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Original-Research: Singulus Technologies AG - from NuWays AG
29.08.2024 / 09:01 CET/CEST
Dissemination of a Research, transmitted by EQS News - a service of EQS
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The issuer is solely responsible for the content of this research. The
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Classification of NuWays AG to Singulus Technologies AG
Company Name: Singulus Technologies AG
ISIN: DE000A1681X5
Reason for the research: Update
Recommendation: HOLD
from: 29.08.2024
Target price: EUR 1.60
Last rating change:
Analyst: Konstantin Völk
Final Q2 numbers out // successful financing agreement
Topic: Singulus released its final Q2 report yesterday in line with
preliminary numbers. Even more importantly, the company has successfully
concluded an agreement with CNBM on the restructuring of the financing in
August 2024.
To recap: Q2 sales decreased by 21% to EUR 20.1m from a high comparable base.
Thanks to a stronger contribution of the Semiconductor segment, the Q2 gross
profit margin increased to 33.8% (Q2'23: 25.2%). OPEX remained roughly on
last year's level, leading to a Q2 EBIT of EUR 0.5m, up from EUR 0.2m in Q2'23.
Order intake stood at a solid EUR 19.1m (+91% yoy), but was below our
expectations after the dynamic demand in the first quarter. H1 order intake
came in at EUR 52.3m (+117% yoy), leading to EUR 70.4m in order backlog.
Sales in the Semiconductor segment increased to EUR 3.7m (Q2'23: EUR 2.1m) due
to a strong demand for TIMARIS coating machines. Semiconductor order intake
came in at a solid EUR 24.4m in H1'24 (47% of total H1 order intake), which
should lead to a positive effect on gross margins in the future. Solar sales
decreased 22% to EUR 12.3m due to project postponements. However, CNBM is
further investing in CdTe and as stated in the CC, more CSS machines will be
delivered to CNBM in the near future. Life Science sales came in at EUR 4.1m
(Q2'23: EUR 7.5m).
Reorganization of financing completed: CNBM is directly and indirectly the
counterpart for EUR 30m of Singulus' outstanding debt - directly as provider
of a EUR 20m loan, granted in two tranches in March and April 2023 that were
callable on August 4 th and on September 28th and indirectly as guarantor
for another EUR 10m granted by Bank of Shanghai. In order to secure further
financing, Singulus has now successfully negotiated the reorganization of
the EUR 20m loan. Further, CNBM guarantees Singulus to cover its financial
obligations until March 31st 2025. Nevertheless, Singulus' Going Concern
beyond March 2025 looks still questionable and would require further
improving operations in our view.
As soon as long-term financing is secured, one should refocus again on the
improving operating business with new innovative product solutions such as
in the field of micro-LED, hydrogen and solid-state batteries, which have
the potential to bring Singulus back in the black.
We change our rating to Hold (old: Under Review) with a PT of EUR 1.60 based
on DCF
You can download the research here: http://www.more-ir.de/d/30665.pdf
For additional information visit our website: www.nuways-ag.com/research
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
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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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1977255 29.08.2024 CET/CEST
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