Original-Research: bet-at-home.com AG (von NuWays AG): Buy

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Original-Research: bet-at-home.com AG - from NuWays AG

07.11.2024 / 09:01 CET/CEST

Dissemination of a Research, transmitted by EQS News - a service of EQS

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The issuer is solely responsible for the content of this research. The

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Classification of NuWays AG to bet-at-home.com AG

Company Name: bet-at-home.com AG

ISIN: DE000A0DNAY5

Reason for the research: Update

Recommendation: Buy

from: 07.11.2024

Target price: EUR 5.50

Target price on sight of: 12 months

Last rating change:

Analyst: Frederik Jarchow

Strong Q3 figures and guidance hike; chg

Topic: Yesterday bet-at-home reported a strong set of Q3 figures that are

above our estimates on both - top- and bottom line. Further, it increased

its EBITDA before special items guidance. In detail:

Sales came in at EUR 12.2m (-11% qoq, 18% yoy), slightly above our estimates

of EUR 12.0m (eNuW), mainly driven by the UEFA EURO championship that lasted

until early Q3 as well as higher marketing spending between Q3´23 and Q2´24,

that prepared the UEFA EURO championship. While sales in the betting segment

were EUR 10.7m (12% yoy vs eNuW: EUR 10.6m), achieved with EUR 86m betting volume

and a 12.5% margin, the gaming segment contributed EUR 1.5m (103% yoy vs eNuW:

EUR 1.4m), based on EUR 13m volume and an 11.1% margin.

EBITDA before special items increased to EUR 1.6m (vs -1.9m in Q3´23 vs eNuW:

EUR 0.6m). Key drivers were higher sales as well as lower than anticipated

personnel expenses (EUR 2.0m vs eNuW: EUR 2.3m), marketing expenses (EUR 3.5m vs

eNuW: EUR 4.0m) and other operating expenses of EUR 2.5m (vs eNuW: EUR 3.0m).

Still, due to one-offs such as EUR 4.8m for the provision for the ruling of

the Swiss Federal Supreme Court in the dispute over VAT liability for sports

betting which drove up other operating expenses (EUR 8.3m vs eNuW: EUR 2.7m),

reported EBITDA amounted to EUR -2.7m.

With Q3 in the books, bet-at-home is heading towards the upper end of its

FY24 guidance of EUR 45-53m in sales (vs eNuW old: EUR 49.8m). More importantly

and thanks to the strong operating performance in the first nine months, as

well as the sound start into Q4, bet-at-home increased its EBITDA before

special items guidance to EUR 1.5-4.5m from EUR -1m to 2.5m (vs eNuW old: EUR

1.4m). In light of the strong Q3 figures paired with stable OPEX, we raised

our estimates to EUR 50.2m in sales and EUR 2.5m in EBITDA before special items.

More tailwinds should come from a potential positive ECJ ruling, expected

mid-2025, that would eliminate the looming risks of new customer claims,

normalize lifted legal costs again and release provisions. On the back of

the solid operating performance and vanishing sources of risks, that

burdened the case for a long time, we reiterate BUY with an unchanged (but

conservative) PT of EUR 5.50 based on FCFY´25e.

You can download the research here: http://www.more-ir.de/d/31211.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

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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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2024419 07.11.2024 CET/CEST

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