JDC Group

SCALE: JDC

Market Cap€212m

Last Close €15.5

JDC Group is a leading German insurance platform, providing advice and financial services for professional intermediaries and banks, but also directly for end-customers. JDC’s digital platform, for end-clients and for the administration and processing of insurance products, is also provided as a white-label product.

More JDC Group content >

Investment summary

JDC Group (JDC) reported Q322 numbers and lowered its guidance for FY22 revenues of €155–165m (previously €165–175m) and EBITDA of €7.5–9.5m (previously more than €11m). The new guidance implies 1.1% revenue growth and EBITDA of €2.0m at the midpoint in Q422 (Q421: €3.0m). Given the 12.4% revenue growth in January to September 2022, this guidance may prove conservative. As such, we have adjusted our estimates towards the upper end of the guided range. In our new estimates, JDC trades on EV/EBITDA of 16.6x in FY23e, which we see as undemanding for what is essentially a platform business. Our discounted cash flow calculation generates a valuation of €36.40 per share.

Y/E Dec
Revenue (€m)
EBITDA (€m)
PBT (€m)
EPS (c)
P/E (x)
P/CF (x)
2020A 122.8 5.1 (1.0) (9.21) N/A 59.2
2021A 146.8 8.3 1.4 6.61 234.5 37.9
2022E 161.2 8.6 1.2 6.91 224.3 25.3
2023E 192.9 13.3 5.3 30.79 50.3 17.4
Industry outlook

In the last few years, JDC has won several very large contracts with German savings bank-related insurers Provinzial and Versicherungskammer Bayern (VKB), and is running a pilot with R+V Versicherung, Germany’s cooperative banks’ insurance company. These contracts could add more than €300m in annual turnover.

Last updated on 30/11/2022
Content on JDC Group
JDC Group – Lower FY22 guidance and estimates
Financials | research Update | 21 November 2022
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JDC Group – FY22 guidance reiterated after strong Q222
Financials | research Flash note | 12 August 2022
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JDC Group – Adding more client groups
Financials | research Update | 14 July 2022
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View more
Share price graph
Balance sheet
Forecast net cash (€m) 6.2
Forecast gearing ratio (%) N/A
Price performance
%
1m
3m
12m
Actual (16.0) (17.6) (36.0)
Relative* (22.7) (26.5) (32.8)
52-week high/low €27.2/€14.6
*% relative to local index
Key management
Dr. Sebastian Grabmaier CEO
Ralph Konrad CFO

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