10-Q · July 16, 2026
Fathom Holdings reported revenue of $86.4 million for Q1 2026, down 7.2% from $93.1 million in Q1 2025. EPS stood at -$0.24, marking a continued downward trend. The company highlights a focus on expanding its Real…
Earnings analysis · 10-Q
FTHM earnings analysis
Filed August 13, 2026 · Our reading of the company's report
The latest report
Revenue declined to $86.401 million, down approximately 5.1% sequentially and 7.1% year over year, while operating margin deteriorated to negative 8.8% from negative 5.2% in the prior quarter and negative 4.8% a year…
Read full summary
Revenue declined to $86.401 million, down approximately 5.1% sequentially and 7.1% year over year, while operating margin deteriorated to negative 8.8% from negative 5.2% in the prior quarter and negative 4.8% a year earlier. EPS worsened to negative $0.25 from negative $0.21 sequentially and negative $0.24 year over year, although free cash flow improved to negative $0.136 million from negative $12 million. The key concern is liquidity: the Company disclosed defaults under its 2024 Notes, a waiver through October 1, 2026, and dependence on continued BBBY financial support. Previously reported internal-control weaknesses were remediated as of June 30, 2026.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $-0.25
What stood out
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Revenue declined sequentially and year over year
Second-quarter revenue was $86.401 million, down from $91 million in the prior quarter and $93 million in the prior-year quarter, representing sequential and year-over-year declines of approximately 5.1% and 7.1%, respectively.
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Free cash flow materially improved
Free cash flow improved to approximately negative $0.136 million from negative $12 million in the prior quarter and negative $6 million in the prior-year quarter.
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Previously reported control weaknesses remediated
Management concluded that the material weaknesses previously reported in the March 31, 2026 Form 10-Q were remediated as of June 30, 2026, following new executive leadership, stronger Board oversight, and additional authorization and review controls.
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Disclosure controls rated effective
Disclosure controls and procedures were concluded to be effective at the reasonable assurance level as of June 30, 2026.
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Capital preservation remains the priority
The Company has no current share-repurchase activity and stated that management has no plans to repurchase additional shares; $4.0 million remains available under the repurchase program.
What to watch
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Convertible-note default waiver has a deadline
The Company experienced an Event of Default under its 2024 Notes after failing to timely file the March 31, 2026 Form 10-Q. Holders waived the defaults only through October 1, 2026, creating refinancing and liquidity risk if the waiver is not extended.
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Liquidity depends on BBBY support
The Company states that it depends on committed financial support from BBBY to address substantial doubt about its ability to continue as a going concern. If the merger is not consummated or support is not sustained, the Company may lack sufficient liquidity to meet its obligations.
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Settlement and litigation obligations remain
Fathom Realty is obligated to pay an additional $1.95 million under the NAR settlement on or before October 1, 2026. The Company also disclosed approximately $1.0 million of alleged TotalBrokerage claims for which no accrual had been recorded as of June 30, 2026.
Management's outlook
The Form 10-Q does not provide quantitative revenue or EPS guidance. Management states that the BBBY merger and continued BBBY financial support are important to liquidity, but provides no numeric outlook.
Earlier filings 4
10-K · April 30, 2026
Fathom Holdings' 10-K reveals a struggling financial performance with declining revenue and negative EPS, highlighting ongoing operational challenges. The company faces a Nasdaq compliance warning after its stock price…
10-K · March 30, 2026
Fathom reported continued top-line growth and platform expansion in 2025 while remaining unprofitable and cash flow negative. Revenue increased ~25% year-over-year to approximately $420.0 million (2025 quarters: $93M,…
10-Q · November 12, 2024
Fathom reported Q3 revenue of $83,733,000 (down from $93,524,000 a year ago) and GAAP diluted EPS of $(0.40), missing estimates. Operating loss widened to $7,761,000 (operating margin ~-9.3%), while cash increased to…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.