Aurum Proptech Ltd (BOM:539289) Q2 2025 Earnings Call Highlights: Navigating Growth and Challenges

In This Article:

  • Revenue from Operations: INR64 crores for the quarter, compared to INR64.9 crores in the previous quarter.

  • Total Income: INR67.6 crores for the quarter, compared to INR69.1 crores in the previous quarter.

  • Loss Before Tax: INR12.1 crores for the quarter, improved from INR13.8 crores in the previous quarter.

  • EBITDA Margin: 21.5% for the current quarter, up from 17.4% in the previous quarter.

  • Year-on-Year Revenue Growth: 21.2%, from INR52.82 crores in the corresponding quarter of the previous year.

  • Year-on-Year Total Income Growth: 18%, from INR57.3 crores in the corresponding quarter of the previous year.

  • 6-Month Revenue from Operations: INR128.9 crores, a 33% year-on-year growth from INR96.9 crores.

  • 6-Month Total Income: INR136.7 crores, a 30% year-on-year growth from INR105.2 crores.

  • Total Assets: INR624.6 crores as of September 30, 2024.

  • Total Borrowings: INR65.6 crores, reduced from INR193.9 crores as of March 31, 2024.

  • Cash and Cash Equivalents: INR14 crores, up from INR7 crores as of March 31, 2024.

  • Rental Revenue Contribution: 65% of total revenue from operations, amounting to INR43.2 crores.

  • Distribution Segment Revenue: INR16.8 crores for the quarter.

  • Capital Segment Revenue: INR4 crores for the quarter.

Release Date: October 22, 2024

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

  • Aurum Proptech Ltd (BOM:539289) is consolidating its market dominance in the rental vertical, managing 32,000 rental units and aiming to exceed 50,000 by FY 2026.

  • The company projects its co-living business to generate INR500 crores in ARR by FY 2028, with strategic capital allocation planned for growth.

  • The distribution vertical has been realigned with a focus on technology, with Sell.Do leading as a real estate CRM in India and exploring international expansion.

  • Aurum Proptech Ltd is preparing to launch its first asset as an SM-REIT, leveraging its tech stack and expertise in real estate management.

  • The company has improved its ESOP adjusted EBITDA from minus 5.9% to minus 4.1%, showing progress towards profitability by FY26, '27.

Negative Points

  • The revenue from operations for the quarter decreased slightly to INR64 crores from INR64.9 crores in the previous quarter.

  • The company reported a loss before tax of INR12.1 crores, although this was an improvement from the previous quarter's INR13.8 crores.

  • Despite improvements, the rental and capital segments still reported losses of INR1.2 crores and INR2.5 crores, respectively.

  • The company let go of a revenue-generating services arm, resulting in a loss of INR9 crores in revenue for the quarter.

  • There is a considerable debt on the company, with total borrowings at INR65.6 crores, although it has decreased from INR193.9 crores as of March 31, 2024.