HomeToGo SE: HomeToGo reports strong operational and financial performance in Q2'22, paving the way for break-even profitability by FY'23

HomeToGo reports strong operational and financial performance in Q2'22, paving the way for break-even profitability by FY'23

• Record Q2’22 IFRS Revenues, with a growth of 83.4% YoY to EUR 37.6 million (vs. EUR 20.5 million in Q2’21)
• Significantly improved profitability in Q2’22 to Adjusted EBITDA of EUR (6.4) million (vs. EUR (17.5) million in Q2’21), an improvement of 68pp to (17.1)% Adjusted EBITDA margin
• Onsite Booking Revenues[1] grew to a record 56.8% share of Booking Revenues (vs. 52.8% in Q2’21)
• Momentum has continued into the current Q3’22, reaching the best month ever for Booking Revenues in July. Q2’22 Booking Revenues up by 10.4% YoY to EUR 46.3 million (vs. EUR 41.9 million in Q2’21)
• Subscriptions & Services closed Q2’22 with EUR 4.9 million IFRS Revenues, growing 115.4% YoY
• FY’22 outlook confirmed: IFRS Revenues growth of 40-50% to EUR 133-143 million and an Adjusted EBITDA of EUR (22) - (32) million
• Reiterating commitment to achieve Adjusted EBITDA break-even by FY’23

Luxembourg, 16 August 2022 - HomeToGo SE (Frankfurt Stock Exchange: HTG), the marketplace with the world's largest selection of vacation rentals, today announced its results for the second quarter of the year 2022 amid strong progress across strategic and financial targets. HomeToGo’s profitability, measured by Adjusted EBITDA margin, improved significantly by 68pp vs. Q2’21 to (17.1)%. With a high IFRS Revenues growth of 83.4% vs. Q2’21, notably 126% vs. Q2’19, HomeToGo continues to advance its business performance.

Dr. Patrick Andrae, Co-founder & CEO of HomeToGo: “The second quarter of 2022 marks incredible growth in terms of our strategic priorities and performance. This strong momentum continues into the current Q3’22, reaching the best month ever for Booking Revenues in July this year. We are creating an unparalleled experience that drives increased customer engagement and deepens relationships with our travelers, while expanding our onsite offering and taking further strides to scale our Subscriptions & Services business. We have a very clear roadmap in place to foster our path to Adjusted EBITDA break-even by 2023, complemented by the already proven resilience of the vacation rental market and encouraging booking trends beyond the summer high season. This allows us to confidently look ahead to the future as we continue to deliver on our financial targets and make incredible homes easily accessible to everyone.”

In Q2’22, Onsite Booking Revenues made up 56.8% of Booking Revenues (vs. 52.8% in Q2’21) as partners increasingly opted to list onsite, growing by 12.2% YoY (410% Yo3Y) to EUR 23.5 million (vs. EUR 20.9 million in Q2’21) - a new all time high for Q2. Furthermore, HomeToGo’s Subscriptions & Services business grew significantly at 115.4% YoY, with high IFRS Revenues of EUR 4.9 million (vs. EUR 2.2 million in Q2’21), including a strong contribution from its SaaS solution, Smoobu.

The impressive strategic progress has resulted in exceptional financial results and continued growth. Q2’22 Booking Revenues reached a record in Q2 history, growing by 10.4% YoY to EUR 46.3 million (vs. EUR 41.9 million in Q2’21), against tough prior-year comparables and more evenly distributed booking patterns between Q1 and Q2 compared to the prior-year, fueled by a strong onsite performance. Notably, this momentum has continued into the current Q3’22, reaching the best month ever for Booking Revenues in July of this year. Q2’22 IFRS Revenues grew by 83.4% YoY to EUR 37.6 million (vs. EUR 20.5 million in Q2’21). This growth was driven by an accelerated onsite business, positive consolidation effects and further decreasing cancellations, which are still above pre-pandemic levels.

Profitability improved significantly in both absolute and relative terms compared to Q2’21, resulting in an Adjusted EBITDA of EUR (6.4) million in Q2’22 (vs. EUR (17.5) million in Q2’21) and an Adjusted EBITDA margin of (17.1)% (vs. (85.2)% in Q2’21). This is amid an improved marketing cost ratio on the back of persistent organic demand and positive consolidation effects of recent acquisitions of both e-domizil and SECRA. Given these results and proven resilience of the alternative accommodation industry, HomeToGo confirms its updated FY’22 outlook, with an expected growth in IFRS Revenues of 40-50% to EUR 133-143 million and an Adjusted EBITDA of EUR (22) - (32) million, positioning the company to achieve Adjusted EBITDA break-even by FY’23. HomeToGo increased its cash position[2] to EUR 187.3 million at the close of Q2/2022, which is procuring a comfortable capital base for further growth of the business in the future.

Q2 2022 Quarterly Statement and Presentation

Dr. Patrick Andrae, Co-founder & CEO, and Steffen Schneider, CFO, will present the quarterly results in a conference call at 2:00 pm 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/Hometogo20220816

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://event.mymeetingroom.com/Public/WebRegistration/

The Q2 2022 financial report, as well as the earnings presentation for analysts and investors, is available on the HomeToGo Investor Relations website at:  ir.hometogo.de.

About HomeToGo

HomeToGo was founded in 2014 with a vision to make incredible homes easily accessible to everyone. To pursue this vision, HomeToGo was able to build and constantly grow a trusted and easy-to-use technology platform that brings together property suppliers with travelers from all across the world.

HomeToGo operates a marketplace for alternative accommodation that connects millions of travelers searching for a perfect place to stay with thousands of inventory suppliers across the globe, resulting in the world's most comprehensive inventory coverage in the alternative accommodation space. HomeToGo's marketplace is beneficial to both of its customer groups: Consumers who visit HomeToGo's websites gain access to the largest inventory in one place, and supply partners who use the platform's reach and technology solutions are better able to serve a wide range of customers and generate more high-quality demand. 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”. For more information visit: www.hometogo.com/about 

Media Contact
Caroline Burns
press@hometogo.com

Investor Relations Contact
Jan Edelmann
+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.

Non-IFRS and Other Financial and Operating Metrics:

Adjusted EBITDA: Earnings before interest, taxes and amortization/depreciation, adjusted by expenses for share-based compensation and non-recurring one-off items.

Booking Revenues: Non-IFRS operating metric to measure intra-month performance view defined as net Euro value generated by transactions (CPA, CPC, CPL etc.) before cancellation.

Onsite Booking: Where the complete transaction from discovery to payment happens on HomeToGo domains without the user being referred to a third party supplier website.

^[1] Booking Revenues net of Subscriptions & Services

^[2]  Cash position: Cash and cash equivalents plus other short-term highly liquid financial assets