PropNex (OYY) H2 2024 earnings summary

Executive summary

• Achieved net profit of $40.9 million on revenue of $783.0 million for FY2024, reflecting resilience amid a subdued property market.

• 4Q2024 saw a surge in private new home launches, with nearly 50% of annual transactions occurring in this quarter; revenue impact to be recognized in 1H2025.

• Board proposed a final dividend of 3.00 cents and a special dividend of 2.50 cents per share, totaling 7.75 cents for FY2024, the highest since listing.

Financial highlights

• FY2024 revenue declined 6.6% year-over-year to $783.0 million; net profit fell 14.4% to $40.9 million.

• Gross profit for FY2024 was $71.0 million, down 12.4% year-over-year.

• EPS for FY2024 was 5.53 cents, a 14.4% decrease from the previous year.

• Commission income from project marketing services dropped 23.4% year-over-year, while agency services income rose slightly.

Outlook and guidance

• Expects strong FY2025 performance, driven by revenue recognition from 4Q2024 transactions and a positive property market outlook.

• Projects private new home sales of 8,000–9,000 units (excluding ECs) and a 3–4% rise in private home prices in 2025.

• HDB resale market expected to see 5–7% price growth and volumes of 29,000–30,000 units.

• Developers anticipated to launch about 13,000 new units (including ECs) in 2025, nearly double 2024's supply.