Company Returned $325 Million in Capital to Shareholders Through Share Repurchases and Dividends Last Year; Board Approves New $350 million Share Repurchase Authorization; Declares Quarterly Dividend

Madison, NJ – Feb. 27, 2018 (PRNewswire) Realogy Holdings Corp. (NYSE: RLGY), the largest full-service residential real estate services company in the United States, today reported financial results for the full year ended December 31, 2017, including the following highlights:

• Revenue was $6.1 billion, an increase of 5% compared to 2016, driven by increases in homesale transaction volume (transaction sides multiplied by average sale price).
• Realogy grew its U.S. market share of existing homesale transaction volume to 15.9%, up from 15.7% in 2016.
• Combined 2017 homesale transaction volume for Realogy increased 7% year-over-year, which exceeded the National Association of Realtors reported annual industry volume increase of 6% in 2017.
• Net income was $431 million for 2017, compared to $213 million for 2016. Basic earnings per share was $3.15 compared with basic earnings per share of $1.47 in 2016. This reflects the recognition of a $216 million tax benefit, most of which is due to the 2017 Tax Cuts and Jobs Act, which reduces Realogy’s effective tax rate from an estimated 41% to an estimated 29%.
• Adjusted net income per share for 2017 was $1.59 compared with $1.64 for 2016. (See Table 1a)./
• Free Cash Flow for 2017 was $559 million compared with $456 million for 2016, an increase of $103 million. (See Table 7). Free Cash Flow for 2017 includes $27 million relating to the transition to a new mortgage joint venture partner.
• Operating EBITDA for 2017 was $732 million, compared with $770 million for 2016. (See Table 5).2 The 5% decline was primarily attributable to higher agent commission rates, reduced earnings in our relocation segment, and several non-recurring charges.
• In 2017, Realogy returned $325 million of capital to stockholders through share repurchases and dividends.

“Realogy is at the heart of the attractive U.S. residential real estate market, and I believe we have a compelling combination of critical and unique advantages as the market leader,” said Ryan Schneider, Realogy’s new chief executive officer and president. “Success requires that we deliver better business results, and we are moving quickly to drive change to enhance shareholder value. Our strategy is anchored by an aggressive focus on serving and supporting agents to help them become more successful, in large part by leveraging our technology and data scale.”

“During the past three years, Realogy has generated $1.5 billion in free cash flow,” said Anthony E. Hull, Realogy’s executive vice president, chief financial officer and treasurer. “The majority of our strong cash flow was allocated to repurchase shares, pay dividends and reduce debt. We expect to continue this capital management strategy going forward.”

To read the results in full click here.