26th Jul 2024 09:15
(Alliance News) - Rightmove PLC shares on Friday reported higher revenue and profit, and increased its interim dividend.
The property portal owner said that for the first six months of 2024, pretax profit rose 1.8% to GBP132.7 million from GBP130.3 million the year before. Basic earnings per share rose 2.5% to 12.4 pence from 12.1p.
Rightmove also said revenue increased by 7.1% to GBP192.1 million from GBP179.5 million "as both agents and new homes developers renewed contracts, upgraded their packages and invested in additional products".
Rightmove meanwhile declared an interim dividend of 3.7 pence per share for the half year, up 2.8% from 3.6p for the first half of 2023.
"We're pleased to deliver a strong set of H1 results, and to be progressing in executing our plan to build an even more valuable digital platform for the UK property industry," commented Chief Executive Officer Johan Svanstrom. "Our performance came against the backdrop of the sustained challenging mortgage rate environment. The period saw a pick-up in existing-homes listings and transactions, a continued yet softening imbalance of demand and supply for rentals, and a tentative outlook for new homes development volumes."
Going forward, Rightmove said it expects an underlying operating margin of 70% for the full year, as it continues "to invest in product innovation for both our consumers and our partners, and [is] accelerating our strategic growth areas of commercial real estate, rental services and mortgage lead generation".
Rightmove added: "The strength of our business model, coupled with ongoing innovation, underpins the board's confidence in Rightmove's outlook for 2024 and beyond."
CEO Svanstrom continuedL "With the election now concluded, the property market looks forward to potential interest rate reductions which will further stimulate activity.
"On the back of our leading position in the market, we have exciting momentum expanding our products and innovation for consumers and partners and remain confident in Rightmove's long-term prospects."
Rightmove shares rose 0.6% to 571.20 pence on Friday morning in London.
By Emma Curzon, Alliance News reporter
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