Hemnet Group AB (publ)
STO:HEM
Hemnet Group AB (publ)
Hemnet Group AB (publ) stands as Sweden's leading property platform, a go-to digital marketplace for real estate transactions across the nation. Established in the late 1990s, Hemnet emerged as a pioneer in digitizing property listings, transforming how Swedes search for homes. Its platform, a sleek and user-friendly interface, connects buyers, sellers, and real estate agents, facilitating a streamlined process for property transactions. By aggregating listings from various real estate agencies, Hemnet becomes the primary portal for individuals hoping to explore Sweden’s property landscape, offering not just homes for sale but insights into market trends and local area statistics as well.
The company’s revenue model primarily revolves around three streams: listing fees from real estate agencies, visibility upsells for featured listings, and digital advertising targeting millions of users. By leveraging analytics and consumer insights, Hemnet offers premium ad placements, allowing advertisers to access a highly engaged audience. Furthermore, the introduction of tiered listing options, where sellers can pay for enhanced visibility, adds another layer to its financial structure. This multifaceted approach, combined with a strong brand reputation, secures Hemnet's position as a dominant player in Sweden's real estate ecosystem, ensuring a steady flow of income while continually innovating to enhance user experience and expand its market reach.
Hemnet Group AB (publ) stands as Sweden's leading property platform, a go-to digital marketplace for real estate transactions across the nation. Established in the late 1990s, Hemnet emerged as a pioneer in digitizing property listings, transforming how Swedes search for homes. Its platform, a sleek and user-friendly interface, connects buyers, sellers, and real estate agents, facilitating a streamlined process for property transactions. By aggregating listings from various real estate agencies, Hemnet becomes the primary portal for individuals hoping to explore Sweden’s property landscape, offering not just homes for sale but insights into market trends and local area statistics as well.
The company’s revenue model primarily revolves around three streams: listing fees from real estate agencies, visibility upsells for featured listings, and digital advertising targeting millions of users. By leveraging analytics and consumer insights, Hemnet offers premium ad placements, allowing advertisers to access a highly engaged audience. Furthermore, the introduction of tiered listing options, where sellers can pay for enhanced visibility, adds another layer to its financial structure. This multifaceted approach, combined with a strong brand reputation, secures Hemnet's position as a dominant player in Sweden's real estate ecosystem, ensuring a steady flow of income while continually innovating to enhance user experience and expand its market reach.
Q4 Headwinds: Net sales fell 4.4% in Q4 due to a sharp 26% drop in new property listings, reflecting a weak Swedish housing market.
ARPU Strength: Average revenue per listing (ARPU) surged 29% in Q4 and 28% for the full year, offsetting much of the volume decline and driving resilience.
Full-Year Growth: Despite market challenges, 2025 net sales grew 9.5% to SEK 1.5 billion and EBITDA rose 7% to SEK 768 million with a 50.3% margin.
Sell First, Pay Later Launch: New payment model piloted successfully and rolls out in Stockholm next week, aimed at boosting and accelerating listings.
Strategic Partnerships: Over 60 agent brands, representing 25% of the market, signed up for Hemnet’s new partnership program to drive earlier listings.
AI Investments: Hemnet is launching multiple AI-powered features, including conversational search and tailored recommendations, to enhance user experience.
Shareholder Returns: Share buybacks were expanded and a 12% higher dividend of $1.90 per share proposed, supported by SEK 745 million in free cash flow.
Cautious 2026 Outlook: Market expected to improve from Q2 with easing credit rules and better macro trends, but revenue visibility remains lower due to new initiatives.
