Witted Megacorp (WITTED) Q1 2025 earnings summary

Executive summary

• Revenue declined 7.9% year-over-year to €13.6M, but March saw sequential growth and new project sales rose 40% year-over-year.

• Adjusted EBITA was €0.2M (1.5% margin), down from €0.4M (2.6%) a year earlier; EBITA improved to €0.2M from €0.1M due to absence of one-time items.

• Personnel at period end was 325 FTE, down 7.9% year-over-year but up 2.5% from January 2025.

• A new strategy focusing on profitable growth was launched in March 2025, targeting 20% annual organic growth and improved adjusted EBITA margin by 2027.

• Largest-ever single assignment contract signed with a major Finnish client, extending to end of 2026.

Financial highlights

• Q1 2025 revenue was €13.6M, down from €14.8M in Q1 2024.

• Adjusted EBITA was €0.2M (1.5% margin), down from €0.4M (2.6%).

• EBITA improved to €0.2M (1.5% margin) from €0.1M (0.7%) in Q1 2024.

• Net loss for the quarter was €-96K, improving from €-273K in Q1 2024.

• Last 12 months revenue was €52.3M.

Outlook and guidance

• The company targets over 20% annual organic growth and improved adjusted EBITA margin by the end of 2027.

• No specific annual financial guidance; monthly business reviews will continue.

• Management is cautiously optimistic as Nordic markets show signs of recovery, but uncertainty remains due to global events and public sector austerity.