Online real estate information, analytics and marketplace provider CoStar Group has reported a f $200 million revenue for the first quarter a year on year increase of 26 per cent.
EBITDA in the first quarter of 2016 increased to $48 which represents an increase of $34 million or 234 per cent year on year.
Net bookings in the first quarter of 2016 were $30 million, up 47 per cent compared to first quarter of 2015 while new sales on annual subscriptions were $25 million in the first quarter of 2016, up 53 per cent compared to first quarter of 2015.
CoStar Group Founder and Chief Executive Officer Andrew Florance says the group not showed strong revenue growth but also margin expansion in the quarter.
"Our Multifamily marketplace revenue was up 100 per cent in the first quarter of 2016 compared to first quarter of 2015," Florance says.
"Apartments.com lead in unique visitors and consumer engagement versus other apartment listing sites, according to comScore.
"We remain confident that we are able to reach our goal of $1 billion in revenue with a 40% margin exiting 2018."
The company's CoStar Suite of services in the USA and Europe comprising CoStar Property Professional, CoStar COMPS Professional, CoStar Tenant; CoStar Market Analytics and CoStar Portfolio Strategy accounted for approximately 50 per cent of its total revenue, with a growth of 12.5 per cent compared to same time last year.
Accounting for another 25 per cent of CoStar's total revenue in the first quarter of 2016, the company's Multifamily marketplaces comprising Apartments.com, ApartmentFinder.com and ApartmentHomeLiving.com grew 100 per cent.
Commercial Property and Land marketplaces, including LoopNet Premium Lister; LoopLink; CoStar Advertising; BizBuySell and BizQuest; LandsofAmerica and LandAndFarm and CoStar Private Sale Network represented about 15 per cent of total revenuewith a 10.5growth since 2015.
The final 10 per cent of revenue is made up by Information Services comprising LoopNet Premium Searcher; CoStar Real Estate Manager; CoStar Risk Analytics COMPASS; CoStar Investment Analysis Portfolio Maximizer; CoStar Investment Analysis Request; CoStar Brokerage Applications; PROPEX; Grecam and Belbex.
CoStar Chief Financial Officer Scott Wheeler says the company expects revenue of approximately $204 million to $206 million for the second quarter of 2016.
A revenue of approximately $834 million to $840 million is predicted for the full year 2016, an increase of $2 million at the midpoint from the company's prior outlook.
"Our strong sales growth and focus on controlling costs were evident in our first quarter 2016 results," Wheeler says. "We expect to continue to grow the top line and deliver solid margin expansion throughout 2016."