PropertyGuru (US:PGRU)2023-11-21 11:14Financial Performance - Total revenues increased by 13% year over year to S$39 million in Q3 2023, with revenues excluding Vietnam growing by 23%[12] - Adjusted EBITDA rose to S$5 million in Q3 2023, up from S$2 million in Q3 2022, resulting in an Adjusted EBITDA margin of 13.2%, compared to 5.8% in the prior year[8][14] - Revenue for the three months ended September 30, 2023, was S$39,121,000, up from S$34,565,000 in the same period of 2022, representing a growth of approximately 13.5%[43] - Adjusted EBITDA for the three months ended September 30, 2023, was S$5,153,000, an increase from S$2,012,000 in the same period of 2022, reflecting a significant improvement in operational performance[36] - For the nine months ended September 30, 2023, the company reported a net loss of S$16,369,000, a substantial reduction from a net loss of S$123,969,000 in the same period of 2022[43] - Cash provided by operations for the nine months was S$22,614,000, compared to a cash used in operations of S$15,723,000 in the prior year[47] - Net cash provided by operating activities was S$27,188,000, a turnaround from a net cash used of S$16,295,000 in the previous year[47] - The company recorded a fair value gain on warrant liabilities of S$3,338,000, compared to a loss of S$22,691,000 in the previous year[47] - The company incurred an impairment of intangible assets amounting to S$5,469,000, which was not present in the previous year[47] Market Performance - Singapore Marketplaces revenue increased by 24% year over year to S$23 million, with the number of agents growing over 200 to 16,309 and Average Revenue Per Agent (ARPA) rising by 23% to S$1,279[12] - Vietnam Marketplaces revenue decreased by 33% year over year to S$4 million, with the number of listings down 41% to 1.2 million, although Average Revenue Per Listing (ARPL) increased by 16% to S$3.37[12] - PropertyGuru maintains strong Engagement Market Share leadership in Singapore (83%), Malaysia (92%), Vietnam (80%), and Thailand (51%) as of September 30, 2023[16][17] Financial Position - Cash and cash equivalents at quarter-end were S$317 million, providing a solid financial position for future investments[12] - The company’s total assets as of September 30, 2023, were S$731,178,000, slightly down from S$739,397,000 as of December 31, 2022[45] - The company’s cash and cash equivalents increased to S$316,571,000 as of September 30, 2023, compared to S$309,233,000 as of December 31, 2022[45] - The company’s total liabilities as of September 30, 2023, were S$114,502,000, an increase from S$105,137,000 as of December 31, 2022[45] Future Outlook - The company projects full year 2023 revenue to be between S$148 million and S$152 million, with Adjusted EBITDA expected to remain between S$11 million and S$15 million[18] - The company plans to focus on market expansion and new product offerings to drive future growth, although specific targets were not disclosed[39] - The company acknowledges ongoing macroeconomic challenges, particularly in Vietnam and Malaysia, which may impact short-term results[19] Strategic Initiatives - The company continues to invest in property technology and Generative AI, with positive customer feedback on new solutions like DataSense and GuruPicks[4] - The restructuring cost related to the phase-out of the Indonesia marketplace was noted, indicating a strategic shift in operations[37] - The company emphasized the importance of non-IFRS measures like Adjusted EBITDA for evaluating ongoing operations and internal planning[31] Deferred Revenue and Interest - Deferred revenue increased to S$14,484,000 from S$6,683,000 year-over-year, indicating growth in customer commitments[47] - Interest received increased significantly to S$5,123,000 from S$276,000 in the prior year, reflecting improved cash management[47]