Investing.com – Zillow Group stock (NASDAQ:) surged 14% in premarket trading Friday after the company beat estimates for the fourth quarter and made speedier progress on winding down its home-flipping business.

Quarterly revenue grew nearly fivefold, to $3.9Billion due to a hot real estate market. The company’s robust business performance also led to a faster sale of inventory and higher prices. This translated into lower writedowns after it leaves Zillow Offers — 405 million vs. the expected $565million when the decision was made in November.

Zillow Offers allows homeowners to list their home without the need to host open houses or coordinate repairs. Zillow will prepare the property for sale after it is purchased. This includes the same types of repairs as a normal seller. Then it will be listed on the open marketplace.

Zillow Offers suffered as the company tweaked its algorithms to grab higher share in a sellers’ market, overpaying for houses just when the prices were beginning to cool off. It was left with large inventories and decided to sell the company to concentrate on its core platform. The result was the loss of four percent of employees. This process is still ongoing.

Co-founder and CEO Rich Barton said the company is now focused on building a ‘housing super app’ to connect all the stakeholders in a market that’s still fragmented. Traffic growth at the company’s online platforms was flat at 198 million average monthly unique users in the December quarter.

Zillow has set a goal of $5 billion per year in sales and an EBITDA margin of 45% by 2025. Zillow’s adjusted loss per share was 41c, which is lower than what we expected.