Scout24 SE

XETRA:G24

Earnings Call Transcript 2019-Q1

[Operator]

Dear ladies and gentlemen, welcome to the Scout24 analyst call regarding the presentation of the Q1 results 2019. At our customer's request, this conference will be recorded. [Operator Instructions] .May I now hand you over to Britta Schmidt, Vice President of Investor Relations, who will lead you through this conference. Please go ahead, madam.

[Britta Schmidt]

Thank you. Good morning, everybody, and welcome to our Q1 2019 results presentation. I have Tobias Hartmann, our CEO; and Christian Gisy, our CFO, with me on the call. And let me now hand over to Christian Gisy who will lead you through this call.

[Christian Gisy]

Thank you very much, Britta, and good morning, everybody. Sorry for my [ terrible voice, but the voice of the CEO ] is not at its best today. But I will try to do my utmost so that I'm well understood.Let's deep dive immediately into our Q1 results and pay attention to our key financial highlights. Certain remarks upfront. Obviously, the figures of 2019 are now including FINANZCHECK and obviously they're excluding Classmarkets and AutoScout Spain, which Classmarkets has been sold by the end of 2019 and AutoScout Spain has been brought to a joint venture that basically is not consolidated, fully consolidated, in our P&L anymore from 1st of Jan 2019.Looking into the numbers. We have a like-for-like comparison to give you a better sense of the trajectory of the business. So the like-for-like numbers are the ones that are repeated with the LFL and the other ones are what we call the reported numbers. So basically those numbers are not fully comparable to the year before.It is fair to say that group revenue has grown by 20.6% year-on-year to EUR 149 million, which is like-for-like a revenue uplift of about 14.8%, so now 15% in the first quarter of 2019, which is obviously, again, well in line with our guidance that was expected to be around 15% on a like-for-like basis low to mid teens. Group ordinary operating EBITDA was up 15.2% to EUR 71 million. The cash contribution -- the group cash contribution was up 21.7% like-for-like, which, if you remember, last year, we had an extraordinary capital expenditure for our office in Munich, so this is maybe something that is also driving against the like-for-like piece.If you turn the page, let us just recap shortly around the disclosure to reflect on our operations. As you know, we have basically switched the advertising revenue with our OEM partner agencies and the corresponding ordinary operating EBITDA into the Scout24 Consumer Services. So we have taken it out from AutoScout and put it into the Consumer Services segment because there is a much closer relationship with a third-party [ display ] than basically with the OEMs and with the AutoScout itself. The revenues from the project business are with the OEMs, so those businesses that are directly related to the OEMs like BMW and Mercedes and so on on remain in the AutoScout segment and they will continue to be part of our revenue within Germany and obviously also with our European core countries. So therefore, numbers for 2018 going forward are restated for the new disclosure, and when we compare now '19 to '18, this is obviously already reflected.If we turn the page, it is with great pleasure that we see that, for the first time, within ImmoScout, revenue line, Residential Real Estate Partners, has grown double digit in the first quarter of 2019. Obviously, with this, we continue to be very happy with the development at ImmobilienScout and I think we are on a very good trajectory on the back of what we call the sequential growth and the pricing power. And also obviously we have been able to, on the back of this, lower return rates to increase our overall run rates.The overall external revenues like-for-like have grown 8.5% quarter-on-quarter. The growth of those 8.5% was mainly driven by the strong development in Residential Real Estate and obviously Business Real Estate Partners. It is fair to say that the increase of the growth in those -- both revenue lines were mainly driven by price enforcement and obviously product up-sell, and we'll come to this in a second around the VIA product, combined obviously with the continued slow customer growth that we've seen again in quarter 1 of 2019 such as we did see in 2018.Business Real Estate has also started the year strong with a solid double-digit growth rate like Residential. Our third revenue line called Other Revenues contains Private Lister and others, others being mainly being Austria and FLOWFACT, will have remained mainly stable on a like-for-like comparison. This is mainly due to a very good development in the Private Lister side, which was surprising to us. But this tells us that they needed the product that we'll continue to enhance and also the price measures we've been undertaking across the last couple of months and also Q1 do pay off.Over all, it's fair to say that we are on track and very confident about the next quarters to achieve our revenue guidance for the segment of a like-for-like revenue growth of between 9% to 11% or if you compare to the reported growth of 8% to 10%.In terms of ordinary operating EBITDA, this was up 8.2% yielding a margin of 66.3% for the first quarter of 2019. Margin development in Q1 reflects partially investments in optimization of our product range, which is mainly [ to deal ] and also obviously timing effects of marketing spend. Both have mainly to do with our acquisition [ lately that we call realtor lead engine ] where we have basically been investing more strongly in Q1 than we did probably last year.Nevertheless, we also here feel that we are on a good trajectory to reach our margin guidance of up to 70% ordinary operating EBITDA for the full year of 2019.If we turn the page, you can see that the VIA revenue share in the first quarter of 2019 unit was at 31.8% of total IS24 revenues. It was again an increase of 0.4% compared to Q4, which is, again, a good sign which is obviously reflected in the 8.5% overall growth that I've been discussing before. It is also fair to say that premium listing products continue to be the main share of the VIA revenue. The overall absolute value-added product set revenue growth is driving more than 60% of absolute revenue growth with our contractual partners. So again, we are here well on track with the VIA product that is mainly a premium listing product, but obviously also with the so-called acquisition product.If we move on to AutoScout, I think and I say this for the company, we're certainly especially proud with the development of AutoScout in the first quarter of 2019. Please keep in mind 2018 figures are restated for new disclosure. So as I said before, advertising revenue with partner agencies is now no longer included in the AutoScout24 segment, neither on revenue nor on EBITDA side but is included in Consumer Services. AutoScout24 continues on its double-digit growth path with a like-for-like growth rate of 21.2% year-on-year to EUR 45 million revenue in the first quarter of 2019. Growth obviously, as you know, all have been mainly driven by ARPU, the ARPU growth of both dealers in Germany and obviously also in our European core countries where it is fair to say that dealers in Germany have shown a slightly faster growth than the European core countries, which is on the back of price enforcement and obviously also MIA uptake.We have seen continued trend in customer numbers especially in Germany. If you remember, our full year presentation, we mentioned we have decided to focus our activities on customers providing value to us and our audience. So we have again seen some slight decrease in customer numbers in the first quarter, but again with the comparable significantly lower ARPU and listings numbers so that ARPU growth was driven by continued better monetization of our customer base. We believe that basically this effect will wash out somewhere end of first half of 2019. Obviously, we are monitoring what we're doing especially when it comes to listing.Given the strong results of our price adjustments, we are ahead of our revenue guidance for Scout24, which is not a surprise and we had reported a like-for-like growth rate of between 12% and 14% for the full year [ 2018. ] This obviously -- this growth rate obviously takes into consideration that we are comparing ourselves in the second half of 2019 to a very strong second half of 2018. And obviously, we are also phasing out our Scout24 revenues, which will also lead to a slight revenue decrease over time. Ordinary operating EBITDA was up from 42.5% or better to say 48.9% on like-for-like basis, yielding a margin of 54.8%. Obviously, the margin improvement as in the past is on the back of the whole strong operational leverage we have at AutoScout and obviously it's also slightly ahead of our guidance for the full year of 54%.If we have solid look on the next page on to MIA, you can see that basically the price enforcement has been very strong, which led to a certain dilution of the, let's say, the MIA share in the first quarter 2019 over 2018. This doesn't come to us as a surprise because we adjusted price on the basic listings [ impacts us ] very strongly in the first quarter of '19, which obviously then led to a certain amount of dilution. Overall, MIA revenues are, so to say, are super developing in line with our expectation. So this is not a product topic, but is rather a phasing of pricing topic.If we move on now to Consumer Services. Consumer Services obviously had become a much bigger segment by the acquisition of FINANZCHECK. Obviously, Consumer Services 2018 to restate has been -- or to rename has also been restated for the adjusted disclosure, which now includes, as we said, revenue with so-called OEM agencies as well as the EBITDA that we are deriving out of those revenues. Like-for-like figures are showing the pro forma revenue contribution of FINANZCHECK so as if FINANZCHECK would have been consolidated into the group as of 1st of January 2018. To remind, we have acquired FINANZCHECK last year and the reconsideration timing started as of 1st September 2018. So like-for-like revenue grew by [ 19.1% ] from Q1 '18 towards Q1 '19. Obviously, the [ indiscernible ] reported growth is about 60%.The growth was mainly driven by our enhanced consumer monetization product. Here especially to mention again the success of our pure membership product that is very appealing to our consumers in this very tight German buy and rental markets. Third-party display also has shown a good development year-on-year, probably even more than expected which accounts that basically the focus, attention that we are having especially in auto and real estate starts to pay out.Finance revenues obviously have also increased year-on-year. Again, it's something where FINANZCHECK is recorded so this is something that has been very strong.Revenue development in the first quarter is well in line with our full year 2019 guidance of reported revenue growth of about 30 -- high 30 to low 40 percentages, which would lead to a like-for-like growth of 15 to 17 percentage points in 2019.Operating ordinary EBITDA margin stood at 13.3%. Here, probably I need to say that unlike -- [ or unless other businesses we're having ] , the finance business, especially the finance business, the FINANZCHECK is something, which is a bit more cyclical in the sense of the investments you need to do to drive the business are certainly front loaded so that you spend most of your money in Q1 and partially in Q2. This is exactly what we have done in 2019, so that basically the margin that you are seeing now reflects fully the investments that we have been capturing in the first quarter of 2019.Obviously, as you know, we still -- we have to expect anyhow a negative contribution of FINANZCHECK for full year 2019 and we will have a positive contribution from FINANZCHECK from 2020 onwards as discussed in the past.If we move over to the ordinary operating costs, there is not much to tell other than basically we have an increase in personnel costs including external labor, which is mainly attributable to the increase of headcount due to the FINANZCHECK acquisition. The increase in marketing costs, as I just mentioned, is reflecting the future growth of the group, which is money spent into the realtor lead engine as well as on that FINANZCHECK side to make sure that we're capturing the value for 2019. And the increase on the IT side is mainly due to the migration of our [ auto ] operation into further cloud-based solutions.If we then move onto the below-EBITDA items, the main items here to be named are certainly the share-based compensation of around EUR 9 million, which are mainly derived from the new [ asset ] program that was introduced last year. And obviously, the nonoperating items also contained M&A costs of EUR 2.8 million, you can guess what for. Obviously, the finance costs in Q1 2019 have been a bit lower than in Q1 2018, which is a more bookkeeping factor of less amortization of capitalized financing on the back of our early refinancing of our loans in the mid of 2018. That's the reason why we show adjusted earnings of EUR 41.1 million, which leads to an earnings per share adjusted of EUR 0.38 for the first quarter 2019, which is EUR 0.05 increase compared to the first quarter of 2018.Capital structure as of March 2019, we are showing EUR 785 million of loan left. The overall leverage ratio is at 2.38 as of end of March. So what we're doing at the moment is we're obviously deleveraging, which is in line with basically the policy of the company. The cash position and cash equivalents at the end of March 2019 has increased in line with the strong business of about EUR 36 million, taking the cash and cash equivalents of EUR 94 million. And what you can also see on the page is basically how the current margins are developing and how basically we're expecting margin to go going forward if we continue to the level the way we have been doing this in the past.What are our plans -- our clear plans for cash? Obviously, we have still plans for M&A activities. And Tobias and myself, we're very explicit on the March call that if we get the opportunity to be on the transaction relating to the classifieds group, we certainly will not only raise our hand, which is certainly we try to go as much up as we can. Obviously, there are also the other assets out in Europe that could be favorable to us so there is a clear expectation that we will reinvest our money into growth and that M&A activities remain the core of our business. Obviously, we are returning cash to shareholders. As you have seen in the annual report, we have stated that at least we are expecting to return about 30% -- 40%, sorry, of our adjusted net income for 2018 in the AGM of 2019. And obviously, we'll continue to pay our debt and delever to the ratios of 1.0 to 1.5 over time.If we come to the last page, which is obviously our outlook for the full year '19, I think it's very fair to say that we're clearly reiterating the guidance that we have been giving in 2019. Please remember that this guidance that was presented by Tobias at the end of March 2019 does not include any effect of Bestellerprinzip. And obviously, those of you that followed, the whole discussion around Bestellerprinzip is still very blurry. I think it's fair to say that the commission cap is probably nothing that we should be worrying about at the moment anymore, so it's something that is still under discussion and nobody knows exactly what the timing is about. That's the reason why we have also now not reflected any element of Bestellerprinzip in the guidance and also in what I'm giving you right now.IS24 is expected to grow on a like-for-like basis between 9% and 11%. The reported growth will continue, will obviously be slightly lower with 8% to 10%. The growth rate in revenue in Residential Real Estate is expected to accelerate from currently nearly 8% by 4 to 6 percentage points over the course of 2019. So we expect to record a low to mid-teens growth rate for the full year of 2019. Revenues with Business Real Estate Partners expected to record a mid to high teens growth rate. And we have other revenues having in mind that we have deconsolidated Classmarkets. We believe that like-for-like, the revenues will remain fairly stable. Again, we expect margins to come in as high as 70% for ImmobilienScout.AutoScout like-for-like growth rate is expected 12% to 14%. Obviously, we have been discussing the growth rate is stronger by now. It's roughly fair to say that we are also expecting basically the growth rate and the guidance to come in at the higher end of the suggested guidance range. Obviously, reasons why we believe it's going to come down a bit is we are discontinuing parts of our commercial vehicle platform called TruckScout 24. And further, we're also seeing a bit lower growth in product -- in project revenues with OEMs. So those where we have direct relationship to OEMs, which has to deal with long project lead times and obviously since a couple of those OEMs especially Germany are a bit under fire, this leads to longer lead times compared to the recent past. But we are expecting obviously the dealer revenues in Germany and also in other European core countries to grow strongly in the mid-teens.The operating leverage at AutoScout should put us in a position to at least deliver a margin of 54% compared to the 53.1% in 2018.Consumer Services again will show a strong service growth and a strong like-for-like growth of between 15% to 17%. Obviously, the reported growth rate because of the acquisition we have done will be in the high 30s to low 40s. Growth will be mainly driven by revenue with Finance Partners, but we're also expecting the premium subscription in the Consumer monetization to continue to grow at a very steady mid-teens growth rate and obviously we are a bit more positive on the third-party display where we're expecting to deliver at least 5% against a potential market record that we have seen. But we believe that with the focused approach that we have, this should be doable. Obviously, on the Consumer Services, we expect a margin of up to 30%, which is a like-for-like expansion of about 3 to 4 percentage points given the still negative contribution of FINANZCHECK in 2019.So all in all, Tobias, Britta and myself are very happy about the first quarter of 2019. We are still able to basically continue to concentrate and to focus on the business side of all the other things that are happening around us and our business review on the analyst as well as investor side, a very good sign that we have a very resilient and a strong [indiscernible] that is able to deliver on the growth that we're expecting for the business. Thank you very much. And now we are open for Q&A, obviously.

[Operator]

[Operator Instructions] The first question is from William Packer, Exane BNP Paribas.

[William Henry Packer, Executive Director of Media Equity Research]

Three for me, please. Firstly, could you just update us on your perspective on where Bestellerprinzip currently sits? I suppose from my own conversations at the [ conference ], it sounds like the CDU positioning is shifting towards a more state-agent friendly perspective. So how do you see that? And then I suppose related to that, if there is a scenario where fees are split, formally split, does that have any impact on your business? Or is it only the scenario where buyer fees are abolished where there's a negative impact? Secondly, on FINANZCHECK, could you update us on the underlying revenue growth of FINANZCHECK in Q1? And could you update us on how you are balancing the opportunity and risk around the fact that there's clearly great growth potential in FINANZCHECK, but you do risk alienating your dealers if you start to infringe on their own monetization of Finance? And then, finally, IS24, your excellent progress there, could you just update us on the performance of the private business? And to what extent eBay's momentum is proving a challenge for you?

[Christian Gisy]

So thanks very much. Let me start with the end, so let me start with IS24. The product business in AutoScout across the countries but especially in Germany has remained fairly unchanged. We don't see more or less competition from [ mobile ] at this point in time. Obviously, [ mobile ] and eBay Kleinanzeigen are exchanging on the price listing site, which means it would have such a big advantage, but it has not definitely changed compared to the recent past and we don't see any big threat on that side. FINANZCHECK has been growing in the first quarter by roughly 30%. And I think there is a misconception and probably I did something wrong in the communication around FINANZCHECK. We are not competing with auto dealers. What we are doing is offering them a substitute or a complement to basically the other opportunity -- or the other financial opportunity. So what we're trying to do here is to support and give the auto dealer a further opportunity to make sure that they are able to close the transaction once the consumer has basically decided [ to buy ] the car. So very carefully, we're not in competition with auto dealers and they don't perceive this also as being a competition.Thirdly, and certainly Tobias will support me on this. Bestellerprinzip, at the moment, as I said during the presentation, well, it's blurry in the sense of we have the SPD that basically is still seeing that the seller should [ clear ] the full commission. [indiscernible] has voiced that probably they are more in favor of a 50/50 split, but there's a lot of things going on within the [ grand ] coalition. So until -- basically, we do see any positive elements on basically there would be a split between buyer and seller, we basically stay very quiet because it's all about speculation. And it's probably fair to say that whatever happens will have at least a short-term impact because regulatory change always will have an impact. But it's certainly also fair to say that a split 50/50 between buyer and seller is probably more favorable to the company than if basically the seller has just [ to clear ] the commission.

[William Henry Packer, Executive Director of Media Equity Research]

That's super helpful. Just to come back on my third question, I probably was a bit unclear. Within ImmobilienScout, you have the line item Private Listers and others, which was somewhat weak in FY '18. I wanted to just check the performance of that business in Q1, is it still declining? And to what extent is there competitive pressure from eBay who I know have been sort of [ putting a ] focus here. Just any commentary there would be helpful.

[Christian Gisy]

I'm sorry, I thought you meant AS. Okay, on IS, that makes sense. So IS24, obviously, as you have seen, we are well on track in terms of revenue and we are also well on track in terms of listing. This is something we have always been very strongly monitoring it. And we disclosed this last year, we have done a couple of tests to basically fight against especially in those areas where we believe eBay is a competitor to us. And this has proven to help us on the listing side again.

[William Henry Packer, Executive Director of Media Equity Research]

I'm so sorry, is it still declining?

[Christian Gisy]

No, no, no. It's very favorable.

[Operator]

The next question is from the Vivek Ghiya, Bank of America Merrill Lynch.

[Vivek Ghiya, Research Analyst]

So AS24 margins obviously came above your guidance yet you are reiterating the guidance for the whole year. Is there -- should we think about any investments that you are thinking about for rest of the year? That's first one. The second one is can you give us an idea how IS24 listings have been trending post Q4? Any directional indication will be helpful. And then maybe if you can give me an idea about how the breakdown of the Residential Partner revenue growth, how much of that is coming from fees and monetization versus additional Residential Partners. That will be really helpful.

[Christian Gisy]

Yes. So the third one, it's a very easy one as basically we don't disclose a lot of things around first quarter. So we will be disclosing [ back after ] the first half how basically things have developed around Business Real Estate Partners. I mean I said to you in the call that basically the Residential Real Estate Partners grew double digit in the first quarter. And if you look to the VIA penetration, it has also increased to give you a sense of the monetization that [indiscernible]. On AS24, there is obviously no reason and I think that was a question around the margin. There is obviously no need for us to basically lower the guidance. We're reiterating the 54%. And for the time being, we feel very -- pretty safe with the product that we're having at AS24 and things that basically we are thinking about for the [ near ] future have already been embedded into this guidance. And with that, we feel pretty comfortable. Can you for me repeat your second question around IS24 because I didn't get this fully?

[Vivek Ghiya, Research Analyst]

Yes, just wanted to get an idea about the list -- how IS24 listings are trending versus, let's say, in Q4. Are they up or down?

[Christian Gisy]

Can you please give...

[Britta Schmidt]

There's no -- so they are fairly stable compared to the past disclosure.

[Operator]

The next question is from Alexander [ Hubner, YHS ].

[Unknown Analyst]

Mr. Gisy, I've got 2 questions. Your expansion plans, you mentioned M&A, parts of eBay Kleinanzeigen and the like. Is this dependent on your owner structure? We know that this tender offer is -- there's still no results. Or better, could you finance these acquisitions from your own or would you need a powerful [ owner ] for that? And the second concrete question is have you any indication how the tender result should look like? It's now 4 days after the closure of it and we're still not hearing anything whether it was successful.

[Christian Gisy]

Thank you very much for the question. Let me start with the second one. Obviously, there is the elephant in the room and we have no information like you have about, let's say, the tender offer, so I can't -- so we as a company cannot comment. We are depending on basically what they're giving us the information and we have not received anything for the time being. On your question around expansion, the expansion is something that we are able to deliver on our own. As we stated in our [indiscernible] obviously having a strategic partner outside to basically support us is helpful, but is it crucially needed? Certainly not. I mean the company has been able to deliver M&A, and as you have seen also with the refinancing last year, has been able to raise that money without any problem. And given the strong track record we are having on deleveraging and also operationally, we also feel in a position to be able to basically pursue our expansion plans on our own.

[Operator]

The next question is from Chris Johnen, HSBC.

[Christopher Johnen, Analyst]

First on a comment that you gave on AS24, you mentioned about the effects I think from the auto side sort washing out at the end of the first half and you said you are monitoring what you will do in terms of listings. Could you comment on that just to be clear what this means what you're looking at? That's my first question.

[Christian Gisy]

Yes. On the AS24, as you know, we have seen an decrease in dealerships across the last probably 6 to 9 months. And I was stating in the first quarter without basically [ putting to them ] that we have continuously seen a slight decrease and we believe that this decrease overall will be washing out by the end of the first half, meaning that basically by that point in time, the decrease should have stopped and should have then stabilized. And we are obviously depending -- the dealer decrease goes along with 3 elements: the one is the dealer count itself, the second is the amount of revenue, which I pointed to the ARPU which is very low and obviously the listings. And so we don't want to lose listing [ because we have competition ] so basically we are very strongly monitoring who is basically or what sort of dealers we have been losing, which is true not only for the recent past but also for the longer past. That's the reason why if you go back to the full year '18 presentation, you see that basically we have not lost -- we have not diminished our market share against our next best competitor.

[Christopher Johnen, Analyst]

Okay. That's clear. Then second question, again coming to the Private Listings business in Immo, you said you've done a couple of tests to [ fight in ] areas where you think it's useful. I mean is there anything more specific you can say? I think you've introduced free listings again for consumers who are looking to list their own apartment? Obviously, you've given guidance on how the business will do throughout the year, but maybe you could talk about the initiatives and the impact both maybe in terms of listings, and yes, monetization headwind.

[Christian Gisy]

So we want to be very quiet on this because obviously our best competitors in Germany equals eBay Kleinanzeigen and ImmobilienScout24 don't disclose anything around this. So obviously, you have done -- with all due respect, you have done your homework. You have seen what we have done, but we will not go further into detail because this would basically just give more information to probably competitors that maybe in the call listening. So this is not something that we want to do.

[Christopher Johnen, Analyst]

Okay. Well, that's clear. Then a question on Bestellerprinzip. I mean I was personally a bit surprised to see that the draft being discussed, was it last week, still included the commission cap of 2% [ gross. ] I'm not sure if you are surprised by this as well. Apparently, the draft being [ circled ] by the Justice Ministry was slightly different. I mean is there any comment you can make on that maybe also in terms of the next steps because there seems to be various opinion on how we go from here.

[Christian Gisy]

Exactly. So again, I'm more than happy for Tobias to chip in, but as I said on our guidance, we have not reflected Bestellerprinzip because it's super blurry. As you rightly point out, what has been put in last week is basically the [ green spill ], which has nothing to do with basically what SPD and CDU are discussing. So I think given the election in Europe, given the fact that basically SPD is fighting a strong game, I think there's a lot of things going on at the moment, which will, I don't know, that would relate to timing or whether it will basically change the overall -- it's very difficult as I said. My personal opinion is the commission cap as such, if you also look into basically the different hearings that have been given is maybe for, let's say, but because everybody has understood that this is not going to deliver anything whereas I think basically the Bestellerprinzip would put in everything to the seller or splitting it among seller and buyer is probably the more realistic scenario whereby it's very difficult to assess what is going to happen. Obviously, there is a momentum, which is more in favor of basically splitting it because they're saying it's disruptive to the market, blah, blah, blah. But are they going to fight for it or are they going to basically let go and focus something else [indiscernible], nobody knows.

[Tobias Hartmann, CEO & Chairman of Management Board]

Yes. This is Tobias. Let me maybe just build on what Christian just mentioned. So number one, it's still unclear. Number two, we are not in the driver's seat here. We are on the receiving end. Number three, we do think and believe it will be around this topic and it will be a continued topic over the next couple of weeks, i.e., month. And last point is, obviously, as you heard during the call, we are continuing to invest into our product suite to make sure that we are ready for the various outcomes and scenarios.

[Operator]

At the moment, there are no further questions. [Operator Instructions]

[Christian Gisy]

Okay. To safeguard my voice and if there is no further question...

[Operator]

We have received a further question, it is from Marius Fuhrberg, Warburg Research.

[Marius Fuhrberg, Analyst]

I just have one. Could you give some words maybe on the present situation on Scout24 and especially comparing to your -- as compared to [ mobile's ] holding and how the pressure is developing over there and the fight for the agents is going?

[Christian Gisy]

So I think if you -- I mean without going too much into the details, but if you remember my wording around here and basically also the fact that we have been able for the first time to record double-digit growth as Residential Real Estate Partners, this should tell you that either we don't feel pressure or that we have the right tools in our hand to basically fight back the pressure. So all in all, we don't see anything. And obviously on the listing side, we also have -- this is something we will then depict after the half-year results, you would see that the market share also has been very stable against that.

[Operator]

There are no further questions. I would like to hand back to the speakers of Scout24.

[Britta Schmidt]

Thank you very much. Thank you, Christian for doing this with your sexy voice. Thanks, Tobias, for being here. Thanks, everybody, for being on the call. So yes, stay tuned. And if you have any further questions, please do not hesitate to contact the IR team. Have a good day.

[Christian Gisy]

Thank you very much, guys, bye-bye.

[Tobias Hartmann, CEO & Chairman of Management Board]

Thank you. Bye.

[Operator]

Ladies and gentlemen, thank you for your attendance. This call has been concluded. You may now disconnect. Have a good day.