ASMALLWORLD AG (von NuWays AG): BUY

Original-Research: ASMALLWORLD AG - from NuWays AG 08.10.2025 / 09:00 CET/CEST Dissemination of a Research, transmitted by EQS News - a service of EQS Group. 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. Classification of NuWays AG to ASMALLWORLD AG

Company Name:	ASMALLWORLD AG
ISIN:	CH0404880129
Reason for the research:	Update
Recommendation:	BUY
from:	08.10.2025
Target price:	CHF 2.50
Target price on sight of:	12 months
Last rating change:
Analyst:	Henry Wendisch

H1 Review and new CEO to foster turnaround; chg. est & PT.

Following the H1 results and the first months of the new CEO Richardson, we take the opportunity to take a closer look at ASW. Here’s our view:

H1 results look worse than they are: Reported sales declined by 25% yoy to CHF 8.8m due to (1) reduced demand for subscriptions like “Prestige” and “Signature” memberships amid uncertainty around the Miles & More model change (sales of Subscriptions segment decreased by 9% yoy to CHF 7m) and (2) a strong comparable base, especially in the Services segment. Here H1’24 contained unusually high low-margin, non-recurring event-related sales (eNuW: CHF 2m), as well as positive one-offs from the resolution of the legal dispute with “MAG of Life” to the tune of CHF 0.5m. Consequently, the segment sales of Services decreased to CHF 1.7m, down 58% yoy. However, if both positive one-offs are excluded, the underlying sales of the services segment actually increased by 9% yoy, showing the solid development happening at ASW. Consequently, H1 reported EBITDA declined as well and arrived at CHF 0.4m (-54% yoy, 4.9% margin). Mind you, H1 also includes a certain degree of CEO salary overlap and associated costs (e.g. headhunters) to the tune of CHF 0.2m (eNuW), which we regard as one-offs. On the other hand, this implies a solid performance in underlying EBITDA, which increased from CHF 0.4m in H1’24 to CHF 0.6m in H1’25, despite the drop in underlying sales.