REA Group Ltd Annual Report 2021

Remuneration Report continued REA Group Ltd | Annual Report 2021 Long term Incentive Summary rTSR Relative TSR compared to a select group of 41 ASX150 companies (excluding mining and resources, energy and infrastructure, materials, industrials and healthcare companies) measured over the period 1 February 2020 to 30 June 2023 The peer group at the beginning of the performance period for the rTSR performance hurdle comprised: – Afterpay – Altium – Appen – Aristocrat Leisure – carsales.com.au – Charter Hall Group – Coles Group – Computershare – Crown Resorts – Dexus – Domain – Domino’s Pizza Enterprises – Flight Centre Travel Group – Goodman Group – GPT Group – JB Hi-Fi – Lendlease Group – Link Administration Holdings – Metcash – Mirvac Group – National Storage – NextDC – Nine Entertainment Company – Scentre Group – SEEK – Shopping Centres Australia Property Group – Stockland – Super Retail Group – Tabcorp Holdings – Telstra Corporation – The a2 Milk Company – The Star Entertainment Group – TPG Telecom – Treasury Wine Estates – Unibail-Rodamco- Westfield – Vicinity Centres – Wesfarmers – Wisetech Global – Woolworths Group – Xero The following vesting schedule applies to the rTSR performance hurdle for the LTI Plan 2023 granted this year. Performance level Below Threshold Threshold Target Stretch Performance level 0% vesting 75% vesting 100% vesting 200% vesting 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 will 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. Why were these performance conditions chosen? The Board considers the combination of the Revenue and EPS hurdles to be an appropriate counterbalance to ensure that any ‘top line’ growth is long term focused and balanced with an improvement in earnings. In particular, revenue is considered to be an appropriate hurdle given that the Group continues to be in a phase of growth. Additionally, the Board selected EPS as a performance measure on the basis that it: – is a relevant indicator of increase in shareholder value; and – is a target that provides a suitable line of sight to encourage and motivate executive performance. Relative total shareholder return (rTSR) has been introduced as a performance measure into our LTI Plan 2023 (as disclosed in our Notice of Meeting for the 2020 AGM), to augment our existing revenue and EPS growth targets with a measure that focuses on our long term performance for shareholders relative to ASX peers. 5. Executive remuneration components (continued) 54 Remuneration Report