Agency Australia : Investor Presentation of the HY Financial Results

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(ASX: AU1)

Investor Presentation for the Half Year End Results

31 December 2021

KEY TAKEAWAYS

only	UNDERLYING EBITDA1	Revenues from Ordinary Activities
$2.14M	$35.6M
(1HFY21: $1.60M) → +33%	(1HFY21: $29.4M) → +21%
use	Gross Value of Exchanges	No. of Exchanges
$3.1Bn	2,910
(1HFY21: $2.2Bn) → +41%	(1HFY21: 2,407) → +21%
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1. Underlying EBITDA adjusted for the impact of AASB16 and Government Incentives received in the prior period

2. Gross Commission Income ("GCI") is the fees the vendor pays for the sale of a property.

GCI2

$52.9M

(1HFY21: $38.1M) → +39%

Properties Under Management

3,551

1H FY22 Investor Presentation 2

STRONG GROWTH ACROSS KEY

BUSINESS INDICATORS	39% Growth

$52.9m

only

39%

Increase in Gross Commission Income

Increase of

$38.1m

16% Growth

41% Growth

	21% Growth	345
$3.1Bn		298
	2,910
	278

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47

Agents from 31 December 2020

$24.9m	2,407
	$2.2Bn

$1.5Bn	1,591

Gross Commission Income	Value of Properties Sold		No of Properties Sold	No of Agents
($M)
			1H FY20		1H FY21		1H FY22	1H FY22 Investor Presentation	3

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Perth

					Sunshine Coast
					Brisbane
	Toowoomba
					Gold Coast
					Coffs Harbour
		Central		Hunter Valley
		Coast
Central			Newcastle
West NSW					Sydney
					Illawarra
		ACT

Melbourne

Port Phillip

Boroondara

A growing brand now

with presence in 5 states

and territories

Since 30 June The Agency has invested in new geographical markets of Manly NSW, Sunshine Coast and Toowoomba in Queensland and Canberra in the ACT.

1H FY22 Investor Presentation 4

WHY AGENTS ARE CHOOSING THE AGENCY

The Agency's business model is to directly engage with Selling Agents. This is a change to the industry norm where the most common arrangement is a franchisor/franchisee arrangement, with the franchisee employing the Agents. This differentiated business model has a number of benefits which are leading Agents to choose The Agency:

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Franchisees are often Agents who are known as Selling Principals. The Selling Principal often competes against other Agents they have employed in their business, which creates tension and distrust that can undermine an Agent doing their best work. The Agency direct engagement model does not have these potential conflicts.

Agents can come to The Agency to focus on what they do best, which is selling real estate with their own team underneath them. The Agent's time is not distracted by needing to manage a Property Management portfolio or manage the operations of their franchisee business, office infrastructure, Trust accounts or staff matters. Freed of these distractions, we have Agents who have doubled their sales as they are just focused on listing and selling real estate.

Post COVID, Agents are aware they may no longer need to have an office on every suburban corner to be successful and sitting in a local coffee shop between appointments can generate just as much engagement with a local community as an office provides. The Agency operates Hubs where Agents can collaborate and operate with their team members.

The Hub model reduces expenditure on premises which allows The Agency to pay the agent higher commission splits in a sustainable way. Competitors who have an existing office footprint, and match The Agency's commissions, will end up with a higher cost profile than The Agency.

The Agency has strategic partnerships with the industry leading suppliers that make selling real estate as easy as possible. Agents who join The Agency have access to a fully digital cloud base process that saves them time on paperwork and means they can operate from anywhere. Agents

have access to artificial intelligence that automates tasks, allowing them to work more

efficiently. Partnerships with Cooley Auctions lead by Damien Cooley, External Agent coaches,

Vendor advertising funding providers, insurance providers, Mortgage brokers and other operators servicing the residential real estate market ensure the Agent's can maximise their

productivity.

1H FY22 Investor Presentation 5