UK's Corero Network Security H1 revenue rises on contract wins

Corero Network Security

09/09/2026 07:12

Overview
UK DDoS protection specialist's H1 revenue grew 42% yr/yr, driven by new customer wins
EBITDA improved to $2.6 mln from a loss last year, reflecting higher gross margin
Management expects FY 2026 revenue and EBITDA to exceed market expectations

Outlook
Company expects FY 2026 revenue to exceed market expectations of $29.2 mln
Company expects FY 2026 EBITDA to significantly exceed market expectations of $3.3 mln
Management expects H2 2026 gross margin to trend towards 90-91%

Result Drivers
NEW CUSTOMER WINS AND CONTRACT EXPANSIONS - Co said revenue growth was underpinned by new customer wins and contract expansions
HIGHER-MARGIN SOFTWARE SALES - Gross margin increased due to a higher mix of upfront software licence contracts and success of software-only deployment option
EXPANDED PRODUCT PORTFOLIO AND PARTNER NETWORK - Co attributed order intake growth and market traction to its expanded product portfolio and strengthened channel partner program

Company press release: ID:nRSI9329Ta

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
H1 Adjusted Operating Expenses
 
-$11.83 mln
 
H1 EBIT
 
$1.44 mln
 
H1 Gross Profit
 
$14.49 mln
 
H1 Operating Expenses
 
-$13.05 mln
 
H1 Pretax Profit
 
$1.42 mln
 

Analyst Coverage
The one available analyst rating on the shares is "buy"
The average consensus recommendation for the it services & consulting peer group is "buy"
Wall Street's median 12-month price target for Corero Network Security PLC is GBp16.25, about 91.2% above its September 8 closing price of GBp8.50
The stock recently traded at 46 times the next 12-month earnings vs. a P/E of 90 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)