Company: HOUS
Filing Date: 2025-02-25
Form Type: 10-K
Source: 0001398987-25-000020
Chunk: 15

Company: Anywhere Real Estate Inc.
Filing Date: 2025-02-25
Form: 10-K
Item: Item 7
Chunk 15
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 result of an increase in the average fee per closing unit, offset by lower equity in earnings and higher employee-related and other operating costs.

The Company updated its calculation of Operating EBITDA to include adjustments for non-cash stock-based compensation and legal contingencies unrelated to normal operations which currently includes industry-wide antitrust lawsuits and class action lawsuits to conform with similar adjustments and measures disclosed by industry competitors. We believe this updated Operating EBITDA better facilitates comparisons of operating performance across companies. These changes have been applied retrospectively to prior periods to ensure consistency and comparability. While these adjustments do not materially impact segment-level trends or previously reported trends, they have a more significant effect on Corporate and Other, as outlined in the table below: 

For the Year EndedCorporate and Other Operating EBITDA (as previously disclosed in the 2023 Form 10-K)Non-cash Stock-based CompensationLegal ContingenciesCorporate and Other Operating EBITDADecember 31, 2023$(166)$11 $34 $(121)December 31, 2022(144)13 53 (78)

Corporate and Other Operating EBITDA declined $4 million to a loss of $125 million for the year ended December 31, 2024 compared to 2023 and declined $43 million to a loss of $121 million for the year ended December 31, 2023 compared to 2022 primarily due to higher employee incentive accruals.

Anywhere Brands—Franchise Group

Revenues decreased $22 million to $961 million and Operating EBITDA decreased $6 million to $521 million for the year ended December 31, 2024 compared with 2023.

Revenues decreased $22 million primarily due to a $21 million decrease in revenue from our relocation operations and leads business as a result of lower volume. Furthermore, brand marketing fund revenue and related expense decreased $7 million primarily due to lower advertising costs during 2024 as compared to 2023. These decreases in revenue were partially offset by a $3 million increase in intercompany royalties received from Owned Brokerage Group, a $2 million increase in international and other franchise revenue and a $1 million increase in third-party domestic franchisee royalty revenue driven by an 8% increase in average homesale price, partially offset by a 3% decrease in existing homesale transactions and a decline in the average homesale broker commission rate.

Franchise Group's revenue includes intercompany royalties received from Owned Brokerage Group of $304 million and