RE/MAX Holdings (NYSE: RMAX) reported Q1 EPS of $0.46, $0.01 better than the analyst estimate of $0.45. Revenue for the quarter came in at $72.3 million versus the consensus estimate of $74.03 million.

First Quarter 2021 Highlights(Compared to first quarter 2020 unless otherwise noted)

• Total agent count increased 6.4% to 140,214 agents
• U.S. and Canada combined agent count increased 0.7% to 84,771 agents
• Total open Motto Mortgage franchises increased 27.1% to 150 offices1
• Total Revenue of $72.3 million; Revenue excluding the Marketing Funds increased 2.7% to $54.2 million
• Net income attributable to RE/MAX Holdings, Inc. of $1.1 million and earnings per diluted share (GAAP EPS) of $0.06
• Adjusted EBITDA2 of $23.2 million, Adjusted EBITDA margin2 of 32.0% and Adjusted earnings per diluted share (Adjusted EPS2) of $0.46

"A robust housing market and record Motto growth helped drive strong financial results for the first quarter," stated Adam Contos, RE/MAX Holdings Chief Executive Officer. "During this period, we also saw our largest year-over-year increase in agent count in over a decade, adding more than 8,000 new agents, led by healthy agent growth in Canada and double-digit agent growth globally. Motto continued its record pace of franchise sales, selling the most franchises in its history for the trailing twelve month period ended March 31, 2021. We now have over 150 open Motto offices in almost 40 states. We are encouraged that many of the strong tailwinds we saw in the first quarter continued in April."

Contos continued, "We continue to increase and enhance our value proposition for both of our franchise networks. At our recent RE/MAX agent conference, we introduced an opportunity for virtually all U.S. RE/MAX affiliates to access health benefits as well as new tools, technology, and educational resources for the exclusive benefit of our agents, teams and brokers. Within our mortgage business we continue to ramp up our wemlo acquisition, offering affordable, dependable loan processing services to more of our Motto franchises each week."

GUIDANCE:

RE/MAX Holdings sees Q2 2021 revenue of $74-78 million, versus the consensus of $76.2 million.

RE/MAX Holdings sees FY2021 revenue of $300-310 million, versus the consensus of $301.53 million.

The Company's second quarter and full-year 2021 Outlook assumes no further currency movements, acquisitions or divestitures.

For the second quarter of 2021, RE/MAX Holdings expects:

• Agent count to increase 7.0% to 8.0% over second quarter 2020;
• Revenue in a range of $74.0 million to $78.0 million (including revenue from the Marketing Funds in a range of $17.5 million to $18.5 million); and
• Adjusted EBITDA in a range of $25.5 million to $28.5 million.

For the full-year 2021, RE/MAX Holdings is increasing its agent count guidance and expects:

• Agent count to increase 5.0% to 6.0% over full-year 2020, up from 4.0% to 5.0%;
• Revenue in a range of $300.0 million to $310.0 million (including revenue from the Marketing Funds in a range of $71.0 million to $74.0 million), and
• Adjusted EBITDA in a range of $103.0 million to $107.0 million.

The effective U.S. GAAP tax rate attributable to RE/MAX Holdings is estimated to be between 22% and 24% in 2021.

For earnings history and earnings-related data on RE/MAX Holdings (RMAX) click here.