Press Releases
Preliminary Announcement
26/02/2008
Moneysupermarket.com Group PLC Preliminary Results for the period ended 31 December 2007
Moneysupermarket.com Group PLC (“Company”), the UK’s leading price comparison website, is pleased to announce a strong set of results for the period ending 31 December 2007.
The Company was formed as a new holding company on 14 March 2007 and it acquired Moneysupermarket.com Financial Group Limited and its subsidiaries (together the "Group") on 22 June 2007. Accordingly, the Group is presenting consolidated results for the period from 22 June 2007 to 31 December 2007. Revenues in the period were £88.3m generating a profit before tax of £7.6m. Following a tax credit for the period of £1.8m, total profit for the period was £9.4m.
The Company is also presenting a pro forma Income Statement below for the years ended 31 December 2006 and 31 December 2007 to show what the results would have been had the Company acquired Moneysupermarket.com Financial Group Limited on 1 January 2006 [1]. The Directors believe this will allow the users of the financial information to gain a better understanding of the underlying performance of the business and is consistent with the presentation made in the prospectus issued in connection with the listing of the Company. Unless otherwise stated, commentary on the results relate to the pro forma Income Statement and adjusted EBITDA [2] figures.
| 2007 £'000 |
2006 £'000 |
% | |
| Revenue | 162,882 | 104,459 | 55.9% |
| Gross Profit | 108,614 | 63,798 | 70.2% |
| Gross Margin | 66.70% | 61.10% | 560bpts |
| Adjusted EBITDA | 52,949 | 33,683 | 57.2% |
Pro forma financial highlights
- Revenues increased by 55.9% from £104.5m to £162.9m with internet revenues increasing by 63.7% from £93.0m to £152.2m
- Gross margins increased from 61.1% to 66.7% driven by an increase in direct to site revenues and a change in sales mix in favour of the internet business
- Adjusted EBITDA increased by 57.2% from £33.7m to £52.9m
- Final dividend of 1.63p per ordinary share
Operational highlights
- Visitors to the Group’s websites increased by 54.0% to 91.0m
- Transactions on the Group’s websites increased by 52.4% to 58.2m
- Improved revenue per transaction (RPT) and revenue per visitor (RPV) in each vertical
- Online brand recognition increased to 73% in November 2007
- Continued diversification across the internet business as the Travel and Home Services verticals continue to expand rapidly
The Board is proposing a final dividend of 1.63p per ordinary share. The final dividend will be paid on 30 April 2008 to ordinary shareholders on the register on 25 March 2008.
Notes:
[1] Assuming a debt free acquisition of Moneysupermarket.com Financial Group Limited by the Company on 1 January 2006, from which date intangible amortisation commenced, and a share option charge which reflects the average charge over the vesting period of currently unexercised options.
The Directors anticipate presenting financial information on a similar basis until the final results for the year ended 31 December 2008. Thereafter the need to present a pro forma Income Statement will not be required because the relevant comparator period will be consistent with the current period.
[2] Adjusted EBITDA is calculated by the Directors by making certain adjustments relating to the historical compensation levels of the Directors and senior managers. These adjustments reflect the Directors’ and senior managers’ profit share, discretionary bonus, and employer’s national insurance contributions from these historical compensation levels. Following the listing of the Company on 31 July 2007, these elements of compensation no longer apply at these levels to these individuals each of whom entered into a new service agreement with effect from 31 July 2007. The charge for share based compensation relating to options issued prior to the listing of the Company has also been added back.
Simon Nixon, CEO said
“I am delighted to be announcing a strong set of results for the Group in a year when we have floated the business and grown revenues by more than 55%. Importantly, our investment in the Moneysupermarket.com brand has continued, as has investment in our consumer offering and marketing engine. I believe we have a very strong platform from which to grow the business in the future.
We have made a strong start to the current financial year. The Money vertical has enjoyed double digit growth year to date, with broadly flat performance in loans and mortgages offset by very strong growth in credit cards and savings products. The other verticals, Insurance, Travel and Home Services, have maintained the momentum experienced in the second half of 2007. In line with our business plan, we anticipate a step up in costs in the first half of 2008 associated with our continued investment in the business and development of our German subsidiary. We remain very confident in our diverse business model and the benefit it brings to consumers and providers.
Given current trading and the ongoing investment programme, we are confident that we can have another successful year.”
Analysts Presentation
There will be a presentation for investors and analysts at 1 Finsbury Avenue, London, EC2M 2PP at 9.30am this morning.
Contact details:
Moneysupermarket.com Group PLC
Paul Doughty Chief Financial Officer – 020 7353 4200
Alexander Cowen-Wright Public Relations Manager – 01244
665700
Tulchan Communications
David Trenchard - 020 7353 4200
Celia Gordon Shute - 020 7353 4200
View the full Preliminary Announcement in PDF format. (180KB)
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