SEEK Strengthens Market Leadership with Innovation and Strong Financial Performance

About Seek Limited

SEEK Limited (ASX: SEK), founded and headquartered in Melbourne, is a leading multinational technology company with over 3,300 employees. Operating across Australia, New Zealand, and Southeast Asia, SEEK also holds minority investments in employment marketplaces in China, South Korea, and Bangladesh. With approximately 40 million candidate relationships and 400,000 hirer connections, SEEK leverages advanced data and technology to enhance job matching and marketplace reliability. Recognised among Australia’s Top Ten Places to Work in Technology from 2021 to 2024, SEEK also earned HRD Asia’s 5-Star Employer of Choice in 2024 and multiple awards at TalentCorp’s Life at Work Awards 2023 in Malaysia.

Strong Market Position and Growth Opportunities

SEEK has reinforced its leadership in Australia and New Zealand, with continued improvements in placement share. Notably, it regained the top position in Singapore and the Philippines and maintained its leading status in other Asian markets. This success is attributed to product innovation and strategic sales execution. The rollout of a new freemium model in the Philippines, Thailand, and Indonesia has shown promising results, driving higher ad scale and stronger-than-expected revenue impact.

Additionally, SEEK continues to focus on AI-driven product enhancements, ensuring better job-candidate matching and an improved user experience. These innovations are expected to enhance SEEK’s market competitiveness and sustain its growth momentum.

Financial Performance: Stability and Strong Cash Flow

Despite softer job ad volumes, SEEK’s financial results demonstrate resilience and strength. The company reported total sales revenue of $536.2 million for H1 FY2025, with the impact of lower job volumes largely offset by double-digit yield growth. The Australian and New Zealand segment generated $416.3 million in revenue, and Asia contributed $119.9 million.

SEEK’s disciplined approach to expenditure has been a key positive, with total costs declining by 6% due to lower capital expenditure. This efficiency has resulted in a 93% increase in free cash flow, which enabled a higher interim dividend of 24 cents per share, up 26% from the previous year. SEEK’s strong cash conversion and reduced capital costs provide financial flexibility to invest in future growth initiatives.

SEEK Growth Fund: A Strong Investment Strategy

The SEEK Growth Fund continues to deliver impressive returns, with a 5% increase in valuation and total growth of 30% since its inception. One of the key highlights was the successful partial sell-down of SEEK’s stake in Employment Hero to global investment firm KKR, generating proceeds of $79 million. This transaction not only reflects strong investor confidence but also provides additional capital for SEEK to optimise its financial structure and reduce debt.

The Growth Fund remains a valuable asset, offering diversification and investment in high-growth HR technology businesses. SEEK’s ability to strategically allocate capital ensures continued value creation for shareholders.

Industry Context and Competitive Edge

SEEK operates in a dynamic and evolving labour market, where digital transformation and data-driven recruitment solutions are becoming increasingly important. The company’s continued focus on AI-powered job matching and marketplace enhancements positions it well for long-term success.

While some markets, such as New Zealand and Hong Kong, have experienced weaker job ad volumes, SEEK remains well-positioned to capitalise on emerging opportunities in Malaysia and other high-growth regions. Its leadership in key Asia-Pacific markets provides a strong foundation for future expansion.

Looking Ahead: Optimism for FY2025

SEEK’s guidance for FY2025 remains strong, with expected revenue between $1.06 billion and $1.10 billion. The company anticipates EBITDA of approximately $440 million to $470 million, reflecting its ability to drive efficiency while maintaining investment in key initiatives.

With its market-leading position, strategic investments, and strong financial performance, SEEK Limited remains a compelling success story in the technology and employment marketplace sector. Its continued focus on innovation and operational efficiency will ensure it remains a key player in the evolving job market landscape.