Editorial Summary

Shanghai-based real estate services company E-House (China) Holdings Limited (NYSE: EJ) reported full year 2007 financials before market open on Friday. E-House booked US$121 million in total revenue, up 116 percent year-on-year, and US$41.7 million in net income, up 130 percent over 2006, during the one year period. In the fourth quarter, total revenue came in at $50.4 million, up 46 percent quarter-on-quarter, while net income was $22.4 million, up from $8.5 million in the third quarter.

Primary real estate agency services brought in $41.5 million of revenue in the three month period, increasing from $25.7 million in the third quarter. The company's average commission rate increased from 2.2 percent in 2006 to 2.4 percent in 2007. Revenue from secondary real estate brokerage services came in at $4.5 million, up from $3.3 million last quarter, while real estate consulting and information services increased 162 percent year-on-year to $4.3 million. By the end of the year, E-House had a total of 160 secondary real estate brokerage stores across five cities.

For the first quarter of 2008, E-House expects revenues between $29 million to $32 million, while full year estimates are between $210 million and $240 million.