Swisser Electronic AG (formerly known as von Montega AG) has announced a cessation effective by August 11, 2025, at 16:25, as reported by dpa-AFX. No further comments have been provided at this time.

Swisser Electronic AG (formerly known as von Montega AG) has announced a cessation effective by August 11, 2025, at 16:25, as reported by dpa-AFX. No further comments have been provided at this time.

In a recent update published on August 11, 2025, at 16:25 CET/CEST, Montega AG has reaffirmed its 'Hold' rating for Schweizer Electronic AG, with a revised target price of 3.50 EUR. This update comes as the company navigates a transitional phase, facing short-term financial headwinds but demonstrating long-term growth potential.

Since the beginning of 2025, Schweizer Electronic AG has reported a net loss of EUR 5.77 million on sales of EUR 82.23 million, an increase from EUR 74.29 million a year earlier. This revenue growth, however, has been accompanied by continued profitability pressure. EBITDA was negative at EUR -1.1 million in H1 2025, due to underloading of production capacity, higher material costs, and an unfavourable product mix. Nevertheless, management expects cost-cutting measures to improve results by 2026.

Despite some declines in the order intake for in-house production, the company's order backlog remains solid at EUR 225.8 million as of mid-2025, supporting a stable outlook for future revenue. Schweizer Electronic maintains a niche leadership position in embedding technology within printed circuit boards, especially in the automotive sector focused on electric vehicles, providing strategic growth opportunities.

The company's partnership with Infineon Technologies further strengthens its market position in advanced chip-embedding solutions. From a valuation perspective, Schweizer’s share price around August 2025 was close to its fair value estimate of EUR 2.81, based on a two-stage discounted cash flow model, suggesting the market currently prices in both the near-term challenges and long-term potential.

The European market has become more important than the domestic market for Schweizer Electronic for the first time in H1, with Q2 revenue from products sold through the Asian partner network showing a significant increase of 13.5% qoq and 83.8% yoy. The company achieved a positive Free Cash Flow (FCF) of around 6.1 million EUR in H1, and liquid assets increased to nearly 12.0 million EUR by the end of H1.

However, the company's financial situation is not without challenges. The utilization rate of the Schramberg plant is expected to stabilize at a low level, and the equity ratio is expected to range from 9 to 15% as of 31.12. The net debt ratio is expected to be 100 to 150% as of 31.12, and working capital is expected to rise to 3 to 8 million EUR by the end of the year, temporarily straining liquidity.

A loan with a remaining debt of 12.4 million EUR by 31.12.2025 has been extended to 2033, with approval from banks. The FY-EBITDA guidance was reduced to 2 to 6 million EUR (previously: 3-8 million EUR), and revenue guidance was narrowed to 145 to 165 million EUR (previously: 130-165 million EUR).

In conclusion, Montega AG’s update suggests that Schweizer Electronic AG is in a transitional phase, facing short-term financial headwinds but with long-term growth potential. The company's solid sales growth, strong order backlog, strategic market positioning, and anticipated recovery from cost optimization expected in 2026 position it cautiously optimistic for the future.

Investing in Schweizer Electronic AG presents an intriguing opportunity with regards to technology and business, especially considering its niche leadership position in embedding technology within printed circuit boards, particularly in the electric vehicles sector. However, the company's current financial situation, marked by increased debt, strained liquidity, and adjustments in revenue and EBITDA guidance, necessitates careful consideration when it comes to financing and investments.

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