Despite gains in revenue, agent count and gross transaction value, Compass also grappled with a $42.6 million net loss in Q4.
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Compass revealed Thursday that it experienced its strongest fourth-quarter results ever in 2025, posting record quarterly revenue of $1.7 billion — as well as full-year revenue of $7 billion.
In an earnings report, the brokerage also revealed that it saw $45.3 million in operating cash flow during the fourth quarter.
Even so, Compass suffered a net loss in Q4 2025 of $42.6 million, an increase from $40.5 million the year before. That was in part due to $10.6 million in merger expenses, as well as a non-cash stock-based compensation expense of $57.5 million and depreciation and amortization of $26.9 million.
“Compass ended 2025 on a high note as we delivered the strongest Q4 results in our history, including Revenue, Adjusted EBITDA, Adjusted EBITDA Margin, Organic Gross Principal Agent Adds, T&E revenue, mortgage JV profitability, and weekly agent sessions on the platform,” Compass CEO and founder Robert Reffkin said in a statement.
“In the fourth quarter, we also continued to outperform the industry as we grew organic transactions by 5.6 percent and total transactions by 19.7 percent, while market transactions increased by 0.7 percent year-over-year. This means organic and total transactions outgrew the market by approximately five and nineteen percentage points, respectively. For 19 consecutive quarters, spanning our entire history as a public company, Compass has outperformed the market on an organic basis.”
Compass owned-brokerage agents closed 60,328 transactions during Q4 2025, compared to 50,411 in Q4 2024.
The previous quarter, Compass had also reported its strongest-ever third-quarter results in company history, even as it incurred losses in part due to the Anywhere transaction.
Scott Wahlers, the company’s chief financial officer, said in a statement Thursday, “I’m very pleased with our financial and operational execution this quarter, which resulted in record Q4 results. We delivered $1.70 billion in Revenue representing robust growth of 23.1 percent year-over-year. Notably, we continued our strong track record of cash generation, with operating cash flow growing 49 percent year-over-year to $45.3 million, despite a challenging housing market, and reflecting the 8th consecutive quarter of positive Operating Cash Flow.”
Compass grew its number of principal agents from 17,752 at the end of the fourth quarter of 2024 to 21,190 at the end of Q4 2025 (up 19.4 percent year over year). Between the third and fourth quarters of 2025, the brokerage added 830 agents organically.
Agent retention during the fourth quarter hit 96.8 percent, the company reported.
Meanwhile, gross transaction value was $65.6 billion during the fourth quarter of 2025, up 21.6 percent year over year from $54.0 billion in Q4 2024.
A new partnership with Rocket and Redfin
Earnings were released as news broke that Compass had struck a deal with Rocket and Redfin to display Compass coming-soon listings on Redfin’s platform. The listing agent’s name, brokerage and photo will be prominently displayed on the listings, according to Compass, and receive “premium” placement on Redfin. Rocket also said it would soon display Compass private exclusive listings on its platform too.
Reffkin discussed the new partnership on an earnings call Thursday afternoon, highlighting how it will help homeowners eliminate “negative insights” (days on market, price cuts) that might hurt the performance of their listings on sites like Zillow. He added that the structure of the partnership will allow agents access to 1.2 million high-intent leads within three years.
“Our unique inventory will be on Redfin.com with all leads on these listings routed directly to our listing agents across all our brands, including but not limited to @properties, Better Homes and Gardens Real Estate, Century 21, Christie’s International Real Estate, Coldwell Banker, Compass, Corcoran, ERA and Sotheby’s International Realty,” Reffkin said. “This will supercharge the amount of unique inventory publicly marketed on Redfin.com and our brokerage websites because more homeowners will choose to become sellers.”
Reffkin also asserted that the partnership would help make homebuying more affordable by increasing inventory in the market, and giving homebuyers a 1 percentage point discount off of their mortgage rate during their first year of homeownership, or up to $6,000 in lender-paid credits through Rocket Mortgage.
Cost-trimming measures
Reffkin also took the opportunity to highlight Compass’s key sustainable financial advantages, including a higher-than-industry revenue-per-transaction and a leading cost-to-serve position in the industry, among other cost-efficiencies.
Reffkin likewise highlighted how the Company will benefit from the investment that Anywhere had made in AI, where about two-thirds of all documents in the brokerage business were already processed via AI automations. Anywhere’s expansions into agentic AI likewise will help the company lower costs through the automation of wire claims to help agents get paid faster.
Integration with Anywhere
Overall, Reffkin said that integration between Compass and Anywhere was going “great,” that the companies had established one office as a central control hub and that agents had expressed enthusiasm for Compass’s tech platform, which has also positively impacted agent retention thus far.
In the six-and-a-half weeks since the transaction between Compass and Anywhere closed, Reffkin said the companies have achieved $175 million in cost synergies, which exceeded the companies’ initial target of $150 million in the first year following the transaction. Given this progress, Reffkin also personally made a CEO commitment to achieve $250 million in cost synergies within the next year, and $400 million in net cost synergies in the next three years.
Protecting from potential AI threats
Reffkin said that by leaning on the company’s proprietary data, trust and the positive network effects of its 340,000 agents, Compass can both protect itself from the threats of AI and strengthen its business within the context of AI.
“We all know that AI is less of a threat for companies with proprietary data,” Reffkin said. “We all know that the Zillow ban, and approximately 40 percent of MLSs, have restrictive rules that force brokerages to make their proprietary data public. With the Rocket/Redfin partnership and the efforts I expect Compass and Rocket to take, I’m confident that the MLSs and Zillow will no longer be in a position to force brokerages to make their proprietary data public.”
He added that AI can’t replicate human trust and human judgment that is necessary in high-stakes transactions, like home purchases and sales.
“A buyer seeks out a real estate professional because they know they will need the expertise and emotional support when negotiating and navigating the purchase of a home,” Reffkin said. “They seek out a real estate professional, not just for information that is already available online, but for information on what’s going to happen in the future, such as when the neighbor a few doors over might be ready for the next move.”
In short, Reffkin sought to dispel the myth of a future in which one AI agent will sell a house to another AI agent, leaving human agents out of the process.
“I think the value of Compass will skyrocket in that world,” Reffkin said.
“In the very near future, unless you have a great agent that is real, transacting with agents that our network deems trustworthy, you will not be able to transact safely.”
Editor’s note: This story has been updated with additional details from an earnings call with investors on Thursday afternoon.
Email Lillian Dickerson
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