Original-Research: PSI Software - from Quirin Privatbank Kapitalmarktgeschäft
Classification of Quirin Privatbank Kapitalmarktgeschäft to PSI Software
Orders surge & outlook confirmed On April 30, PSI Group released its Q1 financial results and confirmed its guidance for 2025. Revenue growth was strong and exceeded our expectation. Growth was driven by record new orders, a higher order backlog, broad‑based segment gains in Grid&Energy Management, Process Industries&Metals, Discrete Manufacturing and Logistics, plus initial cloud/SaaS uptake and the Google Cloud partnership. Challenges include execution risk on large contracts and integration of new solutions. EBIT margin rebounded from a cyberattack‑hit loss and beat expectations, supported by better fixed‑cost absorption and segment profit recovery, though ongoing cloud investments may weigh on margins. Management guided 10.0% yoy revenue growth and a 4.0% adjusted EBIT margin for 2025, both in line with our forecasts. The investment case rests on PSI’s transition to cloud/SaaS, reinforced by its strategic Google Cloud partnership, which should drive a growing base of high‑margin recurring revenue and enhance earnings predictability. We raise our target price to EUR 35.50, reflecting the roll forward of our DCF valuation and confirm our Buy recommendation. You can download the research here: http://www.more-ir.de/d/32546.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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2134504 09.05.2025 CET/CEST
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