Amadeus IT Group (AMS) Q1 2026 earnings summary

Executive summary

• Group revenue rose 3.1% year-over-year to €1,683 million (7.9%–8% at constant currency), with strong commercial momentum and continued investment in AI and product development, despite Middle East geopolitical headwinds moderating March performance.

• Adjusted EBIT increased 6.6%–7% at constant currency to €500 million, and adjusted diluted EPS grew 8.8%–9% at constant currency.

• Free cash flow reached €274 million, up 4.5%–5% year-over-year; leverage remained at 1.0x.

• Strategic acquisitions and partnerships, including the planned €1.2 billion acquisition of IPS and collaborations with Microsoft and Google, are enhancing the travel ecosystem.

• Commercial momentum remains strong, with continued expansion in customer adoption and solution breadth.

Financial highlights

• EBITDA increased 5.3% to €661.4 million, with margin up 0.8 p.p. to 39.3%.

• Adjusted EBIT margin improved to 29.7% at constant currency.

• Free cash flow generation supported by EBITDA growth and lower capital expenditure, partially offset by higher working capital outflow, interest, and taxes.

• R&D investment totaled €335 million, representing about 20% of revenue.

• Ongoing €500 million share repurchase program; interim dividend of €0.53 per share paid in January 2026.

Outlook and guidance

• Management expects to deliver within guided expectations for FY 2026, assuming H2 recovery and global air traffic growth of ~3%, but notes ongoing geopolitical risks, especially in the Middle East.

• Ongoing monitoring of geopolitical and macroeconomic risks, with updates to be provided if outlook changes.