Delivers S$28.2 million in Revenue, Growing
42% Over Previous Year
On track to achieve 2022 guidance of 44%
year-on-year revenue growth and return to full year positive
Adjusted EBITDA
PropertyGuru Group Limited (NYSE: PGRU) (“PropertyGuru” or the
“Company”), Southeast Asia’s leading1, property technology
(“PropTech”) company, today announced the Company’s financial
results for the first quarter ended March 31, 2022. The Company
recorded strong operational and financial performance in the
quarter driven by the growing momentum in our markets.
Management Commentary
Hari V. Krishnan, Chief Executive Officer and Managing
Director, PropertyGuru, said “We are happy to report strong
results in our first quarter as a public company. This performance
demonstrates that our investments in talent and technology over the
last two years are delivering positive results as our markets
emerge out of the slowdown induced by COVID-19. We are pleased to
see increased participation from our agent partners in our core
marketplaces as property markets start to recover. We also continue
to actively pursue strategic growth opportunities to expand our
world-class solutions for customers.”
Joe Dische, Chief Financial Officer, PropertyGuru, added
“We are proud of the 42%2 year-on-year increase in revenue in the
first quarter. Growth was strong across all business segments
driving topline performance. Meanwhile, costs were well managed
leading to a positive Adjusted EBITDA result for the quarter. We
are pleased to be profitable at Adjusted EBITDA even while driving
this pace of growth.”
Financial Highlights for the First Quarter Ended March 31,
2022
- Total revenue increased by 42% to S$28.2 million in the
typically slower first quarter, reflecting the Company’s strong
execution coupled with increasing confidence in Southeast Asia’s
economies.
- Marketplaces revenues increased by 41.7% year-on-year, due to
our investments during the last two years and as the real estate
markets emerge from the pandemic-induced slowdown:
- Singapore Marketplaces revenue increased 23.8% to S$15.0
million. Quarterly Average Revenue Per Agent (“ARPA”) of S$947 rose
25.2% year-on-year through increased premium product adoption, and
the flow-through effects of a subscription price increase in Q4
2021. There were a total of 14,719 Agents and a healthy renewal
rate of 79%.
- Malaysia Marketplaces revenue increased significantly to S$5.4
million from S$1.9 million a year ago, primarily due to the
successful integration of the iProperty business, which the Company
acquired in August 2021.
- Vietnam Marketplaces revenue increased by 18.6% to S$5.1
million. This was driven by both the 14.6% increase in the number
of listings to 1.65 million and the 2.4% growth in average revenue
per listing (“ARPL”) to S$2.98.
- Net loss increased to S$120.3 million, primarily due to
accounting adjustments in relation to the business combination with
Bridgetown 2 Holdings Limited.
- Adjusted EBITDA was S$0.9 million which is S$3.7 million
improved year-on-year as costs were well-managed.
Information regarding our operating segments is presented
below.
For the Three Months Ended
March 31
2022
2021
YoY Growth
(S$ in thousands except
percentages)
Revenue
28,232
19,887
42.0%
Marketplaces
27,213
19,211
41.7%
Singapore
15,004
12,115
23.8%
Vietnam
5,056
4,263
18.6%
Malaysia
5,434
1,859
192.3%
Other Asia
1,719
974
76.5%
Fintech and data services
1,019
676
50.7%
Adjusted EBITDA
884
-2,822
Marketplaces
13,652
4,081
Singapore
11,398
8,333
Vietnam
1,137
909
Malaysia
2,369
-4,492
Other Asia
-1,252
-669
Fintech and data services
-1,646
-744
Corporate*
-11,122
-6,159
Adjusted EBITDA Margin (%)
3.1%
-14.2%
Marketplaces
50.2%
21.2%
Singapore
76.0%
68.8%
Vietnam
22.5%
21.3%
Malaysia
43.6%
-241.6%
Other Asia
-72.8%
-68.7%
Fintech and data services
-161.6%
-110.1%
*Corporate consists of headquarters costs, which are not
allocated to the segments. Headquarters costs are costs of
PropertyGuru’s personnel that are based predominantly in its
Singapore headquarters and certain key personnel in Malaysia and
Thailand, and that service PropertyGuru’s group as a whole,
consisting of its executive officers and its group marketing,
technology, product, human resources, finance and operations teams,
as well as platform IT costs (hosting, licensing, domain fees),
workplace facilities costs, corporate public relations retainer
costs and professional fees such as audit, legal and consultant
fees.
Strong Category Leadership Drives Long-Term Growth
Opportunities
As of March 31, 2022, PropertyGuru continued its Engagement
Market Share3 leadership in Singapore, Vietnam, Malaysia and
Thailand.
- Singapore: 77% – 3.9x the closest peer
- Vietnam: 71% – 2.5x the closest peer
- Malaysia: 96% – 24.7x the closest peer
- Thailand: 60% – 3.0x the closest peer
- Indonesia: 25% – 0.4x the closest peer
Full Year 2022 Outlook
The Company confirmed that it is on track to achieve its full
year guidance for 2022. It expects to deliver year-on-year revenue
growth of approximately 44%, driven by the strong start to 2022 and
continued growth across all core markets as the region emerges from
the impact of COVID-19. The Company also confirmed that it expects
to return to full year positive Adjusted EBITDA, as it realizes the
full benefits of its increased investments in people, technology
and marketing through the pandemic.
Conference Call and Webcast Details
The Company will host a conference call and webcast on Thursday,
May 26, 2022, at 8:00 a.m. Eastern Standard Time / 8:00 p.m.
Singapore Standard Time to discuss the Company's financial results
and outlook.
The PropertyGuru (NYSE: PGRU) Q1 2022 Earnings call can be
accessed by registering at:
https://propertyguru.zoom.us/webinar/register/WN_l04TiursSK62_Ovo43uXzA
An archived version will be available on the Company’s Investor
Relations website after the call at
https://investors.propertygurugroup.com/news-and-events/events-and-presentations/default.aspx
About PropertyGuru Group
PropertyGuru Group is Southeast Asia’s leading1 PropTech
company, and the preferred destination for over 38 million property
seekers4 to find their dream home, every month. PropertyGuru and
its group companies empower property seekers with more than 3.3
million real estate listings5, in-depth insights, and solutions
that enable them to make confident property decisions across
Singapore, Malaysia, Thailand, Indonesia, and Vietnam.
PropertyGuru.com.sg was launched in 2007 and has helped to drive
the Singapore property market online and has made property search
transparent for the property seeker. In the 15 years since, the
Group has grown into a high-growth PropTech company with a robust
portfolio of leading property portals across its core markets;
award-winning mobile apps; a high quality developer sales
enablement platform, FastKey; mortgage marketplace PropertyGuru
Finance; and a host of other property offerings including Awards,
events and publications across Asia.
For more information, please visit: PropertyGuruGroup.com;
PropertyGuru Group on LinkedIn.
Key Performance Metrics and Non-IFRS Financial
Measures
Our priority markets comprise Singapore, Vietnam, Malaysia and
Thailand. Our core markets comprise Singapore, Vietnam, Malaysia,
Thailand and Indonesia.
Engagement Market Share is the average monthly engagement for
websites owned by PropertyGuru as compared to average monthly
engagement for a basket of peers calculated over the relevant
period. Engagement is calculated as the number of visits to a
website during a period multiplied by the total amount of time
spent on that website for the same period, in each case based on
data from SimilarWeb. Engagement Market Share is based on the
prevailing SimilarWeb algorithm on the date the Company first filed
or furnished such information to the U.S. Securities and Exchange
Commission (“SEC”). Number of agents in all core markets except
Vietnam is calculated for a period as the sum of the number of
agents with a valid 12-month subscription package at the end of
each month in a period divided by the number of months in such
period. In Vietnam, number of agents is calculated as the number of
agents who credit money into their account within the relevant
period. When counting in aggregate across the PropertyGuru group,
in markets where PropertyGuru operates more than one property
portal, an agent with subscriptions to more than one portal is only
counted once.
Number of real estate listings is calculated as the number of
listings created during the month for Vietnam and the average
number of monthly listings available in the period for other
markets.
Average revenue per agent (“ARPA”) is calculated as agent
revenue for a period divided by the average number of agents in
that period, which is calculated as the sum of the number of total
agents at the end of each month in a period divided by the number
of months in such period.
Average revenue per listing ("ARPL”) is calculated as revenue
for a period divided by the number of listings in such period.
Renewal rate is calculated as the number of agents that
successfully renew their annual package during a period divided by
the number of agents whose packages are up for renewal (at the end
of their 12 month subscription) during that period.
This press release also includes references to non-IFRS
financial measures, namely Adjusted EBITDA and Adjusted EBITDA
Margin. PropertyGuru uses these measures, collectively, to evaluate
ongoing operations and for internal planning and forecasting
purposes. PropertyGuru believes that non-IFRS information, when
taken collectively, may be helpful to investors because it provides
consistency and comparability with past financial performance and
may assist in comparisons with other companies to the extent that
such other companies use similar non-IFRS measures to supplement
their IFRS or GAAP results. These non-IFRS measures are presented
for supplemental informational purposes only and should not be
considered a substitute for financial information presented in
accordance with IFRS, and may be different from similarly titled
non-IFRS measures used by other companies. Accordingly, non-IFRS
measures have limitations as analytical tools, and should not be
considered in isolation or as substitutes for analysis of other
IFRS financial measures, such as net loss and loss before income
tax.
Adjusted EBITDA is a non-IFRS financial measure defined as net
loss for year/period plus changes in fair value of preferred shares
and embedded derivatives, finance costs, depreciation and
amortization, income tax expenses, impairments when the impairment
is the result of an isolated, non-recurring events, share grant and
option expenses, loss on disposal of plant and equipment and
intangible assets, currency translation loss, business acquisition
transaction and integration costs, legal and professional expenses
incurred for IPO, share listing expenses and on-going costs of a
listed entity. Adjusted EBITDA Margin is defined as Adjusted EBITDA
as a percentage of revenue.
A reconciliation of Net loss to Adjusted EBITDA is provided as
follows:
For the Three Months
Ended
March 31,
2022
2021
(S$ in thousands)
Net loss
(120,348)
(10,787)
Adjustments:
Changes in fair value of preferred shares,
warrant liability and embedded derivatives
(11,072)
(940)
Finance costs – net
626
5,003
Depreciation and amortization expense
4,914
2,448
Impairment
-
8
Share grant and option expenses
1,528
1,332
Others gains/(losses) – net
201
17
Business acquisition transaction and
integration cost
1,109
-
Legal and professional expenses incurred
for IPO
18,444
-
Share listing expense
104,950
-
On-going cost of a listed entity
454
-
Tax credit/(expense)
78
97
Adjusted EBITDA
884
(2,822)
Forward-Looking Statements
Forward-looking statements in this press release, which are not
historical facts, are forward-looking statements within the meaning
of the Private Securities Litigation Reform Act of 1955. These
statements include statements regarding our future results of
operations and financial position, planned products and services,
business strategy and plans, objectives of management for future
operations of PropertyGuru, market size and growth opportunities,
competitive position and technological and market trends and
involve known and unknown risks that are difficult to predict. As a
result, our actual results, performance or achievements may differ
materially from those expressed or implied by these forward-looking
statements. In some cases, you can identify forward-looking
statements because they contain words such as “may,” “will,”
“shall,” “should,” “expects,” “plans,” “anticipates,” “could,”
“intends,” “target,” “projects,” “contemplates,” “believes,”
“estimates,” “predicts,” “potential,” “goal,” “objective,” “seeks,”
or “continue” or the negative of these words or other similar terms
or expressions that concern our expectations, strategy, plans, or
intentions. Such forward-looking statements are necessarily based
upon estimates and assumptions that, while considered reasonable by
us and our management, are inherently uncertain. Factors that may
cause actual results to differ materially from current expectations
include, but are not limited to: changes in domestic and foreign
business, market, financial, political and legal conditions;
competitive pressures in and any disruption to the industry in
which PropertyGuru and its subsidiaries (the “Group”) operates; the
Group’s ability to achieve profitability despite a history of
losses; the Group’s ability to implement its growth strategies and
manage its growth; customers of the Group continuing to make
valuable contributions to its platform, the Group’s ability to meet
consumer expectations; the success of the Group’s new product or
service offerings; the Group’s ability to produce accurate
forecasts of its operating and financial results; the Group’s
ability to attract traffic to its websites; the Group’s ability to
assess property values accurately; the Group’s internal controls;
the war in Ukraine and escalating geopolitical tensions as a result
of Russia's invasion of Ukraine; fluctuations in foreign currency
exchange rates; the Group’s ability to raise capital; media
coverage of the Group; the Group’s ability to obtain insurance
coverage; changes in the regulatory environments (such as
anti-trust laws, foreign ownership restrictions and tax regimes) of
the countries in which the Group operates, general economic
conditions in the countries in which the Group operates, the
Group’s ability to attract and retain management and skilled
employees, the impact of the COVID-19 pandemic on the business of
the Group, the success of the Group’s strategic investments and
acquisitions, changes in the Group’s relationship with its current
customers, suppliers and service providers, disruptions to
information technology systems and networks, the Group’s ability to
grow and protect its brand and the Group’s reputation, the Group’s
ability to protect its intellectual property; changes in regulation
and other contingencies; the Group’s ability to achieve tax
efficiencies of its corporate structure and intercompany
arrangements; potential and future litigation that the Group may be
involved in; unanticipated losses, write-downs or write-offs,
restructuring and impairment or other charges, taxes or other
liabilities that may be incurred or required subsequent to, or in
connection with, the consummation of the Group’s completed business
combination and technological advancements in the Group’s industry;
and other risks discussed in our filings with the SEC.
All forward-looking statements attributable to us or persons
acting on our behalf are expressly qualified in their entirety by
the cautionary statements set forth above. We caution you not to
place undue reliance on any forward-looking statements, which are
made only as of the date of this press release. We do not undertake
or assume any obligation to update publicly any of these
forward-looking statements to reflect actual results, new
information or future events, changes in assumptions or changes in
other factors affecting forward-looking statements, except to the
extent required by applicable law. If we update one or more
forward-looking statements, no inference should be drawn that we
will make additional updates with respect to those or other
forward-looking statements. The inclusion of any statement in this
press release does not constitute an admission by PropertyGuru or
any other person that the events or circumstances described in such
statement are material. Undue reliance should not be placed upon
the forward-looking statements.
Industry and Market Data
This press release contains information, estimates and other
statistical data derived from third party sources and/or industry
or general publications, including estimated insights from
SimilarWeb and Google Analytics. Such information involves a number
of assumptions and limitations, and you are cautioned not to place
undue weight on such estimates. PropertyGuru has not independently
verified such third-party information, and makes no representation
as to the accuracy of such third-party information.
PROPERTYGURU GROUP
UNAUDITED CONSOLIDATED
STATEMENT OF COMPREHENSIVE INCOME
For the Three Months Ended
March 31,
2022
2021
(S$ in thousands, except share
and per share data)
Revenue
28,232
19,887
Other income
478
628
Other gains - net
10,871
923
Expenses
Venue costs
(949)
(547)
Sales and marketing cost
(4,100)
(7,419)
Sales commission
(3,052)
(1,837)
Impairment loss on financial assets
604
672
Depreciation and amortisation
(4,914)
(2,448)
Impairment of intangible assets
-
(8)
IT and Internet expenses
(2,415)
(1,700)
Legal and professional
(854)
(343)
Legal and professional fees incurred for
IPO
(18,444)
-
Share listing expense
(104,950)
-
Employee compensation
(18,265)
(12,478)
Non-executive directors' remuneration
(773)
(144)
Staff cost
(399)
(194)
Office rental
(22)
(10)
Finance cost
(727)
(5,122)
Other expenses
(591)
(550)
Total expenses
(159,851)
(32,128)
Loss before income tax
(120,270)
(10,690)
Tax expenses
(78)
(97)
Net loss
(120,348)
(10,787)
Other comprehensive (loss)/income:
Items that may be reclassified
subsequently to profit or loss:
Currency translation differences arising
from consolidation
(663)
1,889
Items that will not be reclassified
subsequently to profit or loss:
Actuarial loss from post-employment
benefits obligation
(9)
-
Other comprehensive (loss)/income, net of
tax
(672)
1,889
Total comprehensive loss
(121,020)
(8,898)
Net loss per share attributable to
ordinary shareholders, basic and diluted
(0.90)
(0.19)
Weighted average ordinary shares used in
calculating net loss per ordinary share, basic and diluted
133,234,935
56,027,770
PROPERTYGURU GROUP
UNAUDITED CONDENSED BALANCE
SHEET
As of March 31, 2022
As of December 31,
2021
(S$ in thousands)
ASSETS
Current assets
Cash and cash equivalents
369,456
70,236
Trade and other receivables
15,564
17,655
385,020
87,891
Non-current assets
Trade and other receivables
3,534
1,564
Intangible assets
401,410
401,157
Plant and equipment
2,896
3,329
Right-of-use assets
14,274
15,419
422,114
421,469
Total assets
807,134
509,360
Liabilities
Current liabilities
Trade and other payables
48,287
32,921
Lease liabilities
4,355
4,439
Borrowings
17,262
170
Warrants liability
16,674
-
Deferred revenue
44,812
47,318
Provision for reinstatement cost
86
36
Current income tax liabilities
4,603
4,554
136,079
89,438
Non-current liabilities
Trade and other payables
779
603
Lease liabilities
11,558
12,452
Borrowings
-
16,732
Deferred income tax liabilities
2,308
2,375
Provision for reinstatement cost
510
569
15,155
32,731
Total liabilities
151,234
122,169
Net assets
655,900
387,191
Shareholders' Equity
Capital and reserves attributable to
equity holders of the Group
Share capital
1,076,282
684,347
Share reserve
16,454
18,658
Capital reserve
786
785
Warrants
5,742
5,742
Translation reserve
2,078
2,742
Accumulated losses
(445,442)
(325,083)
Total Shareholders' Equity
655,900
387,191
PROPERTYGURU GROUP
UNAUDITED CONDENSED
CONSOLIDATED STATEMENT OF CASH FLOWS
For the Three Months Ended
March 31,
2022
2021
(S$ in thousands)
Cash flows from operating
activities
Loss for the year
(120,348)
(10,787)
Adjustments for:
- Tax expense
78
97
- Employee share grant and option
expense
912
1,322
- Non-executive director share grant and
option expense
660
54
- Amortisation and depreciation
4,914
2,456
- (Gain)/Loss on disposal of plant and
equipment
27
(0)
- Interest income
(101)
(119)
- Finance cost
727
5,122
- Impairment loss on financial assets
(604)
(672)
- Fair value (gain)/loss on conversion
option of Series B
-
(940)
- Fair value loss on warrant liability
(11,072)
-
- Share listing expense
104,950
-
- Unrealised currency translation
(gains)/losses
(7)
74
(19,864)
(3,393)
Change in working capital, net of effects
from acquisition and disposal of subsidiaries:
- Trade and other receivables
2,077
1,311
- Trade and other payables
12,932
(1,595)
- Deferred revenue
(2,506)
(624)
Cash used in operations
(7,361)
(4,301)
Interest received
98
114
Income tax paid
(110)
(728)
Net cash used in operating
activities
(7,373)
(4,915)
Cash flows from investing
activities
Additions to plant and equipment
(160)
(230)
Additions of intangible assets
(4,116)
(2,081)
Proceeds from disposal of plant and
equipment
23
3
Net cash used in investing
activities
(4,253)
(2,308)
Cash flows from financing
activities
Interest paid
(360)
(466)
Proceeds from borrowings
-
11,000
Borrowings transaction cost
-
(449)
Principal payment of lease liabilities
(984)
(1,030)
Repayment of convertible notes
-
(11,261)
Payment for legal and professional fees
incurred for IPO
(955)
-
Proceeds from Reorganisation
142,145
-
Proceeds from the PIPE capital
increase
178,653
-
PIPE capital transaction cost
(7,664)
-
Proceeds from issuance of ordinary
shares
11
77
Net cash provided by/(used in)
financing activities
310,846
(2,129)
Net increase/(decrease) in cash and
cash equivalents
299,220
(9,352)
Cash and cash equivalents
Beginning of financial period
70,236
93,359
End of financial period
369,456
84,007
1 Based on SimilarWeb data between October 2021 and March 2022.
2 The first quarter ended March 31, 2022 includes results of the
iProperty Malaysia and thinkofliving businesses which were acquired
on August 3, 2021. 3 Based on SimilarWeb data between October 2021
and March 2022. 4 Based on Google Analytics data between July 2021
and December 2021. 5 Based on data between July 2021 and December
2021.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20220526005403/en/
Media PropertyGuru
Group Sheena Chopra +65 9247 5651
sheena@propertyguru.com.sg
Investor PropertyGuru
Group Investor Relations investors@propertyguru.com
The Blueshirt Group Gary Dvorchak
pgru@blueshirtgroup.com
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