EGM Analysis – 1Q25

In the first four months of 2025, the number of companies listed on EGM stood at 202, with only 3 IPOs — a slowdown compared to the 5 in the same period last year. The total market capitalization is €9.1 billion, with an average of €45.7 million per company.

Companies continue to leave the EGM: there were 9 delistings in the first four months alone, nearing the 11 recorded for all of 2024. Since the beginning of 2023, there have been 37 delistings, compared to just 16 over the previous three years. This trend highlights the gap between real company value and market prices, which are affected by poor liquidity.

The 2024 results once again confirmed the growth potential and solid profitability of EGM-listed companies. However, the number of companies reporting revenue growth and the average growth rate declined; on the other hand, the number of companies with an EBITDA margin above 15% increased.

In 2024, revenue growth generally fell short of market expectations, prompting analysts to revise their forecasts and shift recovery expectations to the following two years. In terms of profitability, despite a positive surprise, consensus estimates for EBITDA margins over the next two years remained largely unchanged.

Explore the full Report in the attachment and the video analysis by Francesca Sabatini, Head of Equity Research, and Michele Calusa, Equity Research Analyst at Banca Profilo.

Spring Investor Conference 2025

The entrepreneurs who took part in the Spring Investor Conference organized by Banca Profilo on April 2 at DAZI MILANO share their insights.

On this occasion, institutional investors and some of the most promising companies listed on Euronext Growth Milan gathered to discuss their 2024 results, ongoing strategies, and future goals.

Throughout the day, 55 one-to-one meetings were held, involving 40 institutional investors from Italy and abroad and 12 EGM-listed companies: Arterra Bioscience, Cofle Group, D.E.A., HOMIZY, INTRED, Nusco, Promotica, Riba Mundo Tecnología, Sciuker Frames, Spindox, SVAS Biosana, Tecma Solutions.

It was a valuable opportunity for constructive dialogue, strategic exchange, and a shared vision of the future of the Italian financial market.

Thank you to everyone who participated. We look forward to seeing you again in September to continue this journey of growth and collaboration together.

Tiny Titans Talk – April 2nd Edition

We are pleased to present the second episode of Tiny Titans Talk, the series launched last year to spotlight some of the most successful entrepreneurial stories from Euronext Growth Milan.

On April 2nd at DAZI MILANO, during Banca Profilo’s Spring Investor Conference, the featured entrepreneurs shared their stories. On this occasion, institutional investors and some of the most promising EGM-listed companies came together to discuss 2024 results, strategies, and future goals.

Special thanks to: Alessandra Barbieri (Cofle), Alessandro Peveraro (HOMIZY), Antonio Amendola (4AIM SICAF), Charles Bromley (Corinthian FM), Diego Toscani (Promotica), Egon Zanagnolo (INTRED S.p.A.), Gabriele Riva (Tecma Solutions), Marco Cipriano (Sciuker Frames), Marco Dezi (Riba Mundo Tecnología SA), Marco Nardi (Nusco), Maria Gabriella Colucci (Arterra Bioscience), Massimiliano Riderelli Belli (DEA), Paolo Costa (Spindox), and Umberto Perillo (Svas Biosana).

EGM Analysis 2024

During 2024, the number of companies listed on the EGM was 210, with only 21 IPOs, slowing down from 34 last year. Total capitalization is 9.4 billion euros, with an average of 45.8 million.

In the last two years, 28 companies have delisted from the EGM, compared to 16 in the previous three years, indicating a less attractive EGM that suffers from a prolonged lack of liquidity. Discounted valuations have made these companies targets for acquisitions, with 17 takeover bids in the last two years compared to 14 in the previous six years.

We left you at the end of October with cautious optimism on the EGM and we return to you confirming our view. In fact, the segment continues to be dynamic for M&A, with Q4 marking a record number of operations.

Furthermore, the FTSE Italia Growth index stabilized around 8,000 points thanks to low valuations, accommodative monetary policy and fiscal stimulus. It outperformed its European counterpart Euronext Growth All Shares, which hit new lows this year. Finally, after the cut in October, consensus confirmed the estimates for the 2024-2026 period, with revenue growth of 13% in 2023-26, accompanied by an average improvement in margins of 300 basis points over the same time frame.

We mark 2024 as a transitional year. Explore the research here and watch the video analysis by Francesca Sabatini, Head of Equity Research, and Michele Calusa, Equity Research Analyst at Banca Profilo.

Preliminary results for 2024 approved

The growth of total customer deposits continues, reaching 6.5 billion euros (+7.7% YoY). Consolidated net revenues amount to 72.8 million euros, and operating income reaches 15.3 million euros, with a Cost Income ratio of 79%. Net profit stands at 9.3 million euros.

The CET1 at 22.2% remains among the highest in the market, indicating the strong capital solidity of the Group.

Read the press release.

BRIDGING THE GAP – The Countdown to  

We are pleased to announce the launch of a new product designed to provide institutional investors with an even more comprehensive experience: BRIDGING THE GAP – The Countdown to. 

The goal? To ensure constant and timely updates on EGM-listed companies—covered by Banca Profilo’s Equity Research and Corporate Broking team—even during the periods between the release of annual and semi-annual data. 

To kick things off, here is the first Report, while we await the FY24 results. The next edition is scheduled for May/June, featuring the results for 1H25. 

This new tool is part of our commitment to delivering a continuous and punctual flow of information, with a particular focus on companies. 

Read the Report here. 

How is portfolio management changing with Artificial Intelligence?

Banca Profilo, in an article from the banking magazine Minerva Bancaria, issue 4 of 2024, written by Fabio Candeli, CEO, and Marco Palandri, Head of Collective Management and AI Strategies, confirms its pioneering role in financial innovation with the adoption of an AI-Assisted approach to portfolio management.

This advanced model, integrating Machine Learning algorithms with the discretionary oversight of managers, strikes an ideal balance between technology and human expertise, ensuring scalability, reliability, and interpretability of results.

The article includes a case study on the Eurofund Profilo Equity Arbitrage fund, showcasing how AI-Assisted technology has improved the investment process, optimizing sector rotation and risk balancing, with promising results in creating more efficient and high-performing portfolios.

The implementation of Artificial Intelligence, started in 2019 and continuously evolving, not only offers operational advantages but also enables Banca Profilo to meet the challenges of an increasingly dynamic market while keeping the client experience at the forefront.

This innovative strategy, combined with a constant commitment to governance and sustainability, positions Banca Profilo as a benchmark for modern asset management, with a forward-looking perspective.

Read the full article here.