HomeToGo SE (HTG.DE) Q2 FY2025 Earnings Call Transcript & Summary

Ladies and gentlemen, welcome to the HomeToGo Q2 2025 Earnings Call. I'm Valentina, the Chorus Call operator. [Operator Instructions] The conference is being recorded. [Operator Instructions] The conference must not be recorded for publication or broadcast. At this time, it's my pleasure to hand over to Carsten Fricke, Head of Investor Relations. Please go ahead.

Thank you, Valentina, and good morning, everybody, and welcome to HomeToGo's Q2 2025 Earnings Call. My name is Carsten Fricke, Investor Relations Manager at HomeToGo. I am pleased to be joined today by our Co-Founder and CEO, Dr. Patrick Andrae; and our new CFO, Sebastian Bielski. Together, they will walk you through our financial highlights for the second quarter and first half of 2025. As always, this call is being recorded, and a replay will be available later today on our Investor Relations website. With that, I would like to hand it over to you, Patrick. The floor is yours.

Thank you, Carsten. Good morning, everybody, and thank you for joining us today and for your continued support. I am pleased to welcome you as we present the results of our second quarter of 2025, a quarter in which HomeToGo delivered a strong performance and reached several important strategic and financial milestones. We achieved a new second quarter record in IFRS revenues, more than tripled our adjusted EBITDA year-over-year and significantly improved free cash flow in the first half year -- half of the year, all while maintaining our disciplined cost control and clear strategic focus. These results confirm that we are on the right track, accelerating growth in our HomeToGo_PRO segment, expanding adoption of our HomeToGo Payments product, and integrating AI even more deeply into our platform to increase both efficiency and innovation. With an all-time high booking revenues backlog and continued momentum across the group, we remain highly confident in achieving our full year 2025 targets. At the heart of this success are our 2 business segments: the AI-powered B2C HomeToGo Marketplace; and our fast-growing B2B services segment, HomeToGo_PRO. But let's now take a closer look at how both segments performed in quarter 2 '25. Starting with our marketplace. B2C side of our business, which offers the world's largest collection of vacation rentals and harnesses AI to offer an intuitive and seamless booking experience directly catered to the needs of our travelers. With over 20 million offers, we serve a global user base across more than 30 countries through localized apps and websites. In quarter 2, our ongoing strategy of prioritizing profitability over growth for the marketplace continued to show results. The Marketplace segment delivered a EUR 4.5 million year-over-year improvement in adjusted EBITDA, reaching adjusted EBITDA of EUR 3.5 million in quarter 2, with a margin of 8.9% for the quarter. This was driven by higher marketing efficiency and an enhanced Onsite Take Rate, which improved by more than 1 percentage point year-over-year to 13.8%. So let's now turn to HomeToGo_PRO, our B2B segment offering software and tech-enabled service solutions to professionals and senior professional vacation rental suppliers and hosts. For this segment, our strategy currently prioritizes growth over additional profitability. In quarter 2, HomeToGo_PRO delivered towards this goal as IFRS revenue grew by 35% year-over-year to EUR 20.4 million, driven by increased subscription and also strong volume-based revenues. While profitability of the B2B segment has decreased for half year 1, adjusted EBITDA actually grew by plus 23% year-over-year to EUR 3.9 million in quarter 2, highlighting the current momentum of the positive scale effects. Based on this traction, HomeToGo_PRO is well positioned to become our primary driver for revenue and EBITDA in the future. And before I continue, it's also worth noting that, as we report in euro, our reported IFRS revenue growth was negatively impacted by currency movements, in particular, the weaker U.S. dollar, which has negatively affected roughly 20% of our group revenues. This context is important when comparing our top line growth to industry benchmarks as it reflects the underlying strength of our operations without the FX headwinds. Beyond these strong financial results, Q2 '25 also marked continued strategic progress across both our business segments. On the marketplace side, our HomeToGo Payments solutions saw continued accelerated momentum, and it's now processing nearly 1/3 of total GBV on our Onsite platform, and we expect this to grow further. This increase helped drive a strong improvement of our free cash flow, which surged by over 50% year-over-year in the first half of '25. Another key milestone was the successful integration of Vrbo into our Onsite marketplace. With the majority of the inventory now available to book directly on HomeToGo brands, we significantly strengthened our onsite inventory. And we also acquired domain, ferienhaus.de. Ferienhaus, which translates to holiday home in Germany, is one of the most searched vacation rental keywords in Germany, our home market. Now we turn to HomeToGo_PRO, the B2B side of our business, which is the future strategic center of gravity of HomeToGo, especially following the acquisition of Interhome. Starting with Smoobu, our vacation rental software for private and self-managing homes, continued to build on its strong momentum from quarter 1 and increased its subscription annual recurring revenue, ARR, by more than 30% year-over-year in the total half -- first half of 2025. We also saw exceptional performance from HomeToGo_PRO Doppelganger, our suit of fast, scalable software and redistribution solutions, which delivered IFRS revenue growth of over 200% year-over-year in quarter 2. And finally, we remain confident regarding the upcoming closing of our Interhome acquisition. While we are not subject to the ongoing regulatory review, the anticipated decision by COMCO will allow us to finalize the transaction and begin unlocking synergies to deliver value from day 1 post closing. We will now take a closer look at the HomeToGo Marketplace segment and performance in quarter 2. We kick things off with our first marketplace [indiscernible], the continued success in scaling of HomeToGo Payments. In just the first half of 2025 alone, our payment solution has already exceeded the entire processing volume of full year 2024 by over 20%. Adoption continues to rise at a rapid pace. Now an impressive 30% of all GBV processed on our Onsite marketplace uses HomeToGo Payments, marking a significant 18 percentage point increase year-over-year. This has contributed to a 175% year-over-year rise in process GBV and therefore, positively contributed significantly to the free cash flow development in the first half of '25. And our expectation and for sure also ambition for the rest of '25 is to increase the adoption of HomeToGo Payments even further, at least at the same fast pace. This rapid adoption highlights the clear value for both travelers and partners. For travelers, it means more trust and basically effortless booking, 14 different payment methods at their fingerprints. Our partners, on the other side, delivered clear commercial benefits such as overall higher conversion, reduced payment processing fees through larger economies of scale, a 30% reduction in chargeback rates, reduced fraud risk through an additional protective layer provided by our payment partners and lower cancellation rates. This clearly demonstrates that HomeToGo Payment is not only a key product of innovation, but also a driver of efficiency and growth across our platform. And that's because HomeToGo Payments is more than just a way to process transactions. It's a modular infrastructure, like a multi-lane highway, that creates numerous benefits for our business as adoption grows. An immediate benefit is higher conversion, driven by offering travelers more trust, choice and convenience in how they pay. The smoother payment process reduces drop-offs and increases the number of completed bookings. Another advantage is improved pricing flexibility through our higher take rate. This allows us to play with price points and discounts via mobile or nonfundable rates, offer further targeted discounts and consequently achieve higher marketing efficiency. At the same time, the growing volume of processed payments improves the commercial terms we have with our payment partners, thus increasing the effectiveness of HomeToGo Payments for our partners and creating additional margin potential for HomeToGo. And finally, HomeToGo Payments helps to boost free cash flow to optimize working capital. When we look ahead, payments also opens up exciting additional short and midterm opportunities, especially across the whole HomeToGo group. Through rollout of HomeToGo Payments for our subsidiaries and the introduction of embedded finance features together with our payment partners, we can further leverage our payment infrastructure, commercial terms and especially the know-how that we built over the years across the group and our subsidiaries. In short, higher adoption of HomeToGo Payments leads to greater opportunity. It's a powerful development both for revenue growth and for strengthening the foundations of our business. Coming to our second key marketplace highlight from quarter 2. This was the successful integration of Vrbo as a major Onsite partner on the HomeToGo platform. Vrbo, along with its German brand, FeWo-direkt and its French brand, Abritel, is one of the world's largest vacation rental marketplaces and has been a top 3 partner for HomeToGo for years with more than 2 million bookable properties worldwide. For over a decade, Vrbo has worked with us as an advertising partner, so via an off-site [ pickout ]-based model. Now with this transition, the vast majority of the inventory is live directly on our Onsite marketplace in key European markets, including the DACH region, France, Italy, Spain and Portugal. And for sure, there are more markets that will be rolled out too. The remaining [ distance ] continue to be available via our existing advertising model. This is a major milestone in our partnership as it shifts a large share of Vrbo's revenues with HomeToGo from advertising-based revenues to high-margin booking onsite revenues. It also significantly strength our onsite inventory, improves the traveler experience with instant booking capabilities without leaving the site and deepens our strategic relationship with both Vrbo and Vrbo's parent company, Expedia. The third key marketplace highlight in quarter 2 was our acquisition of ferienhaus.de, one of the most valuable domain names in the German vacation rental market. With the acquisition, we secured a highly strategic asset. The domain matches the second most searched vacation rental keyword in Germany. This directly enhances our organic visibility and boosts our long-term marketing efficiency in German-speaking regions. The platform is already operating under HomeToGo umbrella, so with our white label technology, and initial user engagement metrics are very encouraging. This move also reflects our commitment to continuously solidify our leadership position in Europe through targeted investments, which expand our reach and user base. And now, let's shift our focus from the consumer side of the business to our HomeToGo_PRO B2B segment, the professional side of our platform, which continues to build significant momentum. Since its introduction in December '23, HomeToGo_PRO has evolved into one of our most dynamic growth drivers, combining scalable SaaS revenues with high-value service solutions for vacation rental professionals. Let's now take a closer look at 2 key developments from quarter 2 that underline the strength and long-term potential of this segment. Quarter 2 was another standout quarter for HomeToGo_PRO, for solidifying its role as a key pillar of growth and profitability for our group. IFRS revenues increased by an impressive 35% year-over-year, and adjusted EBITDA was up 23%, reflecting a healthy top and bottom line development. But now let's break this down by revenue streams. So, subscription-based revenues grew by 18% year-over-year, led by continued momentum of Smoobu, our vacation rental software for private and self-managing homes, that we will go a little bit more into detail in a second. And in quarter 2, Smoobu's IFRS revenues grew by 28% year-over-year, driven by both new customer acquisition and better monetization of existing customers also through the upselling of innovative premium features. On the volume-based side, we recorded an even stronger growth of 45% year-over-year, fueled primarily by the exceptional performance of HomeToGo_PRO Doppelganger. Developed entirely in-house, HomeToGo_PRO Doppelganger is a suite of fast, scalable software and distribution solutions, utilizes the technology backbone of the marketplace. These white label and API-based products allow our partners to embed our inventory directly into their platforms, fully branded and with no operational overhead. Over 30 well-known brands are already using HomeToGo_PRO Doppelganger, including TUI, HolidayCheck and many others. The product results speak for themselves. HomeToGo_PRO Doppelganger delivered a staggering 200% year-over-year increase in IFRS revenues in quarter 2 alone. The rapid adoption of both Smoobu and HomeToGo_PRO Doppelganger highlights the strength of our differentiated B2B offering, combining recurring SaaS revenue with scalable infrastructure solutions and high-value service solutions for vacation rental professionals to drive long-term value. Let's take a closer look into Smoobu. Given its momentum and strategic importance, Smoobu is performing and evolving as our all-in SaaS solution for independent vacation rental hosts and continues to deliver outstanding performance, both in product development and business results. In quarter 2, as already said, the ARR, the annual recurring revenue, grew by more than 30% year-over-year, continuing the positive trend from quarter 1 and demonstrating strong demand for Smoobu's product solutions overall. Smoobu is designed for self-service focused hosts who wants to stay in control of their business while reducing the friction of multi-platform listing management. Through smart features like dynamic pricing, synchronized availability and central communication, Smoobu eliminates the complexity of managing bookings across multiple OTAs, helping hosts not only to save time, but avoid double bookings and increase revenue. While we do this, we are continuously enhancing the product with features like the rebuild new website builder or the new dynamic pricing engine. So, Smoobu is also earning strong recognition in the market. It holds a 4.5 star rating on Capterra and is for sure a preferred or premier partner of our peers in the marketplace business like Airbnb or Booking.com. So, in the end, we are very confident that Smoobu will continue to expand its footprint and drive high-margin recurring revenue growth for the group. Now, we turn to a key strategic milestone for HomeToGo, specifically HomeToGo_PRO, and that is the planned acquisition of Interhome. As you know, this transaction is set to significantly expand our position in the European vacation rental market and represents a major leap forward in the growth of HomeToGo_PRO segment. Including Interhome, HomeToGo_PRO would become the world's largest direct vacation rental supplier to third-party platforms. Looking a little bit more into where we stand currently in the process. Following the successful completion of our EUR 85 million capital raise in February, we remain well on track with the closing of our transformative acquisition of Interhome. As a reminder, Interhome is Europe's second largest vacation rental management company with over 60 years of operational excellence and a strong presence across key European markets. In 2024, the company generated approximately EUR 400 million in gross booking value, EUR 125 million in IFRS revenues and over EUR 20 million in adjusted EBITDA, making it a highly strategic fit for our platform. We have already received all necessary regulatory approvals from our side. The only remaining step at this point is the conclusion of the Phase 2 review by the Swiss Competition Commission, which is tied to the parallel acquisition of Hotelplan by DERTOUR. Once that process is completed, at the latest by the end of September, we are ready to consolidate Interhome into HomeToGo. In the meantime, we are fully focused on preparing for day 1 readiness, ensuring that Interhome is operationally independent and able to continue business as usually from the very first day after closing. In parallel, we are building out a carve-out plan to transition Interhome away from the systems and services of Hotelplan and Migros. The strategic integration will expand HomeToGo's exclusive inventory access, operational capabilities and full service portfolio, unlocking superior value for both supply partners and distribution channels worldwide. Overall, this acquisition materially enhanced the scale and profitability of our HomeToGo_PRO segment. And moreover, it will position HomeToGo even more strongly on its path to becoming Europe's leading vacation rental powerhouse. With that, I hand now over to Sebastian, our new CFO, who I want to welcome again on board. We are very, very happy that he decided to join HomeToGo with all his experience from companies like Goldman Sachs or Delivery Hero, and most recently as CFO of ZEAL Networks. He will now walk you through the financial highlights of the quarter in more detail. Thank you.

Thank you very much, Patrick. Good morning, everybody, and thank you again for joining. It's a super exciting day for me personally as it's the first time I present quarterly results as CFO of HomeToGo. I joined about 6 weeks ago, and I'm increasingly certain that I joined at one of the most exciting times in the history of HomeToGo, especially with the upcoming and very transformational acquisition of Interhome, hopefully closing in a couple of weeks. I will now walk you through the financials for the first half and the second quarter. Let's start with a recap of our key financial highlights for the second quarter of 2025. Booking revenue had a very solid growth of about 3% year-on-year and reached about EUR 65 million. It was mainly driven by the very strong momentum that we saw in HomeToGo_PRO, our B2B segment. The booking revenues backlog hit an all-time high for a second quarter at about EUR 84 million. This very high backlog provides very good visibility for revenue realization in the second half and provides us also with a high level of confidence about reaching our previously stated guidance. IFRS revenues grew by 11% year-on-year in the second quarter to about EUR 59 million. It's a new record for the second quarter. There was a small spillover effect of about EUR 1 million to EUR 1.5 million from Easter being in the second quarter of this year. However, this was also partially offset by negative U.S. dollar to euro currency movements for the -- about 20% of our revenue, which is generated in U.S. dollars. Adjusted EBITDA for the second quarter increased by EUR 7.4 million and was up more than 3x. Margin improved to 12.6%, which is a 3.5 percentage point increase versus last year. This reflects very strong cost discipline and improved marketing efficiency, but also the scaling of our revenue base. Cash and free cash flow also developed quite positively. Our cash position stood at EUR 152 million at the end of the second quarter, and free cash flow improved by about 52% year-on-year in the first half or about EUR 5 million. This was driven by strong working capital management, which was mainly the result of the increased adoption of the HomeToGo Payments solution, which Patrick has already outlined. Let's now take a closer look at key financials for the first half and the second quarter of 2025. Let's start with booking revenues. Booking revenues increased relatively steadily by about 3% to 4% in Q2 and H1. This growth was driven mainly by a 13% year-on-year increase in the volume-based businesses of HomeToGo_PRO. The picture looks quite different for our IFRS revenue. Here growth has materially accelerated from the first quarter to the second quarter of this year. While we saw negative year-on-year growth of about 5% in the first quarter, we were very happy to see 11% growth in the second quarter. This meant that growth for the first half altogether was about 4%, in line with growth of booking revenues. Total IFRS revenue stood at about EUR 59 million in the second quarter and only a small part of this, as I said, about EUR 1 million to EUR 1.5 million was due to Easter falling into the second quarter of this year. And as I've already outlined also, and Patrick as well, the -- this positive timing effect was also partially countered by negative currency movements for the -- about 20% of our revenue base, which we generate in U.S. dollars. Adjusted EBITDA stayed relatively stable when you compare the first half of 2024 and 2025 at about negative EUR 20 million. However, you really can see the progress of our business when you focus on the second quarter with a very, very good improvement of EBITDA, which more than tripled to about EUR 7.4 million. As I already outlined before, cash flow improved by about 50% when you compare the first half of 2024 and 2025, as I said, driven in large part by improved working capital, which was the result of the increased adoption of our payment product. In the second quarter, the cash flow was slightly negatively impacted by the timing of the payment or the cash outflow for marketing activities, which actually took place in the first quarter, but was paid in the second quarter. We now take a closer look at the composition of our booking revenues, IFRS revenues and adjusted EBITDA by segment for the first half of this year. Booking revenues was overall up about 4% year-on-year to EUR 154 million. We had a slight growth of about 1% to 2% for our marketing -- marketplace business. But the real story, which Patrick has highlighted before, was our B2B business, which showed very, very strong growth. So our subscriptions grew by about 7% to over EUR 12 million, and our volume-based business within the HomeToGo_PRO segment grew even -- 13% to almost EUR 33 million. IFRS revenues were up about 4.3% year-on-year to EUR 93.2 million. We saw stable IFRS revenues for our marketplace business, but once again, very, very strong growth in our B2B business. Subscriptions grew 9% year-on-year, driven predominantly by Smoobu and the volume-based side of our revenues grew 15%, especially due to the super strong performance of the HomeToGo_PRO Doppelganger. Adjusted EBITDA was down slightly by about EUR 1.5 million year-on-year. The Marketplace segment improved its EBITDA by EUR 3.5 million year-on-year to about minus EUR 20 million. This was driven by reduced marketing spend and higher take rate. As Patrick has already outlined, and you will also hear me repeat this a couple of times throughout my part of the presentation, this was really a strategic choice that the management team took to focus profitability overgrowth for our marketing -- marketplace side of the business. The story is quite different for the HomeToGo_PRO business. As Patrick has also said, in this business, we see great momentum. And so, the management team took, again, a very conscious decision to prioritize growth over further increasing profitability here. So, due to these decisions, the EBITDA declined actually slightly by EUR 0.6 million, which, again reflected strong investment into product development. However, we can also see the positive impact of increased scale on revenue, which is mainly visible for the second quarter on the next slide. We will now zoom in or double-click on the booking revenues, IFRS revenues and EBITDA for the second quarter. Booking revenues were up about 3% year-on-year to almost EUR 66 million. The marketplace business was slightly down by 3% to about EUR 47 million. This again reflects the intentional decrease of our marketing activities in the second quarter as we prioritize efficiency and profitability over top line growth for this segment. However, the negative growth of the Marketplace business was more than compensated by the very, very strong results from our B2B segment. Here, subscription revenue was up 14% to EUR 6.5 million and the volume-based business was even up 19% to EUR 14.2 million. In terms of IFRS revenues, those were up by 11% year-on-year for the second quarter to almost EUR 59 million. We saw stable IFRS revenues of about EUR 40 million for our Marketplace segment, which had a slightly different revenue mix as we opportunistically look for margin optimization opportunities, and we shifted a little bit between the off-site and onsite part of our business within the marketplace. We had absolutely outstanding growth from our B2B segment. It was up 34% to EUR 20.3 million of IFRS revenue. This segment now accounts for about 35% of total IFRS revenue, which was up from 29% in the second quarter of last year. The subscription revenue grew by 18% to EUR 6.6 million, as Patrick has outlined, mainly benefiting from very strong performance at Smoobu, and the volume-based business was up 45% to EUR 13.7 million, driven by the very strong performance of Doppelganger. When looking at EBITDA, overall, we had a very strong improvement to EUR 7.4 million. This was up from EUR 2.2 million in the second quarter of last year, which means that we more than tripled our EBITDA comparing quarter-to-quarter. The Marketplace segment saw a strong improvement from a loss of about EUR 1 million last year to a profit of EUR 3.5 million this year. This again highlights our strategy of focusing on profitability overgrowth for the marketplace side. For the B2B side, we had adjusted EBITDA of EUR 3.9 million, and that was also up 23% when comparing quarters, even though we actually took the decision to strategically focus more on growth. This again highlights the benefits of additional revenue in the software and software-enabled services side of our business. Looking a little bit at the booking revenues backlog. It actually reached a new record high for the end of the Q2 quarter and stood at EUR 84 million. This marks a 25% increase when you compare it to the EUR 67.4 million, which we saw 2 years ago, and an increase of 6% over last year. The strong backlog provides excellent visibility into IFRS revenues for the second half of this year, and it also reinforces our confidence in the peak season performance, which we are seeing at the moment, actually in July and August, and also our high confidence in being able to deliver upon our guidance. We now look a little bit at the evolution of our Onsite Take Rate on Slide 21. Our marketplace continues to provide very high quality and attractive demand for our partners. And this high quality of the customers that we bring to our partners is reflected in the willingness of our partners to pay higher take rates over time. And our Onsite Take Rate has actually increased from about 12.5% in the second quarter of last year to 13.8% in the second quarter of this year, which is a 1.3 percentage point increase year-over-year. Now looking a little bit at the development of our average basket size. We saw overall a 2% increase year-on-year across the group. This was mainly driven by the rest of Europe, which increased by 6% and the DACH region, so Germany, Austria and Switzerland, excluding our short-term business, which increased by 8%. In terms of the length of stay, this decreased slightly year-on-year across all regions, but this was actually then overcompensated by the increase in the average daily rate. On this slide, I would actually like to focus on the right-hand side of the slide because I think it really showcases the benefits of increasing our revenue scale while staying disciplined in costs and in terms of capital allocation. You can see that the EBITDA margin has increased very strongly from 4.1% in the second quarter of last year to 12.6% in the second quarter of this year. When you look a little bit at the line items, you can also see that the main drivers of this positive development can be found in marketing and sales and in product development. Marketing and sales, the ratio of cost-to-revenue improved to 57.9%. This is a 7-percentage point decrease year-on-year, mainly due to lower performance marketing spending in our marketplace side of the business, which again reflects the strategic priority that we took to focus on profitability over growth, in that side of the business. The product development cost as a percentage of revenue improved to 15.4%, even though we continue to invest very strong into our product capabilities, as Patrick has also outlined, especially in our Pro segment. The way that we achieved this improvement was by very deliberately steering where we use our personnel resources and also an ongoing focus on applying AI wherever we can throughout the business. We had a strong liquidity position at the end of the second quarter. We had EUR 152 million in cash and cash equivalents, which was up from the EUR 143 million that we had at the end of the first quarter of this year. We saw positive operating cash flow in the second quarter, which was driven by the positive EBITDA that we generated in the second quarter and also the improvements of our working capital, which was mainly driven by the increased share of our payment product. For those of you who like to dive deep into the financial side of our business, a quick explanatory note. When you look into the cash flow statement in our H1 report, the net cash from investment activities of 37.4% is mainly driven by a EUR 40 million proceeds that we had from the transformation of our previous money market funds into an overnight account. So this is really a change within cash and cash equivalents, but in our financial statements, it's -- you can find it in the investing cash flow. In terms of our previously given guidance, we are confirming our financial guidance for 2025. This guidance excludes any potential impacts from the Interhome acquisition and as such, is a stand-alone guidance for the current HomeToGo business. On that stand-alone basis, we expect booking revenues of more than EUR 270 million, which represents year-on-year growth of more than 4%. IFRS revenues are forecast to exceed EUR 230 million, up more than 8% year-on-year. On the profitability side, we continue to expect adjusted EBITDA of more than EUR 90 million, which would reflect 48% growth year-over-year, and we also expect positive free cash flow for the full year 2025. With that, I thank you very, very much for your attention, and we will now open the floor for your questions.

[Operator instructions] The first question comes from Ramon Huber from Lima Capital.

Congratulations for the figures. I would have 2 questions. One is, did you see any change of the behavior of your clients? You show they stay a bit shorter, but did they also take, let's say, cheaper houses? Or did you see any changes at all?

So we didn't see any change in behavior in terms of, so to say, trading down to cheaper houses, which you can also see in the fact that the daily average rate is actually up. The length of stay decreased slightly. But overall, in terms of our, so to say, basket size, that has actually increased. So, we don't see a trend of trading down.

Interhome, they're also in the market, and I believe that you see them in the market. Did you see them changing their behavior because like they thought definitely they would be already with you? Or is it business as normal as well?

Could you maybe repeat the question? There was a little bit of interference.

The Interhome appearance in the market. I think you told us that you see them sometimes in the market. And so, did you see their behavior different than last year because, I think people thought they already would work for you?

Yes. So, like we don't take any influence on the Interhome business yet, obviously, until closing. Basically, Interhome operates separately and operates as we must assume, like they did also in the years before. So we didn't witness any change at least on our platform.

Okay. And you're expecting the deal coming until the end of September?

Latest end of September, yes.

[Operator Instructions] Ladies and gentlemen, that was the last question. I would now like to turn the conference back over to Carsten Fricke for any closing remarks.

Thank you very much, dear analysts and investors for joining and your attention today. Should there be any additional questions afterwards, please feel free to reach out. We wish you a great day and hope to see you soon. Many thanks.

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