Rent.com.au Q4 2024: Quarterly Revenues of $764k as RentPay Surpasses $300M in Payments

Rent.com.au has released its Q4 financial statement for the 2024 Australian financial year ending June 30.

Highlights include:

• Q4 Quarterly Group revenue of A$764k, up 8% on the same period last year
• Slow market means a slight decrease in total revenues quarter-on-quarter
• RentPay surpasses A$300 million in payments
• Active RentPay users jumps 34% year-on-year
• New RentPay features driving increased ARPU (Average Revenue Per User) by 27.2% YoY
• Fully underwritten rights issue set to raise A$2.5 million by August 2024

Rent.com.au is Australia's leading rental properties specialist and the brains behind the ever-popular RentPay product, which contributed 21.6% of total group revenues for the quarter at A$164k.

Greg Bader, CEO at rent.com.au, commented:

"As is typical for the June Quarter, fewer renters move house therefore demand for our Renter Products slowed compared to the March 2024 quarter before picking up again from late July through to end November.

"Nevertheless, we still posted an 8% increase in revenue compares to the same quarter in 2023.

"We entered the quarter with a strong pipeline of agencies representing more than 4,000 tenancies who had signed agreements with RentPay but were yet to onboard their rent rolls. We also have about 20% of new customers coming via our consumer marketing channels.

"During the previous quarter we launched several features aimed at both making RentPay more attractive for renters and providing opportunities to increase profitability. These included a cashback rewards partnership, adding Alipay, WeChat Pay and UnionPay as payment options and new Click-to-Pay functionality which makes it easier to add a credit card to the user's RentPay wallet.

"Coinciding with the Click-to-Pay release we also reduced our credit card fees to be the lowest in the market, making it easier and cheaper to pay rent with a credit card.

"Rather than reduce the ARPU, this has increased use of credit cards as a payment method and actually increased ARPU."

For reference, RentPay ARPU was A$4.83 in Q4 2023, rising to A$6.14 in Q4 2024, a 27.2% increase year-on-year.

Bader commented:

"The continued growth of RentPay is also driving a shift in our business's revenue profile towards a more stable, annuity-style income that is not as exposed to seasonal and market variations like the search portal is. 21% of group revenues now come from RentPay's subcrciption revenue rather than one off transactions."

For reference, RentPay annuity revenue contributed 11% of total revenues in Q4 2023, meaning Q4'2 21% represent a 10% growth year-on-year.

However, RentPay overall recorded an EBITDA loss of A$611k for the quarter, widening by A$34k since Q3.