Aurum Proptech

Aurum PropTech reported a total income of INR 78 crores for Q4 FY25, an 18.7% increase year-on-year, and INR 285 crores for the full FY25, up 22.3% YoY. The company demonstrated significant profitability improvements, with PBT, EBITDA, and adjusted EBITDA margins increasing by 17%, 15%, and 12% respectively year-on-year. Despite these gains, the company recorded a loss before tax of INR 9 crores in Q4 FY25 and INR 44.5 crores for FY25, primarily due to losses in the Rental and Capital segments.

The Rental business, encompassing student living, co-living, and family rentals, manages 37,500 units across 15 cities with a 77% blended occupancy. NestAway, acquired in June 2023, achieved breakeven by December 2023 from an 85% EBITDA negative margin. For FY26, NestAway plans to focus on supply acquisition in high-demand areas and target multi-property owners, NRIs, and NROs. HelloWorld aims for 80% occupancy in FY26 and will expand operations to new micro-markets like Bhubaneshwar, while also growing its short-stay vertical, which saw 120% growth last year.

The Distribution business segment, including Sell.do and Aurum Analytica, was a strong performer, delivering 90% year-on-year income growth in FY25 with a healthy 14% net margin. Aurum Analytica, serving over 250 micro markets, recorded 95% YoY revenue growth. For FY26, Sell.do targets 30% YoY revenue growth, while Aurum Analytica aims to increase its client base by 60% to over 350 clients. The segment plans to expand its network in North India and roll out low-touch products in Tier 2 cities.

The Capital business segment is in consultation with SEBI for its SM-REIT application, which is anticipated to unlock over INR 50,000 crores of AUM-eligible supply. Management expects this segment to start contributing to revenues in FY26. The company believes the fractional ownership/SM-REIT market has a very large total addressable market (TAM) across Tier 2 and Tier 3 cities, and sees it as a potentially very large business in the future, comparable to or even exceeding the Rental segment in scale.

Aurum PropTech began deploying AI 3-4 quarters ago, which has contributed to improved efficiency and profitability. AI tools are used in sales, business development, and product development across HelloWorld, NestAway, Analytica, and Sell.do. The core tech products, Analytica and Sell.do, are particularly AI-driven, leveraging data science and machine learning for features like AI-assisted report chats and NLP-based report generation, enabling faster market reach and enhanced communication.

The company concluded its rights issue in April 2025, which was planned over three years and provides ample growth capital to double revenues in the next 30 months. An enabling resolution for INR 600 crores of fundraising was discussed, representing approximately 50% of the current market cap, to accelerate growth if a like-minded strategic institution partners. Additionally, the company plans to liquidate INR 34 crores of owned property, plant, and equipment (PPE) acquired from Majesco, as renting these assets is not part of their core business, to bring capital back into the balance sheet.