^ Original-Research: Flughafen Wien AG - from NuWays AG

30.10.2024 / 09:02 CET/CEST Dissemination of a Research, transmitted by EQS News - a service of EQS Group AG. 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 Flughafen Wien AG

Company Name: Flughafen Wien AG ISIN: AT00000VIE62

Reason for the research: Update Recommendation: Hold from: 30.10.2024 Target price: EUR 61.00 Target price on sight of: 12 months Last rating change: Analyst: Henry Wendisch

Q3 preview: strong growth and margins at cruising altitude

FWAG releases Q3 results on 14th November, which should mark not only new top- and bottom-line records, but should also show an increase in net liquidty thanks to solid cash generation despite the current CAPEX cycle.

Sales should come in strong at EUR 306m, +13% yoy, eCons: EUR 305m (9M: EUR 794m, +14% yoy) thanks to vivid passenger volumes (Q3: +8% yoy; 9M: +9% yoy) coupled with higher airport charges (+9.7% yoy as of Jan. 2024). Mind you, Q3 is seasonally the most important quarter, accounting for c. 30% of FY revenues and c. 38% of FY EBITDA (both eNuW).

EBITDA should increase by 3% yoy to EUR 160m (eCons: EUR 165m; 9M: EUR 365m) but with an EBITDA margin of 52% below last year (-5pp yoy) due to higher expected OPEX of EUR 146m (+23% yoy). The OPEX rise should mainly be driven by an increase in personell expenses (eNuW: EUR 101m, +28% yoy), as an effect of a higher headcount (eNuW: +8% yoy) and the rise in collective bargaining agreements (+ 7% wage increase) and a higher rate of overtime hours during the busy season. On an absolute level however, EBITDA should thus mark a new record and it shows that the company currently operates well within a healthy margin corridor of 40-45% on a FY basis (eNuW: 41% for FY'24e).

FCF is seen at EUR 42m (eNuW; 9Me: EUR 140m) composed of a stellar CFO of EUR 117m (eNuW; 9Me: EUR 295m) and CAPEX of around EUR 75m (+135% yoy; 9Me: EUR 155m; eNuW) driven by the current southern expansion of Terminal 3. Consequently, we expect net liquidity to rise further and amount to EUR 391m by 9M'24e. To remind you, the cash build-up should continue until a final decision on the 3rd runway has been made (see update from 9th October 2024), which we regard as a pivotal decision for FWAG's future.

Moreover, FWAG publishes Oct'24 traffic results on 14thNovember, where we expect a continuation of strong demand meeting rising supply. Thus, we expect 3.8m passengers on group level (+6% yoy; 105% of 2019 levels).

Albeit the company continues to operate well, we reiterate our HOLD recommendation, as we regard the stock as fairly valued, which only shows a mere 16% upside to our PT of EUR 61.00 (based on DCF).

You can download the research here: http://www.more-ir.de/d/31149.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 ++++++++++ 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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2018633 30.10.2024 CET/CEST

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Quelle: dpa-Afx