Rent.com.au Sees "Phenomenal" Q2 as RentPay Product Continues to Grow User Base

The rental portal operator Rent.com.au has released a report on its activities for Q2 of the Australian financial year. Highlights from the company's report include:

• Quarterly revenue of A$808k, up 33% year-on-year.
• 21% consecutive quarterly growth in active RentPay customers (up 122% year-on-year).
• Search portal revenues were up 11% year-on-year for the quarter.

Rent.com.au is a specialist rental portal company operated from Western Australia that competes with the likes of REA Group-owned Realestate.com.au and Domain.

The ASX-listed company reported a "phenomenal" second quarter according to CEO, Greg Bader despite the continuation of a sluggish domestic rental market.

"We've had a phenomenal quarter. This is usually the weakest quarter of the year because the real estate industry effectively shuts down for most of December. While that has not changed, our group results have proven more resilient in large part because of the annuity nature of RentPay's revenue."

Aside from the marketplace part of the business which accounts for the vast majority of the company's revenue, Rent also operates a suite of consumer convenience products including its flagship solution, RentPay.

Launched in May 2021 after 18 months of development and several years after its original conception, RentPay lets tenants pay their rent via an app while enabling them to build a reliability scoring and a 'buffer' amount to protect landlords. The product generated A$120k in revenue in Q2 and had over 8,600 active users.

Despite a A$504k EBITDA loss from the RentPay business, the overall business was cash flow positive for the quarter with Bader's outlook positive for the rest of 2024.

"With our recent capital raise completed, search portal profitability, and a clear and confident growth path for RentPay we are well placed to deliver on our growth ambitions."