Fathom Holdings Inc Stock Price, News & Analysis

Fathom Holdings Inc. (NASDAQ: FTHM) announced a $3.5 million senior secured convertible promissory note through a securities purchase agreement with an institutional investor. The note, with a conversion price of $6.00 per share, aims to enhance operating liquidity and provide financial flexibility. Interest will be paid quarterly, based on the Secured Overnight Financing Rate (SOFR) plus 5%, with a minimum rate of 8%. The company projects achieving adjusted EBITDA breakeven in Q2 2023 and cash flow breakeven in Q3 2023. The proceeds will be utilized for working capital and general corporate purposes. Roth Capital Partners acted as the sole agent for the offering. The note matures on April 12, 2025, unless repurchased or converted earlier.

Fathom Realty, a subsidiary of Fathom Holdings Inc. (NASDAQ: FTHM), ranked second in the RealTrends 500 Top Movers for 2022, showing significant growth in closed transactions. With a total of 44,707 closed transactions, Fathom reported a 14% year-over-year growth.

CEO Joshua Harley emphasized the effectiveness of their flat fee commission model, appealing to agents aiming for higher income amidst increasing inflation and interest rates. The report also highlighted Fathom's strong performance among low-cost brokerage firms, validating its business strategy.

Fathom Holdings reported a 12.7% decline in Q4 2022 revenue to $83.4 million, down from $95.5 million in Q4 2021. The company aims for Adjusted EBITDA breakeven in Q2 2023 and positive cash flow in Q3 2023, supported by $3 million quarterly expense reductions. Despite a net loss of $9.9 million in Q4 2022, Fathom's agent network grew by 28% to approximately 10,370 agents. For the full year, total revenue increased 25% to $412.9 million, but net losses widened to $27.6 million. Fathom completed about 44,700 transactions in 2022, a 14% increase from 2021.

Fathom Holdings (FTHM) reported preliminary financial results for 2022, showing a total revenue between $411.0 million and $413.0 million, up 24% to 25% from $330.2 million in 2021. The company completed approximately 44,700 transactions, a 14% increase, while its agent network grew by 28% to 10,370 agents. However, the GAAP net loss for 2022 is projected at $28.6 million to $27.6 million, up from $12.5 million in 2021, largely due to rising interest rates. Fathom aims to reach breakeven Adjusted EBITDA in Q2 2023 and generate positive cash flow by Q3 2023.

Fathom Realty, LLC, a subsidiary of Fathom Holdings (Nasdaq: FTHM), has improved its ranking in RISMedia's annual Power Broker Report, moving from 16th to 12th in sales volume among the nation's top 100 residential brokerage firms for 2022. The company also ranked 10th in total transactions, closing 44,707 deals, reflecting a 16% year-over-year growth.

Despite a challenging market marked by high inflation and rising interest rates, Fathom Realty's performance indicates resilience and adaptability. The real estate sector reported over $110 billion in reduced sales volume collectively for 2022, highlighting a significant market contraction.

Fathom Holdings Inc. (NASDAQ: FTHM) announced a conference call to discuss its fourth quarter and full year financial results for 2022 on March 22, 2023, at 5:00 p.m. ET. The results will be released prior to the call. Interested parties can join the call by dialing 833-685-0908 (U.S.) or 412-317-5742 (international). A live audio webcast will be available on the company's investor relations website. The replay will be accessible until March 29, 2023. Fathom Holdings integrates multiple real estate services, leveraging its proprietary technology platform, intelliAgent.

Fathom Holdings Inc. (NASDAQ: FTHM) announced its participation in the 35th Annual Roth Conference, set to take place at The Ritz Carlton in Laguna Niguel, CA on March 13-14, 2023. Fathom's CEO Joshua Harley and CFO Marco Fregenal will engage in one-on-one meetings with institutional investors during this event. Fathom is a technology-driven real estate services platform that integrates various services including residential brokerage, mortgage, and insurance. For inquiries regarding the conference or to schedule meetings, contact Fathom's investor relations team.

Fathom Holdings (Nasdaq: FTHM) has appointed Gateway Group to enhance its investor relations strategy. The partnership aims to refine messaging, improve corporate positioning, and connect with institutional investors. Fathom, a technology-driven real estate platform, is focused on becoming a leading brokerage in the U.S., targeting adjusted EBITDA profitability in early 2023. CEO Joshua Harley emphasized the importance of proactive communication regarding the company's growth strategy. Fathom will participate in the 25th Annual Needham Growth Conference on January 10-11, 2023, engaging with investors.