Indra Sistemas (IDR) Q1 2026 earnings summary

Executive summary

• Achieved all Q1 2026 objectives with strong transformation, industrial expansion, and double-digit growth in revenue (+14.6%), EBITDA (+54.7%), and EBIT (+24.2%), driven by Defence, Space, and ATM.

• Backlog reached €20.3bn (+154% YoY), supported by major contract wins and the consolidation of Hispasat, Hisdesat, and Eutelsat.

• Net profit rose 28% to €76m, and free cash flow surged to €1,444m, mainly due to Defence program prepayments.

• Workforce increased 3% YoY to 62,689, mainly in Defence (+35%).

• 2026 guidance reaffirmed, with focus on AI, internationalization, and operational optimization.

Financial highlights

• Revenues: €1,334m (+14.6% YoY); EBITDA: €194m (+54.7% YoY, margin 14.5%); EBIT: €118m (+24.2% YoY, margin 8.9%).

• Order intake: €2,856m (+56% YoY); backlog: €20,334m (+154% YoY); book-to-bill ratio at 2.14x.

• Net profit: €76m (+28% YoY); free cash flow: €1,444m, but adjusted FCF (excluding Defence prepayments and constant factoring) at -€40m.

• Net cash position of €855m; Net Debt/EBITDA LTM: -1.3x.

• Revenue per employee up 11% YoY; cost of gross debt at 2.9% with 3.9 years average maturity.

Outlook and guidance

• 2026 guidance reiterated: revenue >€7bn, EBIT >€700m, FCF >€375m (excluding Defence prepayments and assuming constant factoring).

• Guidance for 2026 is 17% above original plan for revenue and EBIT, 19% above for FCF.

• Strategic plan "Leading the Future Scale Up" to be presented before October 31, 2026, with visibility to 2030.

• Expectation of continued quarter-over-quarter revenue growth and robust delivery agenda.

• Focus on internationalization, industrial plan execution, and culture of excellence.