- Seek has cut its FY Ebitda forecast for continuing operations excluding items to about A$490 million to A$530 million from an initial estimation of A$520 million to A$560 million.
- The revenue from continuing operations excluding items is now predicted to be about A$1.15 billion to A$1.21 billion, down from the original forecast of about A$1.18 billion to A$1.26 billion.
- The company reported a net income of A$35.2 million for the first half, which was a decrease of 96% year on year.
- An interim dividend per share of A$0.190 was declared.
- During the first half, ANZ and Asia paid ad volumes trended downwards, with the rate of decline in November and December exceeding usual seasonal trends.
- Seek’s guidance assumes that absolute volumes will hold close to current levels in the second half, resulting in a mid-teens decline for both ANZ and Asia compared to the previous corresponding period.
- The guidance also assumes continued growth in yield in the second half, with ANZ expected to deliver around 10% growth and Asia expected to grow mid-teens compared to the previous corresponding period.
- Total operating costs are expected to be at the lower end of the original guidance, with operating costs in the second half predicted to be lower than the first half and the previous corresponding period.
- Despite reducing discretionary spending, the company will continue to prioritize investment in product development and supporting technology.
- The FY adjusted NPAT from continuing operations ex-items is expected to be about A$190m-A$220m.
- The EBITDA from Continuing Operations for the first half was A$252.9m, down 11% compared to the previous corresponding period.
- The SEEK Growth Fund portfolio valuation has decreased by 4% since June 30, 2023.
- Rachael Powell has been appointed as a Non-Executive Director, effective from February 15, 2024.
A look at Seek Ltd Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 1 | |
| Growth | 5 | |
| Resilience | 2 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Seek Ltd, an Australian-based online employment and training website, has received promising long-term outlook scores from Smartkarma Smart Scores. The company scored a 5 out of 5 for both growth and momentum, indicating strong potential for future expansion and success. This is supported by its presence in both Australia and New Zealand, as well as its targeted job advertisements in the United Kingdom for Australian and New Zealand job seekers. Seek Ltd also received a score of 2 for both value and resilience, highlighting its stability and potential for growth. However, its dividend score was lower, at a 1 out of 5, suggesting that the company may not be the best option for investors seeking immediate returns.
Overall, Seek Ltd‘s high scores for growth and momentum, combined with its established presence in multiple markets, suggest a positive future for the company. However, investors should consider the lower dividend score when making investment decisions. With its strong focus on online employment and training, Seek Ltd is poised to continue its success and make a significant impact in the job market for years to come.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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