Net Insight (NETI) Q4 2025 earnings summary

Executive summary

• Q4 and full-year 2025 were challenging, with revenue and profitability below expectations due to FX headwinds, macro uncertainty, weak demand, and longer sales cycles; both external and internal factors contributed.

• Cost reduction and discipline measures launched in 2024 delivered SEK 30 million in annual run-rate savings, supported by a new sales organization and leadership changes.

• First commercial order for the 400G media platform was secured in Q4, marking a key milestone.

• Time synchronization business saw increased customer engagement, with 33 customers entering proof of concept and several advancing to rollout, notably with Türk Telekom.

• New CEO and CCO appointed in early 2026 to drive further transformation.

Financial highlights

• Q4 revenue: SEK 117 million (down 12% YoY); full-year revenue: SEK 521 million (down 14%).

• Gross margin: 68.5% in Q4 and 67.4% for the year (some sources report 52.7% due to different calculation bases).

• Q4 EBITDA (excluding one-offs): SEK 17.9 million; full-year: SEK 102.2 million.

• Q4 operating earnings: SEK -4.4 million (margin -4%); full-year: SEK 8.8 million (margin 2%).

• Year-end net cash: SEK 83 million; available liquidity: SEK 168 million.

Outlook and guidance

• Short-term revenue expected to remain volatile due to order timing, especially in time synchronization.

• Long-term financial targets remain unchanged, but achieving them by 2027 is now seen as challenging.

• Demand is expected to remain subdued at the start of 2026, but ongoing measures are anticipated to gradually strengthen the company’s position.