IPO: Compass Unveils S-1 Filing, To List On NYSE
After confidentially filing for an initial public offering (IPO) this January, the venture-backed online real estate listings company Compass has…
After confidentially filing for an initial public offering (IPO) this January, the venture-backed online real estate listings company Compass has now publicly released its S-1 filing with the US SEC, giving a peek into its financials and operational stats with information not publicly-known before, and we’re here with noteworthy bits from the company’s S-1 filing.
Bits from Compass’s S-1 filing;
- Compass reported $3.7 billion in revenue in 2020, compared to $2.4 billion in the previous year, 2019. The company’s revenue grew sporadically from $187 million in 2016 to around 20 times that amount in 2020.
- Compass isn’t profitable, reporting a net loss of $270.2 million in 2020, down from $388 million in 2019. The company hasn’t posted annual profits in the past consecutive five years.
- Compass’ biggest annual operating expense comes from ‘commission and other transaction-related expenses’ while the second-biggest expense lies in sales and marketing. The company definitely pays a lot of dough to its army of over 18,000 real estate agents in the US, making it unsurprising that commissions are a major expense for the company.
- Compass’ CEO Robert Reffkin is one of the highest-paid executives in the US, drawing a compensation package of $69.3 million in 2020 alone. He tops that of his fellow CEO at another IPO-bound company, the crypto exchange Coinbase whose recent S-1 filing revealed a $60 million pay package for its CEO in 2020.