In a clear sign that vehicle dealers need to have mobile-friendly web sites, Trade Me has revealed that one third of its visits now come from mobile devices.
The use of mobile devices to access Trade Me has risen spectacularly, more than doubling in just 12 months.
Meanwhile, Trade Me’s net profit rose to $37.4 million, or 9.43 cents per share, in the six months ended December 31, from $36.4 million, or 9.19 cents, a year earlier.
Trade Me’s classifieds – including motor vehicles – jumped 35% to $33.1 million as the company grew its market share of job ads.
General items revenue grew 7.5% to $33.12 million on slightly softer volumes than expected, while other revenue climbed 10% to $14.1 million.
Trade Me’s six-month profit beat the revised forecast from its initial public offer of $34.8 million, and was just short of Forsyth Barr analyst Rob Mercer’s expected $38.1 million.
Earnings before interest, tax, depreciation, amortisation and depreciation climbed 14% to $59.2 million, and revenue gained 18%to $80.4 million.
Chief executive Jon Macdonald says Trade Me made three small acquisitions in the past year and plans to keep “investing sensibly” to grow. “We’ll likely augment our portfolio with judicious investments over the coming years.”
Macdonald says Trade Me has expanded its mobile team and built a suite of applications with a third of visits coming on mobile devices, twice the number of a year earlier.
