PEXA shares up after reaffirming full-year guidance
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More news: PEXA shares were trading 4% higher by 1:00pm AEDT, after the property technology company posted a first-half loss.
The market responded as PEXA reaffirmed its full-year guidance, following a strong half-year performance from its property settlement platform PEXA Exchange.
PEXA posts $4.6m HY loss
The news: Property technology company PEXA posted a first-half loss as investment costs in its international and digital growth segments hampered earnings.
The numbers: PEXA recorded a net loss after tax of $4.6 million compared to a net profit after tax of $4 million in the prior corresponding period. EBITDA declined 4% year on year to $43.4 million.
Net profit after tax, excluding tax-effected amortisation of acquired intangibles and significant non-operating items, shrunk 36% to $15 million. This was due to costs associated with the acquisition of property software platform Smoove, restructuring, and higher amortisation arising from group-wide investments.
Meanwhile, half-year group revenue rose 16% on 1H23 to $163.3 million, driven by 11% revenue growth in its exchange business, due to improved transaction volumes and re-pricing in the six-month period.
PEXA also reaffirmed its FY24 guidance with an exchange EBITDA of 50% to 55%, a group operating EBITDA margin of 35% of better, net cash outflows of $70 million to $80 million for the international and digital growth businesses, and a digital growth EBITDA break even in June 2024.
PEXA shares rose 2% to $11.73 at the start of trading.
The context: PEXA said that its property settlement platform, PEXA Exchange, performed strongly in the first half and maintained its leading market position.
The platform, that helps lawyers, conveyancers and financial institutions to transact property online, benefited from CPI-linked price increases, increased market volumes and penetration, and a shift in activity towards higher-value transfers.
The source: ASX announcement
