Underlying Trends Remain Supportive; Reiterate Buy

Research evidence excerpt

Underlying Trends Remain Supportive; Reiterate Buy

Italy | Payments, Processors & IT Services

Boku EquityJulyResearch14, 2026

TARGET | ESTIMATE CHANGEUnderlying Trends Remain Supportive;

RATING BUYReiterate Buy

PRICE 98.60p^

While Boku's stellar momentum has come to a hold, we see the headwinds

as temporary rather than structural as we continue to see LPM adoption, PRICE TARGET | % TO PT 195.00p (286.00p) | +98%

merchant expansion into new markets (eg PIX) and the positive impact 52W HIGH-LOW 250p - 90p

of the Stripe (PSP) partnership. As such, we see 2026 as a "gap year" FLOAT (%) | ADV MM (USD) 83.4% | 2.36

and expect Boku to bounce back to >20% net revenue growth from 2027, MARKET CAP £294.5M | $394.1M

supported by faster EBITDA growth as it exits the investment phase. We cut TICKER BOKU LN ^Prior trading day's closing price unless otherwise

estimates by c20% and lower PT to 195p. noted.

Despite setbacks, we remain constructive on mid-term opportunity: We believe the FY (Dec) CHANGE TO JEFe JEF vs CONS

headwinds called out at the ad-hoc trading update last week were an unfortunate combination 2026 2027 2026 2027

of isolated events, which had they hit individually would not have altered the momentum Boku REV* -10% -15% -2% -3%

is enjoying. We continue to believe that the progress made in A2A (Pix, UPI) and the partnership

EBITDA -19% -22% -7% -9%

with Stripe will support a bounce-back in 2027.

Recap of headwinds: (1) A key merchant switched to dual sourcing, aiming to offset the TPV 2026 ($) 1Half 2Half FY

reduction via a ramp up of different connections; (2) Suspension of DCB connections by local EBITDA 19.3 20.6 39.9

authorities in a single market, which stopped wallet loading from the four major telco networks PREV 21.0 28.4 49.4