REA Group (REA) Q3 2025 earnings summary

Executive summary

• Q3 revenue reached AUD 374 million, up 12% year-over-year, with double-digit yield and revenue growth across residential, commercial, financial services, and India segments, supported by robust market fundamentals and record platform engagement.

• EBITDA (excluding associates) was AUD 199 million for Q3, up 12% year-over-year; for the nine months ended 31 March 2025, EBITDA excluding associates increased 19% to AUD 734 million.

• Free cash flow grew 21% year-over-year for the nine months and 19% for Q3.

• Record consumer engagement with 12.6 million visitors in March and a 6% increase in active membership year-over-year.

• Strategic focus on personalized experiences, product innovation, and leveraging data insights to drive value for customers and consumers.

Financial highlights

• Group revenue for Q3 increased 12% to AUD 374 million; operating expenses from core operations also rose 12% to AUD 176 million.

• Operating EBITDA (excluding associates) was AUD 199 million, up 12% year-over-year.

• Residential revenue grew 12% in Q3, driven by a 15% increase in buy yield, offset by a 3% negative impact from revenue deferral.

• Financial services revenue saw double-digit growth, with settlements up 16% and leads from the platform up 45% year-over-year.

• REA India revenue up 28% year-over-year, driven by adjacency services and price increases.

Outlook and guidance

• FY25 national residential new buy listings expected to grow 1%-2%; residential buy yield growth forecasted at 13%-15%.

• Group core cost growth anticipated to remain in low double digits, with Q4 growth rate lower due to marketing and COGS phasing.

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

• Market fundamentals remain healthy, but tougher comps and competitive pressures expected in the remainder of the year.

• Positive operating jaws targeted for FY25.