Online property services firm REA Group is on track to close at the highest level on record after the release of its half year profit report earlier this morning.
The company reported revenue growth fell 6 per cent from a year earlier to $440.3 million. EBITDA declined 7 per cent to $272.1 million with its net profit sliding 13 per cent to $152.9 million.
REA declared an interim dividend of 55 cents
“Our results demonstrate the underlying strength of our business given the unprecedented market conditions,” REA Group CEO Owen Wilson said. “Pleasingly we continue to see increased buyer activity on our site, up over 30 per cent for the half, while realestate.com.au received a monthly average of 1.5 million visits to the find agents section.
“These numbers, combined with an increase in auction clearance rates, home price gains and increased mortgage activity, indicate the Australian property market is recovering.”
Akin to Sydney and Melbourne median property values which appear set to surpass their previous highs in the near future, REA shares have risen to fresh highs today, sitting up 3.2 per cent to $117.00.