Rea Group Ltd · ASX:REA
Rea — H1 2013 Earnings Presentation
21 slides from Rea's earnings presentation, Feb 6, 2013
Slide 1: REA Group Limited Investor & Analyst Presentation
Commercial in Confidence For personal use only REA GROUP LIMITED INVESTOR & ANALYST PRESENTATION For the period ended 31 December 2012 Greg Ellis – Chief Executive Officer & Jenny Macdonald – Chief Financial Officer February 6, 2013
Slide 2: Market Leaders in growth & innovation
REA Group Market Leaders in growth & innovation For personal use only • REA Group operates digital advertising businesses specialising in the real estate sector in Australia, Europe and Hong Kong. • We are focused on delivering innovative digital products, tailored to the needs of our customers • Ou
Slide 3: Key highlights of our performance for the half year
Key highlights of our performance for the half year • Group revenue growth at 20% For personal use only (1) • Continued EBITDA growth across the Group at 30% • Key drivers of growth are: • Revenue growth continues in core Australian market at 21% • Revenue growth of 13% for Italy (24% in local curre
Slide 4: Improved Group margin driving ASX over-performance
Improved Group margin driving ASX over-performance For personal use only (1) Source: REA Group and Yahoo Finance 4 6 February, 2013
Slide 5: REA operates throughout the property life cycle
REA operates throughout the property life cycle… • Premiere Property For personal use only Buy and • Highlight Lease Existing Property • Diamond • Advertising Customer New upgrades Digital Property • Developer Display • Social Media Office • Project Profiles Property Life Cycle Data & • Valuation An
Slide 6: Accelerated performance from the Australian business
Accelerated performance from the Australian business For personal use only (1) (1) ‘Other’ category was previously combined with media display. Prior period comparatives have been restated for consistency. 6 6 February, 2013
Slide 7: Innovative strategy delivering growth in Australia
Innovative strategy delivering growth in Australia Key Highlights For personal use only • #1 Australian residential property site • Accelerated growth in value-added products • Depth listing revenue strategy delivers value to agents who are taking up REA’s new products including Residential : Highli
Slide 8: #1 digital property advertising business
#1 digital property advertising business For personal use only (1) Nielsen Online Market Intelligence Total Traffic for Audited sites, average monthly desktop visits for the 6 month period inclusive of realestate.com.au, realcommercial.com.au and property.com.au, compared to domain.com.au and commer
Slide 9: Mobile visits continue to soar
Mobile visits continue to soar For personal use only 5 5 6 6 6 6 total visits: 28.8m total visits: 22.8m (1) Adobe Omniture Site Catalyst. Monthly average Visits growth in the 6 month period from June 2012 to December 2012 for realestate.com.au and realcommercial.com.au combined. (2) Adobe Omniture
Slide 10: Commitment to innovation continues
Commitment to innovation continues Customer Consumer For personal use only New tailored weekly Campaign Performance Reports to demonstrate advertising value to agents and vendors. Shortlisted as AIMIA finalist for realestate.com.au’s iPhone® and iOS app for Best Application on a Mobile category and
Slide 11: Casa.it delivers EBITDA growth in challenging market
Casa.it delivers EBITDA growth in challenging market • Italy’s # 1 property site For personal use only • Strong revenue growth 24% • ARPA growth of 35% • EBITDA profit increased 383% • Average Unique Audience 1.5 times more than the second ranked site • Lost customers represent low-end volume of mar
Slide 12: Revenue & EBITDA growth across Europe and Hong Kong
Revenue & EBITDA growth across Europe and Hong Kong For personal use only atHome.lu /atHome.de/ immoregion.fr squarefoot.com.hk • #1 in Greater Luxembourg • Excellent online growth driving EBITDA results • Paying agents growing in France and Germany • ARPA decrease due to transition to online (lower
Slide 13: REA Group's growth record
REA Group’s growth record For personal use only 13 6 February, 2013
Slide 14: EBITDA growth continues across all countries
EBITDA growth continues across all countries For personal use only (1) Strengthening of AUD compared to Euro € from comparative half year has negatively impacted revenue in Italy and GLR by $1.1m and $0.4m 14 respectively. (2) Corporate overhead allocations reduced from prior period as result of dec
Slide 15: Continued growth in dividend payout
Continued growth in dividend payout For personal use only All dividends are fully franked 15 6 February, 2013
Slide 16: Product summary
Product summary For personal use only 16 6 February, 2013
Slide 17: Residential product examples
Residential product examples Product Hierarchy Feature Agent Premiere Property details page For personal use only ** Footnotes 17 6 February, 2013
Slide 18: Commercial product examples
Commercial product examples Elite PLUS, Elite and Professional Agent Elite PLUS details page For personal use only Enhanced listings 18 6 February, 2013
Slide 19: Supporting agents with new tailored marketing tools for vendors
Supporting agents with new tailored marketing tools for vendors For personal use only realestate.com.au/sellingguide Vendor Mail Vendor marketing brochures 19 6 February, 2013
Slide 20: Local community initiatives engaging buyers, vendors & agents
Local community initiatives engaging buyers, vendors & agents For personal use only Catching topical attention Press ads Coffee Trucks at auction sites Billboards Community Events 20 6 February, 2013
Slide 21: Disclaimer
Disclaimer The material herein is a presentation of non-specific background information about the Company’s current activities. It is For personal use only information given in summary form and does not purport to be complete. Investors or potential investors should seek their own independent advice