FDV
FDV
Quarterly Review
Pinned straw:
The Good
- LATAM360 EBITDAs are trending up across 3 of the 4 business’s
The Not So Good
- Revenue is up on the PCP but down QoQ. Q1 is revenues can be impacted slightly by seasonality so the expectation would be an improvement next quarter. The $19.2m revenue for the quarter when annualised is less than FY23.
- Cash balance of $13.9m indicates a FCF burn of ~ $0.9m, so there is still room to improve before the business is covering its investments in R&D.
- Now that the quarterly reporting isn’t mandatory, operating expenditure will not be visible until the half year report.
- Web metrics and revenue splits across transactions and subscriptions are no longer reported
- Yappo was impacted by fires in Chile and a system change which is more aligned with Encuentra24.
- ASIA businesses are trending flat or falling EBITDAs except for iMyanmarhouse
- The same is the case for the MMG business’s
Watch Status
Deteriorating - QoQ decrease in revenues across all business units
Valuation Status
Hold
What To Watch
- Pakistan is still struggling economically and likely to for quite some time.
- LATAM360 - Launch events planned through major cities for the IRIS platform. Potential to continue to drive revenue growth. (3.6% of Revenue)
- LATAM360 - Expanding locations for Centrify (13.5% of Revenue)
- MMG - Integration of home financing product
- MMG - No reported details for PropertyPro?
- ASIA - Online inspections and auto bidding in the pipeline.
- Zameen revenue was the highest in Feb24 since Feb23, showing signs improvement could be starting.
- Improvements in Yapo after system change and release.
Great straw @Bradbury .
I thought this report has cracked the nut on displaying and describing their business Units via geography, a long held complaint by would-be investors as I understand it.
For me, QoQ is less valuable then PCP, as these markets move so wildly at times that i'm not convinced that QoQ is a fair comparison practically. Still worth doing, but I weight it lower in FDV's case.
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