Purplebricks reports Group adjusted operating loss of £21.3m despite strong revenue growth in UK, Australia
StockMarketWire.com - Hybrid estate agency Purplebricks reported a Group adjusted operating loss of £21.3m for the year ending 30 April 2018 despite strong revenue growth in the UK and Australia. This compares with a £5.1m Group loss in 2017.
While the UK made an adjusted EBITDA profit of £8.1m, a significant increase on £1.7m last year, Australia saw an adjusted EBITDA loss of £11.8m and the US a £16.0m loss. This reflected the firm's investment in launching and establishing these early-stage businesses, the company said.
The firm attributed the increase in operating activity losses to share-based payment charges from £6.0m in FY 17, principally due to Purplebricks' focus on building the operational and marketing footprint in order to support international expansion.
"We have doubled revenues in tough markets, taking market share as we continue to win over consumers to the modern way of buying and selling property," said Michael Bruce, Group Chief Executive.
"We are confident that Purplebricks' market leadership will continue, given the strength of its brand, the continuing investment into team, technology and processes and our £153m war chest for global growth, following the strategic investment by Axel Springer," he added.