REA Group Ltd Annual Report 2021

Annual Report 2021 | REA Group Ltd North America The Group holds a 20% investment in Move, Inc., a leading provider of online real estate services in the United States. News Corp holds the remaining 80%. Move, Inc. primarily operates realtor.com ®, a premier real estate information services marketplace, under a perpetual agreement and trademark licence with the National Association of Realtors®, the largest trade organisation in the USA. realtor.com ® is a leading property portal in the United States, the world’s largest real estate market. Move, Inc’s reported revenue growth of 36% to US$641 million 18 was due to the continued strength in the referral model and traditional lead gen product. The Group’s share of Move, Inc. for the year resulted in a $15.9 million gain from core operations. Average monthly unique users of realtor.com ®’s web and mobile sites for Q4 grew 32% YoY to 106 million 19 . State of affairs In the Directors’ opinion, other than the investments and divestments referenced in the operating and financial review of this report, there have been no significant changes in the state of affairs of the Group during the year. Events since the end of the financial year Details of any events that have arisen from 30 June 2021 to the date of signing this report that have significantly affected, or may significantly affect, the Group’s operations, the results of those operations, or the Group’s state of affairs, in future financial years are provided in Note 27. Business strategies and future developments The way people search and find property continues to evolve, and consumer expectations are shaped by their digital experience. REA’s goal is to provide an easy, stress-free, and highly relevant experience for both its customers and consumers across Australia, India and Asia, right throughout their property journey. REA Group has access to the largest network of property seekers across Australia and increasing audience numbers in key markets across Asia and India. This provides the Group with rich data and insights about what people are searching for and their individual property needs, enabling the delivery of highly relevant and personalised experiences. Property The foundation of the business is the online advertising of property listings, supported by data on residential and commercial property. Agents continue to play a critical role in the success of the business. The Group focuses on improving the way properties are displayed on its sites and apps, to ensure people are provided with the best and most up-to-date content. It does this by using rich data to support the development of innovative products and experiences. This creates more opportunities for customers to continue growing their business, while creating personalised experiences for consumers. Finance Home finance is an integral part of the property purchase journey. As part of the Group’s Finance strategy, the Group offers the realestate.com.au Home Loans experience in partnership with NAB. It combines searching for property and obtaining a home loan in a single experience and allows consumers the choice of a digital loan application or to be connected to a mortgage broker. The Group recognises the value mortgage brokers bring to people looking to finance their next property. Through its ownership of Smartline and Mortgage Choice, the Group now has over 900 brokers in market. REA’s audience, brand strength and digital expertise provides a unique position for long-term growth within the financial services industry. Property-related services REA Group’s strength lies in the ability to understand its audience and it is continually looking for new ways to create value for our customers and consumers and remove any barriers for them to be able to achieve their property dreams. The Group does this by providing rich data and market insights to help customers and consumers make the most informed property- related decisions. 18 News Corp’s Form 10-K stated in US Dollars for the 12-month period ended 30 June 2021. 19 N ews Corp’s Earnings Release stated in US Dollars (5 August 2021) for the twelve-month period ended 30 June 2021: Average monthly unique users for Q4 FY 2021 and compared to the same period Q4 FY 2020. Year in review Directors’ Report Financial Statements Remuneration Report Sustainability Our Leaders 37