SEC Form 10-Q filed by Angi Inc.

5/6/25 4:19:07 PM ET

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Table of Contents

As filed with the Securities and Exchange Commission on May 6, 2025

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q


☒			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the Quarterly Period Ended March 31, 2025


☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from__________to__________

Commission File No. 001-38220

Angi Inc.

(Exact name of Registrant as specified in its charter)


Delaware						82-1204801
(State or other jurisdiction of incorporation or organization)						(I.R.S. Employer Identification No.)

3601 Walnut Street, Denver, CO 80205

(Address of registrant’s principal executive offices)

(303) 963-7200

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading Symbol

Name of exchange on which registered

Class A Common Stock, par value $0.001

ANGI

The Nasdaq Stock Market LLC

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

☒

Accelerated filer

☐

Non-accelerated filer

☐

Smaller reporting company

☐

Emerging growth company

☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

As of May 2, 2025, the following shares of the registrant’s common stock were outstanding:


Class A Common Stock			47,986,953
Class B Common Stock			—
Class C Common Stock			—
Total outstanding Common Stock			47,986,953

TABLE OF CONTENTS


		Page Number
PART I
Item 1.	Consolidated Financial Statements
	Consolidated Balance Sheet	3
	Consolidated Statement of Operations	4
	Consolidated Statement of Comprehensive Operations	5
	Consolidated Statement of Shareholders’ Equity	6
	Consolidated Statement of Cash Flows	7
	Notes to Consolidated Financial Statements
	Note 1—The Company and Summary of Significant Accounting Policies	8
	Note 2—Financial Instruments and Fair Value Measurements	11
	Note 3—Long-term Debt	12
	Note 4—Accumulated Other Comprehensive Income	13
	Note 5—Segment Information	13
	Note 6—Income Taxes	18
	Note 7—Earnings (Loss) Per Share	20
	Note 8—Financial Statement Details	21
	Note 9—Contingencies	22
	Note 10—Related Party Transactions	22
	Note 1 1 —Subsequent Events	23

Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	24
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	36
Item 4.	Controls and Procedures	37
PART II
Item 1.	Legal Proceedings	38
Item 1A.	Risk Factors	38
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	40
Item 5.	Other Information	40
Item 6.	Exhibits	42
	Signatures	44

Table of Contents

PART I

FINANCIAL INFORMATION

Item 1. Consolidated Financial Statements

ANGI INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEET

(Unaudited)


	March 31, 2025		December 31, 2024
	(In thousands, except par value amounts)
ASSETS
Cash and cash equivalents	$	386,564	$	416,434

Accounts receivable, net	40,475		36,670
Other current assets	38,171		41,981

Total current assets	465,210		495,085

Capitalized software, leasehold improvements and equipment, net	83,885		79,564
Goodwill	885,580		883,440
Intangible assets, net	168,079		167,662
Deferred income taxes	169,605		169,073
Other non-current assets, net	33,175		35,911

TOTAL ASSETS	$	1,805,534	$	1,830,735

LIABILITIES AND SHAREHOLDERS’ EQUITY
LIABILITIES:

Accounts payable	$	28,684	$	18,319
Deferred revenue	35,341		42,008
Accrued expenses and other current liabilities	152,026		171,351

Total current liabilities	216,051		231,678

Long-term debt, net	497,041		496,840

Deferred income taxes	1,533		1,500
Other long-term liabilities	41,869		37,916




Commitments and contingencies

SHAREHOLDERS’ EQUITY:
Class A common stock, $0.001 par value; authorized 2,000,000 shares; issued 53,900 and 11,295 shares, respectively, and outstanding 49,538 and 7,579, respectively	537		113
Class B convertible common stock, $0.001 par value; authorized 1,500,000 shares; no shares and 42,202 shares issued and outstanding, respectively	—		422
Class C common stock, $0.001 par value; authorized 1,500,000 shares; no shares issued and outstanding	—		—
Additional paid-in capital	1,444,580		1,465,640
Accumulated deficit	(179,909)		(195,015)
Accumulated other comprehensive income (loss)	384		(2,495)
Treasury stock, 4,362 and 3,716 shares, respectively	(216,552)		(205,864)


Total shareholders’ equity	1,049,040		1,062,801
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$	1,805,534	$	1,830,735

The accompanying Notes to Consolidated Financial Statements are an integral part of these statements.

ANGI INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENT OF OPERATIONS

(Unaudited)


	Three Months Ended March 31,
	2025		2024
	(In thousands, except per share data)
Revenue	$	245,913	$	305,390
Cost of revenue (exclusive of depreciation shown separately below)	13,015		12,497
Gross profit	232,898		292,893
Operating costs and expenses:
Selling and marketing expense	118,541		157,051
General and administrative expense	57,319		85,521
Product development expense	27,087		23,756
Depreciation	9,948		23,849

Total operating costs and expenses	212,895		290,177
Operating income	20,003		2,716
Interest expense	(5,044)		(5,038)
Other income, net	4,828		4,484
Earnings before income taxes	19,787		2,162
Income tax provision	(4,681)		(3,479)


Net earnings (loss)	15,106		(1,317)
Net earnings attributable to noncontrolling interests	—		(314)
Net earnings (loss) attributable to Angi Inc. shareholders	$	15,106	$	(1,631)





Per share information attributable to Angi Inc. shareholders:
Basic earnings (loss) per share	$	0.30	$	(0.03)
Diluted earnings (loss) per share	$	0.30	$	(0.03)

Stock-based compensation expense by function:

Selling and marketing expense	$	636	$	1,232
General and administrative expense	(6,847)		7,193
Product development expense	3,924		972
Total stock-based compensation expense	$	(2,287)	$	9,397

The accompanying Notes to Consolidated Financial Statements are an integral part of these statements.

ANGI INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENT OF COMPREHENSIVE OPERATIONS

(Unaudited)


	Three Months Ended March 31,
	2025		2024
	(In thousands)
Net earnings (loss)	$	15,106	$	(1,317)
Other comprehensive income (loss):
Change in foreign currency translation adjustment	2,879		(781)

Total other comprehensive income (loss)	2,879		(781)
Comprehensive income (loss)	17,985		(2,098)
Components of comprehensive income attributable to noncontrolling interests:
Net earnings attributable to noncontrolling interests	—		(314)
Change in foreign currency translation adjustment attributable to noncontrolling interests	—		36
Comprehensive income attributable to noncontrolling interests	—		(278)
Comprehensive income (loss) attributable to Angi Inc. shareholders	$	17,985	$	(2,376)

The accompanying Notes to Consolidated Financial Statements are an integral part of these statements.

ANGI INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY

Three Months Ended March 31, 2025 and 2024

(Unaudited)



		Class A Common Stock $0.001 Par Value					Class B Convertible Common Stock $0.001 Par Value					Class C Common Stock $0.001 Par Value												Total Angi Inc. Shareholders' Equity

																				Accumulated Other Comprehensive Income (Loss)								Total Shareholders' Equity
																Additional Paid-in Capital		Accumulated Deficit				Treasury Stock				Noncontrolling Interests
	$			Shares		$			Shares		$			Shares
	(In thousands)
Balance as of December 31, 2024		$	113		11,295		$	422		42,202		$	—		—	$	1,465,640	$	(195,015)	$	(2,495)	$	(205,864)	$	1,062,801	$	—	$	1,062,801
Net earnings		—			—		—			—		—			—	—		15,106		—		—		15,106				15,106
Other comprehensive income		—			—		—			—		—			—	—		—		2,879		—		2,879				2,879
Stock-based compensation expense		—			—		—			—		—			—	(652)		—		—		—		(652)		—		(652)
Issuance of common stock pursuant to stock-based awards, net of withholding taxes		1			283		—			—		—			—	(4,573)		—		—		—		(4,572)		—		(4,572)
Issuance of common stock to IAC pursuant to the employee matters agreement		1			120		—			—		—			—	(1)		—		—		—		—		—		—
Purchase of treasury stock		—			—		—			—		—			—	—		—		—		(10,688)		(10,688)		—		(10,688)
Transfer and conversion of common shares related to IAC CEO Employment Transition Agreement		5			501		(5)			(501)		—			—	—		—		—		—		—		—		—
Conversion of shares related to the Distribution		417			41,701		(417)			(41,701)		—			—	—		—		—		—		—		—		—
Adjustment pursuant to the tax sharing agreement with IAC as part of the Distribution		—			—		—			—		—			—	(17,960)		—		—		—		(17,960)		—		(17,960)

Other		—			—		—			—		—			—	2,126		—		—		—		2,126		—		2,126
Balance as of March 31, 2025		$	537		53,900		$	—		—		$	—		—	$	1,444,580	$	(179,909)	$	384	$	(216,552)	$	1,049,040	$	—	$	1,049,040

Balance as of December 31, 2023		$	107		10,685		$	422		42,202		$	—		—	$	1,447,353	$	(231,019)	$	1,187	$	(177,283)	$	1,040,767	$	3,741	$	1,044,508
Net (loss) earnings		—			—		—			—		—			—	—		(1,631)		—		—		(1,631)		314		(1,317)
Other comprehensive loss		—			—		—			—		—			—	—		—		(745)		—		(745)		(36)		(781)
Stock-based compensation expense		—			—		—			—		—			—	11,019		—		—		—		11,019		—		11,019
Issuance of common stock pursuant to stock-based awards, net of withholding taxes		2			202		—			—		—			—	(3,266)		—		—		—		(3,264)		—		(3,264)

Purchase of treasury stock		—			—		—			—		—			—	—		—		—		(6,700)		(6,700)		—		(6,700)



Other		—					—			—		—			—	(422)		—		—		—		(422)		—		(422)
Balance as of March 31, 2024		$	109		10,887		$	422		42,202		$	—		—	$	1,454,684	$	(232,650)	$	442	$	(183,983)	$	1,039,024	$	4,019	$	1,043,043

The accompanying Notes to Consolidated Financial Statements are an integral part of these statements.

ANGI INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)


	Three Months Ended March 31,
	2025		2024
	(In thousands)
Cash flows from operating activities:


Net earnings (loss)	$	15,106	$	(1,317)
Adjustments to reconcile net earnings (loss) to net cash (used in) provided by operating activities:
Provision for credit losses	11,314		15,910
Depreciation	9,948		23,849
Deferred income taxes	2,717		1,253
Non-cash lease expense (including impairment of right-of-use assets)	1,786		4,752
Stock-based compensation expense	(2,287)		9,397






Other adjustments, net	(451)		384
Changes in assets and liabilities:
Accounts receivable	(14,773)		(25,761)
Other assets	2,469		13,320
Accounts payable and other liabilities	(20,390)		(17,417)
Operating lease liabilities	(3,270)		(4,487)
Income taxes payable and receivable	1,417		2,148
Deferred revenue	(6,699)		265
Net cash (used in) provided by operating activities	(3,113)		22,296

Cash flows from investing activities:

Capital expenditures	(12,574)		(12,798)



Proceeds from sales of fixed assets	75		6

Net cash used in investing activities	(12,499)		(12,792)

Cash flows from financing activities:




Purchases of treasury stock	(9,801)		(6,860)


Withholding taxes paid on behalf of employees on net settled stock-based awards	(4,542)		(3,214)


Net cash used in financing activities	(14,343)		(10,074)

Total cash used	(29,955)		(570)




Effect of exchange rate changes on cash and cash equivalents and restricted cash	(26)		(141)
Net decrease in cash and cash equivalents and restricted cash	(29,981)		(711)
Cash and cash equivalents and restricted cash at beginning of period	416,545		364,301
Cash and cash equivalents and restricted cash at end of period	$	386,564	$	363,590

The accompanying Notes to Consolidated Financial Statements are an integral part of these statements.

ANGI INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

NOTE 1—THE COMPANY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Nature of Operations

Angi Inc. connects quality home professionals (“Pros”) with consumers across more than 500 different categories, from repairing and remodeling homes to cleaning and landscaping. Approximately 134,000 Average Monthly Active Pros actively sought consumer matches, completed jobs, or advertised work through Angi Inc. platforms during the three months ended March 31, 2025. Additionally, consumers turned to at least one of our businesses to find a Pro for approximately 16 million projects during the twelve months ended March 31, 2025.

The Company has two operating segments: (i) Domestic and (ii) International (consisting of businesses in Europe and Canada) and operates under multiple brands including Angi, HomeAdvisor, and Handy.

In the United States, the Company provides Pros the capability to engage with potential customers, including quoting and invoicing services, and provides consumers with tools and resources to help them find local, pre-screened and customer-rated Pros nationwide for home repair, maintenance and improvement projects. Consumers can also request household services directly through the Angi platform, and such requests are fulfilled by independently established Pros engaged in a trade, occupation and/or business that customarily provides such services. Matching service, booking of pre-priced services, and related tools and directories are provided to consumers free of charge upon registration. The Company also owns marketplaces in Austria, Canada, France, Germany, Italy, the Netherlands, and the UK which provide Pros the ability to engage with potential customers and consumers the ability to engage with the Pros they need.

During the three months ended March 31, 2025, the Company implemented homeowner choice for the Domestic segment on nearly all experiences such that those consumers are connected only with available Pros that they select, discontinuing the majority of experiences where homeowners are automatically matched with available Pros. The Company also consolidated the sales forces supporting its Domestic segment into a single unified sales organization with one integrated set of product offerings featuring a combination of subscription and leads packages, while no longer offering new sales of the legacy advertising product.

As used herein, “Angi,” the “Company,” “we,” “our,” “us,” and similar terms refer to Angi Inc. and its subsidiaries (unless the context requires otherwise).

Reverse Stock Split

On March 24, 2025, the Company filed a Certificate of Amendment (the “Amendment”) to its Amended and Restated Certificate of Incorporation, as amended, with the Secretary of State of the State of Delaware, which became effective as of 12:01 a.m. Eastern Time, on March 24, 2025 (the “Effective Time”), to effect the Company’s 1-for-10 reverse stock split (the “Reverse Stock Split”) of the shares of outstanding Class A common stock, par value $0.001 per share, of the Company (“Class A Common Stock”), and Class B common stock, par value $0.001 per share, of the Company (“Class B Common Stock”).

At the Effective Time, every 10 shares of Class A Common Stock and Class B Common Stock issued and outstanding immediately prior to the Effective Time were automatically combined into one share of Class A Common Stock or Class B Common Stock, respectively, subject to the treatment of fractional shares. No fractional shares were outstanding following the Reverse Stock Split, and any fractional shares that would have otherwise resulted from the Reverse Stock Split were settled in cash. Proportional adjustments were made to the number of shares of Class A Common Stock subject to outstanding equity awards of the Company, as well as the applicable exercise price. The Company’s authorized shares of Class A Common Stock and Class B Common Stock, and the par value of each share of Class A Common Stock and Class B Common Stock, were unchanged by the Reverse Stock Split.

The Class A Common Stock began trading on the Nasdaq Global Select Market on a split-adjusted basis at the opening of trading on March 24, 2025. The ticker symbol for Class A Common Stock remains “ANGI.” All references to shares and per share amounts have been adjusted to reflect the Reverse Stock Split.

ANGI INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

Distribution

On March 31, 2025, IAC Inc. (“IAC”) completed the spin-off of its ownership in the Company through a special dividend of the common stock of the Company owned by IAC to the holders of IAC common stock and IAC Class B common stock (the “Distribution”). Prior to the effective time of the Distribution, IAC voluntarily converted all of the shares of our Class B Common Stock that it owned to shares of Class A Common Stock. As a result of this conversion, there are no longer any shares of our Class B Common Stock outstanding. After completion of the Distribution, IAC has no ownership in the Company, there are no shares of Class B Common Stock outstanding, and the only class of Angi capital stock with shares outstanding is Class A Common Stock.

Segment Change

During the three months ended March 31, 2025, management determined that a realignment of the Company’s operating and reportable segments was necessary to better reflect the operations and strategic priorities of the organization and align more closely with how the Chief Operating Decision Maker (“CODM”) assesses performance and allocates resources. The Company now has two reportable segments: Domestic and International. Our financial information for prior periods has been recast to conform to the current period presentation.

Basis of Presentation and Consolidation

The Company prepares its consolidated financial statements (referred to herein as “financial statements”) in accordance with United States (“U.S.”) generally accepted accounting principles (“GAAP”). The financial statements include all accounts of the Company, all entities that are wholly-owned by the Company and all entities in which the Company has a controlling financial interest. All intercompany transactions and balances between and among the Company and its subsidiaries have been eliminated.

The unaudited interim financial statements have been prepared in accordance with GAAP for interim financial information and with the rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, they do not include all of the information and notes required by GAAP for complete annual financial statements. In the opinion of management, the unaudited interim financial statements include all normal recurring adjustments considered necessary for a fair presentation. Interim results are not necessarily indicative of the results that may be expected for the full year. The unaudited interim financial statements should be read in conjunction with the annual audited financial statements and notes thereto included in the Company's Annual Report on Form 10-K for the year ended December 31, 2024.

Accounting Estimates

Management of the Company is required to make certain estimates, judgments and assumptions during the preparation of its financial statements in accordance with GAAP. These estimates, judgments and assumptions affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from these estimates.

On an ongoing basis, the Company evaluates its estimates and judgments, including those related to: the fair values of cash equivalents; the carrying value of accounts receivable, including the determination of the allowance for credit losses; the determination of the customer relationship period for certain costs to obtain a contract with a customer; the recoverability of all long-lived assets, including goodwill and indefinite-lived intangible assets; contingencies; unrecognized tax benefits; the liability for potential refunds and customer credits; the valuation allowance for deferred income tax assets; and the fair value of and forfeiture rates for stock-based awards, among others. The Company bases its estimates and judgments on historical experience, its forecasts and budgets, and other factors that the Company considers relevant.

ANGI INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

General Revenue Recognition

The Company accounts for a contract with a customer when it has approval and commitment from all authorized parties, the rights of the parties and payment terms are identified, the contract has commercial substance and collectability of consideration is probable. Revenue is recognized when control of the promised services or goods is transferred to the Company’s customers and in an amount that reflects the consideration the Company expects to be entitled to in exchange for those services or goods.

The Company’s disaggregated revenue disclosures are presented in “Note 5—Segment Information.”

Deferred Revenue

Deferred revenue consists of payments that are received or are contractually due in advance of the Company’s performance obligation. The Company’s deferred revenue is reported on a contract-by-contract basis at the end of each reporting period. The Company classifies deferred revenue as current when the remaining term or expected completion of its performance obligation is one year or less. At December 31, 2024, the current and non-current deferred revenue balances were $42.0 million and less than $0.1 million, respectively, and during the three months ended March 31, 2025, the Company recognized $31.0 million of revenue that was included in the deferred revenue balance as of December 31, 2024. At December 31, 2023, the current and non-current deferred revenue balances were $49.9 million and $0.1 million, respectively, and during the three months ended March 31, 2024, the Company recognized $32.6 million of revenue that was included in the deferred revenue balance as of December 31, 2023.

The current and non-current deferred revenue balances at March 31, 2025 are $35.3 million and less than $0.1 million, respectively. Non-current deferred revenue is included in “Other long-term liabilities” in the balance sheet.

Practical Expedients and Exemptions

For contracts that have an original duration of one year or less, the Company uses the practical expedient available under Accounting Standards Codification (“ASC”) Topic 606 (“ASC 606”), Revenue from Contracts with Customers, applicable to such contracts and does not consider the time value of money.

In addition, as permitted under the practical expedient available under ASC 606, the Company does not disclose the value of unsatisfied performance obligations for (i) contracts with an original expected length of one year or less, (ii) contracts with variable consideration that is allocated entirely to unsatisfied performance obligations or to a wholly unsatisfied promise accounted for under the series guidance, and (iii) contracts for which the Company recognizes revenue at the amount which it has the right to invoice for services performed.

The Company also applies the practical expedient to expense sales commissions as incurred where the anticipated customer relationship period is one year or less.

Recent Accounting Pronouncements

Recent Accounting Pronouncements Adopted by the Company

There were no recently issued accounting pronouncements adopted by the Company during the three months ended March 31, 2025.

ANGI INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

Recent Accounting Pronouncements Not Yet Adopted by the Company

ASU No. 2023-09— Income Taxes (Topic 740)— Improvements to Income Tax Disclosures

In December 2023, the FASB issued ASU No. 2023-09, which establishes required categories and a quantitative threshold to the annual tabular rate reconciliation disclosure and disaggregated jurisdictional disclosures of income taxes paid. The guidance’s annual requirements are effective for the Company beginning with the reporting period for the fiscal year ending December 31, 2025. Early adoption is permitted and ASU No. 2023-09 may be applied either prospectively or retrospectively. The Company is currently assessing ASU No. 2023-09, its impact on its income tax disclosures, and the method of adoption. ASU No. 2023-09 does not affect the Company’s results of operations, financial condition or cash flows. The Company does not plan to adopt ASU No. 2023-09 early.

ASU No. 2024-03— Income Statement-Reporting Comprehensive Income— Expense Disaggregation Disclosures (Subtopic 220-40)— Disaggregation of Income Statement Expenses

In November 2024, the FASB issued ASU No. 2024-03, which is intended to provide users of financial statements with more decision-useful information about expenses of a public business entity, primarily through enhanced disclosures of certain components of expenses commonly presented within captions on the statement of operations, such as purchases of inventory, employee compensation, depreciation and amortization, as well as a qualitative description of the amounts remaining in relevant expense captions that are not separately disaggregated quantitatively. ASU No. 2024-03 also requires disclosure of the total amount of selling expenses and, in annual reporting periods, the definition of selling expenses. ASU No. 2024-03 is effective for fiscal years beginning after December 15, 2026 and for interim periods beginning after December 15, 2027. Early adoption is permitted and ASU No. 2024-03 may be applied either prospectively or retrospectively. The Company is currently assessing ASU No. 2024-03 and its impact on its disclosures, and the timing and method of adoption. ASU No. 2024-03 does not affect the Company's results of operations, financial condition or cash flows.

NOTE 2—FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS

The Company categorizes its financial instruments measured at fair value into a fair value hierarchy that prioritizes the inputs used in pricing the asset or liability. The three levels of the fair value hierarchy are:

•Level 1: Observable inputs obtained from independent sources, such as quoted market prices for identical assets and liabilities in active markets.

•Level 2: Other inputs, which are observable directly or indirectly, such as quoted market prices for similar assets or liabilities in active markets, quoted market prices for identical or similar assets or liabilities in markets that are not active and inputs that are derived principally from or corroborated by observable market data. The fair values of the Company’s Level 2 financial assets are primarily obtained from observable market prices for identical underlying securities that may not be actively traded. Certain of these securities may have different market prices from multiple market data sources, in which case an average market price is used.

•Level 3: Unobservable inputs for which there is little or no market data and require the Company to develop its own assumptions, based on the best information available in the circumstances, about the assumptions market participants would use in pricing the assets or liabilities.

ANGI INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

The following tables present the Company’s financial instruments that are measured at fair value on a recurring basis:


	March 31, 2025
	Level 1		Level 2		Level 3		Total Fair Value Measurements
	(In thousands)
Assets:
Cash equivalents:
Money market funds	$	320,980	$	—	$	—	$	320,980




Total	$	320,980	$	—	$	—	$	320,980


	December 31, 2024
	Level 1		Level 2		Level 3		Total Fair Value Measurements
	(In thousands)
Assets:
Cash equivalents:
Money market funds	$	346,824	$	—	$	—	$	346,824




Total	$	346,824	$	—	$	—	$	346,824

Assets measured at fair value on a nonrecurring basis

The Company’s non-financial assets, such as goodwill, intangible assets, ROU assets, capitalized software, leasehold improvements and equipment are adjusted to fair value only when an impairment is recognized. Such fair value measurements are based predominantly on Level 3 inputs.

Financial instruments measured at fair value only for disclosure purposes

The total fair value of the outstanding long-term debt, including the current portion, is estimated using observable market prices or indices for similar liabilities, which are Level 2 inputs, and was approximately $451.3 million and $445.0 million at March 31, 2025 and December 31, 2024, respectively.

NOTE 3—LONG-TERM DEBT

Long-term debt consists of:


	March 31, 2025		December 31, 2024
	(In thousands)
3.875% ANGI Group Senior Notes due August 15, 2028 (“ANGI Group Senior Notes”); interest payable each February 15 and August 15	$	500,000	$	500,000



Less: unamortized debt issuance costs	2,959		3,160
Total long-term debt, net	$	497,041	$	496,840

ANGI Group, LLC (“ANGI Group”), a direct wholly-owned subsidiary of Angi, issued the ANGI Group Senior Notes on August 20, 2020. These notes may be redeemed at the redemption prices, plus accrued and unpaid interest thereon, if any, as set forth in the indenture governing the notes.

The indenture governing the ANGI Group Senior Notes contains a covenant that would limit ANGI Group’s ability to incur liens for borrowed money in the event a default has occurred or ANGI Group’s secured leverage ratio exceeds 3.75 to 1.0, provided that ANGI Group is permitted to incur such liens under certain permitted credit facilities indebtedness notwithstanding the ratio, all as defined in the indenture. At March 31, 2025 and December 31, 2024, there were no limitations pursuant thereto.

ANGI INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

NOTE 4—ACCUMULATED OTHER COMPREHENSIVE INCOME

The following tables present the components of accumulated other comprehensive income, which exclusively consists of foreign currency translation adjustment for the three months ended March 31, 2025:


	Three Months Ended March 31,
	2025		2024
	Foreign Currency Translation Adjustment			Foreign Currency Translation Adjustment
	(In thousands)
Balance at January 1	$	(2,495)		$	1,187
Other comprehensive income (loss)	2,879			(745)
Balance at March 31	$	384		$	442

At March 31, 2025 and 2024, there was no tax benefit or provision on the accumulated other comprehensive income.

NOTE 5—SEGMENT INFORMATION

The overall concept that the Company employs in determining its operating segments is to present the financial information in a manner consistent with the CODM’s view of the businesses. The Executive Committee, which is comprised of the CEO of the Company and the Executive Chairman of the Company’s board of directors, is the CODM of the Company. In addition, the Company considers the organization of its businesses in terms of segment management and the focus of the businesses with regards to the types of services or products offered or the target market.

Disaggregated Revenue

The following table presents revenue by reportable segment:


	Three Months Ended March 31,
	2025		2024
	(In thousands)
Revenue:





Domestic	$	212,555	$	270,036
International	33,358		35,354
Total	$	245,913	$	305,390

ANGI INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

The following table presents the revenue of the Company’s segments disaggregated by type of service:


	Three Months Ended March 31,
	2025		2024
	(In thousands)
Domestic:

Lead revenue	$	115,389	$	160,531
Advertising revenue	71,646		77,137
Services revenue	16,911		20,451
Membership subscription revenue	8,562		11,778
Other revenue	47		139



Total Domestic revenue	212,555		270,036
International:
Lead revenue	32,082		29,669
Membership subscription revenue	838		5,382
Other revenue	438		303
Total International revenue	33,358		35,354
Total revenue	$	245,913	$	305,390

ANGI INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

Segment Expenses

The following table presents the significant expenses included in the Company’s segment reporting performance measure, Segment Adjusted EBITDA, that are regularly provided to the CODM:


	Three Months Ended March 31,
		2025		2024
		(in thousands)
Domestic
Consumer marketing expense (a)		$	65,276	$	79,520
Fixed expense (b)		48,122		50,623
Pro acquisition expense (c)		39,044		65,928
Variable expense (d)		26,545		33,061
Cost of revenue (e)		11,998		11,594
Total Domestic expenses		$	190,985	$	240,726
International
Fixed expense (b)		$	11,651	$	12,397
Variable expense (d)		5,345		4,581
Consumer marketing expense (a)		4,961		4,422
Pro acquisition expense (c)		4,290		6,399
Cost of revenue (e)		1,017		903
Total International expenses		$	27,264	$	28,702
Total expenses		$	218,249	$	269,428

For the three months ended March 31, 2025, Pro acquisition expense excludes $3.4 million of commissions capitalized in the current period and includes $9.1 million of capitalized commissions amortized from prior periods. For the three months ended March 31, 2024, Pro acquisition expense excludes $11.7 million of commissions capitalized in the current period and includes $13.7 million of capitalized commissions amortized from prior periods.

_____________________

(a) Consumer marketing expense includes (i) advertising expenditures to promote the brand to consumers with (a) online marketing, including fees paid to search engines and other online marketing platforms, partners who direct traffic to our brands, and app platforms, and (b) offline marketing, which is primarily television, streaming and radio advertising, (ii) compensation expense, excluding stock-based compensation, and other employee-related costs for consumer marketing personnel and (iii) outsourced personnel costs.

(b) Fixed expense includes (i) compensation expense, excluding stock-based compensation, and other employee-related costs for personnel engaged in (a) the design, development, testing, and enhancement of product offerings and related technology and (b) executive management, finance, legal, tax, marketing and human resources functions, (ii) software license and maintenance costs, (iii) rent expense and facilities costs (including impairments of ROU assets), (iv) fees for professional services and (iv) outsourced personnel costs for personnel engaged in product development.

(c) Pro acquisition expense includes (i) advertising expenditures to promote the brand to Pros with (a) online marketing, including fees paid to search engines and other online marketing platforms, partners who direct traffic to the brands within the Angi segments, and app platforms, and (b) offline marketing, which is primarily television, streaming and radio advertising and (ii) compensation expense, excluding stock-based compensation, and other employee-related costs for professional acquisition sales and marketing personnel.

(d) Variable expense includes (i) compensation expense, excluding stock-based compensation, and other employee-related costs for personnel engaged in customer service functions, (ii) provision for credit losses, (iii) outsourced personnel costs for personnel engaged in assisting in customer service functions and (iv) service guarantee expense.

(e) Cost of revenue consists primarily of (i) credit card processing fees, (ii) hosting fees and (iii) payments made to independent third-party Pros who perform work.

ANGI INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

Segment Reporting Performance Measure and Reconciliations

Adjusted EBITDA is the Company’s primary financial and GAAP segment measure. Adjusted EBITDA is defined as operating income excluding: (1) stock-based compensation expense; (2) depreciation; and (3) acquisition-related items consisting of amortization of intangible assets and impairments of goodwill and intangible assets, if applicable. Adjusted EBITDA is the segment reporting performance measure used by the CODM as one of the metrics by which we evaluate the performance of the Company and our internal budgets are based and may impact management compensation. The following table presents a summary of Segment Adjusted EBITDA:


	Three Months Ended March 31,
	2025		2024
	(In thousands)
Segment Adjusted EBITDA:





Domestic	$	21,566	$	29,310
International	6,098		6,652
Total Segment Adjusted EBITDA	$	27,664	$	35,962

The following table reconciles total Segment Adjusted EBITDA to earnings before income taxes:


	Three Months Ended March 31,
		2025		2024
		(In thousands)
Total Segment Adjusted EBITDA		$	27,664	$	35,962
Stock-based compensation expense		2,287		(9,397)
Depreciation		(9,948)		(23,849)

Interest expense		(5,044)		(5,038)
Other income, net		4,828		4,484
Earnings before income taxes		$	19,787	$	2,162

ANGI INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

Capital Expenditures

The following table presents capital expenditures by as viewed by the CODM:


	Three Months Ended March 31,
	2025		2024
	(In thousands)
Capital expenditures:


Domestic	$	12,574	$	12,782
International	—		16
Total	$	12,574	$	12,798

Asset information is not provided to the Company’s CODM as that information is not used in the allocation of resources or in assessing the performance of the Company’s segments.

Geographic Information

Revenue by geography is based on where the customer is located. Geographic information about revenue and long-lived assets is presented below:


	Three Months Ended March 31,
	2025		2024
	(In thousands)
Revenue:
United States	$	212,495	$	269,872
All other countries	33,418		35,518
Total	$	245,913	$	305,390


	March 31, 2025		December 31, 2024
	(In thousands)
Long-lived assets (excluding goodwill and intangible assets):
United States	$	107,043	$	104,290
All other countries	5,169		5,692
Total	$	112,212	$	109,982

ANGI INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

NOTE 6—INCOME TAXES

The Company is included within IAC’s tax group for purposes of federal and consolidated state income tax return filings through March 31, 2025. In all periods presented, the income tax provision and/or benefit has been computed for the Company on an as if standalone, separate return basis and payments to and refunds from IAC for the Company’s share of IAC’s consolidated federal and state tax return liabilities/receivables calculated on this basis have been reflected within cash flows from operating activities in the statement of cash flows. The tax sharing agreement between the Company and IAC remains in existence following the Distribution and governs the parties’ respective rights, responsibilities and obligations with respect to tax matters, including responsibility for taxes attributable to the Company, entitlement to refunds, allocation of tax attributes and other matters and, therefore, ultimately governs the amount payable to or receivable from IAC with respect to income taxes. Any differences between taxes currently payable to or receivable from IAC under the tax sharing agreement and the current tax provision or benefit computed on an as if standalone, separate return basis for GAAP are reflected as adjustments to additional paid-in capital in the statement of shareholders’ equity and financing activities within the statement of cash flows.

At the end of each interim period, the Company estimates the annual expected effective income tax rate and applies that rate to its ordinary year-to-date earnings or loss. The income tax provision or benefit related to significant, unusual, or extraordinary items, if applicable, that will be separately reported or reported net of their related tax effects are individually computed and recognized in the interim period in which they occur. In addition, the effect of changes in enacted tax laws or rates, tax status, judgment on the realizability of a beginning-of-the-year deferred tax asset in future years or unrecognized tax benefits is recognized in the interim period in which the change occurs.

The computation of the annual expected effective income tax rate at each interim period requires certain estimates and assumptions including, but not limited to, the expected pre-tax income (or loss) for the year, projections of the proportion of income (and/or loss) earned and taxed in foreign jurisdictions, permanent and temporary differences, and the likelihood of the realization of deferred tax assets generated in the current year. The accounting estimates used to compute the provision or benefit for income taxes may change as new events occur, more experience is acquired, additional information is obtained or the Company’s tax environment changes. To the extent that the expected annual effective income tax rate changes during a quarter, the effect of the change on prior quarters is included in income tax provision or benefit in the quarter in which the change occurs.

For the three months ended March 31, 2025, the Company recorded an income tax provision of $4.7 million which represents an effective income tax rate of 24%. The effective income tax rate is higher than the statutory rate of 21% due primarily to tax shortfalls generated by the vesting of stock-based awards, unbenefited losses, and foreign income taxed at different rates, partially offset by nontaxable cumulative previously recognized stock-based compensation expense related to the IAC restricted stock forfeited by Joseph Levin, former CEO of IAC and current Executive Chairman of Angi, and research credits. For the three months ended March 31, 2024, the Company recorded an income tax provision of $3.5 million due primarily to the impact of stock-based awards and unbenefited losses, partially offset by research credits.

As a result of the Distribution, the Company’s net deferred tax asset was adjusted via invested capital for tax attributes allocated to it from IAC consolidated federal and state tax filings. The allocation of tax attributes that was recorded as of March 31, 2025 is preliminary. Any subsequent adjustment to allocated tax attributes will be recorded as an adjustment to deferred taxes and additional paid-in capital. The Company also established a liability to IAC of $18.0 million via invested capital related to amounts owed pursuant to the tax sharing agreement when certain tax attributes are utilized. Any subsequent adjustment will be recorded as an adjustment to the liability and additional paid-in capital.

The Company recognizes interest and, if applicable, penalties related to unrecognized tax benefits in the income tax provision. Accruals for interest are not material and there are currently no accruals for penalties.

The Company’s income taxes are routinely under audit by federal, state, local and foreign authorities as a result of previously filed separate company and consolidated tax returns with IAC. These audits include questioning the timing and the amount of income and deductions and the allocation of income and deductions among various tax jurisdictions. The Company is not currently under audit by the Internal Revenue Service. Returns filed in various other jurisdictions are open to examination for tax years beginning with 2015. Income taxes payable include unrecognized tax benefits that are considered sufficient to pay assessments that may result from the examination of prior year tax returns. The Company considers many factors when evaluating and estimating its tax positions and tax benefits, which may not accurately anticipate actual outcomes and, therefore,

ANGI INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

may require periodic adjustment. Although management currently believes changes in unrecognized tax benefits from period to period and differences between amounts paid, if any, upon resolution of issues raised in audits and amounts previously provided will not have a material impact on the liquidity, results of operations, or financial condition of the Company, these matters are subject to inherent uncertainties and management’s view of these matters may change in the future.

At March 31, 2025 and December 31, 2024, the Company has unrecognized tax benefits, including interest, of $11.2 million and $9.7 million, respectively. If unrecognized tax benefits at March 31, 2025 are subsequently recognized, the income tax provision would be reduced by $10.5 million. The comparable amount as of December 31, 2024 is $9.1 million. The Company believes that it is reasonably possible that its unrecognized tax benefits could decrease by $0.7 million by March 31, 2026 due to statute expirations and settlements; $0.6 million of which would reduce the income tax provision.

The Company regularly assesses the realizability of deferred tax assets considering all available evidence including, to the extent applicable, the nature, frequency and severity of prior cumulative losses, forecasts of future taxable income, tax filing status, the duration of statutory carryforward periods, available tax planning and historical experience. At March 31, 2025, the Company has a U.S. gross deferred tax asset of $201.9 million that the Company expects to fully utilize on a more likely than not basis. Of this amount, $22.4 million will be utilized upon the future reversal of deferred tax liabilities and the remaining net deferred tax asset of $179.5 million will be utilized based on forecasts of future taxable income. The Company’s most significant net deferred tax asset relates to U.S. federal net operating loss (“NOL”) carryforwards of $63.9 million. The Company expects to generate sufficient future taxable income of at least $304.3 million to fully realize this deferred tax asset.

ANGI INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

NOTE 7—EARNINGS (LOSS) PER SHARE

The following table sets forth the computation of basic and diluted earnings (loss) per share attributable to Angi Inc. Class A and Class B Common Stock shareholders:


	Three Months Ended March 31,
	2025				2024
	Basic		Diluted		Basic		Diluted
	(In thousands, except per share data)
Numerator:
Net earnings (loss)	$	15,106	$	15,106	$	(1,317)	$	(1,317)
Net earnings attributable to noncontrolling interests	—		—		(314)		(314)




Net earnings (loss) attributable to Angi Inc. Class A and Class B Common Stock shareholders	$	15,106	$	15,106	$	(1,631)	$	(1,631)

Denominator:
Weighted average basic Class A and Class B common stock shares outstanding	49,779		49,779		50,263		50,263
Dilutive securities (a)(b)	—		685		—		—
Denominator for earnings (loss) per share—weighted average shares	49,779		50,464		50,263		50,263

Earnings (loss) per share attributable to Angi Inc. Class A and Class B Common Stock shareholders:
Earnings (loss) per share	$	0.30	$	0.30	$	(0.03)	$	(0.03)

________________________

(a) If the effect is dilutive, weighted average common shares outstanding include the incremental shares that would be issued upon the assumed exercise of stock options and subsidiary denominated equity and vesting of restricted stock units (“RSUs”) and market-based awards (“MSUs”). For the three months ended March 31, 2025 and 2024, 1.3 million and 2.8 million of potentially dilutive securities, respectively, were excluded from the calculation of diluted earnings per share because their inclusion would have been anti-dilutive.

(b) MSUs and performance-based awards (“PSUs”) are considered contingently issuable shares. Shares issuable upon exercise or vesting of MSUs and PSUs are included in the denominator for earnings per share if (i) the applicable market or performance condition(s) has been met and (ii) the inclusion of the MSUs and PSUs is dilutive for the respective reporting periods. For the three months ended March 31, 2025 and 2024, 0.3 million and less than 0.1 million underlying MSUs and PSUs, respectively, were excluded from the calculation of diluted earnings (loss) per share because the market or performance condition(s) had not been met.

ANGI INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

NOTE 8—FINANCIAL STATEMENT DETAILS

Cash and Cash Equivalents and Restricted Cash

The following table provides a reconciliation of cash and cash equivalents and restricted cash reported within the balance sheet to the total amounts shown in the statement of cash flows:


	March 31, 2025		December 31, 2024		March 31, 2024		December 31, 2023
	(In thousands)
Cash and cash equivalents	$	386,564	$	416,434	$	363,337	$	364,044

Restricted cash included in other non-current assets	—		111		253		257

Total cash and cash equivalents, and restricted cash as shown on the statement of cash flows	$	386,564	$	416,545	$	363,590	$	364,301

Restricted cash included in “Other non-current assets” in the balance sheets for all periods presented above primarily consisted of deposits related to leases.

Credit Losses

The following table presents the changes in the allowance for credit losses for the three months ended March 31, 2025 and 2024:


	2025		2024
	(In thousands)
Balance at January 1	$	20,504	$	24,684
Current period provision for credit losses	11,314		15,910
Write-offs charged against the allowance for credit loss	(13,851)		(21,104)

Recoveries collected	1,219		1,263
Other	26		17
Balance at March 31	$	19,212	$	20,770

Accumulated Depreciation and Amortization

The following table provides the accumulated depreciation and amortization within the balance sheet:


Asset Category	March 31, 2025		December 31, 2024
	(In thousands)

Capitalized software, leasehold improvements, and equipment	$	241,742	$	241,448
Intangible assets	$	89,264	$	89,229

ANGI INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

Other income, net


	Three Months Ended March 31,
	2025		2024
	(In thousands)
Interest income	$	4,314	$	4,709




Other	514		(225)
Other income, net	$	4,828	$	4,484

NOTE 9—CONTINGENCIES

In the ordinary course of business, the Company is subject to various lawsuits and other contingent matters. The Company establishes accruals for specific legal and other matters when it determines that the likelihood of an unfavorable outcome is probable and the loss is reasonably estimable. Management has also identified certain legal and other matters where it believes an unfavorable outcome is not probable and, therefore, no accrual is established. Although management currently believes that resolving claims against the Company, including claims where an unfavorable outcome is reasonably possible and for which the Company cannot estimate a loss or range of loss, will not have a material impact on the liquidity, results of operations, or financial condition of the Company, these matters are subject to inherent uncertainties and management’s view of these matters may change in the future. The Company also evaluates other contingent matters, including unrecognized tax benefits and non-income tax contingencies, to assess the likelihood of an unfavorable outcome and estimated extent of potential loss. It is possible that an unfavorable outcome of one or more of these lawsuits or other contingencies could have a material impact on the liquidity, results of operations, or financial condition of the Company. See “Note 6—Income Taxes” for information related to unrecognized tax benefits.

NOTE 10—RELATED PARTY TRANSACTIONS

Relationship with IAC

On January 13, 2025, IAC and Joseph Levin, CEO of IAC and Chairman of Angi, entered into an Employment Transition Agreement (the “Employment Transition Agreement”) pursuant to which the employment agreement, by and between Mr. Levin and IAC, dated November 5, 2020, and the Amended and Restated Restricted Stock Agreement, dated June 7, 2021 (“RSA Agreement”) were terminated, except as provided in Section 6 of the RSA Agreement. As a result, the 3.0 million shares of IAC restricted stock granted to Mr. Levin pursuant to the RSA Agreement were forfeited by Mr. Levin. Accordingly, the cumulative previously recognized stock-based compensation expense of $10.2 million recognized by Angi, with respect to the restricted stock was reversed in the three months ended March 31, 2025. The expense recognized by Angi was attributable to the period from October 10, 2023 through April 8, 2024 when Mr. Levin served as CEO of Angi.

Pursuant to the Employment Transition Agreement, IAC also transferred 0.5 million fully vested shares of Class B Common Stock held by IAC to Mr. Levin, and Mr. Levin immediately converted all shares of Class B Common Stock into shares of Class A Common Stock (the “Angi Shares”). Mr. Levin has committed to not transfer or dispose of the Angi Shares prior to the sixth anniversary of March 31, 2025, subject to certain limited exceptions. In connection with the Distribution, on March 31, 2025, Mr. Levin ceased to serve as CEO of IAC and a member of its board of directors and became Executive Chairman of Angi.

On March 3, 2025, IAC settled equity awards denominated in shares of one of our subsidiaries in IAC common stock. Pursuant to the terms of the employee matters agreement entered into between IAC and Angi in 2017, the Company reimbursed IAC for the cost of those shares by issuing to IAC 120,350 shares of our Class A Common Stock. On March 4, 2025, Angi also canceled equity awards denominated in the shares of one of our subsidiaries and issued 113,823 RSUs to holders of those awards. At March 31, 2025, there were no equity awards denominated in shares of our subsidiaries outstanding. The employee matters agreement was terminated in connection with the Distribution on March 31, 2025.

ANGI INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

The Company subleased office space to IAC and pursuant to a lease agreement charged rent of $0.1 million for both the three months ended March 31, 2025 and 2024. IAC subleased office space to the Company and charged rent pursuant to a lease agreement of $0.3 million for both the three months ended March 31, 2025 and 2024. At March 31, 2025, in connection with the Distribution, Angi terminated its sublease of office space from IAC.

Following the Distribution, IAC is no longer considered a related party, and the relationship between Angi and IAC is governed by a number of agreements. These agreements include: a contribution agreement, a tax sharing agreement, a services agreement with an updated schedule of services and an employee matters agreement.

In connection with the Distribution, Angi and IAC updated the schedule of services provided under the services agreement to reflect the provision of certain services requested by Angi for an agreed period of time following the Distribution, on terms consistent with the services agreement, including Angi’s continued participation in IAC’s U.S. health and welfare plans, 401(k) plan and flexible benefits plan until January 1, 2026.

While the employee matters agreement will remain in place following the completion of the Distribution, Angi’s continued participation in IAC’s U.S. health and welfare plans, 401(k) plan and flexible benefits plan will no longer be covered by the employee matters agreement upon effectiveness of the Distribution and will instead be covered under the services agreement as described above.

Through the end of 2025, Angi will also continue to (i) obtain certain services through contracts that are held in IAC’s name and (ii) obtain from IAC certain corporate support services, both of which require that Angi reimburse IAC.

NOTE 11—SUBSEQUENT EVENTS

On May 5, 2025, the board of directors of the Company approved a new stock repurchase authorization of 5 million shares of its Class A common stock.


	Three Months Ended March 31, 2025
	Operating Income		Stock-Based Compensation Expense		Depreciation		Adjusted EBITDA
	(In thousands)
Domestic	$	13,957	$	(2,295)	$	9,904	$	21,566
International	6,046		8		44		6,098
Total	$	20,003	$	(2,287)	$	9,948	$	27,664
Interest expense	(5,044)
Other income, net	4,828
Earnings before income taxes	19,787
Income tax provision	(4,681)


Net earnings attributable to Angi Inc. shareholders	$	15,106


	Three Months Ended March 31, 2024
	Operating (Loss) Income		Stock-Based Compensation Expense		Depreciation		Adjusted EBITDA
	(In thousands)
Domestic	$	(2,797)	$	9,042	$	23,065	$	29,310
International	5,513		355		784		6,652
Total	$	2,716	$	9,397	$	23,849	$	35,962
Interest expense	(5,038)
Other income, net	4,484
Earnings before income taxes	2,162
Income tax provision	(3,479)
Net loss	(1,317)
Net earnings attributable to noncontrolling interests	(314)
Net loss attributable to Angi Inc. shareholders	$	(1,631)


Period	(a) Total Number of Shares Purchased	(b) Average Price Paid Per Share		(c) Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs(1)	(d) Maximum Number of Shares that May Yet Be Purchased Under Publicly Announced Plans or Programs(2)
January 2025	—	$	—	—	2,307,919
February 2025	120,846	$	17.18	120,846	2,187,073
March 2025	524,955	$	16.29	524,955	1,662,118
Total	645,801	$	16.46	645,801	1,662,118



Signature	Title	Date

/s/ ANDREW RUSSAKOFF	Chief Financial Officer	May 6, 2025
Andrew Russakoff

Date	Price Target	Rating	Analyst
12/18/2024		Overweight → Neutral	Analyst
11/13/2024	$3.25 → $2.50	Buy → Neutral	Goldman
11/13/2024	$3.25 → $2.00	Buy → Neutral	Citigroup
7/9/2024	$3.25	Mkt Outperform	JMP Securities
2/15/2023	$2.00 → $2.75	Sell → Neutral	UBS
12/13/2022	$2.60	Buy	Citigroup
12/2/2022	$2.00	Sell	UBS
2/17/2022	$16.00 → $13.00	Outperform	Credit Suisse

SEC Form 10-Q filed by Angi Inc.

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