OVH Groupe (OVH) H2 2026 earnings summary

Executive summary

• FY2026 revenue reached €1,145.1m, up 7.2% LFL and 5.6% reported, exceeding the 5%–7% growth target; Q4 LFL growth accelerated to 10.5%.

• Adjusted EBITDA rose 9.7% to €480.5m, with margin up 1.6 pts to 42.0%; levered FCF turned positive at €24.7m, the first positive result since IPO.

• All FY2026 targets were achieved, with monthly revenue exceeding €100m by fiscal year-end.

Financial highlights

• Gross margin rose to €770.2m, or 67.3% of revenue, from €709.0m and 65.4% in FY2025.

• EBIT increased 12.1% to €77.8m, with margin at 6.8%; net income was €9.4m versus €0.4m in FY2025.

• Net finance expense improved to €57.2m from €65.1m; income tax expense rose to €11.2m from €3.9m.

• More than 70% of incremental revenue converted to EBITDA in FY2026.

• Depreciation, amortisation and impairment expenses increased €23.9m to €378.3m, reflecting commissioning of new capacity.

Outlook and guidance

• FY2027 targets: LFL revenue growth above 10%, adjusted EBITDA margin above 42.5%, positive LFCF, ROCE above 9%, and leverage below 2.7x.

• Guidance uses foreign exchange rates as of 30 September 2026; leverage includes IFRS 16 leases.

• The sales reorganization is expected to deliver its full impact in FY2027; segmented, AI-assisted customer support and Public Cloud regionalization are planned to support growth.

• AI strategy moves into deployment in 2027; OVHai Workspace was unveiled in June 2026, with further details scheduled for the AI Summit on 19 November 2026.