Slides
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Second Quarter 2026 Highlights
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This investor presentation includes “forward-looking statements” . Potential factors that may cause actual results to differ materially from those projected in these forward-looking statements are described in CoStar Group’s periodic filings with the Securities and Exchange Commission (“SEC”), such as Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K, including the “Risk Factors” sections of those documents. These filings can be accessed via the SEC’s website at www.sec.gov. All forward-looking statements reflect information available to CoStar Group as of the date of this presentation, and CoStar Group undertakes no obligation to update or revise any forward-looking statements unless required by applicable law. Forward-Looking Statement
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Second Quarter 2026 Highlights • Second quarter revenue of $925 million increased 18% year-over-year, marking the 61st consecutive quarter of double-digit revenue growth • Commercial segment revenue of $481 million and Residential segment revenue of $444 million • Commercial segment Adjusted EBITDA of $172 million, and Residential segment Adjusted EBITDA of $12 million • Net income of $55 million and Adjusted EBITDA of $184 million • Net new bookings were $69 million, up 3% from Q1 2026
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Second Quarter 2026 Results Second Quarter YTD Revenue $925 million 18% year-over-year growth $1.8 billion 20% year-over-year growth Net Income $55 million $58 million Adjusted EBITDA $184 million 20% margin $316 million 17% margin Adjusted Net Income / Adjusted EPS $128 million $0.32 per diluted share $222 million $0.54 per diluted share
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Second Quarter 2026 Results Second Quarter YTD Commercial Revenue $481 million 8% year-over-year growth $953 million 11% year-over-year growth Commercial Adjusted EBITDA $172 million $333 million Residential Revenue $444 million 33% year-over-year growth $869 million 32% year-over-year growth Residential Adjusted EBITDA $12 million ($17 million)
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2026 Third Quarter and Full Y ear Outlook Third Quarter Full Year Revenue $935 million to $945 million 12% to 13% YoY growth $3.715 billion to $3.755 billion 14% to 16% YoY growth Net Income $51 million to $65 million $218 million to $247 million Adjusted EBITDA $190 million to $210 million 20% to 22% margin $780 million to $820 million 21% to 22% margin Adjusted Net Income Adjusted EPS $124 million to $139 million $0.31 to $0.34 per share $535 million to $564 million $1.32 to $1.39 per share
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2026 Third Quarter and Full Y ear Outlook – Segments Third Quarter Full Year Commercial Revenue $489 million to $494 million 6% to 7% YoY growth $1.940 billion to $1.960 billion 9% to 10% YoY growth Residential Revenue $446 million to $451 million 20% to 21% YoY growth $1.775 billion to $1.795 billion 22% to 23% YoY growth Commercial Adjusted EBITDA $162 million to $172 million 33% to 35% margin $670 million to $690 million 35% margin Residential Adjusted EBITDA $28 million to $38 million 6% to 8% margin $110 million to $130 million 6% to 7% margin
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Appendix
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Non-GAAP Financial Measures For information regarding the purpose for which management uses the non-GAAP financial measures disclosed in this presentation and why management believes they provide useful information to investors regarding the Company’s financial condition and results of operations, please refer to the Company’s latest periodic report filed with the SEC at www.sec.gov. EBITDA is our net income (loss) before interest income or expense, net, other income or expense, net, income taxes, depreciation, and amortization. We typically disclose EBITDA on a consolidated and on an operating segment basis in our earnings releases, investor conference calls, and filings with the SEC. Adjusted EBITDA is different from EBITDA because we further adjust EBITDA for stock-based compensation expense, acquisition- and integration-related costs, restructuring and related costs, including certain advisory fees, and settlements and impairments incurred outside our ordinary course of business, including judgements. Adjusted EBITDA margin represents Adjusted EBITDA divided by revenues for the period. Adjusted Net Income represents our net income (loss) adjusted for stock-based compensation expense, acquisition- and integration-related costs, including gains or losses on equity investments acquired in prospective targets and related to deal-contingent financial instruments, restructuring costs, settlement and impairment costs incurred outside our ordinary course of business, including judgments and related, non-recurring interest; and amortization of acquired intangible assets and other related costs, and then subtracting an assumed provision for income taxes. In 2026, we are assuming a 26% tax rate to approximate our statutory corporate tax rate, excluding the impact of discrete items, to determine Adjusted Net Income for each quarterly period, year-to- date period, and annual period. Adjusted EPS represents Adjusted Net Income divided by the number of diluted shares outstanding for the period used in the calculation of GAAP earnings per diluted share. For periods with GAAP net losses and Adjusted Net Income, the weighted average outstanding shares used to calculate Adjusted EPS includes potentially dilutive securities that were excluded from the calculation of GAAP earnings per share as the effect was anti-dilutive.
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Reconciliations of Net Income to Adjusted Net Income and EPS to Adjusted EPS - Unaudited
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Reconciliation of Net Income to Adjusted EBITDA - Unaudited
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Results of Segments and Guidance Ranges - Unaudited
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Use of Operating Metrics and Other Definitions Operating Metrics CoStar Group reviews a number of operating metrics to evaluate its business, measure performance, identify trends, formulate business plans and make strategic decisions. This presentation includes Net new bookings. Going forward, CoStar Group expects to use these operating metrics on a periodic basis to evaluate and provide investors with insight into the performance of the Company’s subscription-based services. Net new bookings is calculated based on the annualized amount of change in the Company's sales bookings resulting from new subscription-based contracts, changes to existing subscription-based contracts, and cancellations of subscription-based contracts for the period reported. Information regarding net new bookings is not comparable to, nor should it be substituted for, an analysis of the Company's revenues over time.