REA India, the parent company of Housing.com and PropTiger, is adopting a strategic stance regarding acquisitions for its continued expansion, as stated by CEO Dhruv Agarwala. While not actively seeking acquisitions, the company remains receptive to assessing "intriguing" opportunities that align with its business objectives or introduce novel technologies.
As a subsidiary of Australia-based REA Group, REA India aims to consolidate its position by nurturing both Housing.com, the real estate classified platform, and PropTiger.com, the residential brokerage portal. Agarwala emphasized the company's commitment to reinforcing its existing ventures to foster growth and resilience.
During an interview with PTI, Agarwala clarified that while there are no imminent acquisition plans, the company remains open to opportunities that could enhance its talent pool or address specific product gaps, such as its previous foray into mortgage services. However, the primary focus remains on bolstering the existing businesses.
Agarwala highlighted the significant monthly web traffic exceeding 20 million on Housing.com, with plans to further augment this figure to establish a substantial lead over competitors. Additionally, the company aims to channel efforts into increasing engagement on the Housing.com app, which yields higher-quality leads for its clients, including real estate developers and brokers.
Notably, the traffic on the Housing.com app witnessed a noteworthy 43 percent growth in the initial half of the 2023-24 fiscal year, underscoring its increasing popularity among users.
REA India's revenue witnessed a commendable 21 percent growth to reach 44 million Australian dollars (approximately Rs 240 crore) in the July-December period, marking a significant uptick from the previous year's figure of AUD 36 million. Agarwala attributed this growth primarily to the core businesses of advertising and housing brokerage, which registered a robust 32 percent increase to AUD 32 million.
However, revenue from adjacency businesses, offering supplementary services like movers and packers, insurance, and mortgage, remained stagnant at AUD 12 million. Despite this, REA India's overall revenue surged by 46 percent to over Rs 430 crore in the 2022-23 fiscal year, compared to nearly Rs 300 crore in the preceding year.
When questioned about the timeline for achieving profitability, Agarwala acknowledged that the company's losses peaked in the previous fiscal year but assured a consistent reduction in losses annually. He reiterated the company's commitment to investing in its business to reinforce its market leadership in India.
The acquisition of a controlling stake in Elara Technologies by Australia's REA Group in December 2020 led to the formation of REA India, incorporating platforms like Housing.com, PropTiger.com, and Makaan.com. Housing.com, established in 2012, serves as a comprehensive proptech platform catering to various stakeholders in the real estate ecosystem, offering listings for diverse property types across India. Meanwhile, PropTiger.com, founded in 2011, specializes in housing brokerage services.
Read also | P&G India Names Kumar Venkatasubramanian as New CEO
Read also | Expanding Horizons: Bira 91 Secures $25 Million for Manufacturing Growth
