BTS Group (BTS) Q1 2026 earnings summary

Executive summary

• Group revenue grew 5% year-over-year, with EBITDA up 19% and EBITA up 5% to MSEK 62, while EBITA margin improved to 10.3% from 9.1%.

• North America completed its turnaround, posting 8% revenue growth and a 50% profit improvement, with EBITA margin rising to 13.4%.

• Europe delivered 17% organic revenue growth, led by France and Germany, and improved EBITA margin to 13.4%.

• Other Markets faced a 4% revenue decline, mainly due to Southeast Asia, but Middle East operations showed double-digit growth.

• AI is a major growth and productivity driver, with core AI booking revenue up 35% and AI product bookings tripling year-over-year.

Financial highlights

• Group revenue increased 5% and EBITDA rose 19% year-over-year; EBITA margin improved to 10.3%.

• EBIT increased 11% to MSEK 45, with EBIT margin at 7.5%.

• Cash flow from operating activities was MSEK -2, reflecting seasonal fluctuations.

• Net debt at period end was MSEK 1, compared to net cash of MSEK -53 last year.

• SEK 74 million in annual savings expected in 2026 from AI-driven productivity gains.

Outlook and guidance

• Outlook for the year remains unchanged; guidance is not updated after Q1.

• EBITA for 2026 is expected to surpass 2025 levels.

• Sustained profitable growth expected, with North America and Europe maintaining momentum.

• Recovery in Other Markets, especially Asia, anticipated in the second half, though risks remain.

• Market sentiment is positive, with growing demand in energy, healthcare, and AI sectors, despite some geopolitical and macroeconomic uncertainties.