Last close As at 05/08/2026
EUR23.40
▲ 0.60 (2.63%)
Market capitalisation
EUR317m
Research: Financials
JDC Group (JDC) reported strong Q124 results. Revenue growth accelerated to 21.6% from 10% in FY23, driven by its Advisortech division (+22.6%). In terms of profitability, the EBITDA margin increased to 7.6% from 7.3% in Q123. JDC reiterated its FY24 revenue guidance of €205–220m, 24% y-o-y growth at the midpoint, partly driven by the acquisition of Top Ten Financial Network, which management expects to contribute more than €18m in revenues this year. EBITDA is also expected to increase to a guided range of €14.5–16.0m (FY23: €11.7m). We make no changes to our estimates. Our DCF provides a valuation of €34.0/share.
JDC Group |
Q124 results |
Insurance |
14 May 2024 |
Share price performance
Business description
Analyst
JDC Group is a research client of Edison Investment Research Limited |
||||||||||||||||||||||||||||
JDC Group (JDC) reported strong Q124 results. Revenue growth accelerated to 21.6% from 10% in FY23, driven by its Advisortech division (+22.6%). In terms of profitability, the EBITDA margin increased to 7.6% from 7.3% in Q123. JDC reiterated its FY24 revenue guidance of €205–220m, 24% y-o-y growth at the midpoint, partly driven by the acquisition of Top Ten Financial Network, which management expects to contribute more than €18m in revenues this year. EBITDA is also expected to increase to a guided range of €14.5–16.0m (FY23: €11.7m). We make no changes to our estimates. Our DCF provides a valuation of €34.0/share.
Well on track in 2024 |
Year |
Revenue |
EBITDA |
Net profit |
EPS* |
DPS |
P/E |
12/22 |
156.1 |
9.0 |
0.9 |
0.07 |
0.0 |
N/A |
12/23 |
171.7 |
11.7 |
3.8 |
0.28 |
0.0 |
84.6 |
12/24e |
212.9 |
15.3 |
5.1 |
0.37 |
0.0 |
64.0 |
12/25e |
250.0 |
22.3 |
10.1 |
0.74 |
0.0 |
32.0 |
Note: *EPS are reported.
FY24 has started off very well for JDC with strong tailwinds in several respects. In addition to the robust insurance business, the investment and financing business is contributing to revenue growth, as is the real estate business. As a result, JDC recorded its first ever quarter with over €50m in revenue. As expected, the Advisortech business was the main revenue driver, with 22.6% growth to €48.3m. This was partly the result of the acquisition of Top Ten Financial Network, which added €4.5m in turnover in the quarter. The Advisory business reported a 7% increase in revenue to €8.7m. All in all, revenues increased 21.6% to €53.3m, of which >11% was organic growth.
Gross margin pressure, because of the acquisition of Top Ten (which has lower margins then the group average), was lower than we had anticipated. As a result, EBITDA increased 28% to €4.1m, EBIT rose 40% to €2.5m (EBIT margin 4.2%) and net income was €2.1m, compared to €1.4m in Q123. Due to seasonality, Q2 and Q3 are usually weaker compared to Q1 and Q4, but the strong start in Q1 adds more credibility to reaching the reiterated guidance of revenue of €205–220m and EBITDA of €14.5–16.0m.
New orders increased ~13% and the number of portfolio transfers initiated increased by around 58% compared to Q123. In FY23 the number of portfolio transfers amounted to ~500,000. Once on JDC’s platform, each contract delivers ~€35 in commission income and provides annually recurring revenues. In total, JDC’s platform now manages >€1.2bn in insurance premiums, up from less than €1bn at the start of 2023. In Q1, new business in the life and motor vehicle insurance products developed particularly positively. All in all, with the unchanged guidance, we have made no changes to our estimates, although guidance is looking more conservative now.
|
|
Research: Healthcare
Newron Pharmaceuticals has released additional data from its Phase II/III trial (study 008A), providing further evidence to support evenamide’s potential in schizophrenia. After four weeks of treatment, the mean score on the Clinical Global Impression of Change (CGI-C) scale, a key secondary efficacy measure, was 3.3 versus 3.5 for placebo, with the lower score translating to more favourable outcomes. Also, 31.3% of patients rated ‘much improved’ versus 17.3% on placebo. The update indicated that all the major efficacy measures increased over time, similar to the trend seen in the Phase II 014/015 study, albeit in a larger, randomised, placebo-controlled setting. The results highlight the drug’s potential as an effective long-term treatment in a segment with limited treatment options. As previously discussed, a potentially pivotal Phase III study in treatment-resistant schizophrenia (TRS) (study 017) is in the works, and expected to commence within 2024.