StrongPoint (STRO) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue declined 2% year-over-year to 342 MNOK, with recurring revenue also down 2% to 372 MNOK.

• EBITDA for Q2 was 5 MNOK, impacted by 4 MNOK in one-off severance costs; adjusted EBITDA reached 9 MNOK.

• International segment grew 15%, offsetting a 22% decline in the Nordics, mainly due to the loss of ESL partner revenue.

• Major contract wins included an €8 million ESL deal with Coop Estonia, new AutoStore projects in the UK and Norway, and a breakthrough US order picking agreement with Meijer.

• Cash flow from operations improved to 49 MNOK, up from 20 MNOK last year, mainly due to working capital changes.

Financial highlights

• Q2 2026 revenue was 342 MNOK, down 2% year-over-year and flat sequentially.

• Recurring revenue (rolling 12 months) was 372 MNOK, down 2% year-over-year, mainly due to the end of the former ESL partnership and temporary reduction in Sainsbury's volume.

• International operations grew 15%, led by 25% in the UK, 35% in Spain, and 8% in the Baltics.

• Nordic markets declined 22% due to lower ESL revenue and reduced sales from the former ESL partner.

• Net interest-bearing debt decreased to 57 MNOK, with disposable funds at 98 MNOK at quarter end.

Outlook and guidance

• No short-term guidance provided; expect quarterly fluctuations due to project delivery timing.

• Cost improvement initiatives underway to optimize administration, IT, and productivity, aiming to increase EBITDA.

• Focus on international growth, especially SaaS e-commerce, and strengthening Nordic and Baltic markets.

• Emphasis on successful implementation of signed e-commerce Order Picking agreements to drive recurring revenue.

• Long-term ambition is healthy revenue growth and an EBITDA margin above 10%.