Moneysupermarket takes a knock from Google switch
Friday 12 July 2013
Moneysupermarket yesterday highlighted how vulnerable online businesses are to the whims of Google, saying fewer people logged on to the price comparison site between May and June after the internet giant made changes to its search engine.
Its shares fell 3.5p to 200.1p after the company, known for its lurid TV adverts, said a change in Google's algorithms meant insurance revenues and visitor numbers had slowed in the second quarter. The company said it is working on regaining its prominent placing in the search results for the term "insurance".
Despite the setback, Moneysupermarket said it is on track to meet its half-year revenue target of £112m, around 10 per cent more than the same period last year. Analysts at Canaccord Genuity also reaffirmed their buy rating on the firm in the wake of the news.
In March Moneysupermarket warned that the Government's Funding for Lending scheme was slowing down revenue growth by pushing down rates on savings products.
Last month, the site's founder, Simon Nixon, set out plans to sell a 15 per cent stake in the company worth £165m in his first major stake sale since the firm floated in 2007.
Moneysupermarket said the sale is to "diversify his personal holdings" and "increase liquidity in the company's shares".
The group will make a special dividend payment of £70m to shareholders on 26 July, as previously announced.
- 1 BBC told new political editor must be 'impartial' with Nick Robinson reportedly stepping down
- 2 Number of young homeless people in Britain is 'more than three times the official figures'
- 3 Humans of New York image of crying gay teen receives best response yet from Ellen DeGeneres
- 4 The map showing the most dangerous tourist destinations in Europe, according to the Foreign Office
- 5 Swedish minister gives strongest case yet on why EU should stop turning away asylum seekers
More Britons believe that multiculturalism makes the country worse - not better, says poll
Nathan Collier: Montana man inspired by same-sex marriage ruling requests right to wed two wives
Greece crisis: IMF was pushed around by Angela Merkel and Nicholas Sarkozy – and now it is being humiliated
Forget little green men – aliens will look like humans, says Cambridge University evolution expert
Osborne to cap family benefits at £23,000 – announced ahead of his post-election Budget
Girl, 7, stares down hate preacher at Ohio festival with pro-LGBT rainbow flag gesture
iJobs Money & Business
£15000 - £17000 per annum: Recruitment Genius: This company offers a range of ...
£15000 - £16000 per annum: Recruitment Genius: Customer Service Advisors are r...
£20000 - £25000 per annum + OTE £45K: SThree: SThree were established in 1986....
£40000 - £60000 per annum: Recruitment Genius: A Compliance Manager is require...