Domain says Sydney property listings are subdued

Apartments for sale in Sydney. Photo: William West/AFP/Getty Images
  • Domain posts a full year net loss after tax of $6.2 million.
  • Revenue, excluding significant items, was up 11.5% to $357.3 million.
  • The first six weeks of 2019 saw subdued property listings in Sydney.

Domain, the property classified business spun off from Fairfax Media, today reported subdued listings in Sydney for the first six weeks of the financial year.

The company today posted a net loss of $6.2 million for the year to June. Without significant items, Domain would have a net profit after tax of $52.9 million, up 7.7%.

Revenue, excluding significant items, was up 11.5% to $357.3 million.

“Domain has reported a good result for the 2018 financial year in line with market expectations,” says Domain Executive Chairman Nick Falloon.

“The business is strongly positioned as an Australian real estate media and services platform with excellent growth prospects.

“We welcome the proposed merger of Fairfax Media with Nine Entertainment Co, announced in July, which is subject to approvals. We only see considerable upside for Domain through the additional marketing and audience reach of the combined businesses.”

Over the year to June, residential revenue increased 19.9% to $172.5 million.

However, the company reported subdued listings for the first six weeks of 2019 in Sydney against last year’s high.

Listing to June:

Source: Domain

Sydney property prices have been sliding, reflecting a tightening of credit and a softer market.

Falloon says Domain continued its expansion in relative market share to more than 95% of listings and more than 90% of agents.

Domain app downloads reached more than 6.5 million.

The company declared a dividend of 4 cents a share, 70% franked, bringing the total shareholders payout to 8 cents a share, 50% franked, a payout ratio of 87%.

Jason Pellegrino, a former head of Google Australia, starts as Managing Director and CEO of Domain later this month.

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