cyan AG published its full-year report for 2023. The 2023 results were in line with the preliminary results announced in April. FY revenues were reported at EUR 4.7m, up 24% yoy, stemming from a high proportion of recurring revenues (93%). EBITDA from continuing operations decreased to EUR -4.5m, due to higher external services costs (COGS) and one-off impairments (EUR 0.6m). The FY24 outlook indicates revenues between EUR 6.6-7.4m, representing a 50% year-over-year increase at the midpoint, and notable improvement in EBITDA (exclusive of special effects). In light of the customer wins reported to date and the upcoming launches, mwb research’s analysts believe the guidance to be somewhat conservative. Nevertheless, the analysts have made slight adjustments to their FY24 estimates, which remain at the upper end of the range. On updated overall estimates, mwb research’s analysts raise their PT to EUR 3.85 (old: EUR 3.50). The rating remains BUY. The full update can be downloaded under https://www.research-hub.de/companies/cyan%20AG

This week, Thomas Kicker and Markus Cserna, CEO and CTO of cyan AG, provided an overview of the new cyan AG during a well-attended roundtable hosted by mwb research. Following the i-new sale in December 2023, the management provided an overview of the company and outlined the path for 2024. The plan for 2024 is aimed to lay a leaner organizational foundation, a refocus on product level, while expanding business into additional markets and customer groups. From a financial perspective, the overall FY24 earnings performance will be still negative. However, the company targets a break-even for EBITDA and operating CF by Q4 2024. If the implementation is successful, the company will be on a solid footing to scale the business and grow profitably from 2025 onwards. mwb research’s analysts confirm their PT of EUR 3.50 and reiterate their BUY recommendation. The full update can be downloaded under https://www.research-hub.de/companies/cyan%20AG

cyan AG announced its preliminary figures for FY23. Including the i-new business, operating revenues came in at EUR 8.6m, roughly in line with mwb research’s estimates. Group EBITDA (incl. i-new and one-offs) amounted to EUR -9.7m (mwb est: EUR -12.7m), better than forecasted due to a retrospective recognition of changes in inventories in FY22, which was originally planned for FY23. Cybersecurity figures show a positive top-line performance. Recurring revenues were up by 41% yoy, driven by the increase in the subscriber base (+71%). After adjusting the model, the analysts come to a new PT of EUR 3.50 (old: EUR 3.20), reiterating their BUY recommendation. On April 15, 2024, mwb research will host a roundtable event with cyan AG’s management, for which you can register under https://research-hub.de/events/registration/2024-04-15-14-00/CYR-GR. The full update can be downloaded under https://www.research-hub.de/companies/cyan%20AG

In light of the constant threat of cyberattacks, as demonstrated by the recent examples of Varta AG and PSI Software AG, cyan AG comes into the spotlight, announcing a 71% yoy increase of end customers in 2023. At the end of 2023, cyan sold its BSS/OSS business (i-new) to the Compax Group, an Austrian provider of business support systems (BSS) and mobile virtual network operators (MVNO) solutions. Under the leadership of the new CEO Thomas Kicker, who has extensive experience in the telecoms sector, the company is now fully focused on cybersecurity. After a 47% rise in the share price since the i-new sale, AlsterResearch still expects more upside once the market is provided with more substance on the strategy and outlook. The price target and rating remain unchanged with reference to a pending update of the model. The full update can be downloaded under https://www.research-hub.de/companies/cyan%20AG

Yesterday, cyan AG announced the sale of its BSS/OSS platform business (i-new) to Compax Group, an Austrian provider of BSS software and mobile virtual network operators solutions. cyan will receive funds in the mid-single-digit million range. Additionally, an earn-out could provide further upside in the next four years. This will enable cyan to fully focus on its cybersecurity business, which gained increasingly momentum over the past 2 years by winning a number of customers. The designated CEO, Thomas Kicker, was already involved in the sale of i-new, before he will officially join cyan in the beginning of 2024. The sale will improve the financial situation and provide funds for further product development. AlsterResearch’s analysts expect cyan's new personnel and updated strategy to trigger a re-rating of the shares. AlsterResearch’s price target of EUR 3.20 and BUY rating remain unchanged. The full update can be downloaded under https://www.research-hub.de/companies/cyan%20AG

This week, cyan AG published a ‘23 EBITDA forecast below AlsterResearch's expectations. The company is expecting operating losses between EUR 12m to EUR 13m, after a loss of EUR 8.4m in 2022, driven by a weaker organic top line development and several one-off effects, bearing negative impacts. These one-offs are related to changes in inventories and foreign currency effects, which AlsterResearch expects to be not cash effective. Further, cyan is about to issue a 1% convertible bond with one year maturity with a total nominal value of up to EUR 1.5m. Following a downgrade of earnings forecast, AlsterResearch comes to a new PT of EUR 3.20 (old: EUR 3.60). The full update can be downloaded under https://www.research-hub.de/companies/cyan%20AG