Key Highlights

• REA Group (ASX:REA) reported results for the year to 30 June 2026 on 6 August 2026.

• Core EBITDA excluding associates rose 12 per cent to $1,088 million, and core net profit after tax rose 15 per cent to $650.5 million.

• Core Earnings Per Share also rose 15 per cent, to $4.93.

• In Australia, Revenue rose 11 per cent to about $1.7 billion and EBITDA before associates rose 13 per cent to about $1.1 billion.

How is REA Group (ASX:REA) lifting earnings when the number of homes listed for sale has stopped growing? According to its FY26 results, the answer is price and product: it charged more per listing, sold higher-value Advertising packages and held costs flat in Australia, which widened margins even as national buy listings were unchanged.

REA Group (ASX:REA) reported results for the year to 30 June 2026 on 6 August 2026. Figures below are in Australian dollars and are drawn from market coverage of the result and the company's outlook.

The central development: earnings growth without listings growth

Revenue rose 7 per cent to $1,793 million. Core EBITDA excluding associates rose 12 per cent to $1,088 million, and core net profit after tax rose 15 per cent to $650.5 million. Core earnings per share also rose 15 per cent, to $4.93.

In Australia, revenue rose 11 per cent to about $1.7 billion and EBITDA before associates rose 13 per cent to about $1.1 billion. The Australian Margin lifted to 66 per cent as costs were held flat.

The full-year Dividend totalled 297 cents per share, with a final dividend that rose 25 per cent to $1.73, fully franked.

What REA does and where revenue comes from

REA operates realestate.com.au, the most-visited property portal in Australia, along with realcommercial.com.au, Flatmates.com.au and property.com.au. It also owns Mortgage Choice and PropTrack, and holds investments in other property-related businesses.

The main revenue driver is residential property advertising, paid for by agents and vendors. Revenue therefore depends on two things: how many properties are listed and how much REA earns per listing, often called yield. Management reports both. National buy listings were flat for the year, better than the company's guidance for a decline of 1 to 3 per cent, while residential buy Yield rose about 13 per cent, in line with guidance.

Audience supports pricing power. The platform reached a record 12.7 million average monthly visitors, according to chief executive Cameron McIntyre, and realestate.com.au averaged 146.4 million monthly visits, 104.5 million more than the nearest competitor.

India: a partial exit

REA is selling Housing.com to Aurum PropTech and will keep a 24.9 per cent stake. Operating cost guidance on a continuing basis excludes India, which simplifies reporting of the continuing group.

FY27 outlook

Management expects new national buy listings in FY27 to be flat to down by low single digits. July listings were down 2 per cent year on year, with Melbourne and Sydney recording double-digit falls, while Brisbane, Perth and Adelaide were up 13 per cent.

The company expects residential buy yield to grow by a low double-digit percentage on a controllable basis, excluding geographic mix, driven by a price rise for its Premiere+ product and growth in add-ons. Operating costs excluding acquisitions are expected to increase by a mid single-digit percentage, and by mid to high single digits including acquisitions. Coverage noted that FY27 could be a challenging year because of changes to property-related taxes.

Guidance represents management's expectations, and outcomes depend on housing market conditions that the company cannot control.

Sector conditions and competitive position

Property listings are cyclical. When fewer homes are listed, revenue growth depends more heavily on pricing and product mix.

REA's resilience is its audience lead. A dominant portal is attractive to agents because it gives them access to more buyers, which supports pricing. The risk is that agents and vendors push back against price rises, or that a rival gains traction. REA competes mainly with Domain, which Nine Entertainment has sold, and with newer entrants and alternative Marketing channels.

Property portals also face a long-run question about how technology, including artificial intelligence-driven search, might change how buyers find homes.

Material risks and uncertainties

First, listings volumes may fall further if affordability, interest rates or taxes deter sellers. Second, yield growth relies on customers accepting price increases and buying add-ons; a pause would slow revenue. Third, cost growth is guided to rise after a year of flat costs, which could narrow margin gains.

Fourth, the India exit adds a minority stake in a Business REA no longer controls, and the value of that stake is uncertain. Fifth, regulation of property marketing, data and advertising could change Economics over time. Finally, acquisitions bring integration risk, and guidance includes a separate cost range for them.

What to watch next

REA has said an Investor Day was scheduled for October, and details from that event may offer more on strategy and targets. The first-quarter FY27 trading update was not found at the time of writing.

A balanced view

REA shows that a dominant online platform can grow earnings even when volumes stall, provided customers accept higher prices. That formula has limits, and FY27 guidance already points to a flat-to-lower listings environment. The result is a business with encouraging pricing power and a market position that is still exposed to the property cycle.