Itera (ITERA) Q2 2025 earnings summary

Executive summary

• Q2 2025 revenue declined 9% year-over-year to NOK 202.9 million, reflecting a soft market, project completions, and longer sales cycles.

• Record-high revenue from new customers, contributing 18% of Q2 revenue, signals growth potential and customer base expansion.

• Strategic focus on AI integration, cloud transformation, and expansion into the defense sector and Ukraine, with major new contracts and partnerships.

• Operational improvements achieved through AI integration and decentralisation, reducing overhead and driving efficiency.

• Ordinary dividend of NOK 0.20 per share paid, with board authorization for a supplementary dividend.

Financial highlights

• Q2 2025 revenue was NOK 202.9 million (-9% YoY); EBIT margin was 2.1% (down from 9.4%); H1 EBIT was NOK 25.4 million.

• Rolling 12-month operational cash flow was NOK 68 million; EBITDA-to-cash conversion reached 104.5%.

• Revenue from own consultants declined 9% to NOK 166 million; third-party services revenue dropped 50% year-over-year.

• Dividend of NOK 0.20 per share paid in Q2 2025; share price declined 15% over the past year including dividends.

• Net income for Q2 2025 was NOK 1.7 million (-90% YoY); EBITDA NOK 12.4 million (-58% YoY).

Outlook and guidance

• Entering Q3 with improved utilization and a better position than last year; gradual market recovery and margin expansion expected.

• New customers, expanded international sales, and sector expansion in defense and Ukraine expected to drive future growth.

• Profitable growth and cash flow remain key focus areas; no specific financial guidance provided.