STTCOMP REV, FA LONG
MK $2.7m
84.5m shares
65% tightly held top 20
only finish $200k in the red and only a matter of time to being profitable. Very successful management team that continue to achieve milestones. Partners Domain Group, Verdi Plus and Century 21.
Real Estate Investar Achieves 250,000 Member Milestone
Highlights of the December 2016 Quarter include:
• Membership increased to 250,124 members as at 31 December 2016, a 64.1% year on
year growth;
• Cash receipts grew by 7% over the previous corresponding period to $1.0m;
• Net cash outflows used in operating activities improved to $0.2m, significantly
reduced from net outflows of $1.6m in the previous corresponding period and $0.9m
in the September 2016 Quarter; and
• Real Estate Investar commenced promotion of a new Premium Membership focused
on assisting members to purchase investment grade properties and generate property
sales commission revenues.
Real Estate Investar Group Limited (“REV Group” or “Company”) (ASX:REV), a leading
provider of online services to Australian and New Zealand property investors, has released its
Appendix 4C statement for the 3 months to the end of December 2016.
Receipts from customers for the 3 months to the end of December 2016 grew 7% over the
previous corresponding period to $1.0m. Net cash used in operating activities for the quarter
was $0.2m representing a significant improvement over both the $1.6m net outflows from
the previous corresponding period and the $0.9m net outflows from the September 2016
Quarter.
During the December 2016 Quarter the REV Group grew its member base to 250,124 and
achieved its IPO forecast of 250,000 members as at 31 December 2016. Member numbers
grew 64.1% year on year, and more importantly the profile and engagement data collected on
these members increased by 218% year on year.
The strong increase in members, along with the data collected about these members,
provides a strong platform to drive the transition of the business to sales commissions using
this data to match investment grade properties to quality purchasers.
In December 2016 the Company launched a new Premium Membership focused on assisting
members to purchase investment grade properties based on their engagement and profile
data. REV Group expects that this new membership will drive strong growth in property sales
commissions in the second half of FY 2017.
Real Estate Investar Group Limited
Level 6, 330 Collins St, Melbourne, VIC, Australia, 3000
ABN: 39 141 276 959
Clint Greaves, CEO of Real Estate Investar commented: “The highlight of the last quarter was
exceeding our IPO forecast of 250,000 members along with the significant increase in
member engagement and detailed data about our members and their property investment
intentions. This provides us with a strong platform to help more people invest better and to
grow our property transaction revenues through the second half of the financial year.
“During the quarter, we launched a new outcome focused membership to ensure everything
we do is aligned with assisting members to purchase investment grade properties that meet
their individual criteria. Our new Premium Membership is designed to assist first time and
existing property investors through every step of the process, from setting buying criteria to
obtaining finance pre-approvals and ultimately identifying individual properties that are most
likely to meet the outcome each member desires.
Mr Greaves continued, “With our new membership offering and key partnerships in place, we
are looking forward to a strong second half to FY 2017 where we will continue to increase our
engagement with our significant member base and most importantly increase revenue from
commissions associated with the direct sale of investment property.”
Key Initiatives in FY 2017
Following the achievement of our prospectus forecast for FY 2016 and strong growth in
members past 250,000 at 31 December 2016, the focus for the REV Group is now to drive
revenue growth with a strategy based on the following key activities:
1. Increase the number of members using REV Group products and services;
2. Increase the volume of engagement and profile data captured around each
member to allow for better matching of investment grade property;
3. Convert high quality members into Premium Membership customers;
4. Grow sales of investment grade property to all members to increase commission
revenues;
5. Extract complimentary property investing related services revenues; and
6. Look for further Australian and New Zealand organic and acquisitive expansion
opportunities.
