SEEK results delivers significant growth across major metrics and punctuates with a 40% lift in dividend. Revenue lifted 38% to $380 million with NPAT up close to $20million to 87.4million from the PCP. SEEK CEO and Co Andrew Bassat said, This was a record half year result. The key drivers of the strong result were SEEK International and SEEK Education with SEEK Domestic performing well in far from buoyant conditions. Along with the stellar profit result SEEK announced the proposed acquisition of Singapore based JobStreet the transaction costs is said to be in the order of $A580 million and refelcts the strong performance and growth potential SEEK sees in the region. Acquisition release here: (VIEW LINK) and results release here: (VIEW LINK)
Market reaction to the Seek result has been positive with a number of brokers expecting to upgrade based on results + earnings accretive acquisition. This from Bell Potter Upgrades likely to FY14. Net profit guidance for 2H14 of a result slightly ahead of 1H14 ($87.4m) implies FY14 net profit above $175m, versus consensus of $163m and our forecast of $169m. SEEK also expects the pending JobStreet acquisition to be strongly accretive post FY15.