Revenue has consistently contracted to $70.2M in 2026Q1, while gross margins experienced sharp compression to 59.3% from historical levels exceeding 74%.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 |
|---|
| Sales/Revenue | 287.36M | 291.6M | 307.69M | 325.67M | 353.39M | 329.7M | 266M | 282.29M | 212.63M | 195.93M | 176.3M | 176.87M | 170.98M | 158.86M | 143.68M | 138.3M |
| Revenue Growth % | -5.43% | -5.23% | -5.52% | -7.84% | 7.18% | 23.95% | -5.77% | 32.77% | 8.52% | 11.13% | -0.32% | 3.44% | 7.63% | 10.57% | 3.89% | - |
| Cost of Goods Sold | 95.02M | 123.53M | 78.98M | 83.86M | 90.32M | 82.39M | 64.4M | 72.3M | 20.68M | 20.51M | 16.09M | 15.12M | 0 | 0 | 0 | 0 |
| COGS % of Revenue | - | 42.36% | 25.67% | 25.75% | 25.56% | 24.99% | 24.21% | 25.61% | 9.73% | 10.47% | 9.13% | 8.55% | - | - | - | - |
| Gross Profit | 192.34M | 168.07M | 228.7M | 241.81M | 263.07M | 247.31M | 201.6M | 209.99M | 191.95M | 175.42M | 160.21M | 161.74M | 170.98M | 158.86M | 143.68M | 138.3M |
| Gross Margin % | 66.93% | 57.64% | 74.33% | 74.25% | 74.44% | 75.01% | 75.79% | 74.39% | 90.27% | 89.53% | 90.87% | 91.45% | 100% | 100% | 100% | 100% |
| Gross Profit Growth % | - | -26.51% | -5.42% | -8.08% | 6.37% | 22.67% | -4% | 9.4% | 9.42% | 9.49% | -0.95% | -5.4% | 7.63% | 10.57% | 3.89% | - |
| Operating Expenses | 149.28M | 122.57M | 188.52M | 252.45M | 224.85M | 257.24M | 163.01M | 141.02M | 140.86M | 127.78M | 103.72M | 106.11M | 107.16M | 111.41M | 96.43M | 99.76M |
| OpEx % of Revenue | - | 42.03% | 61.27% | 77.52% | 63.63% | 78.02% | 61.28% | 49.96% | 66.25% | 65.22% | 58.83% | 59.99% | 62.67% | 70.13% | 67.11% | 72.13% |
| Selling, General & Admin | 103.67M | 146.7M | 152.26M | 171.55M | 173.98M | 179.49M | 129M | 119.23M | 120.18M | 107.27M | 87.63M | 90.99M | 91.85M | 96.24M | 84.34M | 85.29M |
| SG&A % of Revenue | - | 50.31% | 49.48% | 52.68% | 49.23% | 54.44% | 48.5% | 42.24% | 56.52% | 54.75% | 49.7% | 51.44% | 53.72% | 60.58% | 58.7% | 61.67% |
| Research & Development | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Operating Income | 43.07M | 45.5M | 40.18M | -10.64M | 38.21M | -9.93M | 38.59M | 68.97M | 77.85M | 100.22M | 72.4M | 74.16M | 63.84M | 47.08M | 45.55M | 38.47M |
| Operating Margin % | 14.99% | 15.6% | 13.06% | -3.27% | 10.81% | -3.01% | 14.51% | 24.43% | 36.61% | 51.15% | 41.07% | 41.93% | 37.33% | 29.64% | 31.7% | 27.82% |
| Operating Income Growth % | - | 13.24% | 477.75% | -127.84% | 484.77% | -125.73% | -44.04% | -11.41% | -22.32% | 38.43% | -2.37% | 16.17% | 35.59% | 3.37% | 18.39% | - |
| EBITDA | 68.2M | 71.35M | 69.74M | 21.78M | 73.98M | 21.4M | 64.7M | 90.76M | 218.71M | 227.68M | 176.71M | 89.28M | 79.15M | 62.25M | 57.64M | 52.94M |
| EBITDA Margin % | 23.73% | 24.47% | 22.67% | 6.69% | 20.93% | 6.49% | 24.32% | 32.15% | 102.86% | 116.21% | 100.23% | 50.48% | 46.29% | 39.18% | 40.12% | 38.28% |
| EBITDA Growth % | -1.62% | 2.3% | 220.26% | -70.56% | 245.67% | -66.92% | -28.72% | -58.5% | -3.94% | 28.85% | 97.93% | 12.8% | 27.16% | 8% | 8.86% | - |
| D&A (Non-Cash Add-back) | 25.13M | 25.85M | 29.56M | 32.41M | 35.77M | 31.33M | 26.11M | 21.79M | 140.86M | 127.46M | 104.31M | 15.12M | 15.32M | 15.17M | 12.09M | 14.47M |
| EBIT | 36.88M | 51.33M | 42.46M | -5.8M | 39.03M | -10.82M | 38.93M | 70.53M | 71.77M | 98.86M | 70.61M | 73.22M | 63.22M | 45.74M | 47.15M | 38.62M |
| Net Interest Income | -27.39M | -28.12M | -32.52M | -31.32M | -19.44M | -11.13M | -8.88M | -10.78M | -11.38M | -9.64M | -8.44M | -10.23M | -8.98M | -14.33M | -11.4M | -11.83M |
| Interest Income | 3.55M | 3.58M | 3.74M | 4.42M | 1.46M | 217K | 340K | 1.45M | 676K | 352K | 160K | 178K | 313K | 321K | 286K | 372K |
| Interest Expense | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Income/Expense | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Pretax Income | 6.9M | 19.63M | 6.2M | -41.54M | 18.13M | -22.16M | 29.71M | 58.3M | 66.16M | 90.75M | 63.08M | 63.38M | 53.93M | 31.1M | 35.46M | 26.42M |
| Pretax Margin % | 2.4% | 6.73% | 2.02% | -12.75% | 5.13% | -6.72% | 11.17% | 20.65% | 31.12% | 46.32% | 35.78% | 35.83% | 31.54% | 19.57% | 24.68% | 19.1% |
| Income Tax | 5.94M | 6.2M | -1.88M | 56.95M | 7.37M | 2.46M | 9.16M | 10.98M | 15.8M | 55.58M | 15.27M | 12.03M | 9.95M | 2.84M | 2.14M | 2.17M |
| Effective Tax Rate % | 86.09% | 31.56% | -30.27% | -137.09% | 40.66% | -11.1% | 30.84% | 18.84% | 23.88% | 61.24% | 24.21% | 18.98% | 18.45% | 9.15% | 6.03% | 8.22% |
| Net Income | 370K | 8.15M | 7.12M | -69.02M | 6.11M | -15.62M | 11.25M | 25.28M | 27.04M | 12.81M | 22.74M | 16.66M | 13.44M | 1.51M | 33.32M | 24.25M |
| Net Margin % | 0.13% | 2.8% | 2.31% | -21.19% | 1.73% | -4.74% | 4.23% | 8.96% | 12.72% | 6.54% | 12.9% | 9.42% | 7.86% | 0.95% | 23.19% | 17.53% |
| Net Income Growth % | -95.66% | 14.46% | 110.32% | -1229.66% | 139.13% | -238.81% | -55.5% | -6.52% | 111.03% | -43.64% | 36.52% | 23.96% | 792.16% | -95.48% | 37.42% | - |
| Net Income (Continuing) | 960K | 13.43M | 8.08M | -98.49M | 10.76M | -24.62M | 20.55M | 47.31M | 50.3M | 31.32M | 47.23M | 50.77M | 43.98M | 28.25M | 33.32M | 24.25M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | -487.81M | -481.4M | -487.88M | -487.12M | -449.47M | -439.21M | -404.49M | -399.51M | -402.29M | -397.44M | -403.07M | -410.26M | -215.53M | -226.43M | 0 | 0 |
| EPS (Diluted) | 0.02 | 0.40 | 0.37 | -3.81 | 0.32 | -0.84 | 0.61 | 2.62 | 1.52 | 0.72 | 1.29 | 1.30 | 1.10 | 0.13 | 1.78 | 0.83 |
| EPS Growth % | -97.98% | 8.11% | 109.71% | -1290.63% | 138.1% | -237.7% | -76.72% | 72.37% | 111.11% | -44.19% | -0.77% | 18.18% | 746.15% | -92.7% | 114.46% | - |
| EPS (Basic) | - | 0.41 | 0.38 | -3.81 | 0.33 | -0.84 | 0.62 | 2.63 | 1.52 | 0.72 | 1.29 | 1.31 | 1.16 | 0.13 | 1.78 | 0.83 |
| Diluted Shares Outstanding | 20.49M | 20.4M | 19.29M | 18.11M | 18.84M | 18.69M | 18.32M | 17.87M | 17.77M | 17.73M | 17.68M | 12.83M | 12.24M | 11.61M | 29.34M | 29.34M |
| Basic Shares Outstanding | 20.49M | 19.85M | 18.78M | 18.11M | 18.68M | 18.69M | 18.17M | 17.81M | 17.74M | 17.69M | 17.63M | 12.67M | 11.61M | 11.61M | 29.34M | 29.34M |
| Dividend Payout Ratio | - | 6.11% | 8.41% | - | 297.64% | - | 145.37% | 59.63% | 52.9% | 99.83% | 46.52% | 144.12% | 21.59% | - | 28.82% | 65.55% |
Agent count attrition risk
According to the provided financial data, RMAX has experienced a consistent decline in quarterly revenue, with the most recent 2026Q1 figure of $70.2M representing a 5.7% year-over-year contraction, signaling significant challenges in maintaining the top-line growth necessary to support its legacy franchise infrastructure.
The persistent negative growth trajectory suggests that the company's core value proposition is struggling to compete against lower-cost, cloud-based brokerage models. Investors should monitor whether this revenue decay is a structural shift in agent preference or a temporary cyclical response to broader housing market volatility.
As reported in the income statement, RMAX's gross margin experienced a sharp compression to 59.3% in 2026Q1, down from the 74-75% range observed throughout 2024 and early 2025, indicating potential instability in the underlying economics of the franchise fee collection process.
The sudden drop in gross profitability suggests that the company may be forced to offer fee concessions or that the cost of supporting the franchise network is rising relative to the revenue generated. This margin volatility warrants further investigation into whether the company is losing pricing power in its core real estate segment.
Based on the reported figures, RMAX's operating margin plummeted to 1.0% in 2026Q1, a stark decline from the 25.0% peak seen in 2025Q3, demonstrating that the company's fixed-cost structure is failing to scale effectively as revenue continues its downward trend.
The inability to maintain operating margins during revenue declines suggests that the company's SG&A and technology investments are becoming a heavy burden on the bottom line. This lack of operating leverage implies that any further contraction in agent count could lead to rapid deterioration in profitability.
Analysis of the income statement reveals that RMAX's net income has been highly inconsistent, swinging from a $9.7M loss in 2026Q1 to a $5.8M profit in 2024Q4, with stock-based compensation consistently impacting the bottom line despite the company's overall weak net margin performance.
The frequent shifts between net losses and marginal profits suggest that the company's earnings quality is currently low, likely exacerbated by non-operating items and the impact of stock-based compensation. Investors should be cautious of the reliance on non-recurring adjustments to stabilize the reported EPS figures.
While the company maintains a unique fixed-fee model, the recent financial data suggests that the business model may be increasingly vulnerable to agent attrition, as evidenced by the 2026Q1 net loss of $9.7M, which contradicts the narrative of a resilient, high-margin royalty-based business.
Short-sellers would likely focus on the disconnect between the company's historical reputation as a high-margin franchisor and the current reality of eroding margins and negative net income. The fundamental risk remains that the fixed-fee structure may actually accelerate agent departures during periods of industry-wide commission pressure.
Quick answers to the most common questions about buying RMAX stock.
For fiscal year 2025, RE/MAX Holdings, Inc. (RMAX) reported total revenue of $291.6M. This represents a 110.8% increase compared to $138.3M in 2011.
RE/MAX Holdings, Inc. (RMAX) is profitable, generating $8.2M in net income for the fiscal year ending 2025 with a net profit margin of 2.8%.
RE/MAX Holdings, Inc. (RMAX) reported an operating income of $45.5M, resulting in an operating profit margin of 15.6%. This margin reflects the operational efficiency of the business before interest and taxes.
RE/MAX Holdings, Inc. (RMAX) generated $168.1M in gross profit for the year, representing a gross profit margin of 57.6%. This demonstrates the company's core pricing power and production efficiency.