Housing.com records losses of more than INR400 crore in FY16

Housing.com, the online real-estate startup owned by PropTiger, recorded a 111% increase in revenues to INR26 crore in FY16, however, the losses for the startup also soared 45% to INR430 crore. The startup was acquired by News Corporation backed PropTiger in January’17, and was expected to receive $50 million fresh funding from the new owners.

The startup has seen many ups and downs in the last 2 years starting with the firing of its CEO Rahul Yadav in July’15. Post that, a number of CXO level exits and recruitment happened which is being reflected in the INR188.5 crore employment benefit expenses in FY16, a 120% y-o-y jump. Most of the startup’s original 12 founders left during the FY16 after the exit of its first CEO Rahul Yadav.

Housing.com has flip-flopped on its business strategy from some time. After Jason Kothari was made the CEO in November’15, he closed the firm’s rental business and focused only on property buying and selling business. It also moved toward a new model—earning advertising revenue from property listers that pay for greater visibility of their properties. However, the startup is again planning to enter into the rental space and is expected to relaunch the rental portal soon.