Zillow Makes $7.8 Million Acquisition for More Agent Tools
As part of its third-quarter earnings release today, Zillow said it has acquired Diverse Solutions, which helps real estate agents market their Web sites, for $7.8 million.
Seattle-based Zillow said it acquired substantially all of the assets of the Irvine, Calif.-based company.
Diverse Solutions Founder and CEO Justin LaJoie will become the VP of industry solutions at Zillow.
Separately, Zillow announced its second earnings release as a public company.
The company reported record revenues in the third quarter of $19.1 million, up 132 percent year over year.
The company lost $570,000 during the quarter, but when excluding a charge of $1.7 million associated with the move of its headquarters, it would have reported a profit of $1.2 million, or 5 cents a share.
Additionally, it raised its guidance for full-year revenues and profits, not including some items.
Revenues for the full year are now expected to be in the range of about $63 million to $64 million, representing a 108 percent growth rate over 2010. Adjusted EBITDA, which excludes some items, is expected to be in the range of $9 million to $10 million.
In after-hours trading, the stock increased 87 cents a share, or 3.27 percent, to $27.50.