Secunet Security Networks (YSN) Q1 2026 earnings summary

Executive summary

• Revenue increased by 4.4% year-over-year to €81.8 million in Q1 2026, driven by strong public sector demand and outperforming a robust prior-year quarter.

• Order intake nearly doubled, rising 90.7% to €143.0 million, mainly from large public sector projects.

• EBIT fell to -€4.0 million from €1.8 million year-over-year, impacted by a one-time €2.1 million bonus provision accounting change and higher personnel costs.

• Workforce increased by 7% year-over-year to 1,159 employees, supporting growth and strategic initiatives.

• 2026 outlook remains positive and confirmed, supported by record order backlog and continued strong demand.

Financial highlights

• EBITDA dropped 79.3% year-over-year to €1.4 million, reflecting organizational expansion and bonus provision changes.

• Gross profit decreased 31.8% to €10.0 million, mainly due to higher personnel expenses and increased hardware share.

• Cash and cash equivalents stood at €60.9 million as of March 31, 2026, up 14.4% year-over-year.

• Operating cash flow was negative, reflecting higher inventories, lower pre-tax earnings, and increased working capital.

• Net profit fell to -€2.2 million from €1.3 million year-over-year.

Outlook and guidance

• Full-year 2026 guidance confirmed: revenue €460–€500 million, EBIT €53–€58 million, EBITDA €76–€84 million.

• High order backlog and strong demand underpin confidence in meeting full-year targets.

• Management expects continued growth in both revenue and earnings, supported by strong order intake.

• Focus on further international growth and expanding regional government business in Germany.

• Structural demand remains robust, driven by geopolitical tensions, defense spending, and cybersecurity regulation.