Synexo Group (SYNEXO) Q4 2025 earnings summary

Executive summary

• Achieved 61% year-over-year organic ARR growth, with signed ARR at SEK 8.7m as of Q4 2025, driven by organic expansion and low churn of 3%.

• Strong upsell performance (119% NRR LTM), low churn (3% LTM), and stable usage among existing clients.

• Completed a reverse takeover, listing on NGM Nordic SME, and began executing a buy-and-build strategy with its first LOI for a cloud services acquisition in early 2026.

• Both subsidiaries achieved positive EBITDA in Q4, and group-level EBITDA positivity is targeted for H1 2026.

• Revenue growth continues to track ARR expansion, with high gross margins maintained despite temporary impacts from data centre migration.

Financial highlights

• Q4 2025 ARR grew 20% quarter-over-quarter (108% annualized), primarily from new logos (73% of growth), with net upsell contributing 30%.

• Q4 2025 pro forma revenue was SEK 1.1m, up 46% year-over-year; full-year pro forma revenue reached SEK 3.9m.

• Gross margin was 57% in Q4, temporarily impacted by migration costs, with a target of >70% in 2026.

• Cash position at Q4 2025 was SEK 2.84m, with no interest-bearing debt and favorable working capital.

• Quarterly OPEX increased due to new fixed costs from being a listed company; both subsidiaries remain cash flow positive.

Outlook and guidance

• Targeting live ARR of SEK 12m in 2026 (>100% organic growth), with 48% already secured through signed contracts.

• Aiming for total signed ARR >SEK 18m by year-end 2026 and >20% average organic annual growth in 2027.

• Gross margin expected to remain above 70%, with profits to be reinvested or distributed to shareholders.

• Group expects to achieve EBITDA positivity in H1 2026, with continued ARR expansion and M&A activity.