iZafe Group (IZAFE-B) Q1 2026 earnings summary

Executive summary

• Net sales for Q1 2026 reached 2,419 TSEK, up from 1,318 TSEK year-over-year, driven entirely by recurring license revenues; no hardware sales occurred during the period.

• Operational focus was on building a strong sales pipeline, especially in Sweden via the ADDA framework agreement, and strengthening the Dutch organization.

• Significant contracts were secured, including the ADDA national procurement and Region Jönköping, with further agreements signed after the quarter.

• A directed share issue of approximately SEK 19.8 million was completed to accelerate sales and installations.

• New product launches included a modular external display for Dosell and a remote care system, with gradual introduction planned for 2026.

Financial highlights

• Net sales increased 83.5% year-over-year to 2,419 TSEK, with recurring license revenues as the sole contributor.

• Operating result (EBIT) was -8,300 TSEK, down from -5,243 TSEK year-over-year, reflecting higher depreciation and consolidation of Dutch operations.

• EBITDA was -4,311 TSEK, compared to -2,538 TSEK in Q1 2025.

• Net result for the period was -6,475 TSEK, impacted by currency fluctuations and increased amortization from acquisitions.

• Cash flow from operating activities improved to -4,653 TSEK from -7,013 TSEK year-over-year.

• Earnings per share before/after dilution was -0.02 SEK, unchanged year-over-year.

Outlook and guidance

• Full-year ARR forecast remains unchanged, with potential upside linked to the ADDA framework agreement.

• Strong sales pipeline and new contracts are expected to drive accelerated growth and recurring revenue in coming quarters.

• Investments in sales, implementation, and support are expected to convert pipeline into revenue.