INTERSHOP Communications (ISHA) investor relations material

Executive summary

• EBIT turned slightly positive in H1 2026, reflecting cost-cutting measures and improved cloud business performance, aligning with full-year expectations.

• Cloud order entry rose 26% year-over-year to €8.4M, with cloud margin up to 66%.

• Service segment returned to positive margin contribution after resolving burdens from a major project.

• Total revenue declined as expected, with subdued new customer business and planned reductions in other segments.

• Positive cash flow and increased cash position were achieved.

Financial highlights

• Revenue for H1 2026 was €15.8M, down 9% year-over-year from €17.2M in H1 2025.

• Cloud revenue grew 4% to €10.5M, now 67% of total revenue; service revenue declined 14% to €3.2M; licenses & maintenance dropped 40% to €2.0M.

• EBIT improved to €0.1M from €-0.9M; EBITDA rose 158% to €1.8M.

• Operating cash flow rose to €4.3M from €1.9M year-over-year; cash position as of June 30, 2026, was €11.1M, up 26% from December 31, 2025.

• Gross margin increased to 49% from 44% year-over-year.

Outlook and guidance

• 2026 financial outlook confirmed, expecting cloud order entry and net new ARR at previous year's level.

• Revenue projected to see a slightly smaller percentage decrease compared to the previous year, with balanced EBIT.

• Cautious optimism for H2 2026 as cost-cutting measures take effect and cloud business remains solid.