REA Group (REA) Q1 2027 earnings summary

Executive summary

• Q1 FY27 revenue rose 11% YoY to $450m and EBITDA excluding associates increased 12% to $294m, supported by residential yield growth.

• Record engagement continued despite softer listings and lower buyer enquiries; FY27 outlook remained unchanged.

Financial highlights

• Revenue was $450m, up 11% YoY and 8% excluding M&A; Australian revenue was $441m, up 9% or 8% excluding M&A.

• Operating expenses were $155m, up 9% YoY and 2% excluding M&A; Australian costs increased 3%.

• EBITDA excluding associates was $294m, up 12%; EBITDA including associates was $289m, up 13%.

• Free cash flow was $126m, up 24% YoY on reported results.

Outlook and guidance

• FY27 national Buy listings expected to decline by low single digits; October listings fell 13% YoY, or 8% excluding one fewer working day.

• Targets include operational margin expansion and low double-digit controllable Residential Buy yield growth, excluding geographical mix.

• Operating cost growth excluding M&A targeted at mid single digits in Australia and overall; including M&A, mid to high single digits.

• Combined associates’ losses are expected to improve YoY.