Original-Research: q.beyond AG (von NuWays AG)

Classification of NuWays AG to q.beyond AG

Company Name :	q.beyond AG
ISIN:	DE0005137004
Reason for the research:	Update
Recommendation:	BUY
from:	28.10.2025
Target price:	EUR 1.3
Target price on sight of:	12 months
Last rating change:
Analyst:	Philipp Sennewald

Q3 preview: Expect margin expansion despite macro headwinds

QBY will release its Q3 results on November 11. We expect continued macroeconomic pressure to weigh on topline growth, while efficiency measures should again drive a clear improvement in margins. In detail:

Q3 sales are seen at € 44.3m (eNuW), reflecting a still muted demand environment in German IT Services. Segment-wise, Managed Services sales are expected flat yoy on an adj. basis at € 29.0m (eNuW), as customers continue to postpone modernization projects. Positively, Consulting revenues are seen at € 15.4m (eNuW), a further sequential improvement qoq, based on improving utilization and increasing near-shore quotas. Despite soft revenues, we expect another step-up in margins. With the ongoing one.QBY program, management continues to optimize structures, leverage near- and off-shoring (eNuW: 18% vs. 14% a year ago), and implement AI-based efficiency tools. We therefore forecast a Q3 EBITDA of 3.1m, implying a margin of 7.1% (+2.5pp yoy).

On this basis, management is seen to confirm the FY25 outlook of € 184-190m sales (eNuW: € 185m), € 12.15m EBITDA (eNuW: € 13.7m), as well as positive net income (eNuW: € 1m) and FCF (eNuW: € 7.4m).

All in all, Q3 should underline the effectiveness of ongoing efficiency and automation measures while highlighting QBY’s resilience in a still challenging market. In our view, the positive margin trend confirms management’s focus on profitable growth rather than pure scale. With macro headwinds likely persisting into Q4, we view QBY’s disciplined cost approach and high share of recurring revenues (c. 75%) as key stabilizers.

Beyond near-term operations, M&A remains a key value driver. With c. € 40m net cash (incl. leases), QBY has ample flexibility as management is screening targets of € 10-20m sales and double-digit margins, mainly in energy, healthcare, cybersecurity, and AI. Such acquisitions would broaden the vertical footprint and strengthen capabilities in high-demand (i.e. data-sovereign digital solutions). While no deal is expected before YE25, H1’26 could bring tangible newsflow, adding upside optionality to our estimates.

Valuation x-read. A further positive read-across stems from Allgeier ’s sale of its IT-Managed Services unit to Synova, valued in the “upper double-digit million euro range”. As this should translate to at least € 75m EV (eNuW), the implied sales multiple would be 1.5x. Applying this to QBY’s € 124m Managed Service sales in FY25 (eNuW) and even considering a 20% discount given possibly lower margins (data centre utilization currently at c. 70% at QBY), would imply an EV of c. € 150m. This poses a significant upside to the company’s total current EV of only € 72m, thus underscoring the current undervaluation of the shares.

Based on this, we confirm QBY as part of our AlphaList and keep our recommendation unchanged: BUY, € 1.30 PT based on DCF.

You can download the research here: qbeyond-ag-2025-10-28-previewreview-en-7aea5
For additional information visit our website: https://www.nuways-ag.com/research-feed

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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Offenlegung möglicher Interessenskonflikte nach § 85 WpHG beim oben analysierten Unternehmen befinden sich in der vollständigen Analyse.
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