Hypoport Se · XETR:HYQ
Hypoport — FY2017 Earnings Presentation
32 slides from Hypoport's earnings presentation, Mar 12, 2018
Slide 1: Hypoport AG Preliminary results for 2017
Hypoport AG Preliminary results for 2017
Slide 2: Technology-based financial services
Technology-based financial services Investment highlights in 2017 and forecast for 2018 Key figures for FY 2017 (yoy) • Revenue: €194.9 million (+24%) • EBIT: €23.3 million (0%) • EPS: €3.10 (+3%) • Market cap (December 31, 2017): approx. €900 million (+87%) • Average trading volume per day: approx.
Slide 3: Contents
Contents 1. Market environment 2. Business units 3. Overview of key performance indicators 4. Hypoport's shares 5. Investment highlights and outlook
Slide 4: Huge excess demand in the housing market
Huge excess demand in the housing market Changes in the German housing market 1300 Completed homes 1200 Cumulative demand for homes 1100 Net migration 1000 900 800 700 600 500 400 300 200 100 0 -100 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2
Slide 5: Mortgage finance volume contracted by 2.2 per cent in 2017
Mortgage finance volume contracted by 2.2 per cent in 2017 Performance of relevant market indices in Germany since 2009 200 Index for the volume of mortgage finance Index for the average interest rate for mortgage finance Mortgage Credit Index for residential property prices (EPX) Directive 150 100
Slide 6: Mortgage finance – market has strong potential
Mortgage finance – market has strong potential Factors influencing the private and commercial real-estate finance markets Negative factors Positive factors • Lack of available properties • Strong pent-up demand in the rental market • Legislators keep the market busy with a • Rising construction/purc
Slide 7: Contents
Contents 1. Market environment 2. Business units 3. Overview of key performance indicators 4. Hypoport's shares 5. Investment highlights and outlook
Slide 8: Hypoport – a dynamic group of companies
Hypoport – a dynamic group of companies Hypoport's business units Hypoport AG, 2017 financial year 8
Slide 9: Credit Platform
Credit Platform Segment results Hypoport AG, 2017 financial year 9
Slide 10: EUROPACE outperforms market by 10 percentage points
EUROPACE outperforms market by 10 percentage points Credit Platform: volume of transactions and number of partners • Volume of home loans and building finance on Volume of transactions* (€ billion) EUROPACE grew by 8 per cent, whereas the overall CAGR: +10% +8% market contracted by over 2 per cent i
Slide 11: Exceptionally strong growth at regional banks
Exceptionally strong growth at regional banks GENOPACE and FINMAS sales transaction volume and number of contractual partners • Significant expansion of the use of EUROPACE Volume of transactions* (€ billion) by savings banks and cooperative banks for +68% own-account distribution. +17% 2.5 • FINMAS
Slide 12: Double-digit growth secures market leadership
Double-digit growth secures market leadership Credit Platform: revenue, gross profit and earnings Revenue (€ million)* +18% 77.5 • Property services were successfully expanded in 65.9 2017 and have been placed with more than 100 partners. Budgeted start-up losses of €0.7 FY 2016 FY 2017 million in 2
Slide 13: Private Clients
Private Clients Segment results Hypoport AG, 2017 financial year 13
Slide 14: Dr. Klein makes significant gains in market share
Dr. Klein makes significant gains in market share Private Clients: volume of loans brokered and number of advisors Volume of new loans brokered* (€ billion) CAGR: +12% +17% • Despite the market as a whole contracting, Dr. Klein is continually expanding its market share by 5.4 5.4 4.3 4.6 4.6 focusin
Slide 15: Dr. Klein achieves record revenue and earnings
Dr. Klein achieves record revenue and earnings Private Clients: revenue, gross profit and earnings Revenue (€ million)* +23% 82.3 66.9 • Expansion of market share in mortgage finance FY 2016 FY 2017 led to significant double-digit revenue growth. • Dr. Klein has won the German Fairness Prize for Gro
Slide 16: Institutional Clients
Institutional Clients Segment results Hypoport AG, 2017 financial year 16
Slide 17: Customer reticence in the second half of 2017
Customer reticence in the second half of 2017 Institutional Clients: volume of loans brokered and consulting revenue Volume of new loans brokered (€ billion) • The realisation of several large-scale financing +15% projects resulted in a good level of revenue in 2.2 the first half of 2017. 1.9 • In t
Slide 18: Earnings squeezed by drop in revenue in H2 2017
Earnings squeezed by drop in revenue in H2 2017 Institutional Clients: revenue, gross profit and earnings Revenue (€ million) • The volume of transactions and commission +4% declined in the second half of 2017 owing to 18.6 19.4 reduced demand in the housing sector. • Revenue in the second half of 2
Slide 19: Insurance Platform
Insurance Platform Segment results Hypoport AG, 2017 financial year 19
Slide 20: Insurance technologies grouped together in this business unit
Insurance technologies grouped together in this business unit Insurance Platform: revenue, gross profit and earnings Revenue (€ million) • The IT companies acquired in 2016 and early 2017 + > 100% 15.2 have been successfully integrated. 5.1 • Smart InsurTech has been established as an umbrella brand
Slide 21: Contents
Contents 1. Market environment 2. Business units 3. Overview of key performance indicators 4. Hypoport's shares 5. Investment highlights and outlook
Slide 22: Hypoport Group generates strong growth
Hypoport Group generates strong growth Overview of Hypoport's key performance indicators Revenue Gross profit Employees +24% (€ million) (€ million) (number) +27% +20% 194.9 1,009 156.6 102.3 797 85.2 FY 2016 FY 2017 FY 2016 FY 2017 FY 2016 FY 2017 EBITDA EBIT Net profit for the year (€ million) (€
Slide 23: History of Hypoport Group
History of Hypoport Group Long-term changes in revenue and EBIT Established 7Y Start-up 7Y 4Y Upscaling and expansion despite fin. crisis Revenue (€ million) 195 157 98 4 26 1999 2006 2013 2016 12M 2017 EBIT (€ million) 6 23 23 2 4 1999 2006 2013 2016 12M 2017 Hypoport AG, 2017 financial year 23
Slide 24: Contents
Contents 1. Market environment 2. Business units 3. Overview of key performance indicators 4. Hypoport's shares 5. Investment highlights and outlook
Slide 25: Free float remains high
Free float remains high Shareholder structure and share information Breakdown of shareholders as at 31 December 2017 KPIs and indices KPI DETAILS VALUE Ronald Slabke (CEO) Treasury shares EPS Earnings per share in 2017 €3.10 Free float Number of Total number of shares 6,194,958 (of which approx. 5.0
Slide 26: Contents
Contents 1. Market environment 2. Business units 3. Overview of key performance indicators 4. Hypoport's shares 5. Investment highlights and outlook
Slide 27: Many reasons for investing in Hypoport
Many reasons for investing in Hypoport Investment highlights Hypoport Group combines financial services with technology. In 2017, the volume of transactions grew by 8 per cent despite market contraction of 2 per cent. Strong organic growth of previous years continues and has been combined with growt
Slide 28: Contacts
Contacts Christian Würdemann Head of Group Operations Tel: +49 (0)30 420 860 Hypoport AG Email: ir(at)hypoport.de Klosterstrasse 71 10179 Berlin Jan H. Pahl Germany Investor Relations Manager Tel: +49 (0)30 420 860 Email: ir(at)hypoport.de
Slide 29: Disclaimer
Disclaimer This presentation does not address the investment objectives or financial situation of any particular person or legal entity. Investors should seek independent professional advice and perform their own analysis regarding the appropriateness of investing in any of our securities. While Hyp
Slide 30: Annex
Annex
Slide 31: Share price rises sharply in 2017
Share price rises sharply in 2017 Share price: from the date of joining the SDAX to the end of 2017 (daily closing price, Xetra, €) 170 160 150 140 130 120 110 100 90 80 70 60 50 Feb Feb Apr Apr Aug Aug Sep Dec Sep Dec Jul Jan '16 Mar May Jun Oct Nov Mar May Jun Jan '17 Jul Oct Nov Hypoport AG, 2017
Slide 32: Further expansion of investor relations activities
Further expansion of investor relations activities Investor events, research reports and awards TARGET INVESTOR EVENTS IN 2017 ANALYST RECOMMENDATION DATE PRICE Warburg Buy €159.00 18 Jan 2018 Investor Conference London Dec 2017 ODDO BHF Neutral €139.00 15 Jan 2018 Equity Forum Frankfurt Nov 2017 Be