| The Group, in the consolidated half-year financial report as of 30 June 2022, reported that it had generated revenues of € 30.31 million, registering an increase of 4.8% compared to the value of the first half of the previous year and confirming the growth plan announced during the listing phase. EBITDA for the period amounted to € 2.47 million, with an EBITDA margin of 7.8%, the result of good warehouse and inventory management; EBIT, after amortization and depreciation of € 1.29 million, amounted to € 1.18 million, with an EBIT margin of 3.7%. Net Income at the end of the first half of the year recorded a value of € 0.32 million. Access to the listed market and the capital raised have allowed the implementation of some strategic growth drivers, including the acquisition of synergistic realities to the business and the development of international expansion, in addition to the growth of the biomedical sector. In light of the results published in the half-yearly report for 1H22A, taking into account macroeconomic uncertainties, we modify our estimates for both the current year and the coming years. In particular, we estimate the FY22A value of production equal to € 64.00 million and an EBITDA Adj. equal to € 5.20 million, (marginality of 9.7%). For subsequent years, we expect the value of production to increase up to € 90.50 million (CAGR FY21A-FY25E: 11.7%) in FY25E, with EBITDA Adj. of € 10.70 million (EBITDA Adj. margin of 11.8%), up from € 3.82 million in FY21A (EBITDA Adj. margin of 7.0%). We have conducted the valuation of SolidWorld equity value based on the DCF methodology and market multiples of a comparable companies sample. The DCF method (which in the calculation of the WACC includes for prudential purposes a specific risk of 2.5%) provides an equity value of € 129.9 million. The equity value of SolidWorld using market multiples is equal to € 71.8 million (with a 25% discount). The result is an average equity value of € 100.8 million. The target price is € 8.65 (prev. € 8.65), BUY rating and MEDIUM risk. |