Dedicated locality research platform
Dedicated locality research platform
Enter your email address and you will receive
a link to reset your password
Aurum PropTech, in a disclosure to its shareholders, unveiled its financial performance for the quarter ending on September 30, 2023. During this period, the company reported a net consolidated loss after tax amounting to Rs 23.89 crore. This figure starkly contrasts with the corresponding quarter of the previous fiscal year, where the company had posted a loss after tax of Rs 10.82 crore, a discrepancy outlined in the company's submission to the Bombay Stock Exchange (BSE). However, it's not all negative news. The company exhibited robust growth in terms of net consolidated total income, with Q2 FY24 boasting a substantial total income of Rs 57.53 crore.
This marked an impressive 86.54% surge from the sum of Rs 30.84 crore reported during the corresponding quarter of the previous year. A pivotal moment during this quarter was the significant reduction in losses incurred by NestAway, a subsidiary of Aurum PropTech. This reduction saw NestAway's losses shrink from a substantial 85% of Earnings Before Interest, Depreciation, Taxes, and Amortization (EBIDTA) to a much-improved 17% EBIDTA. This achievement positions Aurum PropTech favourably, edging closer to breaking even by the close of the present financial year.
An important development in the company's trajectory occurred in April 2023, when the board of directors deliberated and authorized the acquisition of NestAway Technologies (NestAway). Subsequently, they delegated the authority to the executive investment committee, empowering them to invest up to Rs 90 crore in this strategic acquisition. This critical decision was ratified in a meeting held on June 1, 2023, where the executive investment committee greenlit the acquisition of up to 100% of the equity share capital of NestAway, with the agreed cash consideration amounting to up to Rs 90 crore.
During the quarter ending on September 30, 2023, Aurum PropTech successfully acquired a controlling interest in NestAway, securing 93.64% of its equity shares. The consideration for this strategic acquisition totalled Rs 81.51 crore, as detailed in the regulatory filing. However, it's important to highlight that the group reported a pre-tax loss of Rs 28.50 crore for the quarter ending on September 30, 2023, accumulating a total loss of Rs 49.76 crore. Furthermore, the group's current liabilities exceeded assets by a significant margin of Rs 100.27 crore, primarily due to subsidiary acquisitions. Lease liabilities accounted for Rs 46.50 crore of the current liabilities.
The prior quarter, ending on June 30, 2023, bore witness to the company receiving official approval for the incorporation of two new subsidiaries: Monk Tech Venture and Cuneate Services. These two entities had authorized capital of Rs 10 lakh and Rs 1 crore, respectively. Up to the end of September 30, 2023, the company had made investments totalling Rs 5 lakhs in Monk Tech Venture and Rs 1 lakh in Cuneate Services, as disclosed in the regulatory filing.
Propscience is India’s dedicated property news portal. We cover the latest events, news, trends, deals, new launches and more.
All our services and tools are completely free of cost and available 24X7!
