REA Group has posted nearly $1bn in revenue for the financial year just ended, fuelled by the ongoing property boom and its purchase of two massive names in the broker space.
Profits jumped 18%, rising to $318m on a total revenue of $928m, resulting in a shareholder dividend of 131c per share, a 19% rise.
The principal drivers of this growth were a 13% increase in Australian business as a result of the massive rise in residential property market.
REA Group managed to circumvent the worst of the lockdowns via its flagship website, which drew three times as much online traffic as their nearest competitor.
For the broker channel, the REA Group made waves in the last year by buying out Mortgage Choice, a major franchise business, adding to their preexisting broker offering, Smartline.
They also bought 34% of Simpology, an fintech that helps brokers to process loan applications and e-lodgements.
“This has been a defining year for REA, successfully navigating the pandemic to deliver an excellent financial result and emerge an even stronger business,” said Owen Wilson, CEO of REA Group.
“I am very proud of our team’s ability to respond to the changing needs of our customers and consumers during the pandemic, while also accelerating our growth strategy through a number of pivotal investments.”
“Our flagship site realestate.com.au delivered stellar results, extending its position as the clear market leader in digital real estate and it is now Australia’s eight largest online brand overall.”
“The delivery of highly personalised consumer experiences has underpinned our audience growth, allowing REA to continue to provide our customers with qualified leads to help them grow their businesses. This included a strong 55% YoY increase in buyer enquiries during FY21.”
“REA is entering the new financial year with strong momentum, despite ongoing lockdowns. This momentum, coupled with our strategic investments and exciting product roadmap, provides an excellent platform for our continued growth.”