Purplebricks’ operating loss jumped from £27.8m to £52.3m, latest financial results reveal, as well as confirming that it will wave goodbye to the US market.
This follows the news that it would exit the Australian market as detailed in early May this year, at which time the firm’s operations in the US were described as being under “strategic review.”
In his statement, Purplebricks chief executive Vic Darvey points to “rapid expansion into international markets over the last few years” as having distracted the company, resulting in the product and technology areas of the business being “stretched to the limit.”
“However, recent decisions to exit both the Australian and US markets have given us the opportunity to refocus on our flagship markets of the UK and Canada,” he adds.
Indeed, revenue grew from £87.8m at the end of the 2018 financial year to £136.m, with UK revenue growing by 21 per cent to make up £90.1m of this, translating to a UK operating profit of £5.3m.
In Canada, revenue came to £23.7m with an operating loss of £3.2m, with Purplebricks having acquired Hybrid estate agent DuProprio in July 2018.
Darvey continues: “There is a huge focus on continuing to take share from incumbent traditional operators and extend our market leadership. However, there is also a recognition that we need to do things differently, none more so than in product and technology.”
He adds that the medium-term objective of the group is to gain a 10 per cent share of the UK market.