Rightmove reports growth in advertiser spending despite market uncertainty

Advertisers are spending more with online property portal Rightmove despite uncertainty in the UK housing market.

In a trading update on Monday, the company said that its revenue growth is “marginally ahead of consensus expectations”, primarily due to higher-than-expected ARPA (average revenue per advertiser).

Meanwhile, both estate agent subscriptions and new homes development listings are stable and Rightmove’s share of consumer time in the second half to date remains unchanged at around 85%.

It comes at a time of volatility in the housing market with demand suppressed by high mortgage rates and inflation.

ARPA growth for the full year is now expected to be in the range of £112-116, exceeding previous guidance of £103-£105.

The company anticipates overall revenue growth for the year to be around 8-10%, with underlying operating profit growing by 7-8%.

“The strength of our performance against an uncertain market backdrop demonstrates the strength of the UK consumer affinity to our platform, the value of the established network effect of our business model, the depth and richness of our consumer data, and the value that our customers place in our products to build their businesses,” said Rightmove chief executive Johan Svanstrom.