Angi's (NASDAQ:ANGI) Q1: Beats On Revenue, Stock Jumps 13.3%
Home services online marketplace ANGI (NASDAQ: ANGI) beat Wall Street's revenue expectations in Q1 CY2025, but sales fell by 19.5% year on year to $245.9 million. Its GAAP profit of $0.30 per share was significantly above analysts' consensus estimates.
Is now the time to buy Angi? Find out in our full research report.
Angi (ANGI) Q1 CY2025 Highlights:
Revenue: $245.9 million vs analyst estimates of $239.4 million (19.5% year-on-year decline, 2.7% beat)
EPS (GAAP): $0.30 vs analyst estimates of -$0.06 (significant beat)
Adjusted EBITDA: $27.7 million vs analyst estimates of $21.36 million (11.3% margin, 29.7% beat)
Operating Margin: 8.1%, up from 0.9% in the same quarter last year
Free Cash Flow was -$15.7 million, down from $27.09 million in the previous quarter
Service Requests: 3.36 million, down 765,000 year on year
Market Capitalization: $554.8 million
Company Overview
Created by IAC's mergers of Angie's List and HomeAdvisor, ANGI (NASDAQ: ANGI) operates the largest online marketplace for home services in the US.
Sales Growth
A company's long-term performance is an indicator of its overall quality. Even a bad business can shine for one or two quarters, but a top-tier one grows for years. Angi struggled to consistently generate demand over the last three years as its sales dropped at a 10.8% annual rate. This wasn't a great result and is a tough starting point for our analysis.
Angi Quarterly Revenue
This quarter, Angi's revenue fell by 19.5% year on year to $245.9 million but beat Wall Street's estimates by 2.7%.
Looking ahead, sell-side analysts expect revenue to decline by 7.5% over the next 12 months. While this projection is better than its three-year trend, it's hard to get excited about a company that is struggling with demand.
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Service Requests
Request Growth
As a gig economy marketplace, Angi generates revenue growth by expanding the number of services on its platform (e.g. rides, deliveries, freelance jobs) and raising the commission fee from each service provided.
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