Overview
Canada enterprise software provider's Q4 revenue missed analyst expectations
Adjusted EBITDA for Q4 beat analyst expectations
Outlook
Enghouse aims to strengthen its recurring revenue base in fiscal 2026
Company plans to advance operational efficiency and pursue acquisitions
Enghouse expects to deliver predictable performance amid market volatility
Result Drivers
RECURRING REVENUE - Recurring revenue, including SaaS and maintenance services, accounted for 69.2% of total revenue, providing stability amid market volatility
OPERATIONAL EFFICIENCY - Co focused on operational discipline and efficiency, advancing restructuring and cost-alignment initiatives to maintain profitability
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Miss
C$124.48 mln
C$126.03 mln (3 Analysts)
Q4 EPS
C$0.38
Q4 Net Income
C$21.13 mln
Q4 Adjusted EBITDA
Beat
C$33.66 mln
C$33.27 mln (4 Analysts)
Q4 Adjusted EBITDA Margin
27%
Q4 Operating Expenses
C$47.16 mln
Q4 Pretax Profit
C$26.03 mln
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the software peer group is "buy."
Wall Street's median 12-month price target for Enghouse Systems Ltd is C$22.50, about 12.1% above its December 12 closing price of C$20.08
The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 15 three months ago
Press Release: ID:nCNWHvcqKa
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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.)