Transactions of 7,411 in Q2 2025, an increase of 418% year-over-year. T&E purchase transactions increased by 6% year-over-year compared to pro forma¹ purchase transactions of 36,240 in Q2 2025.
  • T&E Refinance Transactions⁴ were 4,202 in Q2 2026 compared to T&E Refinance Transactions of 470 in Q2 2025, an increase of 794% year-over-year. T&E refinance transactions increased by 25.4% year-over-year compared to pro forma¹ refinance transactions of 3,351 in Q2 2025.

Compass & Redfin Partnership: Since launching Coming Soons on Redfin in late Q1 2026, our agents have received more than 60,000 leads from Rocket-Redfin, and Compass has delivered more than 20,000 Coming Soon listings to Redfin. In Chicago, our market with the most Coming Soons, Compass.com sessions were up 111% year-over-year, 77 percentage points above the platform-wide average growth of 34% year-over-year in July.

Platform: Our end-to-end proprietary technology platform, branded "Home", is the only fully-connected platform in the industry built for real estate professionals. From first contact to close, it brings together everything real estate professionals need to grow their business, work more efficiently, and deliver a client experience that sets them apart. In July, the platform was released to over 4,000 agents at non-Compass brokerage brands and by the end of September, nearly 50,000 new agents are expected to have access to the platform, with plans to roll out the platform to our franchise network starting in Q1 2027.

• Product highlights include:
  • AI Assistant: Our integrated AI Assistant was broadly demoed in early July, and enables more than 90 platform tools to be accessed through natural language prompts. Early user behavior shows the AI Assistant is driving deeper engagement with the platform, with a significant increase in the number of tools called per agent, and approximately 15,000 agents generating over 97,000 conversations.
  • Compass One: The industry's premier all-in-one client dashboard designed to connect buyers and sellers with their real estate professional and provide 24/7 transparency is experiencing increased engagement with 35% of all closed home sale transactions in Q2 2026 going through the Compass One experience, up from 25.8% in Q2 2025 on a pro forma basis and up from 31.5% in Q1 2026.
  • Structural Advantage Tools: A set of proprietary platform features that help our real estate professionals surface unique inventory and differentiate themselves in the market continues to see strong engagement.
    • Reverse Prospecting: Allows our listing professionals to surface agents who have buyers that have shown interest in their property through saved searches, collections, direct views, and other engagement statistics. Since launch, more than 24,700 agents have used the tool, including 11,400 in Q2 2026, a 7% increase compared to Q1 2026.
    • Network Tool: Lets our listing real estate professionals surface other real estate professionals in an area to find the right buyers for their property. Year-to-date (as of the end of Q2) over 12,000 real estate professionals have used the tool. Over time, we believe this feature will help our agents match buyers and sellers more effectively.
    • Make-Me-Sell: Lets homeowners share an aspirational price with their agent that would compel them to move. At the end of Q2 2026, there were more than 26,000 make-me-sell entries in the platform, up from approximately 24,700 at the end of Q1 2026. This passive inventory is exclusively available to agents on the platform.
    • Buyer Demand Tool: Provides real estate professionals with real-time insights into how many buyers are searching for properties at specific price points before going into a listing appointment. Since launch, over 11,000 real estate professionals have engaged with the tool. We believe this feature will help our real estate professionals win more listings and efficiently target buyers for their listings.

Q3 2026 Outlook:

• Revenue of $3.85 billion to $4.05 billion for Q3
• Adjusted EBITDA of $275 million to $305 million for Q3

Full Year 2026 Outlook:

• Non-GAAP OPEX of $2.75 billion to $2.80 billion, reflecting an increase from the prior range of $2.70 billion to $2.75 billion. Included in the range is $35 million of OPEX from M&A closed in July and $150 million of realized OPEX synergies.
• Free cash flow positive for the full year 2026.

We have not reconciled our outlook for Adjusted EBITDA to GAAP net income (loss) because certain expenses excluded from GAAP net income (loss) when calculating Adjusted EBITDA cannot be reasonably calculated or predicted at this time. Additionally, we have not reconciled our guidance for non-GAAP OPEX to GAAP OPEX because certain expenses excluded from GAAP OPEX cannot be reasonably calculated or predicted at this time. Accordingly, reconciliations are not available without unreasonable effort.

Additional information can be found in the Company's Q2 2026 Earnings Presentation, which can be found in the Investor Relations section of the Compass website at https://investors.compass.com.

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Conference Call Information
Management will conduct a conference call to discuss the second quarter results as well as outlook at 5:00pm ET on Tuesday, August 4, 2026. The conference call will be accessible via the Internet on the Compass Investor Relations website https://investors.compass.com. You can also access the audio webcast via the following link: Compass, Inc. Q2 26 Earnings Conference Call.