Seek expects to exceed earnings forecast

SYDNEY - Online job advertiser Seek Ltd expects to exceed the earnings forecast in its prospectus in the second half of 2005/06.

Seek today announced a net profit of A$14.47 million ($15.9 million) for the first half, up 61 per cent on the same period last year.

Looking ahead to the second half, joint chief executive Andrew Bassat said Seek expected to exceed its prospectus forecast of A$40 million earnings before interest, tax, depreciation and amortisation (EBITDA).

The company was also comfortable with the 2005/06 consensus figure of A$43 million EBITDA, he said.

Mr Bassat said Seek would also target further growth opportunities in the learning market going forward.

"Seek will continue to target further growth opportunities in the learning market that will deliver attractive returns to shareholders," he said.

Revenue for the six months ended December 31, 2005 stood at A$47.3 million, up 50.6 per cent.

Joint chief executive Paul Bassat said Seek had achieved solid growth in all areas of its business for the first half.

"The employment market in Australia remains strong and in line with our prospectus forecasts," he said.

"Migration of classified advertising revenue from print to online continues to accelerate, and revenue growth is also being driven by the high demand for candidates in a tight labour market."

Seek had increased it advertising volume by 37 per cent over the past 12 months.

The board declared an interim dividend of 3.7 cents per share fully franked.

- AAP