ZILLOW GROUP, INC (Z) swung to a net profit for the quarter ended Sep. 30, 2016. The company has made a net profit of $6.81 million, or $ 0.04 a share in the quarter, against a net loss of $26.05 million, or $0.15 a share in the last year period. On the other hand, adjusted net income for the quarter stood at $32.93 million, or $0.17 a share compared with $8.67 million or $0.05 a share, a year ago.
Revenue during the quarter grew 27.06 percent to $224.59 million from $176.76 million in the previous year period. Gross margin for the quarter expanded 118 basis points over the previous year period to 91.87 percent. Operating margin for the quarter period stood at positive 3.49 percent as compared to a negative 15.66 percent for the previous year period.
Operating income for the quarter was $7.84 million, compared with an operating loss of $27.68 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $59.46 million compared with $29.48 million in the prior year period. At the same time, adjusted EBITDA margin improved 980 basis points in the quarter to 26.48 percent from 16.68 percent in the last year period.
"Our third-quarter performance was terrific," said Zillow Group chief executive officer Spencer Rascoff. "We delivered another quarter of record revenue, and Adjusted EBITDA exceeded our expectations. Traffic to Zillow Group’s mobile apps and websites increased year-over-year and revenue growth in our Premier Agent marketplace accelerated. With all of our marketplaces performing strongly, we expect to end 2016 in a strong position to continue executing on our strategic priorities."
For the fourth-quarter, ZILLOW GROUP, INC expects revenue to be in the range of $218 million to $223 million.
For financial year 2016, ZILLOW GROUP, INC expects revenue to be in the range of $837 million to $842 million.
Operating cash flow turns negativeZILLOW GROUP, INC has spent $30.44 million cash to meet operating activities during the nine month period as against cash inflow of $38.59 million in the last year period. The company has spent $27.91 million cash to meet investing activities during the nine month period as against cash inflow of $58.63 million in the last year period
Cash flow from financing activities was $19.97 million for the nine month period, up 89.21 percent or $9.42 million, when compared with the last year period.
Cash and cash equivalents stood at $190.76 million as on Sep. 30, 2016, down 18.32 percent or $42.78 million from $233.54 million on Sep. 30, 2015.
Working capital declines
ZILLOW GROUP, INC has witnessed a decline in the working capital over the last year. It stood at $407.49 million as at Sep. 30, 2016, down 16.59 percent or $81.06 million from $488.55 million on Sep. 30, 2015. Current ratio was at 5.32 as on Sep. 30, 2016, down from 5.57 on Sep. 30, 2015.
Days sales outstanding went down to 15 days for the quarter compared with 18 days for the same period last year.
At the same time, days payable outstanding went down to 47 days for the quarter from 50 for the same period last year.
Debt remains stableTotal debt remained stable at $230 million as on Sep. 30, 2016, when compared with the last year. Long-term debt remained stable at $230 million as on Sep. 30, 2016, when compared with the last year. Total debt was 7.51 percent of total assets as on Sep. 30, 2016, compared with 7.27 percent on Sep. 30, 2015. Debt to equity ratio was almost stable at 0.09 as on Sep. 30, 2016, when compared with the last year. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
