Amadeus (AMS) Q2 2026 earnings summary

Executive summary

• Achieved 5% revenue growth and 5% adjusted EBIT growth at constant currency in H1 2026, with adjusted diluted EPS up 7% at constant currency, despite geopolitical headwinds impacting global air traffic and bookings.

• Diversified business model and commercial momentum in next-generation retailing, AI-enabled travel solutions, and hospitality supported resilience.

• Continued investment in AI, technology partnerships, and new customer wins, including the launch of the Amadeus Travel Advertising Platform and IPS acquisition.

• Free cash flow reached €472.2 million, up 0.8%, and net financial debt stood at €2,577.5 million (1.0x LTM EBITDA) as of June 30, 2026.

• Completed a €500 million share repurchase program in June 2026.

Financial highlights

• H1 2026 revenue: €3,335 million (+5% constant currency, +2% reported); adjusted EBIT: €1,012 million (+5% constant currency, +4% reported); adjusted diluted EPS: +7% at constant currency, €1.75; diluted EPS: €1.64 (+1%).

• Free cash flow: €472.2 million (+0.8% year-over-year); leverage: 1.0x net debt/EBITDA.

• Adjusted EBIT margin: 30.3%, up 0.5 p.p. year-over-year.

• R&D investment: €682 million (20% of revenue), down 6.3% year-over-year post-cloud migration.

• Capital expenditure: €327.6 million (9.8% of revenue), down 16.8% year-over-year.

Outlook and guidance

• Revised FY 2026 outlook: group revenue growth mid to high single-digit, adjusted diluted EPS growth high single to low double-digit, reflecting IATA’s reduced air traffic growth assumption (1.9% vs. prior 4.4%).

• Air IT Solutions revenue growth outlook unchanged at high single-digit; Hospitality and Other Solutions expected to deliver low double-digit growth.

• Air Distribution revenue growth revised to low to mid single-digit due to softer booking assumptions.

• Free cash flow guidance: €1.35–1.45 billion.

• Outlook range widened due to ongoing Middle East volatility and macroeconomic uncertainty.