HomeToGo SE, the leading vacation rental marketplace, has reported positive results for the second quarter of 2023, including achieving positive Adjusted EBITDA and strong business momentum. The company’s profitability improved significantly, with a first-time positive Adjusted EBITDA of €1.4 million in Q2/23, compared to a loss of €6.4 million in Q2/22. This positive result demonstrates HomeToGo’s growth trajectory and its ability to reach its full-year targets for 2023.
HomeToGo also achieved an all-time high Booking Revenues Backlog of €67.4 million as of the end of Q2/23, indicating high visibility on its growth targets for the remainder of the year. The company’s strong performance is supported by the recovery of travel demand and the resilience of vacation rentals in the face of ongoing macroeconomic uncertainties.
In addition to its financial achievements, HomeToGo has continued to strengthen its key strategic pillars. The company increased its CPA Take Rate to an all-time high of 11% in Q2/23 and saw exceptional growth in its profitable Subscriptions & Services business, with €9.1 million in IFRS Revenues in Q2/23, representing an 85% year-on-year growth. The company’s North American business also experienced solid growth, with a 65% year-on-year increase in IFRS Revenues in Q2/23.
Overall, HomeToGo reported the highest Q2 figures ever with €42.8 million in IFRS Revenues (a 14% year-on-year increase) and €50.2 million in Booking Revenues (an 8% year-on-year increase). This performance was driven by the company’s focus on marketing efficiency and repeat business, resulting in a significant 15% year-on-year improvement in the marketing and sales cost ratio.
For the first half of 2023, HomeToGo continued to see growth in its Booking Revenues, which increased by 29% to €115.5 million. The company’s IFRS Revenues also grew by 14% year-on-year to €64.7 million, supported by the record half-year Subscriptions & Services IFRS Revenues of €14.9 million (an 85% year-on-year increase).
HomeToGo has also made significant progress in its cash position, with a positive operating cash flow of around €8.8 million in Q2/23. The company’s cash position at the end of Q2/23 was €145.3 million, and additional inflows are expected in the remainder of 2023 following high season check-ins.
Based on its strong performance and outlook, HomeToGo has confirmed its full-year guidance for 2023. The company expects IFRS Revenues to grow by 13-19% year-on-year to €165-175 million and aims to achieve Adjusted EBITDA break-even as the guidance midpoint.
HomeToGo’s CEO, Dr. Patrick Andrae, expressed his pride in the company’s achievements in the first half of 2023, highlighting the positive Adjusted EBITDA in a second quarter and the steady growth of Booking Revenues. He emphasized HomeToGo’s resilience and focus on marketing efficiency and building repeat demand, as well as the growth of the Subscriptions & Services business. Dr. Andrae also mentioned HomeToGo’s innovation in the travel industry, including the launch of an AI product called AI Mode.
HomeToGo will present its quarterly results in a conference call today, where the CEO and CFO will discuss the company’s performance and answer questions from research analysts and investors.
HomeToGo was founded in 2014 and operates a marketplace for vacation rentals, connecting travelers with property suppliers worldwide. The company’s mission is to make incredible homes easily accessible to everyone. It offers the largest inventory of vacation rentals in one place and operates in 25 countries.
Note: This is a rephrased version of the original press release from HomeToGo SE.
