Group Quarterly Statement Q3/9M 2024

Quarterly development of the Group ..... 3
Business performance of the Group ..... 4
Business performance of the segments ..... 7
Outlook for the 2024 financial year ..... 8
Imprint ..... 9

Disclaimer

Scout24 SE as the parent entity and its direct and indirect subsidiaries together form the Scout24 Group. Insofar as information in the present statement refers exclusively to Scout24 SE, express reference is made to the Company ('Scout24 SE') accordingly. The terms 'Scout24 Group' and 'Scout24' refer to the Group as a whole.

The information contained in this document has been determined with due care. However, no liability of any kind is assumed for the information contained herein and/or its completeness. No representation or warranty, express or implied, is given by or on behalf of the Company or any of its directors, officers or employees or any other person as to the accuracy and/or completeness of the information contained in this document and no liability whatsoever is accepted by the Company or any of its directors, officers or employees nor any other person for any loss howsoever arising, directly or indirectly, from any use of such information or opinions or otherwise arising in connection therewith.

This document may contain forward-looking statements regarding the business, results of operations, financial condition and earnings outlook of the Scout24 Group. These statements may be identified by words such as 'may', 'will', 'expect', 'anticipate', 'contemplate', 'intend', 'plan', 'believe', 'continue' and 'estimate' and variations of such words or similar expressions. Such forward-looking statements are based on the current assessments, expectations, assumptions and information of Scout24's Management Board. They are subject to a large number of known and unknown risks and uncertainties and there is no guarantee that the anticipated results and developments will actually materialise. In fact, actual results and developments may differ materially from those reflected in our forward-looking statements. Differences may be due to changes in the general macroeconomic and competitive environment, capital market risks, exchange rate fluctuations, changes in international and national laws and regulations, including but not limited to tax laws and regulations, relevant for Scout24, and many other factors. Scout24 undertakes no obligation to revise or update any forward-looking statements as a result of new information, future events or otherwise, unless expressly required to do so by law.

Scout24 also uses alternative performance measures, not defined by IFRS, to describe the Scout24 Group's results of operations. These should not be viewed in isolation, but treated as supplementary information. Alternative performance measures used by Scout24 are defined at the corresponding place in the report. The special items used to calculate some alternative performance measures arise from the integration of acquired businesses, reorganisation measures, impairment losses, gains or losses on sale resulting from divestitures and the sale of shareholdings, and other expenses and income that generally do not arise in conjunction with Scout24's ordinary business activities.

Due to rounding, numbers presented throughout this report may not add up precisely to the totals indicated, and percentages may not precisely reflect the absolute figures for the same reason.

The Q3 and nine-month figures contained in this statement have neither been audited in accordance with Article 317 of the German Commercial Code (HGB; 'Handelsgesetzbuch') nor reviewed by an auditor.

This document is a non-binding English translation of the original German report. In case of any divergence between the two reports, the German version shall have precedence over the English translation.

Quarterly development of the Group

KEY FINANCIAL PERFORMANCE INDICATORS

EUR million	Q3 2024	Q3 2023	Change	9M 2024	9M 2023	Change
Revenue	144.0	132.8	$+8.5 \%$	419.6	376.6	$+11.4 \%$
of which Professional segment	103.4	97.0	$+6.5 \%$	303.7	273.5	$+11.1 \%$
of which Private segment	40.7	35.7	$+13.8 \%$	115.9	103.1	$+12.4 \%$
Ordinary operating EBITDA ${ }^{1}$	90.7	78.1	$+16.1 \%$	257.1	224.5	$+14.5 \%$
Ordinary operating EBITDA margin ${ }^{2}$ (\%)	$62.9 \%$	$58.8 \%$	$+4.1 p p$	$61.3 \%$	$59.6 \%$	$+1.7 p p$
EBITDA ${ }^{3}$	85.3	73.0	$+16.8 \%$	224.2	201.2	$+11.4 \%$
Earnings after tax	50.1	46.2	$+8.4 \%$	123.9	126.6	$-2.1 \%$
Earnings per share (basic, EUR)	0.69	0.62	$+9.9 \%$	1.69	1.72	$-1.6 \%$

${ }^{1}$ Ordinary operating EBITDA refers to EBITDA adjusted for non-operating effects, which mainly include expenses for share-based payments, M\&A activities (realised and unrealised), reorganisation and other non-operating effects.
${ }^{2}$ The ordinary operating EBITDA margin is defined as ordinary operating EBITDA as a percentage of revenue.
${ }^{3}$ EBITDA (unadjusted) is defined by analogy with the presentation in the consolidated statement of profit or loss as earnings before the financial result, income taxes, depreciation, amortisation and any impairment losses or reversals of impairment losses.

With revenue growth of $8.5 \%$ in the third quarter of 2024 and $11.4 \%$ in the first nine months of 2024, the Scout24 Group continued its growth trajectory relative to the previous year. The main revenue drivers in the third quarter continued to be the high demand for memberships for real estate agents in the Professional segment and an increase in subscription revenue in the Private segment. Both segments recorded continuous customer growth, again setting new records in the reporting quarter, with an average of 24,728 ( $+2.5 \%$ ) professional customers and an average of $460,067(+24.7 \%)$ private customers. The transaction enablement revenue line in the Professional segment reached a turning point, growing by $2.9 \%$ in the third quarter of 2024, supported by the gradual recovery of the real estate market.

In the third quarter of 2024, ordinary operating EBITDA increased by $16.1 \%$ year-on-year to EUR 90.7 million (9M 2024: EUR 257.1 million; +14.5\%) and the corresponding ordinary operating EBITDA margin rose by 4.1 percentage points to $62.9 \%$ (9M 2024: $61.3 \% ;+1.7$ percentage points). Due to lower non-operating effects, EBITDA improved in the third quarter compared to the same quarter of the previous year, rising by $16.8 \%$ to EUR 85.3 million even slightly higher than ordinary operating EBITDA.

The financial result was lower in the reporting quarter. However, the comparative figure for the third quarter of 2023 showed a positive financial result due to one-off special effects. Following the underproportional cost trend, earnings before tax developed well despite increased depreciation and amortisation and a lower financial result. Growth in earnings after tax slowed down as a result of higher income taxes, but still showed a positive trend at $8.4 \%$. Earnings per share came to EUR 0.69 (+9.9\%).

Following a reduction in the Group's tax rate in 2023, income taxes rose to a normal level in the first nine months of this year. Together with higher depreciation and amortisation, this led to a decrease in earnings after tax in the nine-month period. Earnings per share came to EUR 1.69 in the nine-month period (-1.6\%).

Business performance of the Group

Development of listings and traffic

	Q3 2024	Q3 2023	Change	9M 2024	9M 2023	Change
ImmoScout24.de (IS24) listings ${ }^{1}$	519,416	483,688	$+7.4 \%$	509,187	472,732	$+7.7 \%$
IS24 monthly website users (million) ${ }^{2}$	15.2	15.0	$+1.6 \%$	14.9	15.0	$-0.9 \%$
IS24 monthly app users (million) ${ }^{2,3}$	4.0	3.8	$+3.1 \%$	4.0	3.8	$+5.5 \%$
IS24 monthly sessions (million) ${ }^{4}$	104.2	96.2	$+8.3 \%$	103.3	97.7	$+5.7 \%$

${ }^{1}$ Source: ImmoScout24.de; listings in Germany (average of end-of-month listings in the period).
${ }^{2}$ Unique monthly visitors on ImmoScout24.de (average of the individual months), irrespective of how often they visit the marketplace during the month. Source: Internal measurement using an external tracking service provider.
The number of monthly app users (average of the individual months) is based on user identifiers obtained from an external service provider. The performance indicator thus represents an approximation of the actual user figures, which cannot be observed directly.
${ }^{4}$ Number of all monthly visits (average of the individual months) in which individual users interact with the website or app via a device: a visit is considered completed if the user is inactive for 30 minutes or more. Source: Internal measurement using an external tracking service provider.

The market appeared to be recovering slightly in the first half of 2024, a trend that continued in the third quarter. In Germany, demand for real estate increased, underscoring the importance of effective marketing via Scout24. At the same time however, time to sale for real estate has lengthened, meaning that the number of properties for sale remained above the level of the first nine months of 2023, the comparative period. As a result, the number of real estate listings has increased compared to the same period of the previous year. Coupled with the aforementioned recovery of demand, search intensity and, consequently, monthly sessions as well as the number of monthly app users have increased. Overall, app use continued to gain in importance compared to website use.

Results of operations

EUR million	Q3 2024	Q3 2023	Change	9M 2024	9M 2023	Change
Revenue	144.0	132.8	$+8.5 \%$	419.6	376.6	$+11.4 \%$
Own work capitalised	5.5	5.3	$+4.1 \%$	16.3	17.5	$-6.7 \%$
Own work capitalised (\% of revenue)	$3.8 \%$	$4.0 \%$	$-0.2 p p$	$3.9 \%$	$4.6 \%$	$-0.8 p p$
Ordinary operating effects	$-58.9$	$-60.0$	$+1.8 \%$	$-178.8$	$-169.5$	$-5.5 \%$
of which personnel expenses	$-26.8$	$-25.9$	$-3.2 \%$	$-79.0$	$-72.4$	$-9.1 \%$
of which marketing expenses	$-10.4$	$-12.6$	$+17.5 \%$	$-33.7$	$-34.7$	$+3.0 \%$
of which IT expenses	$-4.9$	$-5.1$	$+3.6 \%$	$-14.4$	$-15.5$	$+7.2 \%$
of which purchasing costs	$-9.3$	$-9.5$	$+1.9 \%$	$-27.2$	$-26.3$	$-3.7 \%$
of which other operating expenses	$-7.5$	$-6.9$	$-9.2 \%$	$-24.5$	$-20.6$	$-18.7 \%$
Ordinary operating EBITDA	90.7	78.1	$+16.1 \%$	257.1	224.5	$+14.5 \%$
Ordinary operating EBITDA margin (\%)	62.9\%	58.8\%	$+4.1 p p$	61.3\%	59.6\%	$+1.7 p p$
Non-operating effects	$-5.4$	$-5.1$	$-6.2 \%$	$-33.0$	$-23.3$	$-41.4 \%$
of which share-based payments	$-2.1$	$-1.5$	$-35.6 \%$	$-20.4$	$-11.5$	$-78.5 \%$
of which M\&A transactions	$-1.8$	$-1.2$	$-51.6 \%$	$-6.0$	$-2.9$	$<(100 \%)$
of which reorganisation	$-1.5$	$-2.0$	$+24.3 \%$	$-6.5$	$-8.0$	$+18.3 \%$
of which other non-operating effects	0.0	$-0.4$	$+97.1 \%$	0.0	$-1.0$	$+95.7 \%$
EBITDA	85.3	73.0	$+16.8 \%$	224.2	201.2	$+11.4 \%$
Depreciation, amortisation and impairment losses	$-11.5$	$-9.2$	$+24.2 \%$	$-35.0$	$-25.4$	$-37.7 \%$
EBIT	73.8	63.7	$+15.8 \%$	189.2	175.8	$+7.6 \%$
Financial result	$-1.7$	3.1	$<(100 \%)$	$-11.2$	$-3.1$	$<(100 \%)$
Income taxes	$-22.0$	$-20.7$	$+6.5 \%$	$-54.0$	$-46.0$	$-17.3 \%$
Earnings after tax	50.1	46.2	$+8.4 \%$	123.9	126.6	$-2.1 \%$

Ordinary operating EBITDA and development of costs

Ordinary operating EBITDA is EBITDA adjusted for non-operating effects. The increase in non-operating effects normalised in the third quarter, with a rise of only $6.2 \%$. However, the increase of $41.4 \%$ in the ninemonth period remained high due to higher expenses for share-based payments and M\&A activities. These were partially offset by lower expenses for reorganisation measures and other non-operating effects.

Operating effects in the third quarter were 1.8\% below the previous year's figure. Compared to the same nine-month period, only a moderate increase in expenses of $5.5 \%$ was recorded. The slower increase in expenses relative to revenue is due to increased productivity in conjunction with economies of scale as a result of our corporate strategy focused on interconnectivity. Increases in operating effects compared to the same quarter of the previous year were mainly due to an increase in personnel expenses and elevated other operating expenses.

As a result, ordinary operating EBITDA rose by 16.1\% (9M 2024: +14.5\%) and the corresponding ordinary operating EBITDA margin by 4.1 percentage points ( 9 M 2024: +1.7 percentage points). These significant improvements compared to the same period of the previous year in each case are due in particular to the continued solid revenue performance of high-margin products and increased productivity.

Development of earnings

EBITDA improved by $16.8 \%$ in the third quarter as a result of the underproportional cost trend.
The line item depreciation, amortisation and impairment losses increased relative to the previous year's quarter mainly due to the amortisation of intangible assets as a result of the completion of larger-scale projects.

The financial result was lower in the reporting quarter. However, it should be noted that the comparative value of the third quarter of 2023 was affected by non-recurring special effects and was therefore positive. Despite increased depreciation and amortisation and a lower financial result, earnings before tax developed well thanks to underproportional cost trends. While earnings after tax grew at a slower rate due to higher income taxes, but showed a positive trend, climbing 8.4\%. Earnings per share came to EUR 0.69 in the third quarter ( $+9.9 \%$ ). In the first nine months, income taxes rose to a normal level, and together with higher depreciation and amortisation, resulted in a decrease in earnings after tax. Earnings per share came to EUR 1.69 in the nine-month period (-1.6\%).

Net assets and financial position of the Group

Capital structure

STATEMENT OF FINANCIAL POSITION - ASSETS (CONDENSED)

EUR million	30 Sep. 2024	31 Dec. 2023	Change
Current assets	104.0	111.1	$-6.4 \%$
of which cash and cash equivalents	39.7	48.5	$-18.0 \%$
of which other financial assets	4.7	3.9	$+21.4 \%$
Non-current assets	1,900.3	1,908.4	$-0.4 \%$
of which other financial assets	12.2	12.2	$-0.1 \%$
Total assets	2,004.3	2,019.4	$-0.7 \%$

STATEMENT OF FINANCIAL POSITION - EQUITY AND LIABILITIES (CONDENSED)

EUR million	30 Sep. 2024	31 Dec. 2023	Change
Current liabilities	235.8	210.3	$+12.1 \%$
of which other financial liabilities	138.7	130.1	$+6.6 \%$
of which lease liabilities	11.2	10.7	$+4.7 \%$
Non-current liabilities	375.3	361.6	$+3.8 \%$
of which other financial liabilities	30.9	24.3	$+26.8 \%$
of which lease liabilities	43.5	48.5	$-10.3 \%$
Equity	1,393.2	1,447.5	$-3.8 \%$
Total equity and liabilities	2,004.3	2,019.4	$-0.7 \%$

Current other financial liabilities increased by EUR 8.6 million in the first nine months of 2024. This is mainly due to the recognition of the liability from the new share buy-back programme amounting to EUR 50.0 million (31 December 2023: EUR 10.5 million). This was offset by the following: 1) overall, lower utilisation of the financing instruments under the credit line (facility agreement, up to EUR 400.0 million) in the amount of EUR 50.0 million (31 December 2023: EUR 90.0 million), 2) a further amount drawn under a facility agreement totalling EUR 36.0 million (31 December 2023: EUR 6.0 million), 3) no money market transactions with banks (31 December 2023: EUR 20.0 million) and 4) the repayment of the promissory note loan in the amount of EUR 2.0 million.

Adjusted for cash and cash equivalents, net debt ${ }^{1}$ amounted to EUR 184.6 million as of 30 September 2024 (31 December 2023: EUR 165.2 million). This resulted in a leverage ratio ${ }^{2}$ of 0.55 as of 30 September 2024 (31 December 2023: 0.54).

The decrease in equity in the first nine months of 2024 resulted from the dividend payout and the share buy-back transactions, whereby the maximum remaining obligations as of the reporting date were taken into account.

[^0]
[^0]: 1 Total current and non-current financial liabilities (including lease liabilities) less cash and cash equivalents.
2 Ratio of net debt in relation to ordinary operating EBITDA for the last twelve months.

Business performance of the segments

Due to the implementation of the growth strategy with a focus on interconnectivity as presented at the Capital Markets Day in February 2024, the steering system and performance indicators were modified with effect as of 1 July 2024. As of the third quarter of 2024, Scout24 consequently reports solely on the two core segments, Professional and Private. The former Media \& Other segment was transferred into the Professional segment. For further details of the changes to the reporting structure, see the 'Fundamentals of the Group' section of the »Half-year financial report 2024.

Professional segment

The Professional segment is Scout24's largest operating segment, accounting for 72\% of revenue in the first nine months of 2024.

EUR million	Q3 2024	Q3 2023	Change	9M 2024	9M 2023	Change
Professional revenue	103.4	97.0	$+6.5 \%$	303.7	273.5	$+11.1 \%$
of which subscription revenue	74.5	68.3	$+9.0 \%$	219.7	200.7	$+9.5 \%$
No. of customers ${ }^{1}$ (average for the period)	24,728	24,133	$+2.5 \%$	24,443	24,011	$+1.8 \%$
Professional ARPU ${ }^{2}$ (EUR/month)	1,004	943	$+6.4 \%$	999	929	$+7.5 \%$
of which transaction enablement revenue	23.3	22.7	$+2.9 \%$	67.3	54.8	$+22.8 \%$
of which other revenue	5.6	6.1	$-7.9 \%$	16.7	17.9	$-6.8 \%$
Professional ordinary operating EBITDA	65.7	59.0	$+11.3 \%$	189.8	171.0	$+11.0 \%$
Professional ordinary operating EBITDA margin (\%)	$63.6 \%$	$60.8 \%$	$+2.7 p p$	$62.5 \%$	$62.5 \%$	$-0.1 p p$

1 ImmoScout24 customers from Germany and Austria (deduplicated) who have a fee-based contract as of the end of the month entitling them to market more than one property (total number as of month-end divided by the number of months in the period).
${ }^{2}$ Revenue for the period divided by the average number of customers and further divided by the number of months in the period.
${ }^{3}$ The figures for 9M 2024 include Sprengnetter revenues in the first 6 months of the year that were not included in the same period of the previous year.

In the third quarter of 2024, the Professional segment recorded revenue growth of 6.5\%. Subscription revenue with professional customers continued to grow. The core business with agent memberships benefited from the current market trend, with the number of agent customers rising again in Germany and Austria. In addition, ongoing upgrades to higher-value memberships contributed to revenue growth.

ARPU in the Professional segment grew somewhat slower than revenue from subscriptions. Growth recorded with residential real estate agents remained dynamic, but was slowed slightly by the persistently difficult situation among commercial real estate agents.

The transaction enablement revenue line reached a turning point, growing by $2.9 \%$ in the reporting quarter of 2024, supported by the gradual recovery of the real estate market. Revenue from expert appraisals and valuations for agents and banks as well as the development of the CRM and ESG business also had a positive impact here.

Other revenue, which is driven by the individual listing business, decreased as planned due to the migration of customers to long-term agent memberships.

Ordinary operating EBITDA in the Professional segment improved significantly in relation to revenue in the third quarter of 2024. As a result, the ordinary operating EBITDA margin developed positively compared to the same quarter of the previous year.

Private segment

In the first nine months of 2024, the Private segment contributed 28\% of the Scout24 Group's revenue.

EUR million	Q3 2024	Q3 2023	Change	9M 2024	9M 2023	Change
Private revenue	40.7	35.7	$+13.8 \%$	115.9	103.1	$+12.4 \%$
of which subscription revenue	23.6	18.5	$+27.6 \%$	65.8	52.7	$+24.8 \%$
No. of customers ${ }^{1}$ (average for the period)	460,067	369,017	$+24.7 \%$	436,304	351,238	$+24.2 \%$
Private ARPU ${ }^{2}$ (EUR/month)	17.1	16.7	$+2.3 \%$	16.8	16.7	$+0.4 \%$
of which pay-per-ad revenue	13.0	13.1	$-0.6 \%$	38.6	37.8	$+2.3 \%$
of which other revenue	4.1	4.2	$-1.9 \%$	11.5	12.6	$-9.3 \%$
Private ordinary operating EBITDA	24.9	19.0	$+31.1 \%$	67.4	53.5	$+25.9 \%$
Private ordinary operating EBITDA margin (\%)	$61.3 \%$	$53.2 \%$	$+8.1 p p$	$58.1 \%$	$51.9 \%$	$+6.2 p p$

${ }^{1}$ Plus product subscribers and paying Vermietet.de customers (total number as of month-end divided by the number of months in the period).
2 Revenue for the period divided by the average number of customers and further divided by the number of months in the period.
At $13.8 \%$ in the third quarter of 2024, the Private segment once again accelerated its revenue growth compared with the already strong previous quarters. Subscription revenue also recorded very dynamic growth of $27.6 \%$ in the reporting quarter. The number of private customers increased by $24.7 \%$ compared to previous year's quarter. The listing volume in the pay-per-ad business remained at a high level in the third quarter of 2024, showing a stable development compared with the previous year. Other revenue generated from the sale of credit checks was also at a comparable level in the third quarter of 2024. The Private segment's ordinary operating EBITDA increased at a faster rate than segment revenue, resulting in an 8.1 percentage-point improvement in the ordinary operating EBITDA margin.

Outlook for the 2024 financial year

The current developments in the German real estate market continue to have a positive impact on Scout24's product demand and thus revenue development. The relevance of the ImmoScout24 platform and the marketing capabilities of the product offering have gained importance in the current market environment. Based on the strong business performance in the first nine months of 2024, the Management Board has decided to narrow the current guidance to the upper end, both for revenue growth of 9-11\% and ordinary operating EBITDA margin of about $61 \%$. The main focus is still on increasing the operating performance in absolute terms (measured by ordinary operating EBITDA) and improving profitability (measured by the corresponding margin).

AI Terminal

Scout24 AG

385_10-q_2024-11-04_adfb254c-b0ca-4e2a-9276-deec6e8f5d73.pdf

Contents