Scout24 AG continues its revenue and profit growth path in the first half of 2017

  • Revenues up by 8.1% to EUR 233.4 million
  • Ordinary operating EBITDA-Margin at 52.6%
  • Increased competitive advantage in terms of listings and traffic
  • Reiterating guidance for financial year 2017

Berlin / Munich, 9 August 2017 – Scout24 AG ("Scout24" or “the Group”), the leading operator of digital marketplaces specialising in the real estate and automotive sectors in Germany and other selected European countries, further increased its revenue and profit growth in the first half-year of 2017 and is fully in line with expectations. The Management underpins the forecast given for the full financial year 2017.

According to consolidated financial statements, Group revenues for the half-year 2017 increased by 8.1% to EUR 233.4 million. Group ordinary operating EBITDA improved at a disproportionate rate and was up 12.3% to EUR 122.8 million, yielding a margin of 52.6%. Cash contribution also increased by 13.8% against the comparable period in 2016, further underlining the Company’s ability to generate high cash flows. For the first time after the IPO and one year prior to expectations, in June 2017 a dividend of 0.30 EUR per no-par value share was distributed, allowing shareholders to benefit from this solid performance.

"With the release of our half-year results, we again proved our high profitability and cash-flow generating abilities. The dynamic development at AutoScout24 underlines our progress in achieving our growth potential. We are also very happy with the development at ImmobilienScout24. Core agent numbers remained stable even with the current market trends and the good performance accompanied by the optimisation measures we are implementing bode well for the second half of 2017, which we expect to be stronger than the first one. We believe there are still significant opportunities to tap in both the real estate and automotive value chains, which continue to underpin our growth story,” said Greg Ellis, Chief Executive Officer of Scout24 AG.

 

Overview of Financial Results

The table below provides a summary overview of the Group’s performance for the first half year and second quarter ended June 30, 2017.

(EUR millions)

Q2 2017

Q2 2016

%

change

H1 2017

H1 2016

%

change

External revenues

119.6

110.1

8.6%

233.4

215.9

8.1%

IS24

74.5

71.1

4.8%

146.6

140.2

4.6%

AS24

43.3

37.6

15.2%

83.7

72.7

15.1%

Ordinary operating EBITDA1

66.4

57.2

16.0%

122.8

109.4

12.3%

IS24

46.9

45.5

3.1%

91.4

87.9

4.0%

AS24

22.3

15.9

40.3%

39.6

29.8

32.9%

Ordinary operating EBITDA-margin1

55.5%

52.0%

3.5pp

52.6%

50.7%

1.9pp

IS24

63.1%

64.0%

(0.9)pp

62.4%

62.7%

(0.3)pp

AS24

51.4%

42.3%

9.1pp

47.3%

41.0%

6.3pp

EBITDA2

58.9

51.1

15.3%

112.1

99.7

12.4%

IS24

43.7

40.2

8.7%

84.8

79.5

6.7%

AS24

19.5

13.4

45.5%

34.8

26.0

33.8%

Capital expenditure

5.3

4.7

10.6%

9.3

9.6

(3.1)%

Cash contribution3

61.1

52.5

16.4%

113.6

99.8

13.8%

Cash conversion4

92%

92%

 

92%

91%

 

1 Ordinary operating EBITDA represents EBITDA adjusted for non-operating and special effects, ordinary operating EBITDA margin of a segment is defined as ordinary operating EBITDA as a percentage of external segment revenues.

2 EBITDA is defined as profit before financial results, income taxes, depreciation and amortisation, impairment write-downs and the result of sales of subsidiaries.

3 Cash contribution is defined as ordinary operating EBITDA less capital expenditure.

4 Cash conversion is defined as ordinary operating EBITDA less capital expenditure divided by ordinary operating EBITDA.

 

Business Development Group

Main growth drivers in the first half-year of 2017 were an expansion in the customer base and an increased penetration of visibility products at AutoSscout24, programmatic advertising and an improved offering of services along the real estate selling and rental process, both under the umbrella of the Group-wide function Scout24 Media.

Ordinary operating EBITDA increased by 12.3% from EUR 109.4 million to EUR 122.8 million yielding an increase in margin of 1.9 percentage points to 52.6% (H1 2016: 50.7%), reflecting a strong performance in the second quarter.

Reported Group EBITDA for the first half-year of 2017 increased against by EUR 12.4 million to EUR 112.1 million. Consolidated net income attributable to parent company owners amounted to EUR 54.9 million in the reporting period (H1 2016: EUR 29.7 million), which corresponds to basic earnings per share of EUR 0.51 (H1 2016: EUR 0.28).

Cash contribution increased by EUR 13.8 million in the first half-year of 2017 respectively by EUR 8.6 million in the second quarter 2017 against the comparable period 2016. The Cash conversion rate, based on ordinary operating EBITDA, was stable at 92% in the first half of 2017.

 

Outlook

Scout24 reported a successful half-year in 2017 with 8.1% revenue growth and an ordinary operating EBITDA-margin of 52.6%, which is fully in line with the expectations communicated in the Annual Report 2016. The online advertising outlook in Germany and Europe further remains positive, as both consumers and customers become increasingly digital. The Management is confident that this momentum will continue in the second half of 2017, and expects Group revenues to record a high single-digit growth rate for the full year 2017.

The full half-year financial report including financial statements and additional details on segment level and the outlook is available at www.scout24.com/Financial-Reports.

 

About Scout24

With our leading digital marketplaces ImmobilienScout24 and AutoScout24 in Germany and across Europe we are inspiring people to make their best decisions on finding a home and a car. More than 1,000 employees are working on the success of our products and services, putting the consumers' needs first in order to create a connected network for living and mobility. Scout24 is listed on the Frankfurt Stock Exchange (ISIN: DE000A12DM80, G24). For further information, please visit www.scout24.com, our Corporate Blog and Tech Blog, or follow us on Twitter and LinkedIn.

 

Investor Relations

Britta Schmidt
Vice President Investor Relations & Treasury
Fon: +49 89 44456 3278          
Email: ir@scout24.com

 

Media Relations

Marie Fabiunke
Director Corporate Communications & PR
Fon: +49 30 24301 1427
Email: marie.fabiunke@scout24.com

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Disclaimer:

All information contained in this document has been carefully prepared. However, no reliance may be placed for any purposes whatsoever on the information contained in this document or on its completeness. No representation or warranty, express or implied, is given by or on behalf of the Company or any of its directors, officers or employees or any other person as to the accuracy or completeness of the information or opinions contained in this document and no liability whatsoever is accepted by the Company or any of its directors, officers or employees nor any other person for any loss howsoever arising, directly or indirectly, from any use of such information or opinions or otherwise arising in connection therewith.

The information contained in this release is subject to amendment, revision and updating. Certain statements, beliefs and opinions in this document are forward-looking, which reflect the Company’s or, as appropriate, senior management’s current expectations and projections about future events. By their nature, forward-looking statements involve a number of risks, uncertainties and assumptions that could cause actual results or events to differ materially from those expressed or implied by the forward-looking statements. These risks, uncertainties and assumptions could adversely affect the outcome and financial effects of the plans and events described herein. Statements contained in this document regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. The Company does not undertake any obligation to update or revise any information contained in this press release (including forward-looking statements), whether as a result of new information, future events or otherwise. You should not place undue reliance on forward-looking statements, which speak only as of the date of this document.

Scout24 also uses alternative performance measures, not defined by IFRS, to describe the Scout24 Group’s results of operations. These should not be viewed in isolation, but treated as supplementary information. The special items used to calculate some alternative performance measures arise from the integration of acquired businesses, restructuring measures, impairments, gains or losses resulting from divestitures and sales of shareholdings, and other material expenses and income that generally do not arise in conjunction with Scout24’s ordinary business activities. Alternative performance measures used by Scout24 are defined in the “Glossary” section of Scout24’s Annual Report 2016 which is available at www.scout24.com/financial-reports.

Due to rounding, numbers presented throughout this statement may not add up precisely to the totals indicated, and percentages may not precisely reflect the absolute figures for the same reason.