NNIT (NNIT) Q4 2025 earnings summary

Executive summary

• Q4 2025 performance was below expectations due to market unrest in Europe and a slowdown in U.S. contract signings, resulting in an 8.4% year-over-year revenue decline, but full-year results aligned with the latest outlook.

• CEO announced his departure by July 2026, with succession planning underway.

• Strategic initiatives advanced, including cost base reduction, operational efficiency, and a sharpened focus on life science and public segments, with important contract wins and highest customer satisfaction scores.

Financial highlights

• Q4 2025 revenue was DKK 430m, with organic growth -7.0% and group operating margin (excluding special items) 4.2%; full-year revenue reached DKK 1.79 billion, organic growth -2.8%, and operating margin 5.3%.

• Q4 gross margin was 24.6% (vs 25.0% last year); full-year gross margin was 25.0% (vs 25.8%).

• Special items for FY 2025 totaled DKK 83 million, including DKK 11 million in restructuring and DKK 16 million in board-initiated projects.

• Free cash flow improved from -DKK 134 million in H1 to +DKK 87 million in H2, mainly due to better receivables management and non-recurring items.

Outlook and guidance

• 2026 targets: constant currency revenue growth of 0%-5% and group EBIT margin (excluding special items) of 6%-9%.

• Special items expected to be materially lower in 2026; no M&A activity assumed.

• Q1 2026 expected to be below guided range, with gradual improvement through the year.