Resilient Q3 Profitability // Convincing CMD; chg

Overall, sales decreased by 10% yoy to € 58.5m, well below our expectations (eNuW € 66.7m). The sales per segment were as follows:

• Consumer Banking: € 44m, -17% yoy (eNuW € 52.4m)

• SME Banking: € 8.8m, +2% yoy (eNuW € 9m)

• Wholesale Banking: € 5.7m, +62% yoy (eNuW € 5.3m)

The sales decline in Consumer Banking was mainly driven by two main factors: 1) the divestments within the Consumer Banking segment and 2) adverse macroeconomic conditions, most notably the lower interest rate environment. For the Group, net interest income amounted to € 46.9m, below our estimates (eNuW € 55.7m).

EBT came in at € 7.1m 13.3% yoy, below our expectations (eNuW € 7.9m). Despite the soft top-line performance, EBT was resilient however, aided notably by the flourishing partnership business and the continuously declining impairment losses. In the partnership business, the net fee and commission income was a strong € 3.5m (eNuW € 2.7m) for Q3’25, which has already added some € 8m for 9M’25. Impairment losses on an absolute and relative level declined, coming in at € 19m (eNuW € 20m), despite the loan book increasing, driven by an increasing quality of loan book paired with improved risk management.

Due to the company’s divestments in Consumer Banking, we cut our Q4’25 sales estimates for that segment and now project FY25 sales to come in at € 249.4m (previously € 267.1m). We also slightly adjust our estimates upwards for the fee and commission income and Wholesale Banking sales, but remain cautious on the impairment losses as impairments in Q4 are historically higher. Following our revisions, our net profit estimate for FY25 projects Multitude to still over-achieve the guidance, at € 26.5m (eNuW). As a reminder, Multitude guides for this year a net profit between € 24 – 26m.

Going forward the company will - as presented during yesterday´s very convincing CMD - base its growth strategy on three pillars: Organic growth, partnerships and M&A. Worth highlighting is in particular Multitude’s outlook on the partnership business.