REA Group (REA) H1 2025 earnings summary

Executive summary

• Delivered record half-year results with revenue of AUD 873 million, up 20% year-over-year, and core NPAT up 26% to AUD 314 million, driven by strong growth in Australia and India.

• Statutory NPAT surged 246% to AUD 441 million, reflecting significant one-off items including PropertyGuru divestment.

• Interim dividend increased 26% to AUD 1.10 per share, fully franked, reflecting robust profitability.

• CEO announced retirement, with transition planned for second half of 2025 and a search for a successor underway.

• Maintained audience leadership, with realestate.com.au monthly unique audience up 14% year-on-year and market leadership in Australia and India.

Financial highlights

• Group revenue rose 20% to AUD 873 million; EBITDA (excluding associates) up 22% to AUD 535 million.

• NPAT from operations reached AUD 314 million, a 26% increase; statutory NPAT was AUD 441 million, up 246%.

• Operating expenses rose 18% to AUD 338 million; EPS up 26% to 237.7 cents.

• Operating cash flow reached AUD 325 million; all external debt repaid.

• Fully franked interim dividend of AUD 1.10 per share, up 26% from prior period.

Outlook and guidance

• Double-digit FY25 residential buy yield growth expected, though negative geographical mix may moderate gains.

• Group core operating cost growth now anticipated to be low double digits, up from high single digits.

• EBITDA losses in India expected to be marginally lower in FY25 versus FY24.

• Positive operating jaws targeted for FY25.

• Directors expect continued profitable trading and positive operating cash flows.