OnTheMarket lifts profit expectations on the back of strong interim results
The company behind property search website OnTheMarket.com saw profits soar in the first half of FY21 amid strong interest.
The company saw revenues climb to £14.9m in the first half of the year, an increase of 46 per cent compared to the same period in 2020, while adjusted operating profit soared by 163 per cent to stand at £2.1m. The results enabled the board to up its full year revenue forecast which is expected to be “substantially ahead of expectations” for the 12 months ending January 2022.
Jason Tebb, Chief Executive Officer of OnTheMarket, said he was “delighted” to report a “strong financial performance, operational growth and real progress with our strategic objective of building a differentiated, tech-enabled property business.”
Traffic to OnTheMarket.com grew by 36 per cent in the period from 117m visits in the first half of 2020 to 159m over the same period in FY21.
While the average monthly advertisers listed on the website declined five per cent as agents on long-term free of charge contracts were asked to migrate to paying contracts existing marketing partners upped their monthly leads by 26 per cent to 132.
Looking ahead, the company noted that while there has been strong interest for residential properties in the UK leading to increased traffic and boosting profits the conversion to sales and lettings instructions remain subdued.
The company’s share price was lifted 4.1 per cent today to stand at 95.75 GBX.
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