What caused FTHM's earnings to rebound in Q4 2024?

Fathom Holdings Inc. (FTHM) experienced a rebound in earnings in Q4 2024 due to several key factors: 1. **Revenue Growth**: Despite a slight decline in gross commission income, FTHM saw an overall revenue increase, with total revenue reaching $91.7 million, up from $74.1 million in the same period last year, indicating a 24% year-over-year growth. This growth was primarily driven by an increase in real estate transactions and a strategic expansion of its agent network. 2. **Strategic Focus**: FTHM's focus on expanding its agent network and increasing real estate transactions contributed significantly to the revenue growth. The company reported a 21% increase in its agent count, reaching 14,300 licenses. This strategic move helped to boost transaction volumes and, consequently, revenue. 3. **Financial Resilience**: Despite a challenging market environment, FTHM demonstrated resilience, showing an improvement in gross profit to $6.7 million, up 25% year-over-year. This improvement suggests enhanced operational efficiency and cost management. 4. **New Revenue Streams**: FTHM's mortgage loans and title service transactions saw a notable increase, resulting in a 3.1% rise in other service revenue to $20.4 million. The growth in these segments contributed to the overall revenue growth and helped offset some of the challenges faced by the company. In summary, FTHM's earnings rebound in Q4 2024 can be attributed to a combination of strategic growth initiatives, operational efficiency, and the emergence of new revenue streams. These factors collectively contributed to the company's financial resilience and profitability during the period.