Zillow, which is shaking up the real estate industry through a planned $3.5 billion acquisition of rival Trulia, today announced record revenue of $78.7 million for the second quarter. That was up 68 percent over the same period last year.
It marks the 15th quarter in a row of 67 percent revenue growth or more for fast-growing Zillow.
But the Seattle online real estate company also lost money during the quarter, posting a net loss of $10.4 million. That compared to loss of $10.2 million for the same period last year.
“We had our strongest quarter yet with record consumer traffic and record revenue and bookings by Premier Agent advertisers,” said Spencer Rascoff, Zillow CEO, in a statement. “Our deliberate focus on high-performing agents and their teams drove the significant increase in orders, and has prompted us to increase our full-year outlook. Advertisers are clearly following audience, and we’re continuing to reinvest in the business to get the flywheel to spin even faster.”
Zillow also posted a huge gain in traffic, showing 89 million unique visitors during the month of July, an all-time record for the 1,000-person company. When combined with Trulia’s audience of more than 50 million unique visitors, Zillow is certainly hitting a critical mass of eyeballs.
In an interview with GeekWire, Rascoff said that the company looks at audience in a slightly different way. He doesn’t believe they are tapping out in the U.S.
“The right question is: What percent of the time does a home buyer find their home or find their real estate agent on Zillow, and I think we still have a very long way to go to achieve significant market share in that regard,” he said.
Looking for new areas of growth, Zillow could expand into commercial real estate or perhaps overseas. Rascoff declined to discuss opportunities in commercial real estate, saying the last time he spoke about it there was “intense interest and speculation” about the musings.
As it relates to international expansion, Rascoff said that they’ve continued to look at international opportunities. “I don’t have anything to announce today,” he said. “But it certainly seems like there is a thirst for real estate information in a lot of other parts of the world besides the U.S.”
As it relates to the Trulia deal, Rascoff said he still expects it to close in 2015. “We are pleased with the industry reaction so far,” he said.
Shares of Zillow fell five percent in after hours trading. The company — whose stock is up 72 percent so far this year — is now valued at $5.6 billion.
