EQS-News

Hypoport SE: exceptionally strong first half of 2022 followed by a weak third quarter in difficult market conditions - Seite 2

In the Private Clients segment, revenue increased by 5 per cent to €106 million in the first three quarters of 2022. As a result of the strong focus of the Dr. Klein franchise network on private mortgage finance, the general reticence among consumers in the third quarter caused revenue to fall by 14 per cent. The segment’s EBIT contracted by 4 per cent to €17 million in the first nine months of the year and by 41 per cent to €3 million in the third quarter.

In the Real Estate Platform segment, revenue swelled by 16 per cent to €49 million in the nine-month period and by 1 per cent to €14 million in the third quarter. This represented a further acceleration of growth compared with the rates of 5 per cent and 9 per cent in the first three quarters of 2020 and 2021 respectively. In the first half of 2022, the main drivers were the exceptionally strong operating business of the property financing platform on the back of the social housing industry’s increased willingness to do business as a result of the rapid rise in interest rates. Another was the large-scale expansion of the Value AG property valuation platform. This momentum faded markedly in the third quarter owing to the heightened level of interest rates, surging construction and energy costs, and the absence of adequate development finance programmes for the construction of rental accommodation and for energy efficiency improvements. The revenue of the property valuation platform also fell due to the decision of the German Federal Financial Supervisory Authority (BaFin) to end its permission for virtual inspections. EBIT increased in the first half of the year but then decreased in the third quarter as the finance market weakened and cost-effective virtual inspections were prohibited. As a result, EBIT declined to a loss of €7 million in the first nine months of 2022 and to a loss of €6 million in the third quarter.

There was further progress with the process initiated in the Insurance Platform segment at the start of 2022 to optimise the strategic focus by creating three distinct business units (private insurance, industrial insurance and occupational pension provision). Moreover, the volume of premiums migrated to the fully integrated SMART INSUR platform continued to go up in the first nine months of the year. New customers were acquired and new platform functions implemented for ePension and SMART INSUR. The segment’s revenue advanced by 25 per cent to €44 million in the first three quarters of 2022. In the same period, EBIT weakened slightly to a loss of €3 million due to high levels of investment in the platforms.