CoStar Group Interim Filing Shows Year-Over-Year Gains Across Revenue, Operating Income and Net Income, With the Year-to-Date Net Result Crossing Back Into Profit

Bottom line

, identified under accession 0001057352-26-000066 as a 10-Q for fiscal period period-ended-2026-06-30 (CIK 0001057352, ticker CSGP), shows a six-month year-to-date result that flipped from a loss to a profit and a three-month result that stayed profitable on a higher base than a year ago. 01 per diluted share USD/SHARES in the prior-year three-month period — an authorized increase, profit to profit. 02 per diluted share USD/SHARES in the prior-year six-month period — an authorized increase, loss to profit.

Net Income (Loss) Attributable to Parent tracks the same shape: $55,000,000 USD for the three-month reporting period (up from $6,000,000 USD, profit to profit), and $58,000,000 USD for the six-month year-to-date period versus a loss of -$9,000,000 USD in the prior-year six-month period (an authorized increase, loss to profit). Operating Income (Loss) also moved from a loss in the prior-year base periods to a profit in the current periods: $76,000,000 USD for the three-month reporting period versus -$27,000,000 USD (authorized increase, loss to profit), and $79,000,000 USD for the six-month year-to-date period versus -$70,000,000 USD (authorized increase, loss to profit).

Revenue from Contract with Customer, Excluding Assessed Tax was $925,000,000 USD for the three-month reporting period versus $781,000,000 USD, and $1,822,000,000 USD for the six-month year-to-date period versus $1,513,000,000 USD — in both cases an authorized increase on positive bases, period over period. The current quarter and the six-month year-to-date period both sit inside the three months ended June 30, 2026 and the six months ended June 30, 2026 respectively, with the three months ended June 30, 2025 and the six months ended June 30, 2025 supplying the comparative bases.

The financial-statement framing sits within Note 3, which carries the revenue recognition discussion the filing relies on. , and does not attribute the year-over-year changes to any single cause The filing evidence does not attribute this change to any single cause..

Financial performance

's interim filing on 10-Q covering period-ended-2026-06-30 and filed under 0001057352-26-000066. - Reported revenue was $1,822,000,000 USD for the six months ended June 30, 2026, compared with $1,513,000,000 USD for the six months ended June 30, 2025, again higher on a year-over-year basis. Readers comparing interim revenue trajectories across issuers can cross-check a peer example such as REINSURANCE GROUP OF AMERICA INC Posts Higher Revenue and Net Income in period-ended-2026-06-30 Filing alongside this report.

- Operating income was $76,000,000 USD for the three months ended June 30, 2026, compared with -$27,000,000 USD for the three months ended June 30, 2025, a year-over-year improvement and a transition from a loss in the prior-year quarter to a profit in the current quarter. The filing evidence does not attribute this change to any single cause. - Operating income was $79,000,000 USD for the six months ended June 30, 2026, compared with -$70,000,000 USD for the six months ended June 30, 2025, again an increase and a transition from a loss to a profit on the year-to-date basis.

The filing evidence does not attribute this change to any single cause. - Net income attributable to parent was $55,000,000 USD for the three months ended June 30, 2026, compared with $6,000,000 USD for the three months ended June 30, 2025, higher year over year on a profit-to-profit basis. - Net income attributable to parent was $58,000,000 USD for the six months ended June 30, 2026, compared with -$9,000,000 USD for the six months ended June 30, 2025, an increase and a transition from a loss in the prior-year half to a profit in the current half.

The filing evidence does not attribute this change to any single cause. 01 per diluted share USD per share for the three months ended June 30, 2025, a higher profit-to-profit reading. 02 per diluted share USD per share for the six months ended June 30, 2025, an increase and a transition from a loss to a profit on the year-to-date basis.

The filing evidence does not attribute this change to any single cause. - On a quarter-over-quarter lens, the management discussion presented in the filing does not provide a separate Q-over-Q bridge, so this section does not assert one; the quarter-versus-quarter_prior_year relationship above is the only sequential view that the cited note supports, and the only items-by-items reconciliation appearing in the interim package is the segment recast described in Note 4. - Guidance is also absent from the quoted interim package: the cited note discloses no forward outlook, no expected revenue range, no margin commentary, and no quantitative EPS expectation for the next quarter, so analyst expectations cannot be anchored to a management number set.

- Accounting context worth flagging: per Note 3, the Company changed its segment composition during a prior fourth quarter from geography-based to product-portfolio-based, with prior periods recast to conform, and per Note 4 the Company completed acquisitions of Matterport and Domain, which affect the post-acquisition mix reported in this filing. The filing evidence contains no peer or industry comparison. - Unknowns: the filing does not disclose segment-level revenue for the current quarter, does not break out organic versus inorganic contribution, and does not state acquisition-date purchase accounting, so any deeper attribution of the year-over-year gains is The filing evidence does not attribute this change to any single cause..

Operating drivers and segments

For COSTAR GROUP, INC. under 10-Q period-ended-2026-06-30, the income-statement evidence presented in this filing surfaces a single consolidated view, with no separately disclosed operating-segment revenue, segment operating income, or segment-level margin line items in the cited material. Revenue from Contract with Customer, Excluding Assessed Tax for the three-month reporting period the three months ended June 30, 2026 is $925,000,000, compared with $781,000,000 for the three months ended June 30, 2025, an authorised increase on a higher base. The six-month year-to-date revenue line is $1,822,000,000 against $1,513,000,000 for the six months ended June 30, 2025, also an authorised increase. Operating Income (Loss) for the three months ended June 30, 2026 is $76,000,000, a profit, against -$27,000,000, a loss, marking the authorised loss-to-profit transition at the consolidated level. The year-to-date Operating Income (Loss) for the six months ended June 30, 2026 is $79,000,000, a profit, versus -$70,000,000, a loss, again the authorised loss-to-profit transition. Because the filing presents only the consolidated total, the segment-movement narrative cannot be reconstructed from the filing evidence. The cited filing also notes that prior-period segment disclosures have been recast to conform to the current presentation, except where impracticable to do so, which further limits any like-for-like read on segment margins between the two reporting windows. The filing evidence contains no peer or industry comparison.

The filing evidence for this section does not contain management's narrative MD&A discussion of period drivers, segment performance, or margin direction, so no quoted explanation from management can be reproduced or weighed against the numbers. Readers seeking the company's own framing of the quarter and year-to-date results should consult the management discussion portion of 10-Q period-ended-2026-06-30, which is outside the evidence base for this section. Because no cause language from management is present in the cited material, there is no contrast available between management-stated drivers and the independent read of the figures. The filing evidence does not attribute this change to any single cause.

Cash flow and capital

- Operating cash generation over the six-month year-to-date period was positive in both the current the six months ended June 30, 2026 and the prior-year comparative the six months ended June 30, 2025, with the authorized direction showing an increase year over year; that comparison describes only the sign and authorized direction, not the magnitude, and no commentary on the underlying cause of the change is offered in the filing. - Investing activities produced a net cash outflow in both the six-month year-to-date period and the prior-year comparative, with the authorized direction showing the outflow narrowing year over year; the segment-presentation recast discussed in the cited note does not alter these investing-activities totals.

- Financing activities produced a net cash outflow in both the six-month year-to-date period and the prior-year comparative, with the authorized direction showing the outflow deepening year over year, consistent with continued return-of-capital activity during the current period. - Payments for Repurchase of Common Stock were positive in both the six-month year-to-date period and the prior-year comparative, with the authorized direction showing an increase year over year, indicating a larger cash deployment toward share repurchases in the current period.

- Payments to Acquire Property, Plant, and Equipment were positive in both the six-month year-to-date period and the prior-year comparative, with the authorized direction showing a decrease year over year, indicating a smaller capital-expenditure outflow in the current period. - Reported-facts framing: the operating, investing and financing cash-flow lines, the share-repurchase totals and the capital-expenditure totals above are drawn directly from the cash flow statement as filed; the operating-cash positive direction and the investing and financing negative directions are stated in the filing itself, and the year-over-year movements are only the authorized directions — no underlying driver is asserted by the issuer.

- Management explanations from the cited note address only the segment-presentation change and the revenue-recognition framework, not the year-over-year movements in operating, investing or financing cash flows, share repurchases, or capital expenditures. - Analyst inference is therefore limited: the cash-return profile of the current period is consistent with positive operating cash flow funding both a continued share-repurchase program and ongoing property, plant and equipment investment, while the investing outflow narrows and the financing outflow deepens; the relative sizing of these flows cannot be expressed from the catalog available to this section.

- Counter-evidence within the filing is limited; the cited note states the segment-recast did not affect the condensed consolidated statements of operations or other condensed consolidated financial statements, so the period-over-period cash-flow and capital-allocation comparisons remain comparable on the consolidated basis. - Unknowns include the components of the investing outflow beyond capital expenditures, the composition of the financing outflow beyond share repurchases, and any incremental debt activity; the filing does not break these out in a way the section can ground in the supplied keys, and any inference on causation is unavailable — The filing evidence does not attribute this change to any single cause..

- Balance-sheet anchors as of the balance sheet date of June 30, 2026 are reported as Cash and Cash Equivalents at Carrying Value of $1,266,000,000, Long-term Debt Excluding Current Maturities of $994,000,000, and Accounts Payable Current of $44,000,000, providing the liquidity, leverage and working-capital backdrop against which the cash-flow and capital-allocation actions above are taken. - Peer or industry comparison is not contained in the filing evidence — The filing evidence contains no peer or industry comparison.

— so any read-through to other subscription-based information-services issuers, including peers covered in related filings such as Broadcom Posts Higher Revenue, Operating Income, and Diluted EPS Year-Over-Year in the reporting period Filing, is not supported here.

Peer and historical context

- The catalog permits only one peer-style contrast: a like-for-like comparison against COSTAR GROUP, INC.'s own prior-year disclosures. Drawing a benchmark against other real-estate-data or marketplace subscription issuers is not permitted here, because the filing evidence contains no peer or industry comparison, and the catalog offers no third-party metric to support such a side-by-side. - Within that self-comparison, the directional pattern is uniform across revenue, operating income and net income: every authorized year-over-year pair moves higher, and the half-year operating and net-income lines also flip from a loss in the six months ended June 30, 2025 to a profit in the six months ended June 30, 2026. The quarter net-income pair remains profitable in both the three months ended June 30, 2025 and the three months ended June 30, 2026, so the half-year re-cross into profitability is the standout structural shift rather than a continuation of an already-profitable trend.

- The favorable pattern is partially offset by the cash-flow read-through. Operating cash flow is authorized to move higher year over year, but the line remains positive rather than negative, so the comparison is one of magnitude rather than a directional recovery; any inference that profitability improvement was matched by a swing from outflow to inflow would overstate the evidence. - The half-year net-income comparison sits on the most favorable authorized transition (loss to profit), while the quarter comparison is a profit-to-profit move of smaller qualitative weight; readers should not treat the two windows as equivalent signals, because the underlying starting condition was different. Operating income for the quarter follows the same profit-to-profit pattern at the company level once the prior-year quarter itself is read against the current quarter.

Scenario analysis

The base case assumes that COSTAR GROUP, INC. continues on the trajectory visible in the reported statements. Reported facts include revenue of $1,822,000,000 for the six months ended June 30, 2026 versus $1,513,000,000 for the six months ended June 30, 2025, with revenue of $925,000,000 for the three months ended June 30, 2026 versus $781,000,000 for the three months ended June 30, 2025. Net income attributable to parent was $58,000,000 for the six months ended June 30, 2026 versus -$9,000,000 for the six months ended June 30, 2025, and $55,000,000 for the three months ended June 30, 2026 versus $6,000,000 for the three months ended June 30, 2025. The catalog authorizes stating that revenue moved higher year-over-year in both the half-year and quarter comparisons, that net income moved higher year-over-year in both comparisons, that the half-year net income comparison is a transition from a loss to a profit, and that the quarter net income comparison is a transition from a profit to a profit. The base case treats these authorized transitions as the central operating outcome and assumes continuation of the subscription-based revenue recognition pattern described in Note 3, where subscription services are recognized on a straight-line basis over the contract term and transaction-based services are recognized when the promised product or service is delivered. In this case, the amortization of capitalized sales commissions over the period of benefit determined to be three years continues as the principal cost-deferral mechanism discussed in Note 4, and the cost-of-revenue composition described there (salaries, stock-based compensation, intangible amortization, hosting, third-party data, and camera costs) continues to frame margin economics. The filing evidence does not attribute this change to any single cause.

The upside case layers on the possibility that the subscription book recognized under Note 3 expands faster than the base trajectory implies, that ad hoc products, Matterport capture services, and Ten-X Auctions revenue recognized at point-in-time deliver in line with the half-year and quarter revenue comparatives cited above, and that capital allocation under Item 2 (including the share repurchase activity discussed in the same item) supports per-share metrics without altering the underlying subscription run-rate. In this scenario, revenue of $925,000,000 relative to $781,000,000 and net income of $55,000,000 relative to $6,000,000 extend their authorized higher trajectory, while the half-year transition from the prior-year loss to $58,000,000 reflects realized deferred-revenue recognition described under Note 3 rather than one-time benefit. The downside case assumes that deferred revenue balances behave less favorably than the base, that point-in-time revenue items underperform, that the cost mix described in Note 4 weighs on reported net income, and that authorized decreases in cash flow lines and in payments to acquire property, plant, and equipment cited in the authorized comparisons constrain flexibility. In this scenario, $55,000,000 relative to $6,000,000 still registers an authorized higher year-over-year direction but with a thinner gap, and the half-year transition to a profit holds but is more reliant on the amortization of capitalized sales commissions over the three-year period of benefit noted under Note 4. The filing evidence does not attribute this change to any single cause. Counter-evidence in either case would appear first in deferred-revenue movement and in the balance between subscription billings and recognized revenue under Note 3. The filing evidence contains no peer or industry comparison. The filing evidence does not disclose segment-level detail for this dimension.

Risks and what to watch

Reported facts - The filing's three-month revenue for the period was $925,000,000 USD, higher than the prior-year quarter's $781,000,000 USD, and the six-month year-to-date revenue was $1,822,000,000 USD, higher than the prior-year year-to-date $1,513,000,000 USD. - The filing's three-month net income attributable to parent was $55,000,000 USD, higher than the prior-year quarter's $6,000,000 USD; the six-month year-to-date net income attributable to parent was $58,000,000 USD, higher than the prior-year year-to-date -$9,000,000 USD.

Management explanations - Management describes the cost of revenue as principally salaries, benefits, bonuses, stock-based compensation expenses, and other indirect costs for the researchers who collect and analyze the real estate data underlying the Company's services, plus amortization of acquired trade names, technology, and certain other intangible assets, product hosting costs, credit card and other transaction fees, third-party data costs, costs of capture services, and costs of Matterport cameras sold, per the cited note. - Management explains that sales commissions deemed incremental to obtaining a contract are deferred and amortized as selling and marketing expense over a period of benefit the Company has determined to be three years, per the cited note. - Management notes that the functional currency for the majority of operations is the local currency, with certain international locations using the British Pound or U.S. dollar, and that translation gains and losses are included in accumulated other comprehensive income, while transaction gains and losses denominated in a currency other than the functional currency are included in other income, expense, net.

Analyst inference - Year-over-year revenue and net income both improved for the quarter and the year-to-date, and the year-to-date period also moved from a loss to a profit on the net income line. - The combination of foreign-currency translation exposure and the use of amortization periods tied to technology and proprietary data means reported margins depend on assumptions about asset lives and renewal rates.

Counter-evidence - The prior-year year-to-date shows a loss on the net income line, which can flatter any simple comparison with the current profit; current-period results therefore need to be read against the prior loss rather than against a normalized baseline. - No counter-evidence to the reported growth in revenue or net income is disclosed in the quoted material.

Unknowns - Segment-level drivers of the revenue and net income change are not disclosed here. The filing evidence does not disclose segment-level detail for this dimension. - No peer or industry comparison is provided in this filing. The filing evidence contains no peer or industry comparison. - A single, identified cause for the year-over-year change in revenue or net income is not stated. The filing evidence does not attribute this change to any single cause.

Metrics to watch next period - Whether the three-month revenue and net income trend continues, and whether the year-to-date net income stays in profit rather than reverting. - The mix between organic and acquired revenue, given the reference to acquired trade names, technology, and intangible assets in cost of revenue. - The level of stock-based compensation and amortization within cost of revenue, since management lists these as principal components. - The size and direction of capitalized sales commissions and the assumed three-year amortization period, which affects reported selling and marketing expense. - The impact of foreign-currency translation on accumulated other comprehensive income and on other income, expense, net, given the multi-currency exposure described. - Items discussed under the risk factors and other information sections, including legal proceedings and any new commitments, per the cited item.