Alithya Group (ALYA) investor relations material

Executive summary

• Bookings exceeded CAD 130 million ($130.9 million) in Q3, driven by key renewals, new AI-driven engagements, and a healthy pipeline supporting U.S. business growth.

• U.S. segment delivered 12.7% year-over-year revenue growth, maintaining strong momentum and now represents 48% of total revenue.

• Net earnings improved to CAD 0.7 million ($0.7 million), up from a loss of CAD 3.7 million last year, with strong cash flow and a trailing 12-month Adjusted EBITDA of CAD 52.6 million.

• Announced spin-off of Datum Consulting Group equity interests for a minority stake in a new AI-focused healthcare venture, with a related share repurchase agreement.

• Transformation toward higher-value, complex transformation projects continues, with a focus on long-term value creation and operational execution.

Financial highlights

• Consolidated revenue was CAD 115.2 million ($115.2 million), down 0.5% year-over-year.

• Gross margin was 31.7%, down from 32.3% last year, with gross margin of $36.5 million.

• Adjusted EBITDA was CAD 10 million ($10.0 million, 8.7% margin), slightly down from last year.

• Net earnings reached CAD 0.7 million ($0.7 million), up CAD 4.4 million year-over-year due to lower goodwill impairment.

• Net cash from operating activities was CAD 25.5 million ($25.5 million), up CAD 13.8 million year-over-year.

Outlook and guidance

• Healthy pipeline and strong bookings position the company for continued growth, especially in the U.S.

• Management expects to leverage AI capabilities, broaden service offerings, and expand geographic presence as part of its long-term strategy.

• The Datum Transaction and related share repurchase are expected to close in Q4-2026, aiming for a streamlined structure and improved returns.

• No formal forward guidance provided, but management remains confident in strategic direction and resilience.