Zillow is rising on to a positive outlook and a faster-than-expected sale of homes in its portfolio.

      Zillow is rising on to a positive outlook and a faster-than-expected sale of homes in its portfolio.

Rich Barton and Lloyd Frink, Microsoft former executives and founders of Microsoft spin-off Expedia; Spencer Rascoff, a co-founder of Hotwire.com; David Beitel, Zillow's current chief technology officer; and Kristin Acker, Zillow's current senior vice president of experience design, founded Zillow in 2006.

Barton now serves as the CEO of Zillow, Inc.

The Zillow Group is reinventing real estate to make it easier to move on to the next chapter of one's life.

Zillow and its affiliates, as the most-visited real estate website in the United States, provide customers with an on-demand experience for renting, buying, selling, and financing which is transparent and practically frictionless from beginning to end. In dozens of markets throughout the country, Zillow Offers buys and sells houses directly, giving sellers control over their schedule. Our affiliate lender, Zillow Home Loans, makes it simple for our consumers to become pre-approved and secure finance for their next home purchase. To simplify Zillow Offers transactions, Zillow recently formed Zillow Homes, Inc., a licensed brokerage business.

Zillow, Zillow Offers, Zillow Premier Agent, Zillow Home Loans, Zillow Closing Services, Zillow Homes, Inc., Trulia, Out East, StreetEasy, HotPads, and ShowingTime are just a few of the Zillow Group's brands, affiliates, and subsidiaries.

Increased Profits as a Result of Increased Sales

Zillow stock rose as much as 20% in extended trading on Thursday after the internet real estate company announced it is exiting the home-flipping business faster and more cost-effectively than it had anticipated.

The company's fourth-quarter earnings announcement comes after a failed attempt to get into the iBuying, or immediate buying, sector, in which it bought homes directly from owners. In November, Zillow announced its exit from the business, conceding that its algorithms were unable to reliably estimate house prices, putting the company's future in jeopardy.

The company has lost $261 million in the fourth quarter and $528 million overall, with the house's unit accounting for the whole loss. However, Zillow reported that it sold 8,353 houses during the quarter, above its forecast of 5,000 sales, and concluded the quarter with nearly 10,000 homes in inventory.

According to Refinitiv, the revenue of $3.88 billion for the fourth quarter was well above the $2.98 billion average analyst estimate due to a faster pace of home sales. The iBuying section generates more than 85% of revenue, with the balance coming from its house listings group, which is termed internet, media, and technology (IMT).

According to FactSet, revenue in IMT climbed 14% to $483.2 million in the fourth quarter, just beating the $481.9 million average estimate.

Zillow estimates overall revenue of $3.12 billion to $3.44 billion in the first quarter. Revenue was expected to be $3.26 billion, according to analysts.

Zillow is refocusing on the marketplace, bringing together buyers and sellers with tools and technology to make the process easier. Working with a large network of agents and assisting customers with their mortgages are examples of this.

By 2025, the company plans to generate $5 billion in revenue with a 45 percent adjusted profit margin.

After hours, the stock reached a high of $59.04. It was down 24% this year as of Thursday's end.

So, we can safely say that Zillow is rising on to a positive outlook and a faster-than-expected sale of homes in its portfolio.