Press Release: PropertyGuru reports a strong Q1 2022, growing 42 pct over previous year
PropertyGuru Reports Robust First Quarter 2022 Performance
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
Singapore – May 26, 2022 – PropertyGuru Group Limited (NYSE: PGRU) (“PropertyGuru” or the “Company”), Southeast Asia’s leading[1], 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 Share[3] 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.
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