Logo Yazilim (LOGO) Q4 2025 earnings summary

Executive summary

• Achieved strong revenue growth with SaaS revenues up 31% year-over-year, now representing 52% of total invoiced revenues.

• Net income reached 1.5B TL (26% margin), supported by a one-off investment gain of 776M TL from FX translation differences.

• Operational profitability remained resilient with 2.0B TL EBITDA (35% margin), absorbing R&D investments in AI and PaaS.

• Consolidated financial statements for the year ended 31 December 2025 were audited and found to present fairly, in all material respects, the financial position and performance in accordance with Turkish Financial Reporting Standards (TFRS).

• The audit highlighted revenue recognition and capitalization of development costs as key audit matters due to their material impact and complexity.

Financial highlights

• Revenue increased to TL 5,800,666 thousand, up from TL 5,345,712 thousand year-over-year.

• Net income up 288% year-over-year in Q4, driven by one-off gains; excluding one-offs, net income up 52% y/y with a 12% margin.

• Recurring revenues rose 13% y/y, now 86% of total invoiced revenue.

• EPS increased 87% y/y to 1.37 TL; net cash position up 226% y/y to 4.9B TL.

• Gross profit reached TL 5,592,374 thousand, up from TL 5,155,319 thousand year-over-year.

Outlook and guidance

• 2026 guidance: 12.2% invoiced revenue real growth (IAS29 adjusted), EBITDA margin ~31%.

• 2026 inflation expected at 23%; average USD/TL rate projected at 48.5 (+23% y/y).

• Management expects continued growth in SaaS revenues, especially with the anticipated launch of Fintech services.

• Total Soft expects flat revenue at 46.4M euro and EBITDA margin of 17% (down from 24%).

• New and revised TFRS standards are not expected to have a significant impact on future periods.