Linedata Services (LIN) H1 2026 earnings summary

Executive summary

• Revenue for H1 2026 was €82.4M, down 4.8% year-over-year, with organic revenue down 1.3% due to adverse currency effects and post-cyber incident impacts.

• EBITDA decreased by 8.8% to €17.0M (margin 20.6%), impacted by lower revenue and higher external charges.

• Net income fell 6.7% to €7.5M, with a net margin of 9.1% and EPS at €1.54–€1.56.

• Recurring revenue reached €66.1M, representing 80% of total revenue.

• Order intake rose 23.4% to €28.8M, driven by contract renewals and business recovery.

Financial highlights

• Operating income dropped 15.3% to €10.4M, with an operating margin of 12.6%.

• Free cash flow rose 57% to €15.5M, driven by improved working capital and lower tax outflows.

• Net financial debt reduced by €8.7M to €69.5M; leverage ratio stable at 1.86.

• Net financial expense improved to -€0.5M, mainly due to higher FX gains.

• Income tax expense was €2.4M, with an effective tax rate of 24.4%.

Outlook and guidance

• Focus remains on consolidating organic growth achieved in Q2 2026 for the remainder of the year.

• The group expects continued normalization post-cyber incident and ongoing investment in cloud and AI solutions.

• No new risks identified for H2 2026 beyond those previously disclosed.

• Next financial update scheduled for Q3 2026 revenue on October 27, 2026.