PropNex profits grew 47% in 2020, crosses 9,000 mark in sales force

This was led by domestic demand in private residential and public housing.

Singapore’s largest listed real estate agency PropNex Limited reported a 47.8% YoY growth in net profit after tax for the last fiscal year which ended on 31 December.

This amounts to $31.2m, led by the domestic demand in both private residential and public housing segments.

The demand was driven particularly by local property buyers who capitalised on low borrowing rates and attractive pricing of newly launched property development projects.

Ismail Gafoor, PropNex’s co-founder, CEO and executive chairman, noted that resilience was seen in the real estate market in Singapore in 2020.

“For the whole of 2020, private home prices climbed 2.2%, following the 2.7% rise in 2019. Meanwhile, HBD resale prices rose by 5%, thereby underpinning the overall resilience of the real estate market in Singapore,” he said.

Gafoor acknowledged that growth was achieved in both top and bottom lines as real estate agency players adapted to digital technologies.

“Real estate agency players rose to the new challenges and quickly adapted to the situation through adoption of digital technologies to ensure business continuity despite the circuit breaker period…This translated to a rise in our market share across the three segments of new launches, private resale and HDB resale, and allowed us to achieve growth in out top and bottom line,” he added.

PropNex’s revenue increased by approximately $95.8m or 22.8%. This equated to a total of $515.6m in FY2020, from $419.8m in FY2019.

Its overall growth in terms of salespersons also rose from 8,327 as of 1 January 2020 to 9,057 by 22 February 2021.

This translates to PropNex becoming the first real estate agency in Singapore to cross the 9,000 salesperson mark.

PropNex said it will further recruit and retain its sales force to reach the 10,000 mark by 2022.