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edfin CEO Glenn Kelman expressed optimism despite the company's decline in key metrics, citing employee enthusiasm for its pending acquisition by mortgage giant Rocket. The Seattle-based brokerage and home search portal saw a drop in revenue and transactions compared to the previous quarter, with increasing net losses stemming from real estate services and corporate overhead. However, the rentals and title divisions were profitable.

    Redfin highlighted recent wins, including a 40% increase in loyalty transactions, where 40% of sales came from repeat customers during the first quarter. The company also noted significant gains in agent count, with a 32% year-over-year increase in lead agents to 2,265 by the end of March. This growth was attributed to Redfin's new plan to pay agents entirely on commission.

    The acquisition news has given the company a boost, according to Kelman. "Many Redfin employees are over the moon about Rocket's vision of a home-ownership platform," he said. Key numbers include revenue of $221 million, down 2% from the previous quarter but off by just 1% from the same period last year. Cash and cash equivalents stood at $183.5 million, up from $124.7 million at the end of 2024.

    Redfin's net loss was $92.5 million, higher than the net loss of $66.8 million reported a year ago and more than double the $36.4 net loss from Q4 2024. Adjusted EBITDA showed a loss of $32 million for Q1 2025 compared to a loss of $27.6 million in Q1 2024. The company's average number of lead agents was 2,190 throughout the quarter and 2,265 at the end of March, a 32% gain year-over-year.

    The company also announced a rentals deal with Zillow earlier this year, where Zillow agreed to pay Redfin $100 million to be the exclusive provider of multifamily rental listings on Redfin's sites. While Redfin's real estate and mortgage business reported net losses in Q1, its rentals division was profitable with a net profit of $3.6 million.