Rent.com.au reports a record-breaking group revenue of $890,000 for the March quarter of the 2024 financial year
In a recent announcement on the ASX, Rent.com.au, the go-to platform for Australian renters, revealed a substantial surge in group revenue, marking a 41% increase compared to the same quarter last year.
Revenue from the search portal witnessed a commendable uptick of 25% year-on-year, while RentPay revenue demonstrated a remarkable 21% surge quarter-on-quarter, indicating a notable 144% increase from the corresponding period in 2023.
Greg Bader, CEO of Rent.com.au, highlighted the bustling nature of the March quarter for the platform, noting that it traditionally represents a peak period. He expressed satisfaction at achieving record group revenue and emphasized the robust year-over-year growth across all revenue streams.
Acknowledging the influence of historically low rental property vacancy rates, Bader underscored the enduring appeal of Rent.com.au’s products to renters. Despite a reduction in people moving due to these low vacancy rates, there was a higher uptake of renter products compared to the previous year, reflecting their enduring appeal.
Bader noted a deliberate pause in mass RentPay migrations by property management teams during the peak moving period from January to March. This temporary halt contributed to a slower growth in active RentPay customers. However, Bader expressed confidence in compensating for this shortfall in the final quarter of FY24.
The search portal, Rent.com.au, reported a solid performance during the quarter, with a revenue increase of 25% compared to the same period last year, totaling $741,000. Additionally, RentCheck penetration witnessed a notable 17% increase from the corresponding quarter in 2023.
The surge in advertising sales, up by 44% compared to the same quarter last year, played a pivotal role in enhancing the search portal’s performance. Bader highlighted the inclusion of seasonal or ‘one-off’ campaigns in this increase, which necessitates future replacements. Nonetheless, efforts to diversify the advertiser base have been initiated to mitigate potential impacts.
Despite a slower pace of active customer growth for RentPay during Q3 FY24, Rent.com.au witnessed a substantial increase in agencies signing up for RentPay, representing over 4000 tenancies awaiting onboarding. Bader attributed this slower growth to property managers’ temporary pause on onboarding during the January to March moving period, with plans to resume in the June quarter.
The March quarter saw RentPay’s EBITDA loss at $500,000, reflecting a slight increase from the previous quarter. This included investments in software development and marketing expenditures to introduce new features such as new payment methods and cashback/rewards offers.
Bader expressed satisfaction with Rent.com.au’s progress, noting a record revenue for the group. While challenges persist in advertising sales revenue, efforts are underway to diversify revenue streams and continue enhancing customer engagement.
In conclusion, Bader emphasized Rent.com.au’s commitment to accommodating the needs of its agent customers and highlighted the platform’s substantial growth, particularly in RentPay, making it their best quarter ever.
