Apr 26, 2021

Image source: Getty Images The RMA Global Ltd (ASX: RMY) share price is rising today after the company released its quarterly business update  outlining increases in recurring revenue. The RMA Global share price is currently up 3.85%, trading at 27 cents per share. RMA Global is an Australia-based online digital marketing business. It provides data on residential property sales in particular and usually performs strongly in periods of increased housing market demand, such as the current time. The company generates revenue from subscription services and promoter services. Geographically, it has a presence in the United States, Australia and New Zealand (ANZ), but it derives most revenue from ANZ markets. RMA Global’s quarterly business update RMA Global advised that its recurring revenue for the third quarter of FY21 was $2.97 million, up 17% quarter-on-quarter (QoQ) and 59% year-on-year (YoY). Cash flow also improved, with net receipts from customers in the same quarter FY21 of $3.66 million, up 19.5% QoQ and 59% YoY. In the United States, it now has 115,000 real estate agents on its platform and 109,800 reviews. Total agents on the platform and the total number of reviews for this quarter of FY21 increased by 148% and 363%, respectively, compared to the same quarter last financial year. RMA says its US focus is to drive agents on the platform and reviews. As of 19 April 2021, there were 115,000 agents on the US platform who have collected a total of 109,800 reviews (including imported reviews). RMA says this increase reflects a continuing strong agent uptake and engagement with the platform. While the US focuses on increasing agents on the platform and their reviews, subscription revenues are growing, with 193% higher revenues generated in 1H FY21 compared to 2H FY20, but off a low base. RMA says its revenues are expected to increase in the second half of FY21 as the company allocates more resources to monetising the agent base. It also announced continued growth in all products across Australian and New Zealand (ANZ) markets. In addition, RMA said that the coronavirus pandemic has had no material impact on its business to date, which could be due to record-low interest rates across the world and the increased demand on the housing market. What RMA management says RMA CEO Michael Davey highlighted the company’s 18% increase in ANZ markets. We are very pleased with our growth in ANZ over the last few months, which has surpassed our expectations. In a rapidly changing environment, we are able to adapt to our customers’ needs which is reflected in our growing revenues and increasing customer engagement. The US has also seen us accelerate the number of agents on the platform and we anticipate an exciting pipeline of activity to come in the second half of the year. RMA Global share price snapshot The RMA Global share price is down 10% since 2021 began. It has gained 8% over the past 12 months, but that’s significantly lower than the broader communications services sector. Where to invest $1,000 right now When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more. * Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now. These stocks could rocket in a Post-COVID world In this FREE STOCK REPORT, Scott Phillips just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. By clicking this button, you agree to our Terms of Service and Privacy Policy . We will use your email address only to keep you informed about updates to our website and about other products and services we think might interest you. You can unsubscribe at anytime. Please refer to our Financial Services Guide (FSG) for more information. Browse Articles by Category