Upsales (UPSALE) investor relations material

Executive summary

• Net sales grew 13% year-over-year to SEK 40.8 million, marking the strongest quarterly growth in several years, driven by new customer inflow and product enhancements.

• ARR reached SEK 152.9 million, up 5.6% year-over-year but flat sequentially due to seasonality and renewal timing.

• EBITDA was SEK 7.2 million (17.6% margin); pro forma EBITDA margin was 27.9% excluding Aira.

• Announced proposed separation of AI subsidiary Aira, to be distributed as a Lex ASEA dividend, replacing the previously proposed cash dividend.

• Continued investment in AI features and product development, with AI remaining core to the strategy.

Financial highlights

• Net sales for Q1 were SEK 40.8 million, up 13% year-over-year.

• EBITDA was SEK 7.2 million (17.6% margin); excluding Aira, EBITDA was SEK 11.4 million (27.9% margin).

• EBIT was SEK 3.9 million (9.6% margin); net income was SEK 3 million.

• Trailing 12-month EBITDA margin stood at 25.2%.

• Net cash at quarter-end was SEK 42.8 million; company remains debt-free.

Outlook and guidance

• Full-year 2026 revenue growth expected between 10%–15%.

• EBITDA margin projected to exceed 35% from Q2 2026, driven by Aira separation and restructuring savings.

• Cash flow expected to improve in line with expanding margins and continued profitability focus.

• Continued investment in AI capabilities and deeper ERP integrations planned.

• Zero debt and net cash positive outlook.