La Rosa Holdings Corp (NASDAQ:LRHC) is highlighting a return to organic growth in 2025.
The company on Friday announced preliminary unaudited revenue for fiscal year 2025, totaling an estimated $79 million.
This represents an approximately 14% increase in revenue year-over-year, as compared to revenue for the 2024 fiscal year.
It is worth noting that in April 2025, La Rosa guided for $100 million in revenue for the fiscal year 2025
Organic Growth Gains Traction Despite Housing Downturn
CEO Joe La Rosa said the company relied heavily on acquisitions to drive growth in 2024 as it focused on building scale and expanding its revenue base.
He said management intentionally pivoted toward organic growth in 2025 and was encouraged that the year's revenue increase came entirely from internal growth.
He explained that a continued emphasis on agent growth and organic expansion lifted transaction activity and agent count, even as the broader housing market remained under pressure.
He noted that U.S. existing home sales fell about 0.2% in 2025, marking the fourth straight year of declines and bringing total sales to roughly 4.06 million homes, the lowest level since 1995.
La Rosa added that management took decisive steps to significantly reduce operating expenses while raising fees by nearly 30% in 2026, which strengthened operating leverage across the platform.
2026 Outlook
Looking ahead, he said the company expects transaction activity to improve in 2026.
He also said the company is actively evaluating several potential partnerships and joint ventures with established technology and infrastructure firms to develop advanced AI computing facilities.
Reverse Stock Split Plan
On Thursday, La Rosa announced that it will implement a 1-for-10 reverse stock split of its common shares, effective January 26, 2026.
The company's common stock will begin trading on a split-adjusted basis when the market opens on January 26, 2026.
At the effective time, the company will automatically combine every 10 issued and outstanding shares into one share of common stock.
This action will reduce the total number of outstanding shares from about 5.35 million to roughly 535,000, before rounding adjustments.
The company said it has not received a Nasdaq deficiency notice related to the minimum bid price requirement.
Management is taking this step proactively to ensure continued compliance and to reinforce its commitment to maintaining its Nasdaq listing.
LRHC Price Action: La Rosa Holdings shares were down 0.39% at $0.42 during premarket trading on Friday. The stock is trading near its 52-week low of $0.40, according to Benzinga Pro data.
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