REA Group (REA) H1 2025 earnings summary

Executive summary

• Revenue rose 20% year-over-year to AUD 873 million, with EBITDA (excluding associates) up 22% to AUD 535 million and NPAT from core operations up 26% to AUD 314 million; reported NPAT surged 246% to AUD 441 million due to significant one-off gains, including the PropertyGuru sale.

• Interim dividend increased 26% to AUD 1.10 (110 cents) per share, fully franked, reflecting robust profitability.

• Strong growth across all business segments, with Australia and India both contributing significantly to revenue and EBITDA gains.

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

• CEO transition announced, with current CEO retiring in the second half of 2025 and a search for a successor underway.

Financial highlights

• Group revenue rose 20% to AUD 873 million; Australia revenue up 19% to AUD 809 million, India revenue up 46% to AUD 64 million.

• EBITDA (excluding associates) was AUD 535 million, up 22% year-over-year; reported EBITDA more than doubled to AUD 641 million due to one-off gains.

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

• Operating cash flow reached AUD 325 million; all external debt repaid, with a closing cash balance of AUD 338 million.

• 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 geographical mix may temper magnitude.

• Group core operating cost growth now anticipated to be low double digits, higher than previous guidance.

• EBITDA losses in India expected to be marginally lower in FY25 versus FY24; combined associates' losses anticipated to be modestly higher.

• Positive operating jaws targeted for FY25.

• Directors expect continued profitable trading and positive operating cash flows for the foreseeable future.