Purplebricks, the online-only estate agency, announced pre-tax losses of £26.1m for the year ending 30 April 2018, up from losses of £6m in the previous year.
Although revenue doubled, the company’s recent expansion into Australia and the US appears to have taken a toll, with marketing costs ballooning from £18m to £42.1m.
The estate agent has suffered a spate of bad news recently, with the Advertising Standards Authority forcing it to change an online advert regarding the amount it claimed could be saved in fees, and seeing increased competition in the shape of a £100m merger of Tepilo, Emoov and Urban.co.uk.
Purplebricks group chief executive Michael Bruce strikes a positive note, saying: “We have doubled revenues in tough markets, taking market share as we continue to win over consumers to the modern way of buying and selling property.” He also cites the group’s “£153 war chest for global growth” to further his case for optimism.
Purplebricks’ shares dropped 3.3 per cent in early trading on Thursday.