Original-Research: Swissnet AG (von Quirin Privatbank Kapitalmarktgeschäft):...

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Original-Research: Swissnet AG - from Quirin Privatbank Kapitalmarktgeschäft

26.05.2025 / 19:10 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 Quirin Privatbank Kapitalmarktgeschäft to Swissnet AG

     Company Name:               Swissnet AG
     ISIN:                       CH0451123589

     Reason for the research:    Update
     Recommendation:             Buy
     from:                       26.05.2025
     Target price:               21
     Last rating change:
     Analyst:                    Sebastian Droste

Strong results & new contract wins

On May 26, swissnet released its preliminary full-year results for 2024.
Reported revenue growth was strong and slightly better than expected.
Revenues rose by 112% yoy to EUR 13.1m. On a like-for-like pro forma basis,
which includes the acquired entities as if they had been consolidated for
the full year, revenue grew by 25% yoy to EUR 21m. The revenue development
was supported by a high share of recurring revenues (77%). Also, major
contract wins such as a EUR 1.2m IoT deal with Philip Morris International
and a EUR 6.2m infrastructure modernization contract with a European
drugstore chain have a positive effect. EBITDA improved from EUR -0.4m to
EUR 2.5m, in line with our estimate. This was driven by operating leverage
and recurring revenues. On a pro forma basis, EBITDA amounted to EUR 4.4m.
The company also reported positive free cash flow of EUR 2.6m, EUR 4.4m in
cash and EUR 11.0m in equity. We consider the investment case to be intact
due to the profitable M&A activity, growing recurring revenue base, and
international expansion. We raise our target price to EUR 21 and confirm our
Buy recommendation.


You can download the research here: http://www.more-ir.de/d/32730.pdf
For additional information visit our website:
https://research.quirinprivatbank.de/

Contact for questions:
Quirin Privatbank AG
Institutionelles Research
Schillerstraße 20
60313 Frankfurt am Main
research@quirinprivatbank.de
https://research.quirinprivatbank.de/

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2145764 26.05.2025 CET/CEST

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