TSG IT Advanced Systems (TSG) Q1 2026 earnings summary

Executive summary

• Q1 2026 set quarterly records for revenue, gross profit, operating profit, EBITDA and net income, with year-over-year growth across all five measures.

• Expansion continued in AI capabilities and integration of advanced sensor and hardware solutions through acquisitions.

• Growth priorities include high-growth markets, infrastructure and strategic-asset protection, recurring revenue and deeper European presence.

Financial highlights

• Revenue was ₪120.697m vs ₪101.048m (+19% YoY); gross profit was ₪33.547m vs ₪25.717m (+30%).

• Operating profit was ₪17.409m vs ₪13.424m (+30%); adjusted EBITDA was ₪19.075m vs ₪14.363m (+33%).

• Adjusted net income was ₪12.502m vs ₪7.220m (+73%).

• QoQ, revenue rose 5%, gross profit 10%, operating profit 16%, EBITDA 7% and net income 23%.

Outlook and guidance

• Accelerating AI development by leveraging information-fusion and command-and-control capabilities.

• Expanding in higher-growth markets, particularly infrastructure and strategic-asset protection, while increasing long-term recurring revenue.