Aurum Proptech Ltd
Q2 FY23 Earnings Call Analysis
IT - Services
fundraise: No informationcapex: Yesrevenue: Category 1margin: Category 1orderbook: No information
💰fundraise
Any current/future new fundraising through debt or equity?
- No specific mention of current or planned fundraising through debt or equity was made in the call.
- The company has ₹40 crores cash on the books as of the latest update.
- The management indicated they keep meeting interesting ventures and startups for potential acquisitions but have no definitive plans announced regarding fundraising.
- Growth and profitability are being targeted through organic growth and improving unit economics rather than immediate external fundraising.
- Any significant acquisition or fundraising will be communicated transparently to the market when identified.
🏗️capex
Any current/future capex/capital investment/strategic investment?
- Aurum PropTech continues to evaluate strategic acquisitions aligned with its ecosystem plans but has no specific acquisition confirmed at this time.
- They actively engage with exciting ventures and startups that fit strategically, indicating ongoing capital deployment for ecosystem expansion.
- The company is focused on integrating tech, capital, services, and data across its portfolio, suggesting ongoing investment in technology and operations.
- HelloWorld’s depreciation is expected to increase as more properties and beds are onboarded, implying future capital investments in property infrastructure.
- NestAway is undergoing restructuring with a focus on operational efficiency and profitability, with no explicit mention of immediate large capital outlays.
- The company aims to grow to INR 100 crores quarterly revenue by Q4 FY24, leveraging existing assets and organic growth rather than announced fresh capital investment.
📊revenue
Future growth expectations in sales/revenue/volumes?
- Aurum PropTech aims to achieve INR 100 crores quarterly revenue by Q4 FY 2024, reaching a INR 400 crore run rate.
- Current revenue is around INR 44-50 crores quarterly, with expectations to double in three quarters.
- Growth driven primarily by co-living (HelloWorld), SaaS products, and rental management services (NestAway).
- NestAway focuses on profitability first in next two quarters, then plans hyper-growth in FY 2024-25.
- SaaS business expects EBITDA positivity within 4-5 quarters, with one product already profitable.
- RaaS business units like Aurum Analytica are already PBT profitable.
- Internal target: All business units to be profitable within six quarters.
- Expansion planned in GCC markets for SaaS products.
- Continued acquisition and integration of startups that align strategically with the ecosystem for growth.
📈margin
Future growth expectations in earnings/operating earnings/profits/EPS?
- Aurum PropTech aims to reach INR 100 crores in quarterly revenue by Q4 FY24, implying a significant growth trajectory.
- EBITDA is already positive, with an internal target to achieve PBT (profit before tax) positivity within six quarters.
- SaaS segment includes one product with double-digit profitability at PBT level, while the other is expected to turn EBITDA positive within 4-5 quarters.
- The co-living business (HelloWorld) approaches EBITDA profitability closely, targeting stable unit economics and growth.
- NestAway, a key business vertical, plans to achieve profitability within the next two quarters focusing on cost reductions and operational efficiencies, before scaling growth aggressively from 2024 onwards.
- Overall, the company targets becoming EBITDA positive as a consolidated entity in FY24 and expects all businesses to be profitable within six quarters.
- The expected Return on Equity (ROE) for top revenue-contributing businesses is approximately 25% in the next two years.
📋orderbook
Current/ Expected Orderbook/ Pending Orders?
The transcript provided does not explicitly mention current or expected order book or pending orders for Aurum PropTech Limited. However, related insights include:
- The company aims to achieve INR 100 crores quarterly revenue by Q4 FY24 with existing portfolio, indicating strong ongoing business without reliance on new ventures as of now.
- They continue to evaluate potential acquisitions and strategic partnerships but no specific order books or pending orders are mentioned.
- Growth outlook is positive, with EBITDA profitability already achieved and a target to be PBT positive in six quarters.
- Multiple business verticals like SaaS, RaaS, and co-living are scaling with consistent revenue growth.
- The company focuses on cost optimization, operational efficiencies, and market expansion, especially in SaaS products entering GCC markets.
No specific figures or detailed commentary on order book or pending contracts are disclosed in the call transcript.
