🏡 PROPNEX (SGX: OYY) FY2025 Full Year Results

Headline Numbers

• Revenue: S$1.116 billion, up 42.6% year on year. First time PropNex has crossed the billion dollar mark 🎉
• Net profit: S$70.4 million, up 72.0% year on year
• Earnings per share: 9.51 cents, up 72.0% year on year
• Gross profit: S$115.0 million, up 62.1% year on year
• Gross profit margin improved to 10.3% from 9.1% in FY2024

Second Half Breakdown (2H2025)

• 2H revenue: S$517.5 million, up 18.3% year on year
• 2H net profit: S$28.1 million, up 28.3% year on year
• Note: 2H was softer than 1H, which is normal given the bulk of new launch activity front-loaded in 1H

Segment Performance

• Agency Services (resale and leasing): S$675.9 million, up 14.3% year on year. Steady and consistent
• Project Marketing (new launches): S$434.0 million, up 133.9% year on year. This was the rocket fuel 🚀
• Singapore developer sales hit a 4-year high of 10,815 units sold in 2025, up 67.2% from 2024
• PropNex commands approximately 37.9% of all real estate salespersons in Singapore

Dividend

• Final dividend proposed: 4.5 cents per share
• Full year total dividend: 9.5 cents per share, up 22.6% from 7.75 cents in FY2024. Record high
• Dividend payout ratio: 99.9%. Basically handing back almost every dollar of profit to shareholders
• Dividend yield: 5.1% based on closing price of S$1.88 on 31 December 2025

Salesforce Growth

• Agent count grew from 12,636 (Jan 1, 2025) to 14,202 (Feb 20, 2026). That is 12.4% growth
• Largest listed real estate agency in Singapore by a wide margin

FY2026 Outlook (Management Guidance)

• Management expects a "good performance" for FY2026
• Revenue recognition from strong Q4 2025 new launch sales will flow into 2026 earnings
• Developer sales projected at around 9,000 units in 2026 (ex-EC)
• Private resale volume estimated at 14,000 to 15,000 units
• Private home prices expected to grow 3% to 4%
• HDB resale volume projected at 26,000 to 27,000 units, supported by 13,500 flats exiting MOP (up 68.8% from 2025)
• Unsold inventory at 14,859 units, the lowest in 15 quarters. Low supply = price support 💡
• 11,116 new units across 27 projects slated to launch in 2026

Pete's Take 🎯

This is a beat on all fronts. Billion dollar revenue, record profit, record dividend, payout ratio of nearly 100%. Management is clearly confident enough to give back almost everything they earned.

The concern is that FY2025 was a bumper year driven by an exceptional new launch cycle. FY2026 guidance of ~9,000 developer units is actually lower than 2025's 10,815 units sold, so growth will naturally moderate. The question is whether the market has already priced in the good news, given the stock ran 157% in 2025 before pulling back.

At current prices you're essentially buying a high-yield, property-cycle-linked business. Great if you believe Singapore residential momentum continues. Tail risk is any surprise cooling measures or a macro shock that freezes buyer sentiment.