Tecnotree (TEM1V) Q2 2026 earnings summary

Executive summary

• Revenue grew 7.5% year-over-year to EUR 36.8 million in H1 2026, with constant currency growth of 10% and strong organic and operational performance, including major deals and eight go-lives in LatAm, Africa, and the Middle East.

• EBIT increased 38.1% to EUR 13.2 million, with EBIT margin rising to 36% in H1 and 43.3% in Q2.

• Net income rose 73.5% to EUR 4.5 million, despite one-time impairment charges.

• Free cash flow remained stable at EUR 2.1 million for H1.

• Received multiple industry awards and recognition from Gartner and Asian Telecom Awards for AI-driven transformation.

Financial highlights

• Q2 2026 revenue rose 14.9% year-over-year to EUR 19.9 million; EBIT was EUR 8.6 million, up 70.7%.

• Order backlog at EUR 106.3 million, with MEA & APAC backlog rising to EUR 83.3 million.

• Free cash flow for H1 was EUR 2.1 million; cash and equivalents at period end were EUR 20.6 million.

• EPS improved to EUR 0.21 from EUR 0.15 year-over-year.

• CapEx to sales ratio decreased to 12.8% from 13.9%.

Outlook and guidance

• Guidance maintained: revenue in constant currency expected to grow low to mid-single digits; free cash flow above EUR 5 million for the year.

• Board remains cautious due to ongoing geopolitical risks, especially in the Middle East.