Compass Reports $1.7B Q4 Revenue, $58M EBITDA and Unveils Rocket-Redfin Alliance
Compass reported record Q4 revenue of $1.7B and adjusted EBITDA of $58M, driving full-year 2025 revenue of $7B and EBITDA of $293M on 11.3% organic growth and $65.6B gross transaction volume. The post-Anywhere integration includes a $1B convertible note, $250M first-year synergies (rising to $400M over three years), and a three-year Rocket-Redfin alliance set to deliver 1.2M leads and mortgage incentives.
1. Record Q4 Performance and Full-Year Results
Compass delivered a record fourth quarter with $1.7 billion in revenue and $58 million in adjusted EBITDA, driven by 11.3% organic growth excluding M&A. Gross transaction value rose 21.6% to $65.6 billion, while full-year 2025 results hit all-time highs of $7 billion in revenue and $293 million in adjusted EBITDA.
2. Integration Synergies and Convertible Financing
Following the closing of the Anywhere transaction, Compass completed a $1 billion convertible note offering and has already actioned approximately $175 million in cost synergies. Management has increased its synergy commitment to $250 million in the first year and $400 million over three years, with staged realization expected throughout 2026.
3. Rocket-Redfin Strategic Alliance Details
Compass entered a three-year strategic partnership with Rocket and Redfin to display its inventory on Redfin’s platform and provide 1.2 million “high intent” leads. The alliance also includes buyer incentives such as one percentage point off mortgage rates or up to $6,000 in lender credits through Rocket Mortgage.
4. Q1 2026 Guidance and Cash Flow Impact
Compass guided Q1 2026 revenue of $2.55–$2.75 billion and adjusted EBITDA of $15–$35 million, noting materially negative free cash flow due to transaction-related expenses. The company expects synergy realization and cost actions to support improved cash generation later in the year.