Buy
|
Original-Research: ASMALLWORLD AG - from NuWays AG
Classification of NuWays AG to ASMALLWORLD AG
FY'24 out, focus on member growth; chg. est & PT Topic: ASW reported mixed FY'24 results and provided a guidance for FY'25e which is below market expectations due to the delayed launch of its rebranding and the free membership option. In detail: FY'24 results weaker on sales, better on EBITDA. The completion of its business model transformation to a free membership and an expansion of offerings, has become visible in FY'24 results. Sales arrived at CHF 20.9m, below expectations (eNuW: CHF 23.5m) and the ASW's guidance (CHF 23-25m) due to a delayed launch of the new brand and the free membership option in H2, which was originally intended for early Q3 but launched in Nov'24 and led to less growth than expected. As this is only a periodic effect, FY'24 sales nevertheless declined slightly by 2% yoy (H2: -7% yoy). This goes hand in hand with a delayed marketing campaign, which was the reason why EBITDA came in at CHF 1.4m (6.6% margin, -3.2pp yoy), better than our estimate (eNuW: CHF 1m) and the guidance (CHF 1-1.2m). Membership growth ahead of plan and with strong momentum. ASW reported 18k net additions to now 88.2k members, largely exceeding the guidance (73-74k) and our estimate (eNuW: 73.7k) following the free membership option launched in Nov'24. Despite it being delayed, the member intake has shown to be very successful. One of the companies main objectives is to scale the member base first and monetize them afterwards with their highly curated luxury travel offerings, such as hotel bookings, private community events, air mile plans & optimizations and bespoke travel services. However, at the expense of temporarily muted growth and profitability. Member intake seems to remain strong with ongoing momentum, as the company expects an additional 32-37k members during FY'25e, expanding the member base to 120-125k by Y/E'25e. Guidance below expectation: Following the delay and with still additional services to be offered, it also needs some time for members to become acquainted with the community and ASW's services. Consequently, the monetization takes more time than expected, which is why ASW guides for 5-10% yoy sales growth and EBITDA expansion by 2-10% yoy, which is below our old estimates. In sum, ASW's business transformation remains in full swing, however at a slower speed than initially anticipated. Consequently, we reduce our estimates, but maintain a positive view on the stock. BUY with new PT of CHF 2.80 (old: CHF 4.00), based on DCF. You can download the research here: http://www.more-ir.de/d/31974.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 ++++++++++ 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. ++++++++++
The EQS Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. |
||||||||||||||||||||
2100662 14.03.2025 CET/CEST
P R O D U C T S U G G E S T I O N S
The information presented here has been provided by our content partner EQS-Group. The originator of the news is the respective issuer, the company relating to the news, a publication service provider (press or information agency) which uses the distribution service of EQS to transmit company news to shareholders, investors, investors or interested parties. The original publications and other company-relevant information can be found at eqs-news.com.
The information you can access does not constitute investment advice. The presentation of our cooperation partners, where the implementation of investment decisions would be possible depending on the individual risk profile, is solely at the discretion of the person using the service. We only present companies of which we are convinced that the range of services and customer service will satisfy discerning investors.
If you are considering leverage products, familiarise yourself with the typical characteristics of the financial instruments beforehand. Take the time to determine the risk content of the planned investment before making an investment decision. Bear in mind that a total loss cannot be ruled out with leverage products.
For newcomers to the subject, we offer various options in both the training and the tools section, through which you can train theoretical knowledge and practical experience and thus improve your skills. The offer ranges from participation in webinars to personal mentoring. The range is continuously being expanded.
1 Lab features are usually functionalities that emerge from the think tank of the investor community. In the early stages, these are experimental functionalities whose development process is largely determined by use and the resulting feedback from the community. When integrating external services or functionalities, the functionality can only be guaranteed to the extent that the individual process elements, such as interfaces, interact with each other.