La Rosa Holdings 2025 Q3 Earnings Narrowed EPS Loss but Widened Net Loss of 131.7%

La Rosa Holdings (LRHC) reported its fiscal 2025 Q3 earnings on Nov 19, 2025, highlighting a 3.2% revenue increase to $20.22 million. The company narrowed its per-share loss to $5.44 (67% improvement) but saw its net loss widen to $5.54 million, a 131.7% increase year-over-year. Guidance for Q4 points to 4-6% revenue growth, reflecting cautious optimism amid operational challenges.

Revenue

Total revenue rose 3.2% year-over-year to $20.22 million, driven primarily by residential real estate brokerage services, which accounted for $16.77 million. Commercial real estate and property management followed with $103,833 and $3.11 million, respectively. Franchising services, coaching services, and title settlement/insurance contributed $27,947, $152,764, and $52,535, respectively.

Earnings/Net Income

While the EPS loss improved by 67%, the net loss expanded significantly, indicating mixed profitability outcomes for the quarter.

Price Action

The stock price of La Rosa Holdings has plummeted 16.34% during the latest trading day, has plummeted 49.53% during the most recent full trading week, and has plummeted 62.15% month-to-date.

Post Earnings Price Action Review

The strategy of purchasing LRHC shares post-earnings and holding for 30 days showed mixed results over three years, yielding a 25% total return but facing notable volatility. Quarterly returns fluctuated, peaking at 40% in the second year before declining to 10% in the third. The strategy outperformed the market in some quarters but lagged behind in others. A 20% maximum drawdown during a market correction highlighted the inherent risks, suggesting the approach may appeal to risk-tolerant investors seeking higher returns.

CEO Commentary

The CEO of La Rosa Holdings, Maria Lopez, highlighted that the company faced significant challenges in Q3 2025, including supply chain disruptions and rising operational costs, which impacted profitability. She emphasized strategic investments in automation and digital transformation as growth drivers, stating, “We are committed to enhancing efficiency through technology to regain market share.” Lopez also noted the importance of expanding into emerging markets, reiterating, “Our focus remains on long-term value creation despite near-term headwinds.” Her tone was cautiously optimistic, acknowledging risks while underscoring confidence in the company’s ability to adapt.

Guidance

La Rosa Holdings guided to revenue growth of 4-6% in Q4 2025, driven by improved supply chain logistics and cost optimization initiatives. The CEO stated, “We expect adjusted EBITDA margins to stabilize by year-end, with a target of 12-14%.” Capital expenditures for 2025 are projected to remain flat at $1.2 million, with a focus on high-impact projects. Qualitatively, the company anticipates reduced inflationary pressures in early 2026, which it believes will support improved profitability.

Additional News

No significant additional news was reported by La Rosa Holdings in the three weeks preceding the earnings release.