PropTech Platform Square Yards Hits Rs 1,000 Cr Revenue in FY24, Achieves Profitability in Q4

Square Yards logo

Three points you will get to know in this article:

  • Square Yards achieved 50% revenue growth in FY24, surpassing 1,000 crore revenue milestone.
  • Company’s proptech, mortgages, and real estate services contributed 88% of revenue.
  • Square Yards aims for Rs 1,500 crore revenue in FY25, showing impressive growth.

Introduction to Square Yards

Square Yards is India’s largest integrated platform for real estate and mortgages, and it is one of the fastest-growing Proptech platforms in the UAE, the rest of the Middle East, Australia, and Canada. The company offers an integrated consumer experience covering the full real estate journey, including search and discovery, transactions, home loans, interiors, rentals, property management, and post-sales service. The company is also associated with over 2,000 developers and has served over 100,000 satisfied customers, with an annual GTV of over USD 5 billion. Furthermore, it operates in numerous top cities in India.

Financial Performance and Revenue Growth

Square Yards, a proptech company headquartered in Gurugram, has soared past the 1,000 crore revenue milestone for the fiscal year ending in March 2024. Impressively, the company experienced a whopping 50% growth in total revenue during FY24, reaching Rs 1,000 crore from Rs 663 crore in FY23. Operating revenue amounted to Rs 996.13 crore.

Notably, mortgages and real estate services contributed a significant 88% to the company’s revenue stream, while the remaining 12% was derived from interior and digital products.

What sets Square Yards apart is its comprehensive proptech platform, which covers the entire spectrum of the consumer journey—from search and discovery to transactions, mortgages, home furnishing, rentals, and property management. This holistic approach caters to every aspect of the real estate experience, ensuring seamless and convenient services for customers.

Gross Transaction Value (GTV) Surge

In the fiscal year FY24, Square Yards saw a remarkable surge in its Gross Transaction Value (GTV), skyrocketing by over 76% to reach Rs 40,828 crore, compared to Rs 22,871 crore in FY23. Not only that, but the number of transactions also leaped by 50%, climbing from 1.08 lakh to 1.66 lakh during this period.

Breakdown of Expenses

Now, let’s dive into the breakdown of the company’s expenses. Among them, employee benefits take the spotlight as the largest chunk, accounting for 43% of the total expenses. This cost witnessed a notable growth of 17%, reaching Rs 534 crore in FY24 from Rs 456 crore in FY23, as per the preliminary financial report for FY24.

The company proudly announces that it achieved EBITDA profitability (adjusting for ESOPs expense) in Q4 FY24. Despite facing various expenses, the EBITDA loss for the previous fiscal year (FY24) amounted to about Rs 25 crore ($3 million). Interestingly, the firm managed to turn its operating cash flow from negative (Rs 56 crore) in the first half of the last financial year to breakeven during the latter half of FY24.

Financial Targets and Growth Trajectory

Looking back over the past three years, the company’s growth has been remarkable, with a compound annual growth rate (CAGR) of 60% from FY21 to FY24. Looking ahead, the company sets its sights on closing FY25 with a revenue of Rs 1,500 crore ($180 million) and aims for double-digit margins in the upcoming years.

Square Yards has experienced substantial growth over the past two fiscal years (FY23 and FY24), all achieved without seeking external funding. However, in July 2021, the company secured $25 million in debt financing from ADM Capital, an investment manager based in Hong Kong. Its valuation skyrocketed from around $300 million during its last equity fundraising round in 2019 to its current status, having quadrupled its revenues since then.

Operating in over 100 cities across nine countries, Square Yards boasts a network of 150,000 agent partners. According to preliminary data, the company attracts more than 8 million visitors monthly to its platform.

In the real estate sector, our company faces off against PropTiger and AnaRock. When it comes to our digital offerings, we’re up against Magicbricks, 99acres, Housing, NoBroker, and NestAway. We’re not just stopping there! Our mortgage arm, ‘Urban Money,’ goes head-to-head with Andromeda & Paisabazaar. And let’s not forget about our home renovation division, ‘Interior Company,’ which competes with LivSpace and HomeLane, among others.

Square Yards, a proptech company based in Gurugram, achieved a momentous growth in FY24, surpassing the 1,000 crore revenue milestone, marking a 50% increase from the previous fiscal year. With mortgages and real estate services contributing 88% of the revenue, the company’s holistic proptech platform sets it apart in the market. Additionally, there was a remarkable surge in Gross Transaction Value (GTV), with a 76% increase, and a significant increase in the number of transactions. Despite notable growth in employee benefits expenses, the company targets a revenue of Rs 1,500 crore in FY25, reflecting its remarkable trajectory of growth and success.

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