Rightmove (LSE:RMV) on Friday upgraded its full-year underlying earnings per share guidance to growth of at least 7%, up from at least 5%, in a trading update covering the four months to 31 October.
The UK's largest online property portal said revenue and profit growth for 2026 remain in line with previous guidance, with full-year revenue growth now expected at 6% to 7%, within the 6% to 8% range set out at the interim results in July.
Underlying operating profit growth is expected to be at least 3%, at the lower end of the previous 3% to 5% guidance.
The company attributed the pressure to New Homes, where average revenue per advertiser (ARPA) growth is now guided at £100 to £110, down from £110 to £120 previously, entirely reflecting reduced developer spend; Estate Agency ARPA expectations are unchanged, as is membership guidance.
Tougher market
New Homes revenue is expected to come in below 2025 levels, with development volumes down 6% at 31 October compared with 31 December, only partly offset by ARPA growth.
Resale market conditions have also softened since the July interim results: the average five-year fixed mortgage rate rose to 5.5% at 31 October from 5.0% at 30 June, buyer demand fell 10% and sales agreed dropped 9%, with the average house price 0.3% below the year-earlier level.
Rental demand was firmer, with rental prices up 2.9% year-on-year.
Strategic Growth Areas, comprising Commercial Property, Rental Services and Mortgages, continue to target 20-30% revenue growth for the year, unchanged from guidance given at the interim results in July, when the segment generated £17.5m in first-half revenue, up 14%.
Estate Agency partner retention stood at 92% to the end of October, the second-highest in the past decade, against 93% a year earlier.
Looking ahead
For 2027, Rightmove expects revenue growth similar to 2026 as current end-market conditions persist, alongside an increase in underlying operating profit growth to 4-7% and underlying EPS growth of at least 10%, with operating margin of at least 67%.
Read more about Rightmove
- 31/07/26Rightmove cuts revenue growth guidance amid New Homes slowdown
- 08/05/26Rightmove reaffirms 2026 revenue guidance
"We are on track to deliver revenue and profit growth within our previous full-year guidance, and are upgrading our earnings per share guidance," said chief executive Johan Svanstrom, adding that the business has delivered "innovation at our fastest-ever pace" over the quarter.
On capital returns, the company has distributed approximately £125m to shareholders since 31 July through the interim dividend of £30m and £95m of share buybacks, partly funded by the revolving credit facility agreed at the time of the interim results.
Rightmove expects to return a further £80m through buybacks by year-end, keeping it on track for the previously stated target of more than £400m returned between 31 July 2026 and 31 July 2027.