Computer Modelling Group (CMG) Q2 2025 earnings summary

Executive summary

• Revenue for Q2 2025 rose 30% year-over-year to $29.5M, driven by the Bluware (BHV) acquisition and 1% organic growth.

• Net income fell 42% to $3.8M, mainly due to a change in fair value of contingent consideration and FX losses.

• Board approved a $0.05 per share dividend for Q2 2025, payable December 13, 2024.

• Closed the acquisition of Sharp Reflections GmbH on November 12, 2024.

Financial highlights

• Q2 2025 revenue: $29.5M (up from $22.6M); six-month revenue: $60.0M (up from $43.4M).

• Q2 operating profit: $8.4M (up 9%); six-month operating profit: $14.1M (down 19%).

• Q2 net income: $3.8M (down 42%); six-month net income: $7.7M (down 42%).

• Q2 EPS: $0.05 (down 38%); six-month EPS: $0.09 (down 47%).

• Q2 free cash flow per share: $0.07 (down 50%); six-month: $0.14 (down 39%).

Outlook and guidance

• Software revenue from energy transition was 19% in Q2, expected to increase as new contracts are recognized in Q3.

• BHV segment profitability expected to improve in H2 2025 as contract renewals drive revenue recognition.

• Maintaining high renewal rates is critical for meeting revenue and profitability targets.