Solwers (SOLWERS) Q2 2026 earnings summary

Executive summary

• Revenue for H1 2026 was EUR 41.8 million, down 1.2% year-over-year, with Q2 underperforming expectations and negative organic growth.

• EBITA margin was 0.7% (EUR 286 thousand), and adjusted EBITA margin was 0.9% (EUR 365 thousand), both down from H1 2025.

• Profitability was pressured by low billing rates, inability to pass wage inflation to prices, and weak Swedish performance.

• Cost-saving measures and subsidiary-specific actions are underway, with full effects expected in Q4.

• No acquisitions were made; focus shifted to operational improvements and financial stability.

Financial highlights

• Q1 revenue grew 2.9% year-over-year, but Q2 revenue declined 5.1%, resulting in a net H1 decrease.

• Net profit for H1 2026 was -EUR 1.1 million, with EPS at -0.11.

• Operating cash flow improved to EUR 1.2 million, mainly due to working capital movements.

• Cash and cash equivalents fell from EUR 11.2 million to EUR 6.2 million over the year.

• Net debt increased by 12% to EUR 28.2 million; equity ratio at 41.1%.

Outlook and guidance

• No formal H2 2026 outlook provided due to limited profitability visibility, especially in Swedish industrial engineering.

• Efficiency and cost-saving measures are expected to show full impact in Q4 2026.

• Finnish infrastructure demand remains strong, supported by secured assignments and national transport plans.

• Swedish industrial demand is improving, driven by green transition investments, but architecture remains weak.

• Poland's outlook is favorable due to regulatory changes and a growing business services sector.