Hypoport Se · XETR:HYQ
Hypoport — Q1 2024 Earnings Presentation
36 slides from Hypoport's earnings presentation, May 6, 2024
Slide 1: Hypoport SE Results for Q1 2024
Hypoport SE Results for Q1 2024
Slide 2: Gains in market share and market growth
Gains in market share and market growth Results for Q1 2024 (yoy change) Key performance indicators Segment revenue • Revenue: €107 million (+15%) • Real Estate & Mortgage: €73 million (+24%) • Gross profit: €57 million (+9%) • Financing: €17 million (-6%) • EBITDA: €13 million (+38%) • Insurance: €
Slide 3: Contents
Contents 1. Segments 2. Group 3. Outlook Annex
Slide 4: Real Estate & Mortgage Platforms
Real Estate & Mortgage Platforms Business model & results Marketing Real Estate & Financing Finance (sales) Mortgage Platforms Platforms Finance (platform) Insurance Platforms Valuation Hypoport SE, results Q1/24 4
Slide 5: Home ownership becoming the only viable option
Home ownership becoming the only viable option Key factors driving home ownership and their macro-drivers Regulation of buildings’ energy efficiency Desire for home ownership growing Debate about lowering real-estate transfer tax Family planning continues to be the primary trigger event Announcement
Slide 6: Property purchases more attractive than 2022/2023
Property purchases more attractive than 2022/2023 Macroeconomic factors affecting mortgage finance 5 140 Interest (ten-year fixed rate, Dr. Klein best interest rate) Property prices (EPX hedonic, indexed) 4 130 3 New builds 120 2 Existing housing stock 110 1 Apartments 0 100 260 130 240 Properties o
Slide 7: Market volume still well below trend range
Market volume still well below trend range Volume of private mortgage finance in Germany 85 75 Market growth driven by rising property prices; number of Freedom of movement transactions virtually unchanged for EU employees 65 Reduction in vacancies in major cities Lack of growth stimulus in the mark
Slide 8: Digitalisation of private residential property purchases
Digitalisation of private residential property purchases Real Estate & Mortgage Platforms business model SaaS Distribution of B2B Property Consumers Poolers Product suppliers brokers financial products lending marketplace valuation Online comparison Private sites commercial Other banks advisors EURO
Slide 9: Resurgent market conditions and gains in market share
Resurgent market conditions and gains in market share Real Estate & Mortgage Platforms: volume of mortgage finance transactions* Europace total Finmas (savings banks) (€ billion) (€ billion) 85 +17% +50% 73 77 54 52 10 13 15 8 9 6 7 1.5 2.3 2019 2020 2021 2022 2023 Q1 2023 Q1 2024 2019 2020 2021 202
Slide 10: Purchases responsible for uptrend
Purchases responsible for uptrend Real Estate & Mortgage Platforms: mortgage finance volume by purpose 30 1 25 5 1 1 1 1 20 1 3 1 3 1 3 4 3 3 8 1 3 6 15 3 3 6 1 1 5 6 5 5 2 1 2 5 1 2 1 1 1 1 2 2 4 1 1 1 1 2 4 3 2 10 3 1 2 2 3 2 3 2 3 14 13 12 11 11 11 11 11 11 5 10 9 9 9 9 10 10 8 8 8 7 7 0 Q1/19 Q2
Slide 11: Europace still has huge potential for growth
Europace still has huge potential for growth Real Estate & Mortgage Platforms: mortgage finance market share by distribution channel Cooperative Brokers banks ~25–30% ~25–30% ~60% ~25% ~40% ~15% Private commercial Savings banks banks ~25–30% ~15% Mortgage finance in Germany in Q1 2024: €44 billion /
Slide 12: Strategic repositioning in response to dramatic market changes
Strategic repositioning in response to dramatic market changes Real Estate & Mortgage Platforms: property valuation (Value AG) Revenue from property valuation • Fall in mortgage finance volume and raising of the small (€ million) loans threshold trigger massive product shifts -19% • Mismatch with hi
Slide 13: Significant revenue growth and cost discipline
Significant revenue growth and cost discipline Key figures for the Real Estate & Mortgage Platforms segment • Continued growth in segment revenue on the back of strong Revenue (€ million) +24% mortgage finance and marketing business is being dampened by a 72.8 decline in property valuation revenue 5
Slide 14: Financing Platforms
Financing Platforms Business model & results Housing sector Real Estate & Financing Corporate finance Mortgage Platforms Platforms Personal loans Insurance Platforms Hypoport SE, results Q1/24 14
Slide 15: Good start despite lacklustre market conditions
Good start despite lacklustre market conditions Financing (housing sector): key figures for Dr. Klein Wowi Volume of loans brokered Number of units managed through ERP +51% (€ billion) (thousand) +14% 302 3 3 313 2 2 207 47 65 187 1 0.3 .03 103 2019 2020 2021 2022 2023 Q1 2023 Q1 2024 2019 2020 2021
Slide 16: Sluggish investment environment for SMEs
Sluggish investment environment for SMEs Financing (corporate finance): key figures for REM Capital • Climate change mitigation and energy costs are driving Volume of new projects at REM Capital (€ billion) inquiries and demand for advice from German SMEs -13% • Support programmes offered by individ
Slide 17: Further growth in a stagnating market environment
Further growth in a stagnating market environment Financing (personal loans): key figures for personal loans via Europace • Overall market continued to contract in 2023 (-14%) due to the Volume of personal loan transactions* (€ billion) macroeconomic backdrop +17% • Further gains in market share for
Slide 18: Annual guidance confirmed despite poor market
Annual guidance confirmed despite poor market Key figures for the Financing Platforms segment -6% • Weak market environment for the subsegments of personal Revenue (€ million) loans and corporate finance 18.3 17.3 • Corporate finance revenue significantly down on the robust prior-year quarter Q1/23
Slide 19: Insurance Platforms
Insurance Platforms Business model & results Personal insurance Real Estate & Financing Mortgage Platforms Occupational Platforms insurance Industrial insurance Insurance Platforms Hypoport SE, results Q1/24 19
Slide 20: Digitalisation of the insurance industry
Digitalisation of the insurance industry Business model Insurance Platforms segment End customers// employees & Distributors Poolers B2B Underwriting agent Product suppliers companies insurance platform Insur apps Insur apps Advisors in bank branches Sia Other SMART INSUR brokers Quality- pool DR. K
Slide 21: Progress with migration to platforms
Progress with migration to platforms Insurance: assets under management on the platforms SMART INSUR – personal insurance (€ billion) ePension – occupational insurance (€ billion) +12% +52% 4.1 3.8 4.3 3.4 3.8 2.5 2.8 0.05 0.06 0.10 0.15 0.21 0.16 0.24 2019 2020 2021 2022 2023 Q1 2023 Q1 2024 2019 2
Slide 22: Successful turnaround
Successful turnaround Key figures for the Insurance Platforms segment +5% • Growth rate of the overall insurance market has been lower Revenue (€ million) than inflation for years 16.8 17.7 • High level of M&A transactions over the past few years is fuelling consolidation among distributors and is p
Slide 23: Contents
Contents 1. Segments 2. Group 3. Outlook Annex
Slide 24: Strong improvement in revenue and earnings in Q1
Strong improvement in revenue and earnings in Q1 Overview of Hypoport’s performance Gross profit & revenue (€ million) EBIT (€ million) 107 94 +431% Revenue +15% Gross 4.3 52 profit 57 +9% 0.8 Q1 2023 Q1 2024 Q1 2023 Q1 2024 EBITDA (€ million) Net profit for the period Hypoport shareholders (€ milli
Slide 25: Current environment offers significant opportunities
Current environment offers significant opportunities Long-term changes in revenue and EBITDA Established Upscaling and Qualitative growth Start-up despite fin. crisis expansion in periods of crisis Revenue (€ million) 446 360 107 4 26 98 1999 2006 2013 2021 2023 Q1 2024 EBITDA (€ million) 77 7 8 51
Slide 26: Contents
Contents 1. Segments 2. Group 3. Outlook Annex
Slide 27: Home ownership is a long-term growth market
Home ownership is a long-term growth market Primary trends driving demand for mortgage finance 100 202X: market of the future 90 ~ €75–100 billion per quarter • Persistently high net inward migration is 80 supporting demand for housing • Current low level of new builds is not 70 politically sustaina
Slide 28: Scaling up as the market recovers
Scaling up as the market recovers Segment outlook for 2024 Real Estate & Mortgage Financing Insurance Platforms Platforms Platforms Market environment Revenue EBIT Hypoport SE, results Q1/24 28
Slide 29: Forecast for 2024
For years Forecast for 2024 For many more years Hypoport has been Double-digit percentage growth Hypoport will generate generating double-digit in consolidated revenue to at double-digit increases in increases in market share least €400 million and EBIT of market share and thus, in and thus, in norm
Slide 30: Contact
Contact Jan H. Pahl Hypoport SE Head of Investor Relations Heidestrasse 8 Tel: +49 (0)30 420 86 1942 10557 Berlin Email: ir(at)hypoport.de Germany Click here to subscribe to the IR mailing list (German only) Click here to subscribe to the IR mailing list (English) Hypoport SE, results Q1/24 30
Slide 31: Disclaimer
Disclaimer This presentation does not address the investment objectives or financial situation of any particular person or legal entity. Investors should seek independent professional advice and perform their own analysis regarding the appropriateness of investing in any of our securities. While Hyp
Slide 32: Annex
Annex Hypoport SE, results Q1/24 32
Slide 33: Market capitalisation of more than €1.5 billion
Market capitalisation of more than €1.5 billion Shareholder structure and share information Breakdown of shareholders as at 30 April 2024 Key performance indicators KPI Details Value Ronald Slabke (CEO) Treasury shares Number of Free float Total number of shares 6,872,164 shares (of which more than
Slide 34: Share price performance superior to indices
Share price performance superior to indices Share price since the date of joining the SDAX (daily closing price, Xetra, €) € HYQ SDAX MDAX % 650 550 704 450 576 350 448 250 320 150 192 50 64 Dec Apr Apr Apr Apr Apr Apr Apr Apr Apr Jul Jul Jul Jul Jul Jul Jul Jul Jan '16 Jan' 24 Oct Oct Oct Oct Oct O
Slide 35: Hypoport's investor relations activity
Hypoport’s investor relations activity Investor events, professional analysts’ assessments, awards Recommend- Target Recent IR events Analyst Date ation price Q1 2024: London, Lyon Bankhaus Metzler Sell €160.00 23 Apr. 2024 Conference Planned for 2024: Chicago, Munich (2x), New 2024 Berenberg Buy €2
Slide 36: Investment highlights
Investment highlights ~15% REVENUE GROWTH 10-year CAGR 20+ YEARS of experience with platform- based business models ~15% EBIT INCREASE 10-year CAGR 88% OUR EMPLOYEES are satisfied or even extremely satisfied with 15+ ACQUISITIONS Hypoport as an employer in 10 years Hypoport SE, results Q1/24 36