| At the end of the first half of 2025, sales revenues amounted to € 27.73 mln, down from € 32.46 mln recorded in 1H24A (-14.6%). This decline is attributable to the decrease in revenues from the B2B channel, whose profitability, already structurally limited, led the Group, in line with the long-announced rationalization strategy, to gradually scale it down in favor of higher-margin segments. The Group’s EBITDA was negative at € 0.80 mln, worsening compared to the positive result of € 0.34 mln in the previous period, due to the drop in revenues from the B2B channel (-63.8%). Net of extraordinary expenses and investments related to the development phase of the startup ContactU, the adjusted EBITDA for the half year stood at -€ 0.18 mln. EBIT, after depreciation and amortization of € 1.30 mln, came to -€ 2.10 mln compared to -€ 0.94 mln in 1H24A. Net Income for the period was -€ 2.91 mln, versus a result of -€ 1.22 mln in 1H24A. In light of the results published in the half-year report for 1H25A, we have slightly revised our estimates for both the current year and the following years. Specifically, we estimate a FY25E value of production of € 56.35 mln and an EBITDA of € 0.50 mln, corresponding to a margin of 0.9%. For the following years, we expect the value of production to increase to € 66.00 mln in FY27E (CAGR 25E–27E: 8.2%), with an EBITDA of € 2.10 mln (corresponding to a margin of 3.2%), up from € 0.42 mln in FY24A (corresponding to an EBITDA margin of 0.7%). At the balance sheet level, we estimate for FY27E a net financial position of debt amounting to € 0.76 mln. We conducted the equity value assessment of Farmacosmo based on the DCF methodology and the multiples of a sample of comparable companies. The DCF method (which, for prudential purposes, includes a specific risk of 2.5% in the WACC calculation) yields an equity value of € 45.9 mln. The equity value of Farmacosmo using market multiples is € 43.7 mln, resulting in an average equity value of approximately € 44.8 mln. The target price is € 1.15, with a BUY rating and MEDIUM risk. |
