Hemnet Group Interim report Q1 2024

Summary for the period January-March 2024

• Net sales increased by 33.3 percent to SEK 253.4m (190.1)
• EBITDA increased 37.3 percent to SEK 119.7m (87.2)
• Operating profit increased 45.2 percent to SEK 98.9m (68.1)
• ARPL, average revenue per published listing, increased 32.5 percent to SEK 4,911 (3,706) 
   

* Alternative Performance Measure, see pages 15-17 for derivation and definitions.

¹ The calculation of dilution of shares is made based on the number of days that the warrant programmes that have been active during each respective period.

Chief Executive’s Comments

Hemnet delivered strong results for the first quarter of the year, supported by growing demand for our value-added services for property sellers and an increase in the number of published listings. The increase in listings is connected to a generally higher activity in the market, with more transactions, increasing housing prices and a more positive sentiment among consumers, where the number of homebuyers expecting prices to increase or maintain is now at 45%, the highest since September 2020.

Revenue from property sellers increased by 49.1 percent, and ARPL increased by 32.5 percent. Sales of Hemnet Premium continued to increase and the growing demand led to a more than doubled conversion compared to the same period last year. In addition, the number of published listings increased 11 percent as a result of increased confidence in the housing market.

Real estate agents are Hemnet’s most important partners and we are focused on building strong agent relations. Following last quarter’s announcement on the update of the compensation and commission model, we have taken several initiatives to ensure a smooth transition, for real estate agent offices in particular, to the new model. We have also begun the gradual roll out of our fully digital flow that will simplify and streamline the buying and publication process for all property sellers and agents.

Many of our B2B customers, especially property developers, continue to be impacted by market uncertainties.This is reflected in lower sales of our display advertising products. The decline in revenue was partially offset by continued demand and revenue growth from our Hemnet unique B2B products.

During the quarter we have continued to improve the consumer experience on Hemnet, for example by improving our maps, updating app navigation and including energy classification for properties in the result list, nudging our visitors to consider environmental aspects when looking for a new home.

With 40 million monthly visits, Hemnet stands as Sweden’s premier property platform, connecting the largest concentration of sellers and buyers to facilitate efficient property transactions. We are maintaining our market leadership through our commitment to our growth plan as we continue to invest in product development, enhancements in consumer and customer experience and in strengthened relationships with agents.

Cecilia Beck-Friis
CEO
April 2024

*****************************************
In connection with the report, a presentation of the results will be held at 10.00 CET by Hemnet's CEO Cecilia Beck-Friis and CFO Anders Örnulf. A Q&A session will be held after the presentation. The presentation will be held in English.

The presentation can be viewed live via the link below. Written questions can be posted via the webcast.
https://ir.financialhearings.com/hemnet-q1-report-2024 

If you wish to participate via teleconference please register on the link below. After registration you will be provided with phone numbers and a conference ID to access the conference. You can ask questions verbally via the teleconference, or via the chat function in the webcast.
https://conference.financialhearings.com/teleconference/?id=50048618

The report and presentation material will be available on hemnetgroup.com.

*****************************************

For more information, please contact: 

Press enquiries
Staffan Tell, Head of PR
M: +46 733 67 66 85
E: staffan.tell@hemnet.se

Jessica Sjöberg, Chief Communication and Brand Officer
M: +46 730689933
E: jessica.sjoberg@hemnet.se

IR enquiries
Anders Örnulf, CFO
M: +46 72 732 10 12
E: anders.ornulf@hemnet.se

Nick Lundvall, IR Manager & Head of Corporate Development
M: +46 76 145 21 78
E: nick.lundvall@hemnet.se

This is information that Hemnet Group AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, on 23 April, 2024 at 08:00 CET.

About Hemnet
Hemnet operates the leading property platform in Sweden. The company emerged as an industry initiative in 1998 and has since transformed into a "win-win" value proposition for the housing market. By offering a unique combination of relevant products, insights and inspiration, Hemnet has built lasting relationships with buyers, sellers, and agents for more than 20 years. Hemnet shares a mutual passion for homes with its stakeholders and is driven by being an independent go-to-place for people to turn to for the various housing needs that arise through life. This is mirrored in the Company’s vision to be the key to your property journey, supplying products and services to improve efficiency, transparency and mobility on the housing market. Hemnet’s is listed on Nasdaq Stockholm (‘HEM’).

Follow us: hemnetgroup.com / Facebook / X/ LinkedIn / Instagram