Original-Research: 123fahrschule SE - from NuWays AG 26.03.2025 / 09:06 CET / CEST Dissemination of a Research, transmitted by EQS News - a service of EQS Group.
26.03.2025 - 09:06:28Original-Research: 123fahrschule SE (von NuWays AG): BUY
Original-Research: 123fahrschule SE - from NuWays AG
26.03.2025 / 09:06 CET/CEST
Dissemination of a Research, transmitted by EQS News - a service of EQS
Group.
The issuer is solely responsible for the content of this research. The
result of this research does not constitute investment advice or an
invitation to conclude certain stock exchange transactions.
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Classification of NuWays AG to 123fahrschule SE
Company Name: 123fahrschule SE
ISIN: DE000A2P4HL9
Reason for the research: Update
Recommendation: BUY
from: 26.03.2025
Target price: EUR 7.90
Target price on sight of: 12 months
Last rating change:
Analyst: Philipp Sennewald
Final FY EBITDA even ahead of prelims; Chg.
Topic: 123f released a strong set of FY24 results, where sales were slightly
lower but EBITDA ahead of the preliminary figures published in January. In
detail:
FY24 sales came in at EUR 22.5m (FY24p: EUR 22.8m), implying a 9.2% improvement
yoy. Sales were again driven by the Private Customers segment, were top-line
improved by 11.1% yoy to EUR 17.3m caused by both price and volume effects. On
the other hand, the Driving Instructor Training segment also saw a 9.5%
increase in sales to EUR 3.0m, while the Professional Driver Segment however
declined by 17.5% yoy to EUR 1.9m. The initial contribution from the Simulator
segment amounted to EUR 0.3m sales. Not considering the simulator business,
sales growth stood at 7.7%. Mind you, that during the first months of the
year, 123f received a significantly increased demand für simulators,
especially in the truck segment, leading to orders of already EUR 1m. For
FY25e, we thus estimate a strong increase to EUR 2.5m sales.
FY24 EBITDA turned positive for the first time, coming in at EUR 0.5m (FY24p:
EUR 0.4m), implying a 2.4% margin. In our view, this is clearly displaying the
ongoing operational improvements as well as scale effects starting to kick
in. The clear highlight of the release however, was the operating cash flow,
which came in at EUR 1.3m (FY23: EUR 0.4m), underpinning 123f's cash generation
ability.
Overall, the results fully underpin our positive view on the company. Going
forward, 123f is seen to substantially benefit from the upcoming regulation
changes (e.g. re-introduction of online theory & inclusion of simulators
into driving education). Besides this, the proceeds from the recent capital
measures are seen to also be used to expand the branch network. In fact,
management aims to increase to 70 branches until YE25 (57 as of FY24).
Against this backdrop, the company's guidance of EUR 27-29m sales looks well
in reach (eNuW new: EUR 28.7m). So does the EBITDA guidance of EUR 1.5-2.5m
(eNuW new: EUR 2.3m), especially given the strong simulator business, which is
characterized by higher margins.
In light of this, the current valuation continues to appear undemanding
given an FY25e EV/EBITDA of 7.1x (FY26e: 3.1x). We hence reiterate BUY with
an increased PT of EUR 7.90 (old: EUR 7.20) based on DCF.
You can download the research here: http://www.more-ir.de/d/32058.pdf
For additional information visit our website:
https://www.nuways-ag.com/research-feed
Contact for questions:
NuWays AG - Equity Research
Web: www.nuways-ag.com
Email: research@nuways-ag.com
LinkedIn: https://www.linkedin.com/company/nuwaysag
Adresse: Mittelweg 16-17, 20148 Hamburg, Germany
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Diese Meldung ist keine Anlageberatung oder Aufforderung zum Abschluss
bestimmter Börsengeschäfte.
Offenlegung möglicher Interessenskonflikte nach § 85 WpHG beim oben
analysierten Unternehmen befinden sich in der vollständigen Analyse.
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