eWork Group (EWRK) Q1 2026 earnings summary

Executive summary

• Q1 2026 developed in line with expectations despite challenging market conditions, geopolitical tensions, and rising energy prices, with performance aligning to full-year guidance.

• Organizational transformation completed, enhancing accountability, engagement, commercial focus, and decision-making speed; new Head of Sales appointed in Sweden.

• Expansion in Belgium and Germany progressing, with preparations and announced entry into the Netherlands during 2026.

• Investments in technology and AI, including the launch of Ework Client Hub, improved operational efficiency and client experience.

• Secured new agreements and extended partnerships with key clients such as ASSA ABLOY, E.ON, and Sitowise.

Financial highlights

• Q1 2026 net revenue was SEK 3,021.9M, down 13.9% year-over-year due to lower business volumes across most geographies except Norway.

• Gross margin remained stable at 4.1%, supported by value-adding services.

• EBIT was SEK 14M, down 59.2% year-over-year, impacted by SEK 9M in restructuring costs; adjusted EBIT was SEK 23.4M.

• Order intake for Q1 was SEK 3,693M, down 12% year-over-year; average number of consultants on assignment fell to 9,207.

• Earnings per share after dilution was SEK 0.42, down from SEK 0.98 year-over-year.

Outlook and guidance

• Full-year 2026 EPS guidance maintained at -10% to -20% compared to 2025.

• No positive EPS development expected for 2026; focus is on building business volumes and gradual return to profitable growth.

• Increasing business volume and enhanced commercial focus on sales performance are top priorities.

• Organizational changes and technology investments are expected to drive efficiency and support growth as market conditions stabilize.