Hemnet

Summary for the period July-September 2024

• Net sales increased by 36.8 percent to SEK 372.1m (272.0)
• EBITDA increased 33.1 percent to SEK 207.6m (156.0)
• Operating profit increased 35.6 percent to SEK 185.7m (136.9)
• ARPL, average revenue per published listing, increased 42.0 percent to SEK 6,183 (4,353)

Summary for the period January-September 2024

• Net sales increased by 41.2 percent to SEK 1,030.5m (729.7)
• EBITDA increased 41.6 percent to SEK 543.5m (383.9)
• Operating profit increased 47.0 percent to SEK 480.2m (326.7)
• ARPL, average revenue per published listing, increased 43.0 percent to SEK 5,865 (4,101)

* Alternative Performance Measure, see pages 18-20 for derivation and definitions.

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

Chief Executive’s Comments

Operational highlights

• Net sales for the third quarter increased 36.8 percent to SEK 372.1 million (272.0)
• Average revenue per published listing (ARPL) increased 42.0 percent to SEK 6,183 (4,353), driven by growing customer demand and strong engagement from agents
• EBITDA increased 33.1 percent to SEK 207.6 million (156.0). EBITDA margin decreased to 55.8 percent (57.4)
• The rollout of the new compensation model has been well received by real estate agents

Comments
Hemnet reports strong results for the third quarter, mainly driven by a continued high demand for value-added services with 2 out of 3 property sellers now choosing Hemnet Plus or Premium, paired with high engagement from real estate agents. The number of new property listings grew by 2,8 percent compared with 2023.

We are pleased with the rollout of the new compensation model, launched on July 1, as more agents are promoting the benefits of our value-added services and recommending them to their customers. Along with continued growing demand, this increased engagement from agents drives top-line growth. Revenue from property sellers grew by 46.5 percent in the quarter, while the ARPL contribution from Hemnet Premium more than doubled compared to last year. It is clear that customers recognise the value of our value-added services when selling their property, and the strong demand for our top-tier packages gives us confidence that there is room to expand our offering for property sellers in the coming year.

In our B2B segment, we are seeing increased demand for our unique Hemnet products across all customer segments. However, we remain mindful that many of our partners, including property developers, continue to face challenges stemming from market uncertainties, which in turn affects revenue from display advertising.

During the quarter, we introduced several product and feature enhancements. These include making it easier for property sellers to upgrade their listing, offering the option to renew when upgrading to Premium, and enhancing functionality for upcoming listings to increase supply at this stage of the property journey. We are also pleased to see positive results from our efforts to drive engagement through a more personalised experience. Logged-in users are steadily growing in numbers and we can clearly see that those who log in spend significantly more time on Hemnet and return more frequently compared to non-logged-in users. This is an area we will continue to focus on as we know that an experience tailored to individual preferences is more compelling for our users.

The Swedish people’s great interest in properties and homes are reflected in Hemnet being one of the country’s largest media platforms by reach. As a result of increased activity in the property market and our work to provide the best user experience, engagement on our platforms continued to increase. During the quarter, Swedes collectively clicked on a Hemnet listing over 304 million times, up from 272 million in 2023. This underscores Hemnet’s relevance in the property market and reaffirms our position as the go-to platform for property seekers and sellers alike.

Cecilia Beck-Friis, CEO
October 2024

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In connection with the report on the 24th of October, 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 this link.

If you wish to participate via teleconference please register on this link. 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.


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

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For more information please contact:

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

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’).

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