FDV Regains Positive Free Cash Flow in Q1 as Zameen Shows Signs of Recovery

The ASX-listed, Malaysia-based marketplace operator Frontier Digital Ventures (FDV) has released a report on its activities for the first quarter of the financial year. Highlights from the company's report for the three months ended March 31st include:

• Free cash flow of A$0.6M for the quarter with a cash balance of A$11.2M.
• Operating revenue of A$20M, up 4% year-on-year.
• Operating EBITDA of A$2.8M, up 68% year-on-year.

Commenting on the performance, FDV Founder and CEO, Shaun Di Gregorio said:

"FDV has experienced a strong start to 2025, delivering positive free cash flow at the Group level and across all regions.

Importantly, we remain committed to sustaining this performance throughout the year, supported by ongoing strategic initiatives to optimise our revenue mix and cost base. This is reflected in the increase in EBITDA margin from 8% to 14% between 4Q 2024 and 1Q 2025."

ASX-listed Frontier Digital Ventures operates more than a dozen online marketplace brands in emerging markets in three different regions, which operate independently of one another under regional umbrella brands.

In Latin America, where FDV operates under the 360LATAM brand, revenue stood at A$11.6M for the quarter representing a 10% year-on-year drop. The decline is due to the InfoCasas brand's ongoing transition to a transaction-based business model.

First announced in 2023, 360LATAM's Iris product sees InfoCasas, and increasingly the group's other regional brands, act like a de-facto MLS to take more control of transactions and split commissions with brokers. Revenues from Iris in Q1 grew 75% year-on-year and leadership is confident of the model's long-term prospects. Below: 360LATAM CEO, Ricardo Frechou explains Iris.

Revenue for the region stood at A$11.6M for the quarter, down 10% on the comparison period, while EBITDA was up 30% thanks in part to the Colombian real estate vertical Fincaraíz which enacted a new three-tier pricing strategy and removed all free listings.

360LATAM remains under a strategic review which FDV's report noted was gathering pace after the company switched corporate advisors during the quarter.

Elsewhere, FDV's MENA Marketplaces operating division saw revenue of A$2.4m (up 23%) and EBITDA of A$0.23m (up 55%) as, like many horizontal classifieds operators, it pursues a strategy of verticalisation.

In Asia, FDV reported record incorporated revenue of A$2.2m (up 52%) and EBITDA of A$0.14 (up 8%). The Burmese real estate vertical iMyanmarHouse saw a revenue increase of 72% with continued investment in products while in Sri Lanka, LankaPropertyWeb saw revenue up 41%.

Zameen, the leading Pakistani real estate vertical of which FDV owns a 30% stake, continues to be affected by a "subdued" property market. However, revenue on an FDV share basis rose 22% year-on-year to A$3.1M and the company noted that inflation in the country is now at its lowest point for a decade.

There was no word on the IPO plans of Zameen's parent company, the Dubai-based marketplace operator Dubizzle Group. Previous FDV missives to the market have been supportive of Dubizzle Group's plans.