Slide 1: Hypoport SE Preliminary results for FY 2022
Hypoport SE Preliminary results for FY 2022
Slide 2: Our mission
Our mission Digitalisation of the credit, real-estate and insurance industries Credit industry Real-estate industry Insurance industry Hypoport SE, preliminary results FY 2022 2
Slide 3: Hypoport – a network of technology companies
Hypoport – a network of technology companies Revenue in 2022 by segment STAR- BAUFI POOL QUALITY- NEX POOL GENO PACE Insurance industry Credit industry FINMAS €61 mn SMART INSURTECH €207 mn EUROPACE ePension funding- REM port CAPITAL VALUE AG FIO Dr. Klein PRIVATE CLIENTS Private clients Dr. Klein R
Slide 4: Above-average growth, even in a weak market environment
Above-average growth, even in a weak market environment Results for FY 2022 Key figures for 2022 (yoy change) • Revenue: €455 million (+2%) • Gross profit: €261 million (+5%) • EBITDA: €58 million (-25%) (incl. a negative one-off item of €4 million) • EBIT: €25 million (-48%) (incl. a negative one-o
Slide 5: Contents
Contents 1. Market environment 2. Key performance indicators for the segments 3. Overview of key performance indicators 4. Outlook Annex (incl. share price info & IR)
Slide 6: Lending volume boosted by EU integration
Lending volume boosted by EU integration Volume of private mortgage finance in Germany 85 Overall market 75 Market growth driven by rising Freedom of movement property prices; number of for EU employees transactions virtually unchanged 65 Reduction in vacancies Lack of growth stimulus in the market
Slide 7: Sharp decline in volume due to multiple factors
Sharp decline in volume due to multiple factors Volume of private mortgage finance in Germany • Very high inflation 85 • Steep rise in long-term interest rates Overall market • Stable property prices • Concerns (energy prices, recession) 75 65 55 45 35 Q1 2007 Q1 2018 Q1 2006 Q1 2008 Q1 2009 Q1 2010
Slide 8: New construction slumps particularly sharply
New construction slumps particularly sharply Mortgage finance volume by intended use 15 15 Milliarden Milliarden Purchase New construction 10 10 5 5 0 0 15 15 Milliarden Milliarden Refinancing Modernisation 10 10 5 5 0 0 Q1 2019 Q3 2019 Q1 2020 Q3 2020 Q1 2021 Q3 2021 Q1 2022 Q3 2022 Q1 2019 Q3 2019
Slide 9: Contents
Contents 1. Market environment 2. Key performance indicators for the segments 3. Overview of key performance indicators 4. Outlook Annex (incl. share price info & IR)
Slide 10: Credit Platform
Credit Platform Business model & results STAR BAUFI POOL QUALITY NEX POOL GENO PACE Credit industry FINMAS EUROPACE FUNDING- REM PORT CAPITAL Hypoport SE, preliminary results FY 2022 10
Slide 11: Digitalisation of the credit industry
Digitalisation of the credit industry Credit Platform segment business model Consumers / Distributors Poolers B2B Product suppliers companies lending marketplace Online comparison Private sites commercial banks Other advisors EUROPACE Insurance Dr. companies Klein Quality- pool Star- pool Baufi- Sav
Slide 12: Robust performance in a weak market environment
Robust performance in a weak market environment Credit Platform: mortgage finance and building finance product type • Further gains in market share in a strongly deteriorating Volume of transactions (€ billion)* overall market 5-year CAGR: +18% -8% • Building finance (as a way of locking in interest
Slide 13: Europace still has huge potential for growth
Europace still has huge potential for growth Mortgage finance product type: market share, by distribution channel Distribution channels and Europace's share GENOPACE (for cooperative banks)* 5-year CAGR: +64% +3% Cooperative Brokers banks 12 12.3 12.7 ~25–30% ~25–30% 8 1 1 2 4 ~60% ~20% 2016 2017 20
Slide 14: Robust growth in a stagnating market environment
Robust growth in a stagnating market environment Credit Platform: personal loans product type • Since 2016, Europace has gained significant market share in Transaction volume in personal loans (€ billion)* the personal loans business, with a focus on B2B 5-year CAGR: +12% +29% • 2022 was a successfu
Slide 15: Subsidy advice strong in H1 but weaker in H2
Subsidy advice strong in H1 but weaker in H2 Credit Platform: corporate finance product type • From summer 2021 until summer 2022, REM Capital saw Volume of new projects at REM Capital (€ billion) strong growth in connection with KfW support schemes for German SMEs in relation to energy efficiency i
Slide 16: Stable business volume despite turbulent market conditions
Stable business volume despite turbulent market conditions Credit Platform: revenue, gross profit and EBIT Revenue (€ million) 0% • Stable revenue generation in spite of the slump in the mortgage finance market in H2 2022 207.3 207.1 • Revenue contracted significantly in Q3 2022 due to challenging m
Slide 17: Private clients
Private clients Business model & results DR. KLEIN PRIVATE CLIENTS VER- GLEICH .DE Private clients Hypoport SE, preliminary results FY 2022 17
Slide 18: Strong brand for independent advice
Strong brand for independent advice Private Clients segment business model Consumers Lead generation via… Advisors Access via… Product suppliers Private commercial Google banks Insurance Dr. Klein companies Vergleich.de EUROPACE franchise system FINMAS Savings banks DrKlein.de GENOPACE Cooperative b
Slide 19: Further gains in market share for Dr. Klein in a weak market
Further gains in market share for Dr. Klein in a weak market Private Clients: operational key figures Volume of new loans brokered to private clients • Further expansion of market share (overall market: -9%; long (€ billion)* 5-year CAGR: +18% -7% delay before market downturn is reflected in the fig
Slide 20: Dr. Klein held back by difficult market conditions
Dr. Klein held back by difficult market conditions Private Clients: revenue, gross profit and EBIT • Further slight gains in market share despite the challenging Revenue (€ million) -8% market environment 134.9 124.7 • Performance reflects the difficult conditions in the market for mortgage finance,
Slide 21: Real Estate Platform
Real Estate Platform Business model & results EUROPACE VALUE AG FIO Dr. Klein WOWI PRoM MiSe Real Estate industry Hypoport SE, preliminary results FY 2022 21
Slide 22: Areas of potential in the digitalisation of the housing industry
Areas of potential in the digitalisation of the housing industry Market segments and solutions Owner- Private (small-scale) Institutional occupiers landlords housing companies Residential units approx. 20 million approx. 16 million approx. 6 million in Germany Property financing Hypoport Property sa
Slide 23: Strong cross-selling potential
Strong cross-selling potential Market share for the marketing, financing and valuation of residential property Property purchases Mortgage finance Property valuation Notaries & Vermarktung Sellers Brokers Buyers Finanzierung Advisors Marketplace Banks Bewertung Appraisers land register ~238 Mrd. € 2
Slide 24: Scaling up of marketing through FIO is slowly gaining momentum
Scaling up of marketing through FIO is slowly gaining momentum Real Estate Platform: property sales platform and property management platform Marketing through FIO • Development of software solutions for the sale and Number of clients (€ billion) management of residential properties in the credit an
Slide 25: VALUE AG achieves growth in spite of regulatory drag
VALUE AG achieves growth in spite of regulatory drag Real Estate Platform: property valuation platform VALUE AG • The business model consists of integrated property valuations Clients Valuation volume (€ billion) for the lending banks +10% +18% • Revenue grew at a lower rate than the valuation volum
Slide 26: Gains in market share in a turbulent environment
Gains in market share in a turbulent environment Real Estate Platform: property financing platform for the institutional housing sector Volume of new loans brokered on the property • In the first half of 2022, rising interest rates and interest-rate financing platform +2% volatility increased the ho
Slide 27: Growth segment with high capital expenditure for the future
Growth segment with high capital expenditure for the future Real Estate Platform: revenue, gross profit and EBIT +12% • Healthy to very healthy operating performance of all four Revenue (€ million) platforms (property sales, valuation, financing and 57.7 64.6 management) until summer 2022 • Mixed pi
Slide 28: Insurance Platform
Insurance Platform Business model & results QUALITY POOL Insurance industry SMART INSURTECH ePEN- SION Hypoport SE, preliminary results FY 2022 28
Slide 29: Digitalisation of the insurance industry
Digitalisation of the insurance industry Insurance Platform segment business model End customers/ employees & Distributors Poolers B2B Product suppliers companies insurance platform Insur apps Insur apps Advisors in bank branches Dr. Other SMART INSUR Klein brokers Quality-/ DR. KLEIN Amex- pool Ins
Slide 30: Huge potential for growth in all product groups
Huge potential for growth in all product groups Market share in the three product groups Overall market in 2022: €224 billion in annual net premiums written ~ 173 164.4 ~ 31 20.3 8.6 2.1 28.9 0.2 20.1 Private insurance companies Industrial insurance companies Occupational insurance schemes Using Hyp
Slide 31: Steady increase in the platform volume
Steady increase in the platform volume Insurance Platform: progress with the migration strategy • Annual net premiums of approx. €9 billion are managed in Private insurance portfolios (annual net premiums, € billion) the legacy systems of the acquired companies for private insurance policies 8.6 8.6
Slide 32: Successful validation of strategic options
Successful validation of strategic options Insurance Platform: industrial insurance strategy • As a result of acquisitions of software systems in the period Industrial insurance (annual net premiums, € billion) from 2016 to 2019, Hypoport also took over business relationships in the industrial insur
Slide 33: Huge potential for digitalisation in occupational pension market
Huge potential for digitalisation in occupational pension market Insurance Platform: occupational pension portfolios • ePension integrates all stakeholders in the occupational Annual net policy premiums on occupational pension portfolios (€ billion) pension market, including HR departments of large
Slide 34: Progress with the strategic realignment
Progress with the strategic realignment Insurance Platform: revenue, gross profit and EBIT +26% • Additional clients were signed up for SMART INSUR and Revenue (€ million) ePension in 2022, but the acquisition of new clients 60.6 48.1 continues to progress much more slowly than expected • Growth in
Slide 35: Contents
Contents 1. Market environment 2. Key performance indicators for the segments 3. Overview of key performance indicators 4. Outlook Annex (incl. share price info & IR)
Slide 36: Slight growth in 2022 and substantial investment in H1
Slight growth in 2022 and substantial investment in H1 Overview of Hypoport's key performance indicators Performance (€ million) Earnings (€ million) 77.1 446.3 455.5 EBITDA 57.7 Revenue +2% -25% EBIT 47.7 -48% Gross 261.0 249.5 profit 24.7 +5% EAT 30.6 -39% 18.7 2021 2022 2021 2022 Hypoport SE, pre
Slide 37: Market slump became evident in Q4 2022
Market slump became evident in Q4 2022 Overview of Hypoport's key performance indicators Performance (€ million) Earnings (€ million) 121.0 22.0 EBITDA 88.0 Revenue -88% 14.2 Q4 2022 -27% EBIT EAT 2.6 5.2 Gross Q4 2021 74.0 profit -6.3 -26% 54.6 -5.4 Q4 2021 Q4 2022 Hypoport SE, preliminary results
Slide 38: 22-year track record as a profitable growth company
22-year track record as a profitable growth company Long-term changes in revenue and EBITDA Established Upscaling and Qualitative growth Start-up despite fin. crisis expansion in periods of crisis Revenue (€ million) 446 455 4 26 98 1999 2006 2013 2021 2022 EBITDA (€ million) 77 58 2 7 8 1999 2006 2
Slide 39: Contents
Contents 1. Market environment 2. Key performance indicators for the segments 3. Overview of key performance indicators 4. Outlook Annex (incl. share price info & IR)
Slide 40: Costs reduced. Capital base strengthened. Successful course set
Costs reduced. Capital base strengthened. Successful course set Key activities from the last six months put into context Costs (€ million) • The reduction of costs since Q3 will lower expenditure by €35–40 million per year • Costs reduced by approx. €10 million between Q3 2022 and Q1 2023, with savi
Slide 41: Trigger events cause Germans to turn to financing
Trigger events cause Germans to turn to financing Factors of relevance for financing decisions Property purchase Remortgaging New builds Modernisation Type Reasons Life events Children, divorce, career Children changes Interest rates Changes in choice of Majority of loans have Minor change to locati
Slide 42: Outperformance – then, now and in future
Outperformance – then, now and in future • Stable interest rates • Stable property prices Possible future trajectory of mortgage finance • Unfavourable rental market • Relatively high interest rates • Slightly falling property prices 4-8 80 Overall market • Concerns about the future quarters Europac
Slide 43: Market holds huge opportunities for growth
Market holds huge opportunities for growth Expected long-term market trend Future market: ~ €75–100 billion/quarter • Persistently high immigration • Target for new housing of 400,000 homes p.a. • Investment in energy efficiency totalling €80 billion p.a. 95 Total mortgage finance volume (€ billion)
Slide 44: For years, Forecast for 2023, For many more years
For years Forecast for 2023 For many more years Hypoport has been Assuming a partial generating double-digit normalisation of the real Hypoport will generate increases in revenue estate financing market in double-digit increases in and EBIT the course of the year, market share and thus, in decline i
Slide 45: 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, preliminary results FY
Slide 46: 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 47: Annex
Annex Hypoport SE, preliminary results FY 2022 47
Slide 48: Investment highlights
Investment highlights ~20% 1.9 REVENUE GROWTH MODERATE DEBT LEVEL 10-year CAGR Liabilities to banks / / EBITDA 2022 ~20% 20+ EBIT INCREASE YEARS 10-year CAGR of experience with platform- based business models 15+ 93% ACQUISITIONS OUR EMPLOYEES in 10 years are satisfied or even extremely satisfied wi
Slide 49: Market capitalisation of just under €1 billion
Market capitalisation of just under €1 billion Shareholder structure and share information Breakdown of shareholders as at 28 February 2023 Key performance indicators KPI Details Value Ronald Slabke (CEO) Treasury shares EPS Earnings per share in 2022 €2.96 Free float (of which more than 5% Baillie
Slide 50: 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 % 650 820 620 784 590 748 560 712 530 676 500 640 470 604 440 568 410 532 380 496 350 460 320 424 388 290 352 260 316 230 280 200 244 170 208 140 172 110 136 80
Slide 51: Hypoport's investor relations activity
Hypoport's investor relations activity Investor events, professional analysts' assessments, awards Recommendat Target Recent IR events Analyst Date ion price Lyon, Hamburg, Frankfurt (3x), Bankhaus Metzler Sell €90.00 18 Jan 2023 Conferences 2022 London, Munich (2x), Paris Berenberg Buy €230.00 1 Fe
Slide 52: Mortgage finance – a high-potential market
Mortgage finance – a high-potential market Long-term factors influencing private and institutional residential mortgage finance Negative factors Positive factors Finance for • Lack of available properties • Strong pent-up demand in and from the rental market OWNER- • High ancillary purchasing costs
Slide 53: Neither interest rates nor short-term political topics are relevant
Neither interest rates nor short-term political topics are relevant Factors influencing demand in the German property market Factors Effects Outcome EU integration Net inward migration Economic stability Life Number of expectancy households Number of one- person households Demand for housing Lockdow
Slide 54: Scarce supply due to low sales volumes and limited new building
Scarce supply due to low sales volumes and limited new building Factors influencing supply in the German property market Factors Effects Outcome Life expectancy Transaction Sale of costs existing properties Alternative investment Supply of options housing Regulation New builds Limited resources (mat
Slide 55: A long-term growth market
A long-term growth market Structural factors underpinning sustained growth in the finance market Demand for Regulation of the New builds housing rental market Rental costs Excess demand Volume of property Mortgage (approx. 2 million homes) transactions finance volume Property prices Supply of Regula
Slide 56: Potential for digitalisation in the insurance market
Potential for digitalisation in the insurance market Long-term market factors Negative factors Positive factors • Established market players' legacy • Consumers have higher expectations systems are slowing the pace of regarding digitalisation digitalisation due to the lack of • Insurtech start-ups a