“Strong set of Q2 figures”, “[…] the figures from the first half-year are convincing”, are just some of the statements made by analysts regarding the half-year results of Deutsche Beteiligungs AG on the occasion of its publication in May 2023. In particular, the growth of the net asset value as well as the realised disposals in the first half of financial year 2022/2023 have led to the analysts' assessments.
“DBAG's portfolio is currently valued at 1.1 times acquisition cost, which compared to historically achieved multiples of >2.0x [...] indicates further upside potential,” said Marie-Therèse Grübner of Hauck & Aufhäuser.
The net asset value grew by fourteen per cent to 646.5 million euros in the first six months of the current financial year. This pleasing increase was driven by the operating performance of the 36 companies in DBAG's portfolio at the time of publication of the half-yearly financial report, the performance of peer companies on the capital market and successful disposals. And the Fund Investment Services also developed pleasingly. As a result, earnings before taxes for the half-year under review increased as planned to 7.2 million euros, compared to 5.8 million euros in the same period of the previous year. This means that more than half of the targeted annual result of 13 to 15 million euros has already been achieved. The Private Equity Investments segment achieved a significantly higher pre-tax result of 75.7 million euros compared to the previous year. Net income for the first half of the 2022/2023 financial year totalled 82.6 million euros (-35.8 million euros in the same period of the previous year).
The analysts' assessments are always a look into the future and are based upon the potential of DBAG's portfolio, which mainly consists of companies active in the Industry and IndustryTech, Industrial Services, Broadband Telecommunications, Healthcare and IT Services and Software sectors. The majority of these are based in Germany, with additional holdings in neighbouring European countries. And these have developed positively and confirm the “Buy” rating, states Cansu Tatar, from Warburg Research.
In addition to the positive development of the net asset value, four investments were successfully sold and a further one was agreed, whereby “DBAG was able to realise significant inflows”, Milosz Papst and Michael Mordel from Edison Research are saying about the disposals. Due to the resulting liquidity situation, SRC Research’s Stephan Scharff sees “the company in a good position to continue to react quickly to lucrative opportunities on the acquisition side as well”.
24 May 2023
For regulatory reasons, Edison publishes neither a valuation nor a price target
17 May 2023
Warburg Research GmbH
12 May 2023
Baader Helvea Equity Research
12 May 2023
Hauck Aufhäuser Investment Banking
12 May 2023
SRC Research GmbH
Stefan Scharff / Christopher Mehl
11 May 2023
11 May 2023
Jefferies International Limited
Research reports are generally aimed at professional investors and are therefore not available to the public. Legal restrictions mean that only Warburg Research and Edison Research reports are available to download from the DBAG website. It shows a regularly updated table of analyst recommendations and target prices.
Baader Helvea Equity Research Company Flash, 12 May 2023
SRC Equity Research, 12 May 2023
Kepler Cheuvreux Equity Research, 11 May 2023
Jefferies Equity Research, 11 May 2023
Hauck Aufhäuser Investment Banking, 12 May 2023