Rightmove (RMV) H1 2024 earnings summary

Executive summary

• H1 2024 results were in line with expectations, with revenue up 7% to £192.1m, driven by robust demand from agents and new homes developers, and continued product innovation.

• Platform maintains unrivaled network effects and high consumer engagement, with 86% share of consumer time and resilient platform traffic.

• Membership grew 1% to 19,061, with notable growth in Agency Lettings members and increased adoption of top-tier packages.

• Strategic focus on innovation, AI adoption, and expanding digital solutions for both consumers and partners.

• Strategic growth areas (Commercial, Mortgages, Rental Services) delivered 30–31% revenue growth, with Mortgages revenue up 176%.

Financial highlights

• Revenue rose 7% year-over-year to £192.1m; adjusted underlying operating profit was £138.7m, with a 72% margin in H1 (guidance for 70% for FY).

• Adjusted underlying EPS up 6% to 13.2p; basic EPS up 2% to 12.4p.

• Cash generated from operating activities was £143.2m, with a 106–109% cash conversion ratio.

• £100–100.2m returned to shareholders via buybacks and dividends; interim dividend increased to 3.7p per share.

• ARPA reached £1,497, up 6% year-on-year, driven mainly by product spend.

Outlook and guidance

• Full-year 2024 guidance unchanged: revenue growth of 7–9%, ARPA growth of £75–85, and 70% operating margin.

• Membership expected to be up by up to 2% year-on-year.

• Continued investment in product innovation and strategic growth areas, with a progressive dividend policy and ongoing share buybacks.