REA Group Hosts First Investor Day

REA Group is targeting "double-digit revenue and EBITDA growth through the cycle,” as it foresees "significant growth opportunities" in its core business and adjacencies (REA defines the property cycle as 3-5 years).¹

REA is Australia's largest digital real estate business and is 61.4% owned by News Corp; the company shared the update at its first Investor Day in Sydney, Australia earlier today.

Highlights from the REA Investor Day included:

• REA target of double-digit revenue and EBITDA growth through the cycle resulting from the core business benefiting from higher yields as a result of value enhanced products and services. Revenue to be driven by continued growth in traditional advertising, next generation marketplaces, scaling adjacent businesses and REA India.

• REA has achieved unrivalled scale in Australia - Realestate.com.au remains Australia’s #1 address for property with 127 million average monthly visits, 3.3x more than the closest competitor, and is Australia’s 6^th largest online brand. This large and engaged audience is critical in driving significant buyer, seller and finance leads.

• REA showcased Premiere+, a new bundle within its core residential business, for customers and the most complete marketing package on offer in Australia.

• REA sees significant growth opportunities across its Property Data and Financial Services businesses. With unique propositions in large addressable markets, the company is targeting PropTrack and Mortgage Choice to become Australia’s #1 property data and branded franchise mortgage businesses respectively.

• REA highlighted its focus on developing transformative products and sees a large opportunity for property research site, property.com.au to stimulate new listings and mortgages by driving confidence in property owners to sell.

• REA sees India as a significant growth opportunity backed by strong macro drivers and rapid digitization. Strong momentum within REA India has seen the business achieve and sustain the #1 audience position for the past six months and REA has a clear strategy to extend leadership and expand its offering.

“REA’s investor day has shone a bright light on the company’s thriving outlook and the benefits of being the undisputed market leader in Australia, including the peerless value that the company brings to consumers and to agents,” said News Corp Chief Executive Robert Thomson. “We are also delighted by the increased collaboration between realtor.com and REA, which share learnings and insights, and leverage that intelligence to improve their services and their profitability. We believe the future for both companies is luminously lucrative.”