EANS-News: Hypoport exploits challenging market conditions to generate growth
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Corporate news transmitted by euro adhoc. The issuer/originator is solely
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quarterly report
Berlin, (euro adhoc) - 5 November 2012: Hypoport continued to win market share
and increase its revenue in the first nine months of 2012. The online financial
service provider raised its revenue in the first three quarters of this year by
7 per cent compared with the corresponding period of 2011 to EUR62.9 million
(Q1-Q3 2011: EUR58.8 million). Persistently tough market conditions - especially
in the insurance sector - reduced earnings before interest, tax, depreciation
and amortisation (EBITDA) by 11 per cent year on year to EUR6.9 million (Q1-Q3
2011: EUR7.8 million).
Ronald Slabke, Chief Executive Officer of Hypoport AG, explained the current
market environment: "Although the low interest rates and attractive borrowing
terms on offer in the real-estate market have fuelled strong demand, our
property finance business has stagnated at a high level because real estate is
in increasingly short supply. Demand in the insurance market is suffering from
the effects of continually low interest rates and the regulation imposed by
politicians. And because the central bank has been maintaining liquidity at
artificially high levels, the commercial banks have been offering less
attractive basic investment products to consumers."
In the Private Clients business unit - which offers insurance products, loans
and investments - the challenges facing the insurance market in particular
caused revenue and earnings to fall in the corresponding product segment. The
consistently solid performance achieved by the mortgage finance business was
unable to compensate for this. At the same time, the Hypoport Group is
exploiting the opportunities presented by these changes in the market. Slabke
stressed: "We are a growing organisation that continues to benefit from the
trend towards impartial advice. In the third quarter alone our team of advisers
grew by 25 per cent to 744 people, bucking the general market trend."
The Institutional Clients unit continued to benefit from the attractive interest
rates on offer. Housing companies, commercial investors and local authorities
showed a keen interest in medium-sized and big-ticket loans. This business unit
reported sound third-quarter results on the back of normal levels of intra-year
volatility. The Financial Service Providers unit continued to perform well, with
the volume of transactions processed on EUROPACE rising to EUR22 billion and a
constant stream of new partners deciding to work with its platforms. At the same
time, existing partners used its financial marketplace more intensively and in
more diverse ways.
Given the persistently tough market environment, Slabke expects that revenue
growth for 2012 as a whole will be higher than in 2011 but that the net profit
for 2012 will be lower year on year.
Further inquiry note:
Michaela Reimann
Head of Corporate Communications
Telefon: +49 (0) 30 42086 1936
E-Mail: michaela.reimann@hypoport.de
end of announcement euro adhoc
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company: Hypoport AG
Klosterstraße 71
D-10179 Berlin
phone: +49(0)30 42086-0
FAX: +49(0)30 42086-1999
mail: ir@hypoport.de
WWW: http://www.hypoport.de
sector: Financial & Business Services
ISIN: DE0005493365
indexes: CDAX, Prime All Share
stockmarkets: regulated dealing/prime standard: Frankfurt
language: English