09 January 2007
Rightmove plc, the UK's number one property website, today issues a trading
update ahead of its results for the year ended 31 December 2006, due to be
released on 2 March 2007.
Revenue for the full year is expected to be in the region of £33.6m, up by
around 85% on 2005. Profit before tax on an adjusted basis(1) is expected to be
slightly above the range of analysts' estimates of £17.0 to £17.4m, primarily as
a result of stronger sales.
Key achievements include:
Dec 04 Dec 05 Dec 06 (2) Incr.%
06 / 05
Estate agent offices 6,561 8,573 11,200 +31%
New homes developments 935 1,549 2,800 +81%
Lettings offices - 957 1,850 +93%
Overseas customers 74 404 450 +11%
• Growth in customer numbers continued the momentum achieved in the first half
of 2006. By the year end an estimated 83% of all estate agents in England and
Wales were listing their properties on the Rightmove website.
• Further wins resulting in Rightmove listing developments from 18 out of the
top 20 new homes developers. Particularly encouraging in the second half of
the year has been the rate of gains among smaller developers who represent
around half the market and the core target for future growth.
• The firm establishment of the Rightmove lettings (rental) service with nearly
50% of potential advertisers already as members.
• An increase in price of 28% to approximately 5,500 existing independent estate
agent customers from £195 to £250 per office per month with effect from 1
January 2007. Similar price rises have been implemented for new homes
• Retention among advertisers of 93% for 2006, close to the top end of the range
achieved in previous years.
• Net cash balances at 31 December 2006 of £14.8m, up from £5.2m at June 2006.
• An interim dividend of 1.5 pence per share paid on 21 December 2006 (£1.9m).
2007 will see the launch of new advertising services allowing Rightmove members
to differentiate their brands, branch offerings and listings as well as
providing new revenue streams to Rightmove:
• RightmoveChoice: a range of advertising options to existing customers allowing
them to increase the profile of themselves, their properties and their
• On-line advertising: allowing new advertisers to feature their products
through traditional on-line formats (e.g. banner ads). These will appear
around the map pages on Rightmove (20m pages per month).
1. Adjusted figures are stated before HIPs costs, flotation expenses and IFRS 2
share option charges.
2. Rounded to nearest 50.
Rightmove: Graham Zacharias (FD) - +44(0)20 7318 9084
Maitland: Neil Bennett / Brian Hudspith - +44(0)20 7379 5151
This information is provided by RNS
The company news service from the London Stock Exchange