Anywhere Real Estate Inc.

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Thank you, operator. On the call with me today are Anywhere CEO and President Ryan Schneider and CFO Charlotte Simonelli. On September 22nd, Compass and Anywhere jointly announced the signing of a definitive merger agreement to combine in an all-stock transaction. The merger is expected to close in the second half of 2026, subject to approval by both companies' shareholders and the satisfaction of customary closing conditions, including receipt of regulatory approvals. As is typical in situations where there's a pending merger, The company is suspending its forward guidance, and we will no longer provide an update on how it's tracking towards its prior guidance. However, we will continue to share updates on our execution towards the $100 million cost savings target. Deal-related expenses will be excluded from operating EBITDA and added to the restructuring and merger-related cost line item. While employee non-cash stock-based compensation is added back to operating EBITDA, cash settled compensation expense is not. Long-term incentives are comprised of cash-settled restricted stock units, performance and time-based awards. Of these awards, a substantial portion of the long-term cash-settled awards granted by Anywhere to select employees is marked to market each period based upon the company's stock price, which increased appreciably during the third quarter of 2025. To support peer comparisons, we have provided a breakdown of expenses related to our long-term cash-settled compensation expense. Any forward-looking statements made during today's call are based on current expectations in the current economic environment. Forward-looking statements are inherently subject to significant economic, competitive, antitrust, and other litigation, regulatory, and other uncertainties and contingencies, many of which are beyond the control of management, including, among others, industry and macroeconomic developments. Important assumptions and factors that can cause actual results to differ materially from those in the forward-looking statements are specified in our earnings release dated today, as well as our annual and quarterly SEC filings. Unless stated otherwise, growth figures should be assumed to be year-over-year. Switching to some call logistics definitions and data points. October month and date is through October 27, 2025, with both open and closed volume comparisons based on the same number of business days in October 2025 and October 2024. Growth in business recruited pursuant to other productive agent recruiting program at advisors is measured using the estimated last 12-month closed gross commission income of the new agents prior to joining Anywhere. The top half of agents retained at advisors is measured using the amount of production generated by agents remaining with the company a year following an initial 12-month measuring period based on the gross commission income generated during that initial measuring period. For those who listened to the rebroadcast of this presentation, we remind you that the remarks made herein as of today, November 4th, have not been updated after the initial earnings call. Lastly, we are limited in the level of detail we can provide at this stage in the merger, and we'll keep you updated through our normal disclosure channels. As such, the company will not be taking any questions following the conference call. Now, I will turn the call over to our CEO and President, Ryan Schneider.

Thank you, Tom. Good morning, everyone, and thank you for joining us today. On our second quarter call, we outlined our intent to drive meaningful innovation across the real estate experience. A literal over 90 days later, we have taken an important step forward. The proposed merger with Compass advances that journey. By bringing together two of the most innovative and respected organizations in real estate, anywhere in Compass, we expect to create a platform where agents, franchisees, and employees can thrive. while delivering even greater value to home buyers and sellers across every phase of the transaction. Importantly, we expect that this can be done while preserving the unique independence and identity of each leading brand. We believe this transaction will deliver the best possible outcome for our customers, agents, franchisees, investors, and employees. With that, let me step back and provide some details about how we executed in the quarter. We delivered 1.6 billion of revenue, up 6%, and 100 million of operating EBITDA. Excluding employee cash settled RSU awards, which rose significantly as our stock price nearly tripled in the quarter, operating EBITDA would have been 24 million higher. Q3 closed transaction volume was up 7%, with the first growth in units since Q4 of 2024. These results show the sustained momentum we demonstrated in Q2 and outperformed NAR's volume growth by over two percentage points in the quarter. Our outlook for the fourth quarter is positive. September saw a 9% increase in open volume. This upward trend continued into October, with closed volume increasing 9% and open volume increasing 6%. And all of these metrics show growth in transaction units. signaling healthier growth prospects for the remainder of the year. Our industry-leading luxury businesses, anchored by Sotheby's International Realty, Corcoran, and Caldwell Banker Global Luxury, continue to be a strategic growth engine. Luxury delivered 12% year-over-year volume growth in the quarter, driven by a 9% increase in units and a 3% increase in price. We sold 345 homes priced $10 million or higher in Q3 a 30% increase from the prior year. Beyond our success and luxury, we continue to build our agent engine and grow our diversified revenue streams. We are seeing improving momentum in our advisors business with revenue of 7% driven by robust agent recruiting and near record retention of productive agents as our compelling value proposition continues to resonate with great agents across the country. Advisors recruited nearly 500 productive agents in the quarter and saw 12% year-over-year growth in business recruited. And we are having even greater success retaining top talent in this highly competitive market, with advisors' agent retention reaching nearly 95% among the top half of producing agents in Q3. This is among the highest rates we have ever achieved, with even stronger retention in our luxury brand. We are also seeing growth across our franchise title and escrow and Cardiff relocation operations, reflecting the strength of our diversified model. In Q3, Anywhere Brands revenue increased 2%, supported by growth in our high margin franchise business, which welcomed 13 new US franchisees and one international expansion. Title Group revenue grew by 7% as our full service title and escrow business, including our minority owned mortgage joint venture, remains a key driver of the integrated transaction. Title revenue is unit-driven, so the increase in transaction units this quarter is encouraging, especially given that we generate approximately $3,500 per unit. And our Cardus relocation business, which serves nearly a third of the Fortune 100 companies, continues to grow with eight new clients and expanded services for over 70 clients in Q3. while also driving downstream revenue by providing high-quality leads to our agents and franchisees. Now, in addition to driving growth, we remain focused on accelerating our aggressive AI agenda, deploying generative AI at scale across many parts of our business to drive better experiences faster and at lower cost. Since we last spoke, we launched an AI-powered tool that extracts and inputs listing agreements directly into our systems, reducing the time it takes agents to enter a new listing from 10 to 15 minutes to under 60 seconds. This not only saves time, but also optimizes workflows, allowing agents to focus more on serving their clients and closing deals. Building on that success, we are leveraging the same technology in our buyer agreements to streamline data entry and automate primary service lead generation. As we shared in prior quarters, we see an opportunity to turn the buyer's agreements, a perceived market risk, into an opportunity by leveraging it to promote our differentiated service offerings. Our mortgage and title pilots are now rolled out in relevant markets across our national footprint, with mortgage capture up 2.5 percentage points and title results still pending. By improving the end-to-end integrated transaction experience, We can enhance customer service and increase revenue. Our strategic use of AI continues to set us apart, earning Anywhere Real Estate the distinction of best use of AI by a brokerage for the second consecutive year from a leading real estate publication. In addition to this honor, several of our brands were also recognized for their innovative application of AI in marketing, reinforcing our position as a technology forward leader in the industry. So we are excited to be here in November delivering strong results for the quarter, improved growth momentum, and clear execution against our strategy. With that, let me turn the call over to Charlotte.