Singapore-headquartered property-technology firm PropertyGuru recorded revenue of SGD12.5 million ($9.4 million) from the Vietnamese market in the first nine months of 2023, down 31% year-on-year.
Vietnam was PropertyGuru's third-biggest market in terms of revenue in the nine-month period, after Singapore with SGD62.9 million ($46.9 million) and Malaysia with SGD20.2 million ($15.1 million).
The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) in Vietnam were SGD188,000 ($140,239), down 96% year-on-year. The figure is still an improvement from negative SGD73,000 in the first half of this year.
Globally, PropertyGuru posted revenue of SGD108.6 million ($81 million) in the first nine months, up 12.6% year-on-year. Its EBITDA was SGD10 million ($7.5 million), quadrupling year-on-year.
Despite continued macroeconomic headwinds in Vietnam and weak economic conditions in Southeast Asia in general, PropertyGuru still recorded a strong performance in the period, the firm noted in its quarterly report. The solid performance in Singapore helped to offset ongoing challenges in Vietnam, it noted.
Commenting on the Vietnamese market, CEO and managing director Hari Krishnan said “the near-term outlook remains unchanged as the government's efforts to boost consumer confidence and stimulate the market are showing limited immediate impact.”
There are positive signs, with the Vietnamese government highlighting the importance of lowering interest rates in 2024 to enhance credit accessibility for individuals and businesses, and the government's committment to focus resources to achieve GDP growth of 6-6.5% in 2024, while also keeping inflation in check, he added.
It is important to recognize Vietnam's enduring long-term prospects. These include a youthful demographic, increasing urbanization, significant investments in infrastructure, and an economy poised to benefit from the country’s stature as an emerging alternative base for global manufacturing output.