Hypoport SE Financial Results H1 2026 Growth Recovery, Platform Momentum & Outlook

Yeah, welcome to the presentation of Hypoport's first half year report of 2026 here on Seed 11A. So we had a solid first half year: plus 5% in gross profit, plus 20% in EBIT with €19.3 million. We are slightly below our record year 2021 where we had above €20 million EBIT, but we stay on track for a record year. The growth came from all three segments, with slightly different dynamics in the distribution—more about this in a moment. EBIT margin improved to 14% on our track of incrementally increasing our EBIT margin in the direction of 25% until 2030. Important things to know about our first half year: market share growth, especially in the banking areas in the real estate and mortgage segment, is strong. We see a successful migration to profitability of our valuation business here, and we see strong growth in our platform for the housing sector. Challenges: German politics is, let's say, best case distracted and doesn't provide the necessary impulses for growth. We feel this everywhere, that we lack growth dynamic in our whole economy, plus the geopolitical stress, especially from Iran, and the massive change in interest rates is something which creates short-term weaknesses in certain markets which we are in.

The core market we are in—real estate and mortgage, consumer mortgage business here in Germany for the first half of the year—you can say slightly higher interest rates because of Iran. We see a positive net flow of properties to be sold, especially from the renting market because of a frozen renting market and landlords leaving this market and migration to home ownership. Stable prices, and when you take inflation out, even slightly declining prices here. The higher interest rate level is still not fully in the prices, so a trickling down is expected as well for the second half of this year. Higher construction costs and higher numbers of constructions there—the demand side triggers new volume. On the Europace platform, after a strong first quarter, because of the sharp rise of interest rates we saw a weaker second quarter, especially in the transaction market where homes are purchased. We feel this tension out of the geopolitical stress right now, while in an area where you have long-term planning, construction of housing, there we see the ongoing recovery of the market, refinancing, and as well modernization for energy efficiency, still on a low level with potential to come in 2027. For this core segment, we are able to report growth even when the total market is down somewhere around 2% to 5%, and we were able to deliver a single-digit growth path here, a little bit below our expectation. But our focus is to ramp up organic growth right now even when the market is weak, and sooner or later a recovery of the market is certain because of the freezing renting market and the need for families to acquire a home.

Now, the other segments: importantly, the financing platform for housing associations saw strong growth in new units, an ongoing massive market share gain here with an acceleration as a base in the usage of ERP for the other business models with higher margins. Our ERP system and this product is well on track to cross profitability next year and finish next year with a profit. The whole segment, thanks to this growth and based on a weak first half of last year, delivered a strong plus of 35% contribution to the group. Insurance, our smallest segment, is as well on track to deliver a record year to be for the first time significantly profitable. Double-digit growth in the platform areas and because of this as well in revenue and gross profit, and a positive EBIT contribution for the first half of the year. In total, a solid start to the year, and this is all with massive investments in all three segments, in all platforms, especially monetizing on artificial intelligence features which are along the value chain very important for our client base and for the optimization of the mortgage process especially. We see here a great coexistence with the more and more relevant generative LLMs and specialized AI components out there to bring their clients together with the information on our platform to enable a smooth and optimized mortgage experience. This is something where we invest in interfaces to secure the future, ensuring that the German mortgage market is seeing 100% of transactions on Europace, from roughly a third right now.

We stick to our forecast for this year: €280 million in gross profit and €40 to €55 million in EBIT. We see that where we are in control by ourselves—the part of the EBIT growth which comes from reducing losses in early-stage businesses or gaining market share—are well on track, roughly both €4 to €6 million additional EBIT this year. Where uncertainty is still present is the geopolitically stressed market environment, especially when it comes to the interest rate side and the impact there. This creates for the second half of this year a difficulty to narrow down the prognosis for our EBIT. Long term, we are on track to double our EBIT margin until the end of this decade. Everything we see now in the first half year supports this thesis. More details and updates here on Seed 11A for you. Thank you.