Intellinetics Q1 revenue falls 8% on lower services sales

Intellinetics

14/05/2026 21:13

Overview

US digital transformation solutions provider's Q1 revenue fell 8% yr/yr, led by lower professional services sales

Company posted wider net loss, reflecting CEO transition costs, and an adjusted EBITDA loss

Management expects double-digit SaaS revenue growth for fiscal 2026

Outlook

Company expects double-digit year-over-year SaaS revenue growth for fiscal 2026

Result Drivers

PROFESSIONAL SERVICES DECLINE - Co said 8% revenue drop was mainly due to a 14.3% decrease in professional services revenue

GROSS MARGIN PRESSURE - Gross profit margin decreased 307 basis points, driven by lower professional services margins due to project mix

CEO TRANSITION COSTS - Operating expenses rose due to about $430,000 in non-recurring CEO transition costs

Company press release: ID:nBw385K0Na

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
$3.90 mln
Q1 EPS
-$0.27
Q1 Net Income
-$1.20 mln


Analyst Coverage

The one available analyst rating on the shares is "buy"

The average consensus recommendation for the software peer group is "buy"

Wall Street's median 12-month price target for Intellinetics Inc is $14.50, about 31.8% above its October 7 closing price of $11.00

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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.)