Want to see DE:ADN1 full AI Analyst Report?
adesso AG (ADN1) Q4 2025 Earnings Report
DE:ADN1 Q4 2025 EPS Results
- Actual EPS
- EUR 0.39
- Consensus EPS
- ―
- Beat/Miss
- ―
- One Year Ago EPS
- -EUR 0.54
DE:ADN1 Q4 2025 Revenue Results
- Actual Revenue
- EUR 398.09M
- Expected Revenue
- EUR 385.00M
- Beat/Miss
- Beat by +EUR 13.09M
- YoY Revenue Growth
- +18.59%
Earnings Announcement Details
- Quarter
- Q4 2025
- Date
- 03/31/2026
- Time
- Before Open
- Conference Call
- Tuesday, March 31, 2026
adesso AG's next earnings date is estimated for November 11, 2026, based on past reporting schedules.
Q4 2025 Earnings Call Audio
No earnings call audio is available for this earnings event.
Q4 2025 Earnings Slide Deck
No slide deck is available for this earnings event.
Q4 2025 Earnings Call Summary
The call presents a predominantly positive operational and financial performance: strong revenue growth, a sizable 30% increase in EBITDA, material uplift in license and SaaS revenues, improved profitability metrics, and constructive guidance for 2026. However, material execution risks remain—most notably elevated net working capital and weak free cash flow, an underperforming IT Solutions segment still in turnaround, pressure on daily rates, and a high effective tax rate. Management has clear initiatives (utilization, daily rates, platform monetization, AI-driven services) and provided transparent restatement disclosures, but several operational and cash-conversion issues temper the upbeat top-line and EBITDA momentum.
The company guided 2026 sales of EUR 1.6–1.7 billion (up ~9–16% vs EUR 1.466bn in 2025) and EBITDA of EUR 130–150 million (vs EUR 123.6m in 2025), with only a modest improvement in EBIT margin from the 2025 level (EBIT margin 3.4%, EBITDA margin 8.4% in 2025); management expects stabilized capacity utilization, continued slower hiring, improved profitability supported by two additional working days in H2 Germany, and is targeting a mid‑term EBITDA margin of 11–13%, while flagging macro risks from the Middle East war, energy/commodity pressures and supply constraints but highlighting AI‑driven modernization as a potential upside.
- Strong Revenue PerformanceSales for FY2025 reported at EUR 1.466–1.47 billion with management citing strong growth (transcript references: +14% 'purely organic' and an alternate +40% comparison to the prior year figure of EUR 1.286 billion). Company states resilient, diversified revenue base across sectors and regions.
- Significant EBITDA ExpansionEBITDA reached EUR 123.6 million, up 30% versus EUR 94.8 million in the prior year; EBITDA margin improved to 8.4% (up from prior years) and hit the upper end of guided range for the year.
- Improved Profitability Metrics (EBIT / EPS / ROE)EBIT margin increased to 3.4% (from 2.1% prior year). Earnings per share rose to EUR 3.83. Return on equity improved to 9.1% from 2.3% and return on net working capital improved to 25.4% from 17.5%.
- Notable License and SaaS Revenue GrowthLicense sales for adesso insurance solutions jumped to EUR 13.5 million from EUR 3 million in 2024. Software-as-a-Service revenues increased from ~EUR 1 million to EUR 3.9 million, indicating growing recurring revenue streams.
- Headcount and Offshore Delivery ExpansionHeadcount at year-end rose to 11,298 from 10,320 (+978 employees). Average FTE grew ~8%. India headcount increased from ~100 to ~300; roughly 60% of new hires in Germany and ~40% abroad (including Romania, Bulgaria, India), supporting shoring strategy and scale.
- Market Position and Sector StrengthsBecame the #1 German-origin IT service provider in Germany. Strong sector performance: insurance very strong, health +30%, banking +9%, public +11%, manufacturing +8%, utilities +24% (SAP-driven).
- Positive Guidance for 2026Guidance for FY2026: revenue expected in range EUR 1.6–1.7 billion (management cited growth guidance in the c.9%–16% range elsewhere in call) and EBITDA guidance EUR 130–150 million, indicating continued top-line and earnings growth expectations.
- Successful Restatement Transparency and Minor Cash ImpactCompany identified need to reclassify certain development work to internally generated intangible assets; clarified P&L and balance sheet impacts (restatement reduces 2024 revenue by EUR 11 million and EBITDA by EUR 3.6 million) and emphasized cash flows were unaffected by the reclassification.
- Dividend ContinuityDividend proposal EUR 0.78 per share (total ~EUR 5 million) — marginal increase from EUR 4.8 million prior year, continuing a 13‑year track of dividend increases.
- AI Opportunity and PositioningManagement highlights AI-driven 'agent-based application modernization' as a sizable market opportunity; company believes its long-standing software engineering and domain expertise position it well to capture new AI-enabled modernization projects.
DE:ADN1 Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Nov 11, 2026 | 2026 (Q3) | ―- | 1.87 | ― | ― |
| Aug 14, 2026 | 2026 (Q2) | ―-1.26 | -0.34 | -269.50% (-0.92) | |
| May 11, 2026 | 2026 (Q1) | ―- | -0.54 | ― | |
| Mar 31, 2026 | 2025 (Q4) | ―0.39 | -0.54 | 172.22% (+0.93) | |
| Nov 12, 2025 | 2025 (Q3) | ―1.87 | 1.67 | 12.02% (+0.20) | |
| Aug 14, 2025 | 2025 (Q2) | ―-0.34 | -1.02 | 66.60% (+0.68) | |
| May 12, 2025 | 2025 (Q1) | ―-0.54 | -0.49 | -10.20% (-0.05) | |
| Mar 27, 2025 | 2024 (Q4) | 1.281.09 | 0.54 | 100.55% (+0.55) | |
| Nov 14, 2024 | 2024 (Q3) | ―1.67 | -0.91 | 283.74% (+2.58) | |
| Aug 14, 2024 | 2024 (Q2) | ―-1.02 | -1.18 | 13.47% (+0.16) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
