Rightmove Reports Tough 2020 Financial Year

Last year was rocky for many companies around the world, so it shouldn’t come as a surprise that Rightmove, one of the biggest names in the UK market, reported drastic drops in revenues and profits in its recent annual financial report. 

Peter Brooks-Johnson, Chief Executive Officer, said: 

“All of our lives were upended in 2020. Looking back at how our teams dealt with a multitude of challenges and adapted to help our customers respond to new regulations, becoming a key information hub and responding with accelerated innovation to the record home hunting activity that followed, makes me immensely proud. I’m also extremely impressed by the incredible resilience and adaptability of our customers, and I’d like to thank them for their support.”

Highlights from the report include:

• Revenues were £205.7 million, down from £289.3 million year-over-year.
• Operating profits were £135.1 million, down from £213.7 million year-over-year.
• ARPA was down 28% to £778 a month, a decrease of 28% year-on-year
• Membership down 3%

The report also mentioned that, even with discounts to real estate agents, the site’s membership numbers decreased 3% year-over-year, though traffic on the site increased 31%.

Brooks-Johnson explained:

“In a year when we stayed in our homes more than ever before, people continued to turn to Rightmove for their next move and for real-time information, helping us to extend our lead in the market. The record traffic and inquiries that followed the reopening of the market led to us sending 51 million property leads to our customers. Strong activity has continued into 2021 and we recorded our busiest ever January for traffic.”

When it comes to the companies shares, Rightmove announced the final dividend of 4.5 pence a share, canceling its 4.4 pence a share last year to save money. Rightmove’s current share price is 606.4 pence.

Brooks-Johnson concluded:

“We remain mindful that 2021 may bring further Covid-related challenges, but we will continue to deliver our strategy to help make home moving easier, delivering the best solutions to our customers and the most engaging experience for our users.”