31. Source: Yahoo Finance - http://au.finance.yahoo.com/, Jan 2011
Key Highlights of Our Performance for First Half 2011
Continued Profitable Growth
Analyst presentation - REA – 1HY11 results
(1)
25% Revenue growth and 28% EBITDA growth
Property listings up by 17% to 1.56m
Paying Agents up by 14% to 22,172 for the Group
22% Revenue growth in the core market of Australia
135% Revenue growth in Italy
26% increase in Paying Agents in Italy
Innovation in Marketing recognised by Industry
Continued IT innovation : new casa.it websiteNew Homes tab on realestate.com.auiPhone Application launched
Continued Outperformance of the ASX 200
Increased return to shareholders – Half Year Dividend
Carbon Neutral and Oekom Accredited
4Analyst presentation - REA – 1HY11 results
(1)
1. Source: Yahoo Finance - http://au.finance.yahoo.com/ , Jan 2011 for calendar year 2010
Significant Levels of Innovation Continue Across the Business to Drive Performance (1HY2011 v 1HY2010)
Australian Revenue Growth of 22% to $103m
6
16% YOY Growth
Dec 10 9,688
Analyst presentation - REA – 1HY11 results
realestate.com.au and realcommerical.com.au Continue to Lead the Australian Market
Key Facts:• #1 Australian residential real estate site • Residential agent revenues up by 21% to $67.3m • Residential depth revenues 44% of agent revenues (2010: 39%)• Paying Subscriptions increase to 8950 (4% growth)• Partnerships with eBay and Yahoo7!• UBs increased to a record 7.5m increasing the gap with Domain by 22.8%
on prior month (Jan 2011)
7
Key Facts:• #1 Australian commercial real estate site • Commercial Agent revenues up by 23% to $11.2m • Paying Subscriptions increase to 1478 (10% growth)• Realcommercial.com.au had 3.9 times more Unique Browsers that its
nearest competitor in December 2010 (increasing from 2.7 times more in Dec 2009)
Analyst presentation - REA – 1HY11 results
(1) (1)
1. Comparison period is 1HY2011 to 1HY2010 unless otherwise indicated2. Source: Nielsen Online, Market Intelligence, Total Traffic for Audited Sites, Jan 2011
(2)
Gap > 4m
(2)
REA Australia Potential Brand Exposure Increases Against Number Two Portal - Dec 2010
Source: Nielsen Online, Market Intelligence, Total Traffic for Audited Sites, Dec 2010
8Analyst presentation - REA – 1HY11 results
PredictablePredictable
ProvableProvable
Cost EffectiveCost Effective
Valued by VendorsValued by Vendors
Build Rent RollBuild Rent Roll
Sales Sales ProductivityProductivity
Win New ListingsWin New Listings
Sell HousesSell Houses
Valued by AgentsValued by AgentsValued by ConsumersValued by Consumers
EntertainEntertain
EngageEngage
The Business Model
Search/FindSearch/Find
EvaluateEvaluate
9Analyst presentation - REA – 1HY11 results
Enhancement of our Product Suite to Support the Business Model and Customer Satisfaction
10
Valued by VendorsValued by VendorsValued by AgentsValued by AgentsValued by ConsumersValued by Consumers
Suburb Sponsorship Premiere PropertyOur Network
Premier Property
Analyst presentation - REA – 1HY11 results
Customer Satisfaction Focus is Supported By Improved Customer Call Centre and a Professional Sales Team to Understand Our Customer Needs
Syndication and co-branding:
Spring Campaign Advertising:
The Australian Business Continues to Improve Site Traffic, Usage and Engagement
11
The Fresh Start Project won REA the Internet
Advertising Bureau (IAB) Creative Showcase
(Dec 2010)
Kicked off in September and covered TV
commercials, outdoor and online advertising
Analyst presentation - REA – 1HY11 results
REA identifies new strategic partnerships to
support our strategy
Social media campaigns:
REA Australia’s Media Business Breaks New Ground
• Media revenues up by 27% to $24.6m in 1HY11• One of the largest digital display publishers in Australia by
revenue• Brings new functionality in “New Homes” tab
Analyst presentation - REA – 1HY11 results
MINI’s Floor ad on realestate.com.au
“We have been overwhelmed with the results and level of interest the campaign has generated in just one day with a click through rate of over 8 per cent(1), well above industry average. As a result, we have managed to increase traffic to our site by a whopping 1700 per cent – a phenomenal result for a reasonable investment(1),” MINI’s Marketing Manager Chris Brown.
1. Eyeblaster Research Q1 2009 to Q4 2009, Australia and New Zealand market.
12
11,531 –as at DEC 10
YOY Growth 26%
13
*
casa.it Goes from Strength to Strength
1. Source: Nielsen Online, Site Census, Dec 2010
Analyst presentation - REA – 1HY11 results
(1)
Plus the Arrival of casa.it Website
casa.it 1.0
A simplified Home Page
Fast and easy search
NEW – refined search – on one page!
NEW – enhanced Map results View
NEW – enhanced Gallery results View
NEW Feature – Enhanced Customer reporting
NEW Product – Feature Property
NEW – Compare it!
NEW – My Casa
NEW – Mobile site
casa.it 2.0
14Analyst presentation - REA – 1HY11 results
International – Significantly Improved Performance
Luxembourg• #1 in Greater Luxembourg• Online, TV, Data Services and Print• Achieved break-even in FY10
Hong Kong• Only independent English magazine,
website & eMagazine dedicated to property• Chinese-language site launched July 2010
15Analyst presentation - REA – 1HY11 results
1. Source: Nielsen Online, Site Census, Dec 2010
(1) (1)
1. Engage with consumers
2. Develop an active real estate community
3. Offer customers more flexible products and price offers
4. Build operational excellence
5. Create the team and culture we want
19
Strategic Themes for FY11
Analyst presentation - REA – 1HY11 results
Disclaimer
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. This material is not intended to be relied upon as advice to investors or potential investors and does not take into account the investment objectives, financial situation or needs of a particular investor. These should be considered when deciding if a particular investment is appropriate.
Unless otherwise indicated, information contained within this report is internal REA Group information and data.
21Analyst presentation - REA – 1HY11 results
Top Related