Board Change • May 20
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 9 experienced directors. No highly experienced directors. 2 independent directors (4 non-independent directors). Independent Director Pierpaolo Guzzo was the last independent director to join the board, commencing their role in 2022. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. お知らせ • Apr 13
Siav S.p.A., Annual General Meeting, Apr 27, 2026 Siav S.p.A., Annual General Meeting, Apr 27, 2026, at 15:00 W. Europe Standard Time. お知らせ • Apr 14
Siav S.p.A., Annual General Meeting, Apr 28, 2025 Siav S.p.A., Annual General Meeting, Apr 28, 2025, at 15:00 W. Europe Standard Time. Reported Earnings • Oct 06
First half 2024 earnings released First half 2024 results: Revenue: €16.4m (down 1.3% from 1H 2023). Net loss: €496.0k (loss widened 34% from 1H 2023). Revenue is forecast to grow 15% p.a. on average during the next 3 years, compared to a 9.9% growth forecast for the Software industry in Germany. New Risk • Oct 02
New major risk - Revenue and earnings growth Earnings have declined by 68% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks Interest payments are not well covered by earnings (0.7x net interest cover). Earnings have declined by 68% per year over the past 5 years. Minor Risk Market cap is less than US$100m (€16.1m market cap, or US$17.8m). Reported Earnings • May 03
Full year 2023 earnings released Full year 2023 results: Revenue: €34.0m (up 1.3% from FY 2022). Net loss: €275.8k (down 127% from profit in FY 2022). Revenue is forecast to grow 13% p.a. on average during the next 3 years, compared to a 9.8% growth forecast for the Software industry in Germany. New Risk • Apr 15
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended June 2023. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Major Risks Interest payments are not well covered by earnings (2.2x net interest cover). High level of non-cash earnings (31% accrual ratio). Minor Risks Latest financial reports are more than 6 months old (reported June 2023 fiscal period end). Profit margins are more than 30% lower than last year (1.9% net profit margin). Market cap is less than US$100m (€21.8m market cap, or US$23.2m). New Risk • Oct 08
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 1.9% Last year net profit margin: 4.9% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Major Risks Interest payments are not well covered by earnings (2.2x net interest cover). High level of non-cash earnings (31% accrual ratio). Minor Risks Profit margins are more than 30% lower than last year (1.9% net profit margin). Market cap is less than US$100m (€31.8m market cap, or US$33.7m). New Risk • Oct 01
New major risk - Revenue and earnings growth Revenue has declined by 8.1% over the past year. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If revenues are declining, then it is difficult for the company to prevent its earnings from declining as well. A trend of falling revenue can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks Interest payments are not well covered by earnings (2.0x net interest cover). Revenue has declined by 8.1% over the past year. High level of non-cash earnings (31% accrual ratio). Minor Risk Market cap is less than US$100m (€32.7m market cap, or US$34.5m). Buying Opportunity • Aug 07
Now 23% undervalued after recent price drop Over the last 90 days, the stock is down 1.4%. The fair value is estimated to be €4.66, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last year. Earnings per share has declined by 98%. New Risk • Jul 26
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 33% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (20% operating cash flow to total debt). High level of non-cash earnings (33% accrual ratio). Minor Risks Share price has been volatile over the past 3 months (7.0% average weekly change). Profit margins are more than 30% lower than last year (3.0% net profit margin). Market cap is less than US$100m (€35.0m market cap, or US$38.8m). New Risk • Jul 02
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of German stocks, typically moving 8.2% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (18% operating cash flow to total debt). Revenue has declined by 8.8% over the past year. Minor Risks Share price has been volatile over the past 3 months (8.2% average weekly change). Large one-off items impacting financial results. Market cap is less than US$100m (€40.4m market cap, or US$44.1m). Valuation Update With 7 Day Price Move • Jul 01
Investor sentiment improves as stock rises 23% After last week's 23% share price gain to €4.45, the stock trades at a trailing P/E ratio of 40.1x. Average forward P/E is 25x in the Software industry in Germany. Valuation Update With 7 Day Price Move • Apr 15
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to €3.71, the stock trades at a trailing P/E ratio of 33.7x. Average forward P/E is 27x in the Software industry in Germany. Board Change • Dec 31
High number of new and inexperienced directors There are 5 new directors who have joined the board in the last 3 years. The company's board is composed of: 5 new directors. No experienced directors. 1 highly experienced director. Chairman and President Alfieri Voltan is the most experienced director on the board, commencing their role in 1969. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of board continuity. Lack of experienced directors. Reported Earnings • Oct 04
First half 2022 earnings released: EPS: €0 (vs €0 in 1H 2021) First half 2022 results: EPS: €0 (in line with 1H 2021). Revenue: €18.7m (up 112% from 1H 2021). Net loss: €155.0k (loss widened 256% from 1H 2021). Revenue is forecast to grow 8.3% p.a. on average during the next 3 years, compared to a 8.2% growth forecast for the Software industry in Germany. Valuation Update With 7 Day Price Move • Sep 17
Investor sentiment deteriorated over the past week After last week's 18% share price decline to €3.15, the stock trades at a trailing P/E ratio of 25.2x. Average forward P/E is 19x in the Software industry in Germany.