REA Group (REA) Q3 2025 earnings summary

Executive summary

• Q3 revenue increased 12% year-over-year to AUD 374 million, with double-digit yield growth and robust performance across residential, commercial, financial services, and India segments.

• EBITDA (excluding associates) for Q3 was AUD 199 million, up 12%, and for the nine months reached AUD 734 million, up 19% year-over-year.

• Free cash flow for the nine months was AUD 389 million, up 21% year-over-year; Q3 free cash flow rose 19% to AUD 132 million.

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

• Buyer demand and house price growth were supported by the first interest rate cut in four years and expectations of further cuts.

Financial highlights

• Group revenue for Q3 increased 12% to AUD 374 million; nine-month revenue rose 18% to AUD 1,247 million.

• Operating expenses for Q3 rose 12% to AUD 176 million; nine-month expenses increased 15% to AUD 513 million.

• Operating EBITDA (excluding associates) was AUD 199 million in Q3, up 12%; Q3 EBITDA (including associates) was AUD 193 million, up 15%.

• Residential revenue grew 12% in Q3, driven by a 15% increase in buy yield despite flat national listings.

• India revenue rose 28% year-over-year in Q3, led by adjacency services growth on Housing Edge.

Outlook and guidance

• FY25 residential buy yield growth expected between 13% and 15%, with geographical mix as a key variable.

• Anticipates 1%-2% growth in national residential new buy listings for FY25.

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

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