OTM reveals healthy financials but fewer agents listing properties
'Agent-owned' portal says it is performing to expectations but sales sales market is challenging in particular for those listing on its site.
OnTheMarket (OTM) has revealed record revenue and profit figures in its latest full year results ending January this year.
Revenue jumped 14% to £34.45 million and adjusted operating profit rose by 59% to £4.3 million.
The rises were driven in part by a rise in revenue or ARPA from each of its agent customers of 12% rising from £188 to £210. The company also has plenty of cash – £11.3 million – in the bank, up from £8.4 million last year.
Agent numbers
But OTM is struggling to hang on to some of its agent customers with a 2% drop in total agents to 13,086 and a 10% drop in monthly leads per advertiser, although its investment in tech recently have helped keep the overall numbers looking positive and in ‘in line with board expectation’.
Its statement today says: “Cancellations of agent contracts have been higher than expected; to negate this we continue to diversify our revenue streams with the ongoing rollout of additional products and services.
Jason Tebb (main picture), CEO of OnTheMarket, says: “I am delighted to report a strong financial performance with record revenues and profits.
“Our ongoing strategic progress continues to enhance our offering for estate agents, lettings agents and housebuilders, whilst driving the network effects of the business.
“OnTheMarket was founded by agents to bring more competition into the market with a promise of long-term, fair and sustainable pricing.
“We remain focused on that promise and delivering increased value for our customers at a time when agents are facing unjustifiable price rises elsewhere.