CBRAIN (CBRAIN) Q2 2025 earnings summary

Executive summary

• Achieved solid progress in H1 2025, advancing a three-year growth plan focused on COTS software for government, with a dual strategy targeting large accounts and selected niches.

• Revenue for H1 2025 was DKK 132m, down 5% year-over-year, mainly due to a 58% drop in one-time license revenue and lower international software sales.

• Recurring revenue (subscriptions) grew 24% and now represents 61% of total revenue, while services revenue increased 15%.

• Strategic investments were made to strengthen global leadership in COTS for government, focusing on Paperless Ministry and Environmental Permitting verticals.

• Product roadmap emphasizes a fully integrated, configurable platform purpose-built for government needs.

Financial highlights

• 1H 2025 revenue was DKK 132m, down 5% year-over-year from DKK 139m in 1H 2024.

• One-time software licenses fell 58% year-over-year, while software subscriptions rose 24% and services increased 15%.

• Export revenue declined 17% year-over-year, mainly due to lower one-time license sales.

• EBIT margin for 1H 2025 was 25%, down from 32% in 1H 2024; EBITDA margin was 36%.

• Cash flow from operating activities was DKK 39.8m, up from DKK 11.1m.

Outlook and guidance

• Maintains full-year 2025 revenue growth guidance of 10%-15%, targeting DKK 299m, with an internal forecast of 12%.

• EBT margin guidance for the full year is 18-23%.

• 2H 2025 revenue expected to grow 30% over 2H 2024, driven by a rebound in one-time licenses and continued subscription growth.

• One-time licenses forecasted to reach DKK 50m in 2H 2025, matching prior full-year levels.

• Guidance depends on closing significant one-time license deals, which are subject to timing risks.