Original-Research: q.beyond AG - from NuWays AG Classification of NuWays AG to q.beyond AG Company Name: q.beyond AG ISIN: DE0005137004 Reason for the research: Update Recommendation: Kaufen from: 14.05.2024 Target price: EUR 1.10 Target price on sight of: 12 Monaten Last rating change: Analyst: Philipp Sennewald Strong Q1 figures hint towards successful transformation/ chg. Yesterday, q.beyond released a strong set of Q1 figures, which exceeded ours and streets profitability estimates as efficiency measures bore fruit despite rather muted top-line growth. In detail: Q1 sales increased slightly by 1.1% yoy to € 47.1m (eNuW: €47.5m, eCons: € 47.6m), of which 74% were recurring revenues. The muted growth momentum was predominantly due to the Consulting segment, which declined by 8% yoy to € 14.2m, which was mainly due to the reduction in low-margin project sales. This also allowed for an improved segment gross margin (+6.3pp to 8.4%). In the mid-term, management aims to continuously improve the Consulting margin driven among others by an increasing offand near-shoring ratio (target: 20% vs 12% after Q1), an improved utilizitation rate as well as higher daily rates. In contrast, the Managed Services segment grew by 5.7% yoy to € 32.9m at an improved margin of 21.5%. Hence, q.beyond was able to improve its gross profit by 38.5% to € 8.2m (eNuW: € 7.8m, eCons: € 7.9m), implying a margin of 17.5% (+4.7pp yoy). On this basis, Q1 EBITDA also significantly improved to € 2.0m at an implied margin of 4.2% (eNuW: € 1.4m, eCons: € 1.4m), which compares to negative € 1.3m in the previous year's quarter. Next to the improved gross margin, EBITDA was driven by significantly reduced sales & marketing (-1.5pp yoy sales ratio) and G&A expenses (-0.3pp) as well as the effects of “One q.beyond” strategy (i.e. eliminating duplicate structures). FCF came in at € 1.4m (company definition: € 0.6m), leading to a continuously comfortable net cash position of You can download the research here: http://www.more-ir.de/d/29737.pdf For additional information visit our website www.nuways-ag.com/research. Contact for questions NuWays AG - Equity Research Web: www.nuways-ag.com Email: research@nuways-ag.com LinkedIn: https://www.linkedin.com/company/nuwaysag Adresse: Mittelweg 16-17, 20148 Hamburg, Germany ++++++++++ Diese Meldung ist keine Anlageberatung oder Aufforderung zum Abschluss bestimmter Börsengeschäfte. Offenlegung möglicher Interessenskonflikte nach § 85 WpHG beim oben analysierten Unternehmen befinden sich in der vollständigen Analyse. ++++++++++ -------------------transmitted by EQS Group AG.------------------- The issuer is solely responsible for the content of this research. The result of this research does not constitute investment advice or an invitation to conclude certain stock exchange transactions.

Original-Research: q.beyond AG - from NuWays AG Classification of NuWays AG to q.beyond AG Company Name: q.beyond AG ISIN: DE0005137004 Reason for the research: Update Recommendation: BUY from: 12.03.2024 Target price: 1.00 Target price on sight of: 12 Monaten Last rating change: Analyst: Philipp Sennewald FY prelims without surprises + bullish outlook // chg. Implied Q4 sales increased by 9% yoy to € 50.8m (eNuW: € 47.6m, eCons: € 47.4m). Growth was predominantly driven by the continued recovery of the SAP segment (21% of sales), where revenues increased strongly by 28% yoy to € 10.8m (eNuW: € 8.9m), following several key customer wins as well as a pick-up of the S/4HANA transformation. The Cloud & IoT segment (79% of sales) showed yet another quarter with muted growth of 4.9% yoy to € 40.1m (eNuW: 2.7% organic growth), although exceeding our estimate of € 38.7m. Overall, FY ’23 sales increased 9.4% yoy to € 189m (eNuW & eCons: € 186m). 50% of the growth is attributable to the productive-data acquisition. Q4 EBITDA came in at € 5.8m (eNuW & eCons: € 5.2m), implying an 11.5% margin and a 358% yoy increase. However, the strong increase is mainly due to a decision of the tax authorities in favor of q.beyond, which had a positive effect of € 8.6m (eNuW: € 3.2m net cash effect in ‘24). On the other hand, the company built up provisions amounting to € 5.3m mainly related to the ongoing business transformation. Hence, while FY reported EBITDA came in at € 5.7m, the operating EBITDA amounted to € 2.4m. Notably, the company generated FCF of € 1.7m (eNuW: €1.4m, eCons: € 0.2m), thus reaching breakeven one year ahead of target. With now € 37.6m of net cash, CEO Rixen indicated in yesterday’s CC that M&A might already be on the table for late 2024. Here, one possibility could be to partner up with a company from a respective industry in order to access new verticals (see logineer). Mind you, future M&A is not reflected in our model, thus providing a certain upside to our estimates. Bullish FY ’24 guidance. With the release, management also provided a 2024 outlook, targeting sales of € 192-198m (eNuW new: € 197m, eCons: € 196m) and an EBITDA of € 8-10m (eNuW new: € 8.1m, eCons: € 7.4m). While 3% sales growth at mid-point should be achievable, the EBITDA guidance appears quite ambitious, as it implies an incremental margin of 125% at mid-point with respect to the operating EBITDA. Yet, with our new estimates we expect the company to achieve the lower end of the guided range due to (1) an increased off- and near-shoring ratio, (2) an increased consulting and development ratio as well as the (3) ongoing streamlining of processes in connection with one-q.beyond (i.e. eliminate duplicate structures, optimize order-to-cash). New segmentation: From 2024 onwards, q.beyond will change its segment reporting, as the new segments “Managed Services” and “Consulting” will replace the current segmentation (“Cloud & IoT” and “SAP”). 'Managed Services' will comprise the q.beyond data centres in Hamburg and Ulm as well as logineer while 'Consulting' will comprises the former SAP segment as well as the Microsoft services, ITsecurity, software development, data-intelligence and cloud consulting. A more detailed overview is provided below. Remains a BUY with an unchanged PT of € 1.00 based on DCF. You can download the research here: http://www.more-ir.de/d/29113.pdf For additional information visit our website www.nuways-ag.com/research. Contact for questions Die Analyse oder weiterführende Informationen zu dieser können Sie hier downloaden: www.nuways-ag.com/research. NuWays AG - Equity Research Web: www.nuways-ag.com Email: research@nuways-ag.com LinkedIn: https://www.linkedin.com/company/nuwaysag Adresse: Mittelweg 16-17, 20148 Hamburg, Germany ++++++++++ Diese Meldung ist keine Anlageberatung oder Aufforderung zum Abschluss bestimmter Börsengeschäfte. Offenlegung möglicher Interessenskonflikte nach § 85 WpHG beim oben analysierten Unternehmen befinden sich in der vollständigen Analyse. ++++++++++ -------------------transmitted by EQS Group AG.------------------- The issuer is solely responsible for the content of this research. The result of this research does not constitute investment advice or an invitation to conclude certain stock exchange transactions.

Original-Research: q.beyond AG - von NuWays AG Einstufung von NuWays AG zu q.beyond AG Unternehmen: q.beyond AG ISIN: DE0005137004 Anlass der Studie: Update Empfehlung: BUY seit: 25.01.2024 Kursziel: 1.00 Kursziel auf Sicht von: 12 Monaten Letzte Ratingänderung: Analyst: Philipp Sennewald One q.beyond to drive margins in 2024e In light of the ongoing restructuring process as well as macro-headwinds, we observed a rather uninspiring operating performance, especially on the bottom-line, as of 9M ‘23. Despite that, q.beyond is seen to achieve its FY ’23 guidance: €185-191m sales, € 5-7m EBITDA and > € -4m FCF. While the lower end of the sales guidance should be reached (eNuW: € 186m) and FCF generation should even be positive (eNuW: € 1.4m), meeting the EBITDA outlook (eNuW: € 5.1m) still depends on a decision by the tax authorities concerning the Plusnet sale in 2019. The group's operating EBITDA looks set to come in at only € 0.3m (eNuW). That said, the company is seen to publish preliminary FY figures in early March, (final: March 30th) as well as an initial FY ’24 guidance. As management aims to reap the fruits of the imposed efficiency measures in connection with the 2025 Strategy, investors should expect an outlook, targeting sales growth in the mid-to-high-single-digit range (eNuW: +7%; eCons: +5.4%), positive FCF generation (eNuW: € 5.3m; eCons: € 3.7m) as well as EBITDA of € 6-9m (eNuW: € 6.1m; eCons: € 8.1m). As a reminder, with the 2025 Strategy, management set itself three strategic priorities: (1) Ongoing focus on key verticals (retail, logistics & manufacturing) coupled with an expansion of the consulting and development business, (2) effective go-to-market with an increased emphasis on the indirect sales channels (35% of Q3 order intake) as well as (3) the continuous implementation of One q.beyond, which is the company’s current efficiency program. Here, the focus is on streamlined processes via the elimination of duplicate structures, an optimized order-to-cash process and an increased near-/offshoring share (target: >20% vs c. 10% currently). While some of those measures, such as the improved receivables management, already took effect (improved FCF guidance (old: > € 8m), the implementation of One q.beyond is seen to fully unfold from 2024e onwards, thus allowing for expanding margins. We hence turn cautiously optimistic but keep our PT unchanged at € 1.00. While the stock should have downside protection thanks to the € 37m net cash position as well as a land plot in Hamburg (€ 17m book value), an upbeat FY guidance in March as well as a strong start into the year (Q1 to be released on May 8th) could serve as re-rating catalysts. Remains a BUY. Die vollständige Analyse können Sie hier downloaden: http://www.more-ir.de/d/28751.pdf Die Analyse oder weiterführende Informationen zu dieser können Sie hier downloaden www.nuways-ag.com/research. Kontakt für Rückfragen NuWays AG - Equity Research Web: www.nuways-ag.com Email: research@nuways-ag.com LinkedIn: https://www.linkedin.com/company/nuwaysag Adresse: Mittelweg 16-17, 20148 Hamburg, Germany ++++++++++ Diese Meldung ist keine Anlageberatung oder Aufforderung zum Abschluss bestimmter Börsengeschäfte. Offenlegung möglicher Interessenskonflikte nach § 85 WpHG beim oben analysierten Unternehmen befinden sich in der vollständigen Analyse. ++++++++++ -------------------übermittelt durch die EQS Group AG.------------------- Für den Inhalt der Mitteilung bzw. Research ist alleine der Herausgeber bzw. Ersteller der Studie verantwortlich. Diese Meldung ist keine Anlageberatung oder Aufforderung zum Abschluss bestimmter Börsengeschäfte.

Original-Research: q.beyond AG - von NuWays AG Einstufung von NuWays AG zu q.beyond AG Unternehmen: q.beyond AG ISIN: DE0005137004 Anlass der Studie: Q3 Review Empfehlung: BUY seit: 14.11.2023 Kursziel: € 1,00 Kursziel auf Sicht von: 12 Monaten Letzte Ratingänderung: Analyst: Philipp Sennewald Q3 profitability even weaker than expected; chg. Yesterday, q.beyond released weak Q3 figures, showing a slowdown in growth and profitability even below our recently revised estimates as well as significantly below consensus. In detail: Q3 sales increased 5.4% yoy to € 45.5m (eNuW: € 45.1m; eCons: € 46.1m), which was predominantly driven by the accelerated recovery of the SAP segment with 12.3% growth to € 8.8m (eNuW: € 8.7m) following a sales offensive in recent quarters. However, the otherwise strong Cloud & IoT segment showed a significant slowdown in growth with a yoy increase of 3.8% (vs 13.4% in H1; -3% organically, excluding productive data acquisition) to € 36.6m (eNuW: € 36.4m). Besides the general market weakness, the company states price reductions for key customers (e.g. Tchibo) as the main reason for the performance. Q3 EBITDA decreased 95% yoy to € 0.1m (eNuW: € 0.6m; eCons: € 1.2m), implying a 0.2% margin (-380 bps yoy). Here, especially the reduced segment margin of the Cloud & IoT segment (-130 bps yoy) following inflationary cost increases as well as a substantially lower other operating income of € 0.2m (vs € 1.6m in Q3’22) weighed on profitability. Despite the weak operating result, management confirmed the FY guidance of € 185-191m sales, € 5-7m EBITDA and FCF of > € -4m. While the sales (eNuW: € 186m; eCons: € 187m; 9M: € 138m) and FCF (eNuW: € 1.4m; eCons: € -2.2m; 9M: € 1.1m) outlook look in reach, the EBITDA target appears more than ambitious in light € -0.1m after 9M and will only be reached thanks to a significant other operating income contribution. This however depends on a decision by the tax authorities concerning the Plusnet sale in 2019, which will, according to management, at least partly turn out in favor of q.beyond leading to the anticipated one-off. Adjusting for this, the EBITDA is seen at € 0.3m (eNuW). Going forward, especially the increasing near- and off-shore focus, higher utilization rates as well as the one q.beyond strategy are seen to have a positive impact on profitability. Moreover, the net cash position of € 37.3m should be partly put to work in the form of value accretive M&A in 2024e, leaving a certain upside to our estimates. Despite shares looking mispriced after the recent weakness and the stock trading at only 0.2x EV/Sales 2023e, there is no catalyst for a possible re-rating in sight, in our view. We confirm BUY with a PT of € 1.00 based on DCF, while at the same time highlighting the absence of catalysts in the short term. Die vollständige Analyse können Sie hier downloaden: http://www.more-ir.de/d/28247.pdf Die Analyse oder weiterführende Informationen zu dieser können Sie hier downloaden www.nuways-ag.com/research. Kontakt für Rückfragen NuWays AG - Equity Research Web: www.nuways-ag.com Email: research@nuways-ag.com LinkedIn: https://www.linkedin.com/company/nuwaysag Adresse: Mittelweg 16-17, 20148 Hamburg, Germany ++++++++++ Diese Meldung ist keine Anlageberatung oder Aufforderung zum Abschluss bestimmter Börsengeschäfte. Offenlegung möglicher Interessenskonflikte nach § 85 WpHG beim oben analysierten Unternehmen befinden sich in der vollständigen Analyse. ++++++++++ -------------------übermittelt durch die EQS Group AG.------------------- Für den Inhalt der Mitteilung bzw. Research ist alleine der Herausgeber bzw. Ersteller der Studie verantwortlich. Diese Meldung ist keine Anlageberatung oder Aufforderung zum Abschluss bestimmter Börsengeschäfte.