Serviceware (SJJ) Q1 2026 earnings summary

Executive summary

• Sales revenues increased by 5.6% year-over-year to €29.3 million for the quarter ending February 28, 2026, with strong international growth and continued SaaS transformation.

• SaaS/Service revenues grew 18.0% year-over-year, now comprising 83.7% of total revenues, reflecting the shift from license-based to recurring revenue streams.

• Major new contracts were secured in insurance, automotive, finance, and education sectors, with successful platform go-lives for key clients.

• International expansion advanced, including a major US contract extension and new activities in France and Asia.

Financial highlights

• EBITDA for the quarter was €0.3 million, down from €0.7 million year-over-year; EBIT was negative at -€0.7 million, compared to -€0.3 million last year.

• Earnings after taxes improved to -€0.3 million from -€0.4 million year-over-year.

• Cash and cash equivalents rose 7.3% sequentially to €36.7 million.

• Contract liabilities increased 17.6% to €114.6 million, reflecting future secured revenues.

• Equity decreased 2.8% to €46.5 million; equity ratio fell to 23.7% due to balance sheet expansion and negative net income.

Outlook and guidance

• Revenue growth for the full year is forecast between 5% and 15%, with significant improvement in EBIT and EBITDA expected.

• The business model transition to SaaS is expected to enhance long-term profitability and resilience, despite short-term earnings pressure.

• Guidance is subject to risks from geopolitical conflicts and economic turbulence, with a wider range of possible outcomes.