Zillow Q4 Earnings Show Profit From Rising Revenue

Zillow Group said in a Feb. 10, 2026 press release that its Q4 earnings reflected a swing to quarterly profit as rising revenue in the For Sale and Rentals segments pushed the company into positive net income. Management also issued guidance for the first quarter and full year 2026.

Quarter and Full-Year Results

Zillow reported revenue of $654 million in the quarter ended Dec. 31, 2025, up 18% from $554 million a year earlier, near the high end of its prior outlook. GAAP net income swung to a $3 million profit, or $0.01 per diluted share, from a $52 million loss, or $0.22 per share, a year earlier. Adjusted net income was $98 million, with diluted adjusted earnings per share of $0.39.

By segment, For Sale revenue totaled $475 million, up 11% year over year, including $418 million from Residential, an 8% increase. Mortgages revenue rose 39% to $57 million on $1.5 billion of purchase originations, a 67% jump. Rentals generated $168 million, up 45% year over year, with multifamily rising 63%. Other revenue was $11 million, a 10% gain.

Adjusted EBITDA for the quarter was $149 million, a 23% margin. Gross profit was $476 million, a 73% margin compared with 76% a year earlier.

For the full year 2025, revenue reached $2.6 billion, up 16% from $2.2 billion. GAAP net income was $23 million, about a 1% margin. Diluted GAAP earnings per share were $0.09 versus a loss of $0.48 a year earlier. Adjusted EBITDA totaled $622 million, a 24% margin. CEO Jeremy Wacksman said, "We delivered strong results in the fourth quarter and throughout 2025, achieving all our reported full-year financial targets, including positive net income, while continuing to gain share in both For Sale and Rentals."

Zillow’s platform attracted an average of 221 million unique monthly users, up 8% year over year, and 2.1 billion visits, up 2%. The company said it outpaced National Association of Realtors residential real-estate growth by roughly 1,500 basis points in the quarter and about 1,300 basis points for the year.

Guidance and Capital Position

Zillow’s 2026 guidance calls for first-quarter revenue of $700 million to $710 million and adjusted EBITDA of $160 million to $175 million. Mortgages revenue is expected to rise roughly 40% year over year, Residential revenue to grow in the high single digits, and Rentals to expand more than 40% for the quarter. For fiscal 2026, the company projects mid-teens revenue growth and about 30% Rentals growth.

Operating cash flow was $72 million in the quarter. Cash and investments totaled $1.3 billion at quarter end, down from $1.4 billion at the end of Q3. Zillow repurchased 3.4 million shares for $232 million during the period.

The company posted a shareholder letter to its investor-relations site on Feb. 10, 2026.