Real Matters (TSE:REAL) Announces Quarterly Earnings Results

Real Matters (TSE:REAL) released its quarterly earnings results on Thursday. The company reported C($0.07) earnings per share (EPS) for the quarter, FiscalAI reports. Real Matters had a net margin of 3.31% and a return on equity of 5.23%. The firm had revenue of C$63.87 million for the quarter.

Here are the key takeaways from Real Matters’ conference call:

• Real Matters reported double-digit top-line growth with consolidated Net Revenue up 19% year-over-year and achieved positive consolidated Adjusted EBITDA of $0.1M (first Q1 profitability since 2022), ending the quarter with $43.8M cash and no debt, highlighting operating leverage and a strong balance sheet.
• The U.S. Title segment showed rapid scale-up — revenues +76% and Net Revenue +110% year-over-year as refinance volumes more than doubled, helped by onboarding a Tier‑1 lender and a new channel; management says existing capacity could nearly double volumes so most incremental title revenue should flow to EBITDA.
• U.S. Appraisal delivered margin expansion and market-share gains with revenues of $32.9M (+12% y/y), Net Revenue up 7%, and Adjusted EBITDA up 36% to $3.3M, while maintaining leading positions on lender scorecards.
• The company is positioning a technology edge — completed its first UAD transaction, has invested ~$2M in UAD readiness, and cites UAD compliance as a competitive differentiator that is attracting RFPs and customer interest.
• Management remains cautious near-term — industry forecasts point to a seasonal Q2 decline (~-10%), and U.S. Title still recorded an Adjusted EBITDA loss of $0.8M with expectations that title net revenue margins may trend toward the lower end of targets in Q2 due to order flow timing.

Real Matters Price Performance

TSE:REAL traded down C$0.27 on Thursday, reaching C$6.14. 37,679 shares of the company’s stock traded hands, compared to its average volume of 125,278. The stock has a 50-day simple moving average of C$6.30 and a 200-day simple moving average of C$6.47. Real Matters has a 12 month low of C$5.01 and a 12 month high of C$8.00. The firm has a market cap of C$455.88 million, a PE ratio of -19.81, a P/E/G ratio of -59.18 and a beta of 1.51. The company has a quick ratio of 3.75, a current ratio of 4.68 and a debt-to-equity ratio of 2.27.

Wall Street Analysts Forecast Growth

REAL has been the topic of several analyst reports. Canaccord Genuity Group boosted their price objective on shares of Real Matters from C$7.00 to C$10.00 and gave the company a “buy” rating in a research report on Friday, October 3rd. BMO Capital Markets lifted their target price on Real Matters from C$6.00 to C$7.00 in a research report on Monday, November 24th. National Bankshares upped their price target on Real Matters from C$5.75 to C$7.00 and gave the stock a “sector perform” rating in a research report on Thursday, October 23rd. Finally, TD Securities raised their price objective on Real Matters from C$8.50 to C$9.00 and gave the stock a “buy” rating in a research note on Friday, October 3rd. Four research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of C$8.57.

Real Matters Company Profile

Real Matters Inc is a Canadian network management services provider for the mortgage lending and insurance industries. The company’s platform combines proprietary technology and network management capabilities with tens of thousands of independent qualified field agents. Its operating segment includes U.S. Appraisal; U.S. Title and Canada. The company generates maximum revenue from the U.S. Appraisal segment. Its U.S. Appraisal segment provides residential mortgage appraisals for purchase, refinance, and home equity transactions through its Solidifi brand.