Solocal Group (LOCAL) H2 2025 earnings summary

Executive summary

• Revenue declined 3% year-over-year to €324.5m, with a sharper 10.6% drop on a like-for-like basis.

• EBITDA rose 41% to €60.0m, with margin improving to 18.5%, up 5.7 points year-over-year.

• Net income was €14.2m, a significant decrease from the prior year due to non-recurring gains in 2024.

• Operating cash flow increased to €33.4m, and net cash position stood at €51.8m, up from €26.6m.

• Achieved Phase 1 of transformation plan, restoring financial fundamentals and strengthening financial structure.

Financial highlights

• Revenue stabilized at around €81.1m per quarter, with order backlog up 17.5% to €246.3m.

• Free cash flow turned positive at €26.9m, up €40.7m from the previous year.

• Gross financial debt reduced from €44m to €28m by year-end.

• Capex for the year was €15.5m, focused on strategic initiatives.

• ARPA increased to €1,550 from €1,420; churn rate stable at 21%.

Outlook and guidance

• Return to growth expected in Q4 2026, with EBITDA margin targeted around 20%.

• Continued strong cash generation and potential targeted acquisitions planned.

• Full-year benefit from new commercial organization and ramp-up of new products.

• Launch of Solocal+ Pub & Data business unit to drive growth.