First Berlin Equity Research has published a research update on Energiekontor AG (ISIN: DE0005313506). Analyst Dr. Karsten von Blumenthal reiterated his BUY rating and decreased the price target from EUR 134.00 to EUR 126.00.

Energiekontor (EKT) published its 2023 annual report which showed record figures. EBT amounted to €95.5m (+52% y/y), in line with recently raised guidance (EBT: €80m to €100m) and 16% above our €82.6m forecast. Project delays both in the UK and Germany resulted in 2024 EBT guidance of €30m to €70m, which was below market expectations. Management emphasised that 2025 EBT looks set to be high as project sales originally planned for 2024 are now expected to take place in 2025. We have revised our forecasts accordingly. An updated sum-of-the-parts valuation yields a new price target of €126 (previously: €134). Despite the expected EBT dip in 2024, we remain optimistic for EKT, as the volume of projects under construction, or ready for construction, increased by 92% y/y from 165 MW to 316 MW, which bodes well for 2025 & 2026 EBT. We maintain our Buy recommendation.