Domain Holdings Australia Limited (ASX:DHG) Announces 2025 Half-Year Results
Financial Performance
Domain reported a statutory revenue of $223.8 million and a net profit after tax of $35.7 million for FY25 H1. Excluding significant items, revenue increased by 7.4% to $217.2 million, while net profit attributable to members rose by 28.3% to $33.1 million. Adjusted net profit reached $36.5 million, up 24.9%, with earnings per share increasing to 5.8 cents.
Operational Highlights
New ‘for sale’ listings grew by 7% in FY25 H1 and 3% in January 2025. Site visits surged by 23% year-on-year, outperforming major competitors. Unique Audience increased by 10% and Platinum Edge penetration rose close to 50% year-on-year. The Audience Boost launch delivered a 24% increase in residential listing views during campaigns.
Strategic Initiatives
Domain strengthened its collaboration with Nine, enhancing cross-platform branding opportunities during the Australian Open and launching a Victorian edition of Prestige magazine. Investments in technology platforms are accelerating the Marketplace journey and expanding ‘Only on Domain’ experiences.
Dividend Declaration
A fully franked dividend of 2.0 cents per share will be paid on 11 March 2025 to shareholders registered on 20 February 2025.
Future Outlook
January trading saw a 3% increase in new ‘for sale’ listings. FY25 costs are expected to rise in the high single-digit range, with stable EBITDA margins anticipated. Domain aims to balance growth investments with productivity improvements.
Executive Comments
CEO Jason Pellegrino stated, “During the first half, Domain made pleasing progress with our Marketplace strategy, delivering positive metrics across the business. Our product and commercial teams have delivered innovation and new product uptake, reflected in the success of both Platinum Edge and Audience Boost. Adoption by agents has seen higher value Platinum Edge depth penetration increase close to 50% year-on-year, supporting strong growth in pricing. The launch of Audience Boost has delivered incremental views to residential listings of 24% on average during Audience Boost campaigns. Our Audience metrics have delivered strong and consistent results, with H1 delivering a 10% increase in UA, and sustained quarter on quarter growth since new Ipsos measurement began in FY23. In addition, we have seen strong growth in site visits, up 23% year-on-year, outperforming the growth rate of our major competitor over the same period.”
“We are strengthening our collaboration with Nine, with significant cross platform branding opportunities during the recent Australian Open. We have also leveraged the power of Nine in the launch of a Victorian edition of Prestige magazine. And finally, we are progressing our investment into our technology platforms to accelerate the Marketplace journey, and broaden the range of ‘Only on Domain’ experiences available to our users. At the same time, we are achieving productivity gains to offset this increased investment.”
Motley Fool contributor Matt Burgess has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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