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Teneo AI (TENEO) investor relations material
Teneo AI Q3 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Executive summary
Achieved strong year-over-year growth in SaaS API call revenues (up 39%) and API call volumes (up 35%), with a stable 87% gross margin and net revenue retention (NRR) of 121%.
Released Teneo 8, featuring enhanced integration, security, public APIs, and a low-code agent builder, enabling OEM/white-label opportunities and improved AI agent capabilities.
Secured new and renewed SaaS agreements with major clients in HR, staffing, healthcare, retail, and banking sectors, including Banco BPM and Medtronic.
Pipeline expanded significantly, with strong inbound interest, especially from Microsoft, and a 91% sequential increase in pipeline growth.
Maintains commitment to $20 million ARR target by end of Q1, supported by rapid scaling of pilots and robust sales pipeline.
Financial highlights
SaaS API call revenues grew 39% year-over-year to 12.9 MSEK; SaaS ARR increased 30% in constant currency to 70.8 MSEK; total ARR up 4% to 87.5 MSEK.
Gross margin reached 87%, up from 79% in Q3 2024.
Adjusted EBITDA improved to -4.5 MSEK for Q3 2025.
Cash and bank position as of September 30, 2025, was 33.3 MSEK, with adjusted cash (including Q4 receivables) at 40.1 MSEK.
Net sales in constant currency rose 3% year-over-year to 21.7 MSEK.
Outlook and guidance
Confident in reaching $20 million ARR by end of Q1 2026, requiring two more large enterprise signings and scaling of large API call customers.
Continued investment in sales and marketing for 2025 and 2026, with cost control measures and alignment to customer wins.
No explicit profitability guidance for 2026, but gross margin expected to remain strong and costs to rise only slightly due to inflation.
Long-term EBITA margin goal set at over 30% in a mature state.
Initiated refinancing process for debt maturing in 2026, expecting higher interest costs from 2027.
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