DGAP-News: home24 SE
/ Key word(s): Annual Report/Forecast
home24 posts record 2020, sets guidance for 2021 to revenue growth
Berlin, 31 March 2021 - home24 SE ("home24", the "Company") publishes its 2020 annual report today and reports a strong Q1 2021 trading, with continued positive order intake momentum. Order intake grew by c. 73% year-over-year in constant currency, driven by both segments with c. 80% in Europe and c. 48% in Brazil. As a significant part of the orders received in Q1 2021 will be delivered in the following months, this will also have a positive impact on revenues in the following quarter.
In the past year, home24 has gained many new customers who had the chance to convince themselves for the first time of the advantages and convenience of buying home & living products online. We expect that - as has already happened in other areas of retail and services - an already existing trend of demand shifting from offline to online has now been accelerated for furniture, too. In this respect, we expect growth to continue in a long-term perspective. The pandemic will continue to be an unpredictable element of uncertainty in 2021, as customer behavior is difficult to anticipate and supply chains remain in a volatile and fragile state. In view of the uncertain market situation and including all the current information linked to COVID-19, home24 is planning for the 2021 financial year with revenue growth rates in constant currency in the range of +20% to +40%. As home24 is focussing on gaining market share rapidly and expanding its market position as one of the online leaders, we are planning to re-invest a huge part of incremental contribution margin into growth. Still, home24 is aiming for a positive adjusted EBITDA margin of up to 2%.
Publication of the annual report: full-year figures for 2020 confirmed
With a strong start to the year 2021, home24 continued the successful development of 2020. In its annual report, the Company confirms its preliminary financial figures as reported in the trading update on February 9, 2020: In the last year, home24 grew its revenues to EUR 492 million, accelerating its growth to 42% year-over-year driven by a significant order intake growth of 46% year-over-year and a strong increase of active customers to 2.2 million. With an adjusted EBITDA margin of 3%, the Company achieved an adjusted EBITDA break-even for the first time on an annual basis. The profit improvement by 11%-points year-over-year in 2020 is proof of the inherent profitability of the home24 platform that was built over the last years with significant operational leverage potential. As a consequence of the positive trading, the cash flow was positive on an annual basis, even excluding the effect of the capital increase. At the end of 2020, the cash balance of home24 amounted to EUR 103 million. Following the capital increase in Europe and the IPO in Brazil conducted in February 2021, the available cash position for both home24 segments is expected to provide ample financial flexibility to further expand the strong competitive position in the attractive, albeit still highly fragmented, home & living e-commerce market without losing core profitability.
"We look back on a challenging but also very successful 2020, in which we have tackled the challenges of the COVID-19 pandemic effects as a team - such as the temporary closures of the offline retail activities or interrupted supply chains - always with the priority to keep our colleagues, partners and customers safe. The investment projects we have successfully completed in recent years combined with an outstanding team spirit enabled us to meet the unexpectedly strong demand and to keep customer satisfaction on the high level of the previous years. In 2020, we won more active customers and delivered more home & living products than ever before. Our full-year results not only highlight the attractiveness of the home24 value proposition to our customers but are also proof that our business is sustainably scalable.", says Marc Appelhoff, CEO of home24. "We are continuing to see a substantially elevated consumer demand online leading to an increased online penetration and we expect this elevated level to prevail. This confirms us on our path to establish home24 as a leading online destination for home & living and to continue to gain market share over many years to come.".
Most relevant financial figures at a glance
This publication contains forward-looking statements. These statements are based on the current views, expectations, assumptions and information of the Company's management. Forward-looking statements contain no guarantee for the occurrence of future results and developments and are associated with known and unknown risks and uncertainties. Due to various factors, actual future results, developments and events may differ materially from those described in these statements; neither the Company nor any other person accepts any responsibility whatsoever for the accuracy of the opinions or underlying assumptions contained in this publication. The Company assumes no obligation to update the forward-looking statements contained in this publication.
|Greifswalder Straße 212-213|
|Phone:||+49 30 - 609880019|
|Fax:||+49 30 - 2016329499|
|Listed:||Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Munich, Stuttgart, Tradegate Exchange|
|EQS News ID:||1179899|
|End of News||DGAP News Service|