^ Original-Research: EV Digital Invest AG - from NuWays AG

08.05.2025 / 09:00 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 NuWays AG to EV Digital Invest AG

Company Name: EV Digital Invest AG ISIN: DE000A3DD6W5

Reason for the research: Update Recommendation: Under Review from: 08.05.2025 Target price: n.a. Target price on sight of: 12 months Last rating change: Analyst: Frederik Jarchow

Weak FY24 // Clouded outlook and tense liquidity situation; chg

Topic: EVDI published weak final FY24 figures without giving a guidance for FY25. Further, the tense liquidity situation with a negative free cashflow and low liquidity puts the company under pressure and the going concern in question. In detail:

Sales of EUR 3.1m (-25% yoy) stemming mostly from 13 financed projects (vs 13 in FY23 vs eNuW: 12) with an aggregated financed volume of EUR 22m (-44% yoy) came in below expectations (eNuW: EUR 27m) due to the ongoing overall weak industry and sentiment burdened by still high construction costs, restrictive bank lending and not exactly low financing costs compared to real estate prices. Positively, H2 sales seem to have stabilized on levels of EUR 1.5m (vs EUR 1.6m in H1), indicating that the through is reached.

EBITDA came in at negative EUR 4.8m (vs EUR -3.7m in FY23), which is even below our estimate of EUR -4.1m, mainly due to softer topline and higher than anticipated costs related to customer claims that are driving other OPEX (EUR 4.5m vs EUR 4.0m in FY23). Personnel expenses declined slightly to EUR 3.2m (-12% yoy vs eNuW: EUR 3.6m).

Apart from that, EVDI has diversified its business in FY24 by offering new products that are rather contrary to real-estate investments such as deposit accounts, renewable energy projects, ETFs as well as holistic wealth management. This initiated diversification should reduce the dependency from the very cyclical real-estate project business, stabilizing the income and margins going forward.

Tense liquidity situation. As the cash burn of the company is high, EVDI is at the current stage dependent on further external capital injections. First injections were provided end of March (EUR 0.5m). Furthermore, an LOI with the main shareholder VdZ Berlin and another investor about another EUR 2.35m was signed mid of April. With that, EVDI should be able to continue its operations for the time being. Still, the current turmoil around the main shareholder put this LOI at question in our view. Taking this into account we see an immanent risk of insolvency.

On the back of the weak operating results and the clouded outlook for the industry, paired with the tense liquidity situation and the pending risks that customer claims cannot be solved soon, we take EVDI under review. Signs of operating improvement, further capital injections and customer claims that are off the table would change our view.

You can download the research here: http://www.more-ir.de/d/32512.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. ++++++++++

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2132722 08.05.2025 CET/CEST

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Quelle: dpa-Afx