Net Insight (NETI) Q1 2026 earnings summary

Executive summary

• Net sales for Q1 were SEK 111.9 million, down 2.3% year-over-year, but up 4.6% in comparable currencies.

• Earnings and EBITDA improved year-over-year, reflecting the full effect of cost reduction programs.

• Several new product launches and upgrades broadened the addressable market, with positive customer traction, especially among global streaming and media operators.

• Time synchronization segment progressed with trials and pilots, though sales cycles remain lengthy and revenue volatile.

• Positive cash flow from operating activities of SEK 42.3 million, driven by improved working capital.

Financial highlights

• Gross margin for Q1 was 65.6%, slightly down year-on-year due to FX and product mix.

• EBITDA improved to SEK 20.6 million (18.4% margin), with operating expenses down 11% year-over-year.

• Operating margin was -1.7% for Q1; net margin was -0.2%.

• Net cash at quarter end was SEK 99.1 million, with available liquidity of SEK 184 million.

• Investment cash flow was SEK -23.9 million, mainly from capitalized development expenditures.

Outlook and guidance

• Measures taken are expected to gradually impact net sales and profitability over time.

• Long-term financial targets remain unchanged, but timing toward 2027 is challenging.

• Positive long-term outlook, with strong positioning in attractive markets and ongoing innovation.

• Revenue and earnings impact from new initiatives expected to materialize gradually.