Moneysupermarket.com Share Discussion Threads

[isis] 31/7/2013 08:51

Moneysupermarket.com Group PLC interim results for the six months to 30 June 2013

Strong results and cash generation


Moneysupermarket.com Group PLC ("MoneySupermarket.com" or the "Company"), the UK's leading price comparison website, announces its interim results for the 6 months to 30 June 2013.

Financial highlights
Six Months Ended June 2013
Six Months Ended June 2012
Change
Group revenue
£112.3m
£102.2m
10%
Gross profit
£86.7m
£73.3m
18%
Adjusted EBITDA (1)
£39.9m
£31.0m
29%
Statutory profit after tax
£15.1m
£8.8m
71%
Cash balance
£25.4m
£36.7m
(31%)
Interim dividend for the period
2.16p
1.8p
20%
Special dividend for the period
12.92p
-
n/a



Financial highlights

· Group revenue increased by 10% to £112.3m (2012: £102.2m).

· Adjusted EBITDA increased by 29% to £39.9m (2012: £31.0m).

· Gross margin improved to 77.2% (2012: 71.7%), benefitting from the acquisition of MoneySavingExpert.com in September 2012.

· Continued strong cash generation: 110% of EBITDA converted into cash.

· Cash balances of £25.4m (2012: £36.7m) at 30 June, reflecting the acquisition of MoneySavingExpert.com, but before the payment of £70m special dividend referred to below.

· Interim dividend increased by 20% to 2.16p per share.

· Special dividend of 12.92p paid to shareholders on 26 July 2013.


Operational highlights

· Market-leading position and share maintained in competitive marketplace.

· Revenues ahead of the first half of 2012 in Insurance, Travel and Home Services - Travel and Home Services performed notably well; conditions in the Money vertical still challenging.

· Roll out of a technology platform in the Money vertical.

· Direct to site revenues increased to 74% in the first half of 2013 from 66% in the first half of 2012.



Outlook

Revenue in July is flat year on year against a strong July last year when the new advertising campaign was launched. This year's new campaign launches in August. The Board remains confident in the long term prospects for the Group underpinned by the continued structural growth opportunities in the price comparison marketplace.



Peter Plumb, MoneySupermarket.com Chief Executive Officer, said:

"We've had a good first half of 2013. Revenues were 10% and profits 29% ahead of this time last year. The benefits of our increasingly diversified business are evident. We grew our Insurance, Home Services and Travel businesses which more than offset lower demand in our Money business where savings revenues continue to be impacted by the Government's 'Funding for Lending' scheme which is reducing what savers earn on their deposits.

MoneySavingExpert.com has proved a powerful addition to the MoneySupermarket team. It continues to prosper with the launch of the innovative Cheap Energy Club which has proved a hit because it helps consumers monitor and reduce their energy bills.

The 20% increase in the interim dividend reflects our progress which is only possible because of continuing investment in our brands, in digital marketing and technology, and in making sure customers find us the best shop for comparing prices.

That way we can save more people more money and continue to build our business. If you're on a tight budget MoneySupermarket.com is one of the easiest ways to make your pounds go further. So we're glad we are on course to help more people save more money in 2013.''

[iomhere] 31/7/2013 08:49

The figures are as near identical as one could have imagined from the company's statement on 11th July. I haven't checked if there were any qualifications in today's statement which were not previously known, but someone with more interest or more patience than I, might care to do so.

[isis] 31/7/2013 08:46

Takeover target??

[johnthespacer] 31/7/2013 08:45

I added via a spread bet for some recovery later - I still have original holding that is now at a loss...

[ff2345] 31/7/2013 08:44

OK then..... based on your analysis Indie I am in!

[indiestu] 31/7/2013 08:41

Bargain! Get in quick!

[funkmasterp12] 31/7/2013 08:34

High beta stocks always take a hit on results but I disagree, look at ASC for an example of a share trading far above its means but still in growth.A 15% opening drop is too severe. I've added at these levels - not something I do as a rule but I've seen this recently with GNC and others I follow.

[johnthespacer] 31/7/2013 08:34

This paragraph is a wee bit worrying

Revenues in the Money vertical, however, are lower than the same period last year as savings revenues have declined because of the continuation of the Bank of England's 'Funding for Lending' scheme which gives financial institutions access to low cost funding centrally rather than attracting retail deposits. Trading slowed in the second quarter as a result of weaker trading in the Insurance vertical. Revenues were impacted by changes made by Google to its natural search algorithms at the end of May which saw the Group lose some of its natural search rankings on key search terms in June, and a number of the Group's competitors launched new television advertising campaigns supported by increased spend.

[prokartace] 31/7/2013 08:31

Markets deal with expectations vs reality. Reality has shown the share to be way over-bought

[funkmasterp12] 31/7/2013 08:27

N+1 Singer retain Buy, target unchanged at 212p.This opening is surely way oversold!

[isis] 31/7/2013 08:11

Obviously not upto market expectations then?

[prokartace] 31/7/2013 08:09

What are you guys on. Very poor results

[funkmasterp12] 31/7/2013 07:24

Great results - excited to see the new campaign in August. Really encouraged by the growth obviously but also the ongoing strength of cash generation.20% hike in the dividend - you don't see that a lot these days!

[isis] 31/7/2013 07:15

Good Results again. :-))

[funkmasterp12] 29/7/2013 23:26

Apologies, results are 31st.

[funkmasterp12] 29/7/2013 16:15

Results announced tomorrow I think. Looks like a flurry of buys coming in and a breakout above 210p, which is great to see.

Fingers crossed for tomorrow, GLA holding.

[fugwit] 23/7/2013 09:51

Fundamentals rule over all else but Mony is a good TA stock generally.

You make a good point re that special divi, plus would be surprised to see the share price go directly through the all time high without some bouncing around. Just being wary and to be honest wishful..... as ever time will out.

[funkmasterp12] 23/7/2013 09:26

I think the results at the end of this month will be key to seeing if that can play out. Personally I don't think so as the down-trend to form the 2nd 'shoulder' was the special divi payment, and the company has said that we should expect 30% EBITDA growth this year - if it did get anywhere near 140p I'd be loading up!

We won't see the share price racing away just yet but I think TA should be used with implicit caution here. I'm more about the fundamentals on this one personally.

All IMO of course / wtfdik =)

[fugwit] 23/7/2013 08:18

I am wondering if we are seeing the formation of a head and shoulders pattern at the moment. If it were to play out then a failure to break the low 220's and then a break of the neckline a couple of months from now would indicate a target share price roughly to the base of the previous channel that dates back to the previous lows in March 2009. Whilst it seems unlikely at the moment that we could revisit a share price in the 130-140 range it is a possible scenario I am keeping an eye to. I like cheap stock so I am ever hopeful.

[funkmasterp12] 18/7/2013 11:13

Mystic Funkmaster predicts...

210p proving the resistance as expected, but glad to be back into the 200-210p trading range again. If we can break 210p then it's up to c. 225p from there, which it made before the last results.

Hoping to be over 210p before the HY results at the end of the month. There'll be a minor sell off (as there always is on a high beta) which may test 200p again but if everything in the results is in line, it should be back to 225p again before the Nov IMS.

Softly softly here but a whopping divi to enjoy whilst we wait.

All imo of course/dyor etc

[funkmasterp12] 16/7/2013 08:03

Haven't got L2 here so can't check but with that RNS yesterday it appears a seller overhang may have cleared. Support should now hold at 200p, next test is 210p.All IMO.

[isis] 11/7/2013 17:04

I think Google may run into competition problems anyway if they push their own comparisons to the top of the list as everyone uses Google.

I've looked at some of their comparisons and they haven't been very competitive at all.

[funkmasterp12] 11/7/2013 16:51

Exactly - but Numis seemingly remain convinced doom is around the corner at any point without any real proof it seems.

I'll take the 20% YoY EPS growth and special/bi-annual dividends instead ;)