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Original-Research: Multitude SE - from NuWays AG

06.06.2025 / 09:00 CET/CEST

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

Group.

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

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Classification of NuWays AG to Multitude SE

Company Name: Multitude SE

ISIN: CH1398992755

Reason for the research: Update

Recommendation: BUY

from: 06.06.2025

Target price: EUR 12.00

Target price on sight of: 12 month

Last rating change:

Analyst: Frederik Jarchow

Guidance hike after impressive Q1 profitability; chg

Multitude recently reported Q1´25 figures with net profit clearly beating

expectations. Against this backdrop management increased its FY25 guidance.

In detail:

* Sales of EUR 64.4m (0% yoy) is below the anticipated EUR 71.1m, mainly

driven by ferratum that declined slightly to EUR 51.9m (-4% yoy vs eNuW:

57.9m). On the other hand CapitalBox and Wholesale banking show strong

yoy improvements with EUR 8.6m (11% yoy) and EUR 3.9m (69% yoy) fueled by

ongoing total NAR growth to EUR 787m (20% yoy; including c. EUR 665m loan

to customers and c. EUR 122m debt investments attributable to wholesale

banking).

* EBIT of EUR 18.8m (+61% yoy), is bang in line with expectations (eNuW: EUR

18.7m) due to 1) significantly improved impairments on loans that

declined to EUR 22.2m (-21% vs eNuW: EUR 25.6m), despite increasing NAR, 2)

EUR 2.4m share result from associated companies (vs EUR 0m in Q1´24),

stemming from the stakes in e.g. Lea Bank 3) stable OPEX following

improving efficiency and automation (e.g. personnel expenses of EUR 9.2m

vs eNuW: EUR 9.8m and S&M expenses of EUR 3.3m vs eNuW: EUR 3.9m). Interest

expenses increased with the growing loan book and the general interest

environment (delayed by c. 12 months, eNuW) to EUR 11m (27% yoy), but not

as strong as feared (eNuW: EUR 13m). As a result, net profit came in

strong at EUR 7.2m (209% yoy vs eNuW: EUR 5.2m).

Overall, Multitude reported a strong set of Q1 figures. While the cash cow

of the Group ferratum delivered stable sales, the growth trajectory in

CapitalBox and Wholesale banking is fully intact. Further, management

successfully solved the credit risk issues that weighed heavy on the P&L

during FY24. As a result, Multitude achieved the highest Q1 net profit in

the company´s history. Consequently, and thanks to good visibility into the

next quarters, management increased its FY25 net profit guidance from EUR 23m

to EUR 24-26m, which is absolutely reasonable (eNuW: EUR 27m).

Despite the positive share price performance of the last weeks, the company

still does not look expensive for a growing, highly profitable, dividend

paying company trading at only 4.2x P/E´25.

BUY with an unchanged PT of EUR 12 PT, based on our residual income model.

Mind you that Multitude is one of our NuWays Alpha picks.

You can download the research here: http://www.more-ir.de/d/32812.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 Abschlu

bestimmter Börsengeschäfte.

Offenlegung möglicher Interessenskonflikte nach § 85 WpHG beim oben

analysierten Unternehmen befinden sich in der vollständigen Analyse.

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2151816 06.06.2025 CET/CEST

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