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Tieto (TIETO) investor relations material
Tieto Q2 2026 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Achieved strong profitability in Q2 2026 with adjusted EBITA margin rising to 14.9% (up 5.5pp), driven by cost optimization and operational discipline, despite revenue declining by 8% year-over-year to €426.6m and organic growth at -5% due to weaker consulting demand and legacy contract run-offs.
Transformation initiatives, including divestments and AI upskilling, accelerated, supporting resilience and future growth.
Profitability improved across all business segments despite challenging market conditions, with strong execution on cost controls.
Divestments of Edlevo and HR & Payroll completed; a new €90m share buyback programme launched.
Financial highlights
Q2 2026 revenue was €426.6m (Q2 2025: €463.1m); organic growth -5%.
Adjusted EBITA improved to €63.4m (14.9% margin) from €43.7m (9.4%).
Net profit for Q2: €84.7m (Q2 2025: €-61.1m); EPS €0.73.
Operating cash flow was €20.8m, impacted by seasonal working capital, while free cash flow reached €89m due to divestment proceeds.
Net debt reduced to €388.8m, with leverage at 1.0x EBITDA.
Outlook and guidance
Full-year 2026 organic growth guidance revised to -5% to -3% (previously -2% to 0%) due to continued market softness.
Adjusted EBITA margin guidance maintained at 14.8–15.8%.
Cost optimization program targets €130m in run-rate savings by end of 2026.
Q3 profitability expected below prior year for Tech Consulting and Banktech, stable for Caretech, and at or above prior year for Indtech.
- Profitability rose to 13.5% as revenue dipped 1%, order backlog grew 8%, and guidance was lowered.TIETO
Q3 20249 Jul 2026 - Divestment of Tech Services for EUR 300 million sharpens the focus on software and digital engineering.TIETO
M&A Announcement9 Jul 2026 - Q4 profitability and margins rose as cost savings offset revenue decline; 2026 outlook positive.TIETO
Q4 20258 Jul 2026 - Order backlog up 18% year-over-year despite 4% revenue decline and margin pressure.TIETO
Q1 20258 Jul 2026 - Strong Nordic leader with high recurring revenue, cost discipline, and clear path to margin expansion.TIETO
Investor presentation8 Jun 2026 - Strong Q1 2026 profitability and strategic execution drive margin expansion and growth.TIETO
Investor presentation29 Apr 2026 - Profitability surged to 14.7% margin as order backlog rose 8% despite revenue decline.TIETO
Q1 202629 Apr 2026 - Q2 saw 1% organic growth, 11% margin, and strong order intake despite a soft market.TIETO
Q2 20243 Feb 2026 - Profitability and margins improved, debt reduced, and order backlog rose 11% in Q3.TIETO
Q3 20259 Jan 2026
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