DUNA HOUSE GROUP

Investor update

29 April 2024

CONSUMER FINANCE & REAL ESTATE SOLUTIONS Listed on Budapest Stock Exchange Premium category

Investment story

COMPELLING EQUITY CHARACTERISTICS

ATTRACTIVE MARKET

DHG AS A WELL POSITIONED

CONTINOUS GROWTH AT

COMPANY

ATTRACTIVE VALUATION LEVELS

  • Stable real-estate and loan commission rates
  • Market knowledge and expertise of over 20 years with a committed
  • Devotion to increase shareholder value and liquidity

management team

• Access to markets: population of 120

• Cash producing business, the core:

million, over 1 million real estate

•

Leading regional role, truly diversified

services rendered

transactions

operations

•

Significant cash inflow from RE

• Markets recovering from fall after

•

Counter-cyclical business model

developments

inflation and interest rate hikes

•

International operation with proven

•

Continuous growth and committed

• Market share of brokers building up in

M&A capabilities

dividend payout

Italy

•

BB-/Stable credit rating

3

Investment story

WE ARE THE LEADING RESIDENTIAL REAL ESTATE + LOAN BROKER IN CEE

WE SERVE PEOPLE. REAL ESTATE IS OUR PASSION

4

2.0bn€

14k

110

300+

4k

86m

Presence in 4 countries: Hungary, Poland, Czech Republic and Italy

Brokered loan volume per year

Successful real estate transaction per year

Financial institution partners

Real estate offices in 4 countries

No of salespersons

Listed on Budapest Stock Exchange with EUR 86m market cap

4

3.6X EBITDA GROWTH SINCE IPO

Sales revenue & EBITDA of DHG (m HUF)

Total revenues - HUFm

32 819

30 265

30 000

4 726

3 267

HUF

25 000

20 000

14 462

MyCity

840

million

15 000

28 093

7 891

9 068

27

26 998

10 000

Total

7 985

Services

4 791

4 685

1 952

152

13 622

5 000

7

6

6 033

7 739

9 041

4 784

4 678

0

2016

2017

2018

2019

2020

2021

2022

2023

EBITDA level - HUFm

5 000

4 449

4 000

986

3 160

HUF

3 000

2 018

2 214

819

MyCity

million

2 000

1 558

Services

1 000

878

951

820

1 189

50

2 460

3 463

2 341

Total

880 -2

1 023 -72

1 394

1 139

1 661

-103

-442

0

-1 000

2016

2017

2018

2019

2020

2021

2022

2023

Note: Italian subsidiaries are consolidated since 1 April 2022, their Q1 2022 revenues and EBITDA are excluded from the financials presented in the graphs.

Investment story

6.8X

Group

revenue

5.9x

Service revenue

3.6X

group

EBITDA

2.7X

Service

EBITDA

5

Investment story

ADJUSTED EBITDA AND NET PROFIT

Clean core EBITDA of the Group reached HUF 2.7 billion in 2023, 24% below the result in year 2022. Adjustments

amounted to HUF 491 million, driven by EBITDA of MyCity development projects and costs related to Hgroup acquisition

Reported EBITDA

Clean core EBITDA

Reported Net Profit

Clean core Net Profit

(m HUF)

(m HUF)

(m HUF)

(m HUF)

4 450

3 492

2 425

-29%

-24%

2 939

-8%

2 712

-22%

3 160

2 669

1 880

2022

2023

2022

2023

2022

2023

2022

2023

Adjustments - million HUF

EBITDA

Net Profit

2022

2023

Delta

2022

2023

Delta

Reported

4 450

3 160

-29%

2 939

2 712

-8%

(-) MyCity results

987

819

-17%

623

593

-5%

Core results

3 463

2 341

-32%

2 317

2 118

-9%

(-) Costs related to before acquisition date

0

0

-

-8

0

-100%

(-) Profit from sale of tangible assets

71

101

42%

71

101

42%

(-) Result of portfolio appraisal

26

0

-100%

26

0

-100%

(-) Result of foreign currency differences

0

0

-

483

-264

-155%

(-) Result on Hgroup minority buyout

0

0

-

0

83

-

(-) Hgroup EarnOut liability revaluation

0

0

-

0

1 214

-

(-) Amortisation of Hgroup intangibles

0

0

-

-507

-427

-16%

(-) Profit before tax of Relabora and Realizza

0

0

-

0

-226

-

(-) Hgroup impairment

0

-182

-

0

-182

-

(-) Tax corrections of previous year

0

-37

-

0

-37

-

(-) Goodwill impairment

0

0

-

-58

0

-100%

(-) Acquisition costs

-126

0

-

-126

0

-100%

(-) EBITDA of Relabora and Realizza

0

-209

-

0

0

-

Total adjustments to core results

29

328

1043%

119

-261

-320%

Tax effect of adjustments (9%)

-

-

-

-11

24

-320%

Clean core results

3 492

2 669

-24%

2 425

1 880

-22%

Investment story

SUCCESSFUL GEOGRAPHICAL DIVERSIFICATION

Diversified geographic presence: 87% of revenues and 65% of EBITDA generated outside Hungary

Contribution & growth of our markets

Hungary

  • 13% of DHG service revenue
  • 35% of DHG EBITDA

Poland

  • 26% of DHG service revenue
  • 16% of DHG EBITDA

Italy

  • 60% of service revenue
  • 49% of DHG EBITDA

Sales revenue & EBITDA of Services (m HUF)

Total services revenue by country - million HUF

30 000

28 093

27 000

3 546

24 000

Hungary

million

21 000

7 365

18 000

227

Poland

HUF

15 000

Czech Republic

12 000

7 739

Italy

9 000

16 955

6 000

308

3 770

Total

3 000

3 661

0

0

2019

2023

Total services EBITDA by country - million HUF

2 900

2 400

2 341

million

825

Hungary

1 900

Poland

1 400

Czech Republic

1 139

HUF

383

900

Italy

962

1 150

400

Total

7

170

- 17

- 100

0

2019

2023

7

Investment story

SHARE PRICE AND RETURNS TO INVESTORS

DHG has generated 103,4% and 126,0% return since its IPO for institutional and retail investors

DHG share price & trading volume since 11 November 2016 IPO

1 200

450 000

1 000

400 000

350 000

800

300 000

600

250 000

200 000

400

150 000

200

100 000

50 000

0

0

2016.11.11

2017.02.11

2017.05.11

2017.08.11

2017.11.11

2018.02.11

2018.05.11

2018.08.11

2018.11.11

2019.02.11

2019.05.11

2019.08.11

2019.11.11

2020.02.11

2020.05.11

2020.08.11

2020.11.11

2021.02.11

2021.05.11

2021.08.11

2021.11.11

2022.02.11

2022.05.11

2022.08.11

2022.11.11

2023.02.11

2023.05.11

2023.08.11

2023.11.11

2024.02.11

Daily Volume (right)

Share Price (left)

DHG market capitalization (bn HUF)

+150%

86 m EUR

MCAP

33,8

13,5

13,6

14,6

16,8

19,1

11,3

2018 avg.

2019 avg.

2020 avg.

2021 avg.

2022 avg.

2023 avg.

2024.04.22

Current share price: HUF 982 (22 April 2024)

Price range since IPO: HUF 256 - 1000

Market maker: MBH

Analyst's target price (as of 04 December 2023)

Target price:

Under revision

Sponsored research

No target price

Return generated since IPO (November 2016)

Institutions

Retail investors (10%

discount)

IPO price

396,0

356,4

Price increase (@982 HUF/share)

148,0%

175,5%

2016 dividend

3,3%

3,6%

2017 dividend

4,5%

5,0%

2018 dividend

6,3%

7,0%

2019-2020 dividend

9,9%

11,0%

2021 dividend

8,2%

9,1%

2022 dividend

27,3%

30,3%

Total return from dividend

59,5%

66,1%

Total return

207,4%

241,6%

2023 dividend proposal

31,5%

35,0%

Investment story

LONG-TERM EQUITY STRATEGY

Our long-term objective is to increase free-float market cap

Ownership structure

Market Cap (mEUR)

7%

12%

+ 75 - 130%

1%

170

1%

50%

78%

100

86

Founders

Treasury shares Management

Institutions

Retail investors

Current market cap Short-term target

Mid-term target

We intend to increase our market cap in the mid-term to EUR 150-200 million

  • Our long-term goal is to reach 50% free float

9

M&A expertise

PROVEN ACQUISITION & IMPLEMENTATION CAPABILITIES

22.7X growth in the revenue generated outside of Hungary since the IPO

Success stories in Poland…

Acquisition of the nr1.

Polish real estate broker

Added value from DHG: effectively turning a struggling company into a leading player through:

  • successful adaption of DHG's know-how and IT system
  • complete transformation of the franchise

model and

• revitalization of the agent network via training and development initiatives

… and in Italy

Acquisition of the 2nd largest loan broker network in Italy

Added value from DHG: supporting to evolve to be a pioneer in a changing market segment

  • Succesful expansion of partnership with banks backed by DHG's international and stock market presence
  • Sound financial backing to support the formation of strategic agreement with Professionecasa

Service revenue (billion HUF)

27,0

28,1

87.4%

13,6

revenue

from

4,7 6,0

7,7

9,0

4,8

outside

of HU

2016 2017 2018 2019 2020 2021 2022 2023

Service EBITDA (million HUF)

Add-on acquisition of two loan brokerage companies

  • To strengthen DHG's presence in the
    Polish loan intermediation segment and
  • enhance cross-sellingopportunities.

Strategic cooperation with one of the largest real estate agencies in Italy

  • Instead of building up real estate brokerage from scratch
  • To increase the mediated loan volume and profitability in Italy

3 463

64.7%

2 460

2 341

EBITDA

1 394

1 661

from

803 1 022

1 139

outside

of HU

2016 2017 2018 2019 2020 2021 2022 2023

Hungary

Outside of Hungary

With acquisitions in Poland in Italy and subsequent organic growth, Duna House Group has become a true international player.

On top of financial returns, DHG has been able to accumulate significant organizational and technological knowledge about organic &

inorganic growth and market exploration through M&A.

10

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Duna House Holding plc published this content on 29 April 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 29 April 2024 08:56:10 UTC.