Last week, NAGA reported preliminary H1 figures that fell slightly short of expectations on both, top- and bottom-line. In detail:

H1 sales came in at € 32.2m (+2% yoy), which is below our estimate of € 35.7m and should be driven by lower

customer

activity. No. of transactions should have decreased to 3.8m (-5% yoy, eNuW) with an average revenue per transaction that grew to € 8.50 (7% yoy, eNuW). Gross sales (sales after execution and liquidity costs) increased to € 28.9m (+14% yoy, vs eNuW: € 30.5m)

H1 EBITDA stands at € 3.0m (+8% yoy) and hence lower than anticipated (eNuW: € 4.0m), mainly due to lower topline. Positively, lower OPEX on the back of higher efficiency and scale effects, partially compensated for the weaker top-line.

After the transition year 2024 that was mainly characterized by integration, automation and efficiency processes, the growth engine that was restarted in early 2025 with

measures such as the cooperation with BVB (Q4´24) and Mike Tyson (Q1´25) is still

sputtering a little. Nevertheless, we expects the measures to bear fruit going forward resulting in an acceleration of growth that should additionally be fueled by the assumed high marketing spendings in H1 (eNuW: € 16.1m, +45% yoy). First effects should become visible in higher H2 sales figures and exponential bottom line growth.

While management is still expecting top-line growth of 19% to € 74m in FY25 and another 32% to € 97.8m in FY26, we take a more conservative stance here and slightly trimmed our estimates to € 70m in FY25 and € 79m in FY26 (eNuW). Thanks to expected further synergy, efficiency and scale effects, management still expects EBITDA to increase to € 12.5m in FY25 and to €

27.6m

in FY26, while we reduced our estimates to € 10m in FY25 and € 14.9m in FY26. Keep in mind that even minor fluctuations of market volatility could result in significantly higher revenues. That said, the topline guidance is still in reach in our view, while the bottom line guidance looks too ambitious.

We are convinced that the management took the right measures and see the company on track to deliver further solid growth.

We reiterate BUY with a reduced PT of € 1.10 based on DCF.