Sam Boughedda

Investing.com — Zillow Group NASDAQ: Stock fell more than 12% on Friday. Following the close of Thursday’s trading, the company announced earnings, which beat forecasts, but disappointed in guidance.

Online real estate market revenue was $4.3 billion. This is more than the $3.36 Billion estimate. The first quarter’s consolidated net income reached $16 millions

The company, however, sent a note to shareholders stating that although forecasts can vary widely, it is certain that there is no clear path for the housing market in 2022.

They stated that inventory levels are low and new listings for sale remain lower year-over-year. Additionally, our average page views per listing reached record heights in Q1 which demonstrates the continuing supply-demand imbalance.

Homes segment revenue of $3.7 billion exceeded the company’s outlook.

Zillow’s revenue jumped recently as the company unwinds its iBuying business. Zillow bought 23,1 and sold 8,981 houses in the quarter’s first quarter. The period concluded with 1,300 homes remaining, according to executives who sent a letter of appreciation to shareholders.

The company’s homes segment revenue was driven by a higher-than-expected number of homes sold in the first quarter — 8,981 homes sold. They also purchased 231 houses during this period.

Zillow announced that “as of January 31, 2022 we are not longer acquiring houses.”

It expects that second-quarter revenue will range between $903million and $1.03billion, which is lower than the average of $1.83billion.