Zillow Q4 Profit Misses Estimate; Revenue Beats

(RTTNews) - Online real estate marketplace Zillow, Inc. (Z) net loss for the fourth quarter of $10.9 million or $0.27 per share, compared to net income of $2.7 million or $0.06 per share for the year-ago quarter.

The latest quarter results include the impact of $8.1 million or $0.20 per share of acquisition-related costs due to the company's acquisition of smaller rival Trulia, Inc. (TRLA).

Excluding items, adjusted earnings for the fourth quarter were $10.4 million or $0.24 per share, compared to $8.1 million or $0.19 per share in the prior year quarter.

Revenue for the fourth quarter rose 58% to a record $92.33 million from $58.35 million in the same quarter last year.

Analysts polled by Thomson Reuters expected the company to earn $0.28 per share on revenue of $90.01 million for the fourth quarter. Analysts' estimates typically exclude special items.

In addition, Zillow said that it expects to close the acquisition of Trulia as early as February 17, following notification from the Federal Trade Commission that it has closed its investigation.

In July 2014, Zillow agreed to buy Trulia in a stock-for-stock deal valued then at about $3.5 billion. Following the closure of the deal, Zillow shareholders will own about 67% of the combined company, while Trulia shareholders will own about 33%.

Zillow shares are gaining 5.16% in after hours trading after closing the day's regular trading session at $106.50, up $1.75 or 1.67%.