Shares of Compass, Inc. (COMP) surged 5.26% in after-hours trading on Wednesday, following the release of the company's impressive second-quarter 2025 financial results and optimistic future guidance. The real estate technology company's performance exceeded market expectations, driving investor enthusiasm.
Compass reported a Q2 revenue of $2.06 billion, surpassing the analyst consensus estimate of $2.05 billion. The company's earnings per share (EPS) came in at $0.07, slightly below the expected $0.08 but still showcasing significant year-over-year improvement from $0.04 in the same quarter last year. Notably, Compass achieved a net income of $39.2 million and an operating income of $39.4 million for the quarter, demonstrating strong profitability.
Adding to the positive sentiment, Compass provided an upbeat outlook for the third quarter, projecting revenue between $1.725 billion and $1.850 billion. The company also expects to be free cash flow positive for the full year 2025, a key milestone for investors. This optimistic guidance, coupled with the strong Q2 results, likely contributed to the stock's after-hours rally. Furthermore, earlier in the day, unusually high call option activity was detected, indicating bullish sentiment among traders ahead of the earnings release.