Fairfax Media's real estate revenue soars

Fairfax Media's Domain real estate business has continued to achieve strong revenue growth as its seeks to rival realestate.com.au.

Fairfax's real estate advertising business Domain has continued to achieve strong revenue growth. (AAP)

Fairfax Media's real estate advertising business Domain has achieved a 56 per cent increase in revenue in the first few months of 2015.

Domain has become the media company's main focus, resulting in massive spending to help the business compete with rival realestate.com.au, which is controlled by News Corporation.

That comes as its traditional publishing business, which includes The Sydney Morning Herald and The Age, struggles with falling circulation and advertising volumes.

Fairfax said Domain's revenue rose 56 per cent between January 1 and March 22, compared to the same period in 2014.

That reflects the benefits of taking complete ownership of Victoria's Metro Media Publishing, the owner of several real estate and lifestyle magazines and newspapers, Fairfax said.

Digital revenue in the Domain business was up 34 per cent in the first few months of 2015, while revenue from Domain.com.au was up 26 per cent.

Fairfax shares were up two cents at 95.5 cents at 1440 AEDT.