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Zalaris (ZAL) investor relations material
Zalaris Q3 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Achieved record Q3 revenue of NOK 375 million, up 10.3% year-over-year, with adjusted EBIT of NOK 47 million and a margin of 12.6%, driven by strong Managed Services and new contracts.
Renewed long-term SAP partnership, migrating PeopleHub to SAP S/4HANA Cloud, ensuring platform support through 2040 and enabling future AI-driven innovation.
Secured a EUR 40 million revolving credit facility, refinancing existing debt, reducing annual interest expenses, and increasing financial flexibility.
Signed major new and renewed contracts across Europe, expanding client base and service scope, including deals in Germany and with major European clients.
Financial highlights
Q3 revenue reached NOK 375 million, up 10.3% year-over-year; Managed Services revenue grew 14% to NOK 289 million, representing 77% of total revenue.
Adjusted EBIT for Q3 was NOK 47 million, a 27% increase year-over-year, with a margin of 12.6%.
Net profit for the period was NOK 18.9 million, up from NOK 8.3 million last year.
Net operating cash flow for Q3 was NOK 10.9 million, down from NOK 48.4 million last year due to working capital timing and share option settlements.
Net interest-bearing debt at quarter-end was NOK 244.7 million.
Outlook and guidance
Projected revenue increase of more than 16% for 2025 and 2026 compared to 2024, based on signed contracts and new BPO deals.
Ambition to reach NOK 2 billion in annualized revenue by Q4 2028 with an EBIT margin of 13%-15%.
No significant obstacles anticipated to achieving target EBIT margin in 2026-2027.
Profitability to improve via scaling, automation, and increased use of near/offshore centers.
Expects continued revenue growth from long-term BPaaS/SaaS contracts and expansions, with 10% average annual revenue growth and 1.5-3% annual churn.
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