HomeToGo reports strong Booking and IFRS Revenues growth for H1/24, improves profitability in the HomeToGo_PRO segment and achieves strong increase in Free Cash Flow 

Luxembourg, 13 August 2024 - HomeToGo SE (Frankfurt Stock Exchange: HTG), the SaaS-enabled marketplace with the world’s largest selection of vacation rentals, today published its financial results for the first half and second quarter of 2024.

Group Highlights

• Strong growth in Booking Revenues to €147.2M in the first half of 2024 (27.4% YoY and 214% Yo5Y). The Onsite Take Rate reached 12.7% in the first half of 2024 (+1.1pp YoY). Booking Revenues climbed to a new second quarter high in Q2/24 of €63.8M (27.1% YoY and 215% Yo5Y). Booking Revenues Backlog[1] grew to a new record of €79.7M at the end of Q2/24 (12.3% YoY), providing high visibility throughout H2/24.
• IFRS Revenues grew substantially to €89.3M in H1/24 (38.1% YoY and 211% Yo5Y) alongside setting a new record for a second quarter of €52.9M (23.7% YoY and 218% Yo5Y).
• Continued progress in profitability by improving the Adjusted EBITDA 18.6% YoY to €(19.0)M in H1/24, fully in line with the underlying seasonality of the business. The improvement is predominantly driven by the continued margin expansion within HomeToGo_PRO and strong 35.5% YoY growth in Repeat Booking Revenues. Adjusted EBITDA for Q2/24 improved by 54.3% YoY to €2.2M, reaching break-even once again in a second quarter as in 2023.

Business Segment Highlights

• The Marketplace segment, HomeToGo's AI-powered B2C platform offering the world's largest selection of vacation rentals, grew its IFRS Revenues by 46.7% YoY in H1/24 driven by very strong growth in its Booking (Onsite) business of 113.6% YoY. The IFRS Revenues of the Advertising business increased by 6.2% YoY in H1/24, reflecting the marketing efficiency steering towards higher margin business. Adjusted EBITDA for the HomeToGo Marketplace improved by 2.6% YoY for H1/24.
• The HomeToGo_PRO segment, encompassing B2B Software & Service Solutions for the entire travel market with a special focus on SaaS for the supply side of vacation rentals, grew its H1/24 IFRS Revenues by 18.5% YoY, contributing 30% of the total Group's IFRS Revenues. The Subscription business increased IFRS Revenues by 17.6% YoY in H1/24. For the Volume-based business Booking Revenues grew by a strong 33.2% YoY, driven by a substantial 39.0% increase in the number of bookings serviced by HomeToGo_PRO. The respective IFRS Revenues grew by 19.1% YoY in the first half of 2024. Adjusted EBITDA for the HomeToGo_PRO segment increased in H1/24 by 504.4% YoY, reaching €4.5M.

Cash Development

• Comfortable cash position of €95.7M at the end of Q2/24 increasing by €5.1M vs. end of Q1/24.
• Free Cash Flow substantially increased by 21.2% YoY, totaling €(10.3)M during the first six months of 2024. This improvement was mainly driven by the increased business volume leading to additional traveler advance payments and a slight change in cash flow pattern due to acquisitions in the field of thematic short trips at the beginning of 2024. During Q2/24 Free Cash Flow increased substantially by 71.7% YoY to €12.1M.

Confirmation of Full Year Guidance

Based on the solid first half of 2024, the Company reiterates its FY/24 guidance of growing Booking Revenues to more than €250M (>30% YoY), IFRS Revenues to more than €220M (>35% YoY), and delivering more than €10M of Adjusted EBITDA in FY/24 (>400% YoY).

Dr. Patrick Andrae, Co-Founder & CEO of HomeToGo: “As HomeToGo progresses into the second half of 2024, we take this opportunity to reflect on yet another record-breaking quarter and strong start to the year. Our spring season was defined by continued advancement towards our strategic objectives, fueling record second quarter results and strong growth of both our core Marketplace business and the new HomeToGo_PRO segment. Over the past six months, we’ve introduced new AI advancements in our product, expanded and enhanced our innovative SaaS products for our partners, and delivered a stellar Onsite experience to delight our travelers. Overall, the first half of the year has favorably positioned us for sustained growth with further improved profitability.”

Review of Q2/24

Building on the momentum from the first quarter of 2024, HomeToGo experienced strong growth in Booking Revenues in Q2/24, reaching €63.8M (27.1% YoY vs. €50.2M in Q2/23 and 215% Yo5Y vs. €20.3M in Q2/19). Both segments - HomeToGo Marketplace and HomeToGo_PRO - contributed positively with 26.9% and 27.3%, respectively, to this new second quarter high.

HomeToGo’s IFRS Revenues rose notably by 23.7% YoY to a new second quarter record figure of €52.9M (vs. €42.8M in Q2/23 and 218% vs. €16.7M in Q2/19). The Marketplace segment contributed particularly strong growth, with IFRS Revenues increasing by 29.8% YoY. HomeToGo_PRO advanced its IFRS Revenue by 8.2% YoY, now accounting for 30% of the total Group’s IFRS Revenues.

HomeToGo’s underlying profitability improved further, clearly surpassing the Q2/24 Adjusted EBITDA break-even point by reaching €2.2M (54.3% YoY improvement). This equates to an Adjusted EBITDA margin of 4.1%, an improvement of +0.8pp YoY. The margin expansion was mainly driven by improved profitability in the HomeToGo_PRO segment, overall strong cost discipline, continued growth in Repeat Booking Revenues and improved marketing efficiency, where the marketing and sales cost ratio[2] improved by 2.8pp YoY (64.9% vs. 67.7% in Q2/23).

Within the Marketplace segment, the Booking (Onsite) business experienced substantial growth in Q2/24, increasing its IFRS Revenues by 77.8% YoY to €23.3M. Besides a solid organic foundation, the positive top-line development was also driven by the first-time consolidation of the majority acquisition of GetAway Group, a leading specialist for short trip businesses that includes the brands Kurzurlaub and Kurz Mal Weg, at the beginning of 2024. The Onsite Take Rate hit 12.5% (+0.3pp YoY), additionally supporting top-line growth. HomeToGo’s Repeat Booking Revenues grew by 40.4% in the second quarter of 2024 compared to the previous year period and almost twelve-folded over the last five years. The Advertising business, which includes the former CPA Offsite and CPC business, saw a slight decrease in IFRS Revenues by (6.4)% YoY to €16.3M due to efficiency steering towards higher margin business. This results in a record Booking Revenues Backlog, which will be gradually recognized as IFRS Revenues after check-in, providing high visibility for the remainder of 2024. Therefore, the Adjusted EBITDA for the Marketplace segment was €(1.1)M below previous year’s level, standing at €(1.0)M at the end of Q2/24.

HomeToGo_PRO maintained its profitable growth momentum in Q2/24, increasing its Booking Revenues by 27.3% YoY. The segment’s IFRS Revenues grew by 8.2% YoY to €15.1M in Q2/24. Notably, the Subscription business had an increase of 11.7% YoY to €5.6M, while the Volume-based business steadily increased its IFRS Revenues by 6.1% YoY to €9.5M. In Q2/24, HomeToGo_PRO more than doubled its Adjusted EBITDA on a yearly comparison with 144.4% YoY growth, delivering €3.2M. The Adjusted EBITDA margin for HomeToGo_PRO continued to expand substantially by +11.7pp to 21.0%.

Q2/24 Results: Q2 Quarterly Statement, Earnings Call, and Presentation
Dr. Patrick Andrae, Co-Founder & CEO, and Steffen Schneider, CFO, will present the financial results for Q2/24 in a webcast and conference call today at 10:00 am CEST, followed by a Q&A session for research analysts and investors.

The presentation will be held via a live audio webcast, and will be in English, hosted at https://www.webcast-eqs.com/hometogo-2024-q2

Interested participants can register in advance for the conference call - with the opportunity to take part in the Q&A session - at the following address: https://services.choruscall.it/DiamondPassRegistration/register?confirmationNumber=9952522&linkSecurityString=15b081bda0

HomeToGo's Q2/24 Quarterly Statement is available on the HomeToGo Investor Relations website at ir.hometogo.de. 

The earnings presentation for analysts and investors will be made available shortly before the call starts at 10:00 am CEST and is also available at ir.hometogo.de.

About HomeToGo 

HomeToGo was founded in 2014 with a vision to make incredible homes easily accessible to everyone. HomeToGo has since grown to become the SaaS-enabled marketplace with the world’s largest selection of vacation rentals.

With 15M+ offers across thousands of trusted partners globally, HomeToGo’s AI-powered B2C Marketplace expertly matches supply and demand to connect travelers with the perfect vacation rental for any trip around the world. As the go_to destination for vacation rentals, the HomeToGo Marketplace offers the world’s largest vacation rental selection combined with an end-to-end convenient, trusted, and intuitive product experience.

HomeToGo_PRO, the Company’s B2B segment, offers innovative Software & Service Solutions including Subscriptions for the whole travel market with a special focus on SaaS for the supply-side of vacation rentals.

While HomeToGo SE's registered office is located in Luxembourg, HomeToGo GmbH is headquartered in Berlin, Germany. HomeToGo operates localized apps and websites in 25 countries.

HomeToGo SE is listed on the Frankfurt Stock Exchange under the stock ticker “HTG” (ISIN LU2290523658).

For more information visit: www.hometogo.com/about

Media Contact
Caroline Burns
press@hometogo.com

Investor Relations Contact
Sebastian Grabert, CFA
+49 157 501 63731
IR@hometogo.com

Forward-Looking Statements

Certain statements contained in this release may constitute "forward-looking statements" that involve a number of risks and uncertainties. Forward-looking statements are generally identifiable by the use of the words "may", "will", "should", "plan", "expect", "anticipate", "estimate", "believe", "intend", "project", "goal" or "target" or the negative of these words or other variations on these words or comparable terminology. Forward-looking statements are based on assumptions, forecasts, estimates, projections, opinions, or plans that are inherently subject to significant risks, as well as uncertainties and contingencies that are subject to change. No representation is made or will be made by HomeToGo SE that any forward-looking statement will be achieved or will prove to be correct. The actual future business, financial position, results of operations, and prospects may differ materially from those projected or forecast in the forward-looking statements. Neither HomeToGo SE nor any of their respective affiliates assume any obligation to update, and do not expect to publicly update, or publicly revise, any forward-looking statements or other information contained in this release, whether as a result of new information, future events or otherwise, except as otherwise required by law.

Use of Non-IFRS Performance Measures

This release includes certain financial measures not presented in accordance with IFRS, which may exclude items that are significant in understanding and assessing the Company's financial results. These measures should not be considered in isolation or as an alternative to measures of profitability, liquidity or performance under IFRS. Regarding the alternative performance measures Adjusted EBITDA, Booking Revenues, Free Cash Flow, and Onsite Take Rate, the Company refers to the corresponding definitions published on its IR website under IR resources (http://ir.hometogo.de/).

^[1] Booking Revenues Backlog comprises Booking Revenues before cancellation generated in the reporting period or prior with IFRS Revenues recognition based on check-in date after the reporting period.

^{[2]Adjusted for expenses for share-based compensation, depreciation, amortization and one-off items in relation to IFRS Revenues.}