The company reported a net loss, caused in part by a large lawsuit settlement with a rival in the real-estate website business.
Seattle-based Zillow Group on Tuesday said it expects to surpass $1 billion in annual revenue for the first time in 2017 but still isn’t close to turning a profit.
The real-estate information company, whose websites also include Trulia, HotPads and Naked Apartments, reported a record $227.6 million in revenue in the fourth quarter of 2016, up 34 percent from a year prior and slightly above analysts’ expectations. It finished the year with $846.6 million in revenue, driven largely by its premier agent program.
Still, Zillow reported a net loss of $220.4 million, including a $130 million settlement in June over a lawsuit alleging that two executives it hired from rival Move stole trade secrets. That’s up from a $148.9 million loss in 2015.
In after-hours trading Zillow shares dipped 6 percent in the hour following the earnings announcement, from $36.85 to $34.65.
Most Read Business Stories
- While Seattle-area home prices plateau, the Eastside dips
- Trump Organization convicted in executive tax dodge scheme
- For some foreign workers, Seattle tech layoffs can mean a forced exit
- Baby blue Porsche in 'Glass Onion' is perfect wrong choice | Commentary
- Weed shops switch to cash after cashless ATM crackdown
The company said traffic to Zillow Group sites topped 140 million average monthly unique users in the most recent quarter, up 13 percent from a year prior but down from the peak of 171 million in May, when home buying is most prevalent.