OnTheMarket’s share price ended yesterday at around 10% down after it revealed that its plans to climb into profit had essentially slipped one year.
An unscheduled trading update initially sent the share price plummeting from the previous evening’s close of 97p down to 75p.
OTM said that “market conditions’ had resulted in a slower than planned rate of converting free agents to full, long-term paying contracts.
It had therefore introduced shorter, cheaper contracts at £207 per month.
It is now forecasting that in the year ending January 31, 2022, “significant profitability and cash generation” will be achieved – but 12 months later than originally envisaged.
Yesterday, the shares recovered from their 75p low to finish at about 87.5p.
OTM was admitted to the junior AIM market on February 9 last year, with a target of 165p and started trading at 163.5p.
Its shares hit a high of 181p in May 2018.
Comments (6)
It’s a shame because it was set up to stop the rise of online agents primarily. Strangely though Savills, one of the founding members set up/funded Yopa. We were initially told there would be no gimmicks like on Rightmove, with feature properties etc as ‘they don’t work’ now they are selling them! It is now just another £200 expense that is a total waste of money.
……£5 a Share?
……my Company Loan not refunded? ……converted by Agents Mutual/OTM into OTM Shares!
……the only thing OTM didn’t take was Christmas
……and my Company continues to forcibly “Gift” them several hundred pounds a month – until Spring 2020!
……we’re not in Portal Love
……we were in Portal Love
……they spent my and continue to spend my Portal Love
……Spring 2020 – The Chinese may name it the OTM Free Year …..I certainly will!
Bad judgement and handling, what was a very good idea. It still is, but not in its current form. There is a lack of confidence by many in the leadership and doesn’t represent the values of what was originally intended?
So still some way off the promised £5 a share for agreeing to list the company.
Ah yes £5 / share …I remember that and sitting in the audience at the road show thinking that’ll be handy one day….has it ever gone over a quid….not that i’m bitter ( much!! )
Question
What will have been the total cost for a gold originator agent with say ten offices up to now?
And has it been worth it?