BuyMyPlace, the real estate platform that enables Australians to sell their properties without paying fees and commissions to real estate agents, has recorded record revenue of $692K for September quarter (Q1) up 48% on prior corresponding period (PCP), and continues to grow.
Key points
- Gross Profit of $476K up 46% on PCP
- Average Order Value (AOV) up 31% on PCP (excluding MyPlace Conveyancing)
- 4,500 properties sold, c.$2.4bn in property value. Record property sales in Q1 of 419
The online company, which labels itself as a disruptor, claims it has broken its own records and bucked the market trend by lodging record revenue, gross profit and property sales in the first quarter.
Its total consolidated revenue achieved a record of $692,000, including MyPlace Conveyancing, up 48 percent on PCP. Similarly consolidated gross profit also achieved a record of $476,000, up 46 percent on PCP. Core revenue and gross profit, excluding acquisitions, also achieved new records, up 36 percent and 43 percent respectively on PCP.
According to its press release, in early October, the company also passed 4,500 properties sold with a total value of c.$2.4 billion. Property sales continue to accelerate, with record sales of 419 in Q1, up 225 percent on PCP.
The company’s recent acquisition, My Place Conveyancing remains on track, achieving or exceeding internal forecasts in Q1 and adding revenue and gross profit to the consolidated result.
The company’s CEO Paul Heath said the recent acquisition of My Place Conveyancing has contributed to the business’s positive results.
“Adoption of our conveyancing offering has been strong and coupled with significant gains in all other key metrics in a flat market, we believe these results prove the buyMyplace model is being accepted by a broader base of vendors, rather than just those solely looking for cost-savings,” Heath said.
“Similarly revenues from our Full Service offering have increased month on month this quarter.
“BuyMyplace Full Service is a compelling offer, with all the services and support of a fully licensed real estate agent while still saving thousands for those vendors selecting this service.
“We are delighted to start the year so strongly across virtually all metrics. Of particular note, is our focus on average order value (AOV) and gross profit as vital KPIs. It is crucial to increase gross profit in lock step with revenue at this stage of the company’s growth and prior to break-even.”
September 2017 was also a record month for the company in revenue, AOV and number of properties sold.
“With the growth of the company we have also added additional staff which, coupled with the non-recurring costs, increased our cash burn in Q1,” Heath commented.
“However, in Q2 we expect that to return to historical norms in line with higher revenues forecasted from our Core business, including the growth in revenues from Full Service as well as the acquisition of MyPlace Conveyancing.”
