Home24 makes profit for the first time

The online furniture business benefits from closed furniture stores and can present a positive EBITDA. The start-up hopes to repeat its success in 2021.

The Berlin furniture start-up Home24 was able to increase its turnover by almost 50 percent in 2020. Home24 generated sales of EUR 492 million last year, earning a total of EUR 17 million before taxes, depreciation, interest, amortization and impairment.

The EBITDA margin for the year as a whole was three percent, eleven percentage points higher than in the 2019 financial year. For the first time, the start-up is no longer making a loss and, according to its own statements, has broken even. Last year, Home24 benefited above all from the closure of furniture stores. As a result, more people ordered online.

"The capital increase in Europe and the IPO of Mobly in Brazil were further decisive steps: we now have sufficient clout to push ahead with our growth ambitions and further expand our strong position in the attractive market environment of home & living e-commerce," says Marc Appelhoff, CEO of Home24. The Brazilian subsidiary Mobly was floated on the stock exchange just last week and recently generated revenues of EUR 145 million for Home24.

The company also sees positive development for 2021. "The strong order intake laid the foundation for a successful 2020 and will continue to have an impact on the first quarter of 2021," writes Home24. "The reason for this is that numerous orders from the fourth quarter of 2020 will only be delivered in the new financial year due to significantly longer delivery times and will therefore have an impact on sales." However, the forecast for the current year will only be communicated in the annual report at the end of March.