First Berlin Equity Research has published a research update on ad pepper media International N.V. (ISIN: NL0000238145). Analyst Dr. Karsten von Blumenthal reiterated his BUY rating and maintained his EUR 2.90 price target.

Abstract
ad pepper media (APM) has published its H1 report. Final revenue and EBITDA figures matched preliminary numbers. Despite slightly lower Q2 revenue (€5.2m, -3% y/y), management turned the net result around (€113k versus €-450k in Q2/23), as all relevant cost positions were significantly lowered. Management focus is now on gaining new clients to push revenue up and exploit the high operating leverage of the business model. As every year, Q4 (Christmas business) will be decisive for a good annual performance. We believe that lower European central bank rates will slowly work through the markets and cheer up consumers, which will probably result in higher spending and increased ad budgets at APM’s clients. Given that APM’s H1 EBITDA amounted to €707k, we believe that it will easily reach our 2024 EBITDA target of €1.8m. An updated DCF model yields an unchanged €2.90 price target. We confirm our Buy recommendation.