Embargoed for release at 07.00 hours, 2nd November 2010
INTERIM MANAGEMENT STATEMENT
Rightmove plc ("Rightmove"), the UK's number one property website, publishes
its Interim Management Statement for the period from 1 July 2010 to 31 October
The last four months have continued to show healthy growth in revenue and
earnings and strong cash generation. Usage of the Rightmove website has been at
or close to record levels, as has Rightmove's market share.
We have continued to make healthy gains in average revenue per advertiser
(ARPA) in the third quarter driven by continued strong adoption of our
advertising products. The number of advertisers on the Rightmove website at the
end of September stood at 18,100, up 2.5% since the start of the year. Changes
to pricing are progressing according to plan.
Activity on the Rightmove.co.uk website is strong with page impressions for the
period July to September 2010 up around 16% compared to the same period in
2009, which was itself a strong period for site traffic. August was our second
busiest month ever and saw our two busiest days ever. Following our most recent
TV marketing campaign in September we recorded our strongest week in terms of
market share of page impressions.
Estate agency and lettings membership rose to 14,850 by the end of September, a
5% increase from the start of the year. All the membership growth is coming
from estate agents rather than rental only agents. ARPA during the third
quarter was ahead of the average for the first half of the year reflecting both
the full impact of price rises to our membership fees implemented between
January and the start of May and further growth in adoption of our advertising
The number of new developments coming to market from volume house builders was
stable during the period though there was a further small decline from Housing
Associations. ARPA during the third quarter showed healthy growth compared to
the average for the first half of the year. This reflects both the full impact
of price rises to our membership fees and particularly strong demand for our
email campaigns service.
Our Overseas property sales business continues to adapt to the challenging
overseas market conditions with revenue over the last three months at its
highest levels this year. Our Data Services business, a modest contributor in
terms of overall Rightmove revenue, continues to trade healthily.
Return of cash
Our interim dividend, up 2p to 5p per share, will be paid on 12 November 2010
to shareholders on the register as at 15 October 2010. Since the end of the
close period in late August, the Company has acquired and subsequently
cancelled 470,000 shares at a cost of £3.1m. It is the company's intention to
continue to return cash to shareholders by way of share buy backs. As at 30
September 2010 Rightmove had £31.3m of net cash.
The Board is confident of meeting expectations for the current year. On the
assumption that housing market conditions continue to be challenging (i.e. with
housing transactions running at around half the levels of a normal market) but
do not substantially worsen, the Board expects to achieve significant organic
growth in 2011.
Contact: For Ed Williams, Managing Director and Nick McKittrick, Chief Operating Officer
and Finance Director please contact Rightmove plc Press Office, 07894 255295