PropNex reports lower FY2024 earnings but expects significant pick-up for 1HFY2025
The firm explains that the financial effects of these sales will just be booked three to four months later on, suggesting a significant pick-up when it reports its existing 1HFY2025 numbers.
This is underpinned by a determined 13,000 new unit launches (including ECs)– almost double the quantity recorded in 2024.
“Demand is going to be sustained by the relentless price gap between new and non-landed resale properties, a preference for larger, move-in-ready homes and the effect of lesser brand-new supply completions,” claims PropNex.
“We prepare for a positive demand for programmers’ sales in 2025, including a compelling line-up of jobs. Additionally, a favorable financial outlook and lower mortgage rates might even more boost industry assurance, developing opportunities for both property buyers and investors,” he includes.
Singapore’s most extensive property agency PropNex has reported earnings of $21.9 million for its 2HFY2024 ended Dec 31, 2024, lower 14.9% y-o-y. This takes its full-year revenues to $40.9 million, 14.4% lower compared to the preceding FY2023.
“Fewer five-year minimum occupation period apartments getting in the market, coupled with continual need from urgent buyers, unsuccessful Build-To-Order applicants, and budget-conscious families, will continue to support this sector,” says PropNex.
Revenue dipped 6.6% in FY2024 over FY2023, due to the “reasonably controlled real estate market”.
Ismail observes that newly-launched projects such as The Orie, Bagnall Haus, Parktown Residence and ELTA have actually created solid market attraction.
Despite the lower earnings for the year, PropNex has observed a pick up in events in the remaining quarter of 2024, led by a surge in new private home units which it assisted to offer.
“In view of this, and expectations of a favourable real estate market expectation in 2025, the team is confident of a strong efficiency in FY2025, preventing unforeseen events,” specifies PropNex.
HDB resale, the various other key market, will likely see price growth of 5% to 7%, with volumes reaching 29,000 to 30,000 units.
The private resale market, meanwhile, is readied to continue to be engaged, with transaction quantities prepared for to range in between 14,000 and 15,000 units.
Still, to mark its 25th anniversary, PropNex considers to pay an unique dividend of 2.5 cents per share, on top of a final reward of 3 cents. This will bring its total returns payout for FY2024 to a record of 7.75 cents, representing a payout ratio of 140.1% and a turnout of 8.2%.
