Compass reported Q1 revenue of $2.70 billion, a 99% increase year-over-year driven by the addition of Anywhere Real Estate. The company achieved GAAP net income of $22 million, which included a $401 million non-cash tax benefit and $183 million in merger-related expenses, while pro forma revenue rose 7% and transaction count climbed 2.6%.

Compass actioned over $250 million in net cost synergies by April 1, raising its 2026 realized synergy target from $100 million to $200 million and its first-year actioned target from $250 million to $300 million. The firm now expects to achieve $500 million in actioned synergies over three years, with $420 million realized through the P&L and $80 million as Capex.

Franchise royalties per side fell 5% to $438, while title and escrow transactions grew 13% to 31,698. Compass ended the quarter with $484 million in cash, no revolver balance, $3.14 billion in long-term debt and generated negative free cash flow of $168 million driven by transaction-related expenses.