Re/Max posts Q2 loss, Canadian agent count grows as Real deal nears vote

Re/Max Holdings Inc. reported a second-quarter loss Thursday, extending a stretch of declining revenue as the company heads toward a shareholder vote on its planned acquisition by The Real Brokerage Inc.

Revenue slid 5.8 per cent to US$68.5 million in the quarter, down from $72.8 million a year ago. Revenue decreased 5.1 per cent to $51.7 million, which the company attributed to changes to its standard fee models, a decline in U.S. agent count and lower mortgage segment revenue.

Recurring revenue — franchise fees and annual dues — decreased 9.9 per cent and accounted for 63.9 per cent of revenue excluding the marketing funds, down from 67.3 per cent a year earlier.

Net loss was $4.3 million, compared with net income of $4.7 million in the second quarter of 2025. Adjusted EBITDA dropped 12.6 per cent to $22.9 million, with margin narrowing to 33.5 per cent from 36.1 per cent.

Operating expenses climbed 14.1 per cent to $67 million, driven mainly by costs tied to the Real acquisition, partially offset by lower selling and marketing fund expenses.

As with the last quarter, the company offered no comments on the results and does not expect to do so while the Real transaction is pending.

Agent count mixed across regions

Total agent count rose 1.5 per cent to 149,267: Canada gained 3.3 per cent to 25,798 while the U.S. dropped 5 per cent to 47,170 agents. Agent count outside the U.S. and Canada increased 5.3 per cent to 76,299.

The company had $112.4 million in cash and equivalents as of June 30, down $6.3 million from the end of 2025, and $435 million in outstanding debt.

Deal terms 

Under the merger agreement announced in April, shareholders can elect to receive 5.154 shares of the newly created Real Remax Group Inc. or $13.80 in cash for each share, subject to proration so total cash paid to Remax shareholders falls between $60 million and $80 million. Real shareholders will receive one share of Real Remax Group Inc. for each Real share held.

The transaction is expected to close in the second half of 2026, pending customary conditions including approval from both companies’ shareholders at special meetings scheduled for Aug. 14.

Real reported its own second-quarter results Thursday morning, posting 30 per cent revenue growth to $700.6 million and reaffirming its commitment to closing the acquisition on schedule.

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