By Andrea Figueras
Shares in Scout24 jumped on Monday after the company posted higher preliminary first-half revenue and earnings and upgraded its guidance for the year as a whole.
At 0831 GMT shares were up 7.2% at EUR62.08.
The German real-estate marketing company posted preliminary first-half earnings before interest taxes depreciation and amortization from ordinary activities of 146.5 million euros ($161.3 million), up 21% organically, and revenue of EUR243.8 million, representing a 12% increase on an organic basis.
These figures imply second-quarter revenue in line with consensus expectations and a 12% beat of ordinary operating Ebitda, UBS analysts said in a research note.
The slowdown in the German property market accelerated secular growth in digital marketing, Jefferies analysts said in a note, citing new members, above-inflation price rises, product upsell and limited incremental costs.
Scout24 also upgraded its guidance for 2023, thanks to the contribution from recently-acquired Sprengnetter Group and assuming continued strong demand. The company expects revenue growth at 15% and consolidated Ebitda from ordinary activities to increase between 18% and 19%.
Analysts had expected Scout24’s 2023 revenue to grow 11% and ordinary operating Ebitda to rise 13%, according to consensus estimates provided by the company.
While the guidance upgrade seems to be driven by the Sprengnetter acquisition, the company’s underlying trading appears good with continued strong demand for its core products, Jefferies analysts said.
Write to Andrea Figueras at [email protected]
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