Touring and Market Expansion
Disciplined Cost Structure Expected To Leverage Future Revenue Growth
Current cost base expected to drive operational leverage as we execute on our revenue growth pillars
Revenue
~$1B
Fixed Expenses
~25%-30%
Variable Expenses
Advertising
Adjusted EBITDA
Annualized run rate,
at the right fixed investment level
for current initiatives, expect to
grow with inflation
Expect to grow with revenue as
various growth pillars scale and
mature
Opportunistic for compelling.
growth situations
... 45% Adjusted EBITDA' target
margin as we grow revenue and
leverage fixed costs over time²
1. Zillow Group has not provided a quantitative reconciliation of this forecasted Zillow Adjusted EBITDA Margin to the most directly comparable GAAP measure within this presentation because the company is unable,
without making unreasonable efforts, to calculate certain reconciling items with confidence. For more information regarding the non-GAAP financial measures discussed in this presentation, see the appendix
slides.
2. This slide is provided for illustrative purposes to demonstrate one path toward achieving a 45% Adjusted EBITDA target margin based on the assumptions articulated in this slide. Please see Legal Disclosures (slide
2) for additional information about our forward-looking statements.
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