Douglas Elliman Inc. Reports Third Quarter 2026 Financial Results
The return to quarterly net income contrasted with a swing to an adjusted operating earnings loss.
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Third Quarter Results with Operating Income of
Cash, cash equivalents and a
Announces
CEO STATEMENT
“Over the past two years, we have worked to build the foundation for Douglas Elliman’s future, and we have succeeded in creating a stronger, more focused company,” said Michael S. Liebowitz, President and Chief Executive Officer of Douglas Elliman Inc. “In the third quarter, we delivered operating income of
Q3 2026 FINANCIAL HIGHLIGHTS
Three months ended September 30, 2026
Third quarter 2026 revenues were
Nine months ended September 30, 2026
For the nine months ended September 30, 2026, revenues were
NON-GAAP FINANCIAL MEASURES
Reconciliations of non-GAAP financial measures to the most directly comparable GAAP financial results for the three and nine months ended September 30, 2026 and 2025 are included in Tables 2 and 3, and for the last twelve months (“LTM”) ended September 30, 2026 and year ended December 31, 2025 are included in Table 2.
Three months ended September 30, 2026 compared to the three months ended September 30, 2025
Adjusted EBITDA attributed to Douglas Elliman Inc. (as described in Table 2 attached hereto) was a loss of
Adjusted Net Loss attributed to Douglas Elliman Inc. (as described in Table 3 attached hereto) was
Nine months ended September 30, 2026 compared to the nine months ended September 30, 2025
Adjusted EBITDA attributed to Douglas Elliman Inc. (as described in Table 2 attached hereto) was a loss of
Adjusted Net Loss attributed to Douglas Elliman Inc. (as described in Table 3 attached hereto) was
GROSS TRANSACTION VALUE
For the third quarter of 2026, the Company achieved gross transaction value of approximately
For the nine months ended September 30, 2026, the Company achieved gross transaction value of approximately
BALANCE SHEET AND CAPITAL POSITION
Douglas Elliman maintained a robust balance sheet as of September 30, 2026, with cash and cash equivalents of approximately
The Board of Directors has approved a share repurchase program authorizing the Company to repurchase up to
OUTLOOK
Looking ahead, the Company has a development marketing pipeline of approximately
Douglas Elliman remains focused on positioning the Company to deliver long-term stockholder value by modernizing its operating platform, strengthening operational efficiency, investing in exceptional agent talent, and pursuing disciplined growth in key luxury markets.
STRATEGIC GROWTH INITIATIVES
Douglas Elliman continues to focus on its luxury residential real estate business while investing in its people, technology, operations and related capabilities.
Technology and AI Investment
Douglas Elliman continues to advance its company-wide technology transformation to support its evolution into a technology-forward real estate brokerage. The Company is working to modernize workflows, processes and infrastructure across the organization, with a focus on improving efficiency and providing agents and employees with better tools to support their work.
The Company remains focused on gradually realizing efficiencies in non-commission operating expenses beginning in 2027.
Recently, Douglas Elliman added dedicated leadership to support these efforts. Sharon Milz joined Douglas Elliman Realty as Head of AI Technology Transformation, overseeing the Company’s enterprise AI strategy and deployment. Nick Patino joined Douglas Elliman Realty as Director of AI Enablement, focused on integrating AI capabilities into the Company’s operations and driving adoption and productivity.
Operational Leadership
Douglas Elliman Realty also appointed Jamie Gagliano as Chief Operations Officer, Brokerage. In this role, she is focused on the Company’s national brokerage operations, including opportunities to simplify processes, strengthen support for agents and build a more scalable organization.
Conference Call to Discuss Third Quarter 2026 Results
As previously announced, the Company will host a conference call and webcast to discuss its third quarter 2026 results on Tuesday, November 10, 2026 at 8:00 a.m. (ET).
Investors may access the call via live webcast at https://join.eventcastplus.com/eventcastplus/douglas-elliman-third-quarter-earnings-call. Please join the webcast at least 10 minutes prior to start time.
A replay of the call will be available shortly after the call ends on November 10, 2026 through November 24, 2026 at https://join.eventcastplus.com/eventcastplus/douglas-elliman-third-quarter-earnings-call.
NON-GAAP FINANCIAL MEASURES
Adjusted EBITDA attributed to Douglas Elliman Inc., Adjusted Net Loss attributed to Douglas Elliman Inc. and financial measures for the last twelve months (“LTM”) ended September 30, 2026 (referred to as the “Non-GAAP Financial Measures”) are financial measures not prepared in accordance with generally accepted accounting principles (“GAAP”). The Company believes that the Non-GAAP Financial Measures are important measures that supplement discussion and analysis of its results of operations and enhance an understanding of its operating performance.
The Company believes the Non-GAAP Financial Measures provide investors and analysts with a useful measure of operating results unaffected by differences in capital structures and ages of related assets among otherwise comparable companies.
Management uses the Non-GAAP Financial Measures as measures to review and assess the operating performance of the Company’s business, and management does, and investors should review both the overall performance (GAAP net income (loss)) and the operating performance (the Non-GAAP Financial Measures) of the Company’s business. While management considers the Non-GAAP Financial Measures to be important, they should be considered in addition to, but not as substitutes for or superior to, other measures of financial performance prepared in accordance with GAAP, such as operating income (loss), net income (loss) and cash flows from operations. In addition, the Non-GAAP Financial Measures are susceptible to varying calculations and the Company’s measurement of the Non-GAAP Financial Measures may not be comparable to those of other companies. Attached hereto as Tables 2 and 3 is information relating to the Company’s Non-GAAP Financial Measures for the three and nine months ended September 30, 2026 and 2025, the LTM ended September 30, 2026 and the year ended December 31, 2025.
About Douglas Elliman Inc.
Douglas Elliman Inc. (NYSE: DOUG, “Douglas Elliman”) owns Douglas Elliman Realty, LLC, which is one of the largest residential brokerage companies in
Investors and others should note that we may post information about Douglas Elliman on our website at investors.elliman.com or, if applicable, on our accounts on Facebook, Instagram, LinkedIn, TikTok, X, YouTube or other social media platforms. It is possible that the postings or releases could include information deemed to be material information. Therefore, we encourage investors, the media and others interested in Douglas Elliman to review the information we post on our website at investors.elliman.com and on our social media accounts.
Forward-Looking and Cautionary Statements
This press release includes forward-looking statements within the meaning of the federal securities law. All statements other than statements of historical or current facts made in this press release are forward-looking. We identify forward-looking statements in this press release by using words or phrases such as “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may be,” “continue,” “could,” “potential,” “objective,” “plan,” “seek,” “predict,” “project” and “will be” and similar words or phrases or their negatives. Forward-looking statements reflect our current expectations and are inherently uncertain. Actual results could differ materially for a variety of reasons.
Risks and uncertainties that could cause our actual results to differ significantly from our current expectations are described in our Annual Report on Form 10-K for the year ended December 31, 2025 and, when filed, our Quarterly Reports on Form 10-Q filed thereafter. We undertake no responsibility to publicly update or revise any forward-looking statement except as required by applicable law.
[Financial Tables Follow]
TABLE 1
|
|||||||||||||||
|
Three Months Ended |
|
Nine Months Ended |
||||||||||||
|
September 30, |
|
September 30, |
||||||||||||
|
|
2026 |
|
|
|
2025 |
|
|
|
2026 |
|
|
|
2025 |
|
Revenues: |
|
|
|
|
|
|
|
||||||||
Commissions and other brokerage income |
$ |
249,233 |
|
|
$ |
250,354 |
|
|
$ |
741,317 |
|
|
$ |
749,513 |
|
Property management |
|
— |
|
|
|
9,438 |
|
|
|
— |
|
|
|
29,395 |
|
Other ancillary services |
|
2,858 |
|
|
|
3,046 |
|
|
|
8,556 |
|
|
|
8,699 |
|
Total revenues |
|
252,091 |
|
|
|
262,838 |
|
|
|
749,873 |
|
|
|
787,607 |
|
|
|
|
|
|
|
|
|
||||||||
Expenses: |
|
|
|
|
|
|
|
||||||||
Real estate agent commissions |
|
200,047 |
|
|
|
192,771 |
|
|
|
591,697 |
|
|
|
583,890 |
|
Sales and marketing |
|
19,983 |
|
|
|
19,711 |
|
|
|
57,451 |
|
|
|
59,519 |
|
Operations and support |
|
16,743 |
|
|
|
17,575 |
|
|
|
50,754 |
|
|
|
53,078 |
|
General and administrative |
|
1,465 |
|
|
|
32,220 |
|
|
|
40,411 |
|
|
|
85,722 |
|
Technology |
|
5,532 |
|
|
|
5,964 |
|
|
|
16,361 |
|
|
|
17,265 |
|
Depreciation and amortization |
|
1,974 |
|
|
|
2,183 |
|
|
|
5,962 |
|
|
|
6,302 |
|
Impairment of fixed assets |
|
— |
|
|
|
2,275 |
|
|
|
— |
|
|
|
2,275 |
|
Antitrust litigation settlement expense |
|
— |
|
|
|
— |
|
|
|
2,041 |
|
|
|
— |
|
Restructuring |
|
17 |
|
|
|
794 |
|
|
|
210 |
|
|
|
1,092 |
|
Gain on disposal of business |
|
8 |
|
|
|
— |
|
|
|
(400 |
) |
|
|
— |
|
Operating income (loss) |
|
6,322 |
|
|
|
(10,655 |
) |
|
|
(14,614 |
) |
|
|
(21,536 |
) |
|
|
|
|
|
|
|
|
||||||||
Other income (expenses): |
|
|
|
|
|
|
|
||||||||
Interest expense |
|
(2 |
) |
|
|
(1,573 |
) |
|
|
(7 |
) |
|
|
(4,648 |
) |
Interest income |
|
953 |
|
|
|
1,366 |
|
|
|
2,562 |
|
|
|
3,986 |
|
Equity in earnings (losses) from equity-method investments |
|
7 |
|
|
|
(23 |
) |
|
|
386 |
|
|
|
178 |
|
Change in fair value of the derivative embedded within convertible debt |
|
— |
|
|
|
(15,445 |
) |
|
|
— |
|
|
|
(33,160 |
) |
Investment and other (losses) gains |
|
(524 |
) |
|
|
1,399 |
|
|
|
(581 |
) |
|
|
1,340 |
|
Income (loss) before provision for income taxes |
|
6,756 |
|
|
|
(24,931 |
) |
|
|
(12,254 |
) |
|
|
(53,840 |
) |
Income tax (benefit) expense |
|
(678 |
) |
|
|
11 |
|
|
|
(678 |
) |
|
|
11 |
|
|
|
|
|
|
|
|
|
||||||||
Net income (loss) |
|
7,434 |
|
|
|
(24,942 |
) |
|
|
(11,576 |
) |
|
|
(53,851 |
) |
|
|
|
|
|
|
|
|
||||||||
Net loss attributed to non-controlling interest |
|
— |
|
|
|
251 |
|
|
|
— |
|
|
|
502 |
|
|
|
|
|
|
|
|
|
||||||||
Net income (loss) attributed to Douglas Elliman Inc. |
$ |
7,434 |
|
|
$ |
(24,691 |
) |
|
$ |
(11,576 |
) |
|
$ |
(53,349 |
) |
|
|
|
|
|
|
|
|
||||||||
Per basic common share: |
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
||||||||
Net income (loss) applicable to common shares attributed to Douglas Elliman Inc. |
$ |
0.08 |
|
|
$ |
(0.29 |
) |
|
$ |
(0.14 |
) |
|
$ |
(0.63 |
) |
|
|
|
|
|
|
|
|
||||||||
Per diluted common share: |
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
||||||||
Net income (loss) applicable to common shares attributed to Douglas Elliman Inc. |
$ |
0.08 |
|
|
$ |
(0.29 |
) |
|
$ |
(0.14 |
) |
|
$ |
(0.63 |
) |
TABLE 2
|
|||||||||||||||||||||||
|
LTM |
|
Year Ended |
|
Three Months Ended |
|
Nine Months Ended |
||||||||||||||||
|
September 30, |
|
December 31, |
|
September 30, |
|
September 30, |
||||||||||||||||
|
|
2026 |
|
|
|
2025 |
|
|
|
2026 |
|
|
|
2025 |
|
|
|
2026 |
|
|
|
2025 |
|
|
|
|
|
|
|
|
|
||||||||||||||||
Net income (loss) attributed to Douglas Elliman Inc. |
$ |
56,992 |
|
|
$ |
15,219 |
|
|
$ |
7,434 |
|
|
$ |
(24,691 |
) |
|
$ |
(11,576 |
) |
|
$ |
(53,349 |
) |
Interest expense |
|
428 |
|
|
|
5,069 |
|
|
|
2 |
|
|
|
1,573 |
|
|
|
7 |
|
|
|
4,648 |
|
Interest income |
|
(3,476 |
) |
|
|
(4,900 |
) |
|
|
(953 |
) |
|
|
(1,366 |
) |
|
|
(2,562 |
) |
|
|
(3,986 |
) |
Income tax expense (benefit) |
|
2,871 |
|
|
|
3,560 |
|
|
|
(678 |
) |
|
|
11 |
|
|
|
(678 |
) |
|
|
11 |
|
Net loss attributed to non-controlling interest |
|
(407 |
) |
|
|
(909 |
) |
|
|
— |
|
|
|
(251 |
) |
|
|
— |
|
|
|
(502 |
) |
Depreciation and amortization |
|
8,037 |
|
|
|
8,377 |
|
|
|
1,974 |
|
|
|
2,183 |
|
|
|
5,962 |
|
|
|
6,302 |
|
EBITDA |
$ |
64,445 |
|
|
$ |
26,416 |
|
|
$ |
7,779 |
|
|
$ |
(22,541 |
) |
|
$ |
(8,847 |
) |
|
$ |
(46,876 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Results from operations of disposed business (a) |
|
(254 |
) |
|
|
(6,621 |
) |
|
|
— |
|
|
|
(1,643 |
) |
|
|
— |
|
|
|
(6,367 |
) |
Gain on disposal of business |
|
(82,055 |
) |
|
|
(81,655 |
) |
|
|
8 |
|
|
|
— |
|
|
|
(400 |
) |
|
|
— |
|
Equity in (earnings) losses from equity-method investments (b) |
|
(395 |
) |
|
|
(187 |
) |
|
|
(7 |
) |
|
|
23 |
|
|
|
(386 |
) |
|
|
(178 |
) |
Change in fair value of the derivative embedded within convertible debt |
|
(4,678 |
) |
|
|
28,482 |
|
|
|
— |
|
|
|
15,445 |
|
|
|
— |
|
|
|
33,160 |
|
Loss on extinguishment of liability |
|
466 |
|
|
|
466 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Stock-based compensation(c) |
|
6,891 |
|
|
|
8,577 |
|
|
|
1,813 |
|
|
|
2,162 |
|
|
|
4,635 |
|
|
|
6,321 |
|
Litigation, settlement and related (benefit) expenses, net (d) |
|
(13,603 |
) |
|
|
7,637 |
|
|
|
(15,436 |
) |
|
|
5,755 |
|
|
|
(12,527 |
) |
|
|
8,713 |
|
Executive severance and separation expense (benefit), net (e) |
|
194 |
|
|
|
(299 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(493 |
) |
Impairment of fixed assets |
|
— |
|
|
|
2,275 |
|
|
|
— |
|
|
|
2,275 |
|
|
|
— |
|
|
|
2,275 |
|
Restructuring |
|
754 |
|
|
|
1,636 |
|
|
|
17 |
|
|
|
794 |
|
|
|
210 |
|
|
|
1,092 |
|
Investment and other losses (gains) |
|
603 |
|
|
|
(1,318 |
) |
|
|
524 |
|
|
|
(1,399 |
) |
|
|
581 |
|
|
|
(1,340 |
) |
Adjusted EBITDA |
|
(27,632 |
) |
|
|
(14,591 |
) |
|
|
(5,302 |
) |
|
|
871 |
|
|
|
(16,734 |
) |
|
|
(3,693 |
) |
Adjusted EBITDA attributed to non-controlling interest |
|
326 |
|
|
|
601 |
|
|
|
— |
|
|
|
175 |
|
|
|
— |
|
|
|
275 |
|
Adjusted EBITDA attributed to Douglas Elliman Inc. |
$ |
(27,306 |
) |
|
$ |
(13,990 |
) |
|
$ |
(5,302 |
) |
|
$ |
1,046 |
|
|
$ |
(16,734 |
) |
|
$ |
(3,418 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
-
Includes results from operations of Residential Management Group, LLC, which conducts business as Douglas Elliman Property Management (“DEPM”), which was disposed on October 24, 2025. This adjustment also includes the corporate allocation to Douglas Elliman Realty, LLC (“DER”) from DEPM. The expenses associated with the corporate allocation to DEPM have continued at DER after the disposal. For all periods presented, our presentation and calculation of Adjusted EBITDA attributed to Douglas Elliman Inc. reflects the disposal of DEPM;
$2,689 $2,949 - Represents equity in (earnings) losses recognized from the Company’s investments in equity method investments that are accounted for under the equity method and are not consolidated in the Company’s financial results.
- Represents amortization of stock-based compensation.
-
Represents unusual litigation, settlement and related (benefit) expenses, net, incurred in connection with industry-wide antitrust class action lawsuits; stockholder derivative litigation; and other matters related to employees and agents not classified elsewhere in our condensed consolidated statements of operations. For the last twelve months ended September 30, 2026, the Company incurred a benefit, net of expenses, of
$(13,603) $(15,644) $2,041 $7,637 $(15,436) $5,755 $(12,527) $(14,568) $2,041 $8,713 - Represents executive severance and separation expenses, net of amounts recovered from insurance. All amounts are included within general and administrative expenses on the condensed consolidated statement of operations.
TABLE 3
|
|||||||||||||||
|
Three Months Ended |
|
Nine Months Ended |
||||||||||||
|
September 30, |
|
September 30, |
||||||||||||
|
|
2026 |
|
|
|
2025 |
|
|
|
2026 |
|
|
|
2025 |
|
|
|
|
|
||||||||||||
Net income (loss) attributed to Douglas Elliman Inc. |
$ |
7,434 |
|
|
$ |
(24,691 |
) |
|
$ |
(11,576 |
) |
|
$ |
(53,349 |
) |
|
|
|
|
|
|
|
|
||||||||
Results from operations of disposed business (a) |
|
— |
|
|
|
(1,547 |
) |
|
|
— |
|
|
|
(6,039 |
) |
Gain on disposal of business |
|
8 |
|
|
|
— |
|
|
|
(400 |
) |
|
|
— |
|
Impairment of fixed assets |
|
— |
|
|
|
2,275 |
|
|
|
— |
|
|
|
2,275 |
|
Restructuring |
|
17 |
|
|
|
794 |
|
|
|
210 |
|
|
|
1,092 |
|
Change in fair value of the derivative embedded within convertible debt |
|
— |
|
|
|
15,445 |
|
|
|
— |
|
|
|
33,160 |
|
Non-cash amortization of debt discount on convertible debt |
|
— |
|
|
|
578 |
|
|
|
— |
|
|
|
1,660 |
|
Litigation, settlement and related (benefit) expenses, net |
|
(15,436 |
) |
|
|
5,755 |
|
|
|
(12,527 |
) |
|
|
8,713 |
|
Executive severance and separation benefit, net |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(493 |
) |
Total adjustments |
|
(15,411 |
) |
|
|
23,300 |
|
|
|
(12,717 |
) |
|
|
40,368 |
|
|
|
|
|
|
|
|
|
||||||||
Adjusted net loss attributed to Douglas Elliman Inc. |
$ |
(7,977 |
) |
|
$ |
(1,391 |
) |
|
$ |
(24,293 |
) |
|
$ |
(12,981 |
) |
|
|
|
|
|
|
|
|
||||||||
Per diluted common share: |
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
||||||||
Adjusted net loss applicable to common shares attributed to Douglas Elliman Inc. |
$ |
(0.09 |
) |
|
$ |
(0.02 |
) |
|
$ |
(0.28 |
) |
|
$ |
(0.15 |
) |
-
Includes results from operations of Residential Management Group, LLC, which conducts business as DEPM, which was disposed on October 24, 2025. This adjustment also includes the corporate allocation to DER from DEPM. The expenses associated with the corporate allocation to DEPM have continued at DER after the disposal. For all periods presented, our presentation and calculation of Adjusted Net Loss attributed to Douglas Elliman Inc. reflects the disposal of DEPM;
$156 $(6,942)
TABLE 4
|
|||||||||||||||||
|
LTM |
|
Year Ended |
|
Three Months Ended |
|
Nine Months Ended |
||||||||||
|
September 30, |
|
December 31, |
|
September 30, |
|
September 30, |
||||||||||
|
2026 |
|
2025 |
|
2026 |
|
2025 |
|
2026 |
|
2025 |
||||||
Revenues: |
|
|
|
|
|
|
|
|
|
|
|
||||||
Commissions and other brokerage income |
$ |
981,646 |
|
$ |
989,842 |
|
$ |
249,233 |
|
$ |
250,354 |
|
$ |
741,317 |
|
$ |
749,513 |
Property management |
|
2,197 |
|
|
31,592 |
|
|
— |
|
|
9,438 |
|
|
— |
|
|
29,395 |
Other ancillary services |
|
11,478 |
|
|
11,621 |
|
|
2,858 |
|
|
3,046 |
|
|
8,556 |
|
|
8,699 |
Total revenues |
$ |
995,321 |
|
$ |
1,033,055 |
|
$ |
252,091 |
|
$ |
262,838 |
|
$ |
749,873 |
|
$ |
787,607 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Gross transaction value (in billions) |
$ |
39.1 |
|
$ |
39.8 |
|
$ |
10.0 |
|
$ |
10.0 |
|
$ |
29.4 |
|
$ |
30.1 |
Total transactions |
|
20,912 |
|
|
21,338 |
|
|
5,494 |
|
|
5,661 |
|
|
15,673 |
|
|
16,099 |
View source version on businesswire.com: https://www.businesswire.com/news/home/20261109055746/en/
Stephen Larkin, Douglas Elliman Inc.
917-902-2503
Catherine
212-687-8080
J. Bryant Kirkland III, Douglas Elliman Inc.
305-579-8000
Source: Douglas Elliman Inc.