PropertyGuru sinks deeper into the red with $16.1 million Q2 loss ahead of privatisation

SINGAPORE – PropertyGuru sank deeper into the red in the second quarter ended June 30 with a net loss of $16.1 million, widening from $6.5 million recorded in the previous corresponding period.

However, the group’s revenue for the second quarter rose 10.3 per cent to $40.7 million, from $36.9 million in the year-ago period. This came on the back of higher contributions from its marketplaces segment buoyed by improving conditions in Malaysia, Vietnam and Singapore, said the group.

The revenue of the marketplaces segment rose 10.6 per cent on the year to $39.1 million, from $35.4 million previously.

Its Singapore marketplaces registered the highest increase in revenue, up 16 per cent to $25 million from $21.5 million last year.

The increase in its top line came as the number of agents and the average revenue per agent in Singapore grew in the second quarter. Average revenue per agent was up 17 per cent to $1,464, while the number of agents rose to 16,577.

This was followed by Malaysia marketplaces, which rose 12.4 per cent on the year at $7.4 million, and Vietnam, which inched up 3.6 per cent year on year to $5.3 million.

Meanwhile, PropertyGuru’s fintech and data services segment recorded a 3 per cent year-on-year increase in revenue to $1.6 million.

Loss per share for the group stood at 10 cents, widening from the four cents registered in the year before.

Its adjusted earnings before interest, taxes, depreciation and amortisation (Ebitda) amounted to $6.8 million for the second quarter, up from $4.6 million in the same period the previous year.

For the six months ended June 30, the firm’s net loss widened to $22.4 million against $16.7 million in the previous corresponding period.

Meanwhile, revenue was up 11.1 per cent to $77.2 million, from $69.5 million previously.

Adjusted Ebitda for the first half was $11.3 million, up from the $4.8 million in the previous year.

PropertyGuru said in August that it will be acquired by investment firm EQT Private Capital Asia for US$1.1 billion (S$1.4 billion) and taken private.

Under the all-cash deal, ordinary shares of the company will be cancelled and converted automatically into the right to receive US$6.70 per share – a 7 per cent premium to the group’s last closing price at US$6.26 on Aug 15 before the news was released.

The transaction is expected to be completed in the last quarter of 2024 or the first quarter of 2025, subject to closing conditions including shareholder and regulatory approvals.

PropertyGuru’s chief executive and managing director Hari Krishnan had previously said that the delisting would allow the group to focus on long-term strategies, innovate more freely, as well as execute plans without the pressures of public market expectations.