REA Group Ltd Annual Report 2021

Remuneration Report continued REA Group Ltd | Annual Report 2021 3. Executive remuneration philosophy and framework (continued) 37.3% 25.4% 37.3% CEO 29.7% 40.6% 29.7% CEO 25.6% 33.7% 40.7% CFO 19.1% 50.5% 30.4% CFO Fixed Annual Remuneration Short Term Incentive Long Term Incentive 1 As a result of the delay in remuneration reviews last year, the CEO’s LTI target was adjusted from $800,000 to $1,100,000 on 1 January but approved by the Board to have effect for the FY21 year, meaning the Board has approved an additional $300,000 worth of rights to be granted pursuant to the FY23 plan (on terms disclosed in the 2020 notice of AGM), which will be put to shareholders at the 2021 AGM. This will be separate from the FY24 LTI grant to the CEO which will be separately voted on at the AGM. 2 Pay mix for maximum based on value of performance rights at grant date. 4. Link between group performance, shareholder wealth and executive remuneration A key underlying principle of the Group’s executive remuneration framework is that executive remuneration outcomes should be linked to performance. Understanding REA Group’s performance over both the financial year ended 30 June 2021 and the longer- term will provide shareholders and other interested stakeholders with important context when reviewing our remuneration framework and outcomes in more detail over the following pages of this report. 4.1 REA Group performance Summary of Group performance The table below summarises key indicators of the Group’s performance and the effect on shareholder value over the past five years. Key Indicators 2017 2018 2019 2020 2021 Revenue* 671,206 807,678 874,949 820,269 927,811 EBITDA* 380,906 463,706 501,204 475,603 564,758 Net profit after tax* 228,298 279,946 295,495 268,865 318,024 Earnings per share** 173.3c 212.5c 224.3c 204.1c 247.4c Dividends per share 91.0c 109.0c 118.0c 110.0c 131.0c Share Price 30 June $66.40 $90.87 $96.04 $107.88 $169.03 * From core operations $’000. ** From core operations attributable to the ordinary equity holders of the company. Target Remuneration 1 Maximum Remuneration 2 48 Remuneration Report