Seek profit falls 24% on weak economies

Online jobs listing provider Seek has had its first-half profit fall 24 per cent, largely due to fewer advertisements in Australia and Hong Kong.

Chief executive Andrew Bassat says the subdued economic conditions affected overall net profit, which was $75.6 million.

However, he was pleased revenue was up 15 per cent to $883.7 million.

Seek operates in Australia, Asia and Latin America. The Australian operation grew revenue by one per cent despite an eight per cent fall in ad revenue.

Other services, such as talent search, helped overcome the Australian ad revenue loss.

Seek claims to have 37 per cent of online job listings in Australia.

Hong Kong, its biggest market in Asia, was affected by political unrest. Revenue growth for the region was flat as a result.

Latin America produced weak results, which management expected.

Mr Bassat said full-year results would be affected by the coronavirus outbreak, softer economic conditions and investments.

Shareholders will receive an interim dividend of 13 cents per share. That is less than the interim dividend of 24 cents per share paid last year.

Seek shares were trading higher by 2.05 per cent to $22.87 at 1206 AEDT.

AAP

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