CREALOGIX Group

SW: CLXN

CHF196m market cap

CHF141 last close

CREALOGIX Group provides digital banking technology solutions to banks, wealth managers and other financial services companies. The company’s suite of solutions includes online and mobile banking, digital payments, digital learning and security.

Investment summary

FY18 revenues grew by 13.1% at constant currencies to CHF87.1m while EBITDA eased by 3.8% to CHF7.0m, mainly due to the switch to SaaS. Oliver Weber, VP Digital Banking Switzerland, responsible for the Swiss digital banking business, has joined CREALOGIX’s group management. Marc Stähli, Senior VP Global Sales, intends to concentrate fully on CREALOGIX’s international sales activities in the future and has therefore stepped down from group management. Given the attractive industry dynamics, and with CREALOGIX ideally positioned to capitalise on these, the shares look attractive on c 17x our FY20e EPS.

Y/E Jun
Revenue (CHFm)
EBITDA (CHFm)
PBT (CHFm)
EPS (CHFc)
P/E (x)
P/CF (x)
2017A 74.9 7.3 5.0 259.00 49.8 14.0
2018A 87.1 7.0 5.0 239.00 54.0 46.8
2019E 110.2 11.1 8.1 409.28 31.5 15.4
2020E 121.0 14.7 12.2 610.37 21.1 12.1
Last updated on 26/09/2018
Industry outlook

CREALOGIX develops and implements software that enables digital banking for “the digital bank of tomorrow”. The solutions are most often used by traditional banks to enable their journey to digitalisation, through the provision of a sophisticated, modern omni-channel offering to their clients. The group’s products are front-end solutions that integrate with customers’ back-end systems. The technology has won many awards, including three consecutive awards at FinovateEurope in London – this year CREALOGIX TimeWarp was voted a “Best of Show” product. In December, Forrester named CREALOGIX a leader for Digital Banking Engagement Platforms.

Last updated on 26/09/2018
Sector
TMT
Share price graph
Balance sheet
Forecast net cash (CHFm) 10.3
Forecast gearing ratio (%) N/A
Price performance
%
1m
3m
12m
Actual (2.1) (6.6) 3.1
Relative* (1.3) (6) 7.3
52-week high/low CHF100.0/CHF81.0
*% relative to local index
Key management
Bruno Richle Chairman
Thomas F. J. Avedik CEO
Philippe Wirth CFO