Rea Group Ltd · ASX:REA
Rea — H1 FY2008 Earnings Presentation
18 slides from Rea's earnings presentation, Feb 26, 2008
Slide 1: 1st Half Year 2008 Results Presentation
For personal use only The Global Online Real Estate Advertising Player 1st Half Year 2008 Results Presentation realestate.com.au Ltd 26 February 2008 www.rea-group.com
Slide 2: REA Group key metrics
The REA Group continues to deliver strong year on year growth across all key metrics For personal use only REA GROUP KEY METRICS Revenues ($m) EBITDA ($m) Paying Agents Unique Browsers (m) $71 8.8m in Jan08 18931 $48 6.1 12140 4.0 $25 2.9 7,058 5,836 $15 $14 1.3 $8 $4 $2 1HY 05 1HY 06 1HY 07 1HY 08
Slide 3: Financial performance of the REA Group
The REA Group continues to deliver strong year on year growth across all key metrics For personal use only FINANCIAL PERFORMANCE OF THE REA GROUP Financial Comparative Data FY 2005 FY 2005 FY 2006 FY 2006 FY 2007 FY 2007 FY 2008 ($’000) 1st Half-Yr 2nd Half-Yr 1st Half-Yr 2nd Half-Yr 1st Half-Yr 2nd
Slide 4: Locations of website operations
The REA Group is establishing a global network of real estate websites For personal use only LOCATIONS OF WEBSITE OPERATIONS Source: The REA Group February 2008 REA Group - 1HY FY2008 Results Presentation 4
Slide 5: Revenue split by country for 1HY FY2008
The Australian business delivered 77% of revenues – compared with 83% in first half FY2007 For personal use only REVENUE SPLIT BY COUNTRY FOR 1HY FY2008 UNITED KINGDOM Residential site Print publications $2.3M ITALY (3%) Residential site $11.0M LUXEMBOURG AUSTRALIA (15%) Residential site Residential
Slide 6: Country segment information
Revenues and profitability are improving on a country by country basis For personal use only COUNTRY SEGMENT INFORMATION Country Revenue (A$ ‘000s) EBITDA (A$ ‘000s) Margin for the half-year ended 31 December 2007 Australia* 54,936 28,800 52.4% United Kingdom 10,989 (4,004) (36.4%) Italy 2,284 (1,05
Slide 7: Product line additions
The REA Group continues to improve its product range For personal use only PRODUCT LINE ADDITIONS Areas of operations June 2007 December 2007 realestate.com.au realestate.com.au property.com.au property.com.au homesite.com.au homesite.com.au realholidays.com.au homeguru.com.au allrealestate.co.nz al
Slide 8: Revenue split by product line for 1HY FY2008
Residential online advertising products delivered 84% of revenues For personal use only REVENUE SPLIT BY PRODUCT LINE FOR 1HY FY2008 Commercial $4.1M Online (6%) Advertising Residential Online $3.1M Agent Office Advertising* $60.3M Solutions (4%) Agent revenues 61% Developer revenues 9% (84%) Third
Slide 9: Revenue split by product type for 1HY FY2008
Classified listings continue to be the key driver of revenue growth For personal use only REVENUE SPLIT BY PRODUCT TYPE FOR 1HY FY2008 $16.3M Display (23%) Advertising Classified $48.1M Listings (67%) (incl. upgrades) $3.1M Agent Office (4%) Solutions $3.9M Residential (6%) Print Total = $71.4M Adve
Slide 10: Revenue split by customer for 1HY FY2008
The revenues from Real Estate Agents were 77% of the total revenues For personal use only REVENUE SPLIT BY CUSTOMER FOR 1HY FY2008 $6.3M DEVELOPERS (9%) $10.0M THIRD PARTIES $54.7M (14%) REAL ESTATE AGENTS (77%) $0.4M CONSUMERS (1%) Total = $71.4M Source: The REA Group February 2008 REA Group - 1HY
Slide 11: Paying residential and commercial agents using REA Group sites
There are approximately 19,000 paying agents using at least one of the REA Group sites – with trial agents this grows to 22,000 For personal use only PAYING RESIDENTIAL AND COMMERCIAL AGENTS USING REA GROUP SITES June Dec Growth for Country Site 2007 2007 the half-year realestate.com.au Australia re
Slide 12: Listings on REA Group sites as at January 2008
Listings across the group grew by 12% over the last 12 months to approximately 1.2 million For personal use only LISTINGS ON REA GROUP SITES AS AT JANUARY 2008 Country Site Listings realestate.com.au 367,358 Australia realcommercial.com.au 73,966 realholidays.com.au 22,720 allrealestate.co.nz 37,007
Slide 13: Total unique visitors to REA Group sites in January 2008
In January 2008, there were 8.8m visitors to the REA Group of sites – up 30% over the January last year For personal use only TOTAL UNIQUE VISITORS TO REA GROUP SITES IN JANUARY 2008 Country Country Total Visitors realestate.com.au 4,398,886 realcommercial.com.au 231,554 propertylook.com.au 52,524 A
Slide 14: Key highlights from the Group's operations
Key highlights from the Group’s operations For personal use only AUSTRALIA ITALY UNITED KINGDOM February 2008 REA Group - 1HY FY2008 Results Presentation 14
Slide 15: Australia at a glance
The Australian business continues to deliver significant growth on all key dimensions For personal use only AUSTRALIA AT A GLANCE 10,000 Paying Agents $800 ARPA (Average revenue per agent) 8,824 9,000 $758 $750 8,000 $700 7,000 $650 6,000 $600 5,000 $550 4,000 $500 3,000 2,000 $450 1,000 $400 Jan-01
Slide 16: Italy at a glance
Casa.it continues to lead the way in the Italian market For personal use only ITALY AT A GLANCE 4,750 Paying Agents Market share Acquired in Feb 07 4,489 4,500 19% 4,250 Added Feb 07 to Jun 07 4,000 4% Other 53% 3,750 Added Jul 07 to Dec 07 3,500 7% 3,250 Trials 17% 3,000 Feb-07 Apr-07 Jun-07 Aug-07
Slide 17: United Kingdom at a glance
We continue to make progress in the UK market and have recently moved into second place For personal use only UNITED KINGDOM AT A GLANCE 5,000 Paying Agents Market share 4,680* 4,500 As per Jun 06 4,000 21% Not on PF 65% 3,500 Added between 3,000 Jul 06 and Jun 07 8% 2,500 Added between * Includes s
Slide 18: Disclaimer
Disclaimer For personal use only The material herein is a presentation of non-specific background information about the Company’s current activities. It is information given in summary form and does not purport to be complete. Investors or potential investors should seek their own independent advice