GPI S p A (GPI) H1 2025 earnings summary

Executive summary

• Achieved 9.1% year-over-year revenue growth in H1 2025, reaching €257.9M, with EBITDA up 14.8% to €46.7M, driven by software solutions and new contract launches.

• Net income increased 20.5% to €3.5M, despite higher tax expenses and reduced financial income.

• Organic growth and international expansion are strategic priorities, consolidating previous M&A-driven expansion and optimizing synergies.

• Software segment delivered 13.4% organic revenue growth, now 60.5% of total revenue, with recurring revenues at 52% and a 96% retention rate.

• EBITDA margin improved by 90 bps to 18.1%, reflecting a focus on higher-margin software products.

Financial highlights

• Revenue reached €257.9M (+9.1% YoY); Software revenue: €156M; EBITDA: €46.7M (+14.8% YoY); EBIT: €16.6M (+113% YoY); Net income: €3.5M (+20.5% YoY).

• EBITDA margin improved to 18.1% from 17.2% year-over-year.

• Net working capital increased by €14.5M, mainly due to higher trade receivables and contract assets.

• Net debt stands at €340.4M, up €7.7M from year-end 2024, mainly due to investments and dividend payments.

• Dividends of €15.9M were approved and paid in July 2025.

Outlook and guidance

• Strategic plan targets revenue above €700M, EBITDA margin above 25%, and ROIC above 15% by 2029, with foreign revenue share rising to 27–30%.

• Organic revenue CAGR targeted above 8%, with CapEx at 7–9% of revenue and NFP/EBITDA ratio maintained below 2.5.

• Ongoing organizational transformation aims to maximize synergies, profitability, and international expansion, with full implementation by early 2026.

• Focus on reducing contract assets and leveraging a significant order backlog from new framework agreements.