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Claranova — Focused on profitability

Claranova (PAR: CLA)

Last close As at 01/11/2024

EUR1.43

▲ −0.03 (−1.79%)

Market capitalisation

EUR82m

More on this equity

Research: TMT

Claranova — Focused on profitability

Claranova reported FY23 revenue growth of 7%, or 2% on a constant currency organic basis. While this was below its 10% growth target, the company still expects to report EBITDA growth of 25–30% for FY23 and continues to target EBITDA margins of 10% by FY25. We have revised our revenue forecasts to reflect Q423 performance but have maintained our EBITDA forecasts for FY23 and FY24 and reflected the recent capital raise.

Katherine Thompson

Written by

Katherine Thompson

Director

TMT

Claranova

Focused on profitability

Q423 revenue update

Software and comp services

9 August 2023

Price

€1.88

Market cap

€107m

$1.09/€

Net debt (€m) at end H123

64.8

Shares in issue

56.7m

Free float

84%

Code

CLA

Primary exchange

Euronext Paris

Secondary exchange

N/A

Share price performance

%

1m

3m

12m

Abs

(9.6)

(19.4)

(50.6)

Rel (local)

(7.2)

(17.6)

(55.0)

52-week high/low

€3.93

€1.40

Business description

Claranova consists of three businesses focused on mobile and internet technologies: PlanetArt (digital photo printing; personalised gifts), Avanquest (consumer-focused software) and myDevices (Internet of Things). Its headquarters are in Paris, France, and it has operations in Europe, the United States and Canada.

Next events

FY23 results

11 October

Analyst

Katherine Thompson

+44 (0)20 3077 5700

Claranova is a research client of Edison Investment Research Limited

Claranova reported FY23 revenue growth of 7%, or 2% on a constant currency organic basis. While this was below its 10% growth target, the company still expects to report EBITDA growth of 25–30% for FY23 and continues to target EBITDA margins of 10% by FY25. We have revised our revenue forecasts to reflect Q423 performance but have maintained our EBITDA forecasts for FY23 and FY24 and reflected the recent capital raise.

Year

end

Revenue
(€m)

EBITDA*
(€m)

PBT**
(€m)

Diluted EPS**
(€)

DPS
(€)

P/E
(x)

06/21

470.6

32.9

24.2

0.37

0

5.0

06/22

473.7

25.5

7.2

0.11

0

17.6

06/23e

507.3

31.8

9.8

0.16

0

11.6

06/24e

530.9

43.8

22.3

0.28

0

6.8

Note: *Pre-IFRS 16. **PBT and EPS are normalised, excluding amortisation of acquired intangibles, exceptional items and share-based payments.

Q423 revenue reflects focus on profitability

Claranova reported a 1% decline in revenue for Q423 and 7% growth for FY23; on a constant currency (cc) organic basis, growth was 2% for both periods. PlanetArt grew 4% in FY23 (flat cc) but declined 10% (5% cc) in Q423 as it focused on driving profitability rather than customer growth. The company noted that customer acquisition costs have reverted to the level PlanetArt was achieving prior to the introduction of Apple’s App Tracking Transparency policy. Avanquest grew 14% in FY23 (6% cc organic) with 15% cc organic growth in Q423. myDevices nearly doubled revenue in Q423 and was 57% higher in FY23 (46% cc).

EBITDA forecasts maintained

While the company missed its target of 10% revenue growth in FY23, it still expects to generate EBITDA (pre-IFRS 16) of 25–30% and continues to target a 10% EBITDA margin by FY25. We have revised our forecasts to reflect Q423 revenue and the recent capital raise (€17.3m net proceeds). We reduce our FY24 revenue forecast by 2% but for FY23 and FY24 we maintain our EBITDA forecasts, reflecting the focus on profitability over growth.

Valuation: Profitable growth the key driver

Reflecting the different business models for each division, we continue to use a sum-of-the-parts approach to valuation. Using EV/sales multiples that reflect our views on divisional growth and profitability and are conservative compared to the peer group averages, we calculate a valuation of €6.1 per share (down from €7.4 when we last wrote). If the undiscounted value of convertible debt is included, this reduces the valuation to €5.1 per share. In our view, consistent growth in revenues and margins towards Claranova’s FY24 targets will be fundamental to reducing the discount to peers. In the near term, sustained growth in PlanetArt (while balancing profitability) will be the key trigger.

Q423 revenue update

Claranova reported a 1% y-o-y decline in revenue for Q423 (growth of 2% cc organic) and 7% y-o-y growth for FY23 (2% cc organic). In Exhibit 1 we summarise quarterly and annual revenues on a divisional basis.

Exhibit 1: Divisional revenue, Q423 and FY23

Revenues (€m)

Q423

Q422

y-o-y

y-o-y

y-o-y

y-o-y

Reported

Constant currency

Organic

Constant currency organic

PlanetArt

68

76

(10%)

(5%)

(10%)

(5%)

Avanquest

30

26

16%

21%

10%

15%

myDevices

3

2

98%

92%

98%

92%

Total

102

103

(1%)

3%

(3%)

2%

FY23

FY22

PlanetArt

383

366

4%

0%

4%

0%

Avanquest

116

102

14%

12%

9%

6%

myDevices

8

5

57%

46%

57%

46%

Total

507

474

7%

3%

6%

2%

Source: Claranova

PlanetArt: Profit focused

PlanetArt reported revenue growth of 4% for FY23 and flat revenue on a cc basis. For Q423, the division saw a 10% decline and on a cc basis, a 5% decline. The PlanetArt team focused on improving profitability rather than driving growth, stabilising or reducing customer acquisition costs and selling higher-margin products. FreePrints has returned to similar customer acquisition levels to those achieved prior to the introduction of Apple’s App Tracking Transparency policy.

Avanquest: Strong organic growth

Avanquest reported revenue growth of 14% for FY23 and 6% growth on a cc organic basis. For Q423, revenue was 16% higher y-o-y or 15% higher on a cc organic basis. SaaS revenue now makes up 83% of divisional revenue with recurring revenue at 67% at the end of June 2023. The company noted that sales of proprietary software for Security rose 4% in FY23, PDF 15% and Photo 15%.

Revenue from non-core businesses totalled €19m in the year, down 14% y-o-y and now making up only 17% of divisional revenue. The company is in the process of divesting these activities and expects to be able to generate revenue growth and EBITDA margins of more than 20% in FY24 excluding them.

myDevices: Pick up in revenue in Q4

myDevices reported revenue growth of 98% in Q423 and 57% in FY23 (92% and 46%, respectively, on a cc basis). The company noted that partnerships (206 partners) gained momentum in the year with contributions from T-Mobile, Aramark, Sodexo and BASF. Annual recurring revenue was €4m at the end of FY23, up 34% y-o-y on a cc basis.

Changes to forecasts

We have revised our forecasts to reflect revenue reported for Q423 and revised down our revenue forecasts for FY24 accordingly. We maintain our EBITDA forecasts for FY23 and FY24 as this is the company’s primary focus. We have reflected the recent capital raise (11.2m shares at 1.65p per share). Lafayette Investment Holdings subscribed for €15m-worth of shares to effect a debt/equity swap for the €15m of promissory notes it held. The remaining €2.3m in net proceeds boosted the company’s cash.

Exhibit 2: Changes to forecasts

€'m

FY23e

FY23e

FY24e

FY24e

Old

New

Change

y-o-y

Old

New

Change

y-o-y

Revenues

516.8

507.3

(1.8%)

7.1%

541.8

530.9

(2.0%)

4.7%

EBITDA

36.0

36.0

(0.0%)

27.4%

48.1

48.1

(0.0%)

33.5%

EBITDA margin

7.0%

7.1%

0.1%

1.1%

8.9%

9.1%

0.2%

2.0%

EBITDA - pre IFRS 16

31.8

31.8

0.0%

24.8%

43.8

43.8

0.0%

37.6%

EBITDA margin - pre IFRS 16

6.2%

6.3%

0.1%

0.9%

8.1%

8.2%

0.2%

2.0%

Normalised operating profit

31.0

31.0

(0.0%)

31.1%

43.1

43.1

(0.0%)

38.9%

Normalised operating margin

6.0%

6.1%

0.1%

1.1%

7.9%

8.1%

0.2%

2.0%

Reported operating profit

23.8

23.8

(0.0%)

32.6%

38.4

38.4

(0.0%)

61.1%

Reported operating margin

4.6%

4.7%

0.1%

0.9%

7.1%

7.2%

0.1%

2.5%

Normalised PBT

9.8

9.8

(0.0%)

36.7%

22.3

22.3

(0.0%)

127.9%

Reported PBT

2.6

2.6

(0.0%)

(160.6%)

17.6

17.6

(0.0%)

N/A

Normalised net income

8.2

8.0

(1.8%)

60.6%

16.8

16.7

(0.7%)

107.4%

Reported net income

(1.2)

(1.3)

12.3%

(87.2%)

13.2

13.1

(1.0%)

N/A

Normalised basic EPS (€)

0.18

0.18

(1.8%)

50.0%

0.37

0.30

(19.5%)

68.5%

Normalised diluted EPS (€)

0.16

0.16

(1.8%)

50.9%

0.34

0.28

(18.1%)

71.2%

Reported basic EPS (€)

(0.03)

(0.03)

12.3%

(88.1%)

0.29

0.23

(19.6%)

N/A

Net debt/(cash)

91.8

92.9

1.1%

30.4%

85.2

68.9

(19.1%)

(25.8%)

Net debt/EBITDA (x)

2.9

2.9

1.9

1.6

Divisional revenues

PlanetArt

390.7

382.6

(2.1%)

4.5%

402.1

391.6

(2.6%)

2.3%

Avanquest

119.5

116.5

(2.5%)

13.9%

132.7

129.3

(2.5%)

11.0%

myDevices

6.6

8.1

22.6%

56.5%

7.0

10.0

43.3%

22.9%

Total

516.8

507.3

(1.8%)

7.1%

541.8

530.9

(2.0%)

4.7%

Divisional EBITDA

PlanetArt

16.9

16.9

0.0%

3.8%

21.8

21.3

(2.3%)

26.0%

Avanquest

16.8

16.3

(3.0%)

40.0%

22.5

22.5

0.0%

38.0%

myDevices

(1.9)

(1.4)

(26.6%)

(43.0%)

(0.5)

0.0

(100.0%)

(100.0%)

Total EBITDA - pre IFRS 16

31.8

31.8

0.0%

24.8%

43.8

43.8

0.0%

37.6%

Source: Edison Investment Research


Exhibit 3: Financial summary

€'m

2017

2018

2019

2020

2021

2022

2023e

2024e

Year end 30 June

IFRS

IFRS

IFRS

IFRS

IFRS

IFRS

IFRS

IFRS

INCOME STATEMENT

Revenue

 

 

130.2

161.5

262.3

409.1

470.6

473.7

507.3

530.9

EBITDA

 

 

(5.0)

3.9

16.0

20.6

36.5

28.3

36.0

48.1

Company adjusted EBITDA

 

 

(5.0)

3.9

16.0

17.4

32.9

25.5

31.8

43.8

Normalised operating profit

 

 

(5.8)

3.4

15.5

15.8

31.0

23.7

31.0

43.1

Amortisation of acquired intangibles

0.0

0.0

(1.5)

(2.4)

(3.1)

(3.8)

(4.5)

(4.7)

Exceptionals

0.4

(2.4)

(2.9)

(5.6)

(4.4)

(0.7)

(2.2)

0.0

Share-based payments

(4.8)

(7.1)

0.3

0.0

0.0

(1.2)

(0.5)

0.0

Reported operating profit

(10.1)

(6.1)

11.4

7.8

23.5

18.0

23.8

38.4

Net Interest

(0.9)

(0.3)

(3.5)

(4.5)

(6.8)

(16.5)

(21.2)

(20.8)

Joint ventures & associates (post tax)

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

Exceptionals

0.0

0.0

(45.6)

0.0

0.0

(5.7)

0.0

0.0

Profit Before Tax (norm)

 

 

(6.6)

3.1

12.0

11.3

24.2

7.2

9.8

22.3

Profit Before Tax (reported)

 

 

(11.0)

(6.4)

(37.7)

3.3

16.7

(4.2)

2.6

17.6

Reported tax

(0.4)

(1.8)

(3.7)

(2.1)

(3.5)

(5.7)

(4.4)

(4.0)

Profit After Tax (norm)

(7.0)

2.4

9.2

8.7

18.6

5.5

7.5

17.2

Profit After Tax (reported)

(11.4)

(8.2)

(41.4)

1.2

13.2

(10.0)

(1.9)

13.5

Minority interests

0.3

0.2

0.6

(0.7)

(3.7)

(0.5)

0.5

(0.5)

Discontinued operations

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

Net income (normalised)

(6.7)

2.6

9.8

8.0

14.9

5.0

8.0

16.7

Net income (reported)

(11.0)

(7.9)

(40.8)

0.5

9.5

(10.5)

(1.3)

13.1

Basic ave. number of shares outstanding (m)

38

39

39

39

39

43

46

56

EPS - basic normalised (€)

 

 

(0.18)

0.07

0.25

0.20

0.38

0.12

0.18

0.30

EPS - diluted normalised (€)

 

 

(0.18)

0.06

0.25

0.20

0.37

0.11

0.16

0.28

EPS - basic reported (€)

 

 

(0.29)

(0.20)

(1.04)

0.01

0.24

(0.25)

(0.03)

0.23

Dividend (€)

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

Revenue growth (%)

10.9

24.0

62.4

56.0

15.0

0.7

7.1

4.7

EBITDA Margin (%)

-3.8

2.4

6.1

5.0

7.7

6.0

7.1

9.1

Company adjusted EBITDA margin (%)

-3.8

2.4

6.1

4.3

7.0

5.4

6.3

8.2

Normalised Operating Margin (%)

-4.4

2.1

5.9

3.9

6.6

5.0

6.1

8.1

BALANCE SHEET

Fixed Assets

 

 

2.0

1.3

75.1

93.7

96.6

123.3

147.9

143.8

Intangible Assets

0.9

0.5

69.9

70.5

77.5

96.6

120.6

115.9

Tangible Assets

0.3

0.2

1.4

15.7

12.2

18.2

18.8

19.4

Investments & other

0.7

0.6

3.8

7.5

6.9

8.5

8.5

8.5

Current Assets

 

 

28.1

79.1

100.9

116.3

128.4

146.7

151.2

146.3

Stocks

3.7

3.7

4.8

14.4

16.1

22.0

23.6

24.7

Debtors

4.3

4.9

11.6

9.9

9.2

8.3

8.9

9.3

Cash & cash equivalents

17.1

65.7

75.4

82.8

90.4

100.3

102.6

96.2

Other

2.9

4.8

9.1

9.2

12.7

16.1

16.1

16.1

Current Liabilities

 

 

(28.1)

(37.2)

(60.5)

(74.6)

(76.7)

(106.0)

(110.8)

(112.8)

Creditors

(26.6)

(35.4)

(54.8)

(64.3)

(63.8)

(78.1)

(82.9)

(84.9)

Tax and social security

(0.3)

(1.7)

(3.0)

(1.2)

(2.0)

(1.9)

(1.9)

(1.9)

Short term borrowings

(1.1)

(0.1)

(2.7)

(6.1)

(7.7)

(22.6)

(22.6)

(22.6)

Other

0.0

0.0

0.0

(3.0)

(3.2)

(3.4)

(3.4)

(3.4)

Long Term Liabilities

 

 

(0.7)

(29.0)

(52.0)

(73.1)

(66.1)

(162.3)

(186.3)

(155.9)

Long term borrowings

0.0

(28.1)

(49.1)

(62.8)

(57.4)

(148.9)

(172.9)

(142.5)

Other long term liabilities

(0.7)

(0.9)

(2.9)

(10.3)

(8.7)

(13.4)

(13.4)

(13.4)

Net Assets

 

 

1.3

14.2

63.6

62.3

82.2

1.7

2.0

21.4

Minority interests

(0.1)

(1.8)

(11.0)

(11.7)

(16.2)

(3.3)

1.0

6.6

Shareholders' equity

 

 

1.2

12.5

52.6

50.6

66.0

(1.6)

3.1

27.9

CASH FLOW

Op Cash Flow before WC and tax

(5.0)

3.9

16.0

20.6

36.5

28.3

36.0

48.1

Working capital

6.8

7.9

(4.1)

22.5

(3.1)

3.2

2.6

0.5

Exceptional & other

(2.2)

(5.7)

(5.2)

(6.3)

(8.9)

(4.2)

(2.2)

0.0

Tax

(0.0)

(1.2)

(3.8)

(6.8)

(5.1)

(9.4)

(4.4)

(4.0)

Net operating cash flow

 

 

(0.4)

5.0

3.0

30.0

19.4

17.9

32.0

44.5

Capex

(0.2)

(0.1)

(2.5)

(1.2)

(3.8)

(2.2)

(2.0)

(2.0)

Acquisitions/disposals

3.6

14.2

(13.3)

(31.9)

(3.8)

(73.3)

(26.8)

(11.5)

Net interest

(0.0)

(0.3)

0.0

(0.5)

(0.7)

(1.7)

(7.2)

(6.8)

Equity financing

1.9

2.0

(1.4)

0.0

2.4

13.3

0.0

17.3

Dividends

0.0

0.0

0.0

0.0

0.0

0.0

0.0

0.0

Other

0.1

(0.6)

0.0

0.4

(2.6)

1.9

(3.6)

(3.6)

Net Cash Flow

5.0

20.1

(14.2)

(3.2)

11.0

(44.1)

(7.7)

38.0

Opening net debt/(cash)

 

 

(9.8)

(16.0)

(37.5)

(23.6)

(13.9)

(25.3)

71.2

92.9

FX

(0.6)

0.4

0.3

(0.8)

1.8

2.1

0.0

0.0

Other non-cash movements

1.8

1.1

0.0

(5.7)

(1.3)

(54.5)

(14.0)

(14.0)

Closing net debt/(cash)

 

 

(16.0)

(37.5)

(23.6)

(13.9)

(25.3)

71.2

92.9

68.9

Source: Claranova, Edison Investment Research

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Copyright: Copyright 2023 Edison Investment Research Limited (Edison).

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Edison Investment Research Pty Ltd (Edison AU) is the Australian subsidiary of Edison. Edison AU is a Corporate Authorised Representative (1252501) of Crown Wealth Group Pty Ltd who holds an Australian Financial Services Licence (Number: 494274). This research is issued in Australia by Edison AU and any access to it, is intended only for "wholesale clients" within the meaning of the Corporations Act 2001 of Australia. Any advice given by Edison AU is general advice only and does not take into account your personal circumstances, needs or objectives. You should, before acting on this advice, consider the appropriateness of the advice, having regard to your objectives, financial situation and needs. If our advice relates to the acquisition, or possible acquisition, of a particular financial product you should read any relevant Product Disclosure Statement or like instrument.

New Zealand

The research in this document is intended for New Zealand resident professional financial advisers or brokers (for use in their roles as financial advisers or brokers) and habitual investors who are “wholesale clients” for the purpose of the Financial Advisers Act 2008 (FAA) (as described in sections 5(c) (1)(a), (b) and (c) of the FAA). This is not a solicitation or inducement to buy, sell, subscribe, or underwrite any securities mentioned or in the topic of this document. For the purpose of the FAA, the content of this report is of a general nature, is intended as a source of general information only and is not intended to constitute a recommendation or opinion in relation to acquiring or disposing (including refraining from acquiring or disposing) of securities. The distribution of this document is not a “personalised service” and, to the extent that it contains any financial advice, is intended only as a “class service” provided by Edison within the meaning of the FAA (i.e. without taking into account the particular financial situation or goals of any person). As such, it should not be relied upon in making an investment decision.

United Kingdom

This document is prepared and provided by Edison for information purposes only and should not be construed as an offer or solicitation for investment in any securities mentioned or in the topic of this document. A marketing communication under FCA Rules, this document has not been prepared in accordance with the legal requirements designed to promote the independence of investment research and is not subject to any prohibition on dealing ahead of the dissemination of investment research.

This Communication is being distributed in the United Kingdom and is directed only at (i) persons having professional experience in matters relating to investments, i.e. investment professionals within the meaning of Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, as amended (the "FPO") (ii) high net-worth companies, unincorporated associations or other bodies within the meaning of Article 49 of the FPO and (iii) persons to whom it is otherwise lawful to distribute it. The investment or investment activity to which this document relates is available only to such persons. It is not intended that this document be distributed or passed on, directly or indirectly, to any other class of persons and in any event and under no circumstances should persons of any other description rely on or act upon the contents of this document.

This Communication is being supplied to you solely for your information and may not be reproduced by, further distributed to or published in whole or in part by, any other person.

United States

Edison relies upon the "publishers' exclusion" from the definition of investment adviser under Section 202(a)(11) of the Investment Advisers Act of 1940 and corresponding state securities laws. This report is a bona fide publication of general and regular circulation offering impersonal investment-related advice, not tailored to a specific investment portfolio or the needs of current and/or prospective subscribers. As such, Edison does not offer or provide personal advice and the research provided is for informational purposes only. No mention of a particular security in this report constitutes a recommendation to buy, sell or hold that or any security, or that any particular security, portfolio of securities, transaction or investment strategy is suitable for any specific person.

London │ New York │ Frankfurt

20 Red Lion Street

London, WC1R 4PS

United Kingdom

London │ New York │ Frankfurt

20 Red Lion Street

London, WC1R 4PS

United Kingdom

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Investment in securities mentioned: Edison has a restrictive policy relating to personal dealing and conflicts of interest. Edison Group does not conduct any investment business and, accordingly, does not itself hold any positions in the securities mentioned in this report. However, the respective directors, officers, employees and contractors of Edison may have a position in any or related securities mentioned in this report, subject to Edison's policies on personal dealing and conflicts of interest.

Copyright: Copyright 2023 Edison Investment Research Limited (Edison).

Australia

Edison Investment Research Pty Ltd (Edison AU) is the Australian subsidiary of Edison. Edison AU is a Corporate Authorised Representative (1252501) of Crown Wealth Group Pty Ltd who holds an Australian Financial Services Licence (Number: 494274). This research is issued in Australia by Edison AU and any access to it, is intended only for "wholesale clients" within the meaning of the Corporations Act 2001 of Australia. Any advice given by Edison AU is general advice only and does not take into account your personal circumstances, needs or objectives. You should, before acting on this advice, consider the appropriateness of the advice, having regard to your objectives, financial situation and needs. If our advice relates to the acquisition, or possible acquisition, of a particular financial product you should read any relevant Product Disclosure Statement or like instrument.

New Zealand

The research in this document is intended for New Zealand resident professional financial advisers or brokers (for use in their roles as financial advisers or brokers) and habitual investors who are “wholesale clients” for the purpose of the Financial Advisers Act 2008 (FAA) (as described in sections 5(c) (1)(a), (b) and (c) of the FAA). This is not a solicitation or inducement to buy, sell, subscribe, or underwrite any securities mentioned or in the topic of this document. For the purpose of the FAA, the content of this report is of a general nature, is intended as a source of general information only and is not intended to constitute a recommendation or opinion in relation to acquiring or disposing (including refraining from acquiring or disposing) of securities. The distribution of this document is not a “personalised service” and, to the extent that it contains any financial advice, is intended only as a “class service” provided by Edison within the meaning of the FAA (i.e. without taking into account the particular financial situation or goals of any person). As such, it should not be relied upon in making an investment decision.

United Kingdom

This document is prepared and provided by Edison for information purposes only and should not be construed as an offer or solicitation for investment in any securities mentioned or in the topic of this document. A marketing communication under FCA Rules, this document has not been prepared in accordance with the legal requirements designed to promote the independence of investment research and is not subject to any prohibition on dealing ahead of the dissemination of investment research.

This Communication is being distributed in the United Kingdom and is directed only at (i) persons having professional experience in matters relating to investments, i.e. investment professionals within the meaning of Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, as amended (the "FPO") (ii) high net-worth companies, unincorporated associations or other bodies within the meaning of Article 49 of the FPO and (iii) persons to whom it is otherwise lawful to distribute it. The investment or investment activity to which this document relates is available only to such persons. It is not intended that this document be distributed or passed on, directly or indirectly, to any other class of persons and in any event and under no circumstances should persons of any other description rely on or act upon the contents of this document.

This Communication is being supplied to you solely for your information and may not be reproduced by, further distributed to or published in whole or in part by, any other person.

United States

Edison relies upon the "publishers' exclusion" from the definition of investment adviser under Section 202(a)(11) of the Investment Advisers Act of 1940 and corresponding state securities laws. This report is a bona fide publication of general and regular circulation offering impersonal investment-related advice, not tailored to a specific investment portfolio or the needs of current and/or prospective subscribers. As such, Edison does not offer or provide personal advice and the research provided is for informational purposes only. No mention of a particular security in this report constitutes a recommendation to buy, sell or hold that or any security, or that any particular security, portfolio of securities, transaction or investment strategy is suitable for any specific person.

London │ New York │ Frankfurt

20 Red Lion Street

London, WC1R 4PS

United Kingdom

London │ New York │ Frankfurt

20 Red Lion Street

London, WC1R 4PS

United Kingdom

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