Logo Yazilim (LOGO) Q2 2026 earnings summary

Executive summary

• Achieved resilient growth and strong market positioning despite macroeconomic headwinds, with recurring revenues reaching 86% of invoiced revenue, driven by SaaS expansion.

• Interim consolidated financials for the six months ended 30 June 2026 were reviewed and found to present fairly in all material respects under TAS 34.

• The group operates mainly in software development, with subsidiaries and associates in Turkey, India, and Romania.

• Free cash flow reached $30.3M with a 42% margin, and net cash position stood at $22.7M after share buybacks and dividend payouts.

• AI-powered platform accelerated product innovation and scalable growth.

Financial highlights

• IFRS revenues grew 6% year-over-year, supported by SaaS revenue growth and 1,300 new customer acquisitions.

• Revenue for 1H 2026 was TL 3,368.5 million, up from TL 3,179.3 million in 1H 2025.

• Net profit for 1H 2026 was TL 509.9 million, down from TL 1,388.1 million in 1H 2025.

• EBITDA margin maintained at 39%, with underlying net income up 10% year-over-year, excluding prior year one-off gains.

• EPS increased 35% year-over-year to 9.6 TL (LTM), adjusted for treasury shares.

Outlook and guidance

• 2026 guidance unchanged: 12.2% invoiced revenue real growth and 11.6% IFRS revenue real growth (IAS29 adjusted).

• EBITDA margin expected at ~31% (IAS29 adjusted).

• Economic assumptions: 2026 year-end inflation at 23%, average USD/TRY rate at 48.5 (+23% y/y).

• The group expects fintech services to drive SaaS revenue growth following the launch of Logo Ödeme's payment institution license in February 2026.

• Management affirms sufficient resources to continue operations and maintain going concern status.