Original-Research: Flughafen Wien AG - from NuWays AG Classification of NuWays AG to Flughafen Wien AG Company Name: Flughafen Wien AG ISIN: AT00000VIE62 Reason for the research: Upadte Recommendation: Halten from: 14.05.2024 Target price: EUR 58.00 Target price on sight of: 12 Monaten Last rating change: Analyst: Henry Wendisch Q1 preview: record top and bottom line ahead Topic: FWAG's Q1 results are due on Thursday, May 16th and we expect solid top-line growth and proportionate EBITDA growth, while EBIT and net income should show disproportionate growth and should mark new record levels.
14.05.2024 - 09:02:31Original-Research: Flughafen Wien AG (von NuWays AG): Halten
Original-Research: Flughafen Wien AG - from NuWays AG Classification of NuWays AG to Flughafen Wien AG Company Name: Flughafen Wien AG ISIN: AT00000VIE62 Reason for the research: Upadte Recommendation: Halten from: 14.05.2024 Target price: EUR 58.00 Target price on sight of: 12 Monaten Last rating change: Analyst: Henry Wendisch Q1 preview: record top and bottom line ahead Topic: FWAG's Q1 results are due on Thursday, May 16th and we expect solid top-line growth and proportionate EBITDA growth, while EBIT and net income should show disproportionate growth and should mark new record levels. In detail: Sales should grow by 17% yoy to EUR 212m (eCons: EUR 212m), driven by a combination of passenger growth (+14% yoy on group level, + 11% yoy in Vienna) and an increase in airport charges of 9.7% yoy (c. 40% of sales; effective as of Jan'24). Accordingly, EBITDA is seen to grow by 18% yoy to EUR 79m (37.4% margin; eCons: EUR 79.5m) due to FWAG's low operating leverage with OPEX increasing proportionate to sales by +16% yoy EUR 135m. While the largest part of OPEX should stem from rising personnel costs (eNuW: EUR 90m, +18% yoy), FWAG usually incurrs higher material costs (mostly energy costs and de-icing liquids; eNuW: EUR 20m, +13% yoy) for its operations during winter. Assuming constant D&A of EUR 34.4m (Q4'23: EUR 34.4m) EBIT should arrive at EUR 45m (+29% yoy; eCons: EUR 46m). Following the repayment of all of its debt in Q4'23 coupled with a strong net cash position of EUR 362m , which yields solid interest income, FWAG should report a positive financial result of EUR 3.7m, implying EBT to grow by 43% yoy to EUR 48m (eCons: EUR 48m). With our effective tax rate estimate of 26%, net income before minorites should thus arrive at EUR 36m (+43% yoy; eCons: EUR 36m). Noteworthy, figures mentioned above would mark new all-time records for FWAG, highlighting its sound operating turnaround after the COVID pandemic. Futhermore, we expect a busy summer ahead, as the current summer flight plan looks set to outperform even the busy summer from last year. Therefore, Q2 and Q3 (FWAG's most important quarters) should also come in well above last year. With the Q1 release FWAG will also publish Apr'24 traffic results, which we expect to come in at 3.4m (+6% yoy) passengers on group level (2.59m in VIE; 0.78 in MAL; 0.04m in KSC) and kick off the busy summer ahead (see p. 2 for FY'24e passenger development). Albeit sound operating performance, FWAG's shares only show only a 16% catch-up potential to our PT of EUR 58.00 (based on DCF). Thus, we reiterate our HOLD recommendation, while on the other hand, existing investors should continue to benefit from growing and stable dividends. You can download the research here: http://www.more-ir.de/d/29733.pdf For additional information visit our website www.nuways-ag.com/research. 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 ++++++++++ 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. ++++++++++ -------------------transmitted by EQS Group AG.------------------- 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.
