Stock Markets August 6, 2026 05:35 AM

DoValue Shares Collapse After Heavy H1 2026 Losses, Recurring Profit Shrinks

Reported one-off costs tied to coeo deal and rising leverage leave management's EBITDA guidance hinging on execution

By Caleb Monroe
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DoValue's stock tumbled after the company disclosed a steep H1 2026 net loss driven largely by non-recurring charges related to the acquisition and integration of coeo. Stripped of one-offs, recurring net profit fell sharply and leverage nearly doubled, prompting investor concern even as management reiterated a full-year EBITDA target that depends on coeo performance and cost cuts.

DoValue Shares Collapse After Heavy H1 2026 Losses, Recurring Profit Shrinks
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Key Points

  • DoValue reported a first-half 2026 net loss of €21.6 million, compared with a €4.1 million loss in H1 2025.
  • Recurring net profit fell about 82% to €2.2 million from €11.9 million, with EBITDA down 12%.
  • Net debt rose to €855 million from €439 million at end-2025, increasing leverage to 3.1 times EBITDA; coeo represented 31% of gross revenues in Q2.

DoValue shares plunged 15.5% to trade at €2.044 after the firm revealed a substantial first-half 2026 net loss of €21.6 million, a marked deterioration from the €4.1 million loss posted in H1 2025. Management attributed the bulk of the headline shortfall to non-recurring expenses tied to the acquisition and integration of coeo - items that include employee severance charges, transaction fees related to the deal, and interest on the notes issued to finance the purchase.

Beyond the headline figure, the results exposed a pronounced weakening in the underlying operating profile. After excluding those non-recurring items, recurring net profit contracted by roughly 82% to €2.2 million from €11.9 million a year earlier. EBITDA also declined, down 12% versus the prior comparable period.

The company’s Q2 breakdown highlighted additional concentration and leverage concerns. coeo accounted for 31% of DoValue’s gross revenues in the quarter, pointing to a material share of group income now tied to the acquired business. At the same time net debt almost doubled to €855 million from €439 million at end-2025, lifting reported financial leverage to 3.1 times EBITDA.

Management confirmed its full-year 2026 EBITDA objective of approximately €300 million but flagged two conditional elements to that pathway: coeo must sustain a strong second-half performance, and the wider group must implement cost-reduction measures to offset what management characterized as a less favorable non-performing loan (NPL) servicing environment.

Market reaction was company-specific. The broader Italian benchmark offered little support, with the FTSE MIB edging slightly lower at the open, leaving DoValue’s decline attributable to the firm's own results. The stock fell to its lowest level since the 52-week low of €1.923 and became the worst performer on Euronext Milan on the session.

Analysts reflected the heightened uncertainty with cautious stances. Equita kept a Hold rating and assigned a €2.70 price target, while the consensus 12-month average target stands at €3.30 - both levels above the current share price but tempered by the risks evident in the latest results.

The combination of a much wider reported loss, a sharp reduction in recurring profitability, increased leverage and a guidance that relies on execution and coeo's contribution overwhelmed investor confidence, driving the shares sharply lower on the day.


Summary: DoValue reported a €21.6 million H1 2026 net loss driven mainly by one-off costs from the coeo acquisition. Excluding those items, recurring net profit fell about 82% to €2.2 million and EBITDA dropped 12%. Net debt rose to €855 million, pushing leverage to 3.1 times EBITDA. Management kept a roughly €300 million EBITDA target for 2026 but tied it to coeo performance and cost cuts.

Risks

  • Execution risk - Management's full-year EBITDA target of approximately €300 million is conditioned on coeo maintaining strong H2 performance and effective cost reductions, introducing execution uncertainty for the company's financial outlook.
  • Concentration and integration risk - coeo accounted for 31% of gross revenues in Q2, increasing the firm's revenue concentration and exposure to the acquired business's performance.
  • Leverage risk - Net debt nearly doubled to €855 million and financial leverage rose to 3.1 times EBITDA, heightening balance sheet vulnerability in a less favorable NPL servicing environment.

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