Scout24 Sees 14% Revenue Gain and Improved Profits in 2023 as Consumer Subscription Service Continues Growth

The German real estate portal operator Scout24 has released its results for the fourth quarter of the 2023 financial year. Highlights of the Munich-based company's report include:

• Revenue was up 13.8% for the whole of 2023 (€509M) and 15% for the fourth quarter (€133M).
• EBITDA was up 21% for the year (€278M) and up 22% for Q4 (€78M).
• Revenues from the 'Private' consumer subscriptions segment grew 19% in 2023 to €144M.
• Net income increased 45% to €179M for 2023 while EPS climbed 53% to €2.43.

Scout24, which operates the leading German and Austrian real estate portals ImmobilienScout24, saw especially strong growth in its core 'Professional' segment which houses its agent subscription and pay-per-listings business.

"The continued strong demand for our core products in the current market environment reflects the increased relevance of Scout24. It remains our goal to drive efficient digitization and simplification of the real estate transaction for all market participants over the next years. Looking into 2024, we are really excited about our product pipeline." said CEO Tobias Hartmann.

In the fourth quarter, the segment netted revenues of €85.5M, up 16% year-on-year. While subscription revenues increased as more customers were successfully moved on from simple pay-per-listing plans, the quarter's numbers also benefitted from the consolidation of Sprengnetter, a digital real estate services provider in which Scout24 acquired a majority stake back in June.

The company's Private segment, which houses its consumer subscription business, saw continued growth with subscription numbers reaching 377,686. The segment's revenues grew 20% year-on-year to stand at €144M for 2023 while its profit margin remained stable at 52%. Elsewhere Scout24's Media and Other segment saw revenue increase 8% year-on-year in 2023.

Scout24 is expected to release guidance for 2024 at a Capital Markets Day presentation later today (Wednesday) but in comments released to the press, company CFO, Dirk Schmelzer expressed a degree of optimism.

“2023 was a strong year for Scout24. We crossed the EUR 500 million revenue mark and EUR 300 million ooEBITDA mark, equivalent to a 60% margin. Improved operating leverage and share buybacks drove 32% adjusted EPS growth. We are proud of the outstanding results our teams delivered and the value we created for our customers and shareholders. With our diversified revenue model and improved operating model we will balance healthy revenue growth while driving scalability of the business. The health of the company and the momentum we are seeing in the core business makes us confident going into 2024 and beyond.”