Angi Q3 revenue falls 9%, slightly misses estimates on lower lead volume
Overview
US home services marketplace's Q3 revenue fell 9%, a slight miss versus analyst expectations
Adjusted EBITDA for Q3 beat analyst expectations, driven by lower fixed and variable expenses
Company to cut about 300 jobs, aiming for $50-60 mln in annual savings
Outlook
Company expects $50 mln to $60 mln in annual run-rate savings from workforce reduction
Company anticipates $18 mln to $30 mln in restructuring charges, mainly in Q4 2026 and H1 2027
Angi aims to improve profitability and cash flow in the near term
Result Drivers
LOWER LEAD VOLUME - Co said revenue fell 9% as higher monetization was offset by lower Lead volume
SHIFT TO LARGER PROS - Revenue per Lead and average monthly revenue per active Pro rose as business shifted toward Large Pros, where revenue grew over 20%
HIGHER DEPRECIATION - Operating income decline reflected lower revenue and higher depreciation, including accelerated depreciation on capitalized software tied to planned retirement of legacy technology platform
Company press release: Full Story
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Slight Miss* | $242 mln | $242.67 mln (7 Analysts) |
Q3 EPS | $0.03 | ||
Q3 Net Income | $1.30 mln | ||
Q3 Adjusted EBITDA | Beat | $42.20 mln | $28.65 mln (7 Analysts) |
Q3 Operating Income | $15.50 mln |
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 5 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the online services peer group is "buy."
Wall Street's median 12-month price target for Angi Inc is $6.00, about 3.6% above its November 2 closing price of $5.79
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)