Kontron reported a solid Q1 2025, beating earnings expectations despite muted topline growth. Revenues rose 8.2% yoy to EUR 385.4m, while gross margin improved to 44.0%, driving a 36% yoy EBITDA increase to EUR 48.0m. Europe showed positive revenue growth and margin gains; the Global segment saw a margin recovery despite lower sales. Software + Solutions boasted a 43% EBITDA growth despite headwinds in solar. Design wins rose sharply to EUR 7.45bn (+12% qoq), supporting future order intake. With a 1.28x book-to-bill and a growing backlog, Kontron is confident on a stronger H2 and reaffirmed FY25 guidance. mwb research’s analysts reiterate their BUY rating and EUR 35.00 price target. The full update can be downloaded under: https://www.research-hub.de/companies/research/Kontron%20AG

Stabilus again reported weak organic (org.) results for Q2 FY 25 - revenues were down 5.0% yoy and adjusted (adj.) EBIT slumped 24.2% yoy, mainly due to a sluggish automotive sector. However, inorganic contributions from Destaco and improving demand for aftermarket/spare parts business drove the reported revenues up 7.8% yoy to EUR 338m and resulted in a slower 3.1% yoy drop in adj. EBIT to EUR 37.7m, with the margin down 1.2ppt yoy to 11.2% (in part bolstered by Destaco’s 18.8% margin). Management expects some catch-up effects in H2 and left its FY 25 outlook unchanged. It continues to guide for revenues of EUR 1.3bn-1.45bn (+5% yoy at the midpoint) and an adj. EBIT margin of 11%-13% (12.0% in FY 24). Destaco’s consolidation has started delivering sales and cost synergies, which are guided to reach EUR 50m and EUR 10m by FY 28, respectively. However, given the current macro challenges and tariff uncertainties, mwb research’s analysts take a cautious view on Stabilus’s time-line to reach a sustained growth trajectory. The analysts slightly increase their estimates for Destaco synergies and reiterate their BUY rating on the stock at an unchanged target price of EUR 42.00. The full update can be downloaded under https://www.research-hub.de/companies/Stabilus%20SE

Elmos delivered roughly in-line Q1 results, navigating ongoing customer inventory adjustments and broader market softness with strong execution on adjusted free cash flow. While visibility remains limited, improving order trends and a book-to-bill above 1.0 support the view that Q1 likely marked the trough, with stronger order momentum expected in H2 as destocking eases and customer purchasing behavior begins to normalize. The company reaffirmed its 2025 full-year guidance but cautioned that further escalation in trade tensions could have an indirect but meaningful impact on financial performance. In mwb research’s view, the guidance looks achievable but skewed toward the mid-point of the range unless demand picks up meaningfully in H2. That said, Elmos remains well positioned structurally, with strong leverage to secular trends in automotive semis and clear operational discipline following its transition to a fabless model. mwb research’s analysts reiterate their BUY and price target of EUR 90.00. The full update can be downloaded under https://research-hub.de/companies/Elmos%20Semiconductor%20SE

MHP Hotel AG has raised its FY24 EBITDA guidance to EUR 10.0-10.5m (from EUR 9m) following a stronger than expected performance, driven by its strategic focus on the premium and luxury hotel segment, which continues to outperform in Germany. The recently released Q1 results showed continued robust growth with RevPAR up 12% and revenue up 17% yoy, supported by higher occupancy, higher rates and the opening of the Koenigshof Munich. The company remains confident in its growth strategy and the ongoing consolidation in the European hotel industry creates attractive opportunities. If warranted, MHP would consider raising funds to capitalize on these opportunities. The 2025 guidance is confirmed. mwb research’s analysts raise their estimates and increase their target price to EUR 3.35 (from EUR 3.30). MHP trades at a very attractive 25E EV/EBITDA multiple of less than 3x, which supports mwb research’s BUY recommendation. The full update can be downloaded under https://research-hub.de/companies/MHP%20Hotel%20AG

R. STAHL posted record Q1 25 order intake of EUR 98.8m (+7.1% yoy), driven by strong demand in Asia/Pacific (+84%), boosting backlog to EUR 122.4m. However, revenues declined 13.4% yoy to EUR 73.3m due to the lag from H2 24’s weak demand. EBITDA before special items fell 56.6% yoy to EUR 3.7m, with the EBITDA margin halving to 5.0%, impacted by lower sales and rising personnel costs. As a result, net income turned negative at EUR -2.5m. While short-term earnings are under pressure, strong order momentum and strategic progress in Asia support management's cautiously optimistic outlook for H2 25. mwb research’s analysts have revised their model assumptions, incorporating the reported FY24 numbers and the Q1 25 update, as well as the FY outlook. Although the analysts have lowered their near-term estimates, their long-term forecasts remain intact. mwb research lowers its price target from EUR 27.20 to EUR 25.30, while maintaining the BUY recommendation. The full update can be downloaded under https://research-hub.de/companies/r-stahl-ag

Rational's Q1 2025 results were mixed, with revenues of EUR 295m (+3% yoy) slightly below consensus and EBIT of EUR 72m (+1% yoy) missing expectations due to a planned 10% rise in operating costs, particularly R&D. EPS came in at EUR 5.00, about 3% below consensus, while free cash flow turned negative due to timing-related tax and working capital effects. Regional growth was led by Europe ex-Germany (+7%) and North America (+11%), while Asia declined 20% due to a tough prior-year comparison. Management reaffirmed its FY 2025 guidance for mid-single-digit sales growth and ~26% EBIT margin, maintaining a cautiously optimistic outlook. mwb research’s analysts see no major changes to the underlying investment case but note limited near-term upside given the current valuation (~35x FY25E P/E). The analysts maintain their HOLD rating with an unchanged PT of EUR 835.00. The full update can be downloaded under https://www.research-hub.de/companies/research/RATIONAL%20AG

Koenig & Bauer (SKB) reported Q1 2025 sales of EUR 252.2m (-0.4% yoy), in line with expectations amid seasonal weakness. The Paper & Packaging segment grew 7.4% yoy, partially offsetting a 7.2% yoy decline in the Special & New Technologies segment. Order intake rose slightly to EUR 245.2m (+0.9% yoy), and the order backlog reached a record EUR 1.03bn (+14.6% yoy), ensuring solid visibility for FY25. EBIT margin declined due to temporary volume/mix effects and Spotlight-related costs. Despite this, FY25 guidance was reaffirmed, with revenue expected at EUR 1.3bn and EBIT between EUR 35–50m. Strategic initiatives, including a CFO transition, digital spin-off, and partnerships with Google and Siemens, bolster SKB’s transformation. mwb research’s analysts maintain their BUY rating and EUR 21.00 price target. The full update can be downloaded under https://www.research-hub.de/companies/research/Koenig%20&%20Bauer%20AG

A mixed but stable start to 2025 for BASF, as macro uncertainty weighs on near-term visibility. Q1 results showed modest top-line pressure from softer volumes and pricing, particularly in Agricultural Solutions and Surface Technologies, while EBITDA ex-special items held up better than expected thanks to positive one-offs in the ‘Other’ segment. Profitability across core businesses remained under pressure, and free cash flow was negative, reflecting working capital effects, litigation payments, and metals trading. Management reaffirmed its full-year guidance but acknowledged rising external risks, particularly from trade tensions and demand caution across key markets. Still, BASF continues to focus on cost discipline, localized production, and selective investments in growth areas—setting a more resilient base for medium-term recovery. mwb research’s analysts maintain their BUY rating but reduce their price target to EUR 55.00 (from EUR 60.00), reflecting a slower-than-expected earnings recovery despite an improving strategic setup. The full update can be downloaded under https://www.research-hub.de/companies/BASF%20SE

Drägerwerk (Dräger) delivered a mixed Q1 25, with order intake rising 6.1% yoy to EUR 860.8m, signaling robust demand across both Medical and Safety divisions. However, revenue declined slightly by 1.2% to EUR 730.3m, and EBIT dropped to just EUR 0.4m (Q1 24: EUR 15.1m) due to seasonal effects and higher personnel costs. The strong momentum in Engineered Solutions and growth in EMEA and APAC underline strategic traction. Despite seasonal margin pressure, management reaffirmed its FY25 guidance (1–5% sales growth, 3.5–6.5% EBIT margin). Supported by a healthy order book and the improving business mix, mwb research’s analysts maintain their BUY rating and the unchanged price target of EUR 72.00. The full update can be downloaded under https://www.research-hub.de/companies/Draegerwerk%20AG%20&%20Co.%20KGaA

In Q1, the industry faced a softer jackpot environment with no peaks - a dynamic that typically dampens engagement and spending. Still, the company continues to benefit from strong structural momentum, including pricing tailwinds, a growing active user base, and improving business mix from the ramp-up of higher-margin verticals such as Games and Traumhausverlosung. These drivers are expected to support solid top-line growth, with sales forecast at EUR ~48m (+32.5% yoy), and EBITDA margin expanding to 29% (+3pp yoy), weighted down partially by increased marketing and growth investments. mwb research’s analysts see ZEAL firmly on track to meet its full-year targets, underscoring the scalability and strength of its platform, reinforced by consistently outstanding execution. The analysts maintain their BUY rating with PT EUR 60.00. The full update can be downloaded under https://www.research-hub.de/companies/ZEAL%20Network%20SE