123fahrschule SE: Updated Forecast Amid Regulatory Reform

NuWays AG has updated its recommendation for 123fahrschule SE from "BUY," citing a revised forecast due to regulatory reforms. Despite strong performance in the first half of FY25, 123fahrschule now anticipates sales of €25-26 million, below the initial guidance. This change is driven by weaker results in professional driver and instructor training segments and delays in regulatory reforms affecting simulators and online theory lessons.

The company has also adjusted its EBITDA target to €0.4-1.0 million due to increased operating costs and strategic decisions, implying a negative EBITDA for the second half. Despite these challenges, the core private customer training segment shows strong growth and profitability.

Looking forward, 123fahrschule positions itself for potential growth post-reform and technological investments. The company maintains a market leadership position in German municipalities, reinforcing its growth prospects. The updated price target is €7.40.