2018 Annual Report
SEEK achieved a strong operational result for the year ended 30 June 2018 ('FY2018') with growth in sales revenue (before significant items) of 25% (24% constant currency). EBITDA (before significant items) was up 15% (up 16% constant currency) compared to the year ended 30 June 2017 ('FY2017').
Profit attributable to the owners of SEEK Limited was $53.2m (30 June 2017: $340.2m).
- ANZ Employment: revenue growth of 16% and EBITDA growth of 18%;
- Zhaopin: revenue growth of 24% (21% constant currency) and EBITDA growth of 5% (3% constant currency);
- SEEK Asia: revenue growth of 8% (10% constant currency) and EBITDA growth of nil% (3% constant currency);
- Brasil Online: revenue decline of 14% (9% constant currency) and EBITDA decline of 27% (24% constant currency); and
- Total revenue growth as a result of acquisitions was 11% primarily due to consolidation of OES.
Below EBITDA items:
- Depreciation and amortisation increased by 27% largely due to increased capex in product and technology;
- Net interest: higher interest expenses due to OES and Zhaopin transaction related funding; and
- Share-based payments and other LTI: Returning back to normal levels.
FY2018 significant items of $147.0m included the following:
- Fair value gain from SEEK's investment in MaiMai (via Zhaopin) of $35.9m (representing SEEK's share);
- Impairment charge against the carrying value of Brasil Online ($119.0m), OCC ($60.0m, $58.9m SEEK share) and CJOL (subsidiary of Zhaopin) of $1.6m (representing SEEK's share); and
- Other one-off items of $3.4m.
FY2017 significant items of $138.7m included the following:
- Fair value gain from SEEK increasing its ownership stake in OES of $174.3m;
- One-off restructuring costs and write-off of intangibles relating to the cessation of VET sales in SEEK Learning of $15.9m;
- Net one-off tax items of $1.1m comprising of a Zhaopin withholding tax provision ($10.5m) offset by a tax benefit arising from the sale of the investment in JCBNext Berhad ('JCBNext') ($9.4m); and
- Impairment of Babajob and another early stage minority investment of $6.1m and transaction costs related to Zhaopin's privatisation of $12.5m.
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About SEEK Limited
SEEK Limited (ASX:SEK) (OTCMKTS:SKLTY) is a diverse group of companies, comprised of a strong portfolio of online employment, educational, commercial and volunteer businesses. SEEK operates across 18 countries with exposure to over 4 billion people and 28 per cent of GDP. SEEK makes a positive contribution to people's lives on a global scale. SEEK is listed on the Australian Securities Exchange, where it is a top 50 company with a market capitalisation close to A$6billion and has been listed in the Top 20 Most Innovative Companies Globally by Forbes, and Number One in Australia.