Square Yards reports 13% jump in revenues in Q1FY21; market share jumps five-fold
New Delhi: Amid severe slowdown in the real estate industry, PropTech platform Square Yards has reported 27 percent jump in real estate revenues in the first quarter of the current fiscal as compared to the last fiscal. The number of transaction jumped 82 percent in the latest quarter. The overall revenues of the Gurugram-headquartered company increased 13 percent in the latest quarter to touch Rs 67 crore as compared to the corresponding quarter of the previous fiscal.
The company said that the first quarter of the current fiscal was also the most profitable quarter for itself. The company achieved 40 percent gross margins and 22 percent EBITDA margins. Square Yards also turned cash flow positive for the first time. Its gross profit jumped 3 times to Rs 27 crore.
The firm also claimed that its market share increased to 18-20 percent of the overall new house sales in the real estate market of the country in the latest quarter. This is about five-fold jump from pre-corona levels of 3-4 percent market share.
"The consolidation during the lockdown offers a peek into how the industry will get structured in years to come. We continue to make a play for controlling market share to scale efficiencies and profitability", said Tanuj Shori, Founder& CEO, Square Yards.
The growth in the latest quarter was mainly driven by NRI business which saw 60 percent revenue growth as compared to the same quarter of the previous fiscal.
The real estate business contributed 94 percent of the total revenue of the company and the rest of 6 percent revenues were accounted for by mortgage business.
About 30 percent of the revenues came from sale of realty assets outside India, mainly in the Gulf region. The gross transaction value of the company went up 13 percent to Rs 1,354 crore in the latest quarter from Rs 1,203 crore in the same quarter of the previous fiscal.
Pune, Bengaluru and Mumbai held the top three slots as far as city contributions were concerned. Noida and Gurugram were the fourth and fifth. Square Yards secured large and exclusive mandate from Mumbai-based Godrej Properties wherein Square Yards held the sole distribution rights for a major portion of Godrej’s portfolio.