McGrath forecast bigger losses as improved housing market sentiment yet to boost revenues

PHOTO: McGrath

The bellwether listed estate agency McGrath Limited has told shareholders that continued subdued 2019 market conditions have further hit its financial profitability.

With improved sentiment yet to translate into increased listings, and sales, McGrath Ltd says it now expects a full year earning’s loss of $6 million to $6.5 million due to headwinds across the nation’s housing markets.

The forecast loss is up on the envisaged $4.5 million EBITDA loss advised in its March update for the first eight months of the financial year.

McGrath shares have slipped from its $2.10 listing price in December 2015.

The shares were trading at 27 cents before and after this morning’s update.

The ASX-listed realtor said today market conditions for FY19 had been challenging with transaction volumes and property values in Sydney, Brisbane and Melbourne further subdued in the 12 months to May.