PropertyGuru Group Limited (NYSE:PGRU) is possibly approaching a major achievement in its business, so we would like to shine some light on the company. PropertyGuru Group Limited operates digital property classifieds marketplaces that connects homeowners and tenants with verified home service providers in Singapore, Vietnam, Malaysia, Thailand, and Indonesia. With the latest financial year loss of S$129m and a trailing-twelve-month loss of S$29m, the US$677m market-cap company alleviated its loss by moving closer towards its target of breakeven. Many investors are wondering about the rate at which PropertyGuru Group will turn a profit, with the big question being "when will the company breakeven?" In this article, we will touch on the expectations for the company's growth and when analysts expect it to become profitable.

View our latest analysis for PropertyGuru Group

According to the 6 industry analysts covering PropertyGuru Group, the consensus is that breakeven is near. They expect the company to post a final loss in 2023, before turning a profit of S$3.7m in 2024. The company is therefore projected to breakeven just over a year from today. In order to meet this breakeven date, we calculated the rate at which the company must grow year-on-year. It turns out an average annual growth rate of 108% is expected, which is extremely buoyant. Should the business grow at a slower rate, it will become profitable at a later date than expected.

Given this is a high-level overview, we won't go into details of PropertyGuru Group's upcoming projects, though, keep in mind that generally a high forecast growth rate is not unusual for a company that is currently undergoing an investment period.

One thing we'd like to point out is that PropertyGuru Group has no debt on its balance sheet, which is quite unusual for a cash-burning growth company, which typically has high debt relative to its equity. The company currently operates purely off its shareholder funding and has no debt obligation, reducing concerns around repayments and making it a less risky investment.

Next Steps:

There are key fundamentals of PropertyGuru Group which are not covered in this article, but we must stress again that this is merely a basic overview. For a more comprehensive look at PropertyGuru Group, take a look at PropertyGuru Group's company page on Simply Wall St. We've also put together a list of essential factors you should look at:

1. Valuation: What is PropertyGuru Group worth today? Has the future growth potential already been factored into the price? The intrinsic value infographic in our free research report helps visualize whether PropertyGuru Group is currently mispriced by the market.
2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on PropertyGuru Group's board and the CEO's background.
3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.